Understanding Change and Leadership: A CADBURY Case Study Report

This report delves into the intricacies of change management and leadership within CADBURY, a prominent multinational confectionery company. It begins by examining the impact of organizational changes on strategy and operations, comparing CADBURY's approach to that of NESTLE, focusing on the introduction of healthier product options. The report then explores the internal and external drivers of change, analyzing their effects on leadership, team dynamics, and individual behavior. It discusses how organizational culture and management structure influence change implementation. Furthermore, the report investigates various barriers to change, employing force field analysis to evaluate driving and resisting forces in decision-making. Finally, it assesses different leadership approaches to navigate change, evaluating their effectiveness through appropriate models and frameworks, and offering conclusions and recommendations for effective change planning and impact analysis.

Understanding and
Leading change
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INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1. Impact of change on organisational strategy and operations...........................................3
M1 Assess the different drivers for change in each of the given examples and the types of
organisational change they have affected...............................................................................6
TASK 2............................................................................................................................................6
P2 Ways in which internal and external drivers of change affect leadership, team and
individual behaviour at CADBURY......................................................................................6
P3 Measures taken to reduce negative impact of change on organisational behaviour.........8
M2 Appropriate theories and models to evaluate organisational response to change............9
D1 Draw conclusions and recommendations with valid justifications for planning effectively
for change and applying change impact analysis...................................................................9
TASK 3..........................................................................................................................................10
P4 Different Barriers for Change.........................................................................................10
M3 Use force field analysis to analyse the driving and resisting forces and show how they
influence decision-making....................................................................................................10
D2 Critically evaluate the use of force field analysis in the context of meeting organisational
objectives..............................................................................................................................11
TASK 4..........................................................................................................................................11
P5 Different leadership approaches to deal with change in organisational context.............11
M4 Evaluate the extent to which leadership approaches can deliver contexts. organisational
change effectively applying appropriate models and frameworks.......................................12
D3 Critically evaluate the effectiveness of leadership approaches and models of change
management..........................................................................................................................13
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
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INTRODUCTION
Change refers to the process whereby something is substituted with another with a view
to inflate the quality or other reasons (Bastin, 2019). It is considered as an important part of
every business as it helps them in adapting their business operations in accordance with the
changing market trends. Nowadays, customers are giving more preference to new products
developed with advanced technologies, which also satisfy them owing to their pocket friendly
prices. Business managers also emphasise upon development of strategies that support them in
effectively implementing a change within the organisational premises. The current project is
conducted with a view to gain knowledge of the manner in which changes are implemented and
managed within CADBURY. This is a well renowned and established multinational company,
dealing within the confines of confectionery sector. The company was incorporated within the
year 1824 and is headquartered in London, England. This report will throw light on comparison
of two multinationals on the basis of drivers of change, operations and strategies. Further, it
includes barriers influencing decision making and leadership of company. In the last section,
report will provide overview of several leadership approaches towards change initiative.
TASK 1
P1. Impact of change on organisational strategy and operations
Organisational change is seen as the modification or alteration which are implemented in
organisational working environment (Dawson, 2019). This helps company in improvising its
business functioning and organisational practices. It is important for the management team of the
company to effectively implement organisational change within the company so that it can
provide maximum benefits to organisation as well as customers. In order to implement change
effectively, managers are required to conduct an market research so that relevant information
towards the same can be gathered. It will also provide knowledge on threats as well as
opportunities present in the market as per the current market situation.
This sections takes into account the comparison of two large scale companies, Nestle and
CADBURY, are taken into consideration for better understanding. Both of these companies deals
in confectionery sector. It has been analysed that main motive of these organisations is to
improvise their performance for gaining competitive advantage. For this, they are emphasising
on implementing change in their respective companies according to the requirement of customers
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and external environment. Product offered by CADBURY and NESTLE belongs to same
category that includes chocolates, candies, travel exclusive biscuits etc. The major focus both the
companies is to grab attention of maximum number of customers available at same marketplace.
On the basis of recent market condition, it has been analysed by both of them that customers are
becoming health conscious with respect to eatables. They mostly prefer healthy products even in
confectionery products too. In order to gain competitive advantage CADBURY has introduced
30% less sugar chocolate in its dairy milk bar. Whereas, NESTLE has introduced NESTLE a+
Slim Milk. This product carry 90% less fat in comparative of other available milk at marketplace
developed from cow and buffalo. The company has also ensured its customers that NESTLE a+
Slim Milk will only give protein to customers without any fat at the time of consumption. For
effective implementation of these changes, top management of both the enterprises are required
to improvise its existing operational activities and strategies. In this regard, impact of these
changes over strategies and operational activities are described as below:
Actions CADBURY NESTLE
Organisational
Operations
CADBURY is considered among
leading company in confectionery
sector across the world (Fenwick and
Johnston, 2019). It mainly offers
variety of candy, travel special biscuit,
chocolate, multi packs, beverages etc.
In some market research, the company
has identified that the customers
interest towards healthier eatable
products are increasing day by day.
But, at the same time these customers
do not even wants to compromise with
the taste too. This has influenced
interest of CADBURY to introduce
new chocolate in dairy milk which has
30% less sugar as compared to other
chocolates (Cadbury to launch Dairy
NESTLE is the Switzerland based
food & processing company that
also offers confectionery products
to its customers. Some of the
popular products of this company
are flavoured milk, chocolates,
yogurt, cookies, cornflakes etc. It is
seen that the product range of
NESTLE contains fats which
become their major challenge as
customers are giving major
preference to non fatty products. To
overcome this challenge, NESTLE
has introduced Nestle a+ slim milk
which includes 90% less fat as
compared to milk which is
consumed by customers from other
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Milk bar with 30% less sugar, 2019).
Implementation of this change has
directly placed influence over
manufacturing process of company.
This is because, this department has to
revise its overall processing so that
sugar can be replaced with the extra
fibre that is healthy for customers.
sources (NESTLÉ a+ SLIM Milk,
2019). Implementation of this
change will affect production
department of the company as they
have work on separating fat from
the milk without compromising
with the decline of protein level.
Strategy used by
organisation
Impact of this change can be seen in
promotional activity of the CADBURY
as for its previous chocolates major
emphasis of marketing team was on
children but for now they will targets
adults especially fitness concerned
people who only believe in consuming
healthy product in their celebrations.
Along with this, its impact can also be
seen on production strategy as well.
This is because, for its effective
implementation, it is essential for the
production head of CADBURY to team
up with approx 20 scientists who will
collaboratively work for developing
quality product for customers as per
their expectation.
Change introduced by NESTLE
will place impact upon its pricing
strategy. This is because, process of
making fat free milk requires huge
range of time as well as money to
maintain fat level. It can be said
that NESTLE will initially use
skimming pricing strategy in the
starting time but later it will reduce
its prices after establishment of this
product at marketplace.
M1 Assess the different drivers for change in each of the given examples and the types of
organisational change they have affected
Drivers can be referred to as the elements which facilitate an organisation to come up
with change (Green and Daniels, 2019). There are several drivers which have facilitated both the
companies to bring chocolates with less sugar and fats. Such drivers are assessed as follows:-
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 Customers: The major driver for facilitating change within NESTLE and CADBURY is
customers who now demand healthy products and chocolates looking upon the inflating
risk of getting stricken by obese or diabetes. Also there are several other concerns related
to health such as inflated cholesterol level which has influenced them to demand healthy
products from both organisations. This made both the companies incorporate changes
within its existing products in order to meet the demands placed by customers at market
place.
 Rivals: This is acknowledged to be yet another driver which influences a firm to undergo
changes in its operations or offerings to meet the demands of customers. At present, there
are some companies operating within the confines of confectionery sector which provide
healthy products, thereby gaining the attention of audience. This made NESTLE as well
as CADBURY come up with chocolates which have lesser sugar and fats to deal with
extensive rivalry prevailing within market.
TASK 2
P2 Ways in which internal and external drivers of change affect leadership, team and individual
behaviour at CADBURY
Change is an integral part of company (Grossman, 2019). In this regard, it is essential for
every organisation to implement change with the passing time in order to remain competitive at
market place and industry. The chocolates of CADBURY have a number of rivals such as
Hershey's, Mars, NESTLE etc. Thus, it becomes relevant and significant for this organisation to
provide offerings which are aligned with the needs and preferences placed by customers. In this
regard, there are internal as well as external forces which act as drivers for change. These tend to
have a significant impact over team as well as individual behaviour and leadership of company.
A detailed discussion is done below:-
Internal Factors
Organisational Culture: This can be defined as the beliefs, values, traditions, customs
and assumptions underlying within an enterprise (Huesing, Johnson and Ludema, 2019). This
has a key impact upon the behaviour of teams and individuals along with leadership. In this
regard, CADBURY is coming up with chocolates having 30% less sugar. To implement this
change effectively, the respective organisation has applied task culture whereby individuals are
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accountable for task allotted to them. This culture leads to increment in productivity of
individuals and team within CADBURY as they are provided with proper guidance as well as
supervision. Furthermore, an effective leadership is facilitated within the company as a result of
execution of task culture. This aids the organisation in carrying out the business operations in an
effective manner after implementation of change.
Management Structure: The management structure of an entity consists of the chain of
command and hierarchy as per which decision making power is exercised within an enterprise
(Janfada and Beckett, 2019). In relation to CADBURY, it can be said that hierarchical
management structure is applied within the premises so as to foster top down communication. To
launch the chocolates with 30% less sugar content, the selected management structure would
provide guidance and information to employees about the manner in which they can adapt to the
change. Also, it instils positive behaviour within individuals and team in CADBURY,
encouraging them to enhance their productivity for accomplishment of organisational goal.
Further, the change impacts upon leadership in such a manner that the leader provides guidance
to employees regarding the proper way in which they can incorporate change within their routine
working.
External Factors
The impact of external factors is acknowledged with the help of PESTLE analysis of
CADBURY conducted as follows:-
Basis IMPACT
Political The politically stable environment of UK tends to foster the growth and
development of CADBURY by incorporating effective changes within the
premises such as launch of chocolates with 30% less sugar. Further, the
application of democratic leadership in this regard is done by the company with a
view to provide freedom to staff to carry out tasks and business activities. The
impact would be positive upon behaviour of individuals and team as the firm
operates within the confines of regulation prevailing in UK.
Economic The stable economic conditions of UK tends to inflate the morale of individuals
and team in CADBURY to incorporate the new change within routine working
(Kotlar and Chrisman, 2019). Further, the leadership in the company is aimed at
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stipulation of rewards and incentives such as certification and recognition of
employees who serve as change agents in relation to launch of new chocolates
with less sugar content.
Social The trends and lifestyles of people of UK keep on changing. In this regard, the
people are now shifting towards the consumption of chocolates with less sugar in
order to avoid getting stricken by diabetes or obese. Further, the leadership style
of CADBURY is aimed at ensuring the timely anticipation of trends and thereby
providing knowledge to employees about the same to act in alignment with
consumer needs. This instils a sense of positivity within individuals and team and
they get facilitated to work with zeal for attainment of organisational goals.
Technologi
cal
UK is a technologically advanced country which encourages the individuals and
team working within CADBURY to come up with changes which have the power
to disrupt market. Further, the leader of the organisation provides information to
employees regarding the manner in which they can incorporate technological
trends in their routine operations.
P3 Measures taken to reduce negative impact of change on organisational behaviour
Themajor consideration of an organisation while implementing a change is reducing the
negative impacts (Maharaj, 2019). To facilitate this, a number of measures are undertaken by
CADBURY so that it can reduce adversities resulting out of launch of chocolates with less sugar
content. Such measures are briefly described below:
CADBURY must carry out researching of market in order to anticipate future trends in advance.
This enables them to identify consumer trends and lifestyles beforehand and provide scope for
company to give this information to employees so that they can accept and adopt to change in a
timely manner.
 The respective organisation can also conduct training sessions whereby in depth
knowledge can be provided to staff members about the manner in which they can
incorporate the change in their routine working. This even makes it easier for personnel
to make use of their skills and capabilities to enhance the growth and development of
organisation by effectively applying the change.
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M2 Appropriate theories and models to evaluate organisational response to change
PDCA Cycle is used by CADBURY to improve, manage and control the business
operations in an effective manner (McCalman and Potter, 2015). This is a model that focuses
upon standardization of information to minimise the occurrence of errors. It consists of 4
elements, namely, Plan, Do, Check and Action. Hereby, the organisation first evaluates relevant
information to do planning for implementation of change. After this, a specific solution is
executed and its outcomes are thus compared with the planned outcomes. The next stage marks
the stipulation of efforts for reduction of gap between actual and desired performance. The last
stage witnesses the actual execution of action within CADBURY so that the change related to
launch of chocolates with less sugar content can be executed with least negative outcomes.
D1 Draw conclusions and recommendations with valid justifications for planning effectively for
change and applying change impact analysis
As per above analysis, it can be said that internal and external drivers of change affect the
manner in which CADBURY carries out its operations (Nagorny-Koring, 2019). In this regard, it
is important for the enterprise to effective manage the change in order to eliminate the adversities
associated with it. Internal drivers will facilitate the organisation in management of capital,
finance and other essential resources in order to meet the demands of consumers at market place.
Additionally, external drivers foster the entity in gaining knowledge of the business environment
in which it operates. As a result of execution of change, the firm would be able to gain
competitive edge at market place. Further, the recommendations given for CADBURY are as
follows:-
 CADBURY should have detailed discussions with the staff about the manner in which
they have to work as per the change. This will provide aid to them in effectively adapting
the organisational working as per the proposed change of launching new chocolates.
 It is recommended that the manager of CADBURY should anticipate the likely outcomes
as a result of implementation of change such as employee resistance so that these can be
dealt with, in an effective manner.
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TASK 3
P4 Different Barriers for Change
The environment of business is dynamic which keeps on changing with change in time and
situation (Polden, 2015). It is very important for organisation to analyse change which can be
positive as well as negative and create impact to business activities and operations. Some of the
barriers for change which are faced by CADBURY are as follows:
Negative Attitude of Employees- There is many situations arise in organisation where
attitude of employees is negative towards change made in business that creates problem for them
to perform work. CADBURY is planning to use new equipment for manufacturing chocolates for
their consumers in order to make work easy and simple. In this case, both manager and leaders
are liable to implement changes in business and make aware to their working force so that they
can carry out each and every activities and operations in an effective and efficient manner. The
high authority of CADBURY assists their employees in positive way so that their attitude does
not change towards organisation. This is the barrier which causes change in organisation and
influence mindset of their working force.
Improve Communication Strategy- It is the most common problem which can be faced
by organisation while implementing change in business (Rhea, 2014). When enterprise makes
changes then there is lack of communication among employees and manager. This happen
because of improper strategy of communication that creates difficulty for staff about benefits of
change taken place in process of business. It is leader’s responsibility to guide and assist their
employees regarding use of equipment and machinery in respective business for manufacturing
chocolates. In order to improve communication process, they have to use two way process so
that proper data and information can be send from one to another in an effective and efficient
manner.
M3 Use force field analysis to analyse the driving and resisting forces and show how they
influence decision-making
The use of force field analysis to influence decision making are:
Driving Forces- This forces assist business to adapt change for achievement of goal and
objectives in positive way. In context of UK, the social culture and advanced technology is
regarded as driving forces which is preferred by people of that place. This forces assist respective
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organisation to adapt change in an effective and efficient manner. It can influence changes arise
in business and accordingly decisions are made for achievement of goal and objectives.
Resisting Forces- Such changes resulted into development of specified restrictions to
implement and adapt resisting and changes forces in relation with problems which are generated
because of low like employment engagement, less financial resources, complex laws and so on.
In this case, leaders have to take decisions to resolves problems and issues arise in business.
D2 Critically evaluate the use of force field analysis in the context of meeting organisational
objectives
According to view of author, it has been said that changes are natural phenomenon which
take place in business for achievement of goal and objectives in an effective and efficient manner
(Rothwell, Stavros and Sullivan, 2015). It is important to analyse changes and make decisions
accordingly for positive outcomes in an appropriate manner. The use of force field analysis has
two approaches such as driving and resisting force which has their own use and benefits. In
driving force, there is change in technology which should be adopted by organisation in an
appropriate manner to work easy and simple. The manager and leader have to communicate to
their working force for meeting organisational objectives in proper way. Similarly, on the other
hand, resisting forces means to adapt changes in business to low employment engagement and
other. As these changes leads to rise in conflict among employees so manager and leader has to
make necessary change and work accordingly.
TASK 4
P5 Different leadership approaches to deal with change in organisational context
Leadership can be referred to as the procedure whereby one person provides the guidance
and direction to people in relation to the manner in which they can execute the assigned task
(Saleh, 2019). CADBURY is a well renowned and large scale company having its operations
spread across different parts of the world. It is engaged in provision of chocolates and other
confectionery products. As the management of CADBURY has come up with the idea to launch
chocolates with 30% less sugar content, it is essential that the leadership to bring about the new
product into market is effective enough. In this regard, there are various leadership approaches
which can be feasibly taken into use by the leader of CADBURY in order to ensure attainment of
organisational goals. The several approaches to leadership are described as follows:-
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Autocratic leadership: It refers to the type of leadership style which states that leader has all the
power regarding stipulation of aims and objectives, making working policies, etc (Storey, 2016).
So there is keen role of leader in performing business operations.
Advantage:- Advantage of this approach for Cadbury is that leader has complete knowledge and
rights, so they are responsible for outcome. Workforce have to work as per instruction of
leader and hence there is proper flow of activities.
Disadvantage:- Employees feel bounded and do not have authority to take decision or share their views.
This makes them dissatisfied.
Democratic leadership: Democratic leadership is consider as one of the best approach of
leadership because under this approach, there is authority to employees regarding decision
making. There are many employees working at Cadbury having different mindset, skills,
knowledge, etc.
Advantage
 Employees are satisfied and ready to work under dynamic environment. This makes long
term relations with them.
Disadvantage Due to difference in mindset, sometimes, there is personal issues among employees
regarding implementing best approach.
M4 Evaluate the extent to which leadership approaches can deliver contexts. organisational
change effectively applying appropriate models and frameworks
It is essential for organisation to implement changes in business for positive outcomes so that
goal and objectives can be attained in an effective and efficient manner (Tombetti and Mason,
2018). The different types of leadership approaches are used for changes that are taken place in
organisation and solving accordingly. According to model of Lewin, the changes are of three
types such as unfreeze, change and refreeze. In unfreeze, organisation prepare them for change
that is required in business. In change actual changes are taken place and in case of refreeze
change has accepted and implement by people of organisation in effectual manner. For each
change, leadership approaches are used to overcome from situation in positive manner. The
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