Understanding and Leading Change: AGFA and Golden Wonder Report

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This report provides a comprehensive analysis of organizational change and leadership, examining the drivers and impacts of change within two case studies: AGFA Health-care and Golden Wonder. The report delves into various types of organizational change, including structural and strategic shifts, and assesses the influence of external and internal factors. It utilizes PESTLE and SWOT analyses to identify key drivers of change and explores the application of Lewin's change model to manage and mitigate the negative impacts of change. The report also discusses the effects of change on leadership and employee behavior, evaluating effective leadership approaches and models for change management. The analysis considers the implications of technological advancements and strategic adaptations on organizational performance, including discussions on how to overcome barriers to change and the importance of adapting to new working conditions. It concludes with an evaluation of leadership models and their effectiveness in guiding organizational transformations, offering insights into how to improve efficiency and profitability during periods of change.
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UNDERSTANDING AND
LEADING CHANGE
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Table of Contents
INTRODUCTION...........................................................................................................................3
An introduction to the drivers and impacts of change and how it affects organizational
strategy........................................................................................................................................3
Types of organisational change: .................................................................................................3
Drivers of change in AGFA:.......................................................................................................6
PESTLE/SWOT analysis to be undertaken for each case study to identify drivers of change...7
Force Field Analysis - ..............................................................................................................10
Leadership Model .....................................................................................................................12
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15
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INTRODUCTION
Understanding and Leading Change helps its participants to meet the problems which will come
while initiating and applying the change in the organization. Throughout the program, they
analyze of change process and its political, psychological and organizational issues that are
generated. They learned to classified various challenges and determine peculiar hassle for the
initiators, implementer and receiver of change.
AGFA Health-care provides hospital and different care firms with imaging products and
systems along with information system. The company's operations are carried out throughout
UK. Golden wonder is the popular snacks brand which runs throughout the Edinburgh. The study
includes the comparison between two different organization and impact of change on both of the
organizations. Further it avails about the external and internal drivers of changes affects the
leadership and personnel behavior on the organization. The study carried forward by describing
the factors that are taken to overcome the negative impact of change. Enhancing the various
barriers for change and how they impact the leadership decision making. The report ends with
the evaluation of effective leadership approaches and model for change management.
An introduction to the drivers and impacts of change and how it affects organizational
strategy.
Change:Change: Change can be defined as practice to be different from other, something what
was in the past and had transformed what is today. Change can be broadly explained as what is
happening in the past has changed with the change in the process to get more favorable outcome.
Change is done to make things different.
Change management:Change management is a process to prepare, support, and help team and
individual in making the organization better. This is the building up of team strategy for the
further growth of the organization.
Types of organisational change:
Structural and strategic: structural and strategic changes refers to the change in the working
structure of the organization and change in the strategy of the organization. Structural change is
required when the organization requires a new way of working as the working scenario changes
the working conditions or the strategies needs to change. Strategies influences working structure
of the organizations.
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AGFA
AGFA is a healthcare firm which is widespread all over the world. AGFA has a wide
range of healthcare amenities which provides patients superior care with help of technology and
Clinical knowledge. They are widespread across all the parts of the world. Change in working
strategies will help firm to grow. With the growth in strategies of the firm developed by the
authorities they target to provide the best to the clients to grow and raise the organization and
provide best to the clients. Structural change will affect the performance but it will provide more
of assets to the firm. Change in structure will bring out new acts and laws in the organization
which will help the firm to grow but it will affect the performance of the firm. Change in the
working condition with the technology has brought about the change in the hospital which has
raised standards and bars of the organization and helped to grow in the competitive market
(Yrjölä and et.al., 2019).
Impact of change in strategy: As the change of strategy takes place there will be a change in
working culture as the training provided and up-gradation of strategy the organization will work
efficiently and will help the firm to increase the results which can help the firm in better
functioning. This will help in the growth of firm at marketplace. Efficiency of the company will
be increased with cost benefits and performance efficiency will improve.
Golden Wonder
Golden wonder is a snacks brand which is very much popular in Edinburgh. They started
their business in year 1947. change in strategy helped the firm to develop with respect to time,
with the advancement in technology the change has brought a diverse change with the working
conditions. Structural change will provide a drastic change in performance which firm needs to
be prepared in advance for the change this may even affect in financial losses which can
overcome by the use of different strategic approach which will provide firm to grow. This will
create a negative impact on the workers of the firm as they are used to it, moreover it will affect
the performance of the firm as of unusual environment created by the change in strategy.
Change in working conditions of Golden Wonder will be affected as for many of the workers it
will be difficult to adapt the change and work efficiently.
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Impact of change in strategy: As a positive impact of change workers will be more focused and
dedicated towards their key objective. As the strategy improves the working efficiency of the
organization increases. Which will help in profit generation of the firm.
People and Processes: people and process can have an impact on the change of the organization.
Process includes change in technology and processes followed with the organization which
deliver out change in the organization.
AGFA
They have focused 100% on health by IT domain including hospital IT(HCIS), integrated
care(ICAS), IT(IITS). This IT solutions bring about a revolutionary change in healthcare
industry. To provide a sustainable health care to the patients IT has helped a lot in Healthcare, it
has evolved a care towards coordination and a watch over the entire structure of the hospital.
Patient engagement has now become easier. They have developed advanced features like
radiology IT, Cardiology IT, integrated IT, which provides healthcare support with the help of
IT. They have an advanced solution of healthcare with the help of IT. Which gives accurate
approach to the health sector. With the change in the technological factor there will arose the
opportunity of the training which can affect the people who work in the organization as every
individual cannot will not be able to adapt the change moreover this will affect the overall
performance of the firm (Abernethy, 2017).
Impact of change: this impact of change in the organization helps people for better functioning
of the firm. As technology changes the working efficiency of the people increases. This will lead
the profitability.
Golden Wonder
Golden wonder has changed their strategies by the change in the strategies like
developing a new flavor. In year 1962 they changed the strategy and try to invent the new flavors
their first flavored chips brought a drastic change in the market which attracted many of the
customers and gained profitability to the firm, as the change in process brought about a diverse
change in the up-liftment of the firm. imagining Summer Olympics in Rome Britain comes a
disappointing 12th in the medal table while Golden Wonder takes the gold by becoming the
leading crisp brand in Scotland. Which provided firm a brand value by sponsoring in Olympics.
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Which brought about a drastic change in the organizational behavior. Change in strategy
increased the performance of the firm (Rossi, 2019).
Impact of change: Golden wonder will improve the work efficiency as the change in process
will boost up the environment and helps the organization to grow with the profitability.
Drivers of change in AGFA:
Drivers of change are basically those factors or components which inculcates change or
modification in a company and shapes its future.
Change has always been a nightmare for the organizations whether it is bringing
modification in organizational structure, management or technology. Applying changes in each
and every aspect of the business remains a tedious task for most of the organizations as the
personnel are more likely to resist these and shows reluctant behavior towards it. Although, once
these changes are implemented, they welcome new opportunities for the organizations but
keeping these plethora of benefits aside, negative impact dominates the company. In order to
overcome the following, a model called Lewin's change model was developed in order to
manage these changes effectively and also described the measures to mitigate the negative
impact of change. It generally involves three stages:
Unfreezing- The first stage encompasses the management's responsibility to first inform the
employees about the change that will going to happen in company. People tend to take changes
in negative form and biggest drawback of introducing change is that employees are unwilling to
leave their comfort zone and strep into the world. In order to cope with this, it becomes essential
for the company to explain not only the rationale behind modification but also their positive
outcomes for employees and team as a whole. AGFA will have a crisis and many of the
employee’s will not be in a favor to leave the change.
Change- The second stage of this model explains the actual formulation of change. Once the
team members and employees have make up their mind to accept changes, organizations plan to
formulate the desired changes. More time the change process intakes to implement, more the
team members will be inclined towards lapsing into past habits. The major negative impact of
change is that although most of the employees, once conveyed remain aware of the benefits but
the left ones remain skeptical of accepting therefore this stage comes into picture where the
organizations need to act upon implementation as quickly as possible to avoid the employees
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change of mind. For workers of AGFA changing working scenario will affect the working
conditions, working will be slower and the end result will be less.
Freezing- This stage is all about solidifying and fixing the new change. In this stage, after
formulation of change process, Employees are motivated to apply these changes in their work as
well as assist others who find it difficult to implement it. This is the stage where employees and
team members try to find new ways of using these modifications and to succeed in their work.
Organizations carry out close monitoring and evaluation in order to make the personnel realize
that there would be no turning back. For workers of AGFA the working strategy will be
understandable and achievable they will be working with the pace which gives profit generation
to the firm.
Impacts of change: these changes have a diverse impact on the organization as it is very
much difficult to adapt a new structure of the organization the working strategy of the
organization will be changed which will be very much difficult for workers to adapt the changes.
This will decline the functioning of the firm. The growth rate of the firm will be stopped for a span
of time but as the company starts to grow they will lead to generate a good turnover in the
market and helps the firm for Acquiring a good position in the market.
Change affecting organization :
Changes which will affect the organization are unfreezing will have an impact on the
organization as during unfreezing the customer are not willing to change which can decrease
the growth rate of the organization. As the new methodology is improved there will be a sudden
hike in the performance of the organization. Which will change the working scenario of the
organization a willingness of work will be improved.
PESTLE/SWOT analysis to be undertaken for each case study to identify drivers
of change.
PESTLE for AGFA:
Political factors: Political factors encompass favoritism, bias among the employees, downsizing
etc. which have a direct impact not only on the organization but also on the employees,
individual and their behavior. Politics plays a vital role in productivity of a company depending
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on whether positive or negative politics prevail in the organization. Positive politics encourages
productivity and brings out the best from employees individual and team members like it gives
the power to team members to have their own decision and rewards them for their target
achievement. Moreover, positive politics increases the morale of an individual and make them
engaged in the work with more enthusiasm.
Economical Factors:The most important Economic factors which affects the employees and
organization at large is the degree of unemployment. The local economy hampers the overall
view of an employee and the team members. For example, of the local economy is stable enough
and there are plentiful jobs then employees will feel secure and will be have happy perspective
towards various attributes from the company which will eventually reflect in their work. On the
other hand, if the economy of the country is unstable and keeps on fluctuating, them the
employees and leaders would become anxious and will look for the ways for holding their job.
This distress of job would lead to decreased productivity as well as lapses in decision making.
Social factors:The work culture, attitude, beliefs and values of the employees working in an
organization affects the way they are doing their work. People's aspiration is one of the most
deciding factor which tells the management how they will react in a particular scenario and how
they will behave. Various forces which acts upon the social changes are level of autonomy,
education, and wide information sources. A positive work culture helps the employees and team
members to upgrade their knowledge and seek different learning styles.
Technological factors: Technological factors include level of innovation which have a direct
impact on their thinking and behavior of employee and leaders. Organizations supporting and
adapting new technologies and creativity helps the employees to become receptive to new
changes and mold according to the new technology. Emergence of technological advancement
not only decreases the work load of the employees but also accelerates their efficiency with
which they are performing their tasks. Employees tend to perceive their complex work simpler,
breaking the constraints of repetitive task which eventually strengthen their performance.
Environmental factors:Environmental factors involve the environment in which the employees
and teams are put up like lighting, noise, furniture, proper ventilation etc. Maintaining a safe and
hygienic ambiance in the company directly affects the way an individual is performing its work.
Workers are directly exposed to different attributes of environment and having a bad and
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unhealthy culture would definitely affect the employees physiological as well as physiological
well-being. For example, inappropriate lighting can develop unwanted glare and reflection at
workplace which can cause discomfort to the workers, team members and employees.
Legal factors: Legal factors define the various policies and procedures made for the sake of
employees, teams and leaders which includes health and safety laws, anti-discrimination laws,
employment discrimination etc. All the employment laws made for the welfare of workers and
employees complement each other and somehow affect the behavior of an individual or team as
a whole. Employees satisfaction level rises when they work in a company which has stringent
laws to protect them against any harassment or prosecution.
Drivers of change for AGFA:
Drivers of change that affects the working conditions of AGFA which improves the functioning
of AGFA are the ones which push the capability of the organization, which motivates the
organization to achieve new heights HR, customers, competitors, globalization, working strategy
etc. are the drivers which help in the growth and development of the firm. Changes brought by
the organization to increase the working efficiency are drivers of change of AGFA.
PESTLE for Golden Wonder:
Political: Political factors within the organization are the factors which affect the Golden
Wonder like favoritism, grouping among the employee's creates a sense of political conflicts
within the organization. It has a positive impact on some of the employee's which can increase
the increment or increase in position of the workers which can affect the working structure of the
organization.
Economical: Economical factors like strength of the firm will always generate a greater
economy. The working strategy must be equal in front of all the worker in the company. the
wages provided by the organization must be equal for the equal posts this can result in the
dispute of the workers. Economy will affect the working conditions as rates of exchanges may
vary.
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Social: Social factors like work culture, work ethics always affect the performance of the firm.
Social culture within the environment must be sustainable which can help the workers. There
must be a good HR team which thinks for the welfare of the firm.
Technological: technological factors like change in machinery and technical updates are
required for the up-liftment of the firm. Adaption of new technology can bring about the change
in working conditions of the firm. Working culture can be enhanced by the technical updated
done.
Environmental Factors: Environmental factors within the industry is the way teams are formed
and the facilities provided to the workers hygiene and various other things to be kept in mind
which provide a sustainable environment to the workers.
Legal Factors: Legal factors are the factors which are made for the betterment of the these
includes the laws made to run the organization various laws made to safeguarding the work
culture of the organization like health and safety law, anti-discrimination law, employee
discrimination law etc which help in the functioning of the organization.
Drivers of change for Golden Wonder:
Drivers of change are the external conditions which affect the salient working of the firm.
Golden wonders will be affected by various factors like reduction in the working pace of the
workers, improper use of resources etc.
Force Field Analysis -
Every organization needs to implement change in the organization to enhance their
growth and development of the employees and employers. Lewin's Force Field Analysis is a
method which is widely used to modify decision making, especially in planning and
implementing the changes management programs effectively in the organization. It is the
powerful method of gaining the broad overview of different forces in the context of potential
organization changes.
Application on chosen Organization -
This model is bifurcated in four section which impact the decision making of AGFA. The
forces are described below -
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Forces for Change: The forces for change includes the internal forces and external forces for
change in the business or organization -
Social Factors – Social factors are the factors which influence the work culture, belief
and values of the employees in the organization. A positive social factor helps the leader to avail
a right decision making for the organization to achieve the company's objective. There are
various cognitive bias in AGFA which influence the decision making of the company. Cognitive
bias includes the inaccurate judgment, faulty logic and memory errors which enables the
company leaders to make an efficient decision with assist of heuristics.
Market Conditions – Market conditions may fluctuate time to time according to the
inflow and outflow of the trade services. And it is very important for AGFA to make strong
strategies to hinder with the different market conditions. Unemployment rate of the country will
affect the employee and the employee will be under stress to save their jobs and their behavior
will change and somehow their production will suffer. So the leader had to make new policies
for the employee retention (Byers, 2017).
Change in organization structure – Each company have its specific organization
structure. Change in the existing organization structure for the improvement of organization's
profitability and for achieving the cost advantages directly affects the decision making of the
leaders. AGFA introduced the reform in its existing system and procedure for achieving the cost
effectiveness which enforced their leaders’ decision making as new strategies and policies will
be followed up by the management.
Change in the technology – Change in technology have a direct impact on the decision
making of the organization. As there is a new technological advancement it will affect the
efficient decision making taken by the leader for the betterment of the organization. AGFA can
manage the sequence of work technically, they can easily evaluate the processes and procedure,
command the employees and monitor their workings by this the hierarchy model will be easy
and the leader can effectively take decision with the appropriate digital technology.
Forces Resisting to Change (barriers of change): It is the inevitable that change will be
resisted at least to some level by the leaders and the employees. The human tendency is resist to
change, as it forces individual to accept the changes and adopt new ways of doing the task. The
elements to resist change includes the uncertainty, dependence, group resistance, concern over
personal loss, trust in administration etc. (Wilson and Lai, 2019).
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Uncertainty – Uncertainty in the decision making may have an adverse effect on the
organization. If AGFA is not able to take an appropriate decision for their organization and
fluctuation occurs which affects the growth of the organization. The organization had to set new
policies and procedures to meet up with this fluctuation and meet up the uncertainty (Rodd,
2015).
Restraining Forces for Change – This are the factors which makes the change more difficult to
avail. This factor includes the misunderstanding, self-interest, personnel habits and different
conditions with various categorization etc. this hinder the AGFA's decision making. Whereas,
economic implication directly affects the decision making of the company. Employee resist to
perform the task with another groups without changing their habits. The company's management
had prepared their policies and procedure according to the flexibility of their employees. If
decision will not be in the favor of the employees, then the employees resist to change and this
will directly affect the decision making of leader in the context of growth opportunities for the
organization (Peters, 2019).
Illustration 2: Force field analysis model
[Source: Force field analysis,2016]
Leadership Model
Situational Leadership:
Situational Leadership refers to the study of leadership style that helps the leader to
strategies with the upliftment of the firm. It is done with concern to upraise the firm with the
profit earning strategy. it has 4 major components like: directing, coaching, supporting and
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