Change Management Report: ISM Analysis of Retail During COVID-19

This report examines change management strategies within the retail industry, focusing on the impact of the COVID-19 pandemic. The analysis centers on the Intervention Strategy Model (ISM) to evaluate the change event, considering both hard and soft aspects, such as the shift to online sales and the economic impacts. The report includes a PESTLE analysis of the retail sector, and the application of Lewin's change management model. It critically assesses the effectiveness of the implemented strategies, recommending alternative approaches based on hindsight and course learnings. The report highlights the importance of adapting to changing customer behaviors and the need for integrating technological advancements for maintaining organizational sales and customer loyalty. The analysis aims to provide insights into effective change management practices during times of crisis and market disruption. The report also analyzes steps such as analyzing the change, identifying and evaluating the rationale, objectives, planning activities and implementation strategies.

CHANGE MANAGEMENT
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
1. Change event...........................................................................................................................3
2. Steps of intervention strategy model.......................................................................................6
3. Benefits of hindsight..............................................................................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
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INTRODUCTION
Change management is the organizational step through which the company tend to make
appropriate changes in its working process, in such a way that it is able to achieve desired target
(Sun and et.al., 2018). COVID-19 is the trigger event, for implementing the appropriate change
within the retail industry. Evaluation on the impact of change event within the retail industry is
being done in this report, in context to the hard and soft impact. Evaluation of the event through
the ISM guide in various context is also being identified within this analysis. Study on the
framed critique around the ISM for the event is also being analysed within this report.
MAIN BODY
1. Change event
Due to the increasing spread to COVID-19 governments all across the globe have to
introduce lock-down. Through this it can make sure that it is able to secure its citizens from
being affected from the virus, due to which travelling and other activities done by the customers
was being affected. With that organizations also have to stop their working process because of
which sales through the traditional means was limited. However, due to efficient of technological
advancements to the customers organizations operating within the retail industry are being able
to maintain their sales through the means of internet. This is being achieved in such a way that
customers tend to order the desired products through organization's digital customer touchpoint.
Then on that bases tangible products can be provided to the customer through home delivery or
quick pickup. Following are the soft and hard aspects of COVID-19, upon the increasing use of
digital platform rather than traditional means.
Improvisation of working from the traditional means to the digital means, tend to provide
high level of benefits to the retail industry. This can be seen in the figure in which the total
retail sales volume of UK fell by 1.9%, than compared to 2019. This happens due to the fact
that organizations are able to increase their brand awareness in different geographic areas, in
such a way that it is able to achieve high sales in minimum expenditures. This is being achieved,
due to the fact that company is utilizing the pre-installed platform of the social media sites. Due
to which by promoting itself on the platform it can make sure that it is able to achieve high
number of views, compared to traditional views.
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Figure 1Increased online sales
Sales: Sparks, 2020
In order to provide retail services to the customers through the means of internet
organizations have to make sure that it is able to integrate the technological advancements at the
working area. Through this it can make sure that it is able to achieve high sales, but also at the
same time organizations operating within the retail sector have to make high capital investments.
Through this it can ensure that it is able to provide its services to the customers. Also at the same
time this increases the working complexities, due to which strategies development has to
integrate several factors for increasing the overall effectiveness.
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Figure 2 Decreased performance of retail sector due to COVID
Source: Romei, 2020
Therefore in order to maintain high level of advantages by making appropriate changes
companies within the retail sector uses integrated approach. In this approach company continue
its services to the customers, through the means of internet and also at the same time maintain its
operations through the traditional customer touchpoints. Through this approach it ensures that it
is able to achieve desired high sales by which it can achieve efficient economic growth.
Following is the PESTLE analysis of the retail sector.
Political- The retail sector has to closely evaluate the governmental policies and has to make
suitable changes in their working process as per the new introduced policy.
Economical- In order to accomplish high profit margin the retail sector has to improvise product
pricing, such that it is able to achieve high sales. With that the buying capability of the targetted
audience also affect industry's economic growth.
Social- The industry has to make sure that new customers are being attracted towards the
organization and due to which has to analyse the changing customer requirements and place
trendy products. This is necessary, however this increased organizational expenditures, due to
which profit margin is being reduced.
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Technological- The rtail industry has to integrate technological advancements at the working
area by which it makes sure that high work productivity is being achieved in minimum
expenditures.
Legal- This was seen in the case of lock-down in which the industry has to introduce elements
like social distancing, lock-down and many more because of new policy.
Environmental- The retail sector has to make sure that it integrate factors which make less
negative impact upon the environment. Due to which organizations within the industry can
collaborate funding and perform social welfare actions, by which positive image can be develped
in front of the customers.
2. Steps of intervention strategy model
There are a lot of strategies which can be used by the strategies and models which can be
used by the retailing industry. Steps which are being taken by this industry were rapid and make
sure that this industry does not face any loss in the market. It is important for this industry to
fulfil the satisfaction level and gain the trust and loyalty of the clients so that there is going to be
good competitive edge which would be present.
 Analysing the change
Employee engagement has to be existing in the organization so that there are higher
outcomes and improvement which would come in industry. COVID has got a lot of changes in
the retailing industry and that is because of the lock downs and the fear factor which raised in the
human kind. Analysis of the working has to be existing so that there is going to be better
operations (Sinha and et.al., 2017). COVID-19 made sure that the industry would understand the
importance of this aspect so that the organization would be able to gain the right attention.
Retailing industry has to get the changes effectively which is going to make sure that there are
right actions and improvement which is going to be immediate. Evaluation of the changes and
importance of the changes is well understood by retailing industry which is why there was a
wave which made the businesses get online and that got in a better profit margin.
 Identify and evaluate the rationale
COVID has got in a fear of shopping and maintaining the social distance in the market
which is very important and must be analysed. Retailing industry is going to make sure that they
take the right measures to get in changes so that there would be better operations and working.
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Changes have to be planned before implementation so that there is better functioning and
improvement which is going to be existing in the organization (Siddique, Mahmud and Van
Heyst, 2018). Purpose of Retailing industry is to make sure that all the demands and needs of the
clients are being fulfilled so that there is going to be effective working and evaluation of working
that is existing. Goals and objectives of the retailing industry almost were reached and achieved
by most of the organization in this industry even after lock down and implementing the changes
effectively.
Figure 3Increased unemployment rate of UK
Source: Romei, 2020
 Objectives
Retailing industry wanted to maintain the market share and customer base for themselves
since this is a fast growing industry and the competition in the market is increasing as well. It is
very important to make sure that there are right actions and improvement which are taking place
and this is going to be a great factor for the overall working. Stakeholders and management must
know of the changes which are coming in so that there are going to be better operations and
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working which is present. Objectives of the company have to be matched so that after COVID-
19 also the company would be able to operate again but till then the industry would have been in
loss if they would not have been able to come online. Shifting the target for customer base and
make the milestones programs be achieved as well so that there is going to be good
implementation (Müller-Schwefe and et.al., 2017). Technologies at this point come in easily
which is making the company be able to work effectively.
ISM model- Interpretive Structure Modelling (ISM) is a widely used methodology which is
being used for identifying relationship among specific items which are being used to define
issues. In often ISM is being used to represent large complex in the simpler form, which in this
case is the graphical representation. Following is significant impact of COVID-19 upon UK
economy.
Figure 4:COVID-19 impact upon UK retail performance
Source: BBC News, 2020
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 Planning activities
For getting changes there has to be a good sense of direction which is going to be
required which is going to make sure that there is effective working that is present. Changes is
going to get in conflict and a lot of pressure on the employees which is of training and
development making sure that there is going to be effective working that is going to be present
for a long run. It is very essential for the retailing industry to make less mistakes and risks must
be reduced therefore good planning of activities has to be existing so that there would be higher
functioning and operations.
 Implementation strategies
Lewin change management model is very effective in retailing industry since there is a
lot of time for training and development of employees, discussion with them so that there is good
internal support which is created. It is important for changes to come in when there is effective
working which is going to be existing. Unfreeze the mentality, get the change slowly and then
refreeze it which is make them permanent (Wang and Wang, 2017). It is very important to make
sure that this aspect is followed so that there is going to be less pressure which is present in the
organization and the workforce which has to get in the change. Feedbacks are also included in
this process which is going to make sure that there are right actions and improvement which
would take place and that is going to make the satisfaction be higher as well. Promotions of the
changes must be made by the company to be able to gain the right working and functioning
which is existing.
Reflection on both approaches
Thus it can be identified that the implementing changes is important for the company,
through this it can make sure that it is able to maintain its efficient organizational sales within the
changing market conditions. With that it is also important for the companies within the retail
sector to improvise their working, due to the fact that with the increasing busy lifestyle of the
customers (Rabie and et.al., 2019). They are showing high level of engagement in utilizing the
technological advancements. Due to which the company has to make sure that it is able to make
specific changes in its working process, through which customers can be ensured that their are
able to achieve desired work productivity (Qin and et.al., 2019). Through this value of money
services can also be achieved by the organization by which they can be motivated to increase
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their engagement with the organization. Through this step organizations can ensure that
customer's loyalty towards the company is also being increased and thus chances of brand
switching can be minimized.
3. Benefits of hindsight
COVID-19 has got in a lot of changes which are good for the retailing industry for being
able to have higher operations and working. The online retail sale of UK has drastically being
increased from 20% of overall sales to 34% of the gross annual sales of UK. Getting new
technologies and online platforms which are being implemented are a very good factor for the
company to have so that the organization would be able to have the right working. Artificial
intelligence came in retailing industry from a long time ago therefore the company is making
sure that they are getting the right working as well so that there is going to be better brand value
which this industry can gain. It is important and crucial for this industry to be able to attract the
right clients and getting online is just going to make the customer base and profit margins of the
company be higher which is a very good factor for the overall working (Ján and Veronika, 2017).
Tackling the changes which are coming in the market because of COVID-19 is very crucial so
that the organization would make the right changes and improvement making certain that the
organization is being able to gain the right practical. Proper guidance has to be provided to the
employees and customers about the changes which is going to make the modification be able to
get the right support which the company is thinking to have and make certain that risk factors are
reducing as well. Intervention alteration management is a process to make sure that the
businesses in market are being able to gain the right client and value for themselves in the overall
bazaar (Shimoni, 2017).
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Figure 5Online sales increment
Sales: Office for National Statistics, 2020
For being able to get in change management factor the companies in retailing industry have to
understand the importance as well which must be understood well so that there would be right
working and satisfaction which is immediate. COVID-19 has got in a lot of changes and it is
important for the organization to implement them on time so that there is right working and
effective satisfaction which the company is going to have. Changes must be got in slowly but
because of lock down and the motivation which individuals of businesses had for the business to
remain in the market was incredible therefore this industry found it easier to be able to gain the
attraction of the clients. Performance of the workforce has to be analysed and worked towards so
that there would be raised operations and working which is required so that the company is to be
find it easier to be able to gain the right basic cognitive process (Arshad and et.al., 2018). Course
of action has to be researched and risks have to be reduced and analysed as well so that there is
going to be improved transaction and employed which the organization would be able to have for
a long run in the market even after all the competition which is existing.
Planning is very important for all the individuals to have which would make sure that
there is effectual employed. There are a lot of elements and structure which is required in order
to be able to have the right operations and working which is going to make the right standards of
the company. Online platform is not going to be compared because this is the raising industry
which retailing organization is going to opt for so that there is going to be raised transaction and
working which is existing. Implementation strategies have to be planned as well so that there is
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not going to be all of a sudden pressure which is going to be created on anyone and the
organization would be able to make the right working environment for themselves. Alternative
actions for retailing industry was not there and to be able to make the revenue and profit margins
of this industry be existing the industry had to get in this change. There are large businesses
which are present in the retailing industry which had already gained experience of being online
and made the small business be able to make these changes come in easily so that this industry
would be able to find stability (Ganatra and et.al., 2018). It is very crucial for retailing industry
to be stable in the market because the clients are dependent on this aspect so that they would be
able to gain the right working and effectiveness which is good for a long run in the bazaar.
Recommendation
Thus it can be recommended that retail sector tend to ensure that it implement high level
of security to its online customer touch points. By which organizational can secure customer data
from the cyber attacks and also motivate other customers to increase their engagement with the
company by which high sales can be achieved.
CONCLUSION
From the above analysis it can be identified that the current event of COVID-19 has
forced organizations within the retail industry to improvise their working ways. Through which it
can supply high level of structure employment to the customized, with that it also tend to make
sure that it is able to attain desired sales by which it can achieve an appropriate economic
growth. This is important for organizations to utilize the advantages of the forth generation of
technological advancements through which high work productivity can be achieve in minimum
expenditures. However, despite several advantages company has to make high expenditures due
to which its economic growth is being affected. Due to which organizations operating within the
retail industry has to make sure that it identify creative ways, through which it can achieve
desired high work productivity in minimum expenditure.
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REFERENCES
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Online
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%20volume%20of%20retail,largest%20fall%20since%20records
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