Strategic Leadership & Organizational Change

This assignment delves into the crucial role of strategic leadership in driving organizational change. It examines the core competencies required of strategic leaders, the influence of organizational culture on leadership development, and various approaches to managing resistance during change initiatives. The analysis incorporates theoretical frameworks like the Action-Centered Model, the Leadership Continuum, and Beckhard's Change Equation, alongside empirical evidence from scholarly articles and online sources.

Strategic
leadership

TABLE OF CONTENTS
Introduction................................................................................................................................4
TASK 1......................................................................................................................................4
AC 2.1 Evaluation of relationship between leadership and strategic management...............4
TASK 2......................................................................................................................................6
AC 1.1 Analysis of impact of values and culture of company on strategic leadership.........6
TASK 3......................................................................................................................................7
AC 1.2 Impact of regulatory, legal and specific requirements of leadership demands.........7
TASK 4......................................................................................................................................8
AC 1.3 Evaluation of current and emerging social concerns................................................8
AC 2.2 Implication of Leadership styles and their evaluation..............................................9
AC 2.3 Reasons for adoption of leadership styles...............................................................11
AC 2.4 Impact of leadership styles on a company..............................................................12
TASK 6....................................................................................................................................12
AC 3.1 Evaluation of two leadership strategies..................................................................12
AC 3.2 Situational variables that make changes in the leadership strategy........................13
AC 3.3 Analysis of leadership strategy...............................................................................16
Conclusion................................................................................................................................17
References................................................................................................................................18

Illustration Index
Illustration 1: Organisation culture.............................................................................................6
Illustration 2: Action-centred Model..........................................................................................9
Illustration 3: Leadership Continuum.......................................................................................10
Illustration 4: Resistance to change..........................................................................................13
Illustration 5: Approaches to overcome resistances.................................................................14
Illustration 6: Change Equation................................................................................................15

INTRODUCTION
Looking at the current scenario of competitive global marketplace, it has become
requisite for entities to identify strategic goals and objectives and make significant efforts to
attain that. Strategic leadership is the process which determines the potential of a manager to
create a strategic vision and make significant efforts to persuade or motivate employees to
acquire common set of objectives. The current report hereby provide its valuable insight over
relationship between strategic management responsibilities and leadership along with impact
of internal and external culture on leadership demands of Cath Kidston Limited, which is an
international chain of home furnishing retail stores Moreover, the senior manager of the
company is requisite to adopt effective leadership strategy by implementing the theories and
styles.
TASK 1
AC 2.1 Evaluation of relationship between leadership and strategic management
In accordance to the current scenario, Cath Kidston Ltd is specialised in selling flower
print hand-embroidered tea-towels, bags, accessories and furniture and it is continuously
looking forward to grow its global footprint (Ang and Van Dyne, 2015). To attain
competitive advantage, its senior manager is required to form right strategic plan according to
internal work culture and external influences. Strategic Management is defined as a
procedure of formation and implementation of right decisions which are taken by assessing
impact of internal and external environment so that competitive advantage can be sustained in
the global marketplace. On the other hand, strategic leadership is the point of view and
perceptions of a leader or manager for formulating and designing an effective strategy to
achieve organisational goals and objectives (Carmeli, Tishler and Edmondson, 2012). The
senior manager of the Cath Kidston is required to recognise its responsibilities to tackle the
activities, such as organising, planning, evaluating and encouraging employees for effective
decision making process.
However, conflicts may also arise in the workplace of Cath Kidston while managing
and directing several activities. Usually, it arises from differences among employees in
different situation which is why, it is requisite to get interact with each others. In the above
cited corporation, conflicts may also arise due to vague communication among employees as
a result of which. immense competition for resources will riser and they will feel the sense of
dissatisfaction. By taking the illustrations from Cath Kidston Ltd. Senior manager can adopt
following models:

Situational leadership: The senior manager of Cath Kidston can adopt this kind of flexible
leadership which is adopted according to needs and requirements of the firm. There are
various models which can be adopted in strategic leadership of Cath Kidston: Emotional Intelligence theory: Danial Goleman has defined six different situational
leadership styles which can be followed by the Cath Kidston in various
circumstances:◦ Democratic leaders: These leaders give opportunities to followers to make
decisions in all situations. In optimal conditions, it can build responsibilities
within the teams of Cath Kidston. However, it is time consuming and due to this it
is rarely preferred.◦ Coaching leaders: If employees of Cath Kidston lack work-based and personal
development skills then, coaching leaders can assist them to grow.◦ Pacesetting leaders: This kind of leaders set examples to train employees who are
highly self-motivated and self-starters.◦ Affiliative leaders: Some employees who have low morale and motivation level
are needed to boost up which h will be done by Affiliative leaders. These leaders
always put their employees first and ask them to involve in the decision making
process.◦ Coercive leaders: The home furnishing retailer is also required to develop a
leadership strategy which will set clear vision and able to direct others to reach
organisational purpose goals (Goetsch and Davis, 2014).
◦ Authoritative leaders: In situations like increasing turnover and negative impact of
internal and external environment, these leaders can lead the Cath Kidston and
analyse the situations. Situational leadership of Blanchard and Hersey: This is performance based model
which includes four types of leaders;◦ Telling leaders closely supervise the actions of team members and make decisions
for them.◦ Selling: They are responsible to develop specific objectives for their followers and
provide them with suggestions on any an issue faced by them.

◦ Participating: Leaders allow their followers to participate in the decision making
process.
◦ Delegating leaders: They provide minimum guidance to team members of the
Cath Kidston and allow them to solve their problems.
 Transactional leadership: These leaders particularly exert their concern over results,
measures success and conforms the existing organisational structure of Cath Kidston.
The transactional leader of the company will manage individual performance so that
improvements can be made.
Thus, senior manager of the firm is required to adopt these models to strategically
maintain the competitive position in the global marketplace.
TASK 2
AC 1.1 Analysis of impact of values and culture of company on strategic leadership
Organisational culture is phenomenal aspect which comprises of stable beliefs, shared
values, attitudes that are held among members of an organisation (House, R. J, et.al., 2013).
A company's competitive advantage and growth is associated with the kind of culture and
structure it posses. The managers and leaders of Cath Kidston should be aware of the fact that
competitive performance outcomes can obtain mutual assistance, knowledge sharing and
collaborative efforts of team members. Here, senior manager of the above cited retail chain
should implement positive and healthy work culture, the below diagram specifies the
contributions of leaders in a strategic manner:

The above figure depicts the role of strategic leader in a business enterprise. A
positive organisational culture will highly influence the working activities of employees, their
behaviour and performance. With the ease of effective culture, strong communication system,
decision making process and cooperation of employees can attained. Moreover, a clear aim
and objective can be achieved. However, if a corporate culture becomes weakness then it may
obstruct the implementation of strategies developed by senior manager of the Cat Kidston.
Thus, an organisation culture enable the senior manager of company to perform varieties of
functions, like enhancement of social stability, controlling mechanism, development of
behaviour and attitudes of employees to hold entire firm together.
TASK 3
AC 1.2 Impact of regulatory, legal and specific requirements of leadership demands
Leadership is not a barely managing action; it is a huge responsibility of a leader to
create opinions and attitudes for aligning effective decisions. Leadership has crucial element-
credibility and responsibility which need to be ethically followed. In decision making
process, it is required by the senior manager of Cath Kidston to legally comply with all
legislations and laws (Kriger and Zhovtobryukh, 2013). In relation to this function, he/she
need to adhere by the employment law for the sake of employees. A manager of the company
needs to have an understanding of difference between regulatory and generic legal demands
Illustration 1: Organisation culture
Source: Impact of Organisational Culture on StrategicLeadership
Development with Special Reference toNalco, 2015

of employees. In the Cath Kidston, a leader must be concern about needs and demands of
employees, their health and safety measurements; laws and acts must be imposed against any
kind of discrimination occur in the workplace. He/she is responsible introduce motivation
practices for employees so that they can encouraged to work hard and perform well.
Moreover, they should be provided with minimum salary or wage according to their
performance. Thus, a manager has huge responsibilities to fulfil the specific demands of
employees Cath Kidston.
TASK 4
AC 1.3 Evaluation of current and emerging social concerns
Cath Kidston is facing lots of challenges in the development of expansion and growth
plan. There are many internal and external factors which can affect business operation of
company; some of them are discussed below:
 Political factors: Recently, Cath Kidston is looking forward to establish its business
into Japanese market and mark its footprint (Cooper, 2014). While entering into the
emerging marketplace, the company have to face various restrictive laws, cost
structures and real state laws. Thus, it is the responsibility of senior manager of the
firm to examine the positive and negative impact of aforesaid elements and make
adequate strategies.
 Social factors: There are also some social factors like, changing demands and
preferences of customers for subtly different products. So, it is imperative for the
senior manager of the firm to take right steps. Decisions which are taken strategically
entail the considerable risks in the international markets, because changing mindset of
customers towards the accessories, fashion, bags, home ware and other items of Cath
Kidston may affect its profitability and sustainability, which is why it has become
incumbent to take best course of action.
 Increasing competitive rivalries: In the realm of immense competition, it is
necessary for the senior manager of company to apply effective decision making
process to mitigate risks (Cooper, 2014). The UAE retail market has attractive
retailers which are showing their keen interest to take slice of customer base.
Moreover, international brands of UK such as M&S, Clarks, H&M are quickly keen
to seize the opportunities. Hence, it is the responsibility of senior manager of Cath
Kidston to evolve strategic leadership skills among employees and make them learn to

harness their innovative power in the development of new products to grab attention
of customers.
 Product development: It is also a major social concern which needs to be taken into
consideration. The team of Cath Kidston is making collaborative efforts to design new
fashion products such as Pooh or Disney-themed items. By recognizing the choices of
kids and women, the senior manager of the company should approach quality and
artistry which can be done by involving high-skilled and talented manpower.
AC 2.2 Implication of Leadership styles and their evaluation
It is the responsibility of the senior manager of Cath Kidston to allocate all resources
and people with the influence of effective management; by implication of various leadership
styles these resources can be directed and guided effectively (Williams and Johnson, 2013).
In addition to this, when great leadership styles get aligned with effective management, then
it becomes easy for teh managers to allocate and utilize resources according to business
needs. Transformational leadership: This style focused on the set assumptions according to
which employees of Cath Kidston can be motivated and encouraged. The senior
manager of the company should adopt transformational leadership to develop cultural
adaptability within the workplace and specific vision to achieve desired goals and
objectives.
 Action-centred leadership: John Adair has designed this model of leadership which
centred around three needs, first is task needs that constituent of setting objectives,
planning tasks and allocation of resources; second is individual needs which focus on
act of motivating, counselling, coaching and counselling and third one is group needs
that involves discipline, team building and communication strategy (Kriger and
Zhovtobryukh, 2013.). The manager of Cath Kidston is requisite to achieve these
major objectives in a specific time period.

 Leadership continuum: Tannenbaum and Schmidt suggested a model of Leadership
Continuum which depicts the relationship between the extent of freedom provided to
team and use of authority by leaders or managers of business enterprise (Meng, 2012).
Cath Kidston need to emphasis on the qualities in managers, subordinates and
situation which can cater assistance in development of business needs.
Illustration 2: Action-centred Model
Source: Kaplan Financial Knowledge Bank. 2012

AC 2.3 Reasons for adoption of leadership styles
By adopting above stated leadership styles, especially Leadership Continuum, senior
manager of the Cath Kidston will be able to develop adequate leadership among its
workforces by realising their potentials and capabilities. This model also provides broad
range of opportunities for employees to involve in the decision making process so that
innovative and creative products of Cath Kidston can be designed (Wang, Waldman and
Zhang, 2012). Moreover, this model also makes significant contribution in employee
development along with their empowerment. It also assists the company to develop criteria
for delegation and involvement in the formation and implementation of strategies.
In addition to this, Adair's action-centred model enables the senior manager of firm to
set performance standards and objectives to gain sustainability and competitive advantage in
the global marketplace. On the other hand, transformational leaders will be able to change the
team structure and culture of the organisation so that company can move in new direction.
Along with this, leaders of the retail chain will be able to create a specific vision and mission
and render their contribution to attain success. Under the leadership of transformational
leaders, employee will be able to get motivated and also their morale will increase. They get
an inspiration to perform well and achieve desired goals. Thus, it is required to adopt
Illustration 3: Leadership Continuum
Source: Summary of the Leadership Continuum. 2016

different leadership styles in different cases so that company will able to attain success and
growth. Teams of Cath Kidston can have better decision making power, they can able to
understand the deal with different situations arises from micro and macro environment and
apply appropriate techniques and skills accordingly.
AC 2.4 Impact of leadership styles on a company
Cath Kidston Ltd.'s mission and vision should be made in such a way that
organisational purposes goals and objectives can be attained in a significant manner. There
will great influence of above stated leadership styles on the business activities and operations
of the company. Moreover, employees' mind-set also get changed and they will be able to
perform well and attain organisational purpose goals (Simsek, et.al., 2015). With the
assistance of Action-centred leadership, the senior manager of the Cath Kidston enabled to
clarify the purposes of strategic management as he/she can develop an understanding of the
cooperation and collaboration among team members. Moreover, team spirit can be achieved
by focusing on the needs of groups, individuals and tasks assigned.
With the implication of transformational leadership style within the workplace of
Cath Kidston, new theories and models can be adopted according to the changing market and
fashion trends. In order to achieve success and growth in the emerging marketplace, like
India, China, new strategies and tactics will be developed to enhance the customer base and
gain competitive advantage. Employees will feel free to communicate new ideas and build
mutual trust among team members. High emotional intelligence will also be attained after
implementing this leadership styles
TASK 6
AC 3.1 Evaluation of two leadership strategies
A leadership strategy can be defined as a process in which a leader identify the
development needs along with the skills, behaviours potentialities that need to be possessed
to effectively aligned with goals and objectives of a firm with leadership vision and
development plans for sustainment and maintenance of strategies (Olie, van Iterson and
Simsek, 2012). The senior manager of the Cath Kidston is responsible to make explicit
leadership strategy to determine the kind of skills, number of leaders along with qualities and
behaviour which enable the company to achieve success and growth. Leadership strategies
are made by evaluating the current situation of company; there are many theories which can
be adopted by the senior manger of Cat Kidston to deal with internal and external forces of
competitive industry. Some of these are stated below:

 Trait Theory: In relation to this theory, leaders posses common personality traits,
like empathy, good decision making and assertiveness and many more qualities on the
basis of which effectiveness of leadership is predicted. Successful leaders provide
right direction and guidance to the team members and assist them to develop team
working skills. In addition to this, with the implication of this theory, senior manager
of Cath Kidston will be able to serve better. The firm will be able to cater high
satisfaction level to employees and as a result of which better performance can be
attained.
 Contingency Theory: Leaders hereby try to lead the followers in accordance to
different situations (Schoemaker, Krupp and Howland, 2013). This theory assists the
leader of Cath Kidston to make quick and right decision for the welfare of employees
and organisation itself. For instance, home furnishing company Cath Kidston was
looking up to expand its business in Japan and there are many forces which may act as
hindrance in the growth plan. Thus, it is the responsibility of the leader to make quick
decisions. Contingent theory also addresses the kind of leaders and their
characteristics. Leaders can be people or task oriented in accordance to the business
requirements. Thus, best leadership can be effectively judged by evaluating the steps
taken by leaders in the crucial situations.
AC 3.2 Situational variables that make changes in the leadership strategy
Each business organisation set its efficient competitive level and strategies to acquire
sustainability in the global marketplace. Leadership play vital role in devising corporate
strategies to meet organisational goals and objectives (Rothaermel, 2015). However, there
are various situational changes which may alter the leadership strategy set by an enterprise.
Cath Kidston needs to deal with certain changes which may arise from internal and external
forces. Its senior manager possesses the responsibility to deal with explicit changes in the
business environment (Olie, van Iterson and Simsek, 2012). The company may face
situations whereby its employees and staff-members resist changing their behaviour and
actions, thus it is required to communicate them about the changes.
Resistance to change: There can be many factors which reflect the unwillingness of an
individual to support a desired change in the organization. Some of them are stated as below:

Resistance to change is behaviour or an attitude of a person who is not prepared to
modifications and alterations within the workplace. Kotter and Schlesinger have suggested
some approaches which will help to deal with resistance in an effective manner. These
approaches are: Participation: It is the foremost responsibility of a leader to involve employees in the
decision making process and take their input. With the implication of which
employees feel concerned and are able to sense the extent of raised autonomy. Facilitator and support: Workers are also required to be counselled and provided
guidance timely to overcome their anxieties about changes within the workplace of
Cath Kidston. Education and communication: If workers and staff-members are communicated
about benefits of changes then they would be easily able to accept the changes made
in the workplace. Manipulation and co-optation: The senior manager of Cath Kidston is requisite to
make covert steps to sidestep the probabilities of resistance by manipulating the
information. The disseminated information will be selective and emphasize upon the
significant benefits of changes.
Illustration 4: Resistance to change
Source:Kaplan Financial Knowledge Bank. 2012

 Power/coercion: This is another method to bring changes by making it mandatory.
Moreover, with the legislative support and assistance of the senior authority, these
changes are made within the organization.
 Negotiation: This practice can also be adopted by Cath Kidston to enable some
parties with negative intentions to bargain.
Change Equation: It is one of the powerful change models which is developed by Richard
Beckhard to discuss significant changes that need to make along with their impact. It
comprises of a change equation which can be practised to undergone with the effects of
before and after change.
D = Dissatisfaction with present status
V = Vision for future
F = First, practical steps need to be taken
R = Any element still left which can resist to change
Illustration 5: Approches to overc ome resistances
Sources: Kaplan Financial Knowledge Bank, 2012

Cath Kidston can make significant changes by applying above stated equation. The
team leaders of the firm are requisite to involve all above stated elements into the action plan.
Moreover, in the wake of expansion of business, the senior manager of the company is
required to figure out the reasons for dissatisfaction of current status and also need to
articulate that why employees are not able to adopt changes and strategies made for growth
and development in the competitive marketplace. Moreover, leaders will also be able to
understand their vision in accordance to the changes made.
AC 3.3 Analysis of leadership strategy
Cath Kidston has continuously making efforts to mark its footprint in the emerging
markets with the sales growth of 6%. Therefore, significant changes are required to be made
in the management strategies; also need of efficient team to run the business. The retail
organisation is intended to create its new status and position in the competitive market and
due to which specific aims and objectives need to set. The leaders and managers of the
company will be liable to design a prompt team structure by analyzing the behaviour and
attitudes of employees (Phipps, 2012). Behaviour or trait theory is the best suitable theory of
leadership which depicts that great leader posses enhanced qualities which will highly assist
in the growth of an enterprise. Thus, it is required to adopt this leadership by the senior
manager of the company in its workplace. With the changing demands and needs of
employees in the realm of civilisation, leaders are requisite to develop better understanding,
skills, qualities and traits, which can assist the firm in development and expansion plan. If
Illustration 6: Change Equation
Source: Great Leadership. 2009

leaders possess calibre to train their employees and guide them with their high skill and
knowledge, then workers will also be able to set their target and accomplish tasks at given
time.
CONCLUSION
Leadership and strategic leadership both prospects are vital part for business and
because of this it is important to undertake by leaders. These provide new direction and allow
the senior manager of the Cath Kidston to direct and control the strategic decisions. In the
above study, with the implications of various leadership styles and theories, manager of Cath
Kidston will be able render better results in the expansion process. Moreover, the present unit
also discuss about different change management strategies along with their implications on
the firm. It can also be concluded from the above report that, effective leadership should be
adopted by the leaders according to changing corporation scenario.

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