Unit 7010V1: Implementing Organisational Change Strategies for Nestle

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This report provides a comprehensive analysis of implementing organisational change strategies, focusing on the case of Nestle. It begins by identifying various company change models and frameworks, including the Balanced Scorecard and the Beckhard and Harris model, explaining their relevance in assessing market information and adapting to global changes. The report then evaluates different change implementation models, such as Lewin's Change Management Model and Beckhard and Harris' Change Equation, discussing their advantages and disadvantages and identifying criteria for selecting an appropriate model. Furthermore, it explores creative problem-solving techniques, including lateral thinking, mind mapping, brainstorming, and focus groups, to address change challenges within Nestle. Finally, the report justifies change solutions that align with company strategic plans, emphasizing the importance of a systematic approach to problem-solving and the need for expertise in addressing organizational issues. The report highlights the importance of adapting to market challenges and implementing effective strategies to sustain a competitive position.
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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
plagiarism
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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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