Leading Organizational Change: Samsung and Apple Case Study Analysis

Desklib provides past papers and solved assignments for students. This report analyzes change management at Samsung and Apple.

UNDERSTANDING AND LEADING CHANGE

INTRODUCTION
Change is a continuous process which is really important for the business to grow
successfully. Every organization needs changes to survive in the competitive industry
where there are many companies are working for gaining profit (Booth et al., 2014). This
assignment will be discussing the value of change. The challenges which have been faced by
the company will be presented in the report. A different measure of change will be helpful
in minimizing the negative impacts of change. Apart from this, there are different strategies
which can be helpful for adopting the changes easily.
For understanding the concepts and value of change the assignment is choosing Samsung
and Apple. Samsung Group is a South Korean multinational conglomerate company which
deals in electronics and home appliances worldwide (Bryk, 2018). The company was
founded in 1938 by Lee Byung-Chul. There are around 91, 2300 employees are currently
working in the company. Operation income and Net income of the company is £670.6
million and £35.1 million respectively. There are many competitors of SAMSUNG in which
Apple is one of the toughest competitors of SAMSUNG. Apple is an American multinational
technology company that provides Computer hardware, Computer software, Consumer
electronics, and other electronic appliances. The company is mainly famous for its iPhone
and I pad. There is a total of 500 stores of Apple all over the world. The company covers a
huge area of business. The report will be presenting a comparison between Samsung and
Apple in order to understand the impact of the change in the strategies and operations of
the organization (Burnes and Cooke, 2013).

LO1
P1
The change is different for the different organization as per their situations of the business.
SAMSUNG has adopted the advanced technology is its business operations which have
impacted the business growth positively (Burnes et al., 2018). There are many other
changes which have been seen in the organization. Apple is using effective strategies and
plans to adopt the changes easily by which they can compete with Samsung effectively. This
has been observed that it is really tough for the organization to adopt the changes easily.
The employees must be able to adopt the changes in the organization. Certain changes
highly impact organizational strategy and operations. A comparison between Samsung and
Apple is presented below which will be helpful in understanding the impact of the
organizational change in two different settings.
ORGANIZATIONAL
CHANGE
Samsung Apple
MISSION AND STRATEGY The mission statement of the
company represents the goal
of the organization that is to
attain the competitive
advantages from the market
and maintain an effective
brand image in the industry
by providing satisfactory
services to the customers.
Apple mission statement
represents that the
organization wants to
provide the best services
and products to the
customers in order to
enhance their sales volume
(Chesbrough, 2010).
ORGANIZATIONAL
STRUCTURE
SAMSUNG follows a flat
organizational structure in
which the company involves
its employees in important
decisions. This
Apple follows the divisional
structure in which there are
different functional divisions
are divided by the
organization in which the

organizational structure is
helpful in encouraging
employees and improving
their performance (Daft and
Marcic, 2016).
departments have the
responsibility to attain their
specific goals. This structure
is helpful in attaining the
organizational goals
successfully.
PEOPLE AND CULTURE SAMSUNG follows a peculiar
and innovative culture. They
value and respect the work
of employees. The company
is having strong relations
with the stakeholders and
customers which are helpful
in maintaining their brand
image in the market.
Apple provides proper
training to their employees
by which they can be able to
handle the different
situations of the business.
They have a well-organized
culture in which all the
employees are satisfied with
their jobs and the customers
are satisfied with the
services.
MARKETING AND
CUSTOMER
RELATIONSHIPS
There are different
strategies and plans
followed by SAMSUNG
which is helpful in
promoting their services in
the market. The company
has aimed to provide
satisfactory services to the
customers which are helpful
in managing the customer
relations easily. They train
their employees to treat the
customers with respect and
Apple is having a healthy
customer relationship which
is helpful in gaining the
competitive advantages
from the market. Customer-
centric method and different
pricing strategies are
adopted by the organization
for gaining the loyalty of the
customers (Denison et al.,
2012).

value their needs and
demands.
TECHNOLOGY SAMSUNG is using advanced
technology for enhancing
their productivity and
improving the current
services (Espedal, 2017).
Use of technical tools will be
really helpful for enhancing
the sales ration of the
company.
Apple adopts digital
technology and the internet
for promotion and
advertisements. This is
helpful in improving the
brand image of the
organization and competes
with the other popular
companies like SAMSUNG.

M1
There are different drivers of change which has impacted the organization in different
ways (Glass and Cook, 2016). The internal drivers of change can be evaluated with the help
of SWOT analysis while the external drivers can be evaluated by PESTLE Analysis. The
different drivers of change are presented below:
INTERNAL DRIVERS FOR CHANGE
INTERNAL DRIVER OF CHANGE SAMSUNG
STRENGTH  The company is having strong
financial conditions by which they
can enhance their production
process.
 They have sufficient employees who
are capable to complete the targets
and goals successfully.
 SAMSUNG is having an effective
network for delivering the services to
the accurate customer.
WEAKNESS  The company is having fewer
margins as compared to other
companies.
 SAMSUNG got impacted by the
economic changes of the nation and
changing needs of the customers.
 The company is having a problem of
high employee turnover which is a
weakness of the growth of the
organization.
OPPORTUNITY  The company can expand its business
in different areas.

 They are having the opportunity to
fulfill the needs of the customers by
providing them satisfactory services.
 The company can adopt the process
of Acquisition and mergers in order
to enhance the business.
THREATS  The increasing level of competition
can be a big threat to the
organization.
 The changing government rules and
regulations can be a big challenge for
the company (Guldenmund, 2018).
 The existing local companies give
tough competition to SAMSUNG.
EXTERNAL DRIVERS OF CHANGE
Figure: Pestle Analysis
Source: Makos, 2015

EXTERNAL DRIVERS OF CHANGE SAMSUNG
POLITICAL The changing political policies and
standards highly impact the organization. It
has been observed that the political changes
bring disputes and conflicts between the
employees of the organization.
ECONOMIC SAMSUNG is having a high turnover ratio
which got impacted by the changing
economic conditions. Recessions highly
impact the electronics industry (Gupta,
2011). Unemployment, inflation and other
economic circumstances impact the growth
of the organization.
SOCIAL The demands and choices of the customers
are changing day by day which highly
impacts the sales of SAMSUNG. The
company is having healthy relations with
the customers that are helpful in enhancing
their productivity and profit.
TECHNOLOGICAL In the current scenario, Artificial
intelligence and internet are the major
needs of peoples. The business
organizations are using the internet and
artificial intelligence for enhancing the
profit of the business by producing
innovative products and services.
ENVIRONMENTAL The management of SAMSUNG is really
concerned with the sustainability of
business and environment. CSR prospects
can be helpful in reducing waste.
LEGAL There are different legal policies and

standards created by the nation which
needs to be followed by the business
organizations. Changes in these laws and
policies highly impact the growth of the
business (Holm and Fairhurst, 2018).