The Impact of Change on Businesses

This assignment examines the impact of change on businesses, emphasizing Kotter's 8-Step Change Model as a framework for successful implementation. It uses Apple Inc., known for its adaptability, as a case study to illustrate how the model can be applied in practice. The analysis delves into internal and external drivers that influence leadership, individual behavior, and team dynamics during organizational change.

Understanding and Leading
change

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1: ..........................................................................................................................................1
P2. ..........................................................................................................................................3
P3 ...........................................................................................................................................5
TASK 2............................................................................................................................................6
P4 ...........................................................................................................................................6
TASK 3............................................................................................................................................7
P5 ...........................................................................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
Business environment is dynamic and flexible in nature this give its impact in
organisation also for meeting such modification leader, team as well as individual also have to
work on it properly so that they cannot give their negative impact because changes can
sometimes gives positive and negative both impact (Anderson and Anderson, 2010). This
Report is based on Apple and Samsung which is same sector company. Below mention
assignment includes comparison between two companies of similar sector and changes inside the
organisation or can be from outside gives impact on leadership, group and individual behaviour
in organisation are described below. Instead of this negative impact of modification and the way
to minimise them are given. It through some light on barriers of changes and their impact on
decision making. In the last leadership change management approaches are given so that they
can help in minimising modification done in company.
TASK 1
P1:
When environment in which business exist alteration then it gives impression on some
companies also for this there is requirement of modification in policies, procedure, operation and
strategies. These can gives positive and negative both impact in company for minimising
negative and adopting positive manage and leader have to use various tools and techniques.
Apart from this, before applying changes in company if manager examine or analyse them
properly then help in increasing productivity as well as in generating revenue. Their are many
small and micro enterprises in economy they adapt changes as opportunities for future growth
and development.
There are many modification which organisation have to adopt such as: strategy, policies,
operation, employees, rules and regulation many more. All these factors should be examine and
properly analyse by leaders and manager so that they can implement modification in proper
ways. To implement and deal all these changes organisation need appropriate plan and
strategies. This task involves comparison between two same sector company one of them is
Apple Inc. founded in April 1, 1976 and Steve Jobs, Steve Wozniak, Ronald Wayne are the
founder of this company they having 499 stores worldwide. Product serve by respective
company are iPhone, iPod, Apple watch, Mac App Store and many more. On the other hand,
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another company is Samsung which is founded in 1March 1938, Lee Byung-Chul are the
founder of this organisation product serve by Samsung are telecommunication equipments, home
appliances, electronic and medical components etc. comparison between both are as follows:-
Basic Apple Inc. Samsung
Emerging Technologies Electronic companies are
widest sector in today's
economy. Apple Inc. is the
popular and famous company
product of the same are used at
worldwide level. They always
come with better technologies
and product for customer
satisfaction (Aslan and
Reigeluth, 2013).
Compare to apple this
company need more updation
in existing product as well has
to launch new product
according to current
technologies.
Modification in external
factors
External factor includes
government rules and
regulation given for electronic
sector these sometimes gives
negative impact on large scale
organisation because of such
changes they need to modify
strategies and operation of
company according to that.
Changes effect Samsung less
compare to Apple because of
products and services provided
by them.
Structural changes Such changes don't easily
affect organisation when they
are working at large level.
Structural changes sometimes
give impact on Samsung and
they have to change their
strategies and policies
according to that.
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Modification should be frame and design in proper manner so that everyone working in
organisation can easily adopt these:-
 Operation: when modification implemented in operation department of organisation
then it will result in increasing productivity efficiently and effectively as well as generate
revenue. This department in important for producing goods and services this should be
according to current market trends and as per the taste and preferences of customers.
 Strategy: leader and manager in organisation make strategies in starting to work
according to it so that they can implement positive changes in proper manner. On other
hand, minimise negative effect of modification so that they can gain future growth and
development. PEST analysis is best way through which manage of company can easily
study outer factors and their effect on company.
P2.
Changes management should be in proper way so that appropriate technologies, tools and
techniques should be used by organisation for their better productivity and this will help them in
profit maximisation which is essential for survival in competitive market. Changes gives its
impact on leadership, individual and team for this manager and leader have to change their
strategies and operation for achieving organisation goal and objective. Internal and external both
changes gives positive and negative impact for this leader have to examine modification in
proper manner so that appropriate action should be taken to minimise their effect. Impact on
single, unit and leadership of outside factor are explained below-
 Competitors led Drivers- business environment can be change because of new
competitors in market that can be small business and some start ups. Thus, Apple have to
take care of such changes so that no competitor can effect their business as given
Samsung is competitor of Apple (Bingham and Main, 2010).
 Government led Drivers- modification in policies and legislation affect strategies and
operation of Apple Inc. and Samsung. To minimise negative impact of such modification
leader and manager of company have to design proper and appropriate strategies and
planning so that they can reduce impact on team, individual and leaders.
 Investors led Drives- Investors is the blood of Apple Inc. if number of investors
increase or decrease this will directly affect company in many ways. If investors increase
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then fund issues will not occur and respective company can increase their production and
this will also help in increasing revenue.
 Customers led Drivers- satisfy and loyal customers are the mouth promotional tool of
company. If they are satisfy then it will help in creating brand image and also in
maintaining existing performance of organisation. Apple Inc. have to take care of market
trend and customers taste, preferences and design product according to that so that this
will help in satisfying customers as well as in generating revenue.
 Technology led Drivers- Apple Inc. have to adopt latest technologies and time to time
updation in their technologies so that it will help respective company in doing
production efficiently and effectively. Lest technologies and equipments help in saving
time as well as resources used for production (Branson, 2010).
Apart from these external factors, organisation gone through with many internal changes drivers
also. Manager and leader of organisation have to use various technique and tools that will help in
analysing impact of changes and after that leader make strategies according to that. The suitable
creature to go through with external drivers is PEST analysis:
 Political- this term includes rules, regulation and policies given by government as well as
if modification done in the same. These should be analyses by manager of Apple properly
so that they can modify all these in proper manner because changes includes many
employees act in this and these should be apply by company in proper manner so that
they cannot create any issues against organisation.
 Economical- economical term includes points related to welfare of individual as well as
of society such as; employment opportunities, national income, poverty rates, life style of
people and many more. When Apple invest money on their employees as well by
providing them wages according to their work this will help them in developing
personality of individual.
 Social- there are some social like life-style of people, their taste and liking. Respective
organisation have to do production accordant to needs and wants of customers and before
production company have to do market research.
 Technological: now a day technologies are changing time to time so for better
production Apple have to adopt and use latest equipment and tools that will help them in
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increasing productivity. This also help in fast production so that company easily fulfil
needs and wants of customers.
SWOT analysis help in examine internal factor of organisation:-
 Strength: every company have their strength same as Apple Inc. also have this help
them in remaining in competitive market.
 Weakness: the same organisation have some weakness also like changes in technologies
and customers taste, preference directly effect company. Apple Inc. have weak
distribution channel in India instead of this they spend less amount on research and
development compare to other companies
 Opportunities: there are many opportunities for apple one of them is that they deal at
wide level. Market of given company is widely increasing now a days instead of this
health related gadgets are issued by this firm. They also expand mobile payment market,
which help in easy payments as well as make people cashless (Carrington, Deppeler and
Moss, 2010).
 Threats: competitive company of Apple are Samsung, Dell, Microsoft and HP. They
have risk of data breaches and currency exchange rate give huge effect on multinational
companies like Apple Inc.
P3
Modification in business environment sometimes gives its negative impact also but effect
of the same vary from company to company. Manager are the person who deal with negative
effect of changes in organisation. When Apple and Samsung apply any changes in company they
firstly have to see its psychological impact on every person working in organisation.
Staff of an enterprise sometimes deny these alteration management content in
administration which create limit for an management to increase. For organisation benefit they
have to prepare proper path so that they can easily minimise negative impact of changes are as
stated below. (How to Overcome Resistance to Change in an Organization, 2018):
 Creation of Pathway: communication should be always two ways in organisation so that
information and message can be easily transfer to every employees and their should be
effective pathway for that because this is the tool which help in motivating employees.
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 Explain about plans: when changes implemented in organisation and leader change
strategies and planning according to that and these should be properly communicate to
everyone so that they can work properly on it.
 Participation in seminars and meetings: for dealing with changes administration do
some meeting and seminar so that they can deal with all these changes properly and every
employees have to participate in these. So that, everyone can well know about the
alteration enforced in Apple Inc. and how they have to work on it.
 Manage planning and its implementation: every company need a person who can
manage changes same as Apple Inc. also require so that employees work can be managed
properly. Hence, personnel have to carry this plan which is made in advance.
 Implementation of plan with suitable goals and target: this is last step of entire
process and entire process help in minimising risk (Doppelt, 2017). Thus, Apple have to
decide their goals and objectives so that they can implement changes and can work on
them effectively.
This entire steps help Apple Inc. in minimising negative impact of changes. For effective
and appropriate implementation of modification in company Apple use various approaches one
of them is Burke Litwan Model.
TASK 2
P4
Changes comes with many issues, problems and barriers these cannot be implemented in
organisation easily. These directly effect leadership decisions which is essential for continuing
work of entire organisation.
Self efficiency perception and resistance to change:- when changes enforced in company then
personnel running in the respective organisation have their own opinions and views about these
alteration. For growth of staff they take such modification as negative because they have to work
on latest equipments and technologies, also have to enhance their knowledge required according
to assigned task. Mostly personnel have to convert their negative perception, idea and opinion in
positive so that Apple work smoothly and help in future growth also.
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Their are many problem occur when alteration made in company one of them is related to
technology to work on latest technologies and equipment employees require training and
development program. for this entire process there is requirement of expertise.
Force field analysis:- Kurt Lewin is the founder of this model and this is given in the support of
changes made in organisation its have some benefits but along with these they have criticism
also like external factors in which business environment exist affect, overtime of employees
reduce and the major is personnel having fear of adopting latest technologies.
Case study:- this method is done with the help of market research for understanding this entire
process there is requirement of proper team in this several cases are provide to every individual.
Main motive of conducting this research is knowing about market condition as well as is their
any competitor or about current market trend. The person who do this process having many
ideas, views and opinions about whole process. For leader it is not simple to choose one from
large number of opinions. Decision making is main problem in case study.
Schein's organisation culture model: this model is given by Edgar Schien who is the professor
of management Emeritus and entire model explain culture of organisation and effect of
leadership. Decision making is important but it is not easy task this have many problems like
bureaucracy, conflict between employees, internal and external environmental factors etc.
sometimes decision can be related to increase or decrease in price of product, adoption of
latest technologies, innovation in existing products and supply chain (Inozu and et. al., 2011).
TASK 3
P5
Situational leadership theory is introduced by Paul Hersey and Ken in 1969. this
approach is based on two behaviour that is directive and supportive. This entire theory is
explained with the aid of four levels i.e. leader have to high directional behaviour and low
supportive behaviour.
This says that only one leadership approach is not enough for implementing changes
there is requirement of more. Apple is large and developed company which follow leadership
style for achieving desired goal and objectives.
Initiating changes- for changes company have to take some big as well as some small steps for
it so that this will results in success. External factors includes policies, technologies, plan and
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strategies so that they can give better productivity and help in generating more and more
revenue. Modification can be work in positive and negative both aspects. Hence, for manager
and leader they have to first understand changes then they have to implement it for gaining better
results.
 Main responsibility is of leader in organisation to manage everything in appropriate
manner so that their will be high productivity as well as generate revenue (Finnigan and
Stewart, 2010).
 This approach mainly help company in implementing modification in effective manner so
that they can increase productivity according to customers demand and also help in
generating revenue.
Kotter's 8 Step model of change:-
John Kotter was a professor of Harvard Business School and he introduced a change
model in his book that is leading change. In which included 8 steps of changes that he developed
after research. He described that changes is must be required for every successful organisation
because it support in competing with environmental factors as well as several competitors. Apple
Inc. which deals in computer, iPhone, iPad and iTune in the market as they also focus on
adopting various changes according to environment that support in attaining goals and objectives
growth. They can take support of Kotter's 8 Model of change for leading change such as:
Creating an urgency: In this, one of the most important component is to make an urgency
which can be done in following way such as:
 To identifying and highlights the potential and important threats that can be crop up in
the future.
 To study the opportunities for the purpose of effective interventions.
 To initiate the fair discuss and honest dialogue regarding various issues for their
appropriate solutions.
Forming powerful guiding coalitions: it is next phase of this model as there are some
criteria where this can be achieved such as identifying the effective change managers as well as
leaders within the firm who are very important for the involvement and commitment regarding
goals and objectives. They form a coalitions who can be work as a team.
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Developing a vision and a strategy: In this phase, they determine the core values which
defined the ultimate vision and strategies for realising the effects of changes with in an
organisation.
Communicating the visions: It is very important to communicate the visions with
convincing to the employees so that they can adopt the strategies as well as changes in the firm.
Removing obstacles: In this phase it analyse that organisational structures and processes
aligned in appropriate way for the purpose of achieving goals and objectives as well as visions.
Creating short-term wins: in this defined that the changes must be based on short-term
wins as individual can be feel victory in early stage of the changes.
Consolidating gains: in such step, it consider as the continuous improvement by
analysing the success through individual experience.
Anchoring change in the Corporate Culture: In this discuss the successful stories related
with changes.
CONCLUSION
As per this project is has been analysed that the environment in which business exist is
flexible in nature when changes made in this it will give straightforward effect on enterprises
strategies, leadership, operation, individual and team along with changes in environment these
factors also should be modified so that organisation can work smoothly and generate revenue
which is important for sustaining in market. Before implementing all this there is requirement of
proper examine and analysing so that these will not give negative impact and if they gives then
there are various tools and techniques to avoid them. Instead of all these there are leadership
approaches which are given for changes explained below. Internal and external drivers and their
impact on leadership, individual and team are also described.
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