Understanding & Leading Change in Management and Leadership

MANAGEMENT
AND LEADING

Table of Contents
PART 1............................................................................................................................................3
Introduction .....................................................................................................................................3
Overview of company and change process......................................................................................3
PEST/SWOT analysis to identify drivers of change........................................................................3
Evaluation of drivers and impact of change and how they influence organisational strategy.........5
Comparing the impact of change and effect upon organisational strategy and operations.............5
Identify how change will affect leadership, individuals and team behaviour..................................6
Evaluation of how impact of change can be minimised and application of appropriate models
applied to plan for process change efficiently.................................................................................6
Conclusion and recommendation for minimising impact of change by effective planning and
managing change ............................................................................................................................6
References........................................................................................................................................9

PART 1
Introduction
Management refers to the managing the operations and controlling employees and team
for achieving organisational objectives. Leadership is a capability of a person which helps in
motivating employees to engage in organisational activities through which they can meet
organisational objectives and ensure business success (Aluko, 2017). Next plc is a British
multinational company which offers diverse variety of products, such as clothing, footwear and
home products. The report will define change process followed by the organisation,
identification and evaluation of internal and external drivers of change with the help of PEST
and SWOT analysis. The study defines how change can influence leadership, organizational
strategy and operations. The study also revolves around various models which can be applied to
the plan through which an organisation can influence change efficiently and form strategies
which are helpful in minimising impact of change.
Overview of company and change process
Next is a public limited company which was established by Joseph Hepworth in the year
1864 and formerly operated under the label of J Hepworth & Son and is operating in various
regions, such as UK, Europe, Asia and Middle East. The primary objective of the company
focuses on executing aspirational quality products which can be easily accessible for all
individuals (Aravopoulou, 2015).
PEST/SWOT analysis to identify drivers of change
SWOT Analysis of Next Plc
The internal drivers of change of Next Plc are identified with the help of SWOT analysis,
these factors are discussed below:
STRENGTHS
 Reliable suppliers
 Strong distribution network
 Highly skilled workforce through
training and Learning programs
 Increased customer satisfaction
WEAKNESS
 Lack of financial planning
 History of controversies regarding
treatment of factory workers and staff

OPPORTUNITIES
 Increase in demand for customizable
apparel
 Retailers leveraging data for
personalization
THREATS
 Disruption in warehousing and
distribution
 Failure to maintain long term liabilities
and capital expenditures
 Disruption in business profitability and
operations due to global pandemic
PEST Analysis of Next Plc
The external drivers of change are identified with the help of PEST analysis an the
external factors which can influence Next Plc are discussed below:
 Political factors- Political factors create an influence on long term profitability of the
organisation, level of corruption has created an adverse impact on the customer service
sector, pricing regulations, trade regulations, political stability, risk of military invasion,
legal framework, product labeling and intellectual property protection are some of the
political factors which can influence business operations (Blanco-Portela and et.al, 2017).
 Economic factors- The economic factors such as economic growth rate, labour cost,
unemployment rate, interest and inflation rate are some of the responsible factors which
influence business activities.
 Social factors- The social factors such as demographic, cultural and leisure interest are
some of the responsible factors which can influence the operations of the business
(Gölzer and Fritzsche, 2017). The cultural factors create an influence on the environment
of business.
 Technological factors- Technological factors creates an huge influence on the day to day
operations of business, some of the technological factors which influence Next Plc
involves- rate of technological diffusion, influence on cost structure in retail industry and
technological development.