Understanding and Leading Change in Business Organizations

This report examines the effect of change on the operation and strategies of companies, evaluates the ways in which external or internal drivers of change can impact team, leadership, and individual behavior in the organization, and evaluates measures taken to reduce negative effects of changes on organizational behavior. It also explains the barriers for change and how they influence the decision-making of leaders and applies different leadership conceptualizations to deal with business changes. The report focuses on Gordon's, the world's best-selling London dry gin, and includes a PEST analysis and SWOT analysis of the company.

Understanding and
leading change

Table of Content.
INTRODUCTION...........................................................................................................................1
TASK! .............................................................................................................................................1
P1 critically examine the effect of change on the operation and the strategies of companies
business with example.................................................................................................................1
TASK2.............................................................................................................................................5
P2 Evaluate the ways in which an external or internal drivers change can impact team,
leadership as well as individuals behaviour in the organisation..................................................5
P3 Evaluation of measures which are taken into consideration to reduce negative effects of
changes on organisational behaviour...........................................................................................6
TASK3.............................................................................................................................................8
P4 Explain the barriers for change and how they influences the decision-making of leaders.....8
TASK 4............................................................................................................................................9
P5 Application of different leadership conceptualisation to deal with the business changes .....9
Conclusion.....................................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Some continuous changes in business organisation is essential in order to achieve
success, profit as well as to accomplish organisational goal. Changes are very important for
better functioning as well as to achieve sustainability for long term business. Therefore, it is
important for the manager to implement some change like technological, operational and many
other things to achieve the desired goal in a given period of time. They have to made some
strategies according to their employees need or requirements. They have responsibilities to guide
or direct their employees about the changes brought by them within the organisation for better
performance. In order to achieve organisational goal, the manager have responsibilities to
motivate their employees to complete their task effectively or efficiently. For better
understanding Gordon's is taken into consideration for this report project. It is the worlds best
selling London dry gin. It is number one gin in UK since 19th century.
This project report provide knowledge about different companies with their comparison
in relations to change impacts on their operation and strategy. The project report also provide the
knowledge about the evaluation of drivers of changes have on organisational behaviour. Apart
from this it also describe the determination of barriers to change which may influence the
decision-making of leadership and their applications.
TASK!
P1 critically examine the effect of change on the operation and the strategies of companies
business with example
The changes in business atmosphere may effect the planned strategies or operations of
many organisation at various ways. For better understanding of learning or development, Gordon
and Carling are taken for consideration. As they are biggest competitive within the marketplace.
As both organisation have different impact on their business operation as well as on their
strategies. Therefore, PESTEL analysis is taken as references for Gordon's which are discussed
below:
 Political Factor- the government of UK decided to change some particular tax rate. It
make a huge impact on the working condition, operation and the strategies of the
Gordon's managers. As they have made some their strategic plan as per previous tax rate
so the new change may impact the most and spoiled their techniques (Benson, 2021).
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 Economical- the government of UK may enhance the wages rate which may impact many
organisational operation and strategies. The enhance wages may influences the labour
cost for goods as well as products of Gordon's. As their manager make the strategies
according to the economical factor which can effect the organisational operation. The
changes in economical factor can impact the strategies which was made by the manager
previously.
 Social- there are various companies in the UK which perform various activities for the
society welfare. Those activities may impact the operation of the organisation directly or
indirectly as well. From this the production strategies of Gordon are affected by this
because it increases the income of working people due to which they demand to rise their
income as well.
 Technological- there are various advanced or new technologies are available in the
marketplace and are used by many organisation as well. Therefore, it is very important
for the organisation to updated about the new technologies in order to perform well of
their business organisation. As per view the Gordon's organisation are using currently old
technologies for performing their business operation. By discovering the human capital
management they introduce some technologies. As introducing new technologies attain
success and profitability. Hence Gordon's manager need to change its strategies as per
their existing or new technologies. This will assist them to perform their operation easily
or effectively in order to accomplish organisational objectives.
 Impact on strategy- the effect on strategies of Gordon's as well as Carling can be
influences by political changes, technological changes, social changes as well as
economical changes. Hence the resources which are used by the organisation are required
to changed by the manager in order to make effective strategic plan for day to day
operation. As the previous strategies which was made by the managers are not going to
work with the present or new resources. The decision which are going to be implemented
by both companies have to be updated as present view (Leavy, 2019).
 Impact of operation- change in resources or environmental factors which are going to be
used by both companies are implemented by the manager to enhance the operational
activities of the organisation. But because of new or advance change in environment the
changes which was decided by the manager are not working properly. Therefore, they
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have to change their process as per new changes within the business environment. The
changes in the operation of the business may impact the performance or the path of
completing task within an organisation by an employees or individuals. The upcoming
changes, lavish working criteria could influences the effect of organisational operation.
 Drivers- the changes occurs in each organisation have its own or different reason behind
them. For instance the changes within the company is very important because the
advance or new technology may provide success, goal and sustainability advantage over
the competitive environment. As this changes have direct effect on the strategies which
was made by the managers. Therefore, the overall mechanism which was framed by
Gordon's managers are need to do some alterations with the organisational operation.
ORGANISATIO
N
PEST DRIVERS OF
CHANGES
IMPACT OF
STRATEGY
IMPACT ON
OPERATION
GORDON'S Some of the
factors of PEST
analysis may have
effect on the
business
strategies, and
operation which
causes some
changes within
the organisation.
Some of the
changes are
occurred due to
political change,
social change as
well as
economical
changes of
Gordon's.
Due to various
reason or causes
the changes are
done within the
organisation. All
the changes
which are done in
Gordon's
organisation are
due to their own
reason as well as
due to some
issues which are
arise within the
organisation.
Political drivers is
the new or
advanced
technologies
The strategy is
changed by
Gordon's
managers has
made a primary
impact on the
business to
improve
performance,
growth as well as
the development
of company. But
there is a
disadvantage that
the strategies
which are made
by managers is
rigid to dynamic
environment
The
organisational
managers need to
implement some
changes within
the business
operation which
can assist the
organisation to
accomplish the
organisational
goal.
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which are used by
other companies
as well as
Gordon's in order
to attain success.
within the
organisation as
the strategies are
not flexible.
CARLING'S PEST analysis
may includes
some factors
which could
affect the
organisational
day to day
working,
operations as well
as the strategies
which was made
by Carling's
managers. Some
of the external
changes may
includes political,
economical,
social as well as
technological
changes.
The economical
and the social
factors are the
driver for
Carling's
organisation. The
social factors may
include large
population and
each one have
different taste or
preferences.
Whereas as the
economical
factors may
includes
enhanced wages
rate which can
affect the working
of an
organisation.
Carling's
manager make
some strategies as
per the welfare of
the society which
assist the
organisation for
attracting people
as well as for
attaining success.
When the
demands of the
goods or products
may reduce then
it could built a
negative impact.
After that they
have to planned
some other
strategies for
increasing better
performance.
Carling's
manager
introduce this
change within the
organisation
which may assist
their employees
for working
effectively or
properly in order
to attain
profitability as
well as success
(Komives and
Wagner, 2022).
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TASK2
P2 Evaluate the ways in which an external or internal drivers change can impact team, leadership
as well as individuals behaviour in the organisation
The reason behind the change in organisations strategies or operation are the drivers of
changes. These drivers are examined by the managers of the organisation for comparing the
planned operation which are going to be implemented within the business organisation. These
drivers can be internal as well as external. There are various factors which have impact on an
individual, team as well as on leadership behaviour of Gordon's which are mentioned below
(Linkletter, 2022).
Internal Drivers
these drivers are related to the reason of changes within the micro environment of
business in the organisation. The strategies which are made by the managers of an organisation is
affected by this drivers. In order to under internal drivers the SWOT analysis is taken into
consideration which are discussed below.
STRENGTH
A Gordon's organisation is the strong
organisation in terms of financial component.
It can also have a high value in market share. It
can have an adaptable nature. When an
organisation is strong within all aspects then
manager have a duty to take particular decision
for further growth in order to expand their
business on larger platform.
WEAKNESS
Gordon's organisation is weak organisation in
terms of quality. It also have a food safety
problem due to which they face a lot of
problem or challenges.
OPPORTUNITIES
an organisation includes an opportunities in
relation to growth as online grocery sales. It
can increase the machine learning things as
well as artificial intelligence.
THREAT
An organisation face lots of threats in terms of
monetary decline, BREXIT problem as well as
an UK-EU association (Pavlica, Matoušková
and Veselý, 2021).
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External Drivers
due to external or macro environment these drivers are the reason for changes within the
business organisation. As these drivers may impact directly to the strategies which are made by
the organisational managers. For better understanding of external drivers the PEST analysis is
taken into consideration which includes the drivers of Gordon's.
 Political- the government of UK has implemented various rules and regulations which is
essential to followed by all organisation. In context to Gordon's, it is very important for
the managers to make proper strategic plan for quick changes which will follow all the
rule and regulations of the government for better functioning. But these changes may
effect the team spirit or decision-making of Gordon's mangers. The team behaviour and
the individuals company are also affected by decision-making of managers. When the
manager are not able to take correct decision then the problem arises within the business
operation (Brown and Duignan, 2021).
 Economical- the government of UK developed some economy changes on continuous
basis. By selling more products the Gordon's increasing the GDP and assist contribution
towards the economic development. When Gordon's managers do not make right
strategies to overcome economic instability then it is going to face financial or other
operation effects.
 Social- there are multicultural population in UK and each have different taste or
preferences. Gordon's is alcoholic beverage organisation and sell various types of drinks.
Hence the change of taste or customers preferences is going to impact the whole function,
strategies of the organisation.
 Technological- there are many advanced or new technology are developed in UK which
are used by various organisation. When Gordon's managers implement new technologies
then it make a positive impact within the organisation. For instance a leaders can take a
proper or fast decision in effective or in efficient way to attain profitability (Xia, Zhang,
Yu and Tu, 2019).
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P3 Evaluation of measures which are taken into consideration to reduce negative effects of
changes on organisational behaviour
The study of human beings working criteria is refers to organisational behaviour. It is one
of the main reason for the changes in business environment. For reducing the negative impact on
organisation a Gordon's managers apply Burke Litwin Model. For this some consideration are
taken which are mentioned below.
 External environment- Gordon's managers examine various external factors such as
economy, customer behaviour and many more. It helps them to make strategies
according to them.
 Mission- Gordon's managers creates their strategies by keeping position of workforce
which are going to suit or not.
 Leadership- Gordon's managers are skilled or knowledgable and they have ability to
lead their team and manage the organisation operation smoothly.
 Organisation culture- within Gordon's, there is a hierarchical culture which mainly
emphasizing on consistent structure as well as on long term stability.
 Structure- within Gordon's , there is hierarchical structure in an organisation which
includes formal communication channels as well as recognisable department.
 System- it is basically related to rules, policies and procedures which assist or support
the organisational workforce (Sportsman and Yoder-Wise, 2022).
 Management practice- it is related to behaviour and activities of managers which
implement overall strategies in Gordon's. The negative impact can be reduced by the
managers when understand the need and demand of an working individual.
 Working climate- Gordon's working environment is very comfortable. It motivate the
employees to complete their task effectively in order to accomplish organisational
objectives.
 Task and Skills- Gordon's manager make sure about the need of specific work or
whether it is going to suit with the skill or knowledge of the workforce.
 Individual values- Gordon's managers examine, understand or fulfil the needs and
demands of their employees such as life balance, remuneration and many other things.
 Motivational level- Gordon's managers may regularly motivate or inspire their
employees to achieve success or goal.
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 Organisational performance- Gordon's manager examine the performance of their
employees working condition within departmental level. It assist in reducing the
negative impact of change (Owens, Yam, Bednar, Mao and Hart, 2019).
TASK3
P4 Explain the barriers for change and how they influences the decision-making of leaders
The drivers of changes can easily affect the organisation environment by different ways
in company. It may impact the organisational behavioural as well as the leadership behaviour
which leads to rising threats for the business. There are various barriers which develop within the
organisation during changes in decision-making along with leadership process. Hence the
Gordon's manager implement Force field analysis model in order to analyse the barriers to
change in companies environment (Freudenreich, Lüdeke-Freund and Schaltegger, 2020).
Force Field Analysis Model
This model is used to analyse or determination of barriers which helps the managers to
minimise the negative impact of change on organisation. Gordon's managers apply this model in
an organisation which are mentioned below:
 Driving Force- this force assist the organisational manager to make some different
changes in their business with proper strategies. The Gordon's manager control
employees act in order to achieve goal which may influences the changes which affect
the operation of the organisation. The management of Gordon's made effective strategies
which assist them to control or minimise negative impacts of change.
 Restraining force- this component of force field analysis model may completely
concentrate on the individuals working within the organisation. Gordon's managers are
motivate their employees by controlling or directing them regularly which will assist
them to maximise the negative impact of drivers. Managers plan or implement the
strategies to avoid changes with the help of employees management (Burgess and
et.al., 2022).
In Force Field Analysis there are various barriers which helps Gordon's managers to
reduce the effect of changes occurs in the organisations.
Barriers in Driving Forces
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 New leadership- Gordon's managers may influences the leadership within the
organisation. They change their leadership style within the organisation as well as
providing them a proper management to achieve success or goal.
 New technology- Gordon's manager opt new technology so that each individuals within
the organisation can work effectively to achieve success or goal. This assist them to
minimise the negative impact of changes within the business (DiMaggio, 2019).
Barriers in restraining forces
 Poor communication- this is the key factor of Gordon's organisation. But because of
poor communication, the changes provided by the managers of Gordon's could impact the
organisation very negatively. The people who are working within the organisation are not
going to communicate or share their ideas or views with each other for completing task.
 Employee attitude- in relation to Gordon, as the changes introduce by the managers will
not be easy for all employee to adapt because each individuals have their own behaviour
or attitude to adapt.
Ways by which an organisation can reduce the restraining forces
this is the most powerful barrier which effect the changes in individual, team or
leadership. It may affect the organisation negatively because this factors restrain the change
within the business. There are various ways to minimise these impacts of changes in Gordon
which are mentioned below:
 Proper communication- Gordon's manager may reduce the impact of changes within the
organisation by offering proper training or by organising some activities.
 Proper Discussion- in order to reduce the negative impact of changes within the
business. The Gordon's assist to urge proper agreements and negotiation within the
employees. As this will motivate the people or leads them to perform their work
effectively (Petzold and Magnan, 2019).
Discussed how companies can attain their objectives when barriers are reduced.
Gordon's managers may attain their objectives or success effectively or efficiently by
making appropriate strategies and implementing them within the organisation. With the help of
proper strategies, the manager of Gordon's can able to motivate their employees to work
effectively in order to accomplish success.
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TASK 4
P5 Application of different leadership conceptualisation to deal with the business changes.
The change generally proposed by the Diageo leaders is made up of new and advanced
technology. The Diageo leaders has adopted some of the advanced as well as the new
technologies within the business for its better and proper operations of the workplace to attain
the success and aims of the organization. The main reason behind initiating the new as well as an
advanced technology within the organization is to give the solutions towards the issues mainly
arising within the business functions. In addition, the new and advanced technology generally
enhances the efficiency of the Diageo people mainly working for them as well as can aid for the
future prospect and its sustainability for the longer terms within the market. In this, the recent
influences of executing the new technology is the workers which are capable to learn as well as
gain the effective knowledge and understanding of the new technologies (Miller, 2020). The
influence of the execution of technologies can aid them in finishing the tasks on provided time
period as well as to accomplish the specified desired aims and objectives. For executing the
alteration, the Diageo leaders can use a Kurt Letwin’s model that is as described below:
As per the Kurt Letwin’s model, it is quite easy to understand the theory to effectively enhance
the change management process. It can include the three stages that is as mentioned below:
 Unfreeze: A stage can play an important part for the generation of several changes linked
aspects. In context with Diageo, the change can be executed by the leaders within the
company as per the roles and responsibilities of various people working within the
organization. The leaders generally motivate their workers by simply conducting the need
analysis by surveying the organization, making effective strategy, can address the
concerns linked with workplace and so on.
 Change: In the stage, an alteration is effectively executed within the business and after
that the leaders of the company can take the specific feedbacks from their workers for the
better operations. The leaders of Diageo can make sure about the continuous flow of data
within the organization, can organize the workshops for the change management and so
on (Vimal, Churi and Kandasamy, 2022).
 Refreeze: As per the stage, workers can accept the alterations as well as can mould their
working performance according to that to attain the success. The workers of the Diageo
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organization can adopt the alterations mainly brought by the leaders within the business
and can work as per them to attain the goals and objectives.
 Behavioural theory: The theory generally states that the managers are not born perfect
and successful, they also work hard to become a perfect manager by effectively learning
the things as well as a proper behaviour. In context with Diageo, if the leaders can behave
in a positive manner, can adopt the alterations as well as direct the workers to effectively
complete their tasks then they can able to attain the organizational aims and objectives.
 Transformational theory: As per the theory, an effective manager can inspire as well as
guide their workplace to accomplish the goals and objectives. In context with Diageo
organization, an effective manager can have brought the alterations within the business
and can directs as well as guide and improve the vision for the workers to finish the
provided tasks appropriately and can accomplish the aims and objectives as well
(Andreoni, 2022).
Conclusion
From the above discussed report, it has been concluded that a change is must in every
workplace for their future enhancement as well as accomplishing the desired goals. A
comparison of various organization is done to effectively acknowledge and understand the
influence of alterations on the company. There has been provided with SWOT analysis as an
internal drivers and PESTEL analysis as an external driver to analyse the impact as well. In order
to understand various barrier a Force Field analysis model is being applied.
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