Understanding and Leading Change in Marks & Spencer, Tesco, and Nokia

This document discusses the drivers of change in Marks & Spencer and Tesco, the impact of change on their structure, strategy, and operations, and the response of both companies to change. It also explores the barriers for change in Nokia and the influence of these barriers on leadership decision-making. Measures to reduce the negative impact of change are also discussed.

PROJECT SUBMISSION FORM
Unit Number & Unit
Title
Unit 17 UNDERSTANDING AND LEADING CHANGE
Project Title Marks &Spencer andTesco and Nokia
Signature: ……………… ……………………… Date: ___________________
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Table of Contents
INTRODUCTION..........................................................................................................4
ACTIVITY 1...................................................................................................................5
MARKS & SPENCER and TESCO...........................................................................5
P1..............................................................................................................................5
M1 Different drivers for change.................................................................................8
P2 ways in which internal and external drivers of change affect leadership, team
and individual behaviours in organisations...............................................................9
M2 Response of Marks and Spencer and Tesco to change..................................10
P3 Measures to reduce negative impact of change...............................................11
D1 Change impact analysis....................................................................................13
Activity 2 (NOKIA).......................................................................................................14
P4 Barriers for change............................................................................................14
Determination of influence of barriers on leadership decision-making in Nokia.....15
M3 Force-field Analysis in Nokia.............................................................................16
D2 Force field Analysis and its influences on leadership decision-making to meet
organisational objectives of Nokia..........................................................................16
P5............................................................................................................................17
CONCLUSION............................................................................................................20
REFERENCES...........................................................................................................21
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INTRODUCTION
a) Change
Change can be defined as a process in which companies and organisations
modify their working methods and aims, in order to develop new situations and deal
with new situations in the environment of organisation (Odor, 2018).
b) different types of changes in an organisation
Strategic change- Strategic change is changes in the organisation that are different
from its present state and change leads towards some desired future state to
improve organisational condition. This change involves congruence among
organisational strategy, structure and human resources systems and larger
environment of the company.
Structural change- Structural change involves change in hierarchy of authority,
objectives, structural characteristics of organisation and, procedures for
administration in and management systems. This can also be considered as
restructuring company meet organisational objectives more effectively.
Process-oriented change- This is another type of change and this involve
reengineering of processes so that organisation can achieve optimum productivity.
Process-oriented changes are generally related to manufacturing process or how
organisation assembles products and delivers services.
People-oriented change- This type of change modifies attitude, behaviour, skills
and performance of employees in an organisation. This involves processes involve
communicating, motivating, leading, and interacting within groups.
c) key differences between planned change and Emergent change
Planned change are those changes that organisation develop and implement with an
aim to achieve long term objectives.
Emergent changes does not follow any big upfront plan.
Certain other changes in planned and emergent changes are as follows-
Basis Planned change Emergent change
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Controllability of change Controllable Continuous process
including experimentation
and adaptation
Clarity Clarity of beginning,
middle and end of the
change
Not clear. Because it is
multi-level cross-
organisational change
Time involved Time consuming Messy and sometimes
inefficient
Responsive Less responsive to change Responsive to changing
strategic drivers
d) How change can be perceived as positive?
Some ways are there in which changes can be perceived positively. This
means that organisation when becomes able to utilise opportunities and deal with
potential threats, change becomes positive. Change can also be perceived positive
when it increase business efficiency, employees’ morale, motivation and encourage
innovation within business organisation.
e) How change can be perceived as negative?
Change can also be perceived negative when changes cause stress and also
cause loss of loyalty and for organisation when change cause losses in productivity,
profitability and revenue, change is perceived negative. Organisational change also
reduces and negatively affects morale and motivation of employees.
ACTIVITY 1
MARKS & SPENCER and TESCO
P1
a) Drivers of Change
Drivers of changes are those factors and elements that encourage change
implementation in organisation (Dølvik and et.al., 2018). Drivers of change are of two
types that are internal and external changes. Internal changes are those that that
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come from internal environment and external changes are those that come from
external environment.
b) Drivers that brought change in Marks & Spencer
Technology
Technology has become very important for success of organisations in
modern business environment. Along with this it is also one of the key drivers of
change for Marks and Spencer. Marks and Spencer is focusing on digital-first and
technology drivers this change within organisation.
Customers
Customer is another driver of change and this is external driver. Changing
requirements of customers required Marks and Spencer to bring change within
organisation to cope up with changes in customers and their attitude.
Competitors
Competition in retail industry is getting stronger and this is because of
innovations being adopted by competitors (Lines and Reddy Vardireddy, 2017).
Competitor also is a force for change in organisation and enables Marks and
Spencer to achieve competitive advantage.
Inventions
Marks and Spencer have strong capabilities for invention and they also
become a driver for change in organisation. Invention is concerned with new
developments within Marks and Spencer and when they increase organisational
efficiency they become drivers for change.
c) Drivers that brought change in Tesco
Capabilities
Capabilities refer to those factors that enable organisations to take advantage
over competitors. Utilising these capabilities Tesco implement change within
organisation using capabilities of organisation.
Resources
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Resources also contribute and encourage changes in Tesco. This means that
Tesco can bring changes to improve conditions and operations of Tesco and to
improve productivity and procedural changes in organisation.
Dissatisfaction
This means that organisation willing to perform better than their competitors.
This means that when Tesco is not satisfied with its existing practices and aims to
improve its performance (Satta and et.al., 2019). This dissatisfaction encourage and
force changes in Tesco.
Investors
Investors are also a force for change within Tesco. Tesco is responsible for
increasing wealth of investors and this is why it brings changes in organisation in
order to ensure that investors are able to get best return.
d) Compare Marks and Spencer and Tesco regarding impact of change on their
structure, strategy and operations
MARKS AND SPENCER TESCO
ORGANISATIO
NAL
STRUCTURE
Organisational structure of
Marks and Spencer has
become more flexible and
adaptive and dynamic.
With change Tesco’
organisational structure has
also changed and this involved
changes in formal roles and
jobs, control system, and work
processes.
STRATEGY
Marks and Spencer has
adopted a digital first strategy.
Through this strategy Marks
and Spencer mainly focuses
on digital elements of the
company and its working
practices.
Strategy of Tesco involved
introduction and
implementation of self-service
check out system throughout
its network. This means Tesco
has adopted a strategy for
customer satisfaction. This
strategy has helped in
significant growth and success
of Tesco.
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OPERATIONS
Operations have also changed
in Marks and Spencer
because of significant
technological involvement.
This means that in its digital
first, it has significant focus on
its online retail operations and
this way, operations of Marks
and Spencer has significantly
changed.
Operations of Tesco have also
changed as earlier in traditional
retail operations check-out and
payment required cashier
(Kansal and Singh, 2016). But
in changed operations and
adaptation and implementation
of self-service check-outs there
is no requirement for cashier.
M1 Different drivers for change
 Which drivers brought Positive Changes in Marks and Spencer?
Technology brought positive changes in Marks and Spencer. This is because
technology improved overall functioning of the organisation and enhanced its
operations. Digital technology has become very important in present business
environment and Marks and Spencer have also had benefit from adopting
digital first strategy.
 Which drivers brought Negative Changes in Marks and Spencer?
Competitors have brought negative change in Marks and Spencer. This is
because on the basis of competitors and their strategies Marks and Spencer
have to take decisions that can create complexity in organizational practices.
Because of increasing competition changes several times does not offer much
time and this also affect morale and motivation of employees.
 Which drivers brought Positive Changes in Tesco?
Dissatisfaction, this is a driver that brought positive changes in Tesco. This is
because this driver of change allows for constructive changes in organization
and is aimed at improving existing practices of the organization (Kansal and
Singh, 2016). Tesco through this driver has managed to effectively bring
change in organization and work on customer satisfaction.
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 Which drivers brought Negative Changes in Tesco?
Investors, though it is not completely negative force but many of the time
pressure created by investors become negative in organization. This requires
immediate changes and through this organization does not get enough time to
prepare for such changes. This negatively impact and influence morale and
motivation of employees.
P2 ways in which internal and external drivers of change affect leadership, team and
individual behaviours in organisations
Organization have clear dependency on interaction with external environments in
order to get into proper survival and growth. This will get into the environment inputs
transforming with help of various process and export output in business environment.
There are many ways I which internal and external business environments can
drive out organizational change.
The business environments is constantly interacting and responding to
organizations making up necessary changes in respect to internal environment
which sometime create pressure in internal forces also leaders can influences up
colleagues and guiding them holding a effective positions in achieving our business
goals. different leadership style is affecting external factors with organizational
environments, organizational resources, role of employee, culture with respect to
political factors and technology.
Leader are mainly dependent on the resource of organization such as
technology, finance and physical resources to help achieve their goals. On the other
hand, employee pays important role defined in respect to different roles and
responsibilities and different way to approach task impact on career development in
significant manner. They have need to work of business ethics and personal values
as difficulties in role can lead to face up several consequences in business
development in various aspect.
Cultures is mixture of presents and past leaders being normally difficult in
change in business cultures. As long being held in business. This is affecting leader
actions and way of making decisions. As the positive impact’s leader have good
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knowledge regarding suppliers m customer and respective competitors in way of
determining economic ad current political factors effecting the market place.
On the other hand, technology have been continuously changing business
market in dramatic manner. Leader have to change the different management styles
making up adjustments regrading addition of new technology. Everything is
impacting team ability with completion of task changing organization succession how
it can move forward. Team will have communication establishments for
improvements of outcomes involving out the sharing of ideas. On the other hand,
team will no leadership and communications will not be able to establish trust
between themselves leading to inefficient work process.
On the other hand, management process has clear aims to get into success by
decreasing up resistances against change. The change management is creating up
the psychological impact on the employees as the making up every modification
leads to resistances into organizations. the company have to make ease in
implementation of change to make finalization of process with management
concepts. The psychological effect on employees will create up employee with shock
of new, inconveniences, fear of failure.
There are other changes and uncertainty which is creating up here major level
of mod swings and emotional liability such as increase in negative emotions such
as irritability, distractibility, sadness, worry, agitation or passivity. Leader have the
need to arrow up their attentions with precipitating increase in errors for omissions.
Employee tends to develop tendencies to operate closer on the worst self-creating
lower level of trust and increased cynicism. Hence it is merely responsibility of
manager and leaders to mitigate the psychological impact to reach out the aim of
change management.
M2 Response of Marks and Spencer and Tesco to change
 Tesco using Systems theory
System theory is an interdisciplinary study of systems. Organization is also a
system which is made up of interrelated and interdependent parts. System
theory approach considers that organisation is an open system and must
interact with its environment in order to survive. By using this theory Tesco
can response effectively plan and get ready for the change (Teece, 2018).
This means that Tesco requires considering different elements of its
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environment affecting change and link and coordinate all these elements for
successful change. This also helps in planning and preparing for change by
effective organisation of different factors of change in internal and external
environment of change. Identification is possible identifying and applying
system theory.
 Marks and Spencer using Burke-Litwen Model
Figure 1 Burke-Litwen Model
This model involves 12 elements that are grouped according to the elements
group and are connected with each other. These elements influence each other,
these dimensions are mentioned in above figure. Marks and Spencer can get help
from this model and planning and preparing for change. Marks and Spencer can
utilise this model by assessing organisational and environment factors, that Marks
and Spencer requires adapting for change (Olivier, 2018). As this model outlines
different factors causing change in Marks and Spencer and this model also outlines
different elements of organisation through which organisation can successfully adopt
and implement change.
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P3 Measures to reduce negative impact of change
There are several strategies which leaders must do that are kind of harder
than termination the employment of someone. The purpose to decreases the
negative impacts on workers as well as protecting morale within a firm is to assure
separated staff members at each department should be treated with respect
(Upchurch, 2020). It is also noticed that there is no proper approach in order to
handle workers separations. There are five strategies to reduce such negative
impacts that are mention below.
No surprise, please- Workers get instinct when there is instability within firm,
especially when it is related to job eliminators and restricting. Open, transparent and
honest communication results in developing trust between them as well as
leadership. By the help of the advance signalling that means there is a change within
the air will provides people an opportunity so that prepare emotionally and mentally
both regarding change. In addition to this also gives a better platform for pivoting as
well as moving forward when change has occurred.
Engage Employees within conversation - The concept of performance
management is transforming enabling for quick, reliable as well as less formal
conversation. When it’s about the issues of performance a worker underperformed
within a role for a long period that crumbles their self confidence as well as progress.
Discuss various strategies whenever possible in order to help worker’s performance
that involves agreeing on transition plan.
Consider Notice- Working notice can lead to provide an effective process for both
employees and firm. It is relied on the core beliefs that where trust as well as respect
is also extended. For such thing to be applied there is a requirement of clear
communication between employees, HR and manager (Amis. and Janz, 2020).
Whenever possible, such approach enables workers the time to complete projects,
accommodate news and begins to prepare them for job searching.
Create a culture of learning-this means people can take new challenges as well as
develop their leadership and functional skills in order to set up for success within
future as job security is not something that can be guarantee by an employer.
Learning a culture must be mandatory for all workers within the firm. Staff members
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who have successful learned new skills as well as capabilities must be recognised
as well as boosts in order to gain the knowledge.
Provide Career Transition Support- For the most talented, successful professional,
job loss is also difficult and stressful life experience. Thus, by engaging with a career
consultant gives people a platform so that they can reflect on strength, clarify goals
as well as develops strategies in order to aids them within a well aligned job.
D1 Change impact analysis
Change impact analysis is concerned with analysing impact of change in
organisation. Bohner and Arnold provide a framework for analysis of impact of
change. Impact analysis is detailed study of activities of business, its dependencies
and infrastructure (Alkaf and et.al., 2017). This also reveals delivery of key products
and services and also examines possible effect of a disruptive event over time. As
per Arnold and Bohner, there are three main types of impact analysis-
Traceability Impact Analysis
This impact analysis define and develop link between requirement,
specification, design element and tests, analysing their relationship to determine
scope of an initiating change.
Dependency Impact Analysis
This impact analysis is utilised to determine depth of effect on a system.
Experiential Impact Analysis
This involves utilising prior experience of experts in the organisation, this
impact analysis, analyse what happened in similar situation in the past to determine
possibilities of future.
On the basis of this it can be said that in different situations there are different
impact analysis required. This means that if change in organisation is being repeated
experiential analysis can be utilised and when change is aimed at making impact on
organisation Dependency Analysis can be done.
Marks and Spencer and Tesco can utilise this model to analyse impact of
changes in organisations.
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___________________________________________________________________
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Activity 2 (NOKIA)
P4 Barriers for change
Barriers for change are those factors that cause difficulty in implementing
change and then create difficulty in ensuring success of the change as well. There
are two types of change barriers that are organizational and individual barriers
(Parsons and et.al., 2016). Organizational barriers are those factors that are created
from organizational factors and individual barriers are created by individual factors.
Organizational barriers
Lack of or unavailability of resources
This is one of the most important barriers for change in organization. This
means that when organization does not have adequate resources organization will
not be able to implement designed change within organization. This is specifically a
barrier when implementation of change requires resources and investment.
Improper leadership
Leadership is important to lead change and guide and direct employees to
ensure successful change implementation. However, leadership when is not
adequate and leader is not competent, it can cause barrier for change.
Unclear goals and objectives
When goals and objectives related to change are not clear, till then
organisation will not be able to ensure successful change implementation. Goals
and objectives are concerned with motive behind change and what organisation
wishes to achieve from the change.
Environmental barrier
This means that when organisation has developed and designed plan for
change but organisational environment is not suitable for the change it become
barrier for change within organisation. Environmental barriers involve, internal
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environmental factors of organisation and when they does not support planned
change in such situation it is a barrier for change.
Individual Barriers
Fear of uncertainty
Changes bring different types of results and employees in organisation might
fear uncertainty and losing in their job (Khanal and et.al., 2019). Because of this
individuals create barrier and resist changes in organisation. Technological changes
often create such situation and barriers for change.
Psychological barriers
Changes are likely to bring discomfort and employees are required to work in
an new environment of organisation and an established psychology fear changes
and cause psychological barriers. Psychological elements cause employees to resist
change within organisation.
Discomfort
This means changes in organisation bring discomfort for all employees in
organisation and this is why they get encouraged to resist change in organisation.
This reason becomes barrier for change.
Determination of influence of barriers on leadership decision-making in Nokia
Barriers have different impact on decision-making in Nokia. This means that
leaders and managers have to consider different barriers and how they will impact
change implementation in organisation.
Leadership decision-making requires understanding and predicting possible barriers
that planned change can get affected by. Further leadership also requires analysing
potential behaviour of employees and members of organisation that can affect
change and its success (Parsons and et.al., 2016). On the basis of this leaders are
required to analyse different possible options that has least barriers involved.
Leaders in Nokia are also required to analyse requirement of resources and
investment involved in order to ensure that Nokia is prepared with its environment,
human resources, equipments and material required for the change.
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M3 Force-field Analysis in Nokia
Force-field analysis is a widely used tool in change management and is used
to understand change processes in organisation. This involves analysis of driving
and resisting forces to achieve and realise a goal of the company (Smartt, Casey
and Ferreira, 2018). During its change management Nokia Force-field Analysis can
be used by company.
Force Field Analysis
Driving forces for
Change
Changes
Resisting forces for
change
Higher and improved
quality
Stress and discomfort
change
Competition Individual and employee
resistance
Increasing cost Insecurity
Changes in Technology
Changes in Legislation
This outlines driving and resisting forces for change in Nokia. This has
significant impact on decision-making within organisation. Driving force positively
influence decision-making, in which considering driving forces Nokia has to make
decision regarding how they can improve and enhance effect of driving force. This
means demand for higher and improved quality is a driving force and Nokia has to
make decisions how company can improve quality and decision can also link with
other driving forces. This mainly depends on approach of organisation in their
decision-making. Nokia has to consider whether they want to reduce impact of
barriers or want to improve effect of driving forces.
D2 Force field Analysis and its influences on leadership decision-making to meet
organisational objectives of Nokia
Force-field analysis has significant impact on leadership decision-making and
meet organisational objectives of Nokia. Force-field analysis outlines different forces
that drive or resists organisational change. In organisational change leadership plays
a very important role and decisions of leadership decision-making create basis for
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implementing change within Nokia. Concerned with leadership decision-making
regarding change in Nokia, leaders are required to focus on driving force for change
and also required to make decisions regarding reducing impact of barriers of change.
Leadership decisions also required considering elements like removing and dealing
with human resistance in change, along with this leadership decision-making also
involve communicating vision for the change (Shrivastava, Shrivastava and
Ramasamy, 2017). Further leadership decision-making based on force-field analysis
also involve identifying and determination of factors affecting driving factors and
those factors affecting resisting forces in order to ensure overall success of change
implemented in organisation.
P5
1) Application of Situational leadership, Kurt Lewin’s change model and Kotter’s 8-
step change model in context of Nokia
a) Situational Leadership
Situation leadership theory is one in which leaders are required to adopt
leadership styles that is according to situations and development level of employees
and subordinates. This means that leadership is based on commitment and
competence of employees in Nokia. On the basis of these elements situational
leadership style outlines four styles that are-
Telling
This style of adopted by leader when commitment and competence of subordinates
both are low. In this situation leader is responsible for telling what to do and also
responsible for telling how to do it.
Selling
This is another style of leadership in which subordinates are having low competence
but their commitment is high and this is why leaders partially get involved in
leadership (Thompson and Glasø, 2018). This means that leaders inform
subordinates about what to do and they share different possible ways in which
subordinates and members can achieve their goal or complete their task. Followed
by this subordinates are required to select one way that is suitable for them.
Participating
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Participating style of leadership is one in which subordinates are highly competent
but their commitment is low. In this situation leaders in Nokia are expected to
participate and work with subordinates and make decisions together. Leader also
support and encourage subordinates.
Delegating
This is a style in which leaders in Nokia delegate decision-making authority to
subordinates and but keep monitoring their work.
b) Explain Kurt Lewin’s change Model
Unfreezing
Unfreezing involves practice through which organisations work in unlearning
existing practices of employees and prepare them for upcoming changes. This
involves creating requirement for changes and communicating to employees with
vision behind change (Burnes, 2020). Nokia in this requires informing employees
and those who will participate in change process regarding need of change and
prepare them for change in organisation.
Freezing
This is another stage of change and in this stage, change is implemented in the
organisation. Nokia requires providing required support to employees so that they
can perform effectively in new processes. They are required to rewarded for their
small achievement in order to motivate and encourage them.
Refreezing
This stage of change model focuses on ensuring that new practices have become
part of working life of employees and they are again comfortable with new work and
practices. In this stage of change management employees and Nokia get used to
with new process and practices within organisation.
c) Kotter’s 8-step change model
Creating a sense of urgency (for change)
This is a step in which Nokia and change agents in Nokia require creating
sense of urgency. This is often created by communicating what opportunity company
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can lose if change is not implemented and other than this, it also involve what bad
company can face if change is not implemented.
Create the guiding coalition
This is concerned with convincing people that change is necessary and then
Nokia require to identify people who can lead change and contribute its
implementation.
Establish a vision and strategy
This is concerned with establishing vision for the change and strategy for
change (Haas and et.al., 2020). Vision helps everyone in understanding what Nokia
will achieve through change and strategy helps in understanding implementation and
possible success of change in Nokia.
Enlist a volunteer army
This is concerned with enlisting a volunteer army for change implementation
in organisation. This means that identifying people who can volunteer in process of
implementing change.
Enable actions by removing barriers
This is concerned with identifying and removing barriers associated with
change implementation and through this company can ensure effective performance
during change implementation.
Create short-term wins
This involves identifying and celebrating short-term wins and success
regarding change implementation. This is aimed at increasing motivation and morale
of the employees.
Sustain acceleration
This is concerned with sustaining acceleration for the purpose of change
related to change implementation. This also involves increasing speed for
implementation and process of the change.
Anchor new approaches in culture
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This is concerned with implementing new approaches in culture of Nokia. This
also involves creating and developing new behaviours within organisation and
criteria for decision-making.
M4 Effectiveness of the above leadership approaches and models of change
management in delivering organisational change
Above discussed approaches for leadership and change management are
highly effective. This is because situational approach of leadership help leader in
modifying their approach during each stage of change. Models of change are
effective as they help in determining suitable steps that company can take in order to
ensure success of the change within organisation. This means that these models are
guiding tools for the Nokia when company is about to bring change in its practices
and processes and also when it experience it difficult to bring change because of
different organisational and individual barriers.
D3 effectiveness of leadership approaches and models of change management
Above discussed approaches of leadership are effective as leader can modify
their approach of leadership on the basis of situation but this requires that leaders
are experienced, unless there will be no effect of this approach. This is because for
every leader it is not possible and easy to change according to situation and if they
do so, it can affect their leadership success. Concerned with models of change
management they are guiding tools but along with this models are only useful when
company employs planed change, otherwise these models are not useful.
CONCLUSION
On the basis of above discussion, it can be concluded that change is integral
for sustainability and growth of organisation. This is because change helps
organisations in identifying ways through which they can achieve success for future.
However, change in not self-driven there are factors that drive change in
organisation and these drivers come from both internal as well as external
environment of organisation. These drivers were discussed in report later report also
discussed effect of change drivers on leadership, team and individual behaviour
along with ways to minimise negative impact of change in organisations. Report also
discussed change impact analysis. Followed by this report discussed different
barriers for change and its impact on decision-making of Nokia and later discussed
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different approaches for leadership. This also discussed regarding different theories
of change management.
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