Organizational Change Management Report: B.R. Richardson Analysis

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Running head: CHANGE MANAGEMENT
Organizational Change Management
Name of the Student
Name of the University
Author’s Note
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1CHANGE MANAGEMENT
Executive Summary
The aim of the report focuses on changing the organizational situation and developing it
accordingly for increasing organizational performance. The first part of the report describes
the current organizational situations and identifies the issues related. The issues that are
identifying in the report exist in multiple level of business organization. The workers need
motivation for demonstrating better efficiency in the workplace. They are lacking for various
reason highlighted in the report like no performance management, absence of appreciation for
job well done and others. Some recommendations are with accordance to address the issues
identified. The actions required for the recommendations bringing change are prescribed in
the final part of the report. Following the guideline can bring potential changes in the
organisational performance.
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2CHANGE MANAGEMENT
Contents
Executive Summary...................................................................................................................1
Introduction................................................................................................................................3
Current Organizational Situation...............................................................................................3
Organizational Environment..................................................................................................3
Industry Structure...................................................................................................................4
Lamination Plant Structure.....................................................................................................4
Technology.............................................................................................................................4
Strategy...................................................................................................................................4
HR Management.....................................................................................................................5
Organizational Culture...........................................................................................................5
Issues identified..........................................................................................................................5
Proposed Recommendation and Justification............................................................................6
Implementation..........................................................................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................11
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3CHANGE MANAGEMENT
Introduction
The company under study is B.R. Richardson Timber Production Corporation
founded by Ben Richardson. This is a small company situated in Papoose and is comprised of
four small companies. Three of them are situated in Papoose and are operating in logging
operation, lumber mill and laminating plant industry. The study is on the lamination mill of
the company that is currently facing some issues. The organization is evidencing decreased
productivity due to the lack of motivation and morale breakdown of its employees.
Company’s industrial relations officer Mr. Richard Bowman and the president B.R.
Richardson is concerned about the situation and seeks help in organizational development for
improving production. However, the president hesitates to spend too much money for the
cause.
The aim of the report is to analyse the current situation of the company and identify
the issues affecting the organizational performance and employees’ motivation. The report
will present an in-depth analysis of the current situation of B.R. Richardson with the help of
the theories and model of management. The second part of the report reflects the prescribed
changes required in relation with the identified issues for development of the situation. The
final part prescribes the actions for implementing the changes in the organizational setting.
Current Organizational Situation
Different theories and models of management are implemented in order to critically
analyse the issues of current organizational situation.
Organizational Environment
The external environment of the company is a simple one and moderately uncertain.
The overall business is economically stable and running in profit. The lamination plant is
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4CHANGE MANAGEMENT
reflecting a standard revenue generation since its initiation days. The organization is
comprised of four small companies as mentioned earlier. Environment in the lamination plant
is excessively noisy due to the machineries such as saw, conveyors and hoists specially
planer. The facility is built in a cargo design that makes the atmosphere hot and hard to work
in. Moreover, the lack the workplace safety policy and accidents frequently occur due to this.
Industry Structure
B.R. Richardson is a family owned corporation with four dispersed companies out of
which three are in Papoose. Forest Service and BLM is the primary supplier of timber to the
company (Datta, Iskandar-Datta & Singh, 2013). Only 30% of the lumber used in Lamination
Company comes from Richardson mill and the remaining 70% is collected from the Orgeon
companies like Bohemia, Weyerhaeuser, Georgia-Pacific and few more.
Lamination Plant Structure
Functional structure is observable in the lamination plant. A clear ignorance of
innovative management is visible in the plant that is resulting into significant fall in
performance management. This ignorance resulted in dysfunction of the management that is
now posing negative impact on the operations. The primary reason of the structure being
weak is the lack of technological integration due to short budget set by the president and the
lack of teamwork. This is a failure of the management to make the employees work as a
team, which could have proposed innovative ideas required for the improvement in operation.
Technology
A sure negligence of investing on the technological up-gradation is visible. The
communication line in the company is fragmented and lacking adequacy at all levels.
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Strategy
Business strategy followed by the company is cost control strategy that refrains from
incurring small innovation, HR Development. The strategy also feels reluctant in
implementing proper health and safety standards around the work place as evidenced from
the survey.
HR Management
Human resource department is completely absent in the lamination plant. The higher
authority to track the employees’ performance level utilizes no performance management
tool. The authority holds old school philosophy in case of employee motivation and
compensation benefits, rewards and recognition. Only few top management were select to
receive bonus from only if it was absolute necessary. Introduction of safety related incentives
took place by not initiated. There is no visible consideration for the contribution of the
committed and loyal employees of the company. The authority fails to see through for
creating and retaining of the employees (Armstrong & Taylor, 2014).
Organizational Culture
The case evidences a poor organizational culture and high level of dissatisfaction,
unrest and frustration among its employees. The management is production oriented and
forces the employees to do overtime during the pick seasons. No humanitarian value is given
in the workplace (Alvesson, 2012).
Goal – No clear evidence of goal is present as evidenced from the case study.
Leadership – Lack of leadership skill is present in the organization and lack of coordination
between manager and supervisor is present in the organization. Discrimination among the
employees are also visible from the case where some are compensated of their absent without
clear reason (Northouse, 2015). Moreover, there is no proper guideline for completion the
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task of the absent employee as some other is command from some other specialization to fill
the required position. This also reflects the poor task structure and no recognition is give for
job well done (Giltinane, 2013).
Issues identified
The above-mentioned information identifies several issues prevailing in the
organization that requires immediate attention. They are as follows:
 Absence of Human Resource Department
 The company lacks clear mission and vision statement and strategic goals
 Lack of communication is another serious issue evidenced in the organization. The
problem lies in every level of communication in the organization and the authorities
are unaware of each other’s actions.
 Lack humanitarian culture in the workplace.
 Absence of performance management tool
 Appreciation of hard is absent in the organization and the employees never receive
compensation or reward. It often demotivates the employees.
 Deficiency in the workforce to carry out the additional work load of the absent worker
 Absence of health and safety measurement in the workplace is a critical violence of
CSR. The employees only get insurance benefits on the loss of figure or toe during
work. Work environment in the summer times gets worse due to the lack of
ventilation in the facility.
 Lack of leadership skills is present among the managers and supervisors that fails to
motivate the workers and increase the production.
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Proposed Recommendation and Justification
Organizational change is essential for the organization to improve its productivity.
Some of the major issues have been state in the above section. The following solution can
potentially address the particular issues.
Health and Safety – The health and safety policy of the firm needs immediate attention for
creating work environment in the plant. This will provide assurance to the employees, which
can potentially bring back their moral to the organization (Reese, 2015).
Mission, Objectives and Goal – These three factors play important role in value creation for
the organization to its stakeholders. The company needs to set its goals, objectives and
mission more performance oriented to encourage the workers. It will keep them focused for a
particular target that the company needs to attain. Katzenbach and Smith (2015) argue about
the importance of goal and objective of a business organization and demonstrate its capability
of focusing and achieving the maximum performance of the workers.
HR Department – The Company should open its human resource department to smoothen
the operation in the plant. The HR policies, planning and strategies will keep the employees
attracted towards the company and contribute in creation of intellectual human capital for the
organization. It will also influence the recruitment process (Bratton & Gold, 2012). Budhwar
and Devrah (2013) in their book ‘Human Resource Management in Developing countries’
has stated the importance of human resource in the business organizations over several
developing countries. They have supported their statements with statistical evidences of
change in the organizational performances in countries around the world and their progress
after adopting HR department.
Leadership – The plant shows poor leadership in managing the workplace and motivating
the workers to work. However, many of the employees from the plant show potential for
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8CHANGE MANAGEMENT
effective leadership that remains untapped. A proper leadership training of the selected
employees can reflect potential benefits for the plant Daft (2014) states that the leadership
skills have a multiple benefits in the organizational settings. Some of the useful and important
parts where it is useful are communication, relationship building, influencing the employees
and motivate them for work and many more. It helps the manager to change the overall
workplace environment and make it more fun to work in. It also helps in taking efficient
decision related to work (Kibbe, 2015; Odumeru & Ogbonna, 2013).
Motivation – The workers needs motivation for dedicating their full potential fort he work.
The company lack in appreciating the employees for their hard work and it lacks any sort of
reward or incentives that works as a motivator for any organization. It is urgently required for
motivating the employees (Miner, 2015; Elliot, Dweck & Yeager, 2017). Moreover, a formal
appraisal system will also facilitate in motivating the employees and make the focus on their
work. Maslow defined the motivation with the help of his hierarchy theory of need, where he
demonstrated that the organizations are bound to look after the various needs of the
employees in order to extract the maximum effort out of them and increase the organizational
performance (Maslow, 2013).
Performance measurement – is vital for tracking the employee’s performance that will help
in rewarding and promoting them in the higher level (Bititci et al., 2012).
Communication – Lack of formal communication in different level of the farm that should
be address to bring transparency in the organization. Better transparency will bring better
efficiency and coordination in all level (Grunig, 2013).
Recruitment Process – The Company should not only have a better recruitment policy, it
also should recruit more number of staffs to avoid exhausting its current employees. The over
shifts is overusing its employees that is facilitating into employee dissatisfaction.
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Implementation
The implementation of the above recommendation requires several training of the
workers, managers, supervisors and the directors of the company. The employees will receive
training on the communication so they can better communicate their expertise and perform in
the field where they can provide their maximum (Ruck & Welch, 2012). Moreover, it will
help them to communicate the challenges they are facing in the system to the supervisors and
managers. Additionally, this will make them efficient to work as a team and share their
responsibilities.
The managers and supervisors will receive same communication training as the
employees. In addition to that, they will receive the leadership training that will help them in
tactical situation handling. Moreover, the combination of these two skills will enable them to
motivate the workers for doing their job efficiently. The developed communication skill will
help them to appreciate the workers for job well done (Brunetto, Farr-Wharton & Shacklock,
2012).
The managers will receive the HR training to formulate policies and plans and
organize the work culture in the plant. Directors along with the managers will receive this
training, which will facilitate in a number of fields. The directors can implement this
knowledge in recruitment process. They can also make the workplace healthy and safe for the
worker using this knowledge in considering the requirement of the workers.
The director of the organization will receive training for setting proper and compact
goal, objective and mission of the organization.
Conclusion
Hence, for bringing organizational development through change, it is necessary to
implement the prescribed recommendation accordingly. This will help the B.R. Richardson
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Timber Production Corporation to motivate the employees without observing resistance from
their part. The overall change is in the structure is required to develop the work environment
and build an effective work environment. Implementation of the leadership on the other hand
will increase the communication with in the organization at all level and motivate the
employees. The HR department will help understand the requirements of the workplace and
act accordingly for addressing the health and safety concerns and achieving increased
performance. Performance management will help the company to keep track of the employee
performance. In short, the overall performance could only be achieved if the issues identified
in the report are addressed accordingly following the recommendation prescribed. The
implementation process described in the final part of the report suggests the way of
developing the organization with its existing resources, while including some external
resources.
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References
Alvesson, M. (2012). Understanding organizational culture.
Armstrong, M., & Taylor, S. (2014). Armstrong's handbook of human resource management
practice. Kogan Page Publishers.
Bititci, U., Garengo, P., Dörfler, V., & Nudurupati, S. (2012). Performance measurement:
challenges for tomorrow. International Journal of Management Reviews, 14(3), 305-
327.
Bratton, J., & Gold, J. (2012). Human resource management: theory and practice. Palgrave
Macmillan.
Brunetto, Y., Farr-Wharton, R., & Shacklock, K. (2012). Communication, training, well-
being, and commitment across nurse generations. Nursing outlook, 60(1), 7-15.
Budhwar, P. S., & Debrah, Y. A. (Eds.). (2013). Human resource management in developing
countries.
Daft, R. L. (2014). The leadership experience. Cengage Learning.
Datta, S., Iskandar-Datta, M., & Singh, V. (2013). Product market power, industry structure,
and corporate earnings management. Journal of Banking & Finance, 37(8), 3273-
3285.
Elliot, A. J., Dweck, C. S., & Yeager, D. S. (Eds.). (2017). Handbook of Competence and
Motivation: Theory and Application. Guilford Publications.
Giltinane, C. L. (2013). Leadership styles and theories. Nursing Standard, 27(41), 35-39.
Grunig, J. E. (Ed.). (2013). Excellence in public relations and communication management.
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Jones, G. R., & Jones, G. R. (2010). Organizational theory, design, and change.
Katzenbach, J. R., & Smith, D. K. (2015). The wisdom of teams: Creating the high-
performance organization. Harvard Business Review Press.
Kibbe, M. R. (2015). Leadership Theories and Styles. In Leadership in Surgery (pp. 49-57).
Springer International Publishing.
Maslow, A. H. (2013). A theory of human motivation. Simon and Schuster.
Miner, J. B. (2015). Organizational behavior 1: Essential theories of motivation and
leadership.
Northouse, P. G. (2015). Leadership: Theory and practice. Sage publications.
Odumeru, J. A., & Ogbonna, I. G. (2013). Transformational vs. transactional leadership
theories: Evidence in literature. International Review of Management and Business
Research, 2(2), 355.
Reese, C. D. (2015). Occupational health and safety management: a practical approach.
CRC press.
Ruck, K., & Welch, M. (2012). Valuing internal communication; management and employee
perspectives. Public Relations Review, 38(2), 294-302.
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