CADBURY: Change, Leadership, and Organisational Strategy Report

This report analyzes the impact of change on CADBURY's organizational strategy and operations, comparing it with Nestle. It examines internal and external drivers of change, including customer demands and competitor actions, and their effect on leadership, team, and individual behavior within CADBURY. The report assesses various barriers to change, such as organizational culture and management structure, influencing decision-making processes and employing force field analysis. It also evaluates the contribution of different leadership approaches in driving organizational change, concluding with recommendations for effective change management and strategic planning. The report discusses the shift towards healthier products like sugar-free chocolate and the implications on manufacturing, marketing, and overall organizational strategy. It provides a detailed analysis of Cadbury's response to market changes, focusing on leadership, team dynamics, and strategic adjustments.

Understanding and Leading
change

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Impact of change on organisational strategy and operations...........................................1
M1 Assess the different drivers for change in each of the given examples and the types of
organisational change they have affected...............................................................................4
D1 Draw conclusions and recommendations with valid justifications for planning effectively
for change and applying change impact analysis...................................................................4
TASK 2............................................................................................................................................5
P2 Ways in which internal and external drivers of change affect leadership, team and
individual behaviour at CADBURY......................................................................................5
P3 Measures taken to reduce negative impact of change on organisational behaviour.........8
M2 Appropriate theories and models to evaluate organisational response to change..........10
TASK 3..........................................................................................................................................11
P4 Different Barriers for Change and Influence on Decision Making In govern Organisational
Context, Application of Force Field Analysis and its Critical Analysis..............................11
M3 Use force field analysis to analyse resist and driving forces.........................................12
D2 Critically evaluate the use of force field analysis in meeting organisational objectives 13
TASK 4..........................................................................................................................................14
P5. Contribution of different leadership approaches regarding organisational change........14
Covered in PPT................................................................................................................14
M4 Extent to which leadership approaches can deliver organisational change...................14
D3 Evaluate effectiveness of leadership approaches and model of change management....14
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................16

INTRODUCTION
Change is the process under which something is done with different way. In current
market, change is important because of changing trends. These days, consumer want different
product and services through which they can get best in return of what they pay. Managers of
business organisation has to plan strategies and policies through which change can be
implemented in better manner and able to get better outcome of it. In order to implement changes
properly, there is requirement of proper guidance and direction to perform business operations.
Hence workers need motivation, training through which they are able to work under dynamic
environment (Alvesson and Sveningsson, 2015). This report is based on CADBURY which is
one of the leading brand in confectionery sector after Mars. CADBURY have headquarter at
Birmingham UK and was founded in 1824. In this report, there is discussion about comparison
among two organisations on the basis of organisation's strategy and operations, drivers of change
on organisational behaviour, barriers that influence leadership and decision making organisation.
At last different range of leadership approaches to implement change.
TASK 1
P1. Impact of change on organisational strategy and operations
The organisational change is defined as the process through which organisational
policies, procedures, technology, culture etc. get changed in order to improve its market position
as well as organisational practices. These changes are basically bring by an organisation in order
to achieve competitive advantage and keep its customers satisfied with the services offered to
them by keep on changing as per the change in their demand and expectations. But for effective
implementation of changes, an organisation must focuses toward conducting the market research
that help in gathering the information regarding current scenario along with several opportunities
and threats that are present in marketplace.
There are two well known large scale multinational organisation named as Cadbury and
Nestle that belongs to confectionery industry. Both of them work toward improving their
operational efficiency by continuously bringing changes in their work as per changes anticipated
in external environment (Bin Taher, Krotov and Silva, 2015). This implementation of changes
support in aligning the product or services as per the expectation of customers. Both the
organisation deals in similar products such as candy, chocolates etc. which provide tough
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competition to one another in marketplace. But recently the market trend has changed as
customers become more oriented toward healthy eatable in order to live more or healthier life.
Hence to deal with such challenge and maintain the market position, Cadbury has launched a
dairy Milk bar that contains 30% less sugar as compare to previous one. On the other side Nestle
has launched its Nestle a+ Slim Milk which contains 90% less fat as compared to other cow or
buffalo milk which support people in gaining all the proteins without thinking about gaining fat.
But for implementing and maintaining these changes both the companies have to improve their
strategies and operations in order to provide product or services by maintaining its standard.
Following table explain about the impact of changes over operations and strategies of company:
Actions Cadbury Nestle
Organisational Operations Cadbury is one of the well-
known British confectionery
company that offer wide range
of products such as chocolate
bars, candy, cookies etc. But
with the time there is a trend
anticipated where customers
are more conscious about their
health and only want to
consume healthier product
without compromising over
their taste (Doppelt, 2017).
Hence in order to deal with
such challenges Cabdury has
launch its sugar free chocolate
in which it offer a Dairy Milk
Bar that have 30% less sugar
then previously. This changes
have direct impact over
manufacturing process as it
get changes and which take
Nestle is a multinational
organisation that offere
confectioner products such as
Chocolates, cookies, candy,
cornflakes, flavoured milk,
yogurt etc. But these product
usually result into fats and
there is a new market trend of
having healthier food to stay
fit. In order to deal with this
challenge Nestle has launched
its new milk which ensures
90% less fat as compared to
others (NESTLÉ a+ SLIM
Milk and a+ SLIM Dahi,
2019). This change has a direct
impact over the production
process used by Nestle for milk
as for making that milk fat free
it increase the processing and
condensing time. This product
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place by switching the sugar
with some extra fibre.
is made up of high quality
pasteurized double toned milk
which doesn't involve any kind
of added preservatives.
Strategy used by organisation The change in product has
direct impact over the strategy
adopted by Cadbury to offer its
new sugar free chocolate.
Previously Cadbury promote
its product by creating
advertisement over children or
teenage but for its sugar free
chocolate it targetted adults as
they are more fitness freak and
easily get adopted with this
product. In addition this the
production strategy also get
changes as Cadbury has
formed up a team, of 20
scientists chocolatiers almost
two year for getting a high
quality product as per the
expectation of customers
(Cadbury to launch Dairy Milk
bar with 30% less sugar,
2019).
The changes in milk offered by
Nestle has also affected the
strategy that organisation uses.
In order to offer its new fat free
milk under the brand name of
Nestle a+Slim milk, company
has decided to offer it over
skimming pricing strategy
where the price is kept high at
initial stage which then lower
down as time passes.
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M1 Assess the different drivers for change in each of the given examples and the types of
organisational change they have affected.
These are the impact that changes bring over the operations and strategies performed by a
company. The major driver to this change i.e. bringing fat free products for promoting healthier
lifestyle are mentioned below:
 Customers:- The main driver behind this change is customers as with the increase in
health issues like increase in cholesterol level, diabetes, obesity etc. customers started
seeking food that help them in staying fit and healthier (Fairman and Mackenzie, 2015).
This challenge leads both the companies to improve their product by reducing the
processed sugar level which leads to increase in fat or other related issue.
 Competitors:- These are the another driver which foster the company to adopt changes by
improvising their products. This is because, by evaluating the need of market competitors
started offering products that provide confectionery eatables with healthier benefits which
started compression the market share of Cadbury and Nestle.
D1 Draw conclusions and recommendations with valid justifications for planning effectively for
change and applying change impact analysis.
As per above discussed information, it can be determined that internal as well as external
drivers results effects the working of Cadbury and Nestle in a considerable way. Internal driver
will support Cadbury and Nestle in manage their capita, resources and other finances which will
welfare in maximising their profit ratio. External drivers such as political, social,economical and
technological variation will supports Cadbury and Nestle in acknowledging external business
situation. Due to which competitive benefits over competitor will be enjoyed. Therefore,
recommendations in this respect are given below:
 Cadbury and Nestle is needed to have discussion with employees before adopting or
implementing a change. This will support workers in adopting change systemically.
 Manager in Cadbury and Nestle is suggested to predict the effect of change before
utilizing it on enterprise and its employees. This will be essential in executing needed
modifications.
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TASK 2
P2 Ways in which internal and external drivers of change affect leadership, team and individual
behaviour at CADBURY
Change in CADBURY chocolates are taking place with rapid speed because of change in
consumer demand. There are many competitors working in UK such as Hershey's , Mars, etc.
hence it is important to provide product and services to consumers as per their preference. In
order to access changes, there is requirement of identification of internal and external factors.
These days, there are many changes which are taking place in external environment such as
technological changes, change in legal policies, etc. which has to be considered for smooth
running of business (Harris, 2012). In order to analyse change in external factors, there is use of
SWOT analysis and PESTLE analysis while change drivers for internal factors are employees,
management of company, organisational culture, etc.
INTERNAL FACTORS
Organisational culture
Organisational culture refers to underlying beliefs, assumptions and values which assist
in contributing to social environment of an association. There is important role of organisational
culture to make workers working within association. In order to implement change in chocolates
and make it sugar free, there is implementation of task culture. Under this culture, individuals are
responsible for their task assigned. There are delegation of roles and responsibilities to
individuals regarding completion of task. There is improvement in productivity because there is
proper guidance and leadership through which sugar free chocolates can be launched
successfully.
With the help of task culture, there is impact on performance of individuals because
workers are responsible for whole outcome of whole team (Harris, 2012). There is requirement
of proper leadership, so there is synchronisation in business operations of whole team. Workers
are ready to work with one another and hence outcome from whole team is positive.
Management of Cadbury
Management of organisation is important because this involves people who are involved
in working style and conducting operations in better and effective manner. In Cadbury,
hierarchical organisational structure is used and communication is done in downward flow of
communication. In order to launch sugar free chocolates with low fact, hierarchical
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organisational structure is good. This assist individuals to communicate with proper flow of
information and behaviour is positive regarding others because they are bind in hierarchy. This
makes positive environment at association. Leadership by leader is proper because they are
known who is accountable to whom (Holmes, Clement and Albright, 2013). There will be
positive result with leadership because business activities will be done in better and appropriate
manner. When hierarchical organisational structure, there are some specific roles and
responsibilities which has to followed by individuals. Leaders proper communicate about
standards of team and then individuals are responsible for whole outcome.
EXTERNAL FACTORS
Swot analysis
SWOT is is the techniques which provides complete information about strength,
weakness, opportunities and threats which are available to Cadbury. There are different
components which assist company to grow as strength, while some have negative effect on
regular functioning of Cadbury. SWOT of Cadbury is as under-
Strength
Cadbury is world leader in chocolates and
confectionery sector. Cadbury operates in
different countries, so they have strong
research and development department. This
department assist to acknowledge about
changes which are happening in current
market. In order to access changes which are
taking place in external such as change in
consumer demand, quality of raw material,
different suppliers, etc. can be known with the
help of research and development.
This department is crucial because these days
consumer demand are changing with rapid
sped. Hence research and development
department changes their operations in
consideration to change in market.
Weakness
There are some issues in quality of chocolates
related to worms, etc. which decreases brand
image of Cadbury. This is because of negative
publicity. This affects performance of overall
association.
In order to deal with this change, there is
requirement of providing products after quality
check. This assist in improving brand image in
industry and make policies for betterment.
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Opportunities
there is opportunities for Cadbury to launch
baby food. This requires proper planning
regarding raw material, flavour, sources of
getting raw material, etc. While this is the best
way (Hrebiniak, 2013).
These days, people prefers to use eatables
which are available in market because parents
thinks that products are more health conscious
for children. Hence this is the driver of change
for Cadbury.
Threat
these days people are conscious about their
health because they are serving from different
disease such as obesity, heart disease, high
cholesterol, diabetes, etc. Hence Cadbury make
face reduction in their sales and revenues. In
order to deal with this issues, managers of
Cadbury plans to launch sugar free, low fact
chocolates.
Pestle analysis
PESTLE analysis refers to the framework through which external factors of environment
can be evaluated. External environment factors are not in control of management of Cadbury so
managers has to implement it in working operations. Under this threats and opportunities are
identify which is a part of SWOT analysis. PESTLE analysis of Cadbury is as under-
Political factors: Cadbury is liable to various applicable rules and regulations that govern
business operations and international health and safety requirements. In food and nutrition sector
the primary goal of regulations is to protect consumer from poor quality, health harmful products
and adulteration of food such as ISO 9002 and HACCP (Hazard Analysis Critical Control Point)
preventative food safety system.
There is political stability in UK so there is positive impact on performance of
team(Kotter, 2012). While individuals are Working in team, then they are able to perform actions
smoothly because of less government interferences. While individuals are acknowledge with
political policies and hence they have knowledge about their code of conduct. This assist in
improving performance of overall Cadbury to achieve aims and objectives.
Economic factors: the foreign currency fluctuations impacts on import and export aspect
of trade is manages by company's awareness and knowledge. It is producing products at the
local level to promote the growth of farmers and for satisfaction of consumers. As economic
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condition of stable is good, so individuals working at Cadbury get good remuneration through
which their living standard and purchasing power get improved.
While working in team, workers are able to complete task within specified budget
because of stable economy of UK. Leaders are also able to motivate and improves working of
individuals through reward and award benefits. This assist in improving leadership and get
positive outcome.
Social factors: concept of consumer attitude towards healthier products is well
understood by the company. Understanding and evaluating consumer attitude and related
dynamics is of utmost importance (Lawrence, 2015). To build the trust of customer is priority
and it adhere to strong values and principles. These days changes are taking place in demand of
consumers, so leaders has to analyse market and then make strategies for production of sugar
free and fat free chocolates.
Leader has to regularly analyse market, through which they came to know about market
trends and change their working style. Individuals gets influenced with social environment,
hence there expectations and personal demand also changes. They also want some rewards and
monetary benefits with the help of which they are compatible to external environment. While
working in team, there is requirement of change in working style of individuals because of
external environment. For instance: consumer prefers to low calories chocolates, so there is
project to manufacture low sugar chocolates, hence team mates has to work with new machinery.
Technological changes- Technological changes includes change in techniques which are
required at work place or up gradations of working strategies. These days, technological changes
are taking place frequently and managers of Cadbury have to implement it. With implementing
it, leaders has to motivate workers to work under dynamic environment with new tools and
techniques. Leader has to plan training program for workers through which they can learn
working under new machinery (Miller and et. al., 2013). Individuals behaviour is positive
regarding implementation of new technology because they are learning new aspect and are
compatible to external environment. Perform of team gets improved because with implementing
new techniques, there is less manual work and hence possibilities of error are less.
P3 Measures taken to reduce negative impact of change on organisational behaviour
While implementing changes at organisation, there are possibilities of negative or
positive impact on performance of workers. There are many workers working at Cadbury to
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serve consumers with best but they belongs to different culture, background, etc. Hence proper
evaluation is very essential through which change can be implemented in effective manner. If
with implementing change, there is negative impact on performance of employees that may
directly influence the marketing position of the company and also affect its sustainability. Hence
it is important for managers of Cadbury have to improve working style through which negative
impact can be reduced (NHS England, 2016). This is because Cadbury is one of the well-known
brand which mainly focuses toward keeping customers satisfied and retain them for longer
period of time by continuously altering the product or services as per their changing demand.
Cadbury always try to bring innovation in its product with an aim to offer high quality and
unique product that support in keeping the customers attracted and bound with the company. But
the changes sometimes may also have negative influence that adversely affect the market
position and in order to deal with these negative impact following measures must be taken by
Cadbury:
1. Cadbury must conduct market research before moving toward producing a new product,
as by performing market research it become able to get information regarding the current
need and expectations of customers which make it easier for company to formulate
strategies regarding the direction in which they have to move. In addition to this market
research also support in identifying the challenges that company can face while bringing
new changes so that proper actions can be performed which help in reducing the chances
of failure.
2. Cadbury can arrange regular training programs for its employees on regular basis that
support in enhancing their skills and capabilities which help in preparing them for future
challenges which make it easier for them to accept the changes (Peters, 2012). This is
because by getting regular support and training, employees become habitual to the
changing environment that simplify the process of implementing changes that sometimes
have negative impact if changes not get accepted by employees as it directly influence
their performance and productivity.
3. Cadbury must focuses toward evaluating the political, social and economic condition of
particular region before starting operation in that particular area. This help in formulating
effective strategy as per the situation prevailing in market place that support in reducing
the chances of negative impact. This is because these factor has more negative influence
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over the organisational operations by evaluating these sources, Cadbury be able to
determine the threats present in environment so that strategies to deal with these issues
can be formulated.
M2 Appropriate theories and models to evaluate organisational response to change
These all are the measures that Cadbury can undertake while implementing the changes
in order to avoid the negative influence of such changes. But apart from this Cadbury must also
focuses toward implementing change model while bringing any kind of changes in organisation
which help in providing a direction for step by step evaluation of changes (Quinn and et. al.,
2012). This can be better understood using following model:
Kurt Lewin's Change Management Model:- It is considered to be one of the most
effective model for implementing changes in organisational operations and minimising the
negative influence to ensure successful implication of changes. Cadbury can use this model for
bringing changes to organisation which support in managing the quality of performance and
Cadbury be able to achieve competitive edge at marketplace. This model is of three step i.e.
unfreeze, change and refreeze. Firstly, Cadbury can organise a meeting for its key person for
identifying the requirement of bringing changes so that proper plans can be formulated for
implementing this changes. Once the changes to bring, people involve in changes get proper
training or direction of their work next step is to implement the changes. After the
implementation face, when employees get introduce and become familiar with the new system,
next step is to engage people in new system and instructing them regularly so the chances of
error can be reduced.
PDCA Cycle:- This model is basically used by the organisation for impr0oving,
managing and controlling the operations performed by them because this model focuses toward
standardizing the information for minimizing the occurrence of error by taking crucial decisions.
This model focuses toward four major elements such as plan, do, check and action (Stanleigh,
2013). Cadbury can implement this model by minimizing the negative impact of changes. In this
model firstly Cadbury must evaluate the relevant information in order to plan for changes that
are required to bring for current problem. After preparing a plan next is Do phase where a
particular solution would be implemented and its outcome will be then compared with planned
performance in under confirmation stage. After this stage in final step the gap found between two
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