Strategic Change: Hospitality Sector Analysis and Management Report

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This report examines strategic change management within the hospitality industry, focusing on leadership approaches, trends, and the impact of mergers and acquisitions. It analyzes the importance of organizational change management, highlighting the dynamic nature of the sector and the need for managers to adapt to consumer expectations. The report explores the 'future back' approach, emphasizing the importance of effective decision-making and long-term planning. It identifies key trends such as mergers and acquisitions and discusses various leadership styles, including autocratic, democratic, and laissez-faire, and their impact on employee morale and performance. The report emphasizes the role of communication, employee training, and positive attitudes in facilitating successful change implementation within hospitality ventures, offering valuable insights for students on Desklib.
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MANAGING
AND
LEADING STRATEGIC
CHANGE
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
SECTION 1:.....................................................................................................................................1
Focus of the review ....................................................................................................................1
Future back approach .................................................................................................................2
SECTION 2:.....................................................................................................................................3
Identification of trend and undertaking various skills ................................................................3
SECTION 3:.....................................................................................................................................5
Framework summarising the change model adopted along with management style .................5
SECTION 4:.....................................................................................................................................6
Framework for getting ready as a leader in organisation change and development ..................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Change plays an important role for the business organisations as with this, they will be
able to handle their operations in clear and effective manner. Further, the changes for any
organisation can be in different form and the major change considered when venture changes
their organisation culture or structure (Anderson and Anderson, 2010). Managers and leaders
have to be efficient enough to implement changes and should work with best of their dedication
in motivating employees towards the change, this present document will focus on understanding
the working of hospitality sector as how manager take various decisions in improving their
working. The role of HR manager is quite specific and thus it is necessary for them to boost the
morale of the workforce to accept the changes. The change will also focus on different skills and
competencies of employees in order to lead and manage the ventures working in the mentioned
industry.
SECTION 1:
Focus of the review
Organisation Change Management can be defined as a framework in order to manage
effect of new process, changes as well as the structure or culture used by the venture. The change
undertaken by the organisation will be beneficial for them as they know that they are working in
the dynamic environment and for resisting in the same, there need to be implementation of
proper change structure (Thompson and Martin, 2010). Further, the role of employees also play
an important role as with that only the venture will get an competitive advantage over the other
firms who are working in same industry. This report will focus on hospitality sector as it is very
much dynamic and much based on the consumer expectations. If needs and employees of clients
are not effectively met then they will not be able to gain a dominating position. Further, this
industry is one of the largest employment generator and also contributes its best in GDP of the
country. Hospitality sector compiles with various hotels, restaurants, resorts, pubs, lounge, bars,
etc. The employment in this sector is very much extensive and there exist large strength of
employees who are giving their productive services.
Further, the hospitality sector is very large and there are various leading as well as global
organisations who are giving their productive services. Moreover, the main of this sector is to
satisfy the consumers needs in clear and efficient manner. It is necessary for the firm to give
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productive services to travellers as well as local residents so that they can make them loyal
towards the venture. Moreover, ventures in this sector emphasise on Merger and Acquisition
(M&A) so that they can excel their operations and by joining hands with small ventures. This
gives the leading venture to increase their functioning as well as the customer base (Swayne,
Duncan and Ginter, 2012). Dominating the industry will enhance their goodwill as well as
market share in the eyes of customers as well. Productive services is one of the major concern
and giving quality of services will attract customers to reach to the same hospitality firm again
and again. Some of the leading hospitality ventures are Hilton, Marriott, Ritz-Carlton, etc. These
ventures have number of number of operations in UK and other countries as well.
Therefore, taking this scenario of M&A will bring up the change and operations in the
hospitality sector will be enhanced effectively. The two terms merger and acquisition differ from
one another. Merger is collaboration of two ventures into a single new unit. On the contrary side,
acquisition is the hiring of another organisation in order to extend their operations as well as
market share. Normally acquisition is done when one firm is loosing their market share and not
able to make very much profit. Instead of getting dissolved, acquisition is usually done by
dependent organisation and all the functioning then done by the parent venture (Ward and
Peppard, 2016). This makes the other firm survives and the parent firm will be able to excel their
revenue and turnover.
Future back approach
This approach will be most beneficial for the organisation as by undertaking the same,
manager will be able to seek and improve their performance in clear and effective manner.
Decision making should be effective so that the morale of the employees do not get affected.
Moreover, managers in the organisations need to be efficient enough so that they can plan for the
future and make policies for coming 3 to 5 years (Top 6 Hospitality skills. 2013). This nature of
the change landscape will be much more effective and organisations in the hospitality sector will
look to have an upper hand over the rival competitors. Managers working at different position in
the hospitality firms has to take numerous decisions so that the operations of the venture do not
get affected.
Moreover, working in dynamic environment, it is utmost responsibility of manager to
undertake different change steps so that frame effective policies for the venture. Thus, it is
utmost necessary to cope up with the changes and accept the best so that the individuals working
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in firms do not face any sort of problem in handling the operations (Hrebiniak, 2013). Further,
employees usually not able to accept the change soon and there are some who will be in favour
or against the same. Thus, it is necessary for manager to undertake the change and should get
concern of employees as who are in favour and against for the same. Moreover, it is also
necessary for the manager to constantly review the functioning of the hospitality firm as they are
moving in right direction or not. Heading at wrong way will surely impact their performance and
the rivals will be able to get dominant over them in same sector.
SECTION 2:
Identification of trend and undertaking various skills
From the view point of Smith, Binns and Tushman (2010) hospitality sector is very much
vast and ventures undertake various activities in order to satisfy the needs and demands of their
potential clients. Further, recruitment of suitable staff is there so that they can work with best of
their dedication to meet the clients expectations. Further, the major trend which the hospitality
firms are undertaking is of merger and acquisition. This is mainly because the technique adopted
is best suitable because it enhances their market share as well as goodwill without doing any
major expenditure. The construction process undertaken takes lot of time and also incur more of
the cost. But if organisations in the hospitality sector emphasise on mergers and acquisition then
the cost for the construction work gets reduce and firm undertake existing venture who is not
doing good. Sonenshein (2010) states that usually big hospitality ventures hires small firms
which are in form of bed and breakfast, restaurants, etc. This enhance the market share of the
owner firm and by working soundly, they will be able to attract more of the clients towards the
different services rendered.
However, Hodgkinson and Healey (2011) described that the management faces different
types of challenges at the time of implementing new policies and majorly they are in form of
organisation change, structural change, strategic change, people change, etc. Management has to
be much more precise with all these things as if they are not fulfilled then the venture will not be
able to track their best performance. These things can hinder the interest of employees as well
and can influence their performance upto great extent. In order to solve this problem,
communication will be an important tool and managers has to take the concise response from
employees as well. There might be few roadsters who will not be able to accept the change
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precisely and due to this, the performance of whole of the firm in the hospitality sector will get
affected. Overall it will make a major impact on the mentioned sector only. Ravasi and Phillips
(2011) also said that there exist only few employees who resists to change. It is because they
make themselves comfortable in the way venture run its business. Each and every employee in
the venture knows their role and they are the real assets for the firm. Managers has to take
initiative in form of providing adequate training to the employees who are not able to cope up
with the changes. Supporting employees in effective manner will help organisation and they will
be able to see the transition which takes within the employees.
According to Crawford and Nahmias (2010) managers within the hospitality sector has to
implement certain leadership skills so that the morale of the employees get boosted up and they
work with best of their dedication and achieve their individual goals. There are different types of
leadership skills which manager can undertake and some of them are in form of Autocratic,
Democratic and Laissez-Faire. In the autocratic style, leaders take all the major decision and no
involvement of employee exists in the decision making process (What Makes A Good Leader?
Simple Ways To Improve Your Management Skills, 2016). This reduces the morale of the
employees and they are not be able to contribute their best in the growth and development of
business venture. This style can be seen as a burden on employees. On the other hand, their exist
democratic style of decision making where the managers in hospitality industry undertakes the
valuable suggestion of employees before implementing any plans and policies. Involving in the
decision making process boosts the morale of employees and they are able to work with best of
their dedication and accomplish their individual and organisational goals and objectives. Brown
and Harvey (2011) states the Laissez-Faire leadership style which is also known as the delegative
leadership style. In this style, managers or leaders give authority to the employees to undertake
decisions for the tasks allotted to them. Autonomy in decision making will give them freedom
and with this they will be able to work with best of the dedication to meet the desired goals.
Concern is given by the manager at the end of the day and relative feedbacks are also given so
that the individual can perform the task in most effective manner. However, ________ argues
that this style has some limitations and it cannot be implemented on the new employees because
their decision can affect the overall organisation performance. Managers have to be effective
enough in order to take the relative measures and should find the best candidate who can be
given more of the autonomy in decision making process.
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Furthermore, positive attitude and behaviour is required from employees so that the
change can be undertaken in clear and specific manner. According to Von Haenisch (2011)
attitude and behaviour of employee differ from one individual to the another because they come
from different geographical and psychological background. Their attitude, interest and way of
working differ from one another and this is the only reason why the hospitality ventures are not
able to make a proper coordination between the employees. This impact the organisation
performance and they are not able to give their best output in the working. Thus, it is necessary
for the managers to have multi skilled and talented employees who can work with boosted
morale to meet their individual and organisational goals and objectives (Webster-Wright, 2010).
The change which is implemented by the venture has to be clearly stated so that it will be easy
for employees to understand the change adopted by the hospitality firm.
SECTION 3:
Framework summarising the change model adopted along with management style
Change is the essence of life and employees in the hospitality sector has to consider it in
clear and effective manner. Managers also has to undertake certain steps which will enhance
their performance and they will be able to take the best of the decision. The Kurt Lewin change
management model can be undertaken precisely because it has certain steps and managers can
implement the same effectively. This model is a three stage model and has elements like
unfreeze, change and freeze. In this model, unfreezing strategy is treated as most important
because this is stage where the major changes is made (Patti and et.al., 2012). All the current
policies and tactics usually unfreeze. Further, it is a first stage where individuals are preapred
before undertaking the change. All the terms and policies of the change are stated to employees
so that they can coordinate precisely in order to make best of the practice. The change can be
done in form of structure, culture, policies, decision making, etc. Implementing the right change
will give firm a competitive advantage over the other firms who are working in the same industry
(Tyler, 2013).
The next step in this comes as of change. Kurt Lewin the founder of this theory sees this
change as a process instead of an event. The change process is necessary for the organisation
from time to time. This gives them an upper hand over the rival ventures in competitive work
profile. Lewin also called this process as a transition where it is a inner movement and there exist
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a reaction for the change. This is a unfrozen steps where the existing procedures are replaced
with the new things (Fink, 2013). This change is quite hard because some will be able to cope up
with it but some will hesitate in undertaking the same. Support from the top management will
play an important role here and it will be important for the manager to clearly define the new
things which are implemented in the venture. If hospitality industry is considered, then there are
various things which changes constantly and the employees there in has become much more
addicted so that they can accept the change which are so undertaken. Further, it is necessary for
venture to communicate the clear picture as what will be the outcome if such changes are
practised. Some of them can be in form of development of a new department (Neck and Manz,
2010). Changing the role or designation of existing employees, implementing new software for
recording the transition, etc.
The last stage in this process comes of refreezing and it is where the stability in the
organisation comes slow and steadily when once it is implemented. All the relevant changes has
been accepted by the employees and this has become new norms for the venture. Many a times
people working in the firm accepts the changes and form new relationship with the colleagues
and get comfortable with their routine. This model shows the change process in 3 different steps
and the description clearly witnesses that the change has to be accepted by employees otherwise
the functioning of operation will not be done effectively.
Furthermore, it is necessary for the managers in hospitality venture to seek the
suggestions of employees before bringing up the change. In order to bring the best of the change
and get competitive advantage, employees suggestions will play an effective role and with this,
firm will get a dominating position in competitive environment (Puccio, Mance and Murdock,
2010). Democratic style of leadership and decision making will be most preferred as this thing
will boost the morale of employee and they will be able to give their best output in their working.
Moreover, taking the recommendations of employees firm will be able to do their best and will
make the best decision.
SECTION 4:
Framework for getting ready as a leader in organisation change and development
If is see my opportunity as working in one of the organisation in hospitality sector then
have to be pretty much clear about my concepts so that in can implement the real practices while
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working in the business venture. This will enhance the organisation performance and I will be
able to do contribute my best (Poister, 2010). Moreover, it is necessary for me to have effective
knowledge of different leadership as well as management styles which prevails in the venture.
These styles help firm in meeting the employees demand as well as orverall goals and objectives
of firm. Apart from it, if I selected as a manager then I should be clear with my concepts relating
to specially HR as I have done my masters in the same. With this, I will be able to enhance my
knowledge and will be able to give best output for the positions at which I have been selected.
Moreover, I will consider my employees as a asset and will emphasise on satisfying the
needs and demands in clear and specific manner. With this, I will be able to do my best and
achieve my goals and objectives as well. Meeting clients expectations will be my utmost role and
I will try to do the same in best effective manner in order to meet the overall objectives
Hodgkinson and Healey (2011). This will further lead into giving firm a competitive advantage
over the others where I would be working. Further, I will also emphasise on making changes in
the organisation so that firm can be on dominating side. The major change will be made in
relation to the technology as they are getting updated rapidly and undertaking the same, major
dominance will be seen in different aspects within the venture.
CONCLUSION
From the above report, it is clearly evident that hospitality sector is quite wide and
performance of one organisation usually get affected on all. This report also depicts the different
types of management styles which manager can undertake in order to excel their operations.
Further, the change model is also stated which is of Kurt Lewin. This model sows the three steps
which is in form of unfreeze, freeze and refreeze. This report also states the management styles
which has to be considered in excelling the operations so that the goals and objectives can be
successfully achieved. Contribution of mine in the hospitality sector has also been stated which
will give reader a clear knowledge for the same. Some of the skills have been discussed and
these are Autocratic, Democratic and Laissez-Faire.
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REFERENCES
Journals and Books
Anderson, D. and Anderson, L.A., 2010. Beyond change management: How to achieve
breakthrough results through conscious change leadership. John Wiley & Sons.
Brown, D. R. and Harvey, D., 2011. An experiential approach to organization development.
Upper Saddle River, NJ: Prentice Hall.
Crawford, L. and Nahmias, A.H., 2010. Competencies for managing change. International
journal of project management. 28(4). pp. 405-412.
Fink, L. D., 2013. Creating significant learning experiences: An integrated approach to
designing college courses. John Wiley & Sons.
Hodgkinson, G.P. and Healey, M.P., 2011. Psychological foundations of dynamic capabilities:
reflexion and reflection in strategic management. Strategic Management Journal, 32(13).
pp. 1500-1516.
Hrebiniak, L.G., 2013. Making strategy work: Leading effective execution and change. FT Press.
Neck, C.P. and Manz, C.C., 2010. Mastering self-leadership: Empowering yourself for personal
excellence. Pearson.
Patti, J. and et.al., 2012. Personal, Professional Coaching: Transforming Professional
Development for Teacher and Administrative Leaders. Journal of Leadership
Education, 11(1). pp. 263-274.
Poister, T.H., 2010. The future of strategic planning in the public sector: Linking strategic
management and performance. Public Administration Review. 70(1). pp. 254.
Puccio, G.J., Mance, M. and Murdock, M.C., 2010. Creative leadership: Skills that drive
change. Sage Publications.
Ravasi, D. and Phillips, N., 2011. Strategies of alignment organizational identity management
and strategic change at Bang & Olufsen. Strategic Organization. 9(2). pp. 103-135.
Smith, W.K., Binns, A. and Tushman, M.L., 2010. Complex business models: Managing
strategic paradoxes simultaneously. Long range planning. 43(2). pp. 448-461.
Sonenshein, S., 2010. We're Changing—Or are we? untangling the role of progressive,
regressive, and stability narratives during strategic change implementation. Academy of
Management Journal. 53(3). pp. 477-512.
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Swayne, L.E., Duncan, W.J. and Ginter, P.M., 2012. Strategic management of health care
organizations. John Wiley & Sons.
Thompson, J.L. and Martin, F., 2010. Strategic management: awareness & change. Cengage
Learning EMEA.
Tyler, R. W., 2013. Basic principles of curriculum and instruction. University of Chicago press.
Von Haenisch, C., 2011. How did compulsory personal therapy during counselling training
influence personal and professional development?.Counselling and Psychotherapy
Research. 11(2). pp. 148-155.
Ward, J. and Peppard, J., 2016. The Strategic Management of Information Systems: Building a
Digital Strategy. John Wiley & Sons.
Webster-Wright, A., 2010. Reframing professional development through understanding authentic
professional learning. Review of educational research. 79(2). pp.702-739.
Online
Top 6 Hospitality skills. 2013. [Online]. Available through:
<http://www.i-studentglobal.com/study-programmes/hospitality-leisure-tourism/top-6-
hospitality-skills>. [Accessed on 21th September 2016].
What Makes A Good Leader? Simple Ways To Improve Your Management Skills. 2016. [Online].
Available through: <http://www.briantracy.com/blog/business-success/management-skills-
what-makes-a-good-leader/>. [Accessed on 21th September 2016].
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