Report: Individual Application of Theory - Brexit's UK Business Impact

This report delves into the significant impact of Brexit on British businesses, examining the challenges and changes organizations have faced since the UK's decision to leave the European Union. The introduction highlights the sudden nature of Brexit and its adverse consequences on UK businesses, emphasizing the need for effective change management. The report explores the impact of Brexit on various sectors, including trade deals, regulations, and the relocation of businesses. It also analyzes the Kurt Lewin's change management model (Unfreeze, Change, Refreeze) and its practical implications for UK organizations, providing insights into strategies for adapting to the new business environment. The report discusses issues such as resistance to change, workforce composition, and the need for strategic planning, emphasizing the importance of organizational strategies to maintain profits and sustain in market. The report also highlights the importance of communication and leadership in managing changes, and the need for organizations to formulate new strategies to overcome the challenges. The conclusion stresses the importance of adaptability and strategic planning for UK businesses to navigate the post-Brexit landscape and ensure long-term success. The report underscores the need for UK companies to work together and develop strong organizational strategies for achieving profitability. The report concludes by underscoring the need for businesses to develop new strategies to overcome the challenges and achieve organizational goals in the changed environment.

Individual application of
theory

Table of Contents
INTRODUCTION...........................................................................................................................3
Conclusion.......................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The following report includes information about the impact on Britain after Brexit. This scenario
was a sudden change that was decision of British government. It had bad consequence on the
business organisations of Britain. In order to make profits and beneficial market, it is important
for Britain to manage and handle the change process in proper manner (Colantone, and Stanig,
2018). It is concluded that when the Britain has taken such a big decision to withdraw from
European Union, there was no time to consider how business will be managed afterwards. This
essay will provide information about the change model and it’s practical implication on Britain
after Brexit.
Impact of Brexit on Britain organisations
It has been more than three and a half years after the brexit has happened. It has affected the
business of UK very badly. UK has not to be represented in the European union parliament and
there is no political right of UK within the institutions of European union. There is a trade deal
witches between European union and UK for figuring out that how businesses will be continued
and also security as well as law enforcement will be settled. The term dynamic alignment is
referring to what will happen in future if there will be new changes in the regulations and rules
given by European union. When there is dynamic realignment between UK and EU, it was pre
decided that the same changes which are developed in in European union are automatically
changed in UK for continuing of fair trading. When there was no competitive advantage over
each other in context of environmental regulations for labour laws, it was very easy to execute
and implement business operations. UK has developed regulations and on the basis of European
union has also agreed to various norms which have been negotiated. UK is only following
European union regulations as in past it was part of that association earlier (Clark, 2017). For
instance, when UK wants to develop new partnership of trade with any other country such as
Japan, us or Australia, there is good opportunity for UK to shift away from rules of European
union. Canada deal is known as a free trade deal which is allowing tariff free trade for most of
the products and goods. Prime minister of UK has been travelling across the world for
establishing trade possibilities with different countries. Recently, there was trade between
Australia and UK for having free trading of some products and goods from the country. There
are various countries like Singapore, Japan, Malaysia which have being stating that they are
satisfied for working with UK on post brexit trade deal.

Brexit has affected business of UK very badly. There is a lot of pressure among various
businesses and they are losing patience. When there is no deal of brexit then there are several
companies like airbus which has to consider shifting the operations from UK to the home
country. This created loss of jobs of several individuals. Sony has created transfer from the
European headquarter to Netherlands and avoiding the brexit disruptions (sVirdee, and
McGeever, 2018). There are several issues which are not solved in proper manner in different
industries of Britain. It is important for various organisations to manage and handle different
permissions and situations for doing manufacturing of products and effective manner and earning
profits.
The corporate reactions are most important factor which affects the management of business
operations. There are various small management enterprises which are present within UK and
there is need for making the organisations feel to have been impacted by the Brexit. There are
few retailers including John Lewis which were given warnings for doing their business in UK.
Sainsbury’s is a big organisation which has been working across the world. But UK created
problem for this company too. After brexit, this company has to face increase in import price
over to the customers. There were some of the products and items which were sold at less price
(Becker, Fetzer, and Novy, 2017). The major impact of Brexit is on the business operations and
activities as well as profits of supermarket organisations. This includes management of these
companies will be negatively affected by the Brexit scenario. It is essential for these companies
to develop strategic plans and procedures for handling the activities post brexit. The main
objective of various organisations is to earn money and make profits. It is essential to have
proper planning for managing and handling the ways of accomplishing success in market. There
are various companies like Visa and Vodafone that have considered for relocating the offices
back to Europe. The big projects and business deals which have to be started within market have
shifted or closed. Nissan was an organisation that was going to plan the Sunderland plant and
when Brexit happened they have delayed the investment and redevelop their strategies. There are
various type of strategies that have to be developed by the British companies to sustain in market
for longer period (Ford, and Goodwin, 2017). There are various organisations that sell products
and goods and they have great impact on the economy as well as jobs of employees. It is
important for the management of organisation to ensure that all work is done in effective manner.
The main challenge is to manage and prepare all the activities of business in proper manner for

attaining goals. Thus, it is seen that the British companies must work together in the situation
that has been created within market and there must be development of good organisational
strategy for achieving profits. This is helpful for managing the company operations and activities
properly.
Report of Britain just after Brexit scenario
In August 2016, in response to the question: “How much has the result of the
EU-referendum impacted the level of uncertainty affecting your business?”
36% of CEOs and CFOs cited Brexit as at least one of the top three current
sources of uncertainty. At the time, 9% said that Brexit was the most
important factor and 27% said it was one of the top two or three sources of
uncertainty but not the top source.
Model of change management

Kurt Lewin’s model of change - This is defined as the change model which is one of the best and
effective model for understanding organisational structure change. This model was given by Kurt
Lewin in 1950 and it was made basically for the organisations which have to change their
process for structural form in order to sustain in market. There are basically three stages of
change model including unfreeze change and refreeze.
Unfreeze - this is defined as the first stage of change process and according to the method of
loans it includes the preparation for an organisational change. This is associated with the step of
getting prepared for the change and analysing various facts that will affect the change in
conducting various business operations. This is an important phase because there are different
people who resist change and it is essential to break this thing for or doing business and earning
profits. This step includes the organisations to have deep knowledge about the resources which
the company has and how to utilise them in effective manner (Evans, and Menon, 2017). In
context of Britain, there are various organisations which had impact on their profit level after
brexit. Thus, it is advised that the organisations have to rebuild new strategies and prepare plans
for grabbing market sharing profits within market again to sustain in competitive world. While
there was sudden change in all the legal regulations and rules for government, it was important
for the organisations to develop new planning and strategies for reaching the desired goals and
objectives.
Change - this is defined as the stage in which there is presence of real transition and the change
takes place. this is a long process as different individuals have to analyse what the change is and
how to develop strategies and work in the new environment. There are two factors which will be
helpful in in working effectively by evaluating the change which includes reassurance and good
leadership. These are helpful in managing the business practices and activities needed for
managing the change in effective manner. there are other factors like time and communication
which are known as key factors of this stage and are helpful in placing the organisational
changes in successful way. After brexit, it is essential for the companies to adopt the new market
environment and business environment in which they have to work. There is need for developing
effective strategies for attaining organisational goals. There are new regulations and rules
developed by the companies for managing the business operations. It is very essential or the
organisations to adopt the new strategies and work effectively in order to earn profits.

Refreeze - this is the step after the change has been accepted and impressed as well as
implemented in the companies for doing stable jobs. This includes managing responsibilities in
effective manner so that goals can be achieved in specified time frame. The developed strategies
and plans made in the above stage are implemented within the companies effectively (Outhwaite,
ed., 2017). These are important for managing the business objectives as well as activities which
are pre decided in the change process. In the reference process, the Britain organisations which
are affected by brexit have started their business again and hiring new and talented employees
which will work for attaining success in less time. It is essential for the company to work
effectively and maintain long term success in market. The new regulations and rules in the
strategies of company are made and these are implemented and executed within the organisation.
When brexit happened, the business organisations have to ensure that the strategy that they are
following must be aligned and needs of employees and their families is fulfilled. Change is
generally known for creating something new and which is not familiar. This consist of having a
clear cut process for avoiding the Messy business operations. It is important for the companies
after brexit that they must involve re formulations and reconsideration for starting business
effectively. Mobility is defined as the term which is associated with change process for different
organisations. This is known as acceptance of change by different employees and staff. The
decision made by UK for exiting European union was unexpected and employees were not ready
for it. The change process consists of realigning of strategic direction and responding to the
external pressures as well as internal requirements of the company. The different reasons in the
organisation have to be identified and proper actions must be evaluated and implemented. There
are several changes that have taken place in association with immigration into UK. There is
great impact on the free movement of labour from UK to the European union. Now it is essential
to have a proper plan for analysing the current workforce composition and pressuring the new
position which the company has to maintain within market. Transition period is defined as that
period in which there is greater certainty of the legality which will affect immigration and this is
one of the crucial issues for managing change of brexit. The problems includes resistance to
change, loss of momentum, low stability for employees stress. The HR professionals and global
mobility have to maintain positive environment within workplace that will help in rain forcing
engagement and minimising mistrust.

Planning of change process- it is one of the major step in analysing the present workforce
composition is it also includes culture and diversity of the workplace. requirement of
reinforcement and cultural support for preserving what is right about the functions involved in in
adopting the new change (Bachmann, and Sidaway, 2016). This consists of analysing the
present organisational values by communications or discussions. This will help in knowing what
are the values which are already present within the organisation and what are the new practices
which can be adopted by the company for developing strategies and plans. This can be explain
with an example that the core values are used as main aspect for managing the performance of
individuals within programs which are promoting continuous development. These programs are
related to the talent management strategy at workplace. According to the Kotter's change model,
there are following steps of change management within an organisation. This includes creating a
sense of urgency for the change process, forming powerful coalitions, creating a vision for
change, communicating the vision, removing obstacles to change creating short term wins,
building on these changes and anchoring the changes in corporate culture.
When employees are involved in the change process, it is helpful for involving their part in in
development of organisational decisions and enhancing their value within company. When
employees working in a company have made any decisions, it is helpful in gaining commitment
and involving their participation in the planning stages. The main objective of change process is
to adopt the new organisational change effectively and work towards achieving organisational
targets and goals.
Communicating the change – there are various HR professionals working in the company which
have to take special measures for involving different stakeholders and relocating structured
communications. It provides need of identifying the potential problems and knowing what are
the meaning for solutions for it (Pettifor, 2017). Companies can have proper communication and
face-to-face test questions for enhancing the ways for solving different organisational issues that
have occurred after brexit. Communications are defined as a critical measure for maintaining
momentum and briefing about an effective way for solving problems. After brexit, in
organisations the business environment is not so good and resistance to change was very high. In
order to sustain in market and having a competitive edge, essential for the organisations to take
effective steps and making their employees to adopt the new change and work effectively in the
companies. For having a sustainable change, there is requirement of strong leadership and proper

understanding of organisational culture. Business can only succeed if the leader is having proper
knowledge regarding the organisational behaviour as well as culture that can improve the
performance of company as well as individuals working in it. For managing the change process,
it is essential to have good leadership skills for conducting the various operations involved in
change process. The change program developed within UK organisations requires to have good
actions and accountabilities so that employees can understand what are the two factors that can
affect organisation’s success and how to deal with them in order to run a successful business.
There are various potential areas of failure that must be anticipated and for having an uncertain
landscape, it is important for the Britain organisations to deal with challenges they are facing
after brexit in effective manner and maintain the goodwill in market by performing well and
earning more profits.
Conclusion
From the above discussion, it is analysed that the Brexit is a great challenge the was faced
by Britain. It is essential for this country to manage and handle the challenge in doing profitable
business. After Brexit, the main challenge which has to be focused upon is profit of the
organisation. It is essential for the companies to manage their performance and increase their
profits and performance by making strategies and plans that will help in developing goodwill and
reputation among markets.

REFERENCES
Books and Journals
Colantone, I. and Stanig, P., 2018. Global competition and Brexit. American political science
review, 112(2), pp.201-218.
Clark, R.E., 2017. The Anti-Brexit Cymbeline/Royal Shakespeare Company. Early Modern
Culture, 12(1), p.26.
Virdee, S. and McGeever, B., 2018. Racism, crisis, brexit. Ethnic and racial studies, 41(10),
pp.1802-1819.
Becker, S.O., Fetzer, T. and Novy, D., 2017. Who voted for Brexit? A comprehensive district-
level analysis. Economic Policy, 32(92), pp.601-650.
Ford, R. and Goodwin, M., 2017. Britain after Brexit: A nation divided. Journal of
Democracy, 28(1), pp.17-30.
Evans, G. and Menon, A., 2017. Brexit and British politics. John Wiley & Sons.
Outhwaite, W. ed., 2017. Brexit: sociological responses. Anthem Press.
Bachmann, V. and Sidaway, J.D., 2016. Brexit geopolitics. Geoforum, 77, pp.47-50.
Pettifor, A., 2017. Brexit and its consequences. Globalizations, 14(1), pp.127-132.