Table of Contents INTRODUCTION...........................................................................................................................1 TASK 1...........................................................................................................................................1 P1.Different organisational examples where there has been an impact of change on an organisation’s strategy and operations........................................................................................1 TASK 2...........................................................................................................................................2 P2. Different Ways in which internal and external drivers of change affect leadership, team and individual behaviours within an organisation.....................................................................2 TASK 3............................................................................................................................................5 P3. Measures that can be taken to minimise negative impacts of change on organisational behaviour.....................................................................................................................................5 TASK 4............................................................................................................................................7 P4. Different barriers for change and determine how they influence leadership decision- making.........................................................................................................................................7 P5. Different leadership approaches to dealing with change in a range of organisation...........8 CONCLUSION................................................................................................................................9 REFERENCES..............................................................................................................................10 INTRODUCTION
Understanding and leading change prepares participants to meet the problems which occurs with initiating and implementing changes. There are various reasons of raising change within an organisation such as change in consumers needs, competitors, substitute products and various others. This assignment is based on AEGON group, it is one of the world's largest life insurance and pension company. This organisation was founded in 1983 and provide various financial services such as life insurance, asset management and pensions. In this report explained about ways of change and their impact on organisation's strategy and operations. Drivers of changethat influencesorganisationalbehaviour,barriersof change thataffect leadership decision making and leadership approaches to a change initiative are defined. TASK 1 P1.Differentorganisationalexampleswheretherehasbeenanimpactofchangeonan organisation’s strategy and operations. Change is a systematic approach to dealing with the transaction or transformation of an organisation's goals, process and objectives. It can be a process of making change in tools and techniques to mange the resources of the company to achieve the required business goals and attract more consumers for the growth of the organisation (Alvesson and Sveningsson, 2015). There are various reasons for change in AEGON but one of them was that this organisation was not well known by customers. They had developed good products and services and had a good reputation with distributors particularly in the area of pensions which were a strength of Scottish Equitable however it was not well known by its customers in areas other than pensions. So company made change in some ways such as its strategies and operations and it compared its change with Metlife In. It is the holding corporation for the Metropolitan Life insurance company better known by its consumer as Metlife.This company is founded in 1868 and provide products such as Insurance, Annuities and employees benefits etc. this company provide its services with 90 million customers in over 60 countries. The comparison ofways of change in which change impacts on an organisation's strategy and operations (Hintz and Bahia, 2013). Effect on AEGON's Strategy and Operations Effect on Metlife's Strategy and Operations Organisational structure This organisation used centralised structure. It make change in the companybyprovidingthrough opencommunicationwith This organisation use decentralized structure.Itmakechangeinthe strategy of the company because in it, there are no need to organise any
employeesandparticipationof them in decision making process. So that it can involve their views andiftheyarecorrectand favourableforthecompany.It createpositiveimpactonthe organisation'sstrategyby enhancing productivity and profit. meeting and invest time or cost on that. Here are decision and polices arealreadymadebythe managementdepartmentandthey are followed by the employees. This createpositiveimpactonthe operationandstrategyofthe company because it is time saver processandhelpinenhancing productivity of the company. Technology Tomakechangeinthe promotionalandadvertisement technologiesofthecompany, organisation impact positively on the strategy and operation. This technologicalchangemake changeinthestrategyofthe companysuchasbeforeuse newspaperandotherlowlevel advertisementchannelsthatare not connect more customers but now using new technologyand different channels of promotion thatcan awareconsumerswith the products and positively. They createpositiveimpactonthe business of the company because they are less coat effective and time consuming. By using new and other technology companymakechangeinits productionandprovideproducts according to the consumers needs that create positive impact on the firm (Daft and Marcic, 2016). For changeintechnologythechange willoccurinthestrategyofthe companyfro example, before the company solve problems of various customersonebyoneordirect communication but now these days they use new technology and solve the problems by providing various applications.Thatcreatepositive impact and save time or cost of the organisation. Marketing strategy By promotional sales strategy, the companydesignthe advertisementoftheproduct which attract and add customers beliefsandemotionswiththe productsorservicesthataffect theorganisationeconomic condition and productivity. This increasetheproductivityand profit of the company that effect positively and save the cost and time of the company. Byusingdifferentchannelsof promotionthatcanattractmore customers.Forexample,ifthe company use internet to promote its product that impact the strategy and operation of the company because it reduce and save time or increase the productivity. For example, company usesocialmediatopromoteits products.Thisimpactpositively because most of the people use this technology and they get information about the product.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
TASK 2 P2. Different Ways in which internal and external drivers of change affect leadership, team and individual behaviours within an organisation. Drivers of change They are those factors that brings change in the business of the company. These factors help in investigate the key global problems and issues that trends drivers of changein the business of the company. There are two type of drivers, internal and external that make change in the business ofAEGON and affect leadership, team and individual behaviours within the company. There are various methods such as SWOT analysis, PESTEL analysis etc. that can be used by the company for drivers of change according to internal and external drivers. Internal drivers-Theseare those factor that affect the company internally and managed by the organisation easily. It can be an internal pressure that shapes change and force the organisation to make change in the strategy and technologies that are used by it for running or operating the business (Holmes, Clement and Albright, 2013). It include change to strategy, plans, resources, capabilities, investors, dissatisfaction, desires and others. Fro this company use SWOT analysis as a method of internal drivers of change (Hrebiniak, 2013). SWOT analysis StrengthsWeakness Global presence in the market and produces variousproductsaccordingtheconsumers needs. Multi channel distribution to reduce the risk of distributionandstrongbalancesheetthat provides resilience for market developments. Lack of customer awareness with the brand and product of the company. Promotional channels and technologies are not good that are used by the company. OpportunitiesThreats Growing life insurance market in USA Variousopportunitiesindifferentcountries suchasChinaandIndiaforoperatingthe business. Changeingovernmentrules,regulations, policies and legislations. Increase competition fro capital in the market.
External drivers of change-These are those factors that affect the company externally such as customer, technology, capital, competitor, government etc. There can be some factors that impact the ability of a business or investment to achieve the strategic goals and objective of the company that are set by the management department of the firm. For this company use PEST analysis for external driver of change. PEST analysis Political factor- It is another factorand driver that impacted the business of the company. It basically related to the change organisations in polices, rules and legislation cause of change in government laws and regulations.For example, it can be related to channels in government policies and laws etc. InAEGON, the government imposed price controls had profitability in compression tom its competitors. Economic factor-This factor and driver is related to the inflation rate, saving rate, interest rate and foreign exchange rate etc. and they impacted the business of the company. AEGON operate its business internationally so exchange rates & stability of host country current create impact on the business of the company. Social Factor-This factor is related to the society's culture and way of doing things which impacted to the business of organisations. For example, In AEGON, class, gender, age and others impacted the business. Educational level as well as education standard also affect the business positively and negatively. Technological factor-It is the external factor and driver that impact the business of the company. This is the most important driver to make change in the business of the company. For example, the organisation were not using correct and appropriate promotional technologies so it could not provide proper information about the products that affect negatively. Because the consumers had not information about the services that are provided by the company so they were not invested in other products and services such as life insurance, asset management and others (MacBeath, 2013). Drivers of change that affect leadership There are various aspects through which it can be considered that internal and external drivers impact leadership. Goal setting-it is the important factor of the company that is affected by internal and external drivers. Cause of them, the leader of the company make change in the strategies and
techniques that are used by the company for operating the business so that they can run the company properly. So this factor affect the leadership and organisational behaviour ofAEGON (Mukherjee and et. al., 2012). Monitoring and controlling-it is the important responsibility or duty of a leader to control and monitor different factors, functions and resources within an organisation so that the firm can run properly. In AEGON, due to internal and external drivers of change, the leadership of leader was affected and they could not monitor the resources. For example, when the employees were working in a group or team work and any conflict raised, the leader did not able to solve it cause of drivers of change which affect the leadership and team and individual behaviour in AEGON. Great speaker-it is another function of leadership that is affected by change of internal and external drivers. Cause of change in various factors of the company, the working style of the employees were changed and they were not able to adopt easily these changes in technologies and strategies of the company so they felt demotivation. So it is the responsibility of leader that they should provide motivation to them to adopt change so that they can maintain the performance of the company. But rather than it they were opposite of it and leadership, team and individual behaviour were affected by drivers of change. TASK 3 P3. Measures that can be taken to minimise negative impacts of change on organisational behaviour Measures are those factors and elements on the basis of them company analyse the impact of change and evaluate measures that can be taken to minimise negative impact of change on organisational behaviour. There are some measures that can be used by the organisation to refuse and minimise the negative impact of the change. Explantation of plans-it is an important ways and techniques that can be used by AEGON. The management department of the company can organise conference and meetings so that they can share the plans and strategies or polices that can be good or reliable for the company. Through conference andmeeting, the employees can share their problems and issues that can be impacted negatively to the company. So it is an important way for AEGON to minimise the negative impact. In every organisation employees are a important factor or resource
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
for the company if the company provide chance to participate them in these kind of activities and share or explain the plans with them, it help the company to minimise negative impacts of change on organisational behaviour(Peters, 2012). Creation of pathway-it is an another factor to measure the change and minimise negative impact. In AEGON, it the responsibility or duty of the management department of the company that if the manger make any planfor the companyand implement it. For implementing this plan, it is important toprovide information about the plan to the employees so that they can clearly know about it and work accordingly. If the manger will not explain and share it with employees, they will not have information and knowledge about it which create negative impact on the company's growth. To minimise the negative impacts of change on organisational behaviour, the company should provide information about the new plan and policies before implementing of them (Peters, 2012). PDCA model There is a model that can be used by the company to evaluate organisational response to change. PDCA model is an interactive four step model that is used by the companies for the control, implementing any change and continuous improvement of process and products. There are four step within this model, plan, do, check and act. Plan-This is the stage in which the manger of the company can analyse and address the problems and issues by collecting relevant data and identifying the problem's root cause. In AEGON, the manger of the company can use it in finding out the problems and issues that are raising cause of change with in the company. The management department of the company make plans related to strategies and techniques of the company according change. Do-It is the second stage and related to the implementation of the plans that are made by the mangers and management department for the company. In AEGON, the manger can implement the plan and policies within the company that they made according to the change. Check-It is the next stage and in it, the manger of the company will check the plans that they are working properly or not. In AEGON, it can be related to the output of the plans that are implemented by the management department of the company. The manger of the company can confirm the results through before and after data comparison and by getting feedback from employees.
Act-It I the last stage and the manger of the company will inform others about the process change and make recommendations for the problem to be addressed. In AEGON, the manager can document the result and inform about the process and plan before changing and give preferences to the recommendations (Quinn and et. al., 2012). TASK 4 P4. Different barriers for change and determine how they influence leadership decision-making There are various barriers that influence leadership decision making in organisation. These barriers are used by the company to develop successful strategy for organisational change. Fear of the unknown or unfamiliar-It is related to those activities, strategies and technique that are unknown by the employees or they are not familiar with them. In AEGON, it can be related to new technology. For example, the management department and manger of the company planned to use new technologies of promotion because the consumers are not aware with the products and services. But there are fear of unfamiliarity within employees because they are not aware with them. It effect the leadership decision making because the leader motivate the employees to do work according to new technologies and if they are ready to do the work by using it than it influence positively to the leadership decision making rather than negatively. Ineffective leadership-It is related to the leader of that provide motivation to the workers when they feel demotivate. In AEGON, if the leader can not motivate the employees when they are working in a team and for a common goal, it influence the leadership decision making negati9vely.Forexample,iftheemployeesdonotembracethenewchangesthenthe implementation will be an uphill battle. And it is the responsibility of the leader that they motivatetheemployeestoadoptchangeandworkaccordingly(Salmela,Erikssonand Fagerström, 2012). Force field analysis There are a model of Force field analysis that can be used to analyse the driving and and resisting forces and show they influence decision making. Force field analysis is a tool that is used by organisations fro supporting decision making.This model is developed by Kurt Lewin in 1940 to provides an overview of the change problems that need to be tackled by a business, splitting factors in to forces for and against change. There are main two force this model that are followed by the company to driving and resisting forces.Driving and restraining force,They are
the ones which are sustaining the change and restraining forces and the ones which are the restraining change. There are some steps in this analysis, they are such as: Step1: Describing plan and proposal for change-In this stage the company describe the vision fro which it accept change within the company. For example, In AEGON, the company make vision to provide information about the product of its brands. Because there are lack of awareness between the consumers and market. Step2: Identify force for change-In this step the organisation identify these forces that are the reason of change, these forces can be internal and external. For example, in AEGON, internal factor can be declining team morale and need to increase profitability etc. In External factor technologies and changing demographic trends etc. Step3: Identified forces against change-It is also related to internal and external forces that find out the reason against change. In AEGON, internal force against change can be fears of unknown and current or existing structure of the organisation. External force against change can be change in government legislations and change in consumers needs and wants. Step4: Assign scores-In this step, the management department of the company assign scores according the organisational performance according the forces and according to the degree of influence each one has on the plan. Step5: Analyse and apply-This is the last step and in it, the management department to decide whether or not to move forward with the decision or change. To think about that which supportive forces can be strengthen and which is opposing forces to make the change more successful. This analysis can be used by the company to inform decision making and particularly planning and implementingchange management programmes in organisations. In AEGON, it influences the decision making of company positively and negatively by making change in company's structure, technologies etc. cause of internal and external forces. P5. Different leadership approaches to dealing with change in a range of organisation There are some leadership approaches that are used by the organisation to deal with change. Autocratic or Authoritarian leadership-In this approach, the leader of the company have centralize power and decision making (Van der Voet, Kuipers and Groeneveld, 2015). In
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
AEGON, they give orders, assigntasksand works according the capabilities or skills of the employees. They have full authority and responsibility for doing it. In this approach, the leadership is based onclose supervision clear cut direction and commanding order of the leaders. With in approach, the leader divide the work according the new technology and change. This leadership is less effective because employees are not always to do work according change and not adopt new technologies easily. Democratic or Participative leadership-This the approach in which the leader of the company take decision by consulting with the subordinates and their participation in the formulation of plans and policies according to the change. This approach positively dealing with the change because new policies and techniques are made with the participation of the employees which make easy to use new technology. Hudson Leadership model It is an change management model that is used by the company to deliver organisational change. This model is based on an evaluation of ideas emerging from decision making. There are five key elements of leadership within this model. Vision-It is the first element of this model that creating a compelling vision for the future of the company. In AEGON, it is related to the new technologies that are used by the company according to change. The leader make or set vision to solve and overcome the problems that are occurring cause of change. Action-It is the second elements, in it the leader of the company take action to solve those problems by making or developing new plans and strategies. They implement those plans and polices within the company with the help of the employees. Impact-It is the third elements of this model and in this, the leader analyse the impact and effect of the strategies and techniques. For this, they get feedbacks from the employees and management department of the company. Connection-In it the leader of the company analyse that the employees are connect with the new technologies easily and they are not facing problems with them (Wilkinson, Olin and Stjernstrøm, 2013). So that the work completed easily without facing any problems. Drive-This is the last step, the leader analyse that the organisation drive or run properly by adopting new technologies according change or not facing issues related to its growth.
CONCLUSION In this report it has been concluded about the different ways in which change impact on AEGON and Metlife strategy and operation. Various drivers for changes are explained with the examples and the types of organisational change they have affected. Different drivers of change such as internal and external, their impact on leadership, team and individual behaviours are defined. Different measures that can be taken by the company to minimise the negative effect of change and PDCA model are maintained in the report. Barriers for change and their influences onleadershipdecisionmakingandforcefieldanalysisaredefined.Differentleadership approaches and appropriate model to deal with change in organisational context are described.
REFERENCES Books & Journals Alvesson, M. and Sveningsson, S., 2015.Changing organizational culture: Cultural change work in progress. Routledge. Daft, R. L. and Marcic, D., 2016.Understanding management. Nelson Education. Hintz, C. and Bahia, H., 2013. Understanding mechanisms leading to asphalt binder fatigue in the dynamic shear rheometer.Road Materials and Pavement Design.14(sup2). pp.231- 251. Holmes, K., Clement, J. and Albright, J., 2013. The complex task of leading educational change in schools.School Leadership & Management.33(3). pp.270-283. Hrebiniak, L. G., 2013.Making strategy work: Leading effective execution and change. FT Press. MacBeath, J., 2013. Leading learning in a world of change.Leadership for 21st Century Learning, Educational Research and Innovation, pp.83-106. Mukherjee, D., and et. al., 2012. Leading virtual teams: how do social, cognitive, and behavioral capabilities matter?.Management Decision. 50(2). pp.273-290. NHS England, 2016. Leading change, adding value.British Journal of Healthcare Assistants. 10(6). pp.302-303. Peters, L., 2012. The rhythm of leading change: Living with paradox.Journal of Management Inquiry.21(4). pp.405-411. Quinn, D., and et. al., 2012. Leading change: Applying change management approaches to engage students in blended learning.Australasian Journal of Educational Technology. 28(1). Salmela, S., Eriksson, K. and Fagerström, L., 2012. Leading change: a three‐dimensional model of nurse leaders’ main tasks and roles during a change process.Journal of advanced nursing.68(2). pp.423-433. Thomas, T., and et. al., 2013. Leading change and innovation in teacher preparation: A blueprint for developing TPACK ready teacher candidates.TechTrends.57(5). pp.55-63. Van der Voet, J., Kuipers, B. and Groeneveld, S., 2015. Held back and pushed forward: leading change in a complex public sector environment.Journal of Organizational Change Management.28(2). pp.290-300. Wilkinson, J., Olin, A., Lund, T. and Stjernstrøm, E., 2013. Understanding leading as travelling practices.School Leadership & Management.33(3). pp.224-239. Yoder-Wise, P. S., 2014.Leading and managing in nursing-E-Book. Elsevier Health Sciences.
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.