Organizational Change Management

This assignment delves into the complexities of organizational change management. It examines various drivers that necessitate change within organizations and compares different approaches taken by two distinct organizations. The analysis encompasses strategies to mitigate negative impacts associated with change, leadership models, and decision-making processes relevant to leading successful transformations.

Understanding And
Leading Change

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1: Impact of change on an organisation strategy and operations..............................................3
P2: Different ways through which drivers of change affect leadership, teams and individual...5
P3: Different measures taken by company to minimise negative effect of changes...................7
TASK 2............................................................................................................................................9
P4: Different barriers for change and how it influences decision making of leaders.................9
TASK 3 .........................................................................................................................................10
P5: Different leadership approaches deals with change in organisation...................................10
CONCLUSION .............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Organisation change is an complex process while implementing on a business operations
as it could enhance or decrease productivity of company(Doppelt, 2017) . It refers to bring
changes in an organisation in context of structure, mission, strategies, technologies etc. For this
report, Wooden furniture store is taken for consideration. It deals in different types of furniture
like chairs, tables, sofas etc and established in 2004. Comparison between two companies will be
done and how driver of changes forced them to bring new changes into the company. Different
types of drivers will be elaborated and how it affected leadership style will be explained.
Moreover how company could reduce the negative effect and barriers of it will be elaborated. In
the last different approaches of leadership and how it helps in implementing change in the
organisation will be explained.
TASK 1
P1: Impact of change on an organisation strategy and operations
Change in an organisation refers to when company are changing their working operations
or strategies which will persuade to enhancing their profitability and sales over time. Main
reason behind implementing change in company is to gain competitive advantage over others.
Apart from operations and strategy, company can also change their vision, mission, goals,
objectives and target so to take new path of success. For understanding concept of change, two
companies are taken for comparison i.e., wooden furniture store and dwell. Both the companies
deal in furniture industry and provide various types of products like sofa, chair, table etc. Drivers
of change refers to when external and internal factor of company forces them to adopt change so
that they can compete with the competitors. There are two changes which company has opt in the
recent past which is customer awareness and technology advancement. Customer are the one
who brings revenue or profit into the company that's why they have to satisfy their needs and
preferences in order to enhance overall sales. On the other side technology advancement assist
company to capture more customer and market share so to gain competitive advantage over other
competitors. How different types of changes impact company working is given below,
Basis Wooden furniture store Dwell
Customer awareness Before the changes, company
prefers to follow sales concept
Dwell has good reputation in
the mind of customers because

in which they made their
product in large amount so that
their cost price of each product
will be reduced to a certain
product which will lead to
better profitability. But
customer were switching their
brands to different brands
because their needs were
satisfying with the product of
Wooden furniture store. To
considered this situations,
company has changed their old
strategy and opted product
concept (Wagner, 2016). It
refers to when product are
made while considering the
demands of customers. So
after implementing change,
company are now growing
with a steady growth rate.
they made their product
according to their needs and
preference but still their sales
were not up to the mark. After
analysing they found out that
company marketing activities
are weak due to which
potential customers are not
aware about their company. So
now company have start
spending on different types of
marketing activities like
promotions, advertising, etc.
This change assist company to
increase their sales over time.
Both the companies opted
those strategy which would
help them to connect with their
potential customers.
Technological Company could not managed
high demand of customers
through their physical stores
that's why they switch to
online so that their efficiency
and productivity won't get
down.
Dwell management has
understand the power of
technology due to which there
more focus is to invest in
marketing through technology
so that more customers could
be acquire by them.
Technology always assist
companies to gain market
position leader due to which

both the companies have opted
technology change.
P2: Different ways through which drivers of change affect leadership, teams and individual
There are two types of environment in which all the organisation operate their working
operations i.e., internal and external drivers. Internal drivers can be monitored and analysed by
company itself but on the other side, Wooden furniture have to regularly scan the external
environment because it can not be controlled by them and they have to modify their strategies
according to the external drivers (Alvesson and Sveningsson, 2015). Different type of drivers are
explained below with functional example,
Internal drivers:
It refers to when different factors are under the control of organisation like morale and
motivation level of employees, strengths and weakness of employees, culture diversity of
workforce etc. For instance, if employees are not happy with the working condition at wooden
furniture then their efficiency level will decreased to a certain level, so its the duty of HR and
management to remove the obstacle so that overall productivity wont get affected. Various
internal drivers are given below,
 Employee motivation: Wooden furniture have to regularly motivate their employees by
opting different means like incentive, bonus, foreign trips etc. For instance, if employees
are demotivated by the salary provided to them then company should increase it so that
their efficiency and productivity will remain higher.
 Innovation: Innovation refers to launch of new product according to customer needs and
demands so that they can buy it to fulfil their demands. If company are not considering
new demands of customer then customer will switch their product company to satisfy
their needs. For instance, customer prefers to use those chair which are light in weight
and can be easily transferable from one place to another. Then Wooden furniture should
launch their product accordingly.
External drivers: These are the kind of forces which are uncontrollable by company but
company have to regularly analyse it so that organisation can change their strategy accordingly.
Different types of external drivers are given below,

 Political: It includes political stability of country in which company is working, policies,
various types of restriction on trade, tariffs etc. Company regularly have to monitor the
political conditions and act accordingly.
 Economical: This factor is directly linked with the economic conditions of economy. It
includes growth rate of economy, inflation rate, interest rates etc. All these factors
directly affects the cost of capital of Wooden furniture and price rate of products they are
offering. For instance, if high number of customers are from the country where UK
currency is stronger then wooden structure should set their price according to the
customer's ability to pay.
 Sociological: Culture plays an important part in the success of organisation as their
needs, attitude towards life, trends etc are depends on that. For instance, if potential
customers prefer to buy old style chair in comparison to modern style then Wooden
furniture should made their product accordingly as then only it will get sold.
 Technological: If companies have advanced and latest technology at their workplace
then it would assist them to enhance their quality and quantity of product with low prices.
For instance, if wooden furniture has latest technology then it would be easier for them to
innovate their product which leads to better customer acquisition (Burke, 2017).
Drivers Leadership Individual Team
Internal Main work of leader is
to show the direction
to their employees so
that their mission and
vision would be attain
in lesser period of
time. For internal
drivers, leader should
opt participative and
democratic style as it
would assist them to
enhance motivation
At this time, wooden
furniture should give
financial and non
financial benefits to
them so their
motivation remain
high all the time.
Democratic style
should be use while
handling team as if
employees opinions
are taken for
considerations then it
will increase overall
motivation and
productivity of team.

level of employees. If
employees morale are
high then it will
automatically enhance
overall productivity of
Wooden furniture.
External These are the factors
which can not handle
by the company. So to
tackle this situation,
leader should opt
autocratic style as it
would help leader to
define mission and
vision of the company.
Moreover, this style
will bring quick
decision making which
is helpful for company
in these situations.
Resistance to change
is a problem faced by
employees at the time
of changes in
company. At this time
proper training and
motivation should be
given to the employees
so that proper skills
and capabilities would
be inculcate to them.
Group or team are
mostly affected by the
external drivers as all
the individual have to
change their working
style so to cope up
with that. Motivation
is constantly required
from the team leader
with participative
leadership style as then
only then can mould
their actions
accordingly.
P3: Different measures taken by company to minimise negative effect of changes.
Wooden furniture store must develop and implement effective measures for reducing the
negative impact of change on the behaviour of organisation. Some of the such measures will be
discussed further as below:
 When workforce of a firm rejects the change, it means that the workers are comfortable
with their working environment. Such employees try to use their political influence to
reject the change (Cameron and Green, 2015). In order to eliminate such type of
behaviour among their workforce, management of Wooden furniture store can provide
rewards to employees for enhancing their skills and efficiencies to meet the desired

organisational goals. By providing the workers with rewards, such employees perform
with their maximum efforts to take the advantage of such benefits. Through this,they can
adapt to change for increasing their own performance. When the change which is going to be implemented is hard and complex through nature,
Then employees face problems in adopting it to their workplace. In such situation,
management of Wooden furniture store can offer training and other development
programs to their workers for adapting to the change to increase their own efficiencies.
PDCA Model: Wooden furniture store is using the PDCA model to eliminate the
negative impact of change on business behaviour. This model comes with 4 phases, i.e. act,
check, do, plan. These 4 steps are discussed below: Planning: During this phase, management of the firm determine the issues for change
and plan the strategies to implement the change successfully (Hayes, 2018). The Wooden
furniture store are thinking to plan new technology for implementing it in their business
operations . Through this technology, the errors and mistake can be eliminated in future. Do: During this phase, management of Wooden furniture store search for unique and
innovative solutions of the problems to eliminate it from root level. For this phase, the
management of Wooden furniture store is thinking to provide technical sessions and
brainstorming sessions for determining the solutions and from the training, workforce can
increase their technical knowledge for using the latest machines. Check: During this phase, management of Wooden furniture store determines the impact
of implemented change on operations of company. Through this, management can
identify whether the change is good or not for the firm. If not then proper analysis is done
for planning the strategies and policies accordingly.
 Act: During the last phase, management of Wooden furniture store take the suggestions
from their workforce to address their different problems. According to the feedbacks
taken from employees, measures will be taken for making excellent judgements to
manage the change.
From this model, management of Wooden furniture store can provide the solutions of the
various problems of their workforce. From plan, management can plan the strategies for
implementing (Hughes, 2016), From Do, management can search for unique and innovative
solutions of the problems to eliminating the problems from root level. Through the check,

management can determine the significance of change. Through the act, management can take
suggestions from their employees to provide effective solutions for the problems related to the
change.
TASK 2
P4: Different barriers for change and how it influences decision making of leaders
Whenever company plans to implement change in the working operation due to increase
in performance of the company, employees resist it because they have to put extra effort while
working like skills and competencies which is required to complete assigned task is learned
through training (Pugh, 2016). Different type of barriers which could be faced by Wooden
furniture while implementing change is given below,
 Low motivation of employees: Employee participation is important for company as they
are the one who brings innovation in to the working operations which helps them to gain
competitive advantage over others. If they are demotivated by the changes then their
productivity level will decrease, which will hampered overall efficiency of Wooden
furniture. To tackle this critical situation, leader have to opt participative and supportive
style in which employees are facing problem while working then they would remove
their obstacle by giving their expertise (Rodd, 2015). Apart from that, leader should
provide financial and non financial benefits to the employees according to their
performance so that factors which are stopping them to change will get reduced or
abolished.
 Ineffective communication: Communication is an essential part of the organisation as it
helps in disseminating crucial information to the authorize employees in the company. If
employees are not aware about the changes which management are bringing then it
would affect them in a negative way. Leader and manager of wooden furniture work is to
properly communicate with their employees so that they would be aware about all the
changes which is implementing in the company.
Force field analysis
Changes which Wooden furniture is planning to bring with the help of technology
advancement is given below, New chair equipped with internet on things (IOT) will be launched
by both the companies with various facilities which are still not available in the market. Chair

could be modified into bed and have weight of 2kg. Moreover, it can be connected to all the
things which are done through Information technology like TV, AC, automatic lock, alarm bell
with special feature of emergency call to police and at last speaker is attached to it so that
individual can enjoy music while seating at chair.
Force field analysis is used by company to bring change in company while maintaining
and analysing two different factors i.e., forces for change and force resisting change (Scott,
2019). Forces for change refers to factors which are supporting organisation to bring change and
resisting changes refers to those factors which are blocking new changes for company.
Factors supporting change Factors against change
Customer wants unique product to satisfy their
needs. (4)
Funds will be required to bring change and it is
also time consuming(2)
It will increase profitability of Wooden
furniture which will assist leader to gain
competitive advantage over others which
influence company's profitability in a negative
way.(3)
Training would be given to employees for
working on new technology due to which
leader have to spend high amount of money at
greater risk.(3)
Company can increase their market share if
technology is introduced in the company so
that leader would be able to align workforce
capabilities to attaining mission and vision of
the company.(3)
Resistance to change for employees. If this will
happen the company wont be able to utilise
their resources to its fullest which will incur
loss to the company.(2)
So after analysing all the factors it can be concluded that Wooden furniture should bring change
to the company as it would make positive impact on the balance sheet. Force field analysis
would help wooden furniture to identify factors which are supporting them and then try to make
it stronger by putting efforts so that company would become market leader of this industry.
TASK 3 (Photos)

CONCLUSION
From the above report, it can be concluded that change is necessary for the organisation
to deal with the competitiveness. Detail analysis of understanding change is explained by taking
two different organisations and their comparison. There are various types of drivers which
should be assessed by company so that they can take appropriate actions and measures for the
effective functioning of the organisation. Further it elaborated various measures to minimize the
negative impact of change management. Different types of leadership models and approaches is
determine which influences leadership decision making.

REFERENCES
Books and Journals
Alvesson, M. and Sveningsson, S., 2015. Changing organizational culture: Cultural change
work in progress. Routledge.
Balogun, J. and Hope Hailey, V., 2015. Leading Transformational change:: closing the gap
between theory and practice.
Burke, W.W., 2017. Organization change: Theory and practice. Sage Publications.
Cameron, E. and Green, M., 2015. Making sense of change management: A complete guide to
the models, tools and techniques of organizational change. Kogan Page Publishers.
Cook, P.J., 2016. Leading innovation, creativity and enterprise. Industrial and Commercial
Training.48(6). pp.294-299.
Day, G.E. and Shannon, E., 2015. Leading and managing change. Leading and Managing Health
Services: An Australasian Perspective.295. pp.405-412.
Doppelt, B., 2017. Leading change toward sustainability: A change-management guide for
business, government and civil society. Routledge.
Hayes, J., 2018. The theory and practice of change management.
Hughes, M., 2016. Leading changes: Why transformation explanations fail. Leadership, 12(4),
pp.449-469.
Olson, A.K. and Simerson, B.K., 2015. Leading with strategic thinking: Four ways effective
leaders gain insight, drive change, and get results. John Wiley & Sons.
Popovic, C. and Plank, K.M., 2016. Managing and leading change. Advancing practice in
academic development, pp.166-178
Pugh, L., 2016. Change management in information services. Routledge.
Rodd, J., 2015. Leading Change in the Early Years. McGraw-Hill Education (UK).
Salman, Y. and Broten, N., 2017. Leading Change. Macat Library.
Scott, E.S., 2019. Leading change. Leading and Managing in Nursing, p.320.
Wagner, W.E., 2016. Leadership for a better world: Understanding the social change model of
leadership development. John Wiley & Sons.