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Change on Operations and Strategy in Pepsi and Coca-cola

   

Added on  2020-06-04

12 Pages4054 Words51 Views
Understanding and LeadingChange
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Table of ContentsINTRODUCTION ..........................................................................................................................1TASK 1............................................................................................................................................1P1 Influence of change on operations and strategy of firm........................................................1P2 Ways in which external & internal drivers of change influence leadership and behaviour...4P3 Measures that can be taken to reduce negative influence of change on firm behaviour........5TASK2 ...........................................................................................................................................6P4 Different barriers to change and its impact on leadership decision making..........................6TASK3 ............................................................................................................................................8P5 Application of different leadership approaches to deal with change.....................................8CONCLUSION................................................................................................................................9REFERENCES..............................................................................................................................10
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INTRODUCTION Change is necessary for every organisation in order to grow and sustain in thecompetitive market. It is essential for the firm to understand and adopt changes in their businessoperations and activities. It assists in improving the processes and methods of production so thattasks can be effectively completed on time (Fagerström and Salmela, 2010). There are manychanges that take place in the business environment that influence decision making process ofcompany. Changes are unpredictable and it is important for the manager to accept these andformulate appropriate strategies in order to reduce uncertainty risk. In the present assignment,chosen company is Coca Cola and Pepsi which deals in carbonated soft drink. Report coversinfluence of change on the operations and strategy of organisation as well as on ways in whichexternal and internal drivers of change impact leadership, individual and team behaviour withinfirm. It also includes the measures that can be taken in order to reduce negative impact of changeon organisation’s behaviour. Apart from this, barriers to change and application of differentleadership approaches in order to deal with those changes are also studied. TASK 1P1. Impact of change on the operations and strategy of organisationBusiness environment is dynamic as there are many changes that take place withinorganisation due to internal and external factors. It involves the changes that take place instrategies and structure of business. Forces that exist in environment are the main drivers that areresponsible for change. These include customers, competitors, technology, suppliers, market,laws and policies, political, economic, socio cultural and legal factors. All these componentshighly influence the operations and activities of business. It is necessary for every organisation tokeep in view these changes and adopt them for smooth and effective functioning of business.This helps the firm in attaining growth and sustainability in market (Doppelt, 2017). Adoption ofchange administers many opportunities to company in terms of increasing the market share,maintaining healthy relationship with customers, gaining customer attraction, etc. Therefore, it iscrucial for Coca Cola as well as Pepsi to determine these changes and adopt them byimplementing effective strategies. The reason that encourages both the firms to implement changes in its operations andstrategies are defined as below: 1
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To gain competitive advantage in the market by understanding change drivers and adoptthem (Carrington, Deppeler and Moss, 2010). To attain a strong position in market by attracting a large number of customers towardsbrand and gaining high customer loyalty. To promote creativity and innovation among manpower with improving performance ofvarious departments. To satisfy the needs and demands of customers by delivering them high quality productsand services. Improving processes and operations of business so that high quality goods can beproduced.Both the organisations operate their business operations worldwide and accept changes inits operations and strategies whenever required. Brief overview of both the companies is given asbelow: Coca Cola: Company produces soft drink products and offer them at global level.Different varieties of products are provided by the firm such as diet coke, coca cola zero,caffeine free drink, etc. It offers the beverages in more than 200 countries and about 1.8 billiondrinks are consumed by people every day. The brand value of company is high and it is one ofthe well-known firms. Pepsi is the main competitor of it which forces or enable the managementto think about implementation of change in operations and strategies of business.Pepsi: It is a multinational beverage company which offers snacks, food and drinks to itscustomers. The firm is headquartered in New York and serves its products in many countries. Itsgoods include crystal, diet, vanilla and zero sugar Pepsi (Booth, Wade and Walker, 2014). Inorder to compete with the competitor firm and capture a large portion of market share, they adoptchanges and formulate strategies.So, in order to maintain a strong position in the market and attain business objectives,both companies adopt change and introduce new strategies as well as policies to grow theirbusiness. Strategies Coca Cola Pepsi Pricingstrategies As the firm operates worldwide andhave a good position in market, theymainly emphasize on maintainingPepsi also deals in the same industryand provides similar products to theircustomers as Coca Cola does. In order2
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