Strategic Change Management Report: Barclays Bank Case Study

This report provides a detailed analysis of strategic change management within Barclays Bank. It begins with an introduction to strategic change and its importance, followed by an overview of Barclays Bank's background. The report then delves into various models of strategic change, including Lewin's and Kotter's models, and discusses their relevance to Barclays Bank. It also explores strategic intervention techniques and examines the need for strategic change, the factors driving it, and the resource implications of not responding to change. Furthermore, the report develops strategies for involving stakeholders in the planning process, change management strategies, and methods for overcoming resistance. Finally, it develops appropriate models for change and plans for their implementation, including measures to monitor progress, culminating in recommendations and conclusions.

Strategic change
management

Table of Contents
INTRODUCTION...........................................................................................................................3
INTRODUCTION OF THE BARCLAYS BANK..........................................................................3
1.1 Discuss models of strategic change .................................................................................5
1.2 Relevance of models in an Barclays bank ......................................................................7
1.3 Strategic intervention techniques in Barclays bank .........................................................7
2.1 Examine the need for strategic change in an organization...............................................9
2.2 Factors that drive need for strategic change ..................................................................10
2.3 Resource implications of the organization not responding to the strategic change.......11
3.1 Develop system to involve stack-holders in the planning for change............................11
3.2 Develop Change management strategies with stockholders..........................................12
3.3 Evaluate the system used to involve stack-holders in the planning of change. .............13
3.4 Devise strategies to overcome resistance.......................................................................13
4.1 Develop appropriate models for change.........................................................................13
4.2 Plan to implantation a model for change .......................................................................14
4.3 Develop appropriate measure to monitor progress ........................................................15
CONCLUSION ........................................................................................................................15
RECOMMENDATION.................................................................................................................16
REFERENCES .............................................................................................................................18

INTRODUCTION
Strategic change management is required for each and every firm for smooth operation of
the business. Strategic change management is required for a organization to prepare a strategy
for its development. Changes are made in an organization to achieve organizational goal. In
today's world where companies are shifting from offline to online, it needs to prepare strategy to
compete with their competitors in a market. When a company launches new product in a market
they need to prepare a plan and strategy to achieve the objectives of business. The changes in an
organization is required when customers changes their preference towards a product. This report
is going to discuss how Barclays bank prepare its strategy for change management. Bank need
to prepare different management models and use those models in working of a business. This
report shows requirement of change in Barclays bank and different factors that can influence
those changes. In this report, how a stakeholder will plan for change in a business. Report also
includes change models that are used for success of business and monitor its progress.
INTRODUCTION OF THE BARCLAYS BANK.
Barclays is one of the multinational and biggest bank of the United kingdom.
Headquarter of bank is situated in London. It provide financial services and an investment bank.
Bank was established in 1690 in the city of London. Barclays have over 4750 branches all over
the world and out of which 3000 is outside UK. Barclays is the first bank in UK to appoint Hilda
Harding in may 1958. Barclays launched a credit card in UK and it was the first bank to launch
the credit cards in UK. Barclays's ATM are available for the customers 24/7 and customers of the
other banks can also use the facilities of ATM without paying any extra charges (Goetsch and
Davis, 2014.). Barclays sponsored different types of sports leagues like Churchill cup, football
league, tennis championship. Bank provide facilities like personal banking, corporate banking,
investment banking, wealth management. Bank provide various career opportunities for the
youngsters to get job in banking sector. It provide its online banking facilities with help of
which customer can access to bank facilities easily anytime and anywhere. Bank provide better
interest rates on its banking facilities which helps them to engage more customers with bank.
Bank provide facilities to customers like no minimum balance or maintenance fees charged. It
provides facilities like online savings account, credit cards, debit cards, personal loans. Bank
have more than 85,000 employees working with it. Its revenue is around 21.136 billion in 2018,
and operating income is 3.494 billion, with net income of 2.372 million, and total assets of 1.133

trillion. Bank provide its services from around 329 years and expanding its business day by day.
In 1965, Barclays establish its bank in US San Francisco.
In 2001, Bank closed around its 171 branches in UK. In 2007, Barclays borrow around 1.6
billion from the bank of England because they have to pay all of its debts. Bank raised around 10
billion from the investors. In 2008, Barclays purchased the Lehman brothers for around 1.35
billion also hire 9000 employees of the Lehman bank. In 2009 British government wants to
invest 40 billion in Barclays bank but they rejected the offer rather than that Barclays want to
increase their capital by 4.5 billion.
Barclays background to change
Barclays is one of the leading bank in United kingdom. To maintain its brand image it
have to introduce some new policies and plans for success of business. Bank need to introduce
and develop new ATM in different areas to expand its growth in the business and provide
facilities for their customers. To provide facilities and solve the problems of customers, Bank
find new sponsors and partners in different territories to increase its reach (Aiken and Keller.,
2009.) . Each and every part or department of Bank work together to provide customers with best
offers. Barclays transform its services in different ways to attract clients towards their business.
Bank can innovate online services which helps customers to reach their account anytime. It helps
to reduce the work load and record the transactions from the customers(Tichy., 1983. ). Barclays
can invent security system for bank to protect interest of their customers. Provide low interest
rate on the loans and saving accounts. Easy education loans are provided to students with
minimum or no interest rates. Facilities provided to employees of bank like zero interest rate
loans, or provide higher interest rates on the saving bank accounts of employees. The bank can
provide new opportunities like vacancies for new employees that helps to connect new talent in
the organization on the basis of skills and abilities.
1.1 Discuss models of strategic change
The change in each and every organization is necessary for its long term growth in the
market. Information technology and digitalization is important for Barclays bank to become a
successful business in a market.
Lewin's Change model
Unfreezing

Barclays bank need to know that new technology and moving business online is required
for smooth functioning of the bank. It needs to analyze its recent operating system and stop all
existing system for development of new technology. Bank needs to know that recent operations
are not able to convince clients and develop their business(Sminia, H. and Van Nistelrooij, A., 2006.)
. Bank need to move its business online to provide better facilities to customers and maintain
easy and efficient work in the business. Bank needs to introduce new technology to their
employees and change their attitudes and behavior towards new system. IT is important for
Barclays bank to transfer information among its branches and to communicate with employees
and customers.
Change
After Unfreezing, customers and employees will get to know about the importance of
change. Employees of Barclays bank will create a new way to solve their issues and accept ways
of IT. Employees accept the new ways of IT because they know it is important for the
development of business. Employees and customers take time to understand IT technology and
when they understand they participate in it effectively. Customers need to understand the
importance of online banking because it will help them in online transaction.
Refreeze
Bank begin to construct their shape according to the new plan. Employees are becoming
familiar to new policies and trends of the business and they know their job description. Changes
are adopted by employees and applied on day to day activities of the business.
Kotter's model
Kotter's model shows how a bank will conduct its marketing management on the basis of target
market and customers.
Increase urgency
Barclays bank need to know the urgency of new technology. Managers examine the
opportunities which help them to achieve their goals. IT is urgent requirement of a business and
manager needs to encourage its employees to be part of their new plans.
Forming powerful guiding coalitions
Bank's management needs to form an effective team for the success of their business. The
Barclays bank need to prepare an effective team on skills and abilities of employees relevant to
IT sector and prepare a plan according to the skills.

Developing vision and a strategy
The bank needs to know their vision for the success of business they have to know the
requirement of changes in an organization to achieve goals(Wiersema and Bantel., 1992.). Manager
of bank needs to prepare strategy to achieve vision of the business.
Communicating vision
Bank need to achieve their vision. They have to communicate their vision with
employees for development of organization and connecting it with online sector and prepare the
information technology in the business. .
Removing obstacles
Manager of bank needs to know the problem in implementing new technology in
business. The bank needs to know about their employees who are not ready to relate with the
changes and take the necessary action against those employees.
Creating short term wins
Barclays bank's manager need to concentrate over small wins which helps them to know
the effectiveness of their plan in near future. Bank needs to appreciate those employees who
work effectively to achieve those small goals.
Consolidating gains
Barclays bank's manager need to prepare their employees for continuous win over the
new technology. By analyzing their recent work towards the development of the business..
Anchoring change in corporate culture
Bank needs to know that changes are important part of their business. Each and every
employee will need to know the importance of information technology in the business.
1.2 Relevance of models in an Barclays bank
Barclays bank has to prepare the structure for their new plan according to the
requirement(Lines*., 2004.) . They have to prepare structure to implement the information
technology in business. Bank needs to know its system's ability to adopt information technology
and day to day activities of employees of the bank. The bank needs to prepare the model for
their new plan that they are going to implement in the business(Baker., 2007). The bank need to
prepare the style of their manager and employees to improve the performance of bank. The staff
shows the employees available to Barclays bank to perform the activities of the business and
their capabilities to adopt the changes. The skills show some important features and abilities in

their employees in development of the new technology in the business. The strategy is a plan of
the bank to achieve the success in the business. The strategy shows bank how to implement
information technology in the business.
Strategic change helps Barclays bank to develop the plan for their business and develop
an effective strategy for the success of business. The strategic models of k otter's and lewin's
model help Barclays bank to strategies on the other activities of the business. Different parts of
the business are required to develop an effective strategy for the success of the business. The
development of Barclays bank depend on the goals of the organization.
1.3 Strategic intervention techniques in Barclays bank
Strategic Intervention
Strategic intervention technique is used to effect firm's strategy, structure, culture and
environment of the business. Strategic intervention in Barclays bank is done to transform the
current process of the company.
Creativity
Creativity shows the ability of employees of the Barclays bank to develop an idea to
develop information technology in business(Bruch., and et.al., 2005.) . employees needs to be
creative and combine different ideas and sources for the success of business and adapt change in
the bank.
Innovation
The employees and the Barclays bank is able to create plan and make it a successful plan
by turning the plan and use it in the operation of the business.
Easy availability of resources
The bank's manager needs to know the ability of employees and available resources in the
bank that are used in the preparing the plans for the business.
Organic structure
The organic structure helps the bank to innovate business properly with fewer efforts.
And helps business to specialized in their business.
Techno structural intervention

In this technique, manager of the bank will collect the information about current policies
and technologies of the bank. With help of existing technologies, they will create new strategy to
develop new technology in the business.
Human resource management interventions
Performance of bank is largely depends upon the efficiency of its employees. The
managers need to improve the performance of their employees in organization to develop the
new technology in the business(Cho and Hambrick., 2006.) . Human resource shows the abilities of
the employees towards the work.
Goal setting
Management needs to set goal for their business and hire the employees according to the
set goals. The employee's skills and abilities are able to relate with the goal of the bank. The goal
is set to improve the performance of the bank. The Barclays bank want to introduce information
technology in the business and the employees must be effective to achieve the goal.
Performance appraisal
The performance appraisal is one of the important technique for a bank to develop a
business. The bank needs to always praise the performance or work done by the employees and
provide remuneration to them for their work.
Reward system
The bank needs to reward the effective employees who works with full efficiency. The
reward to employees is required to motivate the employees towards the bank. The reward to the
employees is required to bring a change in the bank.
Career planning & development
The bank needs to help employees to prepare the career planning them and development
of the employees in the bank. The career planning of employees is required for bank because the
development of the employees helps bank to introduce the new changes in the bank.
Coaching and counseling activities
The bank needs to teach their employees by providing coaching to them and helps them
to understand the new technologies of the business(Higgins and Mcallaster., 2004.) . Counseling
activities are provided to employees by the bank. The bank needs to prepare the classes to teach
their employees about the new technologies.
Managing work force diversity

The bank needs to manage their work to improve the work quality for their business. The
bank manages the employees and put them on effective working of the bank. Diversifying the
employees helps the bank to generate more revenue for bank.
2.1 Examine need for strategic change in an organization
Need for change
Due to increase in the technologies in the banking sector. Barclays bank needs to
introduce new technologies in their business (Belmonte and Murray., 1993.) . Each and every
business needs to develop policies and new plans for success of their business.
How to change
Barclays bank need to shift their business offline to online for success. Banking sector is
expanding day by day bank needs to provide their services to customers online so that the
customers can easily access their accounts 24/7 anytime anywhere. Online system reduces work
load over the employees.
Introduce IT
Information technology is useful nowadays for each and every business. This technology
helps banks to communicate with other departments. IT helps bank to store important
information about the bank and customers of the bank. Provide security to accounts of the
customers.
To compete with competitors
Banking sector is developing day by day. Barclays bank needs to prepare a strategy for
competing with their customers. Barclays bank innovate new policies and trends towards the
success of business(Bordum., 2010.) . Competitors are developing their business online and
Barclays bank need to develop their banking strategy for development of their bank in online
sector.
Block chain technology
Barclays bank can innovate block chain technology in its business. This technology is
quite complex for a business but helps Barclays bank to perform functions like transparency,
security, unhackability, Disinter mediation, automation of business.
2.2 Factors that drive need for strategic change
Political factor

Barclays going to develop a new branch in a new territory then they have to know
government intervention and tax rates on banking sector, corruption, labour laws, Infrastructure
development of nation this all political factors help bank to prepare a strategy and prepare a plan
to develop their business in a new territory.
Economic factors
Economic factors of bank is required to analyze to know efficiency of the economy of t
territory. Economic growth rate, exchange rates are to be analyzed by the bank. Bank need to
analyze purchasing power of the consumer to know customers are able to open account in their
bank. The customers' ability to take loans from bank.
Social factors
Bank needs to analyze customers, values and demographics of the territory. Culture is
important for bank because people in rural areas are not familiar to deposit amount in bank
accounts they keep their money at their houses. Bank needs to analyze the safety emphasis for
the development of the business.
Technological factors
The Barclays bank needs to analyze the technology in the territory where bank is going to
operate their business. The technological changes and the ability of the business to adopt those
changes(Bordum., 2010.) . The technology is important for the business to analyze the
infrastructure of the territory.
Environmental factors
The environmental factors help a business to analyze climate, weather of the territory.
The environmental factors are needed to analyze the effectiveness of a business to cope up with
the changes.
Legal factors
The legal factors show the patent laws safety laws' health laws of business towards the
employees of the bank. The Barclays bank is going to shift their branch in a new territory then
they have tom know the policies related to customers welfare.
2.3 Resource implications of the organization not responding to the strategic change.
The Barclasy bank is one of the leading banks in U.K. The following implications can be applied
to the company.
Human and physical resource

For bringing development in the organization, the barclays bank needs to prepare their
human resource of the organization to develop the objectives of their business. The human
resource and employees needs to be trained effectively for the success of the organization. Train
employees towards the changes and hire the effective employees for the success of the
organization.
Financial resources
If the economical changes occurs in Barclays bank then it will become tough for them to
manage their financial resources. The financial resources of the organization plays an impact
over the success of the business. The financial resources needs to be manage effectively and
according to economy change rate.
3.1 Develop system to involve stack-holders in planning for change
A main purpose of the Barclays bank is to involve stakeholder in change management
they should involved employees, leaders and managers in a planning process For exaltation of
Co- creating engagement in dialogue and development of a joint scenario analysis employees
involvement is necessary for them because without involution of stakeholder they cannot bring
change. They need Support from shareholders (Artto and et.al., 2016). stack-holders can be
helpful in decision making. It is important for them to get support from thir stakeholders during
change . Mangers , government ,employees and management have impotent role in the change.
Stakeholders map
Satisfy – Those stack-holders do not have a lot of interest in business and they don't
even engaged with projects of Barclays but they play important role in a change and they are
highly influence with a bank (De Klerk And et.al., 2018). Government considered their
objective and keep satisfy to insure Barclays and they remain their strong advocates to getting
them other side poses a risk.
Mange – senior mangers and sponsors play important role as a stack holders and they
have high interest and influence in this company. They are key stack-holders of Barclays's and
they have to much interest in the outcomes of this company (Payne and Calton., 2017). It is
important for this bank to build a good relationship with them and ensure them in engaging and
decision making. This stakeholders are investors of company.

\ Monitor – this type of stakeholders do not have that much interest and their influence is
very low those stockholders only sit on the periphery of projects (Artto and et.al., 2016). They
only monitor their activities from timely just to stay on top of their investment. Their reverence
can change over the time and it is important for this company to communicate with them and
keep them involve in activities of Barclays's
Inform- In This category of shareholder have very low influence but high interest in
investment. But they got very low power to influence in any company. Barclays should
appreciate their needs and inform them to ensure their continuous support. These stockholder are
members of a community and media outlets.
3.2 Develop Change management strategies with stockholders
Propose Incentive – Barclays should assume their employees and give extra incentive to
their workers so they can motivated and help them in the change. And incentive will encourage
employees to accept changes and directions of the company (De Klerk And et.al., 2018).
Reward will motivate them and they will understand needs of change in the bank and they
will support Barclays in their decision making.
Redefine cultural Value- Change management strategies are based on their assumption
and people as a social being and want to fit in with the cultural norms and values.
3.3 Evaluate system used to involve stack-holders in a planning of change.
Mangers of the Barclays's should give bonus to their employees because during change
they can deny changes in the company and it is important for Barclays that their employees
accept changes and support them for this change. Employees play valuable role in company.
Superiors should give them support financially and mentally so they can give support for
changes. With a change they should make better environment for work. Employees can take
some time to accept those changes and it is important for Barclays to understand their employees
and give them a better environment for work. Management of Barclays should provide training
programs for their employees, this will help workers to develop skills in themselves so they can
do their task in effective ways (McQuail and Windahl., 2015). This all recommendation of new
strategies can be helpful for this company to Implement change effectively.