Change Management and Strategic Leadership Report for EduQual Diploma

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This report, prepared for an EduQual Diploma in Business Management, delves into the crucial aspects of change management and strategic leadership. It begins by appraising and discussing the impact of classical and contemporary management and leadership styles within an organization, specifically using Walmart as a case study. The report then evaluates both internal and external triggers of change that may impact the organization, such as mergers, acquisitions, legislation, and competition. A stakeholder analysis is conducted to identify potential risks associated with change implementation. The contribution of human resource management practices to successful change management is evaluated. Finally, the report analyzes the impact of the organization’s management and leadership styles on the planned change management process, offering recommendations for strategic improvements. The report emphasizes the importance of contemporary leadership styles, employee involvement, and adapting to market dynamics for successful change implementation. The report also highlights the impact of internal and external factors such as mergers, acquisitions, legislation, and competition on Walmart's business.
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Running head: CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
Change Management and Strategic Leadership
Name of Student
Name of University
Author Note
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
Table of Contents
Task 2.........................................................................................................................................2
1. Appraising and discussing the impact of classical and contemporary management and
leadership styles......................................................................................................................2
2. Evaluating both internal and external triggers of change that may impact the organisation
................................................................................................................................................5
3. Conducting a stakeholder analysis to identify the risks of the plan...................................8
4. Evaluating the contribution of human resource management practice.............................13
5. Analysing the impact of the organisation’s management and leadership styles on the
planned change management................................................................................................17
Reference..................................................................................................................................21
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
Task 2
1. Appraising and discussing the impact of classical and contemporary management
and leadership styles
Carnall (2018) is of the opinion that classical and contemporary management and
leadership styles play vital roles in the development of strategies in an organisation. This is
mainly because the impact of these management as well as leadership styles is important for
motivating employees as well as gaining the confidence of the employees. It has been seen
that the classical and contemporary styles have its own application in the management of an
organisation and for Walmart this can account for gaining success in the company and hope
for the implementation of changes within the organisation.
As stated by Hayes (2018) changes need to be brought about by keeping in mind the
effectiveness it may have on the performance of the employees. In this case, the application
of classical style may have a serious negative impact on the minds of the employees. This is
because the classical style deals adopts the autocratic style of leadership in which managers
and leaders take decisions without concerning the employees over the decision that has been
taken by them. This can also be related to the charismatic style of leadership as the presence
of the leader determines success.
In the case of Walmart, the application of the classical style of management and
leadership may bring about a negative impact on the mentality and the performance of the
employees. The reason behind this is the fact the Walmart is a reputed organisation that is
famous all over the world, therefore the changes made within the organisation need to be
communicated with the employees so that the employees can input their ideas and be
prepared of the expected outcomes (Walmart.com 2018). However, the application and
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
adoption of a bureacratic style may create a sense of ego and power distance between the
employees and the employers, which may be received in a negative manner particularly in
countries that has a low power distance culture.
At the same time the strategies that are adopted while implementing the change or for
the development of the organisation need to be run by the employees so that it may have a
positive impact. As stated by Cameron and Green (2015) the employees of an organisation
need to be provided with the liberty so their own knowledge about the application of a
strategy can be implemented. However, the adoption of laissez faire leadership style may not
be applicable for a company as it may provide excessive freedom to the employees. The
managers of Walmart can consider addressing the ideas provided by the employees as a form
of motivation but not provide them with the liberty to continue the work on their own.
This can help the company to continue to work in a proper manner and ensure that the
loyalty of the employees is maintained. However, with the adoption of transformational style
it can be difficult for the managers of Walmart to continue to provide encouragement to the
employees so that they can remain loyal. A negative consequence of the transformational
style adopted by Walmart can be seen from the fact that had failed to implement itself in the
market of Korea, which is usually dominated with less power distance in the country. Hence,
it can be said that the application of the classical style of leadership can be considered to have
a negative impact on the progress of an organisation.
On the other hand, Saleem (2015) is of the opinion that the application of the
contemporary leadership and management style is one of the sought after styles in a
company. Most organisations value the goals and objectives of employees and try to align the
goals and objectives of the organisation with the goals of the employees. This provides an
extra motivational factor as employees feel valued in the organisation and therefore, the
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
loyalty of the employees improves. This helps employees to motivate the employees more
reduce the workload of the leaders as the employees take full responsibility of the task that is
assigned to them. In the case of Walmart, the application of the democratic leadership can
bring about a positive work environment within the company.
As stated by Keskes (2014) bringing about changes in an organisation is considered as
an important strategy that needs to be undertaken by managers so that the fruitfulness of the
organisation can be maintained. For Walmart, improvement in certain areas of the company
like its branches in the Asian countries can be brought about with the application of the
transactional style of management and leadership styles. Interaction between the employees
and the employers is considered as an important aspect that needs to be done so that exchange
of important information can take place within the company. Therefore, the application of the
transactional style can help Walmart to continue its business process in the market and at the
same time motivate the employees to remain loyal towards the organisation.
One of the advantages that Walmart can gain from the application of the
contemporary or participative leadership style is the fact that it provides employees with an
opportunity to be involved in the decision-making and at the same time provide freedom to
the employees. Such application can help Walmart to continue its business in countries that it
has failed in such as in Korea in which the company can provide freedom to the employees
over the work by undertaking a more emotional intelligence approach. Such an impact can
help Walmart to continue its business within the market and motivate employees so that they
can continue to remain loyal to the company. As stated by Bolman and Deal (2017) the trait
theory can help leaders and managers undergo various processes that help in undertaking a
proper leadership style by analysing the successes and failures.
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
Therefore, the analysis of both the styles provides evidence about the different impact
that leadership styles have on an organisation. It is recommended that Walmart follow the
contemporary leadership and management style so that it can continue to develop strategies
within the organisation with the consent and support of the employees. This can help the
employees to remain motivated as well as remain loyal to the organisation.
2. Evaluating both internal and external triggers of change that may impact the
organisation
Doppelt (2017) is of the opinion that changes in an organisation is brought about
mainly to improve the working condition and improve the loyalty of the employees. At the
same time certain factors triggers changes to be made in an organisation so that it can
continue its business in the market. These changes triggers can be both internal as well as
external and provides organisations with an opportunity to improve its current practice in the
market. In the case of Walmart, the effectiveness of the internal and external changes can be
analysed so that the organisation can be more successful.
The internal trigger of change that can affect Walmart is the introduction of mergers
and acquisitions in the business. As stated by Kuipers et al. (2014) mergers and acquisitions
are important as it can help in the growth of two different business selling complimentary
products. This can provide Walmart with an opportunity to appeal to the varied customers
around the world and help in the development of a strong customer base by analysing the
demographic factors. Analysing the demographic factors can even help Walmart to rebuild
from the failures it suffered in the markets of Asia. Hence, it can be said that analysis of
demographic factors as well as mergers and acquisitions is an important internal change
trigger, which helps in the development of the organisation.
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
At the same time, legislation plays an important role for the development of an
organisation, as it needs to abide by the ethical rules of the country as well as the
Government. In the case of Walmart, the legislative policies of the company need to change
so that it can gain success in the markets of Korea and other Asian countries. The marketing
strategy based on the product sold by the company need to meet the demand of the people as
well as the legislation of the market so that the success of the company can be maintained.
Apart from the internal triggers, the external triggers also play an important role for
the development of change in an organisation. In the case of Walmart, one of the external
trigger of change that can be associated is the increase in the competition. It has been seen
that the major competitors of Walmart in the market around the world includes Amazon,
Aldi, Tesco and many more (Walmart.com 2018). Hence, it is important that the company
adopt strategies that can help in the development of competitive advantage that can help
Walmart to mitigate the threats from the competitions. Therefore, it can be said that business
operations can be made to improve with the effects from the external triggers of change.
Apart from this, another external trigger of change is the low demand mainly due to
the economic downturn of the people in the countries. This can be considered as an important
external trigger mainly because it does not involve the foresight. The economic fall can bring
about huge loss in Walmart as the products of the company tend to be expensive and the
budget of the people during those times may not provide them with opportunities to seek any
luxurious brands (Walmart.com 2018). Hence, it can be said that after analysing the external
and internal triggers of change, a change management strategy can be developed for Walmart
so that the company can reflect the interests of the stakeholders.
The change management strategy for combating the change in the market that need to
be developed by Walmart, need to focus on the development of strategies to be successful in
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the Asian market. The manner in which it needs to change its organisational culture is one of
the changes that need to be made. For this reason, it is essential that every functional area of
the company take into consideration the interests of the stakeholders. Thereby the company
can implement tools and techniques that can help in the development of change management
within the organisation.
The implementation of a flowchart method can help Walmart to design a visual sketch
of the change management plan that needs to be adopted by the organisation. The
effectiveness of the flowchart is that once the change is being implemented in the
organisation or the functional department it can be displayed and added to the flowchart for
the view of the employees. As stated by Pugh (2016) the application of a proper change
management strategy can help the company to improve its position in the market and at the
same time bring about the efficiency of the employees.
For the implementation of changes in Walmart, the company need to send out
memento to every department in the company so that resistance to changes can be
maintained. The HR department of the company need to develop plans so that it can improve
the organisational culture as well as behaviour of the employyes. To do so it is necessary that
the company design a proper motivational plan by considering performance management so
that every employee be appraised and rewarded based on the work done. Apart from this, the
individuals and groups of the people need to be influenced by the people so that proper
application of changes can be implemented in the organisations.
Another important tool that Walmart can implement is the analysis of the stakeholders
and its competence in the development of the company. Walmart can the implement analysis
of the stakeholders so that their powers and responsibilities can be taken into account.
Conducting a force field analysis can help in the resistance of change as well in the
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
organisation. In the case of the internal operations of the company, it is necessary that
Walmart provide its employees with an opportunity by undertaking a performance
measurement method to develop so that the market research undertaken by the company can
improve (Goetsch and Davis 2014).
Hence, it can be said that identification of the internal and external triggers of change
can help companies like Walmart to develop change management strategies so that it can
continue to improve its business in the market. At the same time, development and
maintaining record of the changes that are implemented via tools such as measuring the
milestones and performance of the employees can help Walmart to remain competitive. This
can provide Walmart with opportunities to satisfy the interests of the stakeholders and
formulate plans that can help in the identification of any risks within the company.
3. Conducting a stakeholder analysis to identify the risks of the plan
Stakeholder Power
matrix
Stakeholder
position
What is
important
to the
stakeholder
?
Contributio
n to the
organisation
How can
the
stakeholder
show
resistance?
Strategies
for engaging
the
stakeholder
Customers High High The important
factor for a
customer is
the price,
quality and
quantity of the
products that
are being sold
The feedback
from the
customers
can help
Walmart to
improve its
position in
the market.
The
resistance
from the
stakeholders
can come in
the form of
rejecting to
purchasing
The
strategies
that need to
be taken for
engaging the
stakeholders
are that the
feedback can
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
by Walmart.
The
customers
tend to
compare these
three
attributes with
the competing
companies so
that the best
possible
outcome can
be gained. At
the same time,
innovative
nature of the
products are
also
considered as
important
The
customers
can provide
information
about the
demands and
expectations
that they
have from
the company
and convince
them to
adhere to the
changes so
that they can
gain the
loyalty of the
customers
the products
sold by
Walmart
mainly due
to the
excessive
price or for
the poor
quality. The
impact of
this can be
high, as the
profit of the
company
cannot
increase due
to lack of
sale of the
products
be
implemented
so that it
matches the
demand of
the people.
Regular
communicati
on need to be
maintained
so that the
customers
remain
informed
about the
changes that
has been
implemented
in the
company
Channels High High The
importance of
the channels
is that it needs
to provide an
The
contribution
of the
channels to
Walmart is
The
suppliers are
the people
that can
show
The suppliers
of channels
can be
engaged by
providing
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accurate
distribution of
the materials
to the
customers so
that they can
be satisfied
important as
they help in
gaining
profit. The
distribution
channel of
the company
can be
understood
and the
quickest way
to reach the
customers
can be
contemplated
after the use
of the
channels
resistance
by refusing
to provide
the
necessary
channels for
the
developmen
t of a proper
supply
chain. The
bargaining
of the
supplier
need to be
taken into
account in
this case
them with
the required
profit to
work. They
can be
provided
with either
monetary
motivation or
by non-
monetary
motivation so
that they
remain loyal
to the
company. At
the same
time making,
the suppliers
of the
channels feel
valuable by
getting them
to engage in
decision-
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CHANGE MANAGEMENT AND STRATEGIC LEADERSHIP
making
activities
Collaborators High High The
importance of
the
collaborators
is that they
help with the
contribution
of finances so
that Walmart
can
implement
innovative
ideas in the
company. It is
important that
the
collaborators
make
contribution
based on the
capabilities so
that excessive
expectation
The
collaborators
can provide
monetary
benefit for
Walmart so
that they
make
innovative
changes as
well as help
in the
expansion of
the company.
The
contribution
of the
collaborators
is that they
can provide
Walmart
with an
opportunity
The
collaborator
s can show
resistance
by ensuring
that the
finances
provided
become
limited.
This can be
done if the
company
does not
show any
results
despite the
assistance
from the
collaborator
s. Hence, it
is important
that
The
strategies
that can be
adopted for
engaging the
collaborators
is that quick
results can be
developed by
applying
small
changes in
the company.
The small
changes can
help Walmart
to continue
its business
in the market
and at the
same time
ensure that it
provides the
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