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ORGANISATIONAL CHANGE MANAGEMENT.

   

Added on  2022-12-30

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Business DevelopmentLeadership Management
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Running Head: ORGANISATIONAL CHANGE MANAGEMENT
ORGANISATIONAL CHANGE MANAGEMENT
Name of the Student:
Name of University:
Author Note:
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Answer 1
The organisational change in Lakeland Wonders is one of the leading wooden toys
manufacturing in Untied States. The change in the management also creates new vision and
demands for the organisation in terms of procuring aggressiveness in sales growth. The new
CEO of the organisation Cheryl Hailstrom is trying to penetrate into the midmarket by
manufacturing new and innovative products (McNult, 2002). Therefore, the Bull’s Eye contract
is very significant for the success of the organisation and Cheryl is willing to penetrate into the
midmarket with the help of this contract. There are both the internal and the external factors that
push Cheryl to opt for such a change. As far as the case study is concerned, it can be stated that
the internal factor of procuring a change is the pressure from the shareholders or the governance
board to increase the profit in a sporadic manner. For instance, one of the shareholders, Hastings,
Curtiss is highly aspiring to pursuit relentless growth. Therefore, it is important for Cheryl as the
CEO of Lakeland to take responsibility to increase the growth of the company so that it will meet
the interests of the shareholders.
On the other hand, there are also external factors that influence Cheryl in a great scale to
put great deal of focus on the change in business activities. Competitive market is the most
crucial external factor that compels Cheryl to initiate measure to incorporate the midmarket in
the potential target customers’ base (McNulty, 2002). As a result of that it will provide a
strategic advantage for Lakeland to safeguard its business in the competitive market successfully.
However, the high end pricing of products seems to be a great challenge for Cheryl to attract the
midmarket. Therefore, she proposed for offshoring manufacturing. The potential location is
China. According to Johansson and Olhager (2018) the offshoring manufacturing is very
advantageous for the business companies and it offers a two end advantages for the enterprises.
In one hand, the production cost of the companies can be reduced to a great scale. On the other
hand, the sales growth can be increased to a great scale because the affordability of the product
to the midmarket customers.
The internal pressure from the shareholders is also associated with the leadership quality
of Cheryl that leads to a highly aspiring nature of CEO to achieve success soon. As per the
research of Dunne et al. (2016) it can be stated that leadership is the most important aspect for
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the business organisation to get a vision and mission towards safeguarding the future of the
organisation. In this regard, the leader is responsible to motivate and push the entire workforce to
achieve the stated objectives (Davenport & Ronanki, 2018). Therefore, the role of the leader and
his or her vision matters the most for the success of an organisation. In the context of the case
study, it can be seen that the leadership quality of Cheryl is dynamic and she is always looking
for the opportunity to exploit the market trend at its highest form. Therefore, change in the
organisational vision can also be highlighted in the context of Lakeland Wonders.
Answer 2
Georgalis et al. (2015) pointed out that there are two different approaches of
organisational change that the business organisations can follow in course of initiating change.
The approaches of organisational are theory E and theory O. For Lakeland Wonders, the change
approach can be associated with the dimension of Theory E. There are plenty of aspects that
approve the type of organisational change Cheryl is focused. There are five dimensions can be
discussed such as goals, leadership, focus, process and use of consultants. In theory E, the goal
of the organisation is vested on the practice of maximising the shareholders’ value rather than
putting emphasis on the organisational capabilities suggested by theory O. Ceulemans, Lozano
and Alonso-Almeida (2015) opined that the meaning of putting emphasis on the shareholders’
value is identified as setting the objectives of the change initiative on the basis of the expectation
of the shareholders. Therefore, important change in the leadership quality is also identified with a
top down approach. For Cheryl, the interests of Hastings, Curtiss to get maximum profit from the
organisational growth is identified as one of the essential aspect (McNulty, 2002). Henceforth,
the decision making of Lakeland Wonders is entirely depended on the final decision of Cheryl.
Apart from that the focus of the leader or the organisation is also played significant role
in order to make the change a success. For Theory E, it is important to focus on the structure and
the systems that support the change. The meaning of structure and system is resembled with
different teams that are involved in the change management process (Merritt Jones, 2014).
Therefore, for Cheryl it becomes very important to create a team that is highly focused on the
suggested change. In addition with this, Day, Crown and Ivany (2017) stated that the theory of E
also emphasised on the plan and programs for the change. It portrays a planned measure that the
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organisations are using in course of making better change management practice. Cheryl also tries
to make a workforce that will help to plan programs or steps for the changed process. In response
to this, the case study suggests that the team meeting has great deal of importance in the changed
plan of Cheryl where she is trying to develop a team with potential ability to bring the dream
comes true. As a result of that the adopted change approach of Cheryl Hailstrom is strictly
followed the process of delivering a clear example of the theory of E.
There is also another significant aspect of the theory of E in change approach that
symbolises the use of consultants. From the research of Nordin and Deros (2017) it is confirmed
that while planning for a change in the organisational activities, it is a common practice for the
management to use external experts or relying on the organisational resources so that it will be
effective for initiating the change practice within the organisation. However, for the theory E it
can be stated that the organisation intends to focus on the external assistance in course of making
the change a success. Therefore, Cheryl also did the same thing by recruiting Cecil Flemming as
the new product developer. Therefore, the change management practice is definitely followed the
Theory E of the change approach.
Answer 3
There are definitely a number of gaps that the change management plan of Cheryl is
facing in course of convincing the subordinates or the board. First of all, it can be stated that the
shareholders’ value is not the ultimate one that an organisation should consider. There are also
the capabilities of the organisation or the workforce that is also determined the efficacy of the
change in process (Brighton, 2018). Cacciolatti and Lee (2016) pointed out that the
organisational capabilities are played significantly important in course of organisational change
because all the efforts and activities are vested on the workforce so that their efficiency and skills
are also considered to be pivotal for the business enterprise. However, in case of Lakeland
Wonders, the new CEO Cheryl Hailstrom does not try to understand the ability or scope of the
workforce to achieve the change (McNulty, 2002). She is always supporting the outsourcing of
manufacture. As a result of that it becomes a problem for the Senior Vice President of the
company, Mark Dawson to convince her about the risk of workforce in introducing the
outsourcing of manufacturing. All the misunderstanding and clash of interests that is fermented
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