Change Management Strategies in MISSGUIDED, UMAR KAMANI, and Nasty Gal

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Understanding and Leading
Change
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Table of Contents
Introduction...................................................................................................................... 3
Discussion........................................................................................................................4
Task 1: Managing the Impact of Change.........................................................................4
Part A: Responding to Change.....................................................................................4
P1: Compare different organisational examples where there has been an impact of
change on an organisation’s strategy and operations..................................................4
M1: Assess the different drivers for change in each of the given examples and the
types of organisational change they have affected.......................................................5
Part B: The Impact of Change......................................................................................5
P2: Evaluate the ways in which internal and external drivers of change affect
leadership, team, and individual behaviours within an organisation.............................5
P3: Evaluate measures that can be taken to minimise negative impacts of change on
organisational behaviour.............................................................................................. 7
Theories and models to critically evaluate organisational response to change:...........8
Task 2: Leadership Decision Making.............................................................................12
P4: Explain different barriers for change and determine how they influence leadership
decision-making in a given organisational context.....................................................12
Task 3: Leading Change................................................................................................15
Conclusion..................................................................................................................... 19
Reference List................................................................................................................ 20
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Introduction
Changes refer to the sequential process that cannot be avoided by the business
organisations. Every business organisation adopts the changes in order to enhance
their business performance. This report will focus upon the changes and its impact upon
the MISSGUIDED, UMAR KAMANI and Nasty Gal, UK. Various models and theories
have been discussed in order to evaluate the changes in these organisations.
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Discussion
Task 1: Managing the Impact of Change
Part A: Responding to Change
P1: Compare different organisational examples where there has been an impact
of change on an organisation’s strategy and operations.
Organisational changes are the activities within the business organisation that leads
towards changing of strategies, rules, regulations, practices, principles, operation,
functions and other things that will helps the organisation to achieve goals (Ceptureanu,
2015).
 Changes in MISSGUIDED: MISSGUIDED is one of the latest fashion brands that
offer both men’s and women clothing in London, UK. However due to the changes in
the price of the raw materials the company adopted these below stated changes
within the organisation.
 Return policy: MISSGUIDED changed their return policy because the expenses of
returning the goods were becoming very costly.
 Changes in pricing strategies: The business organisation changed their pricing
strategies so that they can focus upon the quality of their products rather than
focusing upon the cheapest rate to attract the customers.
These changes helped the business organisation to provide better shopping experience
to the customers (Hulatt, 2018).
 Changes in UMAR KAMANI: UMAR KAMANI is a Clothing retailer in England, UK
that is well known about its designer clothes. However the company have to change
their strategy due to the changes within the eco-friendly approaches and the
customer’s preferences.
 Sustainable Apparels: UMAR KAMANI took various initiatives to manufacture eco-
friendly clothes so that it does not harm the nature.
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 Recruitment and Selection: UMAR KAMANI changed their recruitment and
selection process in order to increase the efficiency of the organisation by recruiting
experienced and skilled employees.
THESE changes within the organisation of UMAR KAMANI reduced the bad impact
upon the environment and increase its reputation into the consumer market (Jeske and
Axtell, 2016).
M1: Assess the different drivers for change in each of the given examples and the
types of organisational change they have affected.
 Drivers for change in MISSGUIDED:
 Technological innovation: MISGUIDDED changes their operations and functions
by bringing innovation through the latest technologies. It helped the business
organisation to make its manufacturing process less expensive.
 Globalization: MISSGUIDED changes their process of function and management
so that they can provide better shopping experience to their customers. The
company restructured their process to control and monitor every activity so that they
can expand themselves in the global market (Lozano, 2015).
For Example: MISSGUIDED changed their return policy that helped the organisation to
increases their sales.
 Drivers of Change in UMAR KAMANI:
 Competitions: The competition between the business organisations of clothing
retail industry drives the changes in the CSR Policies within the UMAR KAMANI in
order to support the wellbeing of the society.
 Institutional constraints: UMAR KAMANI had changes their strategies of
marketing and this change within the organisation was derived by the rapid change
of business environments (Holtgrave, and Onay, 2017).
For Example: UMAR KAMANI had taken various CSR initiatives for the well being of
the women in UK.
Part B: The Impact of Change
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P2: Evaluate the ways in which internal and external drivers of change affect
leadership, team, and individual behaviours within an organisation.
PESTEL Analysis:
Elements MISSGUIDED UMAR KAMANI
Political Brexit is causing difficulties
for the organisations to
operate in UK.
The business organisations
are facing un favourable
conditions and uncertainty
due to the Political
instability of UK.
Economic UK’s strong economy helps
in the business growth.
The current rate of
exchange in UK is helping
the business to enjoy high
profits.
Social UK has the well qualified
population that helps the
business for growing its
sales.
The business is facing
social trend due to the
increase in the obesity of
the population.
Technological MISSGUIDED use latest
technologies within its
stores that help the
company to attract
customers.
UMAR KAMANI is not
increasing its efficiency
trough technologies that are
declining its sales (Grünig
and Kühn, 2015).
Table 1: PEST analysis of MISSGUIDED and UMAR KAMANI
(Source: created by learner)
SWOT Analysis:
Elements MISSGUIDED UMAR KAMANI
Strength Advancement is technology
act as strength for the
company.
Due to the low cost strategy
the company enjoys huge
sales and increasing
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revenue.
Weakness MISSGUIDED only
depends upon the UK
market.
UMAR KAMANI does not
explore itself into the other
markets.
Opportunities The company has the
opportunity to expand itself
in the E-Commerce sector.
UMARK KAMANI can
explore itself in other
markets.
Threats Increasing competition is
the threat for the business
Emergence of Brexit is
causing threat for the
business (Herliana et al.,
2018).
Table 2: SWOT analysis of MISSGUIDED and UMAR KAMANI
(Source: created by learner)
The MISSGIDDED and UMAR KAMANI are the organisation that always looks forward
to achieve their goals. The Leaders of these organisations are experienced and adopt
changes based on the external and internal factors that help them to develop various
eco friendly approaches, pricing strategy, recruitment strategies based on eth
commodity’s prices and the various changing approaches of the customers.
P3: Evaluate measures that can be taken to minimise negative impacts of change
on organisational behaviour.
Do not manipulate employee: The manipulation of various information reduces the
performance of the employees. Manipulation creates various conflicts, issues and
confusion within the organisation.
Good Leadership: Good leadership encourages the employees to get motivates and to
adopt the business changes. Leaders use to exhibit strong character to make the
organisation successful.
Time Framework: Time management help the employees to complete the task within
the provided framework that help the organisation to complete the task and project on
time to gain client’s satisfaction (Doppelt, 2017).
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Good Communication: Effective interaction between the management and the
employees encourages the work performance of the business organisation. Effective
and good communication helps the business organisation to minimise the bad and
negative impacts of the organisational change (Tidd and Bessant, 2018).
Theories and models to critically evaluate organisational response to change:
Reactive Change: Reactive changes are the reaction of the organisation and the
employees upon certain changes.
Proactive Change: Proactive changes are been adopted by eth management in order
to achieve the organisational goals and objectives.
Burke and Litwin Change Model: This model influences the organisational change
and motivates the management and employees to adopt these changes.
Figure 1: Burke and Litwin Change Model
(Source: Stone, K.B., 2015)
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Individual and overall performance: The performance of every individual should be
monitored and should be recognised and appreciated that will help the employees of
MISSGUIDED and UMAR KAMANI to motivate its employees.
Tasks and skills: It helps the organisation to the task based on the employee’s skills
and qualification.
Motivation Level: The level of motivation within the management of UMAR
KAMANI and MISSGUIDED should be high so that they can remove the resistance of
employees on the organisational change.
Management Practices: Healthy management practice helps the business
organisation to control business activities.
External Environment: External environment analysis helps the business organisation
about the various changes in business environment.
Work Unit Climate: The UMAR KAMANI and MISSGUIDED should effectively interact
in order to improve their workplace environment.
Mission & Strategy: UMAR KAMANI and MISSGUIDED should strategized mission
and strategy in order to improve the employee’s performance.
Leadership: the leaders of UMAR KAMANI and MISSGUIDED should encourage
employees to adopt changes.
System: UMAR KAMANI and MISSGUIDED should adopt policy according to their
business system.
Individual Values and Needs: The management of UMAR KAMANI and MISSGUIDED
should identify needs and values to make the employees anti-resistant towards the
changes.
Organisational Culture: The organisational culture of UMAR KAMANI and
MISSGUIDED will help the employees to retain within the company.
Structure: UMAR KAMANI and MISSGUIDED should have aim based structure so that
they can adopt eth changes easily.
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Continuous improvement model: It helps the business organisation to adopt the
organisational change and overcome the issues and problems.
Figure 2: The continuous improvement model
(Source: Michael and First, 2017)
 Identify: The management and top level executives and leaders of UMAR KAMANI
and MISSGUIDED identify the factors and implemented various changes within their
organisation in order to make their business successful.
 Plan: The UMAR KAMANI and MISSGUIDED should develop plan according to the
changes so that they can satisfy their business needs and the customers.
 Execute: The plan should be executed properly that will help the UMAR KAMANI
and MISSGUIDED to utilise the resources appropriate.
 Review: The management and the top level executives of UMAR KAMANI and
MISSGUIDED should control the performance of the organisation by reviewing every
activity. This will helps both the organisation to achieve their organisational goals by
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making their employees anti resistant to the changes and making eth organisation
adopt the changes.
Conclusion:
With the implementation of various changes within the MISSGUIDED and UMAR
KAMANI both the organisations have faced favourable impacts by increasing their sales
and profit. The impact of these changes has led the organisation to achieve their
organisational goals and objectives effectively and efficiently.
Recommendations:
However, it is been recommended that the MISSGUIDED and UMAR KAMANI should
take various initiatives to explore themselves in to the other developing countries. It will
help both the organisation to increase their goodwill and market share in the
international market.
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Task 2: Leadership Decision Making
P4: Explain different barriers for change and determine how they influence
leadership decision-making in a given organisational context.
There are various barriers for change:
 Employees are not involved: The employees of the organisation become resistant
towards the organisational change that becomes the major challenge for the
organisation to implement the changes in order to make the organisation more
efficient and effective towards getting the success. By undertaking this barrier
MISSGUIDED employees were resistant to the organisational change that slowed
the implementation of the aim based structure within the organisation. However the
Nasty gal, UK also faced the employee’s resistance that leaded to the failure of their
supply chain.
 Communication strategy is not proper: The information and the data that use to
pertain within the changes of the organisation reduce the performance of the
organisation and the satisfaction of the employees. It creates confusion, conflicts as
well as the manipulation of eth information within the organisations. However the
communication of the MISSGUIDED sometimes faces improper communication
within its organisation that increases various conflicts between the management and
the employees. The Nasty Gal poor communication created improper modification
within their organisation (AlManei et al., 2017).
 Complex processes of organisations: The various processes and its complexities
within the organisation made the implementation of new changes difficult. Medium
sized organisation such as MISGUIDED and Nasty Gal faced various difficulties by
the implementation of the changes at various levels.
 Present state is not known: The organisation that is been not informed about the
current ongoing business environment and how the company should adopt various
changes in order to overcome the challenges, problems and issues acts as a barrier
for the organisation. The MISGUIDED and Nasty Gal faced various developmental
challenges due to the barriers of the organisational change (Taneja et al., 2016).
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