Cadbury: Analysis of Change Management and Leadership Approaches

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This report provides a comprehensive analysis of Cadbury's approach to change management and leadership within the dynamic business environment. It begins by comparing Cadbury with Hershey, examining the impact of change on their strategies and operations. The report then delves into the internal and external drivers of change, such as customer demands, technological advancements, and competitor actions, and evaluates their effects on leadership, team dynamics, and individual behavior. It also explores measures Cadbury takes to mitigate the negative consequences of change on organizational behavior, including proper planning, employee participation, and positive reinforcement. Furthermore, the report investigates the barriers to change and their influence on decision-making processes within the company. Finally, it examines various leadership approaches employed by Cadbury to effectively manage and implement change initiatives, providing a holistic view of how the company navigates the complexities of organizational transformation. The report is contributed by a student and is available on Desklib, a platform that provides AI-based study tools for students.
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UNDERSTANDING AND
LEADING CHANGE
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Comparison between two organisation with impact of change on organisation's strategy
and operations.............................................................................................................................1
P2 Evaluation of ways through which internal and external drivers of change affects
leadership, team and individual behaviour..................................................................................3
P3 Measures taken by organisation to reduce negative impact of change on organisational
behavioural..................................................................................................................................4
TASK 2 ...........................................................................................................................................6
P4 Different barriers of change and their influence on decision making....................................6
TASK 3............................................................................................................................................7
P5 Different approaches of leadership while dealing with change.............................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11
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INTRODUCTION
Today's environment is dynamic. Hence there is requirement of change attitude and
actions also. There is importance of alteration in actions which affects the business growth rate,
productivity and employees performance also. As per the requirement of customer company has
to modify their plans and policies to compete in industry. It is not necessary that company has to
accept all the changes occurring in industry (Aslan and Reigeluth, 2013). Report is discussed
about CADBURY which deals in confectionery sector. This is second largest company in the
world. In this report discussion is done about internal and external drivers with influence the
decision making in any organisation. There are negative as well positive impact of changes. In
case of negative changes how company take measure to minimise them and motivate employees
to accept them. There are some leadership theories and approaches that are helpful in applying
changes in organisation. This report also discussed about different barriers that affect
organisation's performance and plans and policies.
TASK 1
P1 Comparison between two organisation with impact of change on organisation's strategy and
operations
These days there are changes in customers need. In case of change in competitor's
policies company has to make changes accordingly. Changes means alterations in current plans
and policies. These can be positive or negative. Management of company have to motivate
employees to work under modified circumstances. There are internal and external drivers which
affects the working style of company. They affects personality, performance of employees also.
It creates confidence in the mind of employees also, they feel competent to outer world.
CADBURY has big organisation having number of competitors. There are chances that some
employees does not accept such changes due to their resistance to old ides. There is requirement
of time and funds so in case company wants to apply any changes it is necessary that proper
analysis must be done (Brown, 2012). It is not necessary to adopt all changes top level
management has to check relevance of change. There can be utilisation of old idea with some
alterations.
In organisation like CADBURY there are revolt against change. It is important that
employees have ton accept the policies adopted by company. Sometimes it is not necessary that
personnel accept changes this affects the productivity. CADBURY is in confectionery sector that
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come with lots of new product. This will include cost and time also. Hence there are chances that
top level management has to analyse all aspects its pros and cons. There are chances that after
applying changes to their company performance may get down (Emira, 2010). It is important
that the change accepted by company have to be implemented effectively as if there is change in
environment, it proves to be wastage of resources and can lead demotivation in company.
Basis CADBURY HERSHEY
Financial resources CADBURY is a company
having many branches all over
the world. There should be
proper check of alternatives so
that it can be implemented
effectively.
This company has less number
of subdivisions. They are less
bother about minor changes in
environment. There is huge
cost incurred which is difficult
task for them.
Change in external factors External factor affects more to
large companies. They have to
reduce hurdles related to
macro environment. This is
important to maintain same
position in market.
HERSHEY is less affected by
external factors as compared to
CADBURY.
Communication barrier It is most important aspect for
successful implementation. In
big organisation there are
many levels due to which there
are chances of
miscommunication.
In HERSHEY there is easy
contact between superior and
subordinate. This makes easy
to understand how to deal with
changes.
Advancement in technology Any change in technique used
by company, it affects
CADBURY working and
operations. There is
requirement to upgrade its
technology so that easy to
To make changes in
technology HERSHEY require
funds which is challenging for
small firm.
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work and employee are
satisfied.
P2 Evaluation of ways through which internal and external drivers of change affects leadership,
team and individual behaviour
Leadership is a way of influencing the behaviour of others through practical examples set
which inspire their team members. External environment is dynamic and changed according to
needs, preferences and choices of customers (Fullan, 2014). This require organisation to alter it
policies, procedures in order to remain sustain in market. Every alteration in business strategy
shows both positive negative impact on performance of organisation. Leader most significant
role under it to organise a session for internal employees and discuss all queries, negativity they
feel from modifications. Cad bury is UK based company work in FMCG sector also influenced
by internal external drivers that affect leadership and individual behaviour:-
External Drivers Customer led drivers:- These drivers considered most important dimension that impact
on the success factor of organisation. Company need to scan the environment in order to
analyse the external factors to know the changes occur in outside market. For example
CADBURY is largest chocolate company always try to come with distict varieties of
chocolate in order to satisfy customers. Technology led drivers: In today era market is run just because of technological
invention done everyday. Various start-up come with their innovative idea and if it is
liked by customer then come under the hotlist of market. For gaining competitive
advantage CADBURY need to maintain their brand image with advanced products. Competitors led drivers: This factor is a challenging point for all the business individuals
because company strategy operations are affected by competitors tactics. Therefore to
maintain goodwill and brand image organisation top management need to focus on niche
market requirement to order to gain competitive advantage over competitors (Fyke and
Buzzanell, 2013). Government led drivers: Policies and legal compliance of government affect the stability
of successful business. New formation in existing law impact on vision of company. For
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example CADBURY has to organise PEST analysis to deal with all circumstances so
framing competitive strategies reduce all the threads of external environment. Economy led drivers: They are related to economic policies, system prevail in
organisation. Situation of inflation, unemployment affect working environment of
company. CADBURY has to consider all the factors that affects the leadership and
individual behaviour.
Internal Drivers Quality products and services:- CADBURY is top most company in FMCG sector
diversified their products in all over the world. In order to maintain the position in
beverages sector manufacturing department focus on improving the quality of their
products (Gupta, 2011). Innovation:- Today all the company spend their money on research development sector
in order to get best innovative techniques that prove successful and give higher returns in
future. For example CADBURY need to innovative such products and services especially
in niche market which provide competitive edge over competitors. Organisation culture: Company has to trained their employee in such a way that they are
familiar with all the languages in which their branches situated. For example CADBURY
expand in various places so training development program organise in various place so
workforce aware about all the languages and it is easy to communicate with different
customers.
Employee morale:his factor wholly depend on the leader quality that how beautifully
influence their team members that enhance their morale at the time of achieving their
daily targets. For example CADBURY engaged in FMCG business so leader need to
concern all the monetary and non monetary factor that increase employee morale.
P3 Measures taken by organisation to reduce negative impact of change on organisational
behavioural
There are various ways applied in organization to reduce the negative changes. Through
it workers can perform efficiently and effectively. All activities and tasks run successfully. Thus
performance of company gets improved and leads to growth in long run. There are various
methods to reduce adverse impacts on CADBURY firm are -
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Proper planning - Company has to make various plans and programmes to improve the
business performance. This leads to effective and efficient functioning of every
departments (Hallinger and Heck, 2011). Thus all activities and tasks run successfully.
Staff members can perform with full passion and dedication. So company's overall
performance gets improved and there is generation of more profits. Thus firm can
maintain unique position in the industry and can expand their business. Participation in meetings and seminars - Organization can make various seminars and
workshops which helps in motivating various employees. This helps in increasing the
energy and enthusiasm level of workers to perform better. They give good results in
minimum time. Employees never gets demotivated by attending these workshops. So it
leads to development of workers. Thus it leads to improved performance of organization.
It leads to success in the long run. Interview employees - There are various types of interview sessions needs to be
conducted. If there are any changes managers and leaders needs to solve the problems of
staff members. This helps them in improving their performance. So workers can work
efficiently and effectively. They also take feedback and suggestions from employees so
that firm can make changes in the policies. So workers can work better (Hintz and Bahia,
2013) . Concentrate on delegation - If there any changes organization can delegate the work to
all employees. This helps the manager to reduce the workload and can focus on important
activities and tasks. So this leads to efficient functioning of the departments. Workers
can also get responsibility of work. Staff members can perform efficiently and
effectively. Thus it increases the productivity and organization can perform better .They
can also maintain unique position in the market. Commitment of employees - Organization tries to get commitment from employees by
explaining the goals and objectives. Thus they can know the direction in which they had
to move. So hence members commit to firm that they can perform better. This helps in
removing the doubts and problems in minds of employees. Thus they can give good
results. It leads to increasing of organization's productivity. Positive attitude - Organization tries to solve all problems of employees so that they can
perform better. They tries to generate positive attitude by giving solution to their
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difficulties. It generates a positive attitude among them (Jones, 2011). Workers help
each other which generates helps in maintaining a friendly environment. So thus they can
work with full dedication and passion to achieve their goals.
Praise employees - Organization tries to give rewards to various employees on their
good performance. This helps in increasing motivation level of workers and they can
perform better. Remaining staff members also had feeling of competition and they also
works well to achieve their goals. Thus it helps in reducing conflicts and maintains
peaceful environment in the firm .
M1 Different drivers of change and organisational change that affects company
Internal and external drivers affects the company performance and their decision making
techniques. External drivers are not in control of company and are unpredictable, but company
can take measures to reduce them . Internal measures can nullify if company take care of their
stakeholders as well with company's organisation. These factors improves the goodwill of
company. Innovation and quality products helps in customer satisfaction and keeps same image
in industry.
M2 Theories and models to evaluate organisational response to change
Organisational actions get affected with the use of theories. According to Aslan and
Reigeluth, 2013 there is requirement that top level management has to take care of impact on
performance. It is important that employees views has to be taken into consideration. In case of
flaws it has to be corrected. Firstly activities are performed then its outcome has to be evaluated.
There are various outcome like immediate, middle and finally last goal of performing that
change. It is important that changes that take place has to be evaluated at regular interval so that
final goal be achieved.
D1 Conclusions and recommendations for planning effectively and its impact
Planning is most important task of CADBURY to level management. This proves helpful
in making any change in operations. It is important that company has to analyse available options
before implementing, this helps in improving its effectiveness. There must be regular check done
so that workers are also energetic related to their roles and objectives. This gives positive signs
in accomplishment of objective of company.
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TASK 2
P4 Different barriers of change and their influence on decision making
Change in environment causes change in companies policies. There are negative and
positive effects from such changes. It is not necessary that company has to accept all the changes
as it is. As per culture of company there can be modifications in plans. There are barriers also to
apply such changes in company. Manager try to reduce the negative effects of changes. These
alterations may give long term benefits to company (Latham, 2013). So management has to
communicate with workers of company and tell them about pros of change. Barriers faced by
CADBURY are- Situational resistance to change- Sometimes there are chances that some changes are not
accepted in ever situation. In this case it is necessary that manager have to guide
employees at what place how and why it can applied. It proves to be beneficial and it
shows that company has flexible as per convenience. Improper communication- Communication is important for any organisation. It is
important because there is flow of final decision and informations in overall company. In
case of improper communication there will be chances of wrong deeds done by
subordinates. There is confusion among employees. Lack of leadership: To make task done in efficient manner it is important that directions
are given by top level management to subordinates. This makes them clear about what to
do , how to do. In case of any change taken place in organisation then also it is must that
employees are aware about what changes affects what. Self-efficiency perception and resistance to change- There are varieties of employees in
the company it is necessary that they are clearly known about changes. But they have
different perceptions regarding changes taken place in company. Manger has know the
difficulty in accepting that change and tries to reduce its queries. Employee resistance- This is also a big hurdle faced by company. There are employees
in company which are not ready to accept changes. They feel pleased to do what they are
doing historically. Some old employees are rigid to what they like top do. They have fear
of losing job.
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Office politics- There is an environment in corporates which mean some people are in
favour an idea, while other rejects it. It proves to be difficulty for top level management
to agree all the employees regarding change.
Lack of consensus- To apply any change in organisation it is necessary that there is
acceptance of all personnel. If there is rejection of an idea then management face
difficulty in making in acceptable by all them (Nkomo and Kriek, 2011).
M3 Force field analysis to analyse driving and resisting forces and its influence on decision
making
There is requirement to know the impact of change on employee's performance and
decision taken by top level personnel. In case there are negative results then reasons have to be
analysed and proper action has to be taken. It is not necessary that every individual accept
modification easily, so make them comfortable with that change and call them in favour of that
change. Proposed change has to be delivered to personnel properly, tell them relevance of that
change. Barriers are to be analysed so that they can be reduced.
D2 evaluation of force field in achieving organisational goal
CADBURY has goals and objectives to establish their brand and make its relevance in
market. This can be achieved if they accept changes occurring in market. According to Brown,
2012 it is important that manager has to deliver the importance of modification. It is
responsibility of company to tell how it proves beneficial in creating existence in market. Some
employee's do not accept changes but leader has to attach that change with individual's personal
benefit.
TASK 3
P5 Different approaches of leadership while dealing with change
CADBURY is an organisation which has vast employees and branches all over the world.
There are chances that there is conflict in applying any change in the organisation. There are
many competitive of company due to this company has to make change in their plans and
policies. Company has to use different approaches to make employees motivated to accept
change. CADBURY uses following technique-
Participative style- Other name of participative style is democratic. As the name suggests
there is right to employees also provide views and ideas in case of any issue. There are good
chances for company as well to get new ideas of from different personality. It improves way of
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thinking of individuals and they feel competent as they are valuable asset for company. This will
help management of company to apply changes in the organisation after getting views of
employees.
Transactional style- This style works on carrot and stick approach. There is specific task
assign to team then as per performance employees are rewarded or punished. This makes
employees in fear of punishment. This makes competitive environment in company. Employees
working in team will also try to achieve target in time because in case of wrong working whole
team will punished. This helps in improving efficiency of employees as they learn from other
employees (Nowell and Harrison, 2010).
Situational leadership theory- Situational leadership theory is also used by CADBURY
to motivate and guide its employees. There is change in managers behaviour as per change in
situation. Management has to take care of individual's personality while insisting them to accept
change. In company there are various types of employees some get influenced giving direction
while some wants support from others to achieve target with new ideas. It states that company
has to apply flexibility in their operations.
CADBURY is a company which has many competitors in industry. They have to adopt
plans and policies as per need of customer. If they do not accept changes customer will not get to
buy their products. Hence management of CADBURY have to motivate its employees to accept
alterations happening in market. They should know the benefits of changes, this must be co
related with their growth also.
Company can also apply Kotter's 8 step change model. This model is useful in creating
environment of growth and development. In case of any change in company policies managers
have to deliver the duties and responsibilities (Parsons and Cornett, 2011). Increase urgency- changes that has to implemented manager should tell the importance of
it to employees. Team building- After telling importance and benefits it is important that team is build .
Team work will help in creating positive environment. Vision- It is necessary to share objective which has to be achieved. It is important that
leader has to tell workers benefits of alterations.
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Communication- CADBURY is an organisation where large number of employees are
engaged. It is important that proper communication has to be done in case of any
modification. So that there is no confusion regarding what new is happening. Problem resolution- There are many problems face by employees to when something
new is implemented in organisation. Leader should try to reduce all problems faced by
subordinates. Create short term wins- Company has many objectives. There is provision of
appreciation as short term objectives is achieved by personnel. This will boost their
confidence and improve efficiency (Poloczanska and et. al., 2013). Don't let up- Some change are tough to accept or there are hurdles in accepting changes,
even though management has to try best that employees do not quit.
Commitment to changes- There are problems faced by company in accepting
modifications. Still they should try to stuck with what changes are made (Spiro, J.,
2010). Therefore it is necessary that there is flexibility in policies of organisation.
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