Impact of Change on Vodafone's Strategy and Leadership: A Report

This report provides a comprehensive analysis of Vodafone's change management strategies, examining how the company has adapted to internal and external drivers of change. It begins by comparing Vodafone's approach to change with that of EE, highlighting the impact of technological and structural changes on their respective strategies and operations. The report then delves into the ways in which leadership, team dynamics, and individual behaviors are affected by these changes, utilizing PESTLE analysis to assess the external environment. Furthermore, the report evaluates measures to minimize the negative impacts of change, applying relevant theories and models to critically assess Vodafone's organizational response. The report also explores the barriers to change, examining how they influence leadership decision-making, and utilizes force field analysis to understand the driving and resisting forces at play. Finally, the report applies different leadership approaches to dealing with change, evaluating their effectiveness through appropriate models and frameworks, ultimately providing insights into how Vodafone has navigated change within its organizational context.

Understanding and
Leading Change
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Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................3
Task 1...............................................................................................................................................3
P1 Compare different organisational examples where there has been an impact of change on
an organisation’s 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....................................................................................5
Task 2...............................................................................................................................................6
P2 Evaluate the ways in which internal and external drivers of change affect leadership, team
and individual behaviours within an organisation.......................................................................6
P3 Evaluate measures that can be taken to minimise negative impacts of change on
organisational behaviour..............................................................................................................8
M2 Apply appropriate theories and models to critically evaluate organisational response to
change........................................................................................................................................11
Task 3.............................................................................................................................................11
P4 Explain different barriers for change and determine how they influence leadership
decision-making in a given organisational context...................................................................11
M3 Use force field analysis to analyse the driving and resisting forces and show how they
influence decision-making.........................................................................................................13
Task 4.............................................................................................................................................13
P5 Apply different leadership approaches to dealing with change in a range of organisational
contexts......................................................................................................................................13
M4 Evaluate the extent to which leadership approaches can deliver organisational change
effectively applying appropriate models and frameworks.........................................................15
CONCLUSION..............................................................................................................................15
REFERENCE................................................................................................................................17
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INTRODUCTION
The needs and wants of people are continuously changing where it is important for
organisation to bring the change by identifying needs and wants of people. If a business is
running with traditional and old method then it will be challenging situation for organisation to
manage the business and run it effectively. Changes are related to replacing the old working
methods from new one that helps to attain the competitive advantages (Matosin, Halldorsdottir,
and Binder, 2018). For all organisation it is important that to analyse environment what is going
on trend and bring the changes accordingly. To understand about this Vodafone has been
selected that is British multinational telecommunication company that provides different types of
communication services and products for running their business. This is UK based organisation
that is managing their activities and functions effectively by accepting the changes and
developing a business. This report covers different topics such as how changes impacts on
company's strategy and operations, drivers of change that have influence on organisational
behaviour, barriers to change that influences organisational behaviour, how changes influences
leadership decision making and different leadership approaches that initiatives changes.
Task 1
P1 Compare different organisational examples where there has been an impact of change on an
organisation’s strategy and operations.
Company profile
Vodafone is a British multinational telecommunication company which was founded in
1982, U.K. The registered office of organisation located in Newbury, Berkshire, England and
globally where it is providing different types of network services in challenging environment.
The services which are providing by organisation are pay bill online, online recharge, prepaid
connection and etc. that attracts larger number of customers and attain the higher profitability.
The management of such organisation bring the change and offers in their services which
supports to maintain the higher productivity (Thompson, 2020).
Organizational structure is defined as system and activity that needs to follow in running
a business and increasing the organizational productivity. This is important for organization to
analyse all strategies and functions then make efforts to carried on regularly that helps to attain
the business goals. In other words, flow of business information and completion of task by
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assigning roles and responsibilities between employees are involved in organisational structure
that helps to bring change and develop a business effectively.
Vodafone and EE are selected organisation for this task, who are operating their business
by adopting various changes in their organisation. Both companies are UK based
telecommunication company that are formulating different organisational structure and strategy
for the purpose of running their business and developing the performance.
Comparison between Vodafone and EE on the basis of various drivers of change are as
follows:
Basis Vodafone EE
Technological Change The organisation was using
traditional method for offering
internet and telecommunication
services as customers had to go
on stores and get recharge
physically.
By using new technology in
telecommunication Vodafone
has introduced new changes
such as Smart Metering,
Infrastructure Management
Using IoT and Digital value
added services that can help to
provide single window
experience to consumers.
The company was providing
different networking offering
services which can help to run the
business and manage the activities
effectively.
In order to providing more services
technological changes are adopted
by organisation as Business
intelligence, Unified User
profiling, and outage management
system that helps to attracts the
large number of customers and
maintain the good performance.
Moreover, problems are identified
by management and bring the
solution by using new technology.
Structural Change This means changes in
organisational structure as flat
structure followed by
For running a business EE has
followed the functional structure
that helped to manage and operate
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organisation in managing and
arranging the employees in
Vodafone that supported to
work effectively. But after a
period conflicts were arise in
organisation due to improper
communication between
employees and management.
For solving this, management
has decided the structure and
being the use of matrix
structure which maintain the
proper coordination and
communication between
management as well as
employees, increases
productivity and maximizing
the resources effectively.
the all activities effectively.
Different problems faced by
company that has followed by
organisation such as lower level of
communication and lack of
management which affected the
productivity negatively.
For solving the, problem
management has planned to bring
changes by adopting team structure
which is effective for the purpose
of managing all activities. In this,
all team members work
collectively by sharing the
information and managing all task
which increases organisational
productivity.
The above highlighted changes are defined as when Vodafone and EE was facing the
problem in running business and reducing its profitability then it has decided to bring the
changes in their strategies and planning that relates to structure and technology which can help to
deal with problems and attain the higher profitability in changing environment.
M1 Assess the different drivers for change in each of the given examples and the types of
organisational change they have affected.
The business mainly depends on different factors which are important to consider while
running a business. This is important for organisation to analyse the activities in relation to
structural, technological and strategy then formulate planning which can help to operate the
business and increase organisational productivity. For instance Vodafone, is larger size
organisation that focuses in structure, technology and structure which are related to tradition can
help to operate the business and develop a business. By bring changes in existing activities
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chosen organisation can run their business and attain the higher profitability (Lipkin, 2018). The
selected organization bring the changes in technology and structure which became an
opportunity for company and supporting to attain the higher profitability by reducing negative
impacts.
Task 2
P2 Evaluate the ways in which internal and external drivers of change affect leadership, team and
individual behaviours within an organisation.
In business environment there are many factors which might be affected the business as
leadership, team and individual behaviour. In context to Vodafone, management and leader are
those person who evaluate what people wants and make efforts to provide kind of services that
affects positive individual and team behaviour. To know the affects of changes different model
has been used that are as defined:
Pestle Analysis is framework that helps in provide external analysis to company that
includes certain tools such as Political, Economical, Social, Technological, Legal,
Environmental. PESTLE is important tool to analyse external environment of any company.
Political Environment - As company is operating in different countries. So, it need to
consider different political factors such as Taxes, exchange rates, act of legislation, stability of
company.
 Positive Impact – In Vodafone, there is positive sign as UK government is increasing its
investment spending by 3% and expanding its budget in year. Government is going to
decrease its income tax which will help the company to make good profit and enhancing
its productivity in progress of company (Crawford, Walker and Valle, 2018).
 Negative Impact – After Brexit dispute, UK is suffering from various issues which
directly or indirectly impact the company. Country facing unemployment, low capital
investment and uncertainty cause during ongoing process around Brexit issue. Vodafone
suffer with low accumulation of capital, high prices of trade cost (Clarke, 2019).
Economical Environment - This includes money supply in country and inflation rates,
demand and supply of goods and services in country (Willis and Philipson, 2018).
 Positive Impact – UK has been giving tough competition to many countries and strong
potential in many sectors. After Brexit they are now focusing on re engineering their
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whole system. For Vodafone there is opportunity to grab the new policy and rules
implemented by government.
 Negative impact – UK is suffering from slow pace of economical growth that needs
proper evaluation. Vodafone have to wait for new policies to revive their progress. It
could take some time to reach at their level but soon they will achieve that as they
working very serious on their economical growth (Boryshkevych, and et.al., 2020).
Social environment - Every country has their different culture, standard of living, taste
of consumer, tradition. So, company evaluate all these factor before starting their business in any
country.
 Positive Impact – Gradually, People are stepping out from their homes after long time of
lock down. They are coming in contact with others with full safety and hygiene.
Vodafone keeping all instruction for the safety of people from dangerous. Now costumer
will attract more as they keep themselves in their houses for very long time (Trefalt,
2020).
 Negative impact – Current social situation of country is very much disturbing as whole
is suffering from the Covid 19 pandemic. So, consumer are less likely to buy any product
and avoiding any physical interaction. Cafes, restaurant, Hotel and Telecom industry
affect a lot from this pandemic. Company without any doubt has suffered.
Technological environment - This factor is important to survive in today's world. Every
company must upgrade their technology and come up with new innovative ideas that increase
their value in market.
 Positive impact – UK has always been a strong in fracture and leading in rapid
technology. Vodafone enjoys advantage of technology benefit in UK. It does not need to
invest on much on technology and development (Kohne, 2019).
 Negative Impact – As after Covid 19 situation every thing got hampered and affect the
R&D and technology department. Vodafone has many potential competitors who gives
tough competition to the company because now new telecommunication organisation is
now opened in every street of UK. So, it become essential to stand out from the crowd.
Legal Environment - These include laws and international laws that one company
should consider while carry out their policies in any country.
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 Positive impact – UK has good trade relations with all the country and flexible law
policy except some. It is easier for Vodafone to start and continue their business but to
follow certain policy is compulsory (Boryshkevych, and et.al., 2020).
 Negative impact – There are some laws which are very strict in food industry. Company
mandatory to follow strict guidelines stated in law. Vodafone may come in danger if they
not follow those rules.
Environment Environment - It refers to the maintaining environmental rules
such as follow sustainable energy and using non – polluted products and minimizing the
uses of plastic bags and encourage environmental friendly products (Irwin, 2020).
 Positive impact – Country is quite serious about their environment and implement many
policies regarding that. UK is developed countries and has major responsibility for social
issues and it make sure that every company follow the same. This has impacted positively
on Vodafone as it provides internet services that helps to meet and contact with others
which helps to save time and pollution (Nakkula and Toshalis, 2020).
 Negative impact – Despite of many policies many industry not able to adhere to the law
and can face strict action from government. Vodafone has to be careful about laws and
policies regarding environment safety as it increases radiation.
Therefore, a PESTLE analysis uses by Vodafone by analysing the environment which
can help to know which factor has impacted on productivity and profitability. This might be
create the challenge for organization and reduced the sales.
From the above discussion it has been recommended to Vodafone to reduce the negative
impacts on leadership, team, and individual by analysing environment effectively and formulate
the planning by adopting changes in their business which can help to influence the large number
of customers and attain the profitability. If government regulations has been changes then there
is need to follow new one which can help to reduce the intervention from trading and support it
to run continuously.
P3 Evaluate measures that can be taken to minimise negative impacts of change on
organisational behaviour.
With the aid of adequate understanding of changes, the company's management team
may devise successful plans to assist them in evaluating and introducing changes within the
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organisation. Change is characterised as a continuous process within each and every area of the
business that is very crucial. With regard to Vodafone, the goal is to opt for improvements in
company functionality. The result obtained through this would lead to progress in their results as
well as competitiveness that will provide them with a competitive advantage within the market
for a longer period of time.
There are various types of changes that may occur within the business structure, as it is
not mandatory for each individual to respond in an affirmative manner to such changes. This will
result in the development of obstacles to improvements within the company's culture. In
addition, they create a void that results in a detrimental effect on the organisation's brand image
overall in front of their customers. These challenges have been outlined with below respect to
change management:
Lack of Engagement of employees: It is one of the most significant hurdles, i.e. workers
are not interested in organisational functions when refurbishing them. There are a
significant number of workers inside each company who would elude progress and
believe that this is a pessimistic approach. In addition , workers are fearful that the
organisation will lose them. There are some variables with regard to Vodafone, such as
faithful and loyal workers who carry out their work in a company in recent years, this
causes fear feeling (Nakkula and Toshalis, 2020).
Lack of Proper Communication Strategy: There is a broad variety of companies that
have inadequate communication techniques in an enterprise within a competitive environment.
This will demonstrate that corporate leadership does not interfere with their plans and employee
policies. With regard to Vodafone, improvements have been introduced by higher levels of
managers and corporate management so that workers can vote for them affirmatively. In addition
to this, Force field model of change management can also be used by Vodafone, they have been
illustrated below:
Force Field Analysis: It is an initial methodology that is used by a wide variety of
managers within their respective organisations to analyse change management. Professor Kurt
Lewin has provided this method. This consists of five steps in which management and leaders
will encourage their workers to understand the leadership of change. All these steps have been
shown below:
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Force field model comprises of facilitating as well as restraining elements associated with
change, they are elaborated below:
Phase 1: This is a primary and leading process wherein leaders, along with corporate
leadership, analyse the current business environment with the help of effective instruments.
Through this, Vodafone management will calculate requirements as well as adjust requirements,
along with research, to figure out where change is required.
Phase 2: Each and every reform carried out by the company includes such hazards. In
this, managers define the degree of risks when carrying out any transition together with leaders.
With regard to Vodafone 's management, several methods have been selected to minimize the
risks connected with transition by helping them (Ellis, 2018).
Phase 3: At this point, Vodafone's top-level executives recognize key areas in which
improvements or improvements are required. In addition, they can also access the forms in which
these improvements can be taken about in these organizations' working environments.
Phase 4: Together with Vodafone executives, the management establishes the action plan
in an appropriate manner and within a defined period of time. Besides this, it includes
improvements in whole systems (Garland, 2018).
Phase 5: Together with Vodafone management, these top managers will scrutinise and
estimate their plans and policies. In addition, apart from carrying out evaluations, it is necessary
to analyse successful adjustments in terms of needs as well as conditions.
Therefore, uses of force field analysis can minimize the negative impacts of change in
Vodafone that have created a good business environment and increase the performance in
changing environment.
As Vodafone faced the problem of lower sales due to lack of communication and lack of
employee engagement where force field analyses become more progressive and beneficial for
organization as it helped to identify the problems and bring the changes in their organisation and
operate the business effectively. In this, management share the all information and new
communication plan with their staff and get their ideas which can help to make the right business
decision by reducing negative impacts and develop their business effectively with the help of
attaining the business objectives.
Facilitating Factors: This consists of element that are open to the company and even
beyond the internal setting to inspire them for selecting the necessary way to make
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improvements. In this, obsolete techniques that are not successful in generating the requisite
profits are elements that are included. In addition, the morale of workers for bringing
improvements to a company would often be rejected. Within Vodafone, these factors affect
management and leadership. Leaders are responsible for communicating organisational needs
with workers and managers are obliged to communicate with leaders in the appropriate manner.
Restraining Factors: This signifies elements which are prevalent in the external world
and enables the managerial team to make adjustments within the organisation's working
structure. These variables include government rules as well as legislation, worker resistance, etc.
in order to embrace changes in the climate. With regard to Vodafone, a significant number of
people and organisations exist so that they can choose to improve the working climate
(Chowdhury, 2019).
Negative elements of changing behaviour: Management will be in charge of the growth
of organisational mismanagement. Through this, jobs are affected and they may not be able to
reach their goals. This is achieved due to the lack of contact between management and workers
and would lead to an increase in circumstances such as conflicts. A few of them are shown
below:
 Communication problem: There are a wide variety of difficulties that are encountered
due to lack of touch, such as being unable to explain emotions, relationship problems,
and various others. They apply to circumstances that may take place within an
organisation. An person can clarify their needs in this regard, but it is not important for
other individuals to understand exactly what they are explaining. This will create a
depressive effect on organisational functioning (Ceil, 2018).
M2 Apply appropriate theories and models to critically evaluate organisational response to
change.
In business environment there are different theories and model which uses by organisation
for the purpose of knowing responds of changes in organisation. Whenever management brings
changes then they adopt different theories and model which supports to accept the changes and
develop a business continuously. Vodafone is uses Force field analyses as an change model and
theory which can help to understand the barriers which arises while accepting changes and make
efforts to overcome by formulating plans which can to run a business and develop the business
effective ness in changing environment (Sroufe, 2018). This is effective model which can help to
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reduce the negative impacts of changes by formulating effective planning and strategies in
relation to organization that can help to attain the higher productivity by responding towards
changes properly.
Task 3
P4 Explain different barriers for change and determine how they influence leadership decision-
making in a given organisational context.
Changes are the defined as modification in existing process and activities which are
important for business organization to operate a business and complete the work on time. The
management should be understand needs and wants of their customers then develop the kind of
products which can be satisfy them and make happy to their customers. In context to Vodafone,
management is responsible to analyse the employee's performance and sets some standards that
can help to reduce the negative impacts of change. For this, Burke Litwen change model uses by
chosen organization that are as defined:
External environment: This factor is related to external environment that needs to be
consider while operation. The management of Vodafone uses this factor for analysing the
external factor as which factor is impacting negatively and reducing the productivity. This can
help to formulate planning which supports to reduce impacts and maintain higher profitability
(Picard, 2020).
Individual and organization performance: This is another factor which needs to be
consider in running the business as individual and organisation both are making changes and
accepting the challenges which supports to run a business. The management of Vodafone
measuring the performance of individual and organisation by analysing productivity, selling,
attraction of customers etc. that increases performance.
Leadership: In any organisation leadership is defined as main activity which should be
uses by organisation for the purpose of motivating the staff and developing organisational
performance. In context to Vodafone, leaders are playing important role as they handle all
difficulties and problems in relation to organisation and motivate employees by working properly
that motivates staff to work properly.
Organization culture: The culture of organisation states principles, manners and
regulation that are important to run a business. The leaders of chosen organisation are following
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