Table of Contents INTRODUCTION...........................................................................................................................1 PART 1............................................................................................................................................1 1. Introduction to the drivers & impacts of change and their impact on organizational strategy1 2. Overview of the case studies related to the organization.........................................................2 3. PEST and SWOT analysis of case studies to identify drivers of change.................................2 4. Impact of change on organizations and its organizational strategy & operations...................4 5. Impact of change on leadership, individuals and team behaviour...........................................5 6. Minimization of impact of change and application of change models to process the change efficiently.....................................................................................................................................6 PART 2............................................................................................................................................6 1. Overview of the organization...................................................................................................6 2. Application of force field analysis...........................................................................................6 3. Different barriers to change and their impact on decision-making & leadership....................8 4. Accomplishment of change and their success.........................................................................9 5. Analysis of leadership approaches in the context of dealing with organizational changes...10 CONCLUSION..............................................................................................................................11 REFERENCES..............................................................................................................................12
INTRODUCTION Organizational change refers to the process through which a company is able to do change in their structure, strategies, operations, products & services or another business aspects. It is one of the most important term in the business(Espedal, 2017). Present report will highlight the change drivers, impact of change on the organization, its strategies, operations, leadership, individuals and team. It will give overview about the case studies and swot analysis of the case studies. It will demonstrate the minimization of impact of change. Report will give overview about the enterprise and force field analysis in the context of thecompany.Itwilltellaboutthebarriers,changemanagementmodelandleadership approaches in the context of the firm. PART 1 1. Introduction to the drivers & impacts of change and their impact on organizational strategy Change driver refers to the factor which lead company to do change in their business. These factors can be external or internal. There are various drivers which lead company to do change in their organization. These change can impact the firm positively or negatively depend upon the company's strategies and ways of adoption of changes. In case of AGFA Company Here, the driver behind the change for the company is innovation in technology. This is an external factor for the company. Change in technology lead to change in production which results as change in products and services being offered by the firm. Impact of change in AGFA company is positive.Due to change in technologies, Company has to change in their strategies. Company has to do change in their training and development strategy. Along with that company has to change in their investment strategy and logistic strategy. In case of Golden Wonder Company Driver for the Golden Wonder which lead company to do change is Change in customers' perceptions and demands. It is a part of socio-cultural factor which is an external factor for the company. With time passing, customers' needs and wants are changing which lead to change in their buying behaviours and perceptions. This results as change in products of the company. The impact of this change is positive for the company as company is able to satisfied their customers with new products. Change in products lead company to do change in their production strategy, 1
marketing strategy, investment strategy, distribution strategy, sales & distribution strategy and operation strategy(Yrjölä and et.al., 2019). 2. Overview of the case studies related to the organization AGFA Case Study There are various changes which impact the whole industry dramatically. One of those change is digital technology change. This change not only impact the industry, but also impact the products and services too which are being offered to the customers. Due to technological changes inimaging and IT industry, AGFA has to drop former practices and required to establish new practices in order to easily adoption of new changes being applicable to the organization. For the successfully adoption of changes in the organization, Company is taking strategic decisions regarding investment and market research which lead them to easily understand the needs of customers. This help AFGA to gain a means through which they are successfully able to fulfil the needs of customers by providing better products and services. GOLDEN WONDER Case Study Due to change in customers' perceptions and demanding patterns, the whole industry has to face the change in the trends. Change in trends lead to change in products, strategies and activities of the business. Golden Wonder company has to go through the same change. Due to lack of proper time for making meals and increase in awareness regarding health, there is a lot of changes happened which lead to change in food products industry. In case of Golden Wonder, the company has recognized the change in customers' trends which lead company to do market research. With the help of market research, company is able to easily adopt the change in their products which lead customers to be satisfied with the company. 3. PEST and SWOT analysis of case studies to identify drivers of change Swot analysis of the case study of AGFA Case Study StrengthWeakness Company has high investment opportunities which lead firm to do technological changes easily. Due to high price of products, customers are giving preferences to old products which lead company not to able to complete their sales target regarding new products. OpportunityThreat Company'smanpowerhastheabilityandDue to a lot of digital technological changes 2
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
willingness to do work innovatively which lead company not to face opposition against the organizational change. outside the imaging and IT industry, Company might face some threats such as cyber attacks, hardware&softwaredisposal,Internet problems and system corruptions etc.(Nelson- Brantley and et.al., 2018). Swot analysis of the case study of GOLDEN WONDER Case Study StrengthWeakness Company has strong customer based which lead to strong brand image. This is because company has strong product portfolio. Company'sproductscontainshighfatsand high calories items which make the reputation of products bad. OpportunityThreat Change in items which is being used for the products. That items should be healthy and nutritious for the customers. This will create an opportunity for the business to gain goodwill for the products(Hayes, 2018). Company has to face tough competition from variouscompaniessuchasCrimpyand Walkers etc. PEST Analysis of Both Company PEST FactorsAGFA CompanyGOLDEN WONDER Company PoliticalThere are various legislation which is passingbygovernmentandthis affectstherelationshipbetween companiesanditsallrelated stakeholders. Duetochangeingovernment perceptiontowardsbusinessand customers safety, they sets standards whichaffectsthewholeindustry productionprocessandtechnologies adopted by company as well. EconomicDuetochangeininterestrates, companies working under the imaging industry have to pay the money with more interest amount which lead to Due to recession in the world, whole industryaffectswhichleadto reduction in profitability and impact therevenuegenerationofthe 3
riseintheborrowingcostsand decrease in profitability. It also affects the performance of the company. organisation as well. SocialDuetolackofemployment opportunities, people are spending less money in buying new products which affects the industry growth as well as investment done by firm. Due to rapidly change in customers tastesandpreferences,industry's trends are changing which affect the industry'sprofitabilityaswellas performance of the company. TechnologicalDue to change in digital technologies, Imaging Industry is heading toward the usage of digital imaging which leadcompanytoadoptthisdigital trendinordertobecomeleading company in the industry (Oakes and et.al., 2018). Duetoinvestmentinresearchand development done by company, they are able to successful predict about the change in social needs which lead to change in production process and this resultsincompanyaswellas industry's trends. In case of AGFA Company, Technological factor become change driver for the enterprise and in case of GOLDEN WONDER Company, Social factor become change driver for the firm (Drago-Severson and Blum-DeStefano, 2018). 4. Impact of change on organizations and its organizational strategy & operations In case of AGFA Company Due to technological changes in AGFA, Company is able to improve its quality of products and services. For the successful adoption of change, Firm is providing training to their employees in order to improve the workforce skills which lead to improvement in their productivity and efficiency. This results in overall improvement in organizational productivity and efficiency. Due to improvement in performance of organization, AGFA is able to respond positively to their technological changes and needs & wants of the customers. This lead company to gain more profitability. Due to technological changes, there are new devices into the organization which required skilled and talented people. This lead to change in training and 4
humanresourcestrategies.Newtechnologiesmeansmoreinvestmentinresearch& development, planning, purchasing of new devices and maintenance of that new devices etc. This will lead to change in financial, budgeting and investment strategies. Due to new technologies, production of products and services is changing which will lead to impact the supply chain management of the company. Thus, company is required to change in their logistic strategies as well. Technological changes in company will improve the operations of the organization due to change in working style and skills of the employees which will lead to improvement in performance(Al-Haddad and Kotnour, 2015). In case of Golden Wonder Company Due to change in perception and buying behaviour of customers, Company has to do change in their products which can help company to sustain their business. This change lead company to achieve its objectives. Company analysed the change in trends on time which lead Golden Wonder to do change in their products on time accordingly to the needs and wants of their customers. Fulfilment of customers' demands help company to gain customer satisfaction, market share, goodwill and profitability. Due to change in consumers' needs and wants, company's way to do business is changed. This lead to change in organizational strategies. For the production of new products, business has to change in their production strategies. For the gaining attention of customers towards new products, company will also have to do change in their marketing strategies too. Firm has to do change in their selling and distinction strategies too so that customers can get new products on time. There are a lot of change in the operations of the firm due to change in production of new products. For the production of old and new both products, Enterprise are required to hire some more employees, conduct more & more market research, make business and marketing plan and do change in a lot of business aspects which will lead to more operations in the organization(Rossi, 2019). 5. Impact of change on leadership, individuals and team behaviour Impact of changes in both companies i.e.- technological change and production of new production has not only impacted the business operations & strategies. It also impacts the leadership, individuals and team. Due to organizational changes, employees get afraid and do opposition of change. It leads to work pressure which affect the employees and team both. Due to change in the behaviours of employees and teams of firm, leaders of the both companies has to 5
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
change in their leadership styles and approaches accordingly in order to the behaviours of employees and team in order to motivate and retain them(Doppelt, 2017). 6. Minimization of impact of change and application of change models to process the change efficiently For the minimization of negative impact of change on the both companies such as Golden Wonder and AGFA, organizations will applyBurke-Litwen model. Application of this model in the context of both companies are as follows - The Burke Litwin Model of Organizational Change provides effective strategies for management of organizational change. This model mainly focus on the external environmental factors which lead to impact the business and its elements directly. By analysing the impact of factors on those elements, companies will be able to minimize the negative impact on the business(Edwards-Groves and et.al., 2019). PART 2 1. Overview of the organization Golden Wonder Company is a manufacturing company who produce snack foods. It is one of the most leading company in Snack products industry. This company was founded in year 1947 by William Alexander in Stocknridge, Edinburgh. Its headquarters is in North Lincolnshire, England, United Kingdom. Its products portfolio consists of Crisps such as Ringos, Golden Wonder,Groovers,JungleFreshNutsandTransfporm-A-Snack.Fromyear2006,this manufacturing firm is operating under the Company Tayto which is Northern Ireland based Company. This company have 5 manufacturing sites – two sites in England and two sites in Scotland. 2. Application of force field analysis Force Field Analysis Force Field Analysis (FFA) is a change management analysis model. This model was propounded by Kurt Lewin. Force Field Analysis refers to the process which include all those factors which are supporting the change and do opposition of change. Those factors which are supporting the change is known as Driving forces and those factors which are doing opposition of change is known as Restraining forces. This model analysis of all the factors and then help to take decision whether change should adopt or not(Drago-Severson and Blum-DeStefano, 2018). 6
Application of Force Field Analysis in the context of Golden Wonder Firm Golden Wonder Firm is doing production of new products due to change in the perceptions of customers toward the company which lead company to do force field analysis. Force field analysis of Golden Wonder is as follows - DRIVING FORCES Following are the driving forces of the company which lead company to do adopt the change in their organization - High Customer Satisfaction— Due to production of new products according to the needs and wants of their customers will lead company to gain customer satisfaction which is beneficial for the enterprise. 7 (Illustration1: Force Field Analysis Source:How to use force field analysis for change management, 2019)
Improvement in Brand Image— Company will produce those products which will be healthy and nutritious for the consumers. It will improve the taste as well. This will help company to gain improvement in their brand image. RESTRAINING FORCES Therearevariousrestrainingforceswhichleadcompanytofaceobstaclesin implementation and management of change in the organizational context. These restraining forces are as follows - Increased in Cost— Due to production of new products, company is required additional resources and manpower which will lead company to bear more costs. Work Pressure on Staff— Addition of new products required more operations, activities and implementation of strategies which lead employees to bear work pressure. This may lead to poor working environment and high turnover ratio(How to use force field analysis for change management, 2019). 3. Different barriers to change and their impact on decision-making & leadership There are various barriers to change in Golden Wonder Company. These barriers and their impact on decision-making & leadership are as follows - Lack of Employee Involvement— Due to change in production, Company has to do change in their strategies and policies which lead to creation of fear in the mind of employees. This lead employees to not to get involve in change management process. This barrier will make decision- makingprocesslongandslowwhichisnotgoodfortheorganization.Lowemployee involvement will lead leader to change in their leadership style so that they can involve their employees easily in change management process. Lack of Effective Communication— Due to new production process, Employees will get afraid and feel pressure. This lead to impact their behaviour. Change in behaviour will lead to change in communication between employees and employers. Lack of effective communication between staffs will lead to lack of understanding and co-ordination which will impact the implementation process negatively and change will not be able to successfully adopt by the company. Leaders will have to observe the behaviour and communication style of the employees and accordingly adopt the leadership style(Keane and et.al., 2018). 8
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
4. Accomplishment of change and their success There are various models through which company can accomplish the organizational change in their business. One of the most popular and important model is ADKAR model which was propounded by Jeff Hiatt. The reason behind the adoption of this model is that this model is mainly focused on the employees of the organization and try to get the support from them in order to make sure that change can be easily accomplished(ADKAR Model of Change,2018). For the adoption of change in organizational context, Golden Wonder has adopted ADKAR Change Model. Application of ADKAR change model in the context of firm is as follows - A—Awareness— Here Company will create the awareness between employees regarding the needs of the change. For that, they do conduct the market research, collect and analysis the data. After that they will call the meeting and communicate the data with every employee in order to make them conscious about the perception of the customers towards the company's products. D—Desire— Here after communicate the need of change and their positive impact on the organization, employees will have the desire to support the change and they will take participate and get involve in the change management process in the company. This lead top and middle levelmanagementtogetsupportfromtheemployeesandthisresultsinsuccessfully implementation of the change process. K—Knowledge— For the successful adoption of change in the company, Golden Wonder will have to give their employees training in order to acquire required skills and knowledge regarding the activities which lead to implementation of the change in the firm. A—Ability— After gaining required skills and knowledge, Company will have to provide their employees support by guiding and coaching in order to enhance their ability to do that work properly which was assigned to them for the purpose of making change successful in the organization. R—Reinforcement— After that, Company will make employees clear that change is very important part of the organization and it is implemented for beneficial of the organization thus, there is no turning back. Like this, Enterprise will encourage employees to do work on change and for that company can use reward management system(Ewenstein, Smith and Sologar, 2015). By adoption of this model, Company gets support from their employees which lead to improvement in employee involvement and communication system. It also leads to improvement 9
in organizational skills and performance. This lead them to easily implementation of the change in their production as well as another related aspects of the organization. Like this, ADKAR model to change in the Golden Wonder is successful for the company. 5. Analysis of leadership approaches in the context of dealing with organizational changes There are various leadership approaches which help leaders of the Golden Wonder Company to deal with organizational changes. These leadership approaches are as follows - Situational Leadership Approach— Under this approach, Leader of the company will analysis the situation and accordingly adopt the leadership style. For example — When company will communicate the change with employees, there will be 2 possible situations. In 1stsituation, employees will ready to support the change and another situation is that employees will create opposition for the adoption of change. In both situations, leaders' leadership style will be different(Lewis, 2019). Advantage of this leadership approach is that leaders will able to understand the situation and accordingly adopt the leadership style which help them to achieve their target for what they adopted the particular style.Another advantage of this theory is that it is very helpful for leaders to create good working environment for the employees in the firm. Disadvantage of this leadership approach is that not all the leader is able to analysis the situation accurately which lead to wrong adoption of leadership style.Another disadvantage of this theory is that by adopting of this approach, leader won't be able to look for long solutions of any problems, they just look at the immediate problem solving solutions. Trait Leadership Approach— Under this approach, leader of the company will analysis the behaviour oftheemployeeswhich getinfluenceduetoimplementation ofchangesand accordingly adopt the leadership style. For example — Due to implementation of change in the organization, Leaders observe that employees are not happy with that change and they want to leave the Company. In that case, leader will analysis their behaviours and try to reduce that impact on their behaviours. Advantageofthisapproachisthatthistheorycanbeapplicabletoeverylevelofthe management.Another pro of this leadership theory is that leaders get to know about their strengths and weaknesses which lead them to create understanding of how to improve the weaknesses in order to strengthen the leadership qualities. 10
Disadvantage of this approach is that it is considered to be leader centric theory and not to focus on the employees or followers(Oakes and et.al., 2018). Con of this leadership approach is that The list of traits for successful leadership seems to be very long. More than 100 different traits in various leadership positions have been identified. These descriptions are simply generalities. CONCLUSION From the above study, it has been summarized that for the sustainability of the business in today's competition business environment, organizational change plays an important role. Change in business will not only affect the employees and management. It affects the every aspect of the business. The impact of change on firm can be positive and negative. Enterprise should focus on the change management process and reduction of negative impact on the business so that change can be successfully implemented by the staff. 11
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
REFERENCES Books and Journals Al-Haddad, S. and Kotnour, T., 2015. Integrating the organizational change literature: a model for successful change.Journal of Organizational Change Management.28(2). pp.234- 262. Doppelt, B., 2017.Leading change toward sustainability: A change-management guide for business, government and civil society. Routledge. Drago-Severson, E.andBlum-DeStefano, J.,2018.Leadingchangetogether:Developing educator capacity within schools and systems. ASCD. Edwards-Groves, C. and et.al., 2019. Driving change from ‘the middle’: middle leading for site based educational development.School Leadership & Management.39(3-4). pp.315-333. Espedal, B., 2017. Understanding how balancing autonomy and power might occur in leading organizational change.European Management Journal.35(2). pp.155-163. Ewenstein, B., Smith, W. and Sologar, A., 2015. Changing change management.McKinsey Digital.pp.1-4. Hayes, J., 2018.The theory and practice of change management. Palgrave. Keane, T. and et.al., Microsoft Technology Licensing LLC, 2018.Visualizers for change management system. U.S. Patent Application 10/002,336. Lewis, L., 2019.Organizational change: Creating change through strategic communication. John Wiley & Sons. Nelson-Brantley, H.V. and et.al., 2018. Leading Change: A Case Study of the First Independent Critical-AccessHospitaltoAchieveMagnet®Designation.JONA:TheJournalof Nursing Administration.48(3). pp.141-148. Oakes, J., and et.al., 2018.Teaching to change the world. Routledge. Rossi,P.,2019.ConflictsinLeadingandManagingChange:TowardsaReflexive Practice.Leading Change in a Complex World: Transdisciplinary Perspectives. Yrjölä, M. and et.al., 2019. Leading Change: A Customer Value Framework.Leading Change in a Complex World: Transdisciplinary Perspectives. Online ADKARModelofChange.2018.[Online].Availablethrough: <https://expertprogrammanagement.com/2018/02/adkar-model-of-change/> How to use force field analysis for change management.2019.[Online]. Available through : <https://www.destination-innovation.com/742-2/> 12