Domino's Pizza India Limited: Case Study and Recommendations

This document provides a case study on Domino's Pizza India Limited, evaluating the challenges faced by the organization and the impact of leadership during the introduction of changes. It also offers recommendations for effective leadership and strategic transformation.

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BSBLDR801
Lead personal and strategic
transformation
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Assessment Task 2: Project Report
Executive summary
The paper evaluates a case of corporate disaster that happened in Domino’s Pizza India
Limited. The paper produces an evaluation of the whole case in the differentiated aspects
such as Legislation, information and intelligence sources, barriers to the introduction of
changes and impact of role of leadership during the introduction of changes. Along with that,
the paper provides some important recommendations as well.
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Table of Contents
Introduction................................................................................................................................4
Analysis of the firm’s changing environment............................................................................4
Legislation, information and intelligence sources that can be used to evaluate opportunities. .4
Capacity and competence of individuals and groups to respond and contribute to the changes
....................................................................................................................................................5
Barriers to the introduction of changes in the organisation.......................................................5
Impact of role of leadership during the introduction of change.................................................6
Transformational and transactional practices to be undertaken.................................................6
Integration of own emotions with cognitions in leadership.......................................................7
Management of work based relationships..................................................................................7
Evaluation, monitoring and regulation of personal leadership style, disruptive emotions and
impulses......................................................................................................................................7
Recommendation and implementation.......................................................................................8
References................................................................................................................................10
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Introduction
The paper is focused in the elaboration of the case of the Domino’s Pizza India
Limited. The paper produces the context of the series of events that happened inside the
organization starting from the placement of the new CEO in the form of Pavan Bhatia, the
decision making regarding the conduction of the construction of the new outlets through the
real estate consultations, the improper selection of the destinations for the outlets and the
financial crisis that he organization had to face as a consequences of that.
Analysis of the firm’s changing environment
One of the renowned brand in the pizza making industry, Domino’s is seen to change
in significant manner in the time span from 1999 to 2001. The major change inside the
organization was seen to be with the focus of senior leaders of the organization. With the
introduction of Pavan Bhatia into the organization as the Chief Executive Officer in the year
1999, the organization was seen to concentrate only on the pizza making. The senior level
management of the organization was seen to take the decision of the business expansion and
the decision of conducting all the infrastructural and constructional development through the
separate real estate consultation agency.
Legislation, information and intelligence sources that can be used to
evaluate opportunities
The evaluation of the opportunities can be conducted through the collection and
assessment of the information regarding the market trends in the pizza industry. Along with
that, the evaluation of the information regarding the preferences of the customers in a chosen
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location, plays a significant role in the evaluation of the opportunities for the business
expansions. The evaluation of the national and international legislations regarding labour and
employees, taxation, corporate social responsibility and the sustainable practise are
significant for the organization in the evaluation of the business opportunities.
Capacity and competence of individuals and groups to respond and
contribute to the changes
The individual capacity of the employees of the mentioned organization is significant
as the organization is seen to employ considerable number of training for the improvement of
the quality of the services of the employees. As the operations of Dominos is partially service
based and the quality of the services of the employees of the organizational notably
influences the customers for the repetitive purchases, the required quality and the competency
for the effective management of the changes of the employees is seen to be significant. The
organization is observed to have notable amount of team cohesion, team bonding and the
practice of the effective communication among the members of the organization have the
potential to contribute to the implementation of the changes as a group (Rolková &
Farkašová, 2015).
Barriers to the introduction of changes in the organisation
The barriers to the introduction of the changes inside the organization are seen to be
the improper calculation regarding the opportunity of sales in many of the new locations. The
organization was seen to consider the option of the business expansions for the increment in
the revenue. However, the miscalculation of the opportunity or the improper assessment of
the location for the opening of the outlets of the organization was seen to pose notable
amount of barriers in the effective management of the change. Apart from that, the formation
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of the conflict between Pavan Bhatia and Hari Bhartia was significant in posing constraint in
the management of the change inside the organization.
Impact of role of leadership during the introduction of change
The role of Pavan Bhatia in introducing the change inside the organization was of
great significance. The chief executive officer of the organization was seen to be significantly
focused in making sure that the employees of Dominos are only concerned with the execution
of the pizza making processes and the selling of them. Along with that, the CEO of the
organization was pretty clear in the identification of the populated spaces for the opening of
the new outlets and that was evident with the inspection of the location in various parts of
India and the formation of the tie ups with the organizations such as Indian Oil Corporation
and Jet Airways.
Transformational and transactional practices to be undertaken
The transformational practices that can be undertaken by me as the CEO of the
organization, are the formation of the realistic sales goal for the company with the effective
participation of the employees of the organization, the identification of the changes that are
needed to be done with the effective consultation with the employees of the organization
along with the increment in the collaboration between me and the employees of the
organization (Van der Voet, 2014).
From the position of the CEO of the organization, the transactional practices that will
be significant for me, are the production of the motivation to the employees of the
organization through the formation of the effective rewarding policy which includes both
financial and non-financial benefits (Breevaart et al., 2014). In addition to this, the
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achievement of a prescribed organizational behaviour for the employees will also be
important in this case.
Integration of own emotions with cognitions in leadership
My decision making needs to be based on my cognitions rather than the emotions.
However, the integration of both will be significant in my leadership. The combination of
both the aspects will be utilised through the effective management of the employees and the
needs of them in the implementation of the change. Along with that, my day to day leadership
in the organization with the effective integration of the emotions and the cognitions will be of
great significance in influencing the employees to strive towards the desired sales goals.
Management of work based relationships
The work based relationship can be managed effectively even with the consideration
to the individual differences through the formation of the effective communication system.
The implementation of the effective communication among the members of the organization
will be significant from my part in the making sure that the work based relationship with the
employees and the other members of the organization is managed well even if there is
existence of the individual differences (Nikić, Mitrović & Travica, 2014). Apart from that,
the efficient management of the conflicts will also be of great significance in making sure
that the work based relationship between the employees and me, is managed in consistent and
appropriate manner. It has the potential to increase the efficiency of the employees.
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Evaluation, monitoring and regulation of personal leadership style,
disruptive emotions and impulses
The evaluation of the communication styles that is the way in which the individuals
communicate among each other, is the possible method for the evaluation of the personal
leadership style and the disruptive emotions (Bolden, 2016). Along with this, the interaction
with the employees will be significant in assessment of the impulses and the disruptive
emotions of them. In addition to this, the monitoring and management of the disruptive
emotions and impulses is expected to be managed by the establishment of a fear free
environment inside the organization.
Recommendation and implementation
Communication strategies and learning solutions to address problems and risks of
individuals during the process of organisational change
The communication of the strategies among the members of the organization will be
significant in making sure that the number of faults associated with the operations of the
employees in preparing the pizzas and in their services get reduced (McCleskey, 2014). In
addition to this, the effective communication regarding the strategies of the organization is of
great significance in making sure that the employees of the mentioned organization have the
idea of the appropriate form of business conduction in implementing the organizational
changes. The process of training includes the identification of the gaps of the employees and
production of the appropriate solution to them and that becomes important in managing the
risks associated with the operations of the individuals as it has the potential to limit the risks
associated with the process of change inside the organization.
Leadership Approaches to respond to the impact of change on people and processes
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The impact of the change on the employees of the organization is pretty evident as the
organization was subjected to a business expansion. The leadership approach that is best
suited for the case, is the democratic form. The impact of the change on the employees of the
organization is seen to be more prominent with the drawbacks or gaps amongst the
employees of the organization. Under such case the democratic approach plays a crucial role
in achieving the positives and the negatives of the employees’ performances (Antonakis &
House, 2014). This enables the leaders of the organization to build on the positives of the
employees in triggering the change and along with that, it helps in the minimization of the
impact of the drawbacks or negatives of the employees with the formation of the effective
training and the developmental activities.
Most effective strategic leadership style for successful implementation of change
The most effective leadership style for me in this case is the transformational
leadership. The transformational leadership will enable the organization to have the
participative management of the operations of the organization (Hamstra et al., 2014). Along
with that, the management of the different steps associated with the organizational change
such as the communication of the needs of the changes among the members of the
organization, the formation of a common objective, the identification of the procedure for the
implementation of the change, the identification of the barriers in the implementation of the
changes and the production of the solutions for them, are observed to be managed in
significant manner following the transformational leadership.
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References
Antonakis, J., & House, R. J. (2014). Instrumental leadership: Measurement and extension of
transformational–transactional leadership theory. The Leadership Quarterly, 25(4),
746-771.
Bolden, R. (2016). Leadership, management and organisational development. In Gower
handbook of leadership and management development (pp. 143-158). Routledge.
Breevaart, K., Bakker, A., Hetland, J., Demerouti, E., Olsen, O. K., & Espevik, R. (2014).
Daily transactional and transformational leadership and daily employee engagement.
Journal of occupational and organizational psychology, 87(1), 138-157.
Hamstra, M. R., Van Yperen, N. W., Wisse, B., & Sassenberg, K. (2014). Transformational
and transactional leadership and followers’ achievement goals. Journal of Business
and Psychology, 29(3), 413-425.
McCleskey, J. A. (2014). Situational, transformational, and transactional leadership and
leadership development. Journal of Business Studies Quarterly, 5(4), 117.
Nikić, G., Mitrović, M., & Travica, V. (2014). The quality of business communications
depending on attachment style, social emotional competences and personality traits.
Industrija, 42(4), 79-97.
Rolková, M., & Farkašová, V. (2015). The Features of Participative Management Style.
Procedia economics and finance, 23, 1383-1387.
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.
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Assessment Task 2: Presentation
Introduction of the organisation
Domino’s Pizza India Limited is the Indian branch of the reputed pizza making
organization, Domino’s Pizza Inc. The organization has the expertise in producing variety of
the pizzas and is known to be one of the market leader of the pizza making and food delivery
industry. The company, Domino’s Pizza Inc. was founded in the year 1960 by James
Monaghan, Tom Monaghan and Dominick DiVarti. The organization is currently managed
by the combination of David A. Brandon, the chairman of the company and the Chief
Executive Officer of the organization Richard Allison. The company operates in many of the
nations across the globe and one of them is India. The Indian branch of the mentioned
company was seen to be managed by two of the reputed professionals, Hari Bhartia and
Pavan Bhatia.
Current situation
The Indian subsidiary of the organization was seen to be subjected to a business
expansion. The main aim of the expansion was to increase the business of the organization in
the locations where the company is unable to establish any outlet. As, the CEO of the
organization, Pavan Bhatia, was seen focus on company based outlets, the company was seen
to be subjected to a significant amount of the expenses for the construction of the outlets and
the operations of it. However, the senior management of the organization was observed to
calculate the preferences of the customers and the market trends in the new destinations in an
appropriate manner which forced the organization to face “no profit” situation. However, the
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increasing operational cost in the new destination was notably increasing the burden of loss
for the organization which led to a financial crisis for the organization.
How did you achieve self-efficacy and expertise of individuals in the organisation which
helped you accomplish strategic results and organisational objectives?
The achievement of the self-efficacy and the expertise of the individuals was notably
dependent on the assessment of the operations of the different individuals and at the same
time, interaction with the employees was also significant for me in the better understanding
of the employees.
What strategies did you undertake to motivate individuals to give and receive feedback?
The strategy that I used to influence the individuals to give and receive the feedback
is the creation of a better organizational environment where they were able to communicate
without any sort of fear and the establishment of the effective communication among the
members of the organization was also instrumental in motivating the employees for the
mentioned cause.
What approaches did you use to develop collective and collaborative work relationships in
the organisation?
The approach that I used for the development of the collective and collaborative work
relationships is democratic. I made sure that the employees are responsible for the decision
making regarding their own performances and along with that, the consultation with the
employees regarding the business operations of the organization was seen to be significant in
the development of the collective and collaborative work relationships inside the
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organization. The approach and the activity were instrumental in increasing the involvement
of the employees and the other members towards the organization.
How did you convey organisational directions, values and overall vision to the stakeholders
in a positive manner?
For conveying the organizational directions, values and the overall vision to the
stakeholders of the organization, I needed to make an assessment of the impact of my
leadership and the operations over the organization. The influence of my leadership on the
employees of the organization and the performances of them was of great significance in
constructing the base for the specification of the organizational directions. The
communication regarding this was conducted through the formal reports.
How will you improve your personal leadership style and self-management skills for
effective leadership in the long run?
The improvement of my personal leadership style and the self-management skills for
the effective leadership is based on the improvement of my communication and the emotional
intelligences. The improvement in understanding the emotional state of my employees and
the skill of leading them in accordance to that is significant for the improvement of my skill
of effective leadership. Along with that, the improvement of my communication, specifically
the aspect of body language which reflects a major share of my communication, is in need of
improvement.
To what extent do you think you have been successful as role model in the organisation in
terms of building trust, confidence and respect of individuals
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I consider myself to be partially successful in the formation of the trust, confidence
and the respect among the individuals as I could see many of my employees were notably
communicating regarding the various aspects of the operations of them and the organization
and that reflects the formation of the trust and confidence among them. Along with this, I do
consider that the emotional intelligences and the absence of skill of portraying the appropriate
body language which reflects what I want to communicate, is a major drawback of mine in
the effective formation of the trust and confidence among the members of the organization.
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Questions:
1.
Improvement of Dominos:
The company could improve by selectively choosing the destinations for the opening
of the new outlets as the choice of the profitable destinations and the investment in those
destinations will significantly contribute to the increment of the profit.
1.
Mission, Vision and Objectives:
Organizational mission specifies organization’s business.
Organizational vision elaborates the future position of the organization (Aithal, 2015).
Organizational objectives is the list of the short, mid and long term goals of the
company.
The purpose of the organization is the activity that it conducts.
The plan is the elaboration of the implementation of the goals.
2.
Building proper communication culture:
The effective management of the conflict from my part as the leader of the
organization will be significantly essential in establishing the required culture for the
effective communication and the consultation.
2.
Strategy for the constructive feedback:
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The implementation of the effective communication system and the efficient
management of the conflict will be significant strategy for the effective communication of
both the forms of feedback that might be positive and negative.
3.
Legislation:
As a CEO of the organization, I need to be aware of the legislations related to the
labour, human rights and the taxation to make sure that the business operations of the
organizations is ethical and financially viable.
3.
Navigation of the change:
The effective navigation of the change will be dependent on the commutation of the
need of the change, formation of the common objective along with the identification of the
barriers and the production of solutions for them (Cameron & Green, 2015).
4.
Leadership styles:
Autocratic leadership is only based on the wishes of the leader.
Democratic leadership is based on the leader and follower (Nanjundeswaraswamy &
Swamy, 2014).
Transformation leadership also introduces participative management.
Transactional leadership is based on the skill of the leader in motivating the leaders.
Laissez-faire leadership is a form of delegative leadership.
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Coaching leadership is focused on the leadership for the improvement of the
followers.
4.
Review of the performance of the CEO:
The review will be significant in achieving the idea of the level of competency that
the CEO had in managing the needs of the employees and the operations of them during the
change.
5.
Personal Development Planning:
It is considered to be a procedure for the personal development of the individuals.
The methodology includes the identification of the gaps, the selection of the suitable
technique for the continuous improvement and undertaking of that and the monitoring of the
improvement (Cottrell, 2015).
5.
Resilience of the managers:
The resilience of the managers is significant in managing the gaps in the
performances of the employees during the change so that the implementation of the changes
is managed in a better and efficient manner.
6.
Essential Qualities of a leader:
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The essential qualities of a leader are the effective communication, skills of assessing
the emotions of the followers while leading, capability of identifying the drawbacks of the
followers and the production of the appropriate solution to the followers for solving them.
6.
Review of Pavan Bhatia:
The review of own capacity of Pavan Bhatia in the formation of the trust and the
confidence among the individuals inside the group had the potential to identify the
developmental needs of him in the improved management of the change.
7.
Data Collection Methods:
According to the Rhodes et al. (2014), four methods that are significantly helpful for
the wide range of benefits that they offer to process of data collection are survey, interview,
focus groups and the observation method.
7.
Interrelation between the change and the stability:
The effective implementation of the change for an organization is significant in the
production of the much required stability to the business operations of it and also plays a
crucial role in the increasing the financial stability.
8.
PES Analysis:
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It is a form of assessment for the external environment of the business organizations.
It is used for the evaluation of the social, economic and political factors of an industry (Ho,
2014).
8.
Personal Effectiveness:
The criteria for the evaluation of the personal effectiveness is the effective
communication and the way of interacting with others as that has the potential to reflect the
effectiveness of the personality.
9.
Emotional Intelligence:
It is the understanding of the emotional state of individuals and the ineffective
understanding of the leader in the mentioned aspect can pose notable barrier in the
performances of the team and can lead to increased job turnover as well (Murphy, 2014).
9.
Better Results from the changes:
The conduction of the training activities for the employees is a significant step for the
achievement of the better results from the organizational and strategic changes that are
usually seen to be implemented for the betterment of the organizations.
10.
Consistent Leadership:
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The impartial decision making is seen to be significant for the consistent leadership
and at the same time, the uniformity in the judgements of the leader is a notable aspect of the
consistent leadership.
10.
Personal Effectiveness for the Achievement of Responsibilities and Accountabilities:
The possibility of finding the interest in the individuals in conducting unethical
operations is the main reason responsible for the evaluation of the personal effectiveness in
the achievement of the responsibilities and accountabilities.
11.
Organizational Transformation:
It is the process of change that is subjected to the organizations for the improvement
or the increment of the operations which has the potential to increase the financial stability of
the organizations.
12.
Stages of the changes:
The communication of the needs of the changes, the formation of the mutually
accepted objectives, the selection of the techniques for the implementation, identification of
the barriers and the production of the solutions are the steps of the changes (Palmer, Dunford
& Akin, 2016).
It is better managed with the effective communication and the participation of the
each and every party associated with it.
13.
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Collaborative Environment:
The efficient management of the communication and the improved management of
the conflicts in the operations of the employees are significantly important in the creation of a
better working environment.
14.
Participative Leadership:
It is a form of leadership where the leader allows and motivates each and every
members of the organization to take part.
It increases the effectiveness of the leadership with the introduction of the 360 degree
review in the process of decision making (Bell & Mjoli, 2014).
15.
Organizational Design:
The organizational design is known to be the structure of the organization. The
change in the customers and the market conditions forces the organizations to restructure the
design in order to achieve the preferences of the new customers and align their operations
with the changed market conditions.
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References:
Aithal, P. S. (2015). How an effective leadership and governance supports to achieve
institutional vision, mission and objectives.
Bell, C., & Mjoli, T. (2014). The effects of participative leadership on organisational
commitment: Comparing its effects on two gender groups among bank clerks. African
Journal of Business Management, 8(12), 451-459.
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.
Cottrell, S. (2015). Skills for success: Personal development and employability. Macmillan
International Higher Education.
Ho, J. K. K. (2014). Formulation of a systemic PEST analysis for strategic analysis.
European academic research, 2(5), 6478-6492.
Murphy, K. R. (Ed.). (2014). A critique of emotional intelligence: What are the problems and
how can they be fixed?. Psychology Press.
Nanjundeswaraswamy, T. S., & Swamy, D. R. (2014). Leadership styles. Advances in
management, 7(2), 57.
Palmer, I., Dunford, R., & Akin, G. (2016). Managing organizational change. McGraw-Hill
Education.
Rhodes, J. D., Upshaw, C. R., Harris, C. B., Meehan, C. M., Walling, D. A., Navrátil, P.
A., ... & Kumar, H. (2014). Experimental and data collection methods for a large-
scale smart grid deployment: Methods and first results. Energy, 65, 462-471.
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BSBLDR801 Lead personal and strategic transformation