Leading Change in Organizations: Strategies and Impacts Analysis

This report provides a comprehensive analysis of organizational change, focusing on the impact of internal and external drivers on strategies, operations, and employee behavior. The report uses PEST and SWOT analyses to compare General Electric (GE) and Siemens, evaluating their responses to change. It examines the drivers of change, including customer, technology, capital, competitive, and government factors. Furthermore, it explores the effects of change on leadership, team dynamics, and individual behavior within organizations. The report also assesses barriers to change, leadership approaches in managing change, and applies relevant theories and models, such as the force field model, to evaluate effectiveness. The conclusion offers recommendations for effective change management and leadership strategies. The report covers various aspects of change management, including analyzing the impact of change, assessing drivers, evaluating leadership approaches, and analyzing barriers to change.

Understanding and Leading
Change

Table of Contents
INTRODUCTION...........................................................................................................................1
TAKS 1............................................................................................................................................1
P1 Evaluating impact of changes on strategies and operations by comparison of two
companies....................................................................................................................................1
M1 Assess the various drivers for change and type of organisational change............................5
P2 Impact of internal and external drivers on organisational behaviour....................................5
P3 Evaluation of measures to reduce impacts of changes on behaviour of a firm......................7
M2 Apply theories and model related with response to change.................................................8
D1 Conclusion and Recommendation related with change impact analysis...............................8
TASK 2............................................................................................................................................8
P4 Analyse barriers for change and its influence on decision-making of a leadership...............8
D2 Critically Evaluate the force field model............................................................................11
TASK 3..........................................................................................................................................11
P5 Leadership approaches in dealing with changes..................................................................11
M4 Evaluate the impact of leadership approaches....................................................................12
D3 Critically evaluate the effectiveness of leadership approaches...........................................13
CONCLUSION..............................................................................................................................13
REFERENCES .............................................................................................................................14

INTRODUCTION
As per today's business environment, changes are consider as an important elements
which may helps in attaining positive results but some time it also create issues within the
company. Thus, changes are vital for improving performance level of the company. As they
enhance their productivity level. As overall success of the company is highly based company
capability of accepting changes. With the help of this manager of the company make effective
strategies which contribute in establishing positive work environment at workplace. Mainly,
there are two type of changes such as internal and external as well (Understanding and Leading
Change. 2017). Both factors are important which directly impact on the leadership, team and
employees. If company easily accept all the changes then it provide various opportunity in which
workers enhance the chances of attaining desirable goals and objectives in set period of time.
Along with this, it is important for company to effectively implement the changes which may
helps in developing workers skills and knowledge. Current assignment is based on General
Electric is an American multinational conglomerate which offer their various services in over the
world. This report discussed about impact of change upon the organizational strategies. It also
include affect of internal and external drivers of changes on workers behaviour, leadership and
team as well. Along with this, different barriers of changes and its influence on leadership is also
affect the overall decision making process of the company. In addition of this different
leadership changes are also helps in dealing with changes in effective manner.
TAKS 1
P1 Evaluating impact of changes on strategies and operations by comparison of two companies
PEST analysis of GE organisation
Political factor- General electronic is multi- national business firms which requires to be
manage the political structure in different nations. There are some nations which have domain
for survival or development for business yet some of the other showing the troublesome
situations.
Economical factors- This organisation is impacted through alterations in trade rates,
cash esteem and also costs of loan (Grootenboer, Edwards-Groves and Rönnerman, 2015).
World has been by recession which follows through increase a gig economy.
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Social factor- Culture, social traditions, standards and religion decide how to conduct
business in a particular condition as well as nation. General Electronic is multinational business
firm so there is a requirement to adjust different social complexities (Ielmini and Fugazza, 2011).
Method of the life in particular nation decide business approaches, working hours and also
develop types of merchandise.
Technological factor- Through innovation, there is a need of make changing or update
the existing technology with in time period. It also advancing at high pace internationally. On the
other hand old technology make negatively affect on operations of an organisation as well as
economy of country. If in case an organisation can not come up with an innovation then it can
not compete with its strongest competitors at market place.
SWOT ANALYSIS
Strengths Weaknesses
 Global strengths as well as recognition
of GE organisation is strong.
 The management of this company is
strong.
 Range of its goods or services is
diverse.
 Excellent management.
 IT operate its business in more than 160
countries and has 5th rank in 500 list.
 Proven business and leadership model.
 Acquisition restriction.
 Less flexibility.
 Minimize proceedings and also enhance
legal compliance prices for GE
organisation.
 Cost of borrowed funds are high.
 Diverse and also large business can
overstretch an organisation and also
minimize reaction of times.
Opportunities Threats
 GE company has better opportunity to
make research and development
department more stronger.
 It can enhance geographic
development.
 GE firm an make improvement in
consume service.
 Enhanced the IR security can develop
problems.
 Strict environmental regulatory as well
as government policies can impact
business operations.
 Exposed to fluctuations in currency.
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 Can developing demand or needs for
the commercial air planes.
 Regular alterations in the technology
can increase competition.
Strategies and operations were impacted through change
Customer focus- The main focus of GE organisation is to satisfying needs of consumes
and provide them better services. In context to attain goals, this firm hire new marketing officer,
recruit experts and begin to provide training to employees of business development (Jellison,
2010).
Service provider- In order to make customer relationship strong, GE organisation give
importance to its customers and also develop assists for improving energy effectiveness of
consumers as well as environment performance.
PEST ANALYSIS of Siemens
PEST analysis for organisations are dynamic as well as complicated. It affects on
productivity of company in negative manner.
Political factor
 Siemens firm is based on Germany country which has strong relations with some other
countries. Civil unrest and terrorism across Middle East, African markets and Europe may affect on
business on Siemens.
Economic factor
 Develop project of smart city is more potential and expertise in all over the world. Under this, Asia is a main market for Siemens with China which is developing fast and
have more opportunities in the Iran (McLaughlin, Afsar-manesh and Martin, 2013).
Social factors
 Siemens invest more money in provide training as well as education to staff members so
that they can focus of produce better quality of products with can satisfy needs and
demands of consumers.
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 There is a programme which names Siemens' Europeans which enable students from
chosen countries in order to participate in the work- study related programmes in other
country.
Technological factors
 Under this, strengthen leadership in automation along with digitalisation through
combining services, software and platforms.
 Provide unit “Next47” for development and innovation of next- gen technology with a
budget of $1 billion.
SWOT ANALYSIS of Siemens
Strengths Weaknesses
 This organisation is pioneer of
advanced technology of driven
services.
 IT operate its business in more than 180
countries.
 It has strongest financial stability and
excellence (O'Connor, 2015).
 This organisation is at top position in
context to industrial electrification,
Digitization and automation.
 Corporate environment of Siemens
organisation was impacted through
allegations related to corruptions
though people which impact on
reputation of firm.
 Organisational structure of this firm is
complex.
 Because of dependence on the third
party, effectiveness of Siemens
operations impacted.
Opportunities Threats
 This firm has an opportunity to set in-
house solutions.
 It can enhance its business in many
countries.
 Growth of this firm can be enhanced in
project related to smart city to demand
for the next generation technology.
 In an emerging markets, Siemens can
 In United Kingdom country, firm get
benefit in new administration which
favours the domestic organisation and
local manufacturing such as GE and it
is a main threat to Siemens.
 It is an international organisation so
financial performance of this firm is
impacted through devaluations of
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expand its growth rate and market
share.
currency and also economic
fluctuations.
Siemens operations and strategies were impacted through change
This organisation has converts from the technically better yet moving slowly to an
industrial giant in to nibles, disciplined and also multinational organisation face many different
challenges or difficulties (Reiman and Pietikäinen, 2012). In this business firm, there are many
people which are working and give their contribution in attaining aims and goals of firm with in
specific period of time. Under Siemens company, some staff members support new objectives
and some are restrained. The CEO of this business firm understand about the changes and their
advantages to its employees so that they can support in an effective or better manner. At the time
of transformation. Siemens organisation learn more regards to its other competitors as well as
market structure.
M1 Assess the various drivers for change and type of organisational change
Changes are refer as a important aspect which includes two forces such as internal and
external. Both are directly impact in business operations in both positive and negative manner as
well. In this internal forces are workers, structure of company and on the other side, external
factors are competitors, economic condition, political factors and many more. All are
uncontrollable by the company thus company effectively manage all the changes and adverse
impact on company.
P2 Impact of internal and external drivers on organisational behaviour
Both internal and external changes plays an important role in enhancing the business
operations. Changes are effective and influential if it is done in a positive manner and gives
appropriate result. In context of this, there are some drivers of change which impact on company
and its function as well. Customers drivers: Consumers are important as company easily enhance their
profitability level at market place (Robert, Tilley and Petersen, 2014). Changes in market,
customers demand, change in demographic and convenience affect the overall
performance of GE.
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 Technology drivers: Changes are rapidly take place in company and its technologies as
well. As radical innovation is also occur in the industries as it impact on overall activities
of the company. Thus, it is vital for manager of company to effectively analyse as well as
implement the changes of technologies. Capital drivers: It is related with capital which brought by institutional investor by which
GE easily execute their activities (Shirey, 2011). As it largely impact on the team,
individual and team as well. Competitive performance: Under this, new entrants and existing competitors as it creates
various challenges in front of company and its operations as well. Thus, it is important
for GE to analyse the impact on business activities which may leads in improving the
overall performance level of the company.
 Government drivers: It is consider as an important and external drivers which directly
impact on business and its function as well. In this legislation changes and policy
initiatives as it largely affect the business activities.
Further changes that affects leadership, team and individual behaviour in context with
different organisation is explained below:
Internal drivers and internal drivers of change in General Electrics:
Leadership: Leaders are considered as one of the essential factors who manages and
organise all the task in an appropriate manner. A sudden change in internal or external factors
can affect the entire process of business operations. Its affect can be seen while making new
strategies in order to accomplishing work in a better way. Leaders can face problems in
managing work at workplace because of which a downfall can be seen. Therefore, it is essential
for company to make changes according to the global trends as to will help leaders in analysing
and understanding the opportunities and threats that can affect business operations.
Implementation of new policies also gets affected if changes are not accepted by the company.
Team: With the change in course of time and ongoing transformation people are learning
new things in a rapid speed. Therefore, in context with GE, due to certain changes team is getting
affected as younger workers are now wanted to work independently instead of relying under any
bosses or HR. General Electric, for operating their business in an effective way they have
eliminated certain sectors and now all the reports are directly coming from CEO rather than
coming through various sectors (Zhu, Devos and Li, 2011). Therefore, company is under going
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with de-staffing as they are eliminating a large number of workers from the work which is
clearly affecting the entire team.
Individual behaviour: Because of some changes in Business environment it directly
affect on the people behaviour as manager have to includes subordinates as they discussed ideas
and proposals which enhance the workers skills and knowledge in most effective manner. In
addition of this company also hire as well as recruit capable people at right place which may
improve the productivity level and at the same time also improve their working abilities as well.
P3 Evaluation of measures to reduce impacts of changes on behaviour of a firm
It is important for business organization to implement all the changes effectively as it
directly contribute in enhancing the positive image at market place. If organization handle all the
changes effectively then they easily attain competitive advantage (Doppelt, 2017). This will
directly contribute in overall success of the company. As GE and SIEMENS, both are required to
effectively minimise the impact of change which helps in improving the behaviour of
organizational.
 GE can enhance and expand its renewable business operation to make their process of
effective and appropriate. As they improve their efficiency level and involve their
workers within their activities for attaining desirable goals and objectives (Reiman and
Pietikäinen, 2012).
 GE can also diversify their operations which may leads in enhancing their growth
opportunities due to technological advancement.
In addition of this, there are some main steps which can be used by GE to enhance their
performance level.
Education and communication: It is one of the best way to accept and overcome
changes. As they communicate as well as educate their workers so that they easily put their effort
to manage changes. By communicating with workers, manager also reduce the chances of arising
any kind of issues which occur due to changes which may helps in improving the performance
level of GE.
Participation and involvement: If workers is involved in every changes and business
activities as they likely handle the changes and improve the chances of attaining desirable
results.
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Facilities and support: Under this, some workers are able to accept the changes easily
manage and handle it effectively. Along with this, managerial also support workers so that they
can easily deal with changes in appropriate manner (Brown, 2012). In this they provide training
and special counselling to workers so that they effectively perform their duties.
Negotiation and agreement: In this step, manager offer initiatives to their workers as
they can resist change in appropriate manner. This will improve the chances of reducing the
averse manner of changes in effective manner (Anderson, 2016). By manipulating the workers,
they take decision inmost effective way to adopt changes.
Manipulation and co-option: Under this, leader have to make their process appropriate
as they push their workers to participate in the change and also put efforts to attain set goals.
Along with this, leader also bringing better contribution to effectively accept changes.
Explicit and implicit coercion: It is last and important option in which manager provide
guidance to employees for doing something clear as they make their performance clear. Along
with this, it helps in losing of jobs which may helps in accepting all the changes effectively.
M2 Apply theories and model related with response to change
For dealing with changes in effective manner, company have to use appropriate approach
which helps in improving the changes of managing all the changes appropriately as they
effectively communicating with workers. As they easily attain competitive advantage in an
appropriate manner.
D1 Conclusion and Recommendation related with change impact analysis
According to Getha-Eby and O'Brien, (2014), various policies and strategies are used by
the company which helps in handling organizational changes in effective way. By providing
training and development programs, manager make their workers able to deal with internal and
external changes which may helps in reducing the negative impact on business organization.
TASK 2
P4 Analyse barriers for change and its influence on decision-making of a leadership
Force-field analysis: It is an effective tool which used by every company to deal with
change. Mainly, force-field analysis was used as well as implemented by Kurt lewin in 1940 for
attempts to change. With the help of this analysis GE easily determine the driving and restraining
forces which contribute in evaluating new ways and thinking of team to deal with changes in
effective manner. One of the main reason of this approach is to make balance between driving
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and resisting forces which is referred with process of change (Fagerström and Salmela, 2010).
This model helps in making better strategic decision for analysing the drivers for changes. In this
context, there are five stages which is related with different change barriers:
Step 1: Describe proposal for change: Under this stage, company determine the reason behind
the change. Along with this, firm also evaluate the main goals and vision for change in order to
make better decision making. GE company needs for reducing the chances of issues as they
wants increase employees involvement within business activities as they enhance their
productivity level at workplace (Anderson and Anderson, 2010). For attaining better results
company have to make their workers able to communicate with manager and provide them views
to take better judgement.
Step 2 Identify force for change: This step can be internal and external which may help in
making decision. Under this, internal forces are existing within the company and on the other
side external forces are outsider of the firm.
Internal Forces:
 Low team morale at workplace.
 Old as well as outdated machinery or product lines as well. Company needs to expand productivity.
External forces:
 Difficult and hard technologies.
 Changing demographic trends.
 Unverifiable working environment.
Step 3: Identify Forces against change: In this step, GE determine the drivers that helps in deal
with changes. It also can be internal and external factors that affect the changes.
Internal forces:
 Fears of the unknown
 Existing organizational structures Attitudes
External forces:
 Government legislation
 Issues with customers.
 Existing commitments to other partner companies.
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