Situational Approaches to Leadership

The assignment focuses on situational approaches to leadership, which are leadership styles that adapt to different situations or contexts. The provided references include research papers and articles from various journals and conferences, discussing different aspects of situational leadership, such as Fiedler's Contingency Theory, Hersey and Blanchard's Situational Leadership Model, and Vroom and Yetton's Normative Decision Theory. These models highlight the importance of considering the situation or context when choosing a leadership approach to maximize effectiveness.

UNDERSTANDING
AND
LEADING CHANGE

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Comparison between two organisations with impact of change on an organisational
strategy and operations................................................................................................................3
P2. Evaluation of ways through which internal and external drivers of change affect
leadership, team and individual behaviour..................................................................................5
P3 Measures that can be taken to minimise the negative impact of change on organisational
behaviour.....................................................................................................................................7
TASK 2............................................................................................................................................8
P4. Different barriers of change and their influence on decision making...................................8
P5 Leadership approaches to deal with changes.........................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Understanding and leading change can be defined as to implement appropriate changes as
per demand of trends and client in strategies or technologies to make more effective services.
Changes are essential to maintain the position of a company in market competition as well as to
attain growth in business career by increasing productivity and profitability as well (Ayanlade,
Radeny and Akin-Onigbinde, 2017). People want to prefer the new and innovative things
according to market because they make themselves up to date. This assignment is based on Costa
coffee and Starbucks having similar kind of business. This report will be discussed about impacts
of changes in an enterprise such as they have both negative and positive effects along with them.
It becomes mandatory because modifications have new opportunities which may results in profit
but they also bears challenges which are needed to be controlled. This report will be explained
about appropriate leadership styles and methods to minimise negative affects of changes.
TASK 1
P1. Comparison between two organisations with impact of change on an organisational strategy
and operations
In modern scenario, marketplace is said to be dynamic in nature. Therefore, companies
faces so many alterations from time to time. It is become vital for organisations to keep on
making changes in their operational activities to resist in market. Apart from this, it also aid in
giving rivalry to competitors. Making profit at its maximum is an aim of every firm. To do this,
it is mandatory for management keep on analysing modification that other enterprises are making
and take appropriate decision. While taking actions like making changes in products and services
it is essential for corporations to keep in mind of consumer about their likes and dislikes in
current situation.
Most of time, changes put positive impact only but a wrong decision that has been made
by management can lead company to create losses for it. By this, goodwill and brand image also
decreases in the society (Butt, Naaranoja and Savolainen, 2016). For sustaining long time at
marketplace it is important to adapt those alterations from time to time this lead them towards
improvement of both productivity and profitability.
It has been found that management faces competition in their ways. For an example: new
companies, adaption of new tools and techniques of other companies and etcetera. In this

context, it is leaders responsibility to take favourable decisions for company so that rivals do not
affect their profitability. Costa Coffee and Starbucks are two organisations that are dealing in
same sector i.e. coffee products. Both of the brands are famous in all around world. Apart from
this, their management is continuously trying to expand its business in a rapid manner. They both
adapt changes when it becomes necessary to do so (Dori, Mevarech and Baker, 2017). Difference
between both of firms are comprehended beneath:
BASIS COSTA COFFEE STARBUCKS
Change in external factors Change in policies may create
favourable conditions for
members. Hence, it is
mandatory for management of
Costa Coffee to adapt these
alteration right on time and
convey this to employees as
well.
Starbucks people do not refer
adapting changes in a rapid
manner. They are following
parental policies that has been
set by management at initial
level. They only refer to those
alteration which they cannot
neglect. Apart from this,
consumers are mostly like
products of this organisation.
Emerging Technologies They believe in adapting
changes from time to time so
that advantages can be grabbed
by them at competitive level of
marketplace. New tools,
techniques and technologies
they keep on altering from
time to time in place of old
ones.
Starbucks on a continuous
basis following their old
formula. But, as they are
expanding their business it
become vital for them to grab
and implement changes that
they face which varies from
country to country.
In today's world, market faces so many changes in consumers needs and wants. Thus, it is
important for manager and leaders of both of companies to find the taste of people as soon as
possible and implement them so that they come to a leading position in front of other firms
(Eisner, 2015).

 Strategy: Company's investigators keep on looking at market that what technology is
going to be change in upcoming time. This activity aid firms like Costa coffee and
Starbucks to take actions so that consumers do not looses interest from their products and
services. It is a duty of leader to form unique strategies which give them advantages in
market.
 Operations: Fundamental necessity of a firm is to gain maximum profit. To do this
manufacturers makes products with innovations as per need of consumers. This helps
them in making changes which may create favourable condition for them by which
earning profit at maximum level becomes easy (Furlan and Faggion, 2015).
Henceforth, Costa Coffee and Starbucks keep on adapting changes. Away from this,
management and leaders should keep on giving training to employees about alterations that they
have made. T&D programmes are mainly executives organise in which they give all information
related to updates that they have made.
P2. Evaluation of ways through which internal and external drivers of change affect leadership,
team and individual behaviour
Change management is a method of applying tool and techniques in well sufficient
manner as it is necessary to make workforce future ready to accept challenges with confidence as
this activity leads more profits and benefits in corporation. There are five factors that affects
company's groups, personnels and leadership. Customers led drivers: Growth and success of a corporation depends upon external
stakeholder named as customers. Factor that affects consumers either positively or
negatively is pricing of product or service. Revulsion in rates and quality relies upon
client's tastes, preferences and desires of buyers (Furlan and Faggion, 2015). Technology led drivers: Technological needs arises when older technique gets obsolete
and it starts creating poor quality goods and services. Business man introduces new and
improved technologies into their company as this make association able in gaining more
market share as well as in enhancing quality goods and services. Investors led drivers: When enterprise shifts from current investors to new ones then it
can be called as investors led drivers. Competitors led drivers: It is very clear in market that small as well as big firm is using
upgraded techniques into their association to make world class items and facilities.

Because of this competition is increasing regularly and to retain their position in
marketplace Costa has to taken this aspect in consideration while identifying change
needs.
 Govt. Led drivers: While formulating strategies and policies leaders has to analyse all
rules and regulations time to time because if permutations to be arises in laws it reflects
their image in working of corporation (Gale and et. al., 2014). Costa Coffee has to
consider all laws and legislations specially when it is operating its action in other
countries.
Other than this they have many other factors that can be studied by manager for examine ways in
which change occurs. Elaboration of these factors are as follows: Political – Costa coffee and Starbucks have to understand all aspects related to political
factors because revulsion in this can be a reason of alteration in operations performance.
To get rid out of this condition management has to take strict and corrective actions in
their organization. Economical - It affects positively when economy grows as it creates opportunities. On
the other hand it diminishes chances of growth when it goes down. These two situations
have their effect in business operations. Social – This factor includes choice, culture, preferences, traditions etc. of customers as
well as company. If changes occurs in this aspects are been reason of variation in
business activities.
 Technological – When a new and improved technology is launched in market it affects
other current techniques as they got obsolete and employer has to apply novel tool sin
their corporation as it increases level of functionality of operations (Gathwal and et. al.,
2017).
Other than these options, managers has to study SWOT also to identify whether they are in
position of change acceptance or not.
Strengths weaknesses
Costa coffee are well settled coffee shop in
London and they have proper resources to
introduce upgraded modifications into their
corporation.
As Costa coffee house is employing so many
people so it can not apply changes in gap of
shorter period of time. Because some times
many employees are not been in state of

accepting any new revulsion.
Opportunities Threats
Costa coffee can deal with large clients at the
same time as they are having sufficient pool of
workers.
When new enterprises accept permutations to
face competition in most profitable manner, it
generates critical situations in market for Costa
coffee house (Isenhour, O’Reilly and Yocum,
2016).
Management can use Burke Litwan model in order to manage changes that are occurring in
external and internal environment. This approach is having 12 stages and out of them 3 are stated
below: Input and Output Element – For framing tactics and plan managers has to study all
external environmental factors as it makes able them in understanding alterations. With
help of this performance of corporation as well as company can be evaluated to identify
level of change acceptance. This kind of action further increases productivity of firm. Transformational Element – To launch sufficient modifications in association, a leader
has to be assertive in nature because with friendly nature he can motivate can convince
his team to adopt change in their working operations.
 Transactional Element – There are several alterations that are arises on regular basis in
marketplace and management has to analyse all aspects in order to make decision on
accepting or rejecting variations (Kika, 2014).
P3 Measures that can be taken to minimise the negative impact of change on organisational
behaviour
Organisation implement alterations but it is vital for them to understand the fact that these
changes are always not in favour of them. Also, changes do not affect every firm in same
manner. Costa Coffee is one of a leading brand that usually make modifications in their products.
Like, designed froth easily attract attention of customers. Apart from this, employees do not
accept changes just because they have to learn new things (Naotunna, 2013). It fears them
because staff members feel like they will loose job. This can be one of negative impact of change
in context of organisational behaviour. Costa Coffee is a multinational company thus, talented

leaders are the one who took this company at this level. They made positive changes and kept the
belief of consumers by delivering them quality products. This activity improvised both loyalty of
employees and relations with users. Explain about plans: At the time of implementing changes it is vital for management to
give all the information of plan that they have made for alterations. This part aid in taking
suggestions from them. Apart from this, it also help in making them understand about
their role (Orlando, 2013). Participation in meetings and seminars groups: In meetings, leaders duty is to motivate
employees, direct them and support so that they can become more efficient at workplace.
Apart from this managers can also explain about changes that they are going to make in
front of staff members.
 Manage planning and its implementation: In this, management forms a strategy in
which they select one person from every single team and give them information that they
want to convey. Then it becomes persons responsibility to completely make other team
mates understand about the discussion that he/she did with supervisors.
TASK 2
P4. Different barriers of change and their influence on decision making
To state changes in organizational culture and leadership, Edgar Schien propounded a
model. Management of company uses this to understand revulsions more properly. They gave
reasons for obstacles that come up in ways of modification execution and these hurdles are
differences in changes, values, beliefs etc. There are some segments in which a leader has to take
decisions like change in price, increment in product quality, differences in supply chain
management etc. At the time of accepting revulsions manager faces so many problems that are
related with application and existence of change and to remove all these issues time, space and
ability of employees should be check (Pellicer-Sifres and et. al., 2017).
Self-efficiency perception and resistance to change:
Workers are having their own perceptions and views regarding change at their workplace.
Employees think that change can be reason of poor performance and they are happy with their
current working style so they resist to change and became reason of implementation barrier and
poor execution of methods.

Other reason of adopting alteration is that workforce is not having any kind of
specialization to deal with new techniques. So it is a fundamental duty of managers that they
conduct proper training program for staff members to make them future ready by enhancing their
skills.
Force Field Analysis
Kurt Lewin founded this approach and in this they provided support to corporate culture
but there are some criticism of this framework. As there are some barriers that is present in
corporation like staff overtime, effect of external environment, fearfulness in workers because of
adopting new technique (Raia and Rook, 2014).
Case Study
In this manager provides different problems as a case to their employees and after that he
invites their views and opinions regarding to understand their level of thinking as it assist
management in framing strategies.
Situational Resistance to Change
modifications in association is done in operations and activities that is to be associated
with change. Main aim of make applicable those revulsions in operations is to cover all targets in
set time frame.
P5 Leadership approaches to deal with changes
As it is well known that implementation of changes or modifications in essential in
respect to compete with other competitive firms as well as to fulfil the demand or desires of
clients. To facilitate successful applying of several changes in strategic or technologies to make
working of employees more effective and efficient. This will results in providing bulk of product
supply in time as per requirement of that service in market to increase productivity and
profitability. To implement changes successfully, it is required to appoint and efficient leader
who have that ability to directs the efforts of workers in correct way to achieve better profits
from the same. There are different types of leadership styles and every approach have its own
impact on modifications which are going to be applied (Sarkar and Padaria, 2016). It is important
to analyse the nature and situation which demands for changes then desired leadership method
should be implement to get better results.
Costa coffee have to adopt various changes to increase its market share and it can be done
through several modifications in ingredients or menu of its products like coffee, tea, ices drinks,

sandwiches etc. People like new things to adopt then they can introduce some new recipe of its
coffee to attract more customers by applying effective leadership style according to requirement.
Some of leadership approaches are given below:
Contingency Approach of leadership: This approach is based on the behaviour of
management of a company and demand of conditions that means all the aspects of modifications
should be dependent on the current circumstances (Dori, Mevarech and Baker, 2017). Every step
which will be applied must decide as per requirement of terms and conditions to attain maximum
utilisation of positive aspects to gain better profits. This theory refers that the leadership
effectiveness must be related to group efficiencies to put them in correct direct for achieving
better profitability for an organisation.
Costa coffee can adopt this leadership approach as per their needs of applying changes to
improve its goods or services to gain more productivity and profitability. It have to analyse and
evaluate all the circumstances or conditions to adopt changes as well as suitable leadership
approach to gain better profits of the same. This is important to apply correct thing in a right
manner to grab opportunities for profit but there are some challenges also which have to evaluate
and controlled.
Situational approach of leadership: This can be defines as that aspect in which
everything should be sedan properly and implementation of modifications or changes should be
according to situation or its demand (Situational Approaches to Leadership. 2016). It was
basically introduces by Hersey and Blanchard in 1969 in context of Red-din's 3-D management
style theory. Sometimes, it is observed that on the basis if organisational strategies or
technologies do not demand for changes. But at same time, strategic step of competitive firms or
demand of client or current trends of market works as forcing factor and this will facilitate the
introduction of changes in firm.
Costa coffee is widely accepted by people and have a good market share. But the thing is
that, they have to implement modifications for make their image strong and bears that ability to
build its position in market competition. They have to make its products or services as per
cutrrenmt6 trends of market era to attract new client as well as retain the new ones to attain
goodwill of it.
System approach of leadership: This approach can be explained as group of
components which are inter related to each other by putting them step by step correctly to attain

several objectives. It includes particular system bearing various sub-systems like adaptive
managerial, supportive, maintenance, individuals, production and informal teams. These sub-
systems can be done through independent or international relationship with connection
generating factors like coordination, policies, goals, decisions, communication, authority
responsibility relationships etc (Ayanlade, Radeny and Akin-Onigbinde, 2017). The essential
aspects to be fulfilled are integration, adaptation and survival in changing environment of market
as per trends.
Costa coffee can apply system approach because it is more systematic than others to
adopt changes or modifications which facilitates to implement them properly and successfully
for attaining maximum benefits from them. They can analyse everything step by step to know
about their impacts and can solve them easily. This will helps in reducing issues and loss
regrading it because they have to solve threats of particular sub-system at a time.
CONCLUSION
This report had covered about the various kind of strategies or policies for adopting new
innovations as per market trends to maintain the strong position of an environment. This may
improve the image of an organisation as well as helps in attracting new client with facilitating to
retain current ones. The firms have to make themselves up to date as per trends and demands of
customers to compete the competitive enterprises as well. The forcing factors of applying
changes must be studied thoroughly to implement any type alteration properly and successfully.
Leadership approaches plays an important role because it has responsibility to direct the changes
in correct manner to attain better profitability in organisation as they have different impacts
according to nature or situation of modifications.

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Online
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