Leadership Approaches in Organizational Change

The assignment explores different leadership approaches and theories that can be applied in organizational change. It delves into the rational approach to leadership, which focuses on logical decision-making and emotional stability. The Lewin's change model is also discussed, highlighting its three stages: unfreeze, change, and refreeze. The document aims to provide a comprehensive understanding of how leaders can effectively navigate organizational changes using these approaches.

Understanding
and
leading change

INTRODUCTION
In present business world, it has become vital for organisations to understand and focus
on changes that are being faced by them. It is necessary because, if firms do not absorb these
alterations right on time then it may lead to face ample number of issues (Kotter,
2012).Difficulty here, can be related to profit margins, long term sustainability and so on which
may create. In this report, firm which has been chosen i.e. AEGON which is a multinational
pension, asset management and life insurance company, it's headquarter is in The Hague,
Netherlands. It was found in 1983 and from than it is continuously offering its services to
millions of people with 28,318 staff members.
Assignment will show a number of organisational examples, intrinsic and extrinsic
driving force of alteration impact leading, steps through which minimisation of negative impacts
of change on organisational behaviour can be done. Lastly, assessment will cover different
leadership approaches so that deal can be done with alterations that are being faced by business
firms at global business environment.
TASK 1
P1. Compare different organisational examples where there has been an impact of change on an
organisation’s strategy and operations
In modern era, it is being found that sample number of business organisations are
performing in various sectors with an aim of earning profit margins or for welfare of the society.
Apart from this, firms have made own kind of approaches do deal with different situations which
can put them into trouble (Doppelt, 2017). In present case, since AEGON which is a
multinational pensions, life insurance and asset management organisation, is looking forward to
become a well known brand in all over the world, but government-imposed price controls and as
company is doing business with different local entities, it has impacted negatively on their
performance level and reduced profit margins as well. Here, some of factors like innovation,
technological development, economical fluctuations, taxation policies has been considered as

some of major reasons which impacted the most and made AEGON's Ceo to create a new culture
so that change can be brought in and modifications can be made so that objectives of the
organisation can be attained right on time.
It is being found that modifications are required for every single organisation so that it
can sustain at marketplace for a longer period of time. It may shows impact on business as
positive and negative way. Therefore, a industry manager needs to analysis of current tendency
of demand and market place of customer so that modification can be finished as per their demand
according to present scenario, AEGON based on the UK and one of the global sizeable life
insurance and pension companies. It provides life insurance, owns and asset administration and
adviser business in UK. It is helping AEGON for moving to acquire that are related to long term
savings and protection business with in the UK. After sustainable system premise of nation,
numerous new project are introduction of enterprise in same field in fast manner. It impacts on
productivity and productivity of this business so, to make its orientation tight in market place and
give a hard rivalry to rivals like Aviva Plc (Yoder-Wise, 2014). For business maintain growth
need to some changes that are helping in growth like create changes in technologies and regular
interval in part of work according to time.
Change in management is a systematic approach that ensure efficient and seamless flow of
change within an organisation. It help in minimising impact of related incident and services
within an organisation. Moreover, change is a standardised methods and procedures that are
used for changes that occur within an organisation as well as need to maintain proper balance
between need of change and potential determinant impact it may cause. In order to know how to
changes are effected to functions of AEGON and its competitor Aviva Plc, a distinguish shows
between both companies are as follows -
Changes AEGON Aviva Plc
Structure Change AEGON is a largest life
insurance company in UK
which operates its business
on several locations with in
AEGON group. They are
operate business
Aviva Plc was founded on 2000
(18 years ago) in London by sir
Adrian Montague. After changes
responses are as modify business
structure. With the help of trends it
getting success in running business.

Changes in external factors In business environment of an
organization represent several
factors which are shows
impact direct and indirect
manner. In external
environment including
changes in politics,
technological changes,
economics rates and
fluctuations ion taxation rate.
These factors are effected to
AEGON company and bring
to modification on working
system. It has operate on big
level so there is need to huge
amount of capital. So it is not
effectively bringing changes
on big level and not failed to
bring much alteration in
working system. These are
affect to sustainability and
performance on market place.
So mangers have to formulate
new strategies in effective
way for positive response.
Aviva Plc is rival company of
AEGON group that are based on
UK. Aviva plc operates business on
big level to execute functions. So
for response to change it has made
several modification in company
structure. With the helps of market
trends it getting success in running
business on market place.
Strategy –
In order to carry alteration in enterprise situation, it is necessary for AEGON to develop
policies and schemes in systematic manner. But before implement strategies and policies,
mangers should notice impact after changes on techniques and system of the business structure.
If its impact are shows as negative so it can be reduced (Hrebiniak, 2013).They are prepare a

perfect plan for company and presenting in front of investors to convince for invest in new
project which will accommodating for operating whole actions in correct way.
Operations –
After implementation correct schemes and strategies in effective way, it is necessary for
managers to appoint work force in suitable manner. They are influence to employee for evaluate
modification and work accordingly new project that can be complete on period. In component to
this, there are required to necessary training to employees according to new task with new
system work. After training they become able to working properly and in effective manner.
TASK 2
P2. Evaluate the ways in which internal and external drivers of change affect leadership, team
and individual behaviours within an organisation
In every organisation managers are play important role who take entire responsibilities
for manage work place in effective manner. In broadly, they analysis several activities in order to
trends of market place and create modification in business structure. (Wagner, 2016).According
to case study managers are play an effective role to measuring changes of drivers that can be as
follows -
Customer led services – This kind of primal driver bringing alteration in employed scheme and
part of organisation. So there is required to fulfil of demands of customer and satisfied in high
manner. Here, customers of
Competitor led services – In present scenario, government has provided help to several
entrepreneurs for launch business plan easily. After establishment in market arises competition
for existing companies like AEGON. There is manager play important role and prepare new
strategies for company to cut down effect on concern and organization run in gainful way.
Technology led services – Due to fast alteration in application, it is required to managers they
are bringing latest technology that will be come n market. These technologies provide better
services to all companies in suitable manner.
SWOT Analysis of AEGON -
Strengths Weaknesses
 AEGON has a global existence with  The company has significant aspect to

strong market position in key markets.
 For sells its products company maintain
multiple distribution channels because
it will helping to reduce distribution
risk after expose.
 This company have strong capital
strength for market development and
24000 employees.
 It is expertise in life insurance,
pensions and asset management.
risky independent debt are related to
European countries.
 It is extremely dependent on the
American markets for profits and also
dependent on subsidiary dividend
contribution.
Opportunities Threats
 The population of united kingdom
getting huge opportunity related to
retirement market.
 For reduce fluctuations in financial
market company focusing on its core
business because they are provided
opportunity in big way.
 The company mostly finds opportunity
in Indian and Chinese insurance market
because of population.
 The company faces sub-prime crisis
due to low policy rate according to
environment.
 After adaptation solvency 2 company
going to faces competition for capital.
 There is an increases
Impact of changes on leadership, team and individual behaviour of AEGON company -
Leadership Team Individual
Due to changes in external and
internal business environment,
so this time need to leaders
and managers are change their
style according to situation
that will create in company.
They can adopt leadership
After successfully
implementation of changes
into work place manger has
require taken a meeting with
whole team regarding to
different task. But during in
work process team are create
When changes are bringing in
company so it influenced on
workers as individual basis. In
organisation have different
types of employees and they
have different type skills and
capabilities that are using for

styles such as democratic,
autocratic, transformational
and strategic and more to lead
employee in a proper manner.
many problems on work place
when they are performing
because they are belongs to
different back grounds. Due to
this, many conflicts are arises
among them.
work. When new technologies
are brought in business that
time some employees feel
unsecure regarding their role in
company.
P3. Evaluate measures that can be taken to minimise negative impacts of change on
organisational behaviour
Change is essential part of business life because it allow an organization to adapt change
to their environment and improve its market position. It is process that affect all business due to
which all managers of company get prepare their personnel, process and strategy for change.
Change in an organization can affect business in both way negative and positive. Positive impact
of change in AEGON are- it boost moral of employees, maintain day to day operations, improve
process, motivate employees etc. but it has also some negative impact on the respective
organization such as- manager of respective firm has to plan new strategies which is time taking
and develop mental stress, when AEGON adopt change they do cost cutting which directly
impact on employees salaries and benefits etc. So to avoid negative impact of change on
AEGON their managers take some measures, which are describe below:-
 Provide effective training:- When change is occurs in an organization it is responsibility
of mangers to provide effective training and development program so that they enhance
ability and cognition which are needed to function effectively as modification happen.
Training program can include online models, integrated acquisition approach
incorporated face to face preparation session or on the job coaching and mentoring.
AEGON provide appropriate training and skills development session according to the
requirement so that employees can easily adopt change and work effective and
efficiently.
 Measure the change process:- Through help of change administration procedure a
correct construction should be placed to measurer effect of change on business and
ensure that their should be continuous reinforcement opportunities occur to create
proficiencies. An organization must evaluate and analysis their change management plan

to determine its effectiveness. AEGON use change management process to identify
impact of change in their organisation and make strategies and plan accordingly to build
opportunities for business in the change environment.
 Time to time market analysis:- An organization must analysis their market time to time
so that when change occur they can plan strategies accordingly which help in conducting
business in proper way. By analysing the market company can plan strategies which
ensure change that will carry business in the right direction strategically, financially and
ethically. AEGON must do time to time market analysis which help respective company
to analysis their market and accordingly they plan their goal and objective and strategies
to fulfil it in effective and efficient manner.
 Determine impact and affects :- Once the change occur in an organization management
should determine impact of the change at various organizational level. Then they must
review and analysis effect of it on each business unit and determine the ways how it can
cascades through the structure of organisation. It is start from making blueprint of the
information and plan whether training and support is needed. AEGON should determine
and analysis the market after change occur and plan appropriate strategies and training
program according to requirement.
 Develop communication strategy:- when an organization is going through the change
journey, management must highlight and communicate the change to the employees so
that they get prepared. Company should determine effective ways of communicating for
unit or individual which will bring them on board. The communication scheme of an
organization must include a proper timeline for how change will be communicated to all,
central communicate and channel and media of communication plan used by
organisation. AEGON must choose appropriate communication method and channel
which help them to communicate their change journey to their employees, so that they
get prepared and can adopt change easily.
 Positive Change:
Staying current: In today's context both TESCO and NOKIA need to adopt changes as
per time and requirement so that they can stay competitive in marketplace of same industry line
respectively.

New opportunities: Changes usually create opportunities in competitive marketplace.
Herein, Nokia are able to grab opportunities in competitive marketplace as they are coming up
with new and attractive smart phones. On the other hand TESCO are coming up with new and
attractive packages in order to create opportunities ans attract large number of customers.
Negative Change:
Life changes: Change also create a negative image in today's context. Such as with
advancement of technologies people life are changing. They are more convenient towards
technologies.
Loss of loyalty: With the adoption of tools and techniques the organisation are losing
loyalty of customer and employee in competitive marketplace. As now a days organisation are
more attracted towards advance tools and techniques which are automated in nature as it dose not
require and man power work.
TASK 3
P4. Explain different barriers for change and determine how they influence leadership decision-
making in a given organisational context
In an organisation ,understanding barriers to change management will help organisation
to create successful strategies for identifying and implementing change. As change is an essential
aspect which every organisation but there are certain barriers to change of management structure,
people and process. Modification is required aspects of all administration and its targets shifts
from one state to some other for the betterment of organization. But barriers always develop a
gap in standard and actual pattern, which creating negative result on the day to day manufacture
procedure of an organization. Once a company know how to solve or avoid barriers, it will be
easy for them to plan and implement changes in firm. There are various barriers of change
management which influence decision-making of leadership in an organization and
understanding of barriers helps business to create successful strategies and plan for identifying
and implementing the change.
Internal barrier of Organisation and individual:
Lack of communication: Commination play's an effective role in an organisation. If
their is lack of commination within organisation they it will lead to decrease efficiency among
employees. Herein, an organisation need to render clear and effective information so that works

can be carried out effectively so that goals and objectives can be achieved within stipulated
period of time. If there is lack of communication in between staffs of Avivia and AEGON
company they not able to attain goal and objectives in effective manner. This is so because
employees not able to understand objectives in effectively which affect there working and
production.
External barriers of organisation and individual:
Technology: In an organisation technology play's a equivalent role in bring up
productivity and profitability in operating business function and activities. If technologies are not
adopted in an effective manner then it will lead to decrease productivity as will lead one of the
external barriers for change of management structure. Therefore such change in management
greatly influence the decision making of leader for rendering trainings session so that each
employees be aware about the use of updated technology. Due to which both the respective
company manger and leader has to do market research on continuous basis and innovate as well
as update there product, process and services with new technology. This will help them in
attaining goal and objective in effective and appropriate manner.
Below is description of some major barriers of change which influence decision making of leader
in AEGON:-
 Lack of employee involvement:- It is the most communal obstacle of alteration
management process. In an organization employees always have fear of change, unless
they get involve in management process of change (Burke, 2017).It is also biggest
mistake for leader of a firm that their employees are not involving in change management
process. Efforts of leader can get successful when their employees get involve in the
alteration administration procedure as mush as possible. Worker involvement means
sensing to thought, accounting for output and ensuring employees that change is good for
the organisation as well as for them. AEGON's leader decision making get influenced by
lack of involvement of employees because they have fear of change due to which they are
not giving their ideas and opinion in decision making. Along with this decision making of
Avivia company also get influenced when employees involvement is low this is so
because leader not able to motivate all to work in effective manner and not all staff
involve in decision making. Due to which leader not able to develop decision which is
effective and appropriate.

 Competitive Forces:- Competition, external threats, technological change, market
condition and economic forces are some of the common barriers of change management
process in an organization (Tang and Hallinger, 2014). All these forces influences the
decision making of leader because when there is change technology, market condition
and other competitive forces organization leader has to update and make new strategy
and plan according to the current situation. Like in AEGON the leader make their
decision by analysing and evaluating competitive forces such as competition, external
threats, technological change, condition of market and economic forces so that, it will
help respective organisation in growth and earn more profit. This will also affect decision
making of Avivia company's leaders because they have to change there decision
according to change in competitive forces. If they not so so customer change there
preference and move to competitive brands.
 Integration:- Implementing and managing the change in an organization is considered
as re-engineering an aircraft while it's in flight. Change management process is always a
moving target. A leader of an organization should implement that system of business
process which support change, as change occur in organization structure or process
employees turnover will goes parallel. Leader of AEGON make such strategies and plan
which support the change process and help in smooth functioning of the respective
organization. Along with this manager and leader decisions of Avivia company get
change and influence by change in integration and accordingly they have to develop
strategies and plans.
 Unknown current state:- Change is always important but difficult for an organization
which have lack the idea of their current situation or state. For some entities it is a
common habit that innovate and utilise alteration without administration an analysis and
knowing actual state or blue print of firm. To get over it leader of workplace must
analysis and fully understand current blueprint of organisation before try to introduce any
change. The leader of AEGON go through blueprint or situation and understand it clearly
before making any decision, it is because it become easier to plan and transition the
future state or situation. When any unknown situation occur decision making of Avivia
company leader and manger get influence because they are not about the situation. So it

is responsibilities of manager and leader to do market evolution in regular basis and make
decision accordingly.
 Organization Complexity:- There are some situation when organization begin to create
complex procedure, devising of planning procedure and use modification bit tangled
(Jones and Harris, 2014).The complexity include complex process, products and system
all those which contribute to change barriers it is so because it is difficult for leaders and
members of organisation to understand it. To overcome it leader of AEGON introduce
and develop a keen and skilful approaches which help in tackle respective organization in
fast growth as well as complexity. The respective company can interruption or confront
this obstacle by employing persevering, attribute and extremely effectual and alteration
administration conceptualisation. When any complex situation occur in Avivia
organisation there employer develop decision and strategies accordingly which help them
in overcoming from situation in order to attain goal and objective in effective manner.
There are other many barriers of change management process which affect the leaders
decision making process in AEGON and Avivia, but there are also ways through which
respective company can avoid or overcome there barriers, which make easy to implement the
change management process in AEGON as well as Avivia company.
TASK 4
P5. Apply different leadership approaches to dealing with change in a range of organisational
contexts
Leading is quality of an individual or grouping of people to causing and guide following
or other associate of an organisation. It affect establishing a unsubtle imagination, sharing vision
with others so that follow willingly, render data, cognition and methods to gain that vision
(Fykeand Buzzanell, 2013). Moreover, coordinative and equalization contradictory interest of all
members and stake holders. Further, leadership style is manner and approaches providing way,
utilise plans and encourage large group. In organisation employees includes total pattern of
explicit and implicit actions perform their best as leader that is beneficial for an individual as
well as organisation. The various leading concepts handling with alteration in organisation of
AEGON are as follows:

Trait Approach: Trait approach of leading face for a ordering of corporeal, intellectual,
or attribute ability that effectual leaders have that neither non leaders nor uneffective leaders
possess. In this theory a leadership is an early assumption that leaders are born due to belief,
possess correct qualities and traits that are essential in a trait leaders this approach of leadership
defines or identifies behaviour characteristics that are beneficial for an organisation. If AEGON
follow this leadership approach then, a leader should have abilities to deal with challenging
situation. In this approach success and failure lies within hand of respective leader who is
handing business. Moreover, implicit in this approach is assumption that traits produce patterns
of behaviour of employees in consistent situation.
Situational Approach or leadership : A situational approach is a set of values and
attitudes with which an individual or group has to deal in process of activity and with regard to
this activity organisation plan and results are appreciated (NHS England,2016). In organisation
context to AEGON, situation sometimes become complicated affairs and become difficult for an
leader to deal with complex situation. Moreover, this approach influences constraint of a leader
who must adapt his own style of leadership to handle different situation. Further, this approach is
revised over period of time so that is used extensively in an respective organisation and
development.
Along with this Avivia company leader and manger adopt situational leadership approach
in order to develop appropriate decision and strategies according to situations. Such as manger of
respective company will develop different different strategy for conflict situation and fast
changing situation. Like for resolving conflict they make rules and regulations, strategies and
motivate employees for resolving conflict. Whereas for fast changing situation they will provide
training session which help employees in adopting situation in effective manner.
Functional Approach: The functional approach on other hand, posits that it is not series
of leadership characteristics that make a leader, but rather a leader is some one who acts like and
communicate by leader. One of the important task of functional leadership is to provide
appropriate guidance to all members. Moreover, it also assume that leadership is defined by
behaviour of a leader and its corresponding effect on team or group of members. In organisation
context of AEGON, this approach of leadership help a leader to examine different sets of
function activities that are necessary for an organisation. Moreover, this type of leadership works
for creation or formulation of an organisation purpose and achieving its objectives. In essence, a

function leader should have a clear vision and creating task that are necessary to help an
organisation in accomplish that vision. Thus, this leadership provides effective role so that an
individual provides to an individual and group to meet needs of respective organisation.
Rational Approach: Rational approach of leadership focuses not on traits, characteristics,
or function of a leader, but instead focus on types of relationship that develop between leaders
and followers (MacKian and Simons, 2013). In an organisation context to AEGON, a rational
leader have capacity to think rationally due to consequences, discover causes and think logically
to have a rationality in their decision making process. In this type of leadership, the leaders are
not emotionally week they take decision which is beneficial for an individual as well as
organisation.
Lewin's change model: It is one of the common theory of change. It basically provide
framework to managers or change agencies which help them in implementing change in every
situation in effective and efficient manner. The AEGON and Avivia company use Lewin's
change model to develop framework which help their leaders to plan strategy according to the
situation. Description of model is given below:-
 Unfreeze- The unfree process help in this leaders of Avivia company as well as AEGON
to determine the need of changes and ensure it with strong support for management that
change is required in their organisation.
 Change- In this step of Lewin's change method the managers and leaders of both the
respective organisation need to communicate changes as to overcome rumours related to
the change in respective company (Hrebiniak, 2013). moreover, this help to design and
play strategy action by involving peoples or employees in the change process.
 Refreeze- In this step the AEGON and Avivia company mangers develop various ways
through which they sustain changes in their organisation in effective manner. It help them
to design training and development plans for their employees or staff according to change
or requirement. Thus, this help employees to enhance their skills and knowledge and
complete work in effective manner.
The above discussed are different approaches of leadership that help AEGON as well as
Avivia company to know which leadership in suitable for their organisation. Herein, they should
be appropriated in choosing best leadership approach that is beneficial for achieving their goals

and objectives of organisation. Moreover, leaders should able to handle with changes that occur
frequently in workplace and able to meet right decisions according to situation.
CONCLUSION
From the above discussion it has been concluded that, in a business changes is continuous
in nature. Both internal and external factors influences activities of an organisation. Company
has continuously influenced by changes that have impact on organisation strategy and operations
activities of an organisation. They have also evaluated different internal and external drivers that
have effected leadership, team members and individual behaviours of employees in an
workplace. They have used appropriate theories and models to overcome with changes that
result in ineffective for their organisation. Moreover, measures are adopted certain measure to
minimise negative impacts of organisation change behaviour. Further, by implementing different
approaches of leadership that help an organisation to deal with various organisational changes
that result effective for their organisation.

REFERENCES
Books and Journals