Strategic Change Management and Implementation Report for Amazon

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This report provides a comprehensive analysis of strategic change within Amazon, focusing on the company's adaptation to the rapidly evolving business environment. It begins by outlining the need for change, emphasizing the importance of adapting to market conditions and globalization. The report then applies Lewin's change management model (Unfreeze, Change, Refreeze) to illustrate how Amazon can effectively implement changes across its departments. Furthermore, the report explores various strategic change options available to Amazon, including product substitutes, new market entrants, competitive rivalry, and the power of buyers and suppliers. Finally, it discusses a model for implementing these changes, emphasizing the role of ideation and motor planning in driving successful organizational transformation. The report highlights the importance of flexibility, cost-cutting, and customer satisfaction in achieving Amazon's strategic objectives.
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Strategy and Change
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
TASK 2............................................................................................................................................3
Change need and it's support for accomplish of organisation objective................................3
Appropriate options for strategic change within an organisation...........................................4
Model to implement changes..................................................................................................7
CONCLUSION...............................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
The term strategy refers to an action plan that is taken by manager to accomplish
organisational goals. In simple terms, strategy is defined as a general direction that is formulated
for an organisation for achieving desired position in market. It works as a future process that
undertakes detailed strategic planning process. The main role of strategy is to integrate all
activities to utilise all resource within an organisational environment and to aids them towards
accomplish of organisational objectives (Daly and Nataraajan, 2015). This report is written from
perspective of Amazon that was established in the year 1995 and it is a well-known online
business or organisation. Moreover, this report highlights on external environment of
organisation with it's internal capabilities through use of different strategic management tools.
MAIN BODY
TASK 2
Change need and it's support for accomplish of organisation objective
Changes within current business environment is moving with rapid speed and it is
constantly look for pace that improve organisation position in market. According to present
market conditions, changes are required by management on constant basis. Business who are not
in favour to adopt modification record failure in market. In context of Amazon, it was started as
a business which sale only books but with expansion management is focused to increase their
portfolio (Pittman and Sheehan, 2016). The current conditions demonstrate that globalisation is
recognised as an important factor so it is essential for organisation to enhance their business size.
Similarly, with analysis of external factors this is identified changes must be important so with
Lewin's change management model change is easy to implemented among all departments of
organisation. Some changes which is identified are mention as follow:
Lewin's change management model- The Lewin change management theory help and
account for all factors. It includes resistance and uncertainty to adopt changes that is experienced
at all staff level. Lack of cooperation between top authorities and employee's generate issue for
organisation. So with unfreeze, change and refreeze are the basic steps through which Amazon
perform their work in more effective manner. Unfreeze- It is a first step that is implemented by Amazon and with this individuals
perform their work with new strategy. The main role of unfreeze step is to complete their
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task by removing methods that are traditional. Like, in context of respective organisation
technology is most important factor and it is changing with rapid speed. So unfreeze step
perform an important role to implement change as it trained individuals to adopt new
methods that make individuals more friendly with technology. Planned changes is also
adopted and with this it is analysed that flexible policy and cost-cutting method are
important factor and they are implemented through adoption of unfreeze step. Change- Rigid structure create problems for organisation and as per Amazon a lot of
changes is required by management. So this is important for organisation to perform task
through adopting changes related with company functions (Salehan and Kim, 2016).
Like, social changes is important to implement so local employee's is more employed
because they are familiar with geographical location. It work as a positive factor for
organisation and also it relates with unfreeze step because this aids to manage change and
work with new methods.
Refreeze- The last step relates with refreeze action and by assume of changes it is easy
for individuals to work and engage right behaviour. This consider when change is
implemented than refreeze step ensure that all work is done through engage of company
and their new methods. This aids persons to perform work by implement of new ways to
complete task according to goals.
With understand of all above factors this is determined individuals are focused to manage task
by managing work in an organised manner. Their are various task performed and it relate with
strategies through which strategies are focused towards formulation of regulations that is
flexible, easy and supportive for management to engage in technology. Similarly, persons are
focused towards develop systematic channel that is used for managing task with more efficiency.
Appropriate options for strategic change within an organisation.
Strategic changes refers to implementation of the changes in important characteristics which
effects a business enterprise. Strategy is made up by organisations such as Amazon with the
motive of achieving the goal and objectives for successful growth of the company. Strategic
decisions of an organisation effects every department as well as person relates with the company
in any way. Organisational changes are the changes which have significant impact on the
organisation as a whole. It is an important factor for Amazon as it is a process in which strategies
are managed in a structured manner by the management of the company through which it is able
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to achieve organisational objectives and mission. Amazon is not able to predict about the
happenings of the future so, decisions are made on the basis of knowledge, facts and scenarios
faced by the company from the last past years(Wang and et .al., 2017). For the management and
efficient working of the organisation strategies options are available for strategic change in
organisation in context with Amazon are as follows:
Substitutes and substitution of products:Amazon competes with substitutes in online
retail as well as offline market. They gives more emphasis on the satisfaction ans aims at
providing high values to the customers of the organisation. Customers have high
bargaining capacity because of intense competition in e-commerce industry and
increasing competition in the marketplace. Amazon is also suffering from the problem of
availability of substitutes because of which low costs of the other products available in
market has also influenced the customers to transfer its company to another retailer
which are offering products at a low cost. There are various substitutes of Amazon such
as wall-mart, Tesco and other online stores which have more diversification then amazon
and products of that companies are available more easily and conveniently. Strategic
changes which must be made in reference with Amazon is by maintaining quality of
goods and reasonable price of the products can be useful strategies to maintain and attain
the objectives of the organisation.
New entrants/barriers: Entering of new forces or enterprises in the market reduce the
Amazon's online retail. The effect of new entrants is considered as a threat to Amazon. The
consumer's can easily transfer to any new firm which comes with better prices and products
available with amazon at a higher price. This is because availability of other substitutes in
the marketplace. With the increasing competition and new entries of organisation in the
market effects the high cost of Amazon negatively(Mokhtar and et .al., 2020). But the
company has made its goodwill and has influenced the customers from years by which it
can become a minor aspect. Only by maintaining its image and working regularly with
management Amazon cannot have any threat as strategies used by it are already useful and
is successful in attaining the objectives.
Competition or competitive rivalry:Amazon is a big retailer in the market which competes
under strong competition. There are various external factors responsible for strong intensity
of competition such as high aggressiveness of the firms, more availability of substitutes at
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low prices, low switching costs. Retail firms such as amazon has to face high competition.
Such as availability of other brands which effects the Amazon directly such as Walmart.
Furthermore low price of switching impose a strong force upon the company. Low
switching cost is an crucial factor which effects the organisation. Availability of the
substitutes is also a reason for high competition for Amazon . Strategies must be made to
maintain and retain the image as well as worth of the Amazon by considering these points.
Only after considering the factors such as have an eye on prices of substitutes , maintaining
the reasonability in the rate of products and by providing and innovating the products
according to trends and needs can be helpful in making useful strategies for the Amazon.
Power of Amazon's buyers/customers:Amazon lays down more stress on the satisfaction of
the consumer and quality of the product. As it is a e-commerce company in which reviews
and comments of the customer and build up the image of the company or can decline also.
They provide wide variety of the products and also ensures that products are received on
time and also returned or replaced in a proper manner. They also handle repeated customers
carefully. As it is a online company which has become a brand because of the customers
only. They are the people who are contributing towards Amazon ans in return company has
successful understanding of needs and demands of the customers. But after these positive
aspects of Amazon they must consider the strategies to make offline stores in the market
where online delivery and reach of the products is not possible. It can increase the
productivity as well as profitability of the Amazon. It is a crucial factor which should be
taken into consideration(Kalyal and et .al., 2020).
Amazon's suppliers:The number of suppliers to Amazon is always large in number of supply
chain. They have to follow various rules and regulation which is set by respective
government. Amazon ensures that suppliers are following those rules and regulations at
their locations by which they must not suffer from any malpractices and illegalities. As
amazon is a large scale e-platform industry and has got success in maintaining its image as
well as profitability every supplier is ready to supply the products to Amazon which are
required accordingly. As suppliers are always ready for supplying their products which
make it a moderate factor for Amazon. By making strategies only on the perspective that
either the products which are supplied to amazon comply with the quality and quantity
promised to the customers. Otherwise, if the demands and needs of the customers is not
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fulfilled then company will start loosing its worth. Switching cost for supplier of Amazon is
most negligible as due to its large sale of every product there are large number of suppliers
that are ready to supply products which makes it moderate factor to Amazon(Zeng and
et .al., 2020).
Model to implement changes
Change is one of the complex process and it is difficult to implement and this is used for
managing task. There are different task performed by management and it is used to manage
practices, custom and idea (Singh and Dutta, 2015). It is used for translating information and
action by which work is completed through implement of task in all departments of organisation.
Praxis is defined as an appropriate model and this is used to accept different practice and custom.
The term practice refer to action, exercise, practice and code of conduct that are converted
through idea. Faith is an important factor and it collect all methods that engage person to
perform work in an organised manner. There are three different components is engaged and it is
engaged by Praxis to perform work by implementing steps in an organised manner.
Ideation- ability to conceptualise a new or different activity- There are different task
performed by management and it deficit with planning component. Like, Amazon offer
all types of products that is related with organisation and with analysis of current
market conditions it is understand a lot of activities is performed by management. This
refers process of organisation is tactile and proprioceptive to manage. There are
different sensory systems exists and it is used for performing work with formulate of
new process. It results process to perform task become more productive and
appropriate to gain longer results.
Motor planning- Large organisation perform their work through engage of all steps that
is related with company operations and functions. The motor planning component
process is focused to organise and generate sequence that aids to manage work with
foundations (Tian and et. al., 2018). Actions perform an important role and with
analysis of all moves this is identified interaction is done within business. The ability to
know how an organisation perform work aids to implement all those steps that store
company information and it is used to manage work by performing task with specific
methods. Physical changes are major and it results that individuals face challenges to
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manage their work. But on other side, this is required person make results that make
frequent areas to work in an organised manner.
Execution- This aids towards last step and according to this all changes which are
identified need to implement. Their are various changes is required and this define an
individual formulate an effective process through which person discuss and adopt
appropriate factors to manage task according to decided areas (Wiener, Hoßbach and
Saunders, 2018). Amazon is focused to implement a lot of changes but this is used for
performing work by breaking it into different sections. Moreover, person store all task
and it aids to perform work by making adequate areas that relates with company
functions.
With understand of Praxis model it is understand that their are different task performed by
management and it aids to manage work by E-commerce aspect. Online delivery at a large
platform is one of the biggest challenge that creates problems for organisation. But on other side,
online business define knowledge is important to accept larger market area. With understand of
company features it is analysed that all individuals manage work by adopting market approach in
order to remove threats. It consider experience is an important term as it improve knowledge of
organisation. So Amazon implement right techniques to manage all work by managing steps in
an overall manner to improve company market areas and number of customers in future. In
simple terms the improve in value and knowledge are two important factors (Wu and et. al.,
2015). So all changes that are complex to understand is improved by management through
performing work in small components. It results all persons obtain large profits to work
according to E-commerce market.
Strategic choice theory
The term strategic choice refers to specific steps that an organisation intend to organise,
arrange and deploy resources. Their are different strategic choices is determined and it aids to
manage products and services. This results all task are completed through performing work with
a target market. This define person manage those areas that is used for analysing intend in order
to manage resources with more efficiency. Strategic theory perform an important role and it
define management appreciate all aspect that scale about various terms. Marketing strategic
theory is implemented by Amazon to implement all changes and it define person reveal all sets
that are appropriate for managing work. Proposition reveal that by explain of certain facts this is
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easy to develop guidelines that make assumptions to perform work in proper manner. Some
strategic choice theory assumption is mention as follow:
Study and their meaning- With understand of strategy management denote that with
study of available factors business is able to utilise available resources. By understand of
all resources all tangible aspects are improved (Yoffie, Gawer and Cusumano, 2019).
Like, with study of proper traffic it is easy for Amazon to deliver products in an easy
manner. It also results decisions are formulated according to goals.
Analysis of central unit- Amazon is performing their work at global level and it refer
their are different units exists. With proper strategic analysis resources are developed to
manage task and employ them according to political aspect. European union create a lot
of difficulties for Amazon and this is because management is not in favour of adopting
changes for deal with problems that raise due to Brexit. This results decisions are
complicated to implement and it also describe that change perform an important role to
manage all work in an efficient manner.
CONCLUSION
With analysis of above report this is concluded that changes perform an important role
for an organisation to perform their work in an organised manner. For adoption of changes
management formulate flexible policy in order to manage their work in an efficient manner.
Moreover, with determine of all changes it is understand that business manage work by
organising all action towards company goals. Cost-cutting methods, flexible policy and use of
modern knowledge are important factors to perform work according to decided sector. Strategic
theory and model such as Lewin's change management model is implemented to perform work
with adoption of new changes.
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REFERENCES
Books and Journals
Kalyal and et .al., 2020. ‘If it’s not worth doing half-assed, then it’s not worth doing at all’:
Police views as to why new strategy implementation fails. Police Practice and Research,
21(2), pp.117-133.
Mokhtar and et .al., 2020. Risks to water resources and development of a management strategy
in the river basins of the Hengduan Mountains, Southwest China. Environmental Science:
Water Research & Technology, 6(3), pp.656-678.
Pittman, M. and Sheehan, K., 2016. Amazon’s Mechanical Turk a digital sweatshop?
Transparency and accountability in crowdsourced online research. Journal of media
ethics, 31(4), pp.260-262.
Salehan, M. and Kim, D.J., 2016. Predicting the performance of online consumer reviews: A
sentiment mining approach to big data analytics. Decision Support Systems, 81, pp.30-
40.
Singh, V.K. and Dutta, K., 2015, January. Dynamic price prediction for amazon spot instances.
In 2015 48th Hawaii International Conference on System Sciences (pp. 1513-1520).
IEEE.
Tian, Y and et. al., 2018, January. A new live video streaming approach based on Amazon S3
pricing model. In 2018 IEEE 8th Annual Computing and Communication Workshop
and Conference (CCWC) (pp. 321-328). IEEE.
Wang and et .al., 2017. Prediction of the impacts of climate change on energy consumption for a
medium-size office building with two climate models. Energy and Buildings, 157,
pp.218-226.
Wiener, M., Hoßbach, N. and Saunders, C., 2018. Omnichannel businesses in the publishing and
retailing industries: Synergies and tensions between coexisting online and offline
business models. Decision Support Systems, 109, pp.15-26.
Wu, Y.C.J and et. al., 2015. Electronic service quality of Facebook social commerce and
collaborative learning. Computers in human behavior, 51, pp.1395-1402.
Yoffie, D.B., Gawer, A. and Cusumano, M.A., 2019. A study of more than 250 platforms a
reveal why most fail. Harvard Business Review.
Zeng and et .al., 2020. Biometric-based tactile chemomechanical transduction: An adaptable
strategy for portable bioassay. Nano Energy, 71, p.104580.
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