Leading Change in Organizations

This assignment discusses the concept of leading change in organizations, including internal and external factors that influence business processes. It explores various leadership theories and models used to manage and overcome barriers to change, with a focus on enhancing growth and profitability.

Understanding and Leading
Change

Table of Contents
INTRODUCTION...........................................................................................................................2
TASK 1 ...........................................................................................................................................3
P1 Compare different organizational examples where there has been an impact of changes on
an organization's strategy and operations...............................................................................3
P2 Evaluate the ways in which internal and external drives of change affects leadership, team
and individual behaviour in an organisation..........................................................................6
P3 Evaluate measure that can be taken to minimise negative impact of changes on
organisation behaviour ..........................................................................................................8
TASK 2............................................................................................................................................9
P4 Explain different barriers for changes and determine how it influence leadership decision
making in AEGON ................................................................................................................9
TASK 3..........................................................................................................................................11
Covered in PPT.....................................................................................................................11
CONCLUSION..............................................................................................................................16
REFERENCES..............................................................................................................................17

INTRODUCTION
In today's time it is necessary for each and every organization to understand and evaluate
changes in a firm, so that they make strategies according to the situation. It is essential to
analysis changes because by it firm can identify and understand issues which they may face in
future time and make plans and strategies to avoid and overcome it. Organization selected for
this assignments is AEGON which is founded in 1983 and headquartered in Hague, Netherlands
(Kotter, 2012). They offer their financial services worldwide such as life insurance, pensions
and assets management. Their major operations and functions done in the United State, the
Netherlands and the United Kingdom. Covered points in this project are numbers of
organizational examples which impact on organizational strategy and operations, Along with this
it explain internal and external drive of changes which affect leadership, steps to minimise
negative effects of changes and in last it cover different leadership approaches so that company
can made deal in effective manner.
TASK 1
P1 Compare different organizational examples where there has been an impact of changes on an
organization's strategy and operations
In today senior most of the business organization are conducting their business operations
and functions with goal of earning profit and growth or for welfare for the society. In respective
case AEGON that is a multinational life insurance, pension and assets management firm plan to
become a well known brand in worldwide but government imposes some barriers which directly
impact negatively on respective firm profit margins (Doppelt, 2017). So in order to understand
changes which affect functions and operations of AEGON and competitor Aviva Plc, respective
company do evaluation of both the companies which is given below:-
Changes AEGON Aviva Plc.
Structure Organizational structure of the
AEGON is in hierarchy structure in
which there are different level such
as top level, middle level and lower
level. All information and guideline
are follow from these levels. But
Aviva Plc. Organizational
structure is hierarchical in past
time but they decide to change
in it and they acquire flat
structure in which employees
communicate to each other,

now they want to do change in their
structure, so they adopt flat
structure. Main objective behind
changing respective organizational
structure is to improve performance
as well as productivity of
employees. Because decision
making and implementing become
easy due to flat organisation
structure as well as staff members
treated as same level.
Strategy:- Employees of AEGON
get motivated when they are treated
on a same level and also it leads to
reduce in conflict which enhance
their productivity and performance.
Operation:-By adopting respective
structure there is change in
operations of AEGON such that in
past time they required more time
for completion of work but now
work get completed before time or
at given time period. In past
decision making process is time
taking but by adopting flat structure
decision making process become
faster.
there is no existence of higher
level and lower level. This help
them in reduce the their
operational cost. It occur
because when staff are treated
on same level they all feel
motivated and conduct their
task in effective manner which
reduce operation cost and
wastage.
Strategy:- Aviva Plc. Develop
strategy and plans which help
them in minimising wastage
and provide training to staff
through which they conduct
their task in appropriate
manner and reduce operational
cost.
Operation:- By adopting
respective change in AEGON
there is reduction of
operational cost. It can be
possible by adopting several
operational function such as
mangers cancels unused
services, develop rules for
reduce wastage, pay invoices
on time, compare cost of
different suppliers before
purchasing and so on.

Technology AEGON conduct research and
evaluation process in which they
analysis that they required to
improve or update their current
promotional technology. In current
they are doing their promotion
through print media and television
and radio advertising but now they
realise they have to innovate their
promotional channel. For this they
adopt social media and digital
media advertising. Which help
them in attracting more customers
and enhance their market value.
Strategy:- After analysing and
evaluating all promotional media
they identify appropriate
promotional channel for company.
Then they make plans according to
it and hire qualified person of
digital and social media marketing.
Operations:- By adopting advance
technology of promotional media
there is positive change occur in
AEGON operations functions.
Employees feel motivated and
satisfy with their job and work.
After conducting analysis and
evaluation of market Aviva
Plc. Decide to upgrade their
promotional activities. For this
they adopt digital technology
of promotions. Which help
respective company in
increasing their brand trust
among customers and they able
to reach more audiences.
Strategy:- The respective
company make appropriate
strategy related to adopting
respective change at a
workplace.
Operation:- To conduct
operations in effective and
efficient manner Aviva Plc.
Management hire new
professionals and organize
classes of how to conduct
operations in respective
change.
When any change occur in a company they adopt several strategies, from which some of
them are similar whereas some are different, these are mentioned below:-
Similarity:-

 When an organisation adopt change or any change occur every company conduct
resource management process in which they analysis and evaluate requirement of
resources to achieve goal. Every organisation conduct strategy planning when they plan to adopt change in their
organisation.
Difference:-
Basis AEGON Aviva Plc.
Change occur When any change occur the
respective company provide
training and development
sessions to their employees.
Where as Aviva Plc. Didn't
provide any training, they tell
their staff to learn from self.
Conflict To overcome from conflict
situation the AEGON provide
counselling sessions to their
staff and resolve the problems.
When conflict occur the
respective company punish or
suspend their employees.
P2 Evaluate the ways in which internal and external drives of change affects leadership, team
and individual behaviour in an organisation
Drivers of change is comprehensive and common publication series which is use to
investigate issues and trends at global level that create changes in market and society. There are
two type of drivers of change- internal driver and external drivers, which affect the working of
AEGON that are explain below:
Internal Driver:- Internal driver or forces are those which present inside the organisation
and these are controls by the management of the company (Wagner, 2016). Internal drivers
which affect working of AEGON are- Organizational culture:- It refers to the behaviour, values, beliefs and attitude of both an
individual and group at a workplace. So if there is any improper behaviour of employees
or individual in term it will affect the performance and productivity of whole team in
AEGON. Such as to minimise conflict and discrimination in AEGON, their mangers
develop decisions and design rules and policies according to situation.

 Financial management:- To conducting business operations and functions in effective
manner finance and funds are necessary. So if there is lack of funds in AEGON it will
directly influence the performance of team and individuals because lack of fund leads to
lack of resources, which directly affect execution and performance of team and
individual. Leadership decision making of respective organisation also get affect by this
situation because mangers have to handle and conduct all the functions effectively in
minimum resources and motivate employees to work in respective situation.
External Driver:- These forces are events or situation which occur outside of the
company and it is not controlled by them, an organisation can design and develop plan and
strategies according to that which help them in conducting work in effective manner. In the
context of AEGON, impact of external drivers are explain below- Political:- When change occur in political factor it will directly affect the funding and
priorities of an organisation. For example there are various rules and regulations which
AEGON have to follow and if there is regular change in policies by government the
leader of respective company have to make decisions accordingly. Economical:- Change factors which are included in economical factors are employment
rate, interest rate, customers behaviours, inflation rate that directly affect the decision
making of a leader such as if there is reduce in buying power of AEGON customers. It
will affect the production process and effectiveness of individual and team at respective
company. Such as if any changes occur in consumer economic situation it will influence
its buying power and according to current situation of customer leader of AEGON have
to take decisions. Social:- This factor include demand and need of the customers in target market of an
organisation. If there is change occur in customer need and demand on regular basis, then
leader of AEGON has to develop strategy and plan according to it some time it leads to
wastage of past manufacture products. This will directly affect the productivity and
motivation level of team and individual. Such as regularly change in trends, managers has
to make decisions according to it so that they manufacture products and services which is
in trends.
 Technological:- This factor related to the improvement and update in technology which
help an organisation to enhance productivity and quality of products. Such as this help

leader of respective firm to make decision which enhance performance of employees and
also improve quality of products. By improvement in technology motivation level and
productivity of employees get increase in AEGON.
P3 Evaluate measure that can be taken to minimise negative impact of changes on organisation
behaviour
Changes is essential part for every business life cycle because through it they able to
identify and adapt new and better things from environments and able to improve their market
positions. In AEGON positive impact of changes drivers are it help employer to boost employees
moral, maintain daily operations in effective manner, implementing process in appropriate
manner and so on (Stanleigh, 2013). But there is also negative effect of changes in respective
organisation such as new strategies and plans are design according to changes which is time
taking and enhance mental stress of managers, managements has to do cost cutting which
directly impact on employees salaries and benefits and many others. To avoid such negative
impact the respective company take various measures by using PDCA model, which is describe
below:-
Plan:- In this step management of AEGON conduct time to time market analysis to
identify issue and problems in respective organisation. By this they able to minimise impact of
Illustration 1: PDCA Model, 2019
(Source: PDCA Model, 2019 )

changes by analysing market and able to develop strategies and plans according which company
conduct their business operations in proper ways. Such as AEGON are facing issue in their
promotions so they plan to improve their promotional technology by the help of digital and
social media of promotions.
Do:- In this step manager or leader of AEGON design plan and strategy to get overcome
from the issue or problems which they identify in above process. So to implement advance
promotional channel in their organisation AEGON plan to provide effective and appropriate
training to their employees. For this they also hire some experts and professionals of Digital and
social marketing.
Check:- In respective step leader of AEGON Compare actual outcome from expected
outcome and evaluate benefit of change which they adopt. Such as in this AEGON leader
measure affect of change, in this they analyse new promotional channel is effective for them or
not. If it seems ineffective then they will drop respective change and plan new change.
Act:- It is the last step of PDCA model in this manager of respective company discuss
and address different problems and issues in front of their employees and staff which they are
facing at work-place and try to identify solutions for that.
TASK 2
P4 Explain different barriers for changes and determine how it influence leadership decision
making in AEGON
Change is essential aspects for an organisation and it is a regular process, its target shift
from one state to another which leads to improvement of an organisation. But sometime barriers
may occur which develop a gap in between standard practices and actual practices that leads to
negative effect on the daily production process on workplace (MacKian and Simons, 2013). So it
is duty of management to understand and identify the ways to solve these barriers so that they
can implement changes in effective and efficient manner in an organisation. AEGON company
use force field analysis to evaluate forces of change which are driving force and resisting change.
Force Field Analysis Model:-
In this model analysis and evaluation of change are done by using two forces that is
driving forces which help an organization to conduct change and adopt it at workplace and
second is resisting force which seem as barriers in adopting and implementing change. It come

up as effective and essential tool for leader in decision making process. Outcome which is
identify by AEGON management after conducting evaluation of force field model are describe
below:-
Driving forces of change:- In AEGON driving forces of change are changing in
customers demand like they demand new life and pension insurance, innovation in respective
company technology such as use of new technology to recode data and information of customers
which is more secure and easy to access. So the mangers of AEGON take decisions and do
innovations according to demand of their customers.
Resisting forces of change:- In respective company the various resisting barriers such
as huge cost required developing technology, lack of supports of employees because they didn't
want to accept change, they are resist to their old technology and the respective company didn't
have effective work forces. So mangers make decisions which motivate employees in achieving
the goal in effective manner.
There are various type of barriers of changes which influence the decision making of a leader
in AEGON, some major barriers of changes are describe below:-
Lack of employees involvement- It is one of the most common barrier of change
management process which influence decision making of a leader. Employees of an organisation
always has a fear of change unless and until they involve in change management process, the
major reason employees not involve in change because they have fear of reduction in their
responsibility and importance in workplace (Foltin and Keller, 2012). It is the responsibility of a
leader to involve their employees or staff in change management process because when there is
involvement of more employees it will leads to more unique and innovative ideas and
suggestions which is beneficial for company. So the leader of AEGON make their decisions
while considering their employees so that they get more numbers of effective and unique ideas
through which, they can design and develop an appropriate plan and strategy for respective
company.
Lack of effective communication- No effective communication about change in an
organisation leads to major change barrier of decision making of a leader. In an organisation
there are some leaders who only announce decision regarding change, in this situation some
employees didn't able to understand it that affect their productivity and growth according to
change. So it is the duty of a leader to design and communicate their change decision in effective

and appropriate manner so that change will be understand and adopt by each and every staff in
effective and efficient manner through which they enhance their productivity. In AEGON leaders
design their decision regarding the change in effective and appropriate manner which can be
understand and communicate by leader in effective and efficient manner.
Evaluate driving and resisting barriers to determine how they influence decision making of
leader:-
Driving forces of AEGON which influence the decision making process of leader are
change in demand of customers and innovation in technology that force respective company to
conduct change at their workforce. This influence leadership decision in AEGON and encourage
them to plan strategies for respective forces and then communicate its benefits and effectiveness
with their employees or staffs. Along with this respective company leaders plan strategy to
motivate and encourage their employees to adopt changes in an organisation.
Whereas resisting barriers of AEGON are requirement of huge cost, less supports of
employees and not having effective manpower, these all influence decision making of leader. In
this leader of respective company develop strategies which motivate and encourage their
employees to adopt change and do work accordingly.
TASK 3
Covered in PPT

CONCLUSION
From the above mentioned points it can be conclude and evaluate that change in an
organisation is continuous process. Both internal factors and external factors of barriers which
influence activities of an organisation. The business process of AEGON is influence by changes
which directly impact on strategies and operations of respective organisation. The managers of
respective company determine and evaluate various internal and external forces of changes
which directly impact on leadership, team and individual behaviour at a workplace. They also
use various theories and model of leadership to overcome the barriers of changes in appropriate
manner and leads to increment in profitability and growth. Moreover the leader of AEGON
design and adopt various ways through which they minimise and avoid barriers of changes in
effective and efficient manner and leads to enhance in respective organisation growth and
profitability.

REFERENCES
Books and journals
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Doppelt, B., 2017. Leading change toward sustainability: A change-management guide for
business, government and civil society. Routledge.
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of nurse leaders’ main tasks and roles during a change process. Journal of advanced
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Hrebiniak, L.G., 2013. Making strategy work: Leading effective execution and change. FT Press.
Wagner, W.E., 2016. Leadership for a better world: Understanding the social change model of
leadership development. John Wiley & Sons.
Aslan, S. and Reigeluth, C.M., 2013. Educational technologists: Leading change for a new
paradigm of education. TechTrends. 57(5). pp.18-24.
NHS England, 2016. Leading change, adding value. British Journal of Healthcare
Assistants. 10(6). pp.302-303.
Brown, B.C., 2012. Leading complex change with post-conventional consciousness. Journal of
Organizational Change Management. 25(4). pp.560-575.
Stanleigh, M., 2013. Leading change. The Journal for Quality and Participation. 36(2). p.39.
Hintz, C. and Bahia, H., 2013. Understanding mechanisms leading to asphalt binder fatigue in
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MacKian, S. and Simons, J., 2013. Leading, managing, caring: understanding leadership and
management in health and social care. Routledge in association with The Open
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Foltin, A. and Keller, R., 2012. Leading change with emotional intelligence. Nursing
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Online
PDCA Cycle. 2019. [Online] Available through:
<https://www.creativesafetysupply.com/glossary/pdca-cycle/>.