Organizational Change Management at Creative Packaging Ltd: Report

This report examines the organizational change and restructuring at Creative Packaging Ltd (CPL), a Tanzanian packaging firm facing expansion challenges. The report diagnoses the need for change, stemming from market shifts and the introduction of a new division, and addresses the impact on stakeholders including employees, shareholders, and customers. It explores ethical considerations and recommends leadership strategies, such as the use of autocratic and participative styles, and the application of Lewin's Change Model to navigate the transition. The analysis covers organizational theories and their relevance to the topic, and the report concludes with recommendations for successful change management within CPL, emphasizing the importance of adapting to a dynamic business environment and managing workforce dynamics. The report highlights the need for CPL to effectively manage potential conflicts, address ethical concerns, and implement cost-effective measures to ensure successful expansion and maintain profitability.

TABLE OF CONTENTS
1. INTRODUCTION......................................................................................................................2
2. BACKGROUND & SITUATION............................................................................................3
2.1 Creative Packaging Ltd (CPL) – Organisation & Business..............................................3
2.2 The need for organisational review and restructuring.......................................................3
3. DIAGNOSIS OF THE CHANGE............................................................................................3
3.1 Organizational change...........................................................................................................3
3.2 Need of change at the workplace...........................................................................................4
3.3 Factors that are contributing to the organisational change problem.................................5
3.4 Organisational change problem and challenges................................................................6
3.5 Impact of the change on all stakeholders..........................................................................6
3.6 Ethical issues that emerge as a result of the change..........................................................7
4. MANAGING CHANGE..........................................................................................................8
4.1 Organisational theories and how they relate to the topic or issue.....................................8
4.2 Organisational Leadership and how it relates to the topic or issue...................................8
5. CONCLUSION AND RECOMMENDATION.........................................................................10
REFERENCES..............................................................................................................................12
APPENDIX 1.................................................................................................................................13
APPENDIX 2.................................................................................................................................14
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1. INTRODUCTION
Organizational change is crucial for business as it becomes an important task to gain new
markets and opportunities for more growth and revenue by making continuous improvements in
business processes (Anderson and Anderson, 2010). In the similar fashion, organizational
restructuring is defined as a process by which a company changes its internal structure through
revamping departments, ownership, or operations and processes. The study herewith is based on
a case of Expansion at Creative Packaging Ltd in which the business is faced with an
organizational Change Problem. Through the expansion into functional division and by acquiring
new staff, the management of cited company is going to implement changes in functional and
operational areas. In change management process, the business is going to face the problem of
managing the workforce and conflicts between existing and new staff. At the time of
implementing change in the organization, Creative Packaging Ltd is going to consider interest of
employees, shareholders, customers and government. To cope up with the issue the cited
company is suggested to make use of improved leadership style, therefore, autocratic style is
suggested to handle new staff and participate style is recommended for managing old staff. In
addition, Creative Packaging Ltd is recommended to use Lewin's Change Model to gain support
from existing staff for successfully implementing change.
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2. BACKGROUND & SITUATION
2.1 Creative Packaging Ltd (CPL) – Organisation & Business
Creative Packaging Ltd is one of Tanzania's driving versatile packaging firms
incorporated into the manufacture of printed plastic created utilizing virgin and reused plastic
granules; a by-result of the petroleum business. The firm began operations in the year 2008
whereby it employs a staff of 100 people at various levels of the chain of importance of authority
with a yearly turn-over of US Dollars 8 million.
2.2 The need for organisational review and restructuring
Associations are constantly required to acclimate to a changing space remembering the
finished objective to keep up their position in the business part and significantly more so if they
are to truly create (Biedenbacha and Soumlderholma, 2008). CPL is confronted with an
authoritative change issue as they have set eyes on expansion whereby they would make a rate of
the plastic film locally as opposed to importing it so as to whip rivalry and keep pace with the
evolving environment. Thus, the entire affiliation should be rebuilt as CPL needs to settle on
essential choices on the most capable technique to use existing talent and were the place best to
fit new workers.
3. DIAGNOSIS OF THE CHANGE
3.1 Organizational change
From a long run, organizational change is considered as important issue within
organizations however, it has been seen an important step which is being considered
for optimizing performance. According to Raineri (2011) it occurs as a reaction to an ever-
changing environment, current crisis situation or effective strategies held in the marketplace. The
fact is witnessed that change management is crucial to manage change at the workplace while
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achieving required business outcome. It has been further argued that organizational
change incorporate effective use available resources to improve performance of business.
Nonetheless, organizational change is occurred at the time when company thinks for
transiting from its current state to some desired future state. But, it has to face some risk
associated with the business. To the view point of Dunphy and Griffiths (2014) managing of
organizational change is an important process. The organizational change is the major aspect of
business that deals with resolving the problem that are being faced at the workplace. In some
case, however, companies recognize the need of changes and go for the exploit new potentials
dormant in the organization in different circumstances. The company is going to understand the
current state of the organization which involves identifying problems the company faces, and
identifying the need of change at the workplace (Dunphy and Griffiths 2014).
3.2 Need of change at the workplace
The investigation carried out by Brown and May (2012) stated organizational change as a
process by which companies move from their present state to some desired future state with an
aim to increase their effectiveness. In other words, change is vital in case an organization desires
to avoid stagnation which further increases present competitive business (Brown and May,
2012). Organisational change as a ‘new way of organising and working'. Th investigation has
represented that various industries and organisation must able to adhere different organisational
change through responding, harnessing or initiating and provoking effect approaches that can
lead to positive change. The change is practised at the workplace so as to cope up with different
needs of target market within the global environment. Nevertheless, organisational change lead
to change in politics of power and control to make transformations in the departmental level.
The author further found the change as a task to work differently to cope up with emerging
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changes within the organisational environment. However, the change at the workplace can be of
two types proactive or reactive. The author has supported the fact that a proactive change is
necessarily to be planned to be prepare for anticipated future challenges. This kind of change is
initiated by the management. On the flip side of a coin, reactive change is said to be an automatic
response to a change which has taken place in the environment. By explaining the concept of
Change Management Benn, Dunphy and Griffiths (2014) said that it is a structured approach
which is used for transitioning individuals and teams within the organization from a current state
to a desired future state. The concept is applied at the workplace to maximise the joined benefits
for all people who are involved in the change (Dunphy and Griffiths, 2014). However, the
application of change management can further lead to and minimise the risk of failure to change.
Cawsey Deszca and Ingols (2015) have stated that when as specific change is to be implemented
at the workplace, it leads to transform into a new management style. Furthermore, it occurs and
largely affects the power dynamics within a company (Cawsey, Deszca and Ingols,
2015).Nonetheless, organisational change can be further resulted into power conflicts because
the employees may not be supportive to new leadership and can show their resistance towards
changes. The change in leadership style may lead t shift in power-dynamics which may bring
number of conflicts at the workplace hence, may affect the implementation of the organisational
change.
3.3 Factors that are contributing to the organisational change problem
Business expansion is the significant center of CPL, along these lines, they should
witness a noteworthy change in hierarchical exercises inside of the association emerging from
the improvement of another division and enrollment of new staff. The adjustment in business
sector structure and the main interest of plastic film item are the central point adding to the
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hierarchical change issue (Raineri, 2011). Because of the intense abatement in oil costs, CPL has
been confronting broad rivalry locally and globally consequently the choice on development to
make a small amount of the plastic film as opposed to importing the same in this manner
bringing down the general creation costs.
3.4 Organisational change problem and challenges
Critical changes are to be confronted by the organization throughout the route of
structural transformation. For outlining other division, the organization requires to have
additional staff which will prompt change in existing society. To deal with the workforce which
might originate from different social orders will be a testing assignment of business. As in the
wake of thinking of new divisions, there might be a few clashes in the middle of existing and
new staff which is seen as an issue for business. Internal contention between new staff and old
staff relegated for near kind of capacities can be a reason of conflict. The expense of business
will be expanded for gaining new staff. Subsequently, CPL might start some cost cutting
measures, for example, diminishment in the hours of an improvement to reducing compensation
levels. The arrangement of answering to bosses would likewise change which would prompt
break in trust and character between the representatives and administration.
3.5 Impact of the change on all stakeholders
Associations have structures, which can be determined as far as vertical and flat
separation (Hall, 1991). Authoritative rebuilding is about the change of such separation (Zhiang,
2000). Change in such separation will create noteworthy effect on different partners of business.
The significant partners of the business are shareholders, supervisors, representatives and
customers. Shareholders expect for good profits for their venture as the extension technique of
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business is relied upon to be productive for them. It is urgent for the administration to consider
the enthusiasm of representatives. Representatives as the objective of progress are integral to the
achievement of the change endeavours in light of the fact that their states of mind, abilities,
inspirations and fundamental learning shape a noteworthy segment of the hierarchical
environment in which the change is to be endeavoured (Smith, 2005). The Senior/Middle
directors need to guarantee the association keeps up productivity with a specific end goal to be
gainful by clearing up lines of obligation, reporting, correspondence, and responsibility and
distinguishing proof of chances for realignment to coordinate hierarchical needs, abilities,
capacities and expertise sets. An unsuccessful change will bring about wastefulness and low
profitability which can make dissatisfaction to end-clients of the film and at last losing them for
eternity.
3.6 Ethical issues that emerge as a result of the change
It was shown that there could be some contention issues among old and new staff
individuals. In any case, the moral issues at the working environment is found as inclinations of
administration with respect to the HR approaches intended for new and old staff individuals. The
organization needs to maintain a strategic distance from such moral issues by treating everybody
similarly at the work environment. CPL is included in assembling business henceforth, it is basic
to consider moral practices that are polished in an assembling unit. Also, the business needs to
consider that the creation capacity or exercises are not harming to the customer or the general
public.
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4. MANAGING CHANGE
4.1 Organisational theories and how they relate to the topic or issue
It is extensively assumed that the way an affiliation conforms to change is major to its
thriving. In a continually extending centered environment, change is pervasive and the way
laborers respond to change has been perceived to lay a key part in the change organization
process. Since change activities could prompt transformational come abouts or could likewise
prompt disappointments, it is essential to investigate authoritative change models for the sole
purpose of driving and overseeing change effectively (Smith, 2011).
There are numerous change models and no one model is correct. Kotter's (8 Step model)
and Doppelt's (7 Step model) give helpful systems to comprehension and dealing with the
perplexing progress of authoritative change. A key contrast is in their investigation of the
arrangement and structure of progress. Kotter sees requirement for a basically liner and step-wise
grouping while Doppelt's however sees the procedure as much messier and less straight process –
one in which associations step in reverse and advances between the different mediations
regularly with action happening in numerous stages simultaneously (Smith, 2011). CPL can be
isolated to be taking after a flat structure subsequently imagines development as arrangement of
straight arranged occasions. It is suitable to utilize the Lewin's Change Management Model
which includes utilizing three noteworthy strides of progress which are "unfreeze, change and
refreeze" (Smith, 2011, p.115) that are to be executed at the work environment.
4.2 Organisational Leadership and how it relates to the topic or issue
Within the change process, the role of the change agent is crucial as it involves control
over the behaviours and actions. The individuals at the managerial posts may need to be taken
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specific approaches towards managing new workforce. The author has further said that
controlling interpersonal relations and making decisions. For this purpose the leaders are said to
be responsible for ensuring that group activities are to be completed at specified time. From the
investigation of Brown and May (2012) it has been cleared that management need to be clearly
identify a vision for the change process in which they must clearly who, what, why, when, and
how the change can be implemented at the workplace. The management need to create a vision
of change so that the stakeholders can clearly see their role and core values of the business
(Brown and May, 2012).
Furthermore, it has been accessed that organisation engaged in implementing change at
the workplace so that implement can be made in business functions. The initiatives towards
changes are taken to improve flexibility and to develop and appoint multi-skilled workforce.
However, to implement the change at the workplace the leaders and workers need to be multi-
skilled so that the cost can be reduced for making innovation in business. Sometimes. To
successfully carry out the changes the organization has to hire new workforce as well as the
redundancies can be avoided for lack of skills. In a similar line, company avoids delays in the
process of organisational change. Within the wide literature available in respect with the
organizational change, it was found that time-management skills are important because both
change leaders and follows must be skilled in allocating time to each new activity. The role of
leadership in implementation of change is important, it has further found that effective leadership
can be suitable of positive team functioning, nonetheless, at the workplace multiple leadership
styles can be adopted to successfully implement the change at the workplace.
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Aimed at impeccable performance, the change organization process must be meticulously
masterminded and the weight is on the pioneer to ensure convincing utilization through sensible
orchestrating, conviction, and effective essential authority and standard and helpful
correspondence with agents. Enhanced, consolidated administration styles will have to be put
into practice to accomplish the wanted results. The CEO and top-administration at CPL might
need to be valid in successfully speaking with the representatives on the change amalgamated
with being participative to include points of view from the current group, in spite of the fact that
the sole choice would lay on the CEO and being transformational since change requires vision
and era of procedures to understand the vision. The thought of co-organization delineated by
Heenan and Bennis (1999) as two (or more) pioneers in vertically adjoining positions who share
the commitments of activity (Jackson and Parry, 2008) would likewise be valuable since the
CEO can't be all over, inevitably. For new staff, authoritative style will possibly be helpful as
recently delegated staff would be ignorant with the way of life. Then again, for old staff the
democratic/participative style would be suitable in which representatives will be given
equivalent possibility. (Jackson & Parry, 2008).
5. CONCLUSION AND RECOMMENDATION
From the above section analysis, it was identified that demand of product, cost reduction
and change in market structure are the major factors contributing to the organisational change
problem. However, Lewin's Change Management Model is suggested to be used at the
workplace to proper management of change at the workplace. The report concluded that change
in market structure are the major factors contributing to the organisational change problem. The
analysis of whole case of Creative Packaging Ltd, it has been witnessed that the company is
going to change organizational activities of business that lead to development of another division
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and enlistment of new staff therefore, it has to focus on effective human resource management.
As the company is going to hire new staff hence, it has to convey corporate culture to them so
that situation of conflict can be reduced. Some technological changes can be adopted by the
organization to improve the functions as well as to reduce cost reduction. The major issue of
company will be the inward rivalry between new staff and old staff assigned for comparative sort
of functions can be a reason of clash so business is recommended to promote effective
communication and designing HR policies so that issue can be resolved.
The management is suggested to make use of autocratic style for new staff, so they will
be aware with the culture and should be trained. However, for old staff democratic leadership
style and participate style will be suitable. Here the business entity is also recommended to make
use of Lewin's Change Management Model so as the staff can be motivated for having proper
management of change at the workplace. Proper monitoring of new staff's activities and the
operations of new division will be helpful, hence, weekly monitoring is suggested. The cited
company is recommended to follow organizational change cycle, for keep a continuous look out
and access the change that has taken place at the workplace. First of all the business entity has to
identify and plan out organizational change activities of business which might lead to
development of another division and enlistment of new staff after the a whole assessment of
business process must be there at the workplace along with identifying the impacts of change.
The business entity must identify the impacts of change on stakeholders and how these are
profitable for business. The last but not the east process will be of monitoring change in which
the whole activities relating to change will be monitored.
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REFERENCES
Anderson, D. and Anderson, L.A., 2010. Beyond change management: How to achieve
breakthrough results through conscious change leadership. John Wiley & Sons.
Benn, S., Dunphy, D. and Griffiths, A., 2014. Organizational change for corporate
sustainability. Routledge.
Brown, W. and May, D., 2012. Organizational change and development: The efficacy of
transformational leadership training. Journal of Management Development, 31(6), pp.520-
536.
Cawsey, T.F., Deszca, G. and Ingols, C., 2015. Organizational change: An action-oriented
toolkit. Sage Publications.
Change Management models, 2015. [Online]. Accessed from
<http://www.slideshare.net/oeconsulting/change-management-models-by-operational-
excellence-consulting>. [Accessed on 16th April 2016]
Harris, M., 2015. Organizational Change Cycle. [Online]. Accessed from
<http://www.rflcbcommons.net/mgmt450sp15/2015/03/29/organizational-change-cycle/>.
[Accessed on 16th April 2016]
Krüger, W., Bob, D.W. and Ron, M., 2010. Implementation: the core task of change
management. Strategy—process, content, context. pp.212-224.
Raineri, A.B., 2011. Change management practices: Impact on perceived change results. Journal
of Business Research. 64(3). pp.266-272.
Shirey, M.R., 2013. Lewin’s theory of planned change as a strategic resource. Journal of
Nursing Administration, 43(2), pp.69-72.
.
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APPENDIX 1
Lewin's Change Model
(Source: Change Management models, 2015)
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APPENDIX 2
Organisational Change Cycle
(Source: Harris, 2015)
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