Leadership, Change Management, and PESTLE Analysis Report

This report examines leadership and change management within the context of a duty-free retail shop in Mauritius. It begins with a PESTLE analysis of the Mauritius retail sector, evaluating political, economic, social, technological, environmental, and legal factors to identify opportunities and challenges for the organization. The report then proposes the implementation of a comprehensive ICT framework, particularly a Customer Relationship Management (CRM) system, to improve customer service and communication. Effective communication strategies for managing change, including employee involvement and transformational leadership, are discussed. The report emphasizes the importance of proactive sponsorship, team collaboration, and middle manager involvement in facilitating successful change management. Furthermore, it highlights the financial aspects of change, such as investment uncertainties and the need for external funding. The report concludes by outlining techniques for planning change, focusing on employee training, participative approaches, and the transformational approach to empower employees and align them with the change management objectives.

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Leadership
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Contents
1.1 PESTLE Analysis............................................................................................................................3
2.1 Example of Change Required In The Workplace............................................................................5
2.2 Communication for Effective Change.............................................................................................5
2.3 How To Communicate With And Involve People To Facilitate Effective Change..........................6
2.4 Technique for Planning Change.......................................................................................................6
References.............................................................................................................................................7

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1.1 PESTLE Analysis
The concerns of dynamism in the modern business environment have led to various
initiatives adopted by organizations to reform their conventional practices. It is essential to
notice that the organizations which require change are largely dependent on an analysis of the
forces which drive the change. The generic factors responsible for initiating change in an
organization include technological advancement, nature of workforce, competition, world
politics, social trends and economic shocks. However, it is imperative to consider the macro
environmental factors which could influence the approaches of change followed in an
organization (Antonakis, 2017). The concerned case of the retail sector organization has to be
reviewed with respect to the PESTLE analysis of Mauritius retail sector that can provide
feasible insights into the requirement of change in the organization. The primary objective of
the duty free retail shop at the airport in the present context is to improvise the turnover of the
organization alongside enhancing customer service (Bolman& Deal, 2017). Therefore the
operations and sales department of the organization need to implement changes for catering
the organizational dynamics alongside accomplishing the specific objectives of the
organization.
In order to accomplish the objectives of change management effectively, the organization
needs to identify the specific dimensions of the enterprise which require changes. The major
responsibility of leadership in such scenarios is directed towards analysis of the external
environment in order to anticipate the pitfalls as well as advantages that can be acquired by
an enterprise in given business environment. The PESTLE analysis for Mauritius would be
eligible as a viable impression of the macro elements that can influence the business and
relevant decisions of the duty free retail shop (Boezeman&Ellemers, 2014).
The existing political environment in Mauritius has provided substantial opportunities for the
country to overcome major issues alongside the notable influence on other aspects such as
technology, economic factors, environmental and social factors. Mauritius has been able to
depict political resilience in dealing with the challenges presented to the country since 2002.
The impact of globalization was profoundly noted in the depreciation of trade preferences in
the case of textiles and sugar which accounted for major influences on economy. The
prominent outcomes were also identified in the decline of economic growth and increment in
the levels of unemployment, public debt and budget deficit (Černe, Jaklič&Škerlavaj, 2013).

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Therefore the government of Mauritius implemented substantial reforms in order to address
the problems identified in the country. The primary initiative was observed in drastic
economic reforms that would enable the country to deal with formidable challenges of
competition in the global market. The economic reform was characterized with emphasis on
reduction of fiscal weakness alongside improving the business outcomes for the organization,
enhancing conditions for investment in the country and the prospects for acquiring higher
FDI investment (Ciulla, 2014).
The initiatives of the government to promote the ICT sector alongside providing facilities for
free trade zones at airports could be accounted as feasible opportunities for the airport duty
free shopfor introducing changes in management.
The economic condition of Mauritius is opportunistic with the provision of gradual
improvement in the growth rate of the GDP every year. The per capita income in Mauritius is
considered to be superior to other countries such as India while depicting lesser average
inflation rates. The economy of Mauritius could be characterized with middle-income
diversification especially with improvements in the industrial sector, tourist sector and
financial sector. Presently, Mauritius could be assumed as a formidable example of transition
from agricultural economy to an industrial one (Daft, 2014).
Social factors of Mauritius could be ascertained from an interpretation of the culture of the
country which can be classified as a mixture of different cultures such as that of Europe,
India, France, China, Africa and Europe. The social security system evident in the case of
Mauritius is supported by certain essential features. For example, the social assistance
schemes, occupational pension schemes and government subsidies provided on housing and
food could be assumed as major social characteristics of the business environment in
Mauritius (Dinh et al., 2014).
Technological developments have become the centre of attraction in modern business
contexts with the improvement of opportunities for organizations to ensure better interactions
with customers. The profound development in ICT sector could enable organizations to cope
with the changes in customer interactions. The use of ICT for development of interactive
CRM systems could be validated as a favourable opportunity that can be accessed by the
airport duty free shop for improving customer service.

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Environmental factors involved in context of Mauritius could be anticipated from the
government’s preferences for determining protection and improvement of the environment.
The measures taken by the government for ensuring energy efficiency could be observed in
the form of motivation programs for industry, public and private to use energy efficient
electrical devices (Fairhurst&Connaughton, 2014).
The presence of regulatory institutions such as the Energy efficiency management office
could also be accounted as a notable highlight of the environmental aspect of macro
environment of an organization. Another potential highlight that must be considered in the
environmental aspects is the promotion of energy efficient parameters for construction of
buildings (Goleman, Boyatzis& McKee, 2013).
Legal aspects of the country are characterized with the references to provision of tax benefits
and exclusion of custom duties.Furthermore, the government initiatives for addressing the
influx of higher volume of tourists through focus on tourism industry could also be
considered responsible for formulation of legal dimensions. Policies and codes of practice
observed in the case of monitoring the tourism industry could also be influential on the
prospects for airport duty free shop to acquire competitive advantage.
2.1 Example of Change Required In The Workplace
The example of change that could be implemented in the workplace could refer to the
establishment of comprehensive ICT frameworks within the organization as perceived from
the PESTLE analysis. The requirement for ICT framework is intended to simplify the
communication process within an organization and the necessity of communication has been
perceived as crucial in context of modern business environments.
As observed from the technological developments in the macro environment of Mauritius, the
prevalence of technological developments in information and communication technology has
led to the profound indications towards the use of ICT for instating a customer relationship
management system (Komives& Wagner, 2016). Since the majority of customers of the shop
comprise of tourists, it is essential to sustain a long term relationship with customers in order
to acquire consistent sources of revenue.
The customer relationship management system would be helpful for the organization to
maintain customer information and ensure appropriate segmentation, targeting and
positioning mechanisms. One of the prominent benefits that could be availed from the CRM

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would be observed in identification of travel purposes and frequency in order to target
customers that visit the airport frequently. Furthermore, the ICT framework could also help
managers to cater communication needs of large employee base alongside facilitating an
unconventional approach to business management (Lussier&Achua, 2015).
2.2 Communication for Effective Change
Communicating change within the workplace could be a major challenge for managers that
can be addressed through considering the significance of people as the central focus for
change management (Northouse, 2015). The strategies for communication that could be
implemented in context of change management in the workplace have to be largely directed
towards the employees in the operations sales department who would be largely affected by
the introduction of the new CRM framework.
It would be imperative to consider the underlying implications of empowerment and
transformation which could help in recognition of the varying needs of different individuals
alongside creating opportunities and environments that could assist employees in
acquaintance with the changes. The use of an effective communication plan could be
assumed as a credible resource to address the needs of communication and involvement of
people in the change management process (Tourish, 2014).
The communication plan should be associated with objectives such as involvement of a wide
range of stakeholders including the senior management and the staff for developing suitable
environments for implementation of change. It is also imperative to use communication
mechanisms that could be characterized with inclusive, empowering, transparent and open
characteristics (Tschannen-Moran, 2014).
The communication for effective change is considerably dependent on certain human factors
which include proactive sponsorship, the team, communication and the involvement of
middle managers (Tourish, 2014). The change management projects have to be
communicated effectively to the team involved in implementation of change as concerned in
this report. The requirement of activity and comprehensive involvement of the top
management team is responsible for the resolution of scenarios which require comprehensive
adaptation to the critical scenarios encountered by organizations. The requirement of
sponsorship from external stakeholders and brands could be responsible for observing
profound implications in the productivity that can be derived from approval and consent for

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the allocation of resources in order to address the issues faced by the duty free shop. Another
human factor is considerably associated with the involvement of middle managers that also
reflect on the involvement of employees that can improve project growth alongside reflecting
on the personal development that can lead to sustainable opportunities for the employees. It is
also imperative to understand the role of the contribution of human resources in order to
obtain considerable benefits in the form of procedural, professional and financial implications
associated with the change management process (Tschannen-Moran, 2014). Therefore the
human factor of communication should be addressed effectively in terms of the
comprehensive involvement of stakeholders in the change management process that can be
indicative of the lean management processes that enable an organization to adapt to the
change management process. Human factors associated with the change management process
could also implement considerably beneficial outcomes in the form of improved
communication between the team members thereby depreciating the emotional obstacles that
are deported to their native countries.
Financial factors that are accounted for observing potentially beneficial outcomes in context
of the change management process considered in the report are also presented in form of the
investment uncertainties regarding the change management processes and the involvement of
external agencies required to implement the change management process (Lussier & Achua,
2015). The involvement of external agencies is perceived in terms of funding for the different
activities such as the role of sponsors in providing additional funding for the advertisement in
the duty free shop for their flagship products. Another financial factor can be perceived in the
observation of ambiguities in the cash flow statement and the income statement. These
financial statements are responsible for identifying the requirement of financial resources in
order to obtain information required for addressing business obligations that emerge with the
change process (Lussier & Achua, 2015). The cash flow statement and income statement
facilitate considerable implications towards the inflow of financial assets alongside the
expenses to be incurred with respect to the change management process.
2.3 How To Communicate With And Involve People To Facilitate Effective Change
The involvement of employees in the change management process could be largely
influenced on the grounds of training of employees through a participative approach. The
change management process could be improvised through maintaining a viable framework to
provide employees with critical information pertaining to change as well as ensuring their

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involvement with feedback mechanisms and support during the change implementation
(Lussier & Achua, 2015).
Employee involvement could also be addressed through following a transformational
approach in order to realize change management objectives. The transformational approach is
responsible for empowering employees to contribute to the mission and objectives of change
management thereby implying feasible reforms in the proposed CRM framework.
2.4 Technique for Planning Change
The technique that can be applied for planning change with respect to the given context of the
airport duty free shop could be observed in the form of a model of change. The technique
would involve a stage wise categorization of change which is initiated with the
communication of sense of urgency for the CRM system.
The organization has to develop a guiding group which would be responsible for directing the
employees for adapting the changes in the ICT framework of the enterprise (Dinh et al.,
2014). The change management planning would also comprise of the vision conveyed by the
guiding group for implementing the change alongside addressing the anticipated obstacles for
the organization’s new vision for customer service and workplace relationships.
The timeline for implementing the CRM framework to be implemented in case of duty
free shop can be presented in the form of a Gantt chart as follows.
Activity Week 1 Week 2 Week 3 Week 4
Planning of ICT
framework
Design of CRM
system
Customer
feedback analysis
Reforms in CRM
framework
Communicating
the design to
employees
Training of
employees
Employee
feedback
Final CRM design

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References
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Bolman, L.G. and Deal, T.E., 2017. Reframing organizations: Artistry, choice, and
leadership. John Wiley & Sons.
Boezeman, E.J. and Ellemers, N., 2014. Volunteer leadership: The role of pride and respect
in organizational identification and leadership satisfaction. Leadership, 10(2), pp.160-173.
Černe, M., Jaklič, M. and Škerlavaj, M., 2013. Authentic leadership, creativity, and
innovation: A multilevel perspective. Leadership, 9(1), pp.63-85.
Ciulla, J.B. ed., 2014.Ethics, the heart of leadership.ABC-CLIO.
Daft, R.L., 2014. The leadership experience. Cengage Learning.
Dinh, J.E., Lord, R.G., Gardner, W.L., Meuser, J.D., Liden, R.C. and Hu, J., 2014.
Leadership theory and research in the new millennium: Current theoretical trends and
changing perspectives. The Leadership Quarterly, 25(1), pp.36-62.
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Goleman, D., Boyatzis, R.E. and McKee, A., 2013. Primal leadership: Unleashing the power
of emotional intelligence. Harvard Business Press.

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Komives, S.R. and Wagner, W.E., 2016. Leadership for a better world: Understanding the
social change model of leadership development. John Wiley & Sons.
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