Managing Organizational Change | Assignment

Running head: MANAGING ORGANZIATIONAL CHANGE
MANAGING ORGANZIATIONAL CHANGE
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MANAGING ORGANZIATIONAL CHANGE
Question 1: Analysis of the nature of Lakeland wonders organizational change project
The new CEO of Lakeland Wonders, Cheryl Hailstrom wanted to make significant
changes in the process and functioning of the business organizations. Cheryl Hailstrom wanted to
enter the mid market retail business segment and begin its manufacturing and operations
capabilities offshore. She aims to make changes in the overall organizational design, work
schedules, and its operations (McNulty, 2002). However, changes in the business organization
might have effects on the smooth running of the business organization. The changing process in
the business organization leaves the people dissatisfied and discontented. In the given case study,
the people were currently dissatisfied with the current working situation (Alvesson &
Sveningsson, 2015). Cheryl Hailstrom’s intention was to set up offshore manufacture line. By
establishing offshore manufacturing lines, Cheryl Hailstrom wanted to reduce the manufacturing
cost and increase the competitiveness of the product offerings. Competitiveness can only be
attained if the manufacturing lines by entering in the mid market retail segment. However as
mentioned by Huczynski, Buchanan and Huczynski, (2013), there are disagreements and
discontentment among the labour as well as the senior management about its offshore
manufacturing lines. The planning of change made by Cheryl Hailstrom failed to gain
satisfaction and agreements among the senior management and the labor union. There are certain
costs of changes in the business organization. The costs brought by the changes include power,
rewards, relationship, and identity (Lewis, 2019). The changes proposed by the new CEO of the
organizations Cheryl Hailstrom are required in Lakeland wonders based on both internal and
external changes in the business environment. As highlighted by Cheryl Hailstrom, the board of
directors has set aggressive growth targets for the business organization to achieve, however, this
could not have been achieved with the present situation in the business organization (McNulty,

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2002). This is the strong reason for implementing change in the business organization. Moreover
according to Holten and Brenner, (2015), it is the personality of Cheryl Hailstrom who
aggressively wants to accomplish new opportunities. Cheryl Hailstrom’s personality, her energy
and enthusiasm has enabled her to take a step ahead into the market. The middle priced segment
was only targeted by Cheryl Hailstrom as it is believed to be the only segment which was
projected for double digit growth and business expansion (Jacobs et al. 2013). The customers of
middle priced market segment consumers were shopping at big chains. Currently, Lakeland
wonders are specialized in manufacturing toys to be sold in specialty stores. Therefore, these
changes were necessary and beneficial for the business organization. Considering the above
situation, the internal and external analysis, Cheryl Hailstrom have taken a decision for
implementing change to attain the specific objectives and goals set by the board of directors
(Bateh, Castaneda & Farah, 2013). Thus the prevailing internal and external situation of
Lakeland Wonders confirms that there was a need of change required in the organization. Cheryl
Hailstrom firmly believes that significant changes are required in the organization.
Question 2: Assess and explain the extent to which change approach has been adopted by
Cheryl hailstorm is appropriate in Lakeland wonders.
Cheryl Hailstrom had planned to enter the new market segment for the mid-priced range
toys. She also plans to outsource the process of production for this segment to other offshore
countries (Husain, 2013). She also aims to recruit people into the business organization like Cecil
in order to gain support for the new planning and the organizational change. Considering the type
of change Cheryl Hailstrom wants to adapt, it is evident that Cheryl Hailstrom is pursuing a
reconstructive type of change. However according to Kuipers et al., (2014), this approach taken
by Cheryl Hailstrom, fails to really change the core operations and functions of Lakeland

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Wonders. Cheryl Hailstrom introduced the changes which required new methods and procedures
rather than few changes in the core functions of the business organization (Al-Haddad &
Kotnour, 2015). The new CEO Cheryl Hailstrom has taken appropriate decision for change in the
organization; however, she wants the change to be implemented quickly by the people of the
organizations. This approach to change management could be differently handled for better
enhancement and applicability (Wyer Jr, 2019). The type of change introduced by Cheryl
Hailstrom in the business organization requires reconstruction. Considering the initiative taken
by Cheryl, there are arguments regarding her approach to change management taken by the new
CEO should be top down or bottom up. As per the arguments by Prochaska, Redding & Evers,
(2015), the renewable process in the business organization is successful only when worthy
leaders are promoted into senior level jobs. In the case of Lakeland Wonders, Cheryl Hailstrom
is highly enthusiastic and energetic which makes her an effective leader to implement change.
However, as mentioned by Wyer Jr, (2019), successful change management in the business
organization is to by revolting the slaves that is the lower level employees. Therefore, it can be
said that the new CEO Cheryl Hailstrom, has taken the right step towards initiating change in the
organization. However, from the case study, it is evident that Cheryl Hailstrom is pursuing the
changes very quickly and in a more radical change which is not appropriate for Lakeland
Wonders. During change implementation, the managers and the leaders of the business
organization provide tastes and priorities to attain quick and significant improvements
(Prochaska, Redding & Evers, 2015).. On the other hand, Cheryl Hailstrom only emphasized on
the speed of change, reduction of costs and increase in profit without proper implementation of
change management strategies. She has taken decision and gone ahead all at once without a step
by step approach. Moreover, she lacked proper support from the internal stakeholders of the