Organizational Change Management at Rolls Royce: Issues and Solutions

In this issues we will discuss about management and below are the summaries point:- The memo is about discussing ways to restructure Rolls Royce's business operations and address the issues the company is facing. The purpose of the assignment is to inform the CEO of the issues and overcome them by implementing changes and applying theories and concepts. The lack of proper design and structure of engines used in aircraft has resulted in significant losses, negative brand image, and decreased profit levels for Rolls Royce.

Running head: MANAGEMENT
Management
Name of student
Name of University
Author note

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Table of Contents
Introduction................................................................................................................................3
Purpose.......................................................................................................................................3
Background................................................................................................................................3
Central issues.............................................................................................................................5
Issues for consideration..............................................................................................................6
References..................................................................................................................................8

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To: CEO, Rolls Royce
From: Change manager
Subject: Organizational change management
Introduction
The memorandum has been presented to discuss the ways by which Rolls Royce has
restructured its business operations and dealt with the different kinds of issues and for this the
issues are needed to be informed to the CEO of the company. The organisation will be able to
implement various approaches considering the different kinds of theories and concepts for
enabling changes and make sure to resolve the issues, furthermore achieve the desired aims
and objectives to enhance the organisational effectiveness largely too (Rolls-royce.com,
2019).
Purpose
The main purpose or aim of presenting the assignment is to inform about the issues to
the CEO of Rolls Royce and overcome those with the implementation of changes and by
applying various theories and concepts to restructure the business. This could be beneficial
for enabling innovation and ensure that the organisation gain effectiveness in managing the
business operations and processes with ease ne convenience as well.
Background
The issues and problems are needed to be dealt with and this has been the main focus
of the assignment, which needs to be overcome with the management of changes. This would
not only improve the business performance, but could even result in enhanced level of profit
and creating scopes for attaining competitive advantage. The lack of proper design and
structure should further create complexity in the structure and design of engines that are used

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in the aircrafts such as the corrosion and inappropriate functioning of the engines, as could be
seen from the various inspections that have been carried out (Cameron & Green, 2015). The
main issue has resulted in creating significant loss in business and at the same time, create
negative brand image, affecting the profit level of the organisation along with deteriorating
the brand image and identity too largely.
The needs for enabling changes are identified in the background of the assignment
and to use the right theories and concepts for managing the change and furthermore, allow the
use of Lewin’s force field analysis change model. This kind of model should allow
determining various factors associated with the improvement of business performance and
make sure to implement the stages of unfreeze, freeze and refreeze at Rolls Royce (Carnall,
2018).
The business organisation, i.e., Rolls Royce, should use this model for focusing on the
major stages and make assessment of various issues that have affected the business such as
the poor quality of engines that were developed, which further should be followed by
determining the feasibility of enabling changes. It could also create scopes and opportunities
for determining the cause of such issues and improve the functional features too (Huczynski,
Buchanan & Huczynski, 2013). During the freeze stage, Rolls Royce needs to create a
linkage between the forces that drive the performance and those, which restrain the business
performance too. It is necessary for managing proper balance between the implementation of
changes and overcoming the issues, which could assist the company in developing new
technologies and systems required to overcome the issues. The refreeze stage should allow
for developing new systems and influence the behaviours of individuals to make them
informed about how and why changes should be done (Hornstein, 2015).

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The model of Action research change could not only determine the issues and flaws
experienced at the Trent 1000 and Trent 900 engines, but would also allow consultation with
the OD to monitor the feasibility of managing changes required to overcome these issues
effectively. To collect relevant data and information, proper inspections must be conducted
along with obtaining the feedbacks and opinions for undertaking the best and most suitable
actions to deal with the issues in a responsible way (Goetsch & Davis, 2014).
Another suitable model required to implement planned changes are he contingency
approach to management, which can allow focus on the major components including the
change scale and style of management. The management style should further be facilitated
with the management of effective leadership achieved through collaboration, consultation,
direction and through proper coercive approaches. The leadership style focusing on the
collaborative aproch could furthermore improve the level of participation of organisational
members and make sure to use the leadership skills properly and implement changes that
shall increment business performance and manage transformation of business effectively as
well (Benn, Edwards & Williams, 2014).
Central issues
As it could be seen from the case study, the jet engines had some major flaws, which
deteriorated the brand image and also affected the business by losing more than £1.3bn. Rolls
Royce has been known for its good quality cars and for preparing the turbofan engines Trent
1000 and Trent 900 that comprised of great design and functionality. The revenue generation
suffered with the flaws found in the engines because those were used for powering the
Boeing 787 Dreamliner. There were need for proper inspections along with the need for
repairing and redesigning of several parts, which when done, identified few issues and this
was one of the major causes leading to flight cancellation and leasing other aircrafts too. The

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issues were related to the failures associated with the functionality of the engines, which
could even result in mishaps and cause severe accidents, thus make the passengers being
subjected to harm (Lewis, Cantore & Passmore, 2016). It was fond that the corrosion of jet
engines which made the turbine blades unable to function properly and this further led to
deteriorating the performance of aircraft engines as well. The compressors for the Trent 1000
and Trent 900 engines did not last ling as well, as found from the inspections, which further
increased to nearly 400 engines that were found to be lacking in terms of quality and poor
services too (Van der Voet, 2014).
To enable changes, the Kurt Lewin’s theory could be effective but along with it, there
are other theories such as the cultural excellence theory that should allow for maintenance of
a culture that can impact the organisational performance. According to the theory, the flexible
and strong culture should enable effective coord9nation and teamwork along with
management of reward systems to present the employees with monetary and non-monetary
benefits of influencing their behaviours and cerate positive mind sets among them. This could
keep them encouraged to perform better and gain greater control on the performance
measures, which should automatically lead to better performance achieved through the
implementation of changes efficiently (Robbins & Judge, 2014).
The organisational development theory should prioritise on the stimulus for creating a
strong customer base and enter the foreign markets with the penetration into global markets
by implementing information technology systems furthermore. The leader and managers of
the organisation should focus on the present trends within the market and promote
organisational learning and employee development to accelerate the impacts and overcome
the issues. The organisational design restructuring would further assist in identifying the
needs for development and implement new training and developmental sessions for the

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managers and employees to improve their skills, knowledge and expertise to a large extent
too (Langley et al., 2013). This has to be revolutionary approach for overcoming the issues
associated with the changes, furthermore prevent the performance of the organisation to get
deteriorated too and ensure maintenance of proper quality engines to be prepared for the
aircrafts by Rolls Royce.
Issues for consideration
Based on the issues found, priority based actions should be undertaken for enabling
organisational development along with creation of scopes and opportunities for Rolls Royce
to improve consistency in terms of quality and enabling strategic changes too for improving
the organisational efficiency. The management of training at laboratory could improve the
interpersonal communications between employees and allow them to share their views and
opinions to deal with the issues by implementing change management strategies (Carter et al.,
2013). The conducting of surveys would facilitate the collection of relevant data and
information to understand the issue at the beginning of the strategic organisational change at
Rolls Royce. The participative management should enhance the level of engagement of
employees and listening to what the leaders want to speak, furthermore allow them to deliver
their opinions and feedbacks and make them become effective team to lead the process of
decision making with ease and effectiveness (Rolls-royce.com, 2019). The human, technical
and financial resources must be dealt with properly to prioritise on the Total Quality
management or TQM approach to maintain consistency of performance and positive business
outcomes too.
The management of incremental changes and facilitating development in internal
automation and control systems could also improve the organisational efficiency and ensure
that Rolls Royce check the feasibility of managing changes and ensure focusing on both

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marketing and financing activities (Cameron & Green, 2015). Few of the strategic changes
have been enabled with the proper maintenance of budget along with signing contract for
Hinkley backup power and accelerating the program by cooperating with Delta TechOps.
Delta TechOps is the Authorised Maintenance Centre for Trent that supports wider network
and services strategy, which could facilitate minimisation of time needed to spend on the
maintenance of engines and production. With the management of collaborative working , the
business will be transformed and with the expansion of capacity of services, the turnaround
time would be reduced along with preventing the disruption of services that could be
achieved through enhancement of inspection facilities on Trent 1000 and 900 engines by
Rolls Royce (Huczynski, Buchanan & Huczynski, 2013).
The changes implemented at the supply chains could also improve the level of
engineering support, and enable line maintenance with the combined components and result
in formation of a highly skilled workforce, thus improve the aviation experience and ensure
that the issues are not experienced at the later stages by Rolls Royce (Rolls-royce.com, 2019).

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References
Benn, S., Edwards, M., & Williams, T. (2014). Organizational change for corporate
sustainability. Routledge.
Cameron, E., & Green, M. (2015). Making sense of change management: A complete guide
to the models, tools and techniques of organizational change. Kogan Page Publishers.
Carnall, C. (2018). Managing change. Routledge.
Carter, M. Z., Armenakis, A. A., Feild, H. S., & Mossholder, K. W. (2013). Transformational
leadership, relationship quality, and employee performance during continuous
incremental organizational change. Journal of Organizational Behavior, 34(7), 942-
958.
Goetsch, D. L., & Davis, S. B. (2014). Quality management for organizational excellence.
Upper Saddle River, NJ: pearson.
Hornstein, H. A. (2015). The integration of project management and organizational change
management is now a necessity. International Journal of Project Management, 33(2),
291-298.
Huczynski, A., Buchanan, D. A., & Huczynski, A. A. (2013). Organizational behaviour (p.
82). London: Pearson.
Langley, A. N. N., Smallman, C., Tsoukas, H., & Van de Ven, A. H. (2013). Process studies
of change in organization and management: Unveiling temporality, activity, and flow.
Academy of management journal, 56(1), 1-13.

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Lewis, S., Cantore, S., & Passmore, J. (2016). Appreciative inquiry for change management:
Using AI to facilitate organizational development. Kogan Page Publishers.
Robbins, S. P., & Judge, T. (2014). Essentials of organizational behavior. Pearson,.
Rolls-royce.com. (2019). Retrieved from https://www.rolls-royce.com
Van der Voet, J. (2014). The effectiveness and specificity of change management in a public
organization: Transformational leadership and a bureaucratic organizational structure.
European Management Journal, 32(3), 373-382.