Achieving Lean Success

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UNIT 7010V1
IMPLEMENTING ORGANISATIONAL CHANGE STRATEGIES
Declaration,
“By including this assignment I confirm that the attached assignment is my own work,
and does not include work completed by anyone other than myself and I have given
credit when ideas or concepts of others have been used. I have completed this
assignment in accordance with CMI’s instructions and understand the implications of
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SUMON DEB NATH, CMI REG NO: P04454899
INTRODUCTION
The process of implementing changes in the organisation is a sort of activities
which should effectively and systematically place in the management to gain proper
form of benefits. It is essential for the company build up a regular set of changes that
could bring needful improvements (Bakeev, 2010). Similarly, the report is also
providing information about the organisational changes and its implementation in the
management. Nestle is among one of the leading European firm which is performing
business in the international sector. The company offers a wide range of food and
milk products to the world and the most popular of them are Maggi, chocolates and
Cereals. In past decade, Nestle has faced instability and fluctuation in their business
approaches and functioning due to global rescission. Nestle as brand is not much
known in the market of Europe and UK as compared with South Asia because in
such market business has not introduced new type of products wherein South Asia
market is offered variety of products and also marketing activities are quite effective.
Thus, it has become crucial for them to analyse, evaluate and assess the market
information regularly and implement changes in their strategies to sustain position in
the concerned market.
A.C 1.1 IDENTIFY A RANGE OF COMPANY CHANGE MODELS OR
FRAMEWORKS
Organisational change is termed as the action to modify the current strategy for
enhancing present abilities and efficiency of earning profits and revenues. The
management team of the company is aimed on attaining high market share and
establishing strong position in the sector. For this, they need to be specific and clear
over their approaches of assessing in-depth information from the market and
accordingly, plan the further actions which could bring improvements. In that context,
changes are also beneficial for Nestle in earning higher forms of revenue and overall
income (Davenport, 2013). Nestlé’s managerial team has an aim of developing
effective ways of gaining market importance and increasing presence in the sector.
For instance, the price change in the pricing strategies helps the firm in gaining
competitive advantage from the market and assists them to attract large number of
customers.
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Similarly, Nestle should also determine and assess values for identifying the
advantageous changes that could report positive response to the organization.
Moreover, they should consider the following models to evaluate and address the
helpful changes for the organisation:
 Balanced Scorecard – According to my viewpoint, the method of
assessing the performance of staff is extremely advantageous for the
organisation. As the employees' performance is directly linked with the
organisation's efficiency to lead the business to greater success and
achievements (Bostan and Grosu, 2011). This helps them to track
operational and functional execution abilities of their members.
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Model that is being used in the organization is
Beckhard and harris model :- This model is being adopted by Nestle for
implementing changes in successful manner. It is a strategical tool that is being used
by organizations for assessing the possibilities and conditions that could be used for
changing an organization. It involves systematic steps that are being used for
bringing changes in the company. Major steps that are being followed comprise of
carrying out internal organizational analysis and in this identification of forces against
the changes is done. After that need for change is evaluated and gap analysis is
performed for determining the current state of the company. Further action planning
is performed for determining the work the work that needs to be done. Management
of Nestle makes use of this approach for implementing changes in the firm.
A.C 2.1 Evaluate a range of change implementation models
Lewin's Change Management Model
The specified model is developed by Kurt Lewin which basically focuses on
stages of assessing and identifying problems for implementing changes.
Management model process is based on strategic stages which includes unfreezing,
changing and refreezing. The stages are highly helpful for the business in
overcoming challenges faced by them in the form of problems and issues (Morrison,
2014). Moreover, following information has been evaluated from the stages involved
in the model:
 Unfreeze – This is the first stage of change and in this the organisation
is looked to accept the necessary modifications in the current operation of
the business The work starts with breaking down the current situation so
that the team could begin their problem solving activity and in turn major
issues can be resolved.
 Change – In this stage, the people of the organisation generally give
ideas and approaches to overcome the uncertainty. Their basic starts with
addressing new direction of working and functioning with an aim to gain
benefits
(Awadh and Alyahya, 2013).
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 Refreeze – At last, the designed changes needs to be implemented
and developed by the team. This helps the organisation in overcoming
negative consequences and achieving higher form of betterment.
However, on evaluating the above specified model that is also termed as a
force field analytical measure is composed of certain advantages and
disadvantages. It is where such approach is apparent to benefit in visually
summarising the factors that are either supporting or opposing the opinion of
change. Whereas, it together exists with certain unfavourable dimensions for
being a very goal oriented and logical model that duly neglects the human
behaviour and as a result to which creates certain negative outcomes
Advantage of this model :- This model provides a step by step process for
implementing necessary changes in the company. It is vital that all the steps should
be completed so that required changes should be successfully implemented.
Movement process has been defined in this so that necessary changes should be
successfully implemented.
Disadvantage of this model :- The model is not detailed and challenges are faced
in implementing the necessary changes successfully. It is also a difficult task for
identifying the planned changes that needs to be successfully implemented.
Beckhard and Harris' Change Equation
This is the process of analysing the situation faced by the management with
the purpose of addressing the problems that could lead the success and
achievements for the business. The change equation suggested in the process helps
the management team to identify the issues and solutions by which they could carry
out the improvements (Jones, 2010). The equation is based on elements that
includes Dissatisfaction (D), Vision (V), First steps (F) and Resistance to change (R),
which designed as D x V x F > R. The stated change process is highly effective for
the organisation and result in positive way.
Advantage :- IT renders an innovative approach that could be used for evaluating
the problems that are being faced in ensuring long term success and growth of the
business.
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Disadvantage :- Change equation that has been described in the model is
complicated for understanding. It is required that proper knowledge and
understanding should be posses by mangers for making use of change equation that
has been suggested in this model.
A.C 2.2 Identify the criteria to select a change implementation model that
supports company change
The organisational team generally considers various grounds and aspects to identify
the best suitable and appropriate strategy which can help in implementing changes
in the business. This helps them in gaining better form of reports and overall
outcomes. Nestle should also focus on some critical perspectives to assess the
values and advantages of allocating the most effectual strategy of problem solving
(Hayes, 2014). For this, they reckon the following criteria and their characteristics
which are helpful in featuring the required form of information: Systematic approach and outlined set of stages – It is crucial stage
for selecting strategies that should have a structured formulation of
identifying, assessing information and solving problems. The process should
have an outlined form of stages which should be accordingly processed and
implemented (Cameron and Green, 2015).
 Resistance to change – Next effective criteria is to assess that
whether the strategy is strong and vital in implementing change and gaining
appropriate form of response from the management.
 Periods of uncertainty – The changes defined should be effectively
placed within the stated time period. It enables the organisation to be
specific, clear and strategic over their purpose of solving the problems by
following the stages according to the time scale (Anderson and Anderson,
2010).
 Impacts on communication, cultural and individuals – Model for
implementing changes in the organisation has many impacts both positive
and negative which supports the management in overcoming the issues.
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Changes in the organisation have great effect on networking, cultural and
employee's performance of the business.
A.C 1.2 Apply a range of creative problem solving techniques to address
change challenges
Nestle should consider some basic models and approaches to address
solutions for the encountered problems. Below are some effective problems solving
techniques that are useful for Nestle in allocating solutions to its changes:
 Lateral thinking (Edward De Bono) – It is the most common method of
solving an issue by generating a new creative approach and changing the
perspective of consideration over the problem (Brown, Recker and West,
2011). It helps Nestle's team in bringing innovation in thinking and directing
different view for the issue. This will in turn help them to combat any
challenging state of affair prevailing in the market by fulfilling them in a
creative manner. Mind mapping (Tony Buzan) – A kind of hierarchical structure of mapping
which includes the process of organizing activities and entire information
which shows a graphical representation of each and every activity of the
organisation (Butler, 2010). By this, Nestle will be largely supported from such
vital technique of allocating ideas and identifying suitable techniques for
solving the problems. Brainstorming (Alex Osborn) – This is the process of generating ideas and
approaches for overcoming the negative situations or issues currently faced
by the organisation (Kaplan, 2012). It is highly beneficial for Nestle to allocate
new and creative ideas by reducing the impact of problem/s they are facing to
implement a requisite change in their adopted measures Rich pictures (Peter Checkland) – In this technique, the management
generally works on a mechanism for learning and getting abilities to work over
complex problems by drawing a specific and detailed representation of them
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(Loosemore, Chow and Mcgeorge, 2012). Nestle would get initial support by
adopting the stated problem- solving approach for determining the whole
sequence of their undertaken work. Focus groups– A kind of research approach which is conducted by an
organisation over a group of people with an aim to assess the values, beliefs
and understanding about the company. This will help Nestle to gain actual
information related to their market so that they could effective actions for
enforcing change.
 Innovation laboratories – Technical and scientific problems are generally
faced by many companies which impacts their working and overall
functioning, In context to which, such innovative laboratory methods will help
Nestle to execute their work in a much better manner
Nestle needs to adopt an innovative approach that could be used for resolving
the issue that is being faced by the company. Change challenges that are being
faced in the company can be resolved by making use of Brainstorming session. All
the individuals who are working in the company who are associated with
implementing the changes can be invited for discussion and methods can be
identified for implementing the changes successfully.
A.C 1.3 Identify and justify change solutions that link to company strategic
plans.
It is important that a business should systematically select the best kind of
technique for identifying, allocating, assessing and overcoming the issues faced by
their organisation. The management team of the company needs to have
professional, expertise and specific knowledge about the factors which are
responsible for addressing the problems and their solutions by analysing the
business solutions (Bostan and Grosu, 2011). In that viewpoint, Nestle should also
determine their strategies to identify current as well as future problems that could
affect their business and market position. Thus, the firm should adopt and employ
the most suitable and appropriate sort of technique/s which are productive and
profitable for them.
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In that regard, the above stated problem solving models and techniques
would support them in highlighting the areas which could lead to issues or are
currently affecting them. Moreover, following are most befitting techniques and
methods which are helpful for Nestle and their team to allocate problems with their
solutions:
 Balancede Scorecard – As per this model, Nestle would implement
the design for evaluating the activity in order to monitor and control the
consequences arises from business action.. The results of the work
execution defines the actual outcome which could be compared with the
assumed target further, the performance is measured and compared to the
assumed value which will increase the efficiency of the company.
(Shahzad, F. et.al., 2012). Hence, the gap between the present and
required ascertains the abilities of the staff as well as the business. This
helps the team to allocate the problems that fill the gap between the actual
and pre-defined activity. They can bring alternatives for them by selecting
lateral thinking, mind mapping or rich pictures. A prompt usage of balanced
scorecard is therefore referred to be a perfect solution for Nestle to solve
any change related issues prevailing at their workplace.
 Quality Excellence Model – Nestle is mainly focusing on quality
standards and measures that are required to be maintained in their
products and services. In that context, they must adopt the strategy of
retaining quality by defining proper set of standards that are helpful in
improving their business procedures by building up effective changes and
alternatives.
Change solution that could be used in the company :- It is required that changes
solution that needs to be implemented. There is need to change digital technology
that is being used in the organization. Management of the company can take
significant steps for inviting all the staff members so that they can be encouraged
and their positive contribution can be taken for implementing the changes
successfully in the firm. With this, line managers and supervisors can be instructed
for implementing the changes successfully so that required objectives could be
achieved.
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A.C 3.1 Demonstrate the use of analytical tools to monitor the progress and
the effect of change
. Balance score card approach allows Nestle in monitoring change where financial
measures along with the operational one are considered for enhancing satisfaction
level of customers. It support in ensuring the implementation of a changed plan as a
way of acknowledging whether it has been implemented as per the formulated
stages or not. In short, its effectiveness can be seen by constant monitoring where it
allows Nestle to know whether the change has been successfully implemented or
not. Therefore, it provides large number of advantages to Nestle and in turn desired
objectives can be accomplished in an efficient manner.
 Flow Charts: It is a powerful tool to assess the effect of change in the
organization. A flowchart can be used to compare the before and after effects
of change in the functioning of the company.
 Metrics: Metrics also help to major the change. It report the change of
effectiveness by tracking change in the management activities. It checks the
performance improvements, progress and plan adherence, speed of
execution and benefits realisation.
 Data collection: Collecting the data and analysing it in order to find out the
change and effectiveness of change. However, it is required to use the
appropriate data collection and data analysing techniques to get the best
results.
Table : Balance score card
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Area Strategic objective Measure of achievement
Business
process
improvement
Continuous improvement
in the undertaken work
procedures of Nestle will
help them to increase
their business
productivity
Production cost and benefits achievement
from its activity.
To take right decisions on time
Identifying the overall benefits obtained by
carrying out operations in terms of cost
Analyzing each and every business
process and ensuring its quality level
Customer
satisfaction
Wide range of products
across the world
Excellent quality
Its achievement will be measured by the
accountable bodies of Nestle by ensuring
an elevated trust on their products and
services with an improved rate of products
Other than this, the Kubler-Ross change curve, Nestle uses it to understand
the reaction of their employees regarding the changed managerial processes
(Antonioli, Mancinelli and Mazzanti, 2013). This is a powerful tool that helps the
managers to effectively deal with the changes and personal transitions of their
subordinates. From this, the firm evaluates the success rate and overall profits
experienced by the company. The following are five stages of GriefKubler-Ross
change curve:
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A.C 3.2 Assess monitoring and measurement techniques to change within a
company.
By adopting Balanced Scorecard and Kubler-Ross change curve, Nestle can be
benefited by aligning their key performance. On considering these tools, the
enterprise will plan for strategies and communicate their organisational goal to the
workforce.
Balance score card Kubler-Ross change curve
Positive aspects:
This is used by Nestle for translating the
strategic vision into operational goals and
actions.
It enables the company's manager to finely
execute their strategies (Grant, 2016).
It provides better way of communication
with the appointed set of employees for
clearly understanding their work
assignations.
Negative aspects:
This system does not include financial
analysis of economic value.
Positive aspects:
From this, The organization plans to
minimise the negative impact of change
and helps to adapt new process quickly.
From all proposed step, the mangers give
time to learn and adapt the changes
Negative aspects:
A leading negative aspect of this model is
concerned with low productivity of
employees. It is when they are giving more
amount of time to accept the proposed
organisational change (Hayes, 2014).
. This is for example Nestle has launched a new commodity in the market by opting
for the strategy of diversification. This will in turn postulate them to continually
monitor the success of that prolonged division as a way of distinguishing its
successive measures. It is with a fundamental consideration of acknowledging
whether it has led to any successful enforcement or not. It can however be
measured by enumerating the financial benefits whether obtained or not from the
enforced plan of action.
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The various monitoring techniques that can be used by the organization are as
follows:
 Quantifiable monitoring: Solid statistics proves to be the best way, defining
collecting and analysing the the data is the best way to meet the expectations.
Spreadsheets is a popular tool for monitoring and quantifying. Periodical
reports made on the spreadsheets helps to keep a track of effect of changes
in the best manner. Nestle company can make use of these technique for
monitoring the existing process that are being followed in the company.
 Behavioural monitoring: Behavioural change is difficult to apply since it is
interpretive. With no hard numbers, objectivity becomes difficult. However,
various inputs serves the results. For example, organization can take
feedback from the employees, also can organize a discussion session on
discussing the merits and demerits of changes being faced by them.
The other key aspects of monitoring the change include observation, talking with
people, monitoring work performance and output, financial recording, recording
errors, logging the level of complaints, monitoring absenteeism and staff turnover.
A.C 3.3 Analyse strategies to minimise adverse effects of change.
This plan is based on the following steps-
Defining change: Nestle states the vision for operation so that they can
attain desired future goal. For instance, Nestle is working with top-down
communication approach and consider to the change of bottom-top method so that
the organisation can increase the performance of employee (Anderson, 2013). It is a
foremost step for the concerned bodies of Nestle to involve their respective
workforces and define the requisite change in the organisation. This will further tend
to aid them in convincing the appointed set of personnels to aptly work as per the
changed criterion of work.
Brainstorming or mind mapping the driving forces: From brainstorming
session, the Nestle organization evaluates the supporting factors which are
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favourable for change such as increasing productivity, performance of the
employees, generates creativity and idea etc. It is a subsequent step in which,
Nestle will hereby refer to some impulsive forces of change that could be
implemented in a successful manner. Brainstorming or mind map the restraining
forces: Nestle analyse the opposing factors that are unfavourable for bottom to top
approach such as conflicts between employees, flow of vague information, ego
problem of workers etc..This step hereby necessitates the organisational bodies to
consider certain constricting forces of change that can duly hinder their changed
procedures. I will be working as team lead and will organize brainstorming sessions
so that required objectives could be completed successfully with out facing
challenges and difficulties.
Evaluating the driving and restraining forces: After evaluating both
supporting and opposing forces, the stated firm uses rating method to understand
degree of negative and positive effect of forces. Overall rating represents the level at
which forces have impact on business (high, less, moderate) and performance of
employees (standardised, low) etc. This particular stage is a composed assessment
of both the above measures forces of change in order to frame some expeditious
strategies to enforce the changed format of work.
Review the forces: By evaluating, the organisation reviews the factors that
have influence on Nestle performance and corrective measures are taken to deal
with them (Antonioli, Mancinelli and Mazzanti, 2013). It is amongst the most
important step in which the applied measures are duly reviewed by the solicitous
individuals of the quoted firm by together adopting a continual approach of
monitoring any changing forces.
Strategies: The business creates strategies to strengthen the driving forces
by providing rewards to employee for their performance so they can stick with the
planned process. Other than this, restrain forces such as the ego problem of
employee can be reduced by limiting the involvement of workers. It is just after the
preceding step of reappraising the forces when the final strategies are being applied
by the enterprise. It is with a dual consideration of augmenting the driving forces with
a simultaneous expiry of restraining units.
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Prioritising action steps: The cited firm starts to prioritise restrain and driving
factors from the identified resources so the impact of restrain forces can be reduced
than the driving cause.
Few other strategies to minimise the adverse effect of chage are:
 No bias and fractional support to a particular employee
 Trusting, employee- oriented and supportive work environment is required in
the organization
 help the employee to understand the reason of change being done and how it
is good for them.
 Create an organization-wide feedback and improvement loop in oder to
communicate the good effects of change in the organization.
 Proper training and orientation session should be organized for the employee.
So that they can adapt the change easily.
A.C 4.1 Identify the processes to review the impact of the change
The change processes suggest the management of the organisation to identify
problem and meaears the impact to gain competitive advantage in the market.
Change impact analysis is given by Bohner and Arnold which includes the
identification of results of change and guesses the requirement necessary for a
change. While Pfleeger and Atlee have focused on challenges associated with the
change .Some of the challenges are guessing of impacts of resources,time tables
etc. Both the challenges and design details are binded with changes which are
difficult for performing IA The entire change equation takes into consideration various
elements such as dissatisfaction, vision, first steps and resistance to change which
can be considered most significant during change. This condition gives the formula:
D*V*F> R
The referred model has showcased four main elements of dissatisfaction,
vision, first step and resistance. In context to which, it has been forecasted that on a
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liable assumption of the former three constituents of D, V and F, there multiplication
is always greater than the fourth component of R. Thus, with an analogous reference
to which, Nestle should together consider to the first three elementary parts that will
be always greater than their resistance forces.
Dissatisfaction (D): Currently, Nestle is working with top-bottom approach which
increases dissatisfaction of employees. In this context, the cited firm develops and
implements a change by proposing a bottom-top approach to make a cordial
interaction with their employees. By this, the subordinates can directly share their
work related problems with their superior. The employees will hereby feel motivated
towards their work and contribute effectively in the activities of the organization. It is
therefore important for the cited entity to eliminate this foremost consideration of
dissatisfaction from the mindset of their employees. This will help them to operate in
a more productive manner with a valuable sense of working towards a due
achievement of organisational goals.
Vision (V): The Nestle build clear vision and share it with their team members
so that they can understand the company's objective. This will also reduce the gap
between management and workers. The manager can share the information to their
workers which an increase knowledge and capability (Borrego and Henderson,
2014). It is thence important for the quoted entity to ensure that all there appointed
workforces are aware of their organisation;s mission and vision strategies. This will
aid them to work in a more precise manner with no prior faults.
First step (F): The organization gives liable information of the proposed
change to their employees who are required to be realistic and executable in nature..
It is mainly in order to convince the workers to work as per the changed conceptions
of work by explaining the importance of such proposed change to them.
Resistance: The employee usually resists change because they feel reluctant
to alter their work criteria from one process to another. However, in this particular
case Nestle is referring to move from top down to bottom up approach, some
inefficient employees may hereby feel reluctant to accept it. With the motive to deal
with situation of resistance to change it is required for Nestle to adopt some
motivational tools so that employees may take active participation in the change
management process (Burke and Noumair, 2015). It is basically to control any
influential mean of resistance where the designated establishment will hereby make
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an effective use of certain potent tools and methods. It is to fundamentally convince
the employees in a better manner where they need to resist the proposed changed
in a forceful context.
A.C 4.2 Analyse the results of the impact review
Analysing result is one of the most significant part as through this it becomes easy
for the company to know whether the range of techniques considered for managing
change are effective or not. For the proposed bottom approach, the managers use
360 degree feedback method by which the cited firm take feedback from their
employee. One organisation has to gone through various impacts like economic
impact,Revenue impacts etc. to make overall its overall profit and growth. Economic
impacts also includes various types like operational, construction,Job and
Income,Supported population etc The company utilise it for enhancing the
performance of employee. The effective communication between the top level
management and their co-workers results increasing employee morale and
satisfaction. Thus, the employee show more creativity and share idea with their
subordinates which reduce the time of work. The standardised work process
increases the productivity of the organisation so that they can increase the value
services towards their stockholders (Cummings and Worley, 2014).
A.C 4.3 Present the findings of the impact review
Currently, the bottom top approach has impacted the organisational strategy
which is planned by Nestle for increasing their effectiveness in the change process.
The management have used benchmark process for analysing the current aspects of
their process in relation to the present practices of the company. This will allow the
management to develop their plans or add best practices for improving their
business procedures (Davenport, 2013).
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Findings of the impact review are as mentioned :-
From the report, it has been articulated that implementing changes or modification in
the current organisational strategies helps their managerial team in leading business
to greater heights. It helps them to solve their issues and problems which affect the
business functions and operations to gain benefits.
 The report also concludes that the impact of change is productive and
profitable for an organisation only when the plan is to bringing modification
in strategic and tactical operations.
 Moreover, implementing any type of change within the workplace has
positive and negative impact on the business and it is the duty of
management to take corrective actions for dealing with change by
undertaking motivational tools.
 As every change has a dual aspect in which the result could be in negative
or in positive form and it depends on the structuring and overall execution.
Reviewing the impact is always considered to be a beneficial approach for
the establishment where they can acknowledge the overall impact of
change.
 This involves an utmost identification of their profitable means by together
referring to another considerable fact of addressing any altered behaviour
of the employees who are now bound to operate as per the changed
concepts of work.
 A timely reviewal with some active procedures will further aid them to take
some corrective measures.
It is also possible to make Foundation impact through reviewing and examining the
reports, and collecting data from output results based systems
Foundation watches the impact at three different levels:
1.individual and community:.
2.organisational:
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3.policy and practice.
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