Leading and Managing Organizational Change: A Kodak Case Study

This case study delves into the organizational change challenges faced by Kodak, particularly its struggles with the transition to digital photography in the 21st century. The analysis highlights Kodak's declining sales, missed opportunities, and eventual bankruptcy filing, attributing these failures to factors like slow innovation, intense competition, and an inability to adapt to the changing technological landscape. The study identifies key issues such as the company's failure to establish market leadership in the digital sector, its inability to recognize and respond to environmental changes, and the presence of significant barriers to change. Strategies for successful change management, including creating urgency, communicating a clear vision, removing obstacles, and setting short-term wins, are discussed. The analysis also examines the external environment, competitor landscape, and the costs and benefits associated with implementing change, concluding with a communication plan and risk mitigation strategies. Desklib offers this case study along with a wealth of resources for students.

Running Head: Leading and Manage Organisational Change
0
Leading and Manage Organizational Change
(Student Name)
2/20/2019

Leading and Manage Organisational Change 1
Table of Contents
Task 1.........................................................................................................................................3
Question1................................................................................................................................3
Question2................................................................................................................................3
Question3................................................................................................................................4
Question 4...............................................................................................................................4
Question 5...............................................................................................................................4
Task 2.........................................................................................................................................5
1: Need for Change.................................................................................................................5
2: Impact.................................................................................................................................5
3: Change requirement and objectives...................................................................................5
4: External Environment Analysis..........................................................................................6
5: Competitor Analysis...........................................................................................................6
6: Major Change Requirement...............................................................................................6
7: Cost –Benefit Analysis.......................................................................................................6
8: Risk Analysis and Risk Mitigation Strategies....................................................................7
9: Communication Plan..........................................................................................................7

Leading and Manage Organisational Change 2
10: Barriers and Strategies to change.....................................................................................7
11: Need for staff training......................................................................................................8
12: Strategies for Implementing Change................................................................................8
13: Main Resources................................................................................................................8
14: Role and Responsibilities of Team Members...................................................................8
15: Protocols and Rules of Team............................................................................................9
16: Team Dynamics and Delegation of Task.........................................................................9
Task3........................................................................................................................................10
Q1.........................................................................................................................................10
Q4.........................................................................................................................................10
Q5.........................................................................................................................................11
References................................................................................................................................12

Leading and Manage Organisational Change 3
Task 1
Question1
The company Kodak faces the tough situation in the beginning of 21st century. As
comparison to the late 90s, the sales of the company for Equipment of traditional
photography were declined constantly. The main reason behind such) issue is rapid
development and growth of innovative digital technologies as well as fast switching of the
consumers to digital photography. Kodak faced such a big challenge though they have
decided to enter in the market f new digital; photography (Lucas and Goh, 2009). Such
market involves great competition as well as it is highly required for the company to
concentrate all their forces to gain the market share as well as profits. Kodak must able to
develop new product as well as business models in an extremely short time, differentiate
itself from the competition, build string brand image in the market novel market, control over
the cost through restructuring as well as optimizing, ensure the profits by low profit margin as
well as please the shareholders (Thomas and Kohli, 2009).
For the first half-decade of the new era, Kodak did well enough that it is well still common to
analyse the stores of Kodak as well as cameras. They have introduced full frame camera in
the year 2002 that gave them competitive advantage over other companies. Beginning in the
year 2005, the company has experienced drastic as well as unsustainable declines in the sales.
By 010 the company had laid off tens of thousands of employees and in 2012 their filed for
bankruptcy.
Therefore, the company did not have any driving forces behind the mass conversation to the
digital as well as did noting around the world for last two decades before releasing that their

Leading and Manage Organisational Change 4
whole company majorly depends on their non-procrastinating that they had done exactly
since 1991 (Vecchiato and Roveda, 2010).
Question2
There are certain issues that are faced by Kodak. These are explained in below points to
understand in more effective manner.
 The company faced the major challenge is in the process of changing to the digital
technology in printing. As most of the consumers prefer to buy android phones of iOS
for camera that affected the growth and demand of the company at greater level.
 The company failed to establish their market share in the global market as well as
market leadership in the Digital sector due to low innovation introduced by the
company in the competitive market.
 It is threatened with either immediate or rapid diversification in the technology due to
high investment amount is needed and it would also be risky for the company to take
such steps to grow their business.
 The industry of photography equipments is also dominated by few leading companies
that have a huge market share in various industry segments (Walrave et al., 2018).
 The market of photography equipment is predicated as a commodity marker with
rapid growth, high competition, and good profit for leader but not for the followers.
Thus, innovation as well as product differentiation with association pricing plays an
essential role for the industry.
 There is huge number of different competitors in the market that are distributed in
various industry segments that give huge competition to the company which is one the
challenge faced by the company in such competitive market (Ho and Chen, 2018).

Leading and Manage Organisational Change 5
Question3
The company stared facing the issues in the year 1984, at the time when Japanese film Fuji
Photo Film Co. invaded on the market share of Kodak as the consumers switched to their
products after launching a 400 speed colour film which was twenty percent cheaper than the
company.
Secondly, during the year 1980 Kodak failed to recognize the changes in the environment as
well as instead followed with sticked to a particularly business model that was no longer
valid for the post-digital age. At the time when the management of the company realise the
requirement of changes and react accordingly, the situation was not under their control as it
was too late to control or make any changes adopted by the company (Day and Schoemaker,
2016).
Question 4
There are certain potential barriers to change that are faced by the company constantly as
they are explained in below points:
 The company has faced difficulty in technology transitions due to the reason
constantly fluctuation in the market that affects the company at greater level.
 The company has invented the digital camera as well as yet through a combination of
failing to embrace their own creation, the over focus on competition with Fujifilm as
well as the fall in the sale of chemical photo, and the company is covering of their
former self.
 The company has faced the intense competition as with the most forms of the digital
hardware, the force of dominate were many players, low entry barriers, falling in the
real price as well as commoditisation.

Leading and Manage Organisational Change 6
Question 5
There are certain strategies that company can adopt for change project. Such strategies are
explained in below points:
Creating Urgency
Proper analysis will be done, where the change is required in the company as there needs to
be compelling the case for change that would help them to clearly understand and inspired to
change.
Communicate the Vision
Communicate the changes in the organization with the staff and other employees to made
them clear the vision and mission of the company that would force the employees to achieve
the targeted goals of the company in more effective manner.
Remove the Obstacles
As an individual work towards the implementing changes, they will face physical and
emotional obstacles; therefore the management is required to overcome from these blocks by
listing to their concern as well as seeking their feedback.
Create Short-term Wins
Short-term goal will be set up to achieve long-term goal that would give an opportunity to the
company to overcome the issues by taking proper and effective steps (Casey, Ribaux and
Roux, 2019).

Leading and Manage Organisational Change 7
Task 2
1: Need for Change
The main reasons of adopting change management are explained in below points:
 Business opportunities: there is some of the business opportunities that can be adopted
by the organization such as new technology, enhance the demand of innovative
products.
 Management Decision: the management of the company has made several policies but
they were failed to take an appropriate decisions to implement such policies that are
the main barriers in between attaining the objectives.
 Competition: There are huge competitions in the market that force the company to
adopt change project.
2: Impact
There would be great impact of adopting change management as they are explained in below
pints:
Cope up the performance gap: The Company would able to cope up from the gap they have
faced in their business in more effective and efficient manner.
Compete in the Market: The Company would able to compete in such competitive with the
help of adopting change project in their business.
Achieve targeted objective: the company would able to achieve targeted objective by
adopting change management in their organization.

Leading and Manage Organisational Change 8
3: Change requirement and objectives
The places where change is required in the organization are:
 There is requirement of restructuring of new leadership as well as change in the
culture
 The rapid growth or decline affects the structure as well as performance of the
employees
 There is requirement of change in the competitive strategies to achieve competitive
advantage in the market.
Specific Objectives:
 There is an objective of the company to increase their market share to 30% in the
competitive market.
 It is an objective of the company to enter in the market with innovative services or
products.
Measurable
It is estimated that company will achieve 70% of the market share that they have targeted and
will invest huge amount in research and development for introducing new product (Carnall,
2018).
4: External Environment Analysis
Political/Legal
The government supported such organization to promote their

Leading and Manage Organisational Change 9
business in such country.
Economic The rise in the dollar of Australia increases the price of their services
or product that affects overall business.
Demographic The growth of population as well as immigration create great
demand for the company
Consumer Behaviour Due to increase in demand of entrainment among the consumers
increase the demand of innovative instrument for their
entertainment.
Technological The introduction of internet or cyber site provide a new market to
the company (Saito and Pham, 2018)
5: Competitor Analysis
The market is full of competition that forces the company to change their management. The
major competitors for the company are Apple as well as Sony. Apple is one of the well-
known brands that invest huge amount in their business. Sony is also known for their quality
of product and established their image in the market. Therefore, they are the main competitor
for the company that create huge competition in the market (Xu, Gao and Hammond, 2017).

Leading and Manage Organisational Change 10
6: Major Change Requirement
The major changes requirement in their business is explained in below points:
 They need to change in their policies of the business and need to make them more
clear that would be easily understand by the employees of the company
 They need to change the technology according to the requirement or needs of the
consumers.
 They need to provide training and development session for workers as well as
employees
7: Cost –Benefit Analysis
Costs
 The company will need experienced personals for revising the policies that would
increase the cost to the company.
 Lack of knowledge in the employees about the new technologies increase mobility
ration in the company
 Training would need huge initial cost as well as deemed as time consuming
Benefits
 The vision and mission of the company will clearly able to understand by the
employees to make them motivate towards the goal.
 Achieving success in introducing innovative product attract new consumers in the
market.
 The trained employees would able to enhance their performance and deliver better
services and product to the consumers.

Leading and Manage Organisational Change 11
8: Risk Analysis and Risk Mitigation Strategies
There is one of the most essential tasks for the company that they need to analyse the job for
establishing the experiences among the staffs.
The main aim of the change management plan is to adopt the new practices as well as
strategies to achieve the objective of the company in more effective manner.
To achieve the targeted objective, company need to motivate their employees that would
support the employees to give their full potential
9: Communication Plan
There are certain steps in communication plan that are explained in below points:
 In the first step, there is identification of parties to whom the change process needs to
be communicated. Therefore, the company will communicate with their employees
and senior management.
 In the second step, the process is the actual communication of change. The company
will adopt hierarchical structure to communicate such changes
 At the end, the feedback will be taken from the employees by the company due to the
reason it allow for better judgement of the employees performance over the new
positions (Bradley, 2016).
10: Barriers and Strategies to change
Barriers
There are certain barriers that can face by the company such as: