Analysis of Leading Change Strategies: Hilton and Marriott Groups

This report examines the concepts of leading and managing change within organizations, specifically using the Hilton and Marriott hotel groups as case studies. The report explores the influence of change on organizational performance, analyzing both internal and external drivers that impact leadership, individuals, and teams. It identifies measures to mitigate the negative effects of change, including communication, employee engagement, and phased implementation. Furthermore, the report applies Force-Field Analysis to identify barriers in decision-making and examines different leadership approaches in the context of change management. The analysis covers technological advancements, political factors, and economic conditions impacting these multinational corporations within the hospitality sector. The report concludes with strategies for effective change implementation and highlights the importance of proactive approaches to achieve competitive advantages.

UNDERSTANDING AND LEADING
CHANGE

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Influence of change on different organisation ......................................................................1
P2 Impact of internal and external drivers of change on leadership, individual and team ........3
P3 Measures to minimise negative impact of change.................................................................5
TASK 2 ...........................................................................................................................................6
P4 Force-Field Analysis and identify barriers that influence decision-making of leadership....6
TASK 3............................................................................................................................................8
P5 Application of different leadership approaches ....................................................................8
CONCLUSION .............................................................................................................................9

INTRODUCTION
There is always need of bringing improvisation within the company who are working
within marketplace as without there are chances that company might loose competitive
advantage and may not satisfy the actual needs for the loyal kind of customers (Aslan and
Reigeluth, 2013). There are certain modifications which has to take place due to change in
trends, taste of customers and others. In aspect of business, they mainly form up of strategic,
tactical, leadership and technical changes. This in turn will mainly impact the level of
performance and the people adversely. Structure of Change management has to be introduced
with the motive of reducing the impacts and thus this can allow them for having advantage of
high level of competition among competitors. Company chosen for this report is Hotel Hilton
and Marriott Groups as both are MNC's and deal in hospitality sector across the globe. There are
certain things which will be discussed within this report like impact of change on both of
companies. This also covers up the external and internal factors for obstacles, force field analysis
and approaches of leadership.
TASK 1
P1 Influence of change on different organisation
Change play key role in influencing overall performance and operation of the company either in
direct or in-direct manner. It usually occurs in any form like technological, political, market
trend, cultural, customer choices and needs etc. Any change that takes place in a company and
posses direct influence on business activities are termed as organizational change. It is also relate
with modifying or altering workflow and management structure. It is really essential for
company to adapt themselves as per the current change so that they are able to gain high
competitive advantage in the market place. According to definition given by John Stroke,
“Change can be describe as a process that enable company to re-design its working structure and
processes that have direct or indirect impact on its entire functioning (Booth, Wade and Walker,
2014). Both Hilton and Marriott Hotel have undergo change that assist them in retaining and
maintaining loyal customers for longer run.
Change in Hilton Hotel:
Recently, the chief executive officer of Hilton Group has decided to step down from his position.
This results in formulating new policies and strategies by management as they believe that
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working style and thinking of newly joined CEO is different from the previous one. Another
change that taken into consideration by Hilton Group is technological oriented change.
Old and new strategy:
In the given scenario, it can be interpreted that Hilton Hotel is not doing anything related with
retaining its customer for longer period. By doing this, they are not able to attract extensive
amount of customers (Carrington, Deppeler and Moss, 2010). As a result, profitability of the
firm get adversely affected. But ow the company has changed its strategy towards building
strong relationship with its customers. Their mangers have decided to come up with new loyalty
programmes so that they can easily attract customer. In addition to that, their customer has to
wait a long at reception. In order to reduce the waiting time of customers, they have launched its
online mobile application where customer can take the benefit of advance booking. In addition to
that, expansion of its chain is their another major concern. They can take the advantage of
opening their hotel in developing countries like China, India where they have the opportunity to
capture large market share. This also help in generating higher sales and profitability ratio.
Another technological change that was taken into account was in the form of introducing its own
mobile application that enable them to gain high competitive advantage in the market place.
Technological changes always consider the most significant change towards generating higher
market share and fulfil customer requirement in an adequate manner.
Change in Marriott
Due to change in political condition of the country, it is chiefly important for respective firm to
formulate such plans and policies that help them in gaining high competitive advantage in the
country. Another major concern that makes Marriott to undergo change is in the form of increase
in living wages of employees.
Old and New Strategy: Marriott gained popularity for expanding its business operation and
activities on large level. But due to ongoing political instability in they country, it has become
difficult for them to expand its operation on global level. However in order to deal with such
kind of situation, the company is required to make new policies and strategies that help them in
attracting large number of customer and providing services according to the needs and wants of
potential buyers (Clarke and Persaud, 2011) In addition to that, with the application of new
strategies, wastage of resources can be controlled and use available resources in an optimum
manner.
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P2 Impact of internal and external drivers of change on leadership, individual and team
There are two factors that exist in workplace that affect working and functionality of
company in a positive and negative manner. It depend upon company how they react or respond
to the change. Their response towards change will determine whether it is going to affect its
operation either in a positive manner or in a negative manner (Doppelt, 2017). Here the role of
leader is very crucial as it leads to figure out and critically assess each and every concerned
aspect that leads to run business operation smoothly. These forces are known as driving forces
that are further classified as into Internal and External Factors.
Impact of Internal Drivers: These are usually found within the organization only and are under
the control of company.
Worker Morale: Strength and confidence level of individual or colleague is pivotal for the
achievement of organization. Representative with bring down assurance or responsibility
towards work antagonistically affect the execution of different specialists too. Therefore it is
essential for each business worry to advance inspiration among their workforce. This can be as
money related or non-fiscal. Pioneers are require to tune in to their representatives and evaluate
their commitment.
Strength – Relation of Hilton Group is showing signs of improvement with their providers. This
is having constructive outcome on authority style of pioneer as their certainty is expanding. Their
are different groups like obtaining, who are getting taking in new things from provider of
organization in light of fine association with them.
Weakness – Employees of this association answer to head of two division. This make disarray in
the store and friends too. One can state this is primary purpose for high number of inward clashes
in this undertaking.
Opportunities– Scope of market extension in European and Latin American is high. Hilton
Group can take the advantage of expanding its market share and customer base by opening more
number of chain in other developing country.
Impact of External Drivers: These are found outside the company and possess direct impact on
overall functioning of the company (Fullan 2014).
Economic Condition: A private relationship exist between financial condition and business
undertaking. The working and execution of organization depend on-going financial condition.
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Any kind of variance in the event of retreat or expansion antagonistically influences business
practices and activity. Here the principle part of pioneer and different labourers is to gauge such
circumstances and get ready compelling measures or activities keeping in mind the end goal to
manage them successfully. Moderate financial development of UK result in less income to
organization, it eventually adversely affect impetuses, advancement and conduct of people who
are working in organization.
New Competitors: Competition makes the business world all the more difficult. New competitors
makes inconvenience for other firm as new innovation, advancement, thoughts and fulfilling
clients' needs and want with sensible estimating. Pioneers are required to make techniques
related with managing rivals in useful way (Fragouli and Ibidapo, 2015).
Political Factors: The effect of political powers straightforwardly impact the working of
association. These are for the most part as government parties, government approaches, charge
strategy, political solidness and so on. Brexit acquires political unsteadiness UK which influence
the whole activity of Hilton Group either in negative way. Administration of this association is
influenced on account of Brexit as pioneers needed to changes their authority style like
imperious, so they can easily enter in new markets. Democratic style is fundamental for
accomplishing ground learning and making powerful arrangement in current circumstance of
Hilton Hotel.
Technological Capacity: It has been trusted that new technologies, old one are becoming
obsolete. Associations keep themselves side by side with mechanical development and headway
so as to take the benefit of high focused edge. It shapes the operation and working of business in
a useful way. For example, keeping in mind the end goal to reduce the holding up time of clients,
Leaders of Hilton Group has chosen to dispatch their mobile application by means of which
request can be put ahead of time. This frequently brings about higher lead generation. Pioneers
of this organization began giving greater need to vote based authority since they realize that
adapting up to mechanical changes isn't simple uniquely in the event that one individual will
endeavour to achieve all undertaking in same time (Fyke and Buzzanell, 2013). It affected each
person of the organization and their conduct since they have learn new systems of working on
account of progress in innovation.
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Legitimate change – In a few nations like UK, government has raised least wages. This
legitimately tie Hilton Group to build pay of their workers.
P3 Measures to minimise negative impact of change
If the change is not executed in a viable or right way, at that point their result or outcome go
from inauspicious to adversely. Associations that can deal with change successfully can yield
higher aggressive edge and more prominent achievement (Gupta, 2011). Keeping in mind the
end goal to embrace and actualize change effectively in the business hones both Hilton and
Marriott are required to consolidate proactive approach that primarily comprises of four principle
steps:
1. Beating Resistance: At this stage, organizations are required to obviously speak with their
workforce about the change. It help employees to comprehend the need or method of reasoning
behind the change. Clients of Hilton Group needs to sit tight for longer time with a specific end
goal to put in a request. Along these lines, to spare the valuable time of their intended interest
group they have chosen to outline a portable application that empower them to put arrange ahead
of time. They additionally render solid help to their workers in setting of preparing and
improvement.
2. Engaging Employees: Workers are the person who yield higher profitability and incomes for
the organization. The prime obligation of business concern is to connect with their workers in
change process as they are the person who actualize change and deliver higher yield when
contrasted with its rivals.
3. Executing changes in stage: This stage is comprises of three stages which are as per the
following:
 Get ready for change: In this, the two organizations outline the methodologies related
with change administration process. It additionally diagrams scratch obligations and parts
completed by workers and manager.
 Deal with the Change: This stage manages building up better correspondence channel and
activity that empowers the two elements to deal with the adjustment in an organized and
intensive way (Hrebiniak, 2013).
 Strengthen the Change: This stage rotates around gathering input and actualizing
remedial measures where required.
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4 Conveying the Change: According to the overview, it has been discovered that if organization's
neglects to advise employees ahead of time about organization's change, it regularly brings about
worker unfortunate behaviour by 42%. It is vital to have two-way correspondence that assurance
authoritative change achievement.
TASK 2
P4 Force-Field Analysis and identify barriers that influence decision-making of leadership
Force-Field Analysis: The framework was proposed in the year 1940 by Kurt Lewin. The main
reason for designing this model is to identify various factors that can cause or restrain change. In
simple words, it identifies all such forces that can cause any change in the company are needs to
figure out first (Keppel and et. al., 2012). Apart from this, there are other factors as well that
resist change in the company. With the assistance of this methodologies, Hilton Hotel can easily
determine its forces that driving or resisting change. It is useful in formulating effective
strategies as it investigate the reason for change. It encompasses five stages which are discussed
below:
Stage1: Define Proposal for Change: At this stage, the role of manager is to determine the
reason for which is thinking to embed change in its business operation and activities. Basically at
this stage, company needs to re-define its goals and vision according to the change. For instance:
Hilton Hotel has decided to reduce the waiting time of its customers and also update its menu
card as per the requirement of target consumer. It is primary important for any association to
figure out the reason why they want to engraft change.
Stage2: Identify forces for change: There are two types of forces that affect entire operation
and activities of company. It is normally classified into Internal and External. Internal factors are
available within the firm only whereas External elements are find out outside the company.
Internal Factors: It normally compromise of:-
 Improved cost of production
 Higher sales generation
 Increasing the level of employee satisfaction
External Factors: It consist of various factors that are listed below:
 To take the advantage of high end technology
 In order to attain high competitive edge (Malenfant, 2010)
 To capture large market share
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Stage3: Identify forces against change: At this stage, leader of Hilton Hotel needs to determine
various drivers that cause and resist change. It can also be categorized into following parts:
Internal Forces:
 Whether employees accept the change or not
 “The is the only way to do it” behaviour signifies bad image
 High chances of clashing of ideas and thoughts
External Forces:
 Change in laws and regulation formulated by Government
 Political instability
 Change in taste and preferences of customers
Stage4: Assign Scores: At this stage, the role of Hilton Hotel is to rank forces according to their
priority level. Under this, score are assigned to employees that help in determining the degree of
influence of such factors on overall operation and activities of the company. For example:
change in taste and preference should be ranked on first position (Mukherjee and et. al., 2012).
Among all, there are various factors that impact overall organizational operation but its influence
is low as compared to other available factors. By knowing the degree of influence it will become
easier for company to formulate plans and policies accordingly.
Stage5: Analyse and Apply: Once the company is done with identifying what are driving and
retaining forces that leads to bring change in the company, they need to think upon another two
main aspects which are discussed below:
 To continue with the change or not
 To examine favourable forces that leads to strengthen practices and activities of business
and which are the unfavourable forces that leads to promote weakness.
Apart from above mentioned forces, there are various barriers of change that positively or
negatively impact working of the company. Some of the common barriers that affect
performance and profitability of Hilton Hotel are discussed below:
Government: There are different laws and regulation that has been formulated by Government
body of respective country. Laws concerned with change in tax rate, increase vat rate might
affect the customer purchasing power (Parsons and Cornett, 2011). Any change in government
policy adversely impact overall functioning of Hilton Hotel.
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Employees: Workers are known as main asset of business enterprise. Organizational growth and
development depend upon the efficiency and productivity of workers. Therefore any change
embedded by company must benefit their employees. Also decision should be made by
consulting with employees. But still there are some situation that promote high chances of
arising conflict among them (Suchman, Sluyter and Williamson, 2011). For example: When
manager of Hilton Hotel embedded change, they did not inform about the change to its workers.
When they finally decided to implement the change, they only inform workers that have decided
to engraft change rather than consulting with or taking their consent. As a result, bad image of
company perceived in the mind of personnel.
Environment: Due to ongoing political and economical instability in the country, profits of
Hilton Hotel get adversely affected. In addition to that it also affect purchasing power of
customers that ultimately leads lower the profitably ratio of business enterprise.
Customers: Consumer are known as the king of market. The primary responsibility of every
company is to determine their actual needs and wants so that they can produce goods or deliver
services accordingly. If a customer is looking for a hotel, then preferably they wanted to stay in
such hotel that gives them better and unforgettable experience. However lack of this experience
may result in losing loyal customers and as a result overall profitability of the company suffers.
TASK 3
P5 Application of different leadership approaches
There are various type of leadership approaches that have a direct on working of the
company. According to organizational goals and objectives, leadership approach can be selected
that best fits company and help them in generating higher revenues or profits (Thomas and et. al.,
2013). By selecting suitable leadership approach, company can smoothly run its business
operation and activities. Apart from this, it also assist the company in dealing with change that
takes place usually in the form of environmental, political, technological etc. Some of the
common approaches of leadership are mentioned below:
1. Situational Leadership: Under this leadership approach, a leader can select its leadership
style on the basis of current situation. For example: When Hilton hotels recruits new
employees, their leaders are require to follow autocratic leadership style. But later on
they can adapt participative style of leadership. Leaders provides guidance and direction
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to employees which motivates them to work hard so that business goals and objectives
can be attained in a significant manner.
2. Transactional Leadership: Under this style of leadership, rewards are given to employees
for performing good and punish them for performing inappropriately. The goals has been
set by both manager and leader which makes easier for employees to work accordingly so
so that all task can be accomplished within its time period (van der Voet, Kuipers and
Groeneveld, 2015). If personnel is able to finish its given work on time, then manager or
leader will appraise them for their good performance. On the other hand, if they were
unable to achieve pre-defined task then in such cases manager will provide adequate
training to them which help in improving its overall productivity and efficiency.
3. Participative Leadership: This is the most common form of leadership as it ensure
building strong relationship between leader and followers. Leader play great role in
encouraging its followers by involving them in decision making process. This makes
them feel valued and important. In addition to that, equal opportunity is given to each and
every employee so that they can grow and develop both personally and professionally.
Making workers feel special, it is important to value their work so that they can retain
with the company for longer period.
4. Transformational leadership: Under this approach of leadership, strong communication
exist among employees and management of the company. With the hep of effective
communication, it become much easier for company to achieve its objective within its
specified time frame. Apart from this, management play key role in providing proper
guidance and direction to its followers so that all tasks can be attained in a systematic
manner (Yoder-Wise, 2014). This also encourage and inspire worker and as a result,
increases its commitment towards business goals and objectives.
CONCLUSION
Form the above report, it can be concluded that for gaining the competitive advantage
within the marketplace, it is highly essential for every company for adopting the change.
Modifications can be in form of environmental, Political, Social or it can be technological as
well. This in turn can be mainly be impacted for whole functioning and along with operations of
business enterprise. There are various kind of approaches of leadership which can contribute for
increasing employee's morale for improving the production. Besides this, there are number of
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barriers which can directly or indirectly put an impact upon the businesses practices and thus it
can mainly enable the leaders for developing the corrective actions for dealing with such kind of
barriers in better and organized mode.
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