The Business Environment Is Faced with Changes - Essay Example

? Managing Change al affiliation Table of Contents References 6  References 14 References 18 Reflective Journal Week 11 The business environment is faced with a myriad of changes that are resultant from the changes in the global world. In response, a lot of business persons have been left with no alternative, but to come up with strategies that would lead their organizations to effectively deal and fit in the shifting business world. This is an elucidation of the fact that all business persons must attempt to formulate strategies that would see the implementation and recognition of change by the employees of the particular organization. With change always altering the functionality of organizations, Todnem (2005) proposes the eight step model in an effort to employ change in the association. According to Todnem (2005), this begins with the creation of a sense of urgency for the need for change in the organization that needs to motivate the employees to heed to the crisis that is present in the organization. Change is resultant from a myriad of factors such as proper customer relations, competition with the existing business persons amongst others. After the identification of the change factors, it is the role of the management to come up with a team that would see the implementation of the policies put in place. Next in line should be coming up with a vision that underlies the functionality of the change by the employees, and then communication of the vision must be upheld. Todnem (2005) continues to argue that the process cannot be successful without empowering the employees to overcome the obstacles to change. Subsequently, the management must come up with methodologies for exulting the accomplishments so as to motivate the employees towards further changes in the organization. Finally, the change can only be of utility through stamping the adopted changes to the culture of the organizations. The example of Wal-Mart can be described as a good example of change well accepted in the company. In as much the company faced a lot of resistance from its employees due to low wages and denial to join the labor union, the management has been making tangible decisions that would see implementation of the company’s decisions. The management has seen the inclusion of employees in improving their skills. According to the founder of the company, Mr. Walton, empowered employees are the major change agents in the organization. In this case, the employers endeavoured to train its employees, after that listened to their suggestions that allowed the company implement the set objectives. In this case, the company has managed to deal with to instil in the workers, the slogan that all is possible with the motivation of the employees. The management has also managed to come up with new technology that has seen the employees have an easier time whilst dealing with the pressures in the company. These programs and moves by the management can be credited to the reasons behind the success of the Wal-Mart stores over decades, due to an established organizational culture (Tcherpokov, 2006). References Tcherpokov, M., 2006. The Eight-stage Managing Process of Major Change. A Quality Management Perspective. [Pdf]. Available at: http://www.freequality.org/documents/knowledge/ManageChange_MiniTutorial_MT%20_2_.pdf. [Accessed on March 29th 2012]. Todnem, R., 2005. Organisational Change Management: A Critical Review. Journal of Change Management, Vol. 5, No. 4, 369–380. Reflective Journal 2 Week 13 The case of the NHS is another example that has led to a study of the need for change in the organizations. In light to the NHS case, a lot of changes have been witnessed. The inclusion of the National Health Service in the quest to reduce the costs of delivery of health services can be described as a fallacy that created a situation whereby the consumer spent a lot of money to access the services. With the government aiming at reducing the costs a lot of individuals have incurred whilst accessing healthcare, this scheme has not made any efforts easier to make the consumers better placed to deal with the demand for healthcare. In short, this scheme can be referred to a series of mishaps, and according to NHS (2004); the costs that consumers are going to incur whilst enrolling in these schemes are bound to increase. Organizations have been left to restructure their policies, while others like the private sector completely unable to sustain themselves in the market. These changes imposed by the government have seen a lot of individuals having to pay extra for the medical services. On the other hand, the government has to ensure that they devise strategies that are going to assuage the entire situation by giving the consumers an opportunity to have value for their money, as far as healthcare is concerned. Competition has played a vital role in strengthening the survival of Wal-Mart stores in the market. Wal-Mart stores face a lot of completion from the K-Mart as well as Target, which has motivated the management of the Wal-Mart stores always on the move to ensure that they structure their policies in such a manner that the company will retain its sales and customers despite the pressures. After establishment of its competitors, the company managed to increase the number of stores in the market, so as to deal with the competitive environment that it was facing. The new stores were large and always had all the goods that clients needed (Gimein, 2002). With creation of a positive brand name in the market, the company managed to survive in the completive world. With time, the competitors could not stand the threat posed on them by Wal-Mart Company. Till date, the company has diversified, expanded and grown to the best in retail and service provision industry. The consumers can be indicated to be addicted to their products and services due to their steadiness in making purchases in the stores. Conclusively, the success of Wal-Mart cannot be separated from a study of the measures put in place to deal with the competition in the market. Prior to the success that the company is enjoying at present, a lot of efforts have been put together that allowed for survival in the tough economic times. Gimein (2002) traces the journey of the company under Mr. Walton and how he managed to ensure that the dreams and visions of the company were implemented. References Gimein, M., 2002. Sam Walton Made us a Promise. Fortune Magazine, Monday, March 18, 2002. NHS., 2004. NHS Revolution breathes new life into private sector. Financial Times. 3th May, 2004. Reflective Journal 3 Week 15 With the management of the XYZ company undertaking a process of imposition of change in the organization, a lot of negatives have been experienced in the organization. The period of change that took place in the XYZ lasted for about 20 years. The kind of change that occurred in the organization can be associated with planned change that has seen the management of the organization take its employees through processes that would make them take part in imparting change in the organization. The kind of changes in XYZ revolved around power, and responsibilities in the organization. With the issue of promotion taking root in the organization, a great percentage of the employees resisted these changes in the organization. The company had been run by an autocratic leader for a very long time, an aspect that made a lot of members of the company not being at ease to relate with others in the society. Burnes (2004) indicates that Lewin’s model can be applied in the case of XYZ since the organization applied the processes of freezing, followed by change, and finally unfreezing. This can be seen through the organization coming up with structures that allow for innovation among the employees, adopting continuous change that allow for refurbishing the organizational structures to suit the needs of the organization. The XYZ management, without a doubt came up with a process of change that saw them identify the problems in the company and finally, coming up with lasting solutions on the same. All the stakeholders in the organization were also mobilized for change in the organization. Consequently, according to Burnes’ (2004) arguments on minimal change in XYZ, a great percentage of the employees had not adjusted to their new roles and were struggling to adjust to their new roles. Others were not happy with the changes; thus, hostility amongst them. Team work in this case was, therefore, questionable, consequently slow implementation of the new policies. In the case of planned change, it is evident how the organization must apply processes in coming up with systems of establishing a ‘new XYZ’. The case of Wal-Mart Company is no different. A lot of employees resisted changes that were to see the company venture into more and more markets globally. This emanates from the fact that the employees continuously complained on their employment rights that had to with compensation, overworking by their employers and the promotion processes. However, the management of Wal-Mart can be likened to application of Lewin’s model to incorporate changes in the company with a lot of ease. First, the management began bay creating a situation whereby the employees would go through training on their roles and responsibilities, as well as the importance of effecting those changes both at individual and organizational levels. Though some of the employees resisted the changes, the management has continually continued to help the employees accept change, a factor that explains the reasons behind the Company’s claim on a huge part of the market globally despite the change resistors (Dalic, 2004). References Burnes, B., 2004.Emergent change and planned change – competitors or allies? The case of XYZ construction. International Journal of Operations & Production Management, 2004, Vol.24, No.9. pp: 886-902. Dalic, T., 2004. Wal-Mart's European Business Strategy. Munich: GRIN Verlag. Reflective Journal 4 Week 17 The inclusion of Michael O’Leary into the leadership of the Ryanair is an example of a change within an organization. With the company having experienced low sales in the past, Michael O’Leary comes up with a methodology that was inclusive of including low prices in the organization so as to attract a huge number of clients to making sales. The venture of Michael O’Leary in the organization can be described as a first-rate endurance situation for the company. He can be described as a leader who is a go getter and stops at nothing to drive the company to the next level. In the study, Michael O’Leary can be described as a despotic leader who does not retrace his steps to suit the ideas of other persons in the organization (O’ Leary, 2005). This, he argues that the organization needed his style of attitude to survive in the tough economic times. With his ability to shun the comments and retains the rule of adherence to the rules set, he believes that Ryanair is on the verge to progress. Critically assessing the vulnerability of Ryanair in the market at that particular point of time, O’ Leary had no option but to come up with policies and measures that would see the employees stick to the rules set that would revive the company, a facet that was made successful. Stringent rules and regulations on the employees have been seen to improve the functionality and ability of the employees to adhere to the organizational objectives. The prices of the company having being reduced, there was an urgent need for the company to work extra hard to regain the profits that would have otherwise been lost had the company not reduced the process. The success of the Wal-Mart stores cannot be alienated from an inclusion of an appropriate marketing strategy. Over the years, these stores have been termed as discount retail stores that have endeavoured to sell their products at consumer friendly prices. With this strategy in place Pasiuk (2005) indicates that the stores have managed to attract a huge percentage of consumers to making sales in the store. With these price cuts in the store, it has been possible for the stores to attract a lot of customers in the stores. With time, the stores managed to attract huge sales volume; thus an increase in the profits. Globally, Wal-Mart has been indicated to be one of the best retailers with huge number of sales that were ranked to be over 200 billion US dollars. The administration has managed to dominate the market by manipulating the customers’ psychology into making a lot of sales at reduced prices. It is as a result of this that the company has been rated one the best companies in the world, due to its consistence in implementing its marketing strategies. To boost the survival of the company in the tough economic world and times, Mr. Walton has been on the frontline and keen to see to the making of deals and strategies that would steer the organization to the highest heights. References O’ Leary, M., 2005. ‘The Guardian Profile’, The Guardian, 24th June, 2005. Pasiuk, L., 2005.Vault Guide To The Top Retail Employers. New York: Vault Inc. Reflective Journal 5 Week 26 In the case of Happy Homes call centre, it is evident that there is a lot of resistance to change and management in the organization. Among the changes that the organization aims at undertaking are inclusive of the management insisting in the employees adjusting to new responsibilities in the workplace. Dealing with the customers related to home insurance, the management aimed at making sure that they conduct a survey on the level of satisfaction of their customers by conducting a survey on the client satisfaction. In this case, the management had to make a decree that all the customer care agents were to ask the clients if the customers were contented with the conditions in their homes. A lot of employees, according to the case of Happy Homes call centre failed to adhere to the set rules and regulations, for the reason that they did not get additional payment for the extra services they offered in the company. With a lot of the employees resisting change that was meant to improve the service delivery of the clients, the management was bound to work at the mercies of the dissatisfied employees. The progress of the organization, therefore, halted due to the resistance of change by the employees. Lines (2004) indicates the resistance of change in an organization can be defined as the move by the recipients of change to bar the progress of the organization. In the case of Wal-Mart, it is almost obvious that the employees also have their share of predicaments as far as paying allegiance to the management of the company is concerned. This results from the fact that the employees claim not to have proper wages that would match the kind of job they offer in the company. The workers in the stores specifically have been complaining a lot on their being overworked with minimal pay. A lot of conflicts between the managers and the employees have been indicated especially when the workers insisted on joining the labor union. In this case, therefore, the management has had very difficult moments in an attempt to deal with including these employees in employing change in the organization. For instance the company cannot convince the employees to work more and make more sales having not increased their salaries. Aspects such as employee compensation and promotion have not been attained since a huge number of employees quit their jobs before attaining their dreams in the workplace. This has automatically harboured the move by the Wal-Mart organization in effecting change in the organization. References Lines, R., 2004. Influence of participation in strategic change: resistance, organizational commitment and change goal achievement. Journal of Change Management, Vol. 4, No. 3, 193-215. Reflective Journal 6 Week 28 Managing change in an organization is a process that can arguably be boosted by cultivating proper communication skills between the management and the employees. If the management is able to communicate with the employees in such a way that these employees are able to execute the set targets, implementation of the organizational objectives will be successful. The case of the Office of Qualitative Social Science is a good example of the implementation of the goals of an organization through communication. Without no proper mechanisms to the changes that are likely to be expected in the organization, a lot of organizations have failed in their initiatives since a lot of employees have resisted change in the organization, with the obvious fact that change is always resisted. The Office of Qualitative Social Science did not hesitate to include the thoughts and advice of the union leaders in creating a lasting communication relationship between the employers and its employees for the success of the organization. The union also advocated for strategic planning whilst applying change in the organization so as the employees can embrace the change with a lot of ease. The Office of Qualitative Social Science management applied the changes in a continuous and consistent manner; thus, a huge percentage of the employees felt comfortable with novel structures being put in place in the organization. Wal-Mart stores have incorporated the concept of change implementation through cultivation of proper communication skills among its stores. Due to implementation of communication strategies in the organization, this has become part of the Wal-Mart’s culture; thus, leading to its fast growth since its establishment since its commencement in 1962. In the subsequent years, the Wal-Mart stores found their way into the stocks market. Today the stores enjoy massive profits that can only be attributed to organizational culture that relates to cultivating proper communication in the organization. In 1988, for example for instance the management was bale to open a new store in Supercentre with over thirty departments selling all manners of merchandise in the stores. According to Thau (2001), this is accredited to the ability of the management of the store to communicate the goals of the objective of the store that has seen a great percentage of the employees in fulfilling the same. Fifty years later, the Wal-Mart stores enjoy a lot of profits that would have otherwise gone to the drain were it not for the contribution of the management in devising a lasting market strategy and communicating the same to the employees; thus, an organizational culture in the renowned stores.  References Klein, S., 1996. A management communication strategy for change. Journal of Organizational Change Management, Vol. 9 No. 2, 1996, pp. 32-46. Thau, B., 2001. "Wal-Mart Takes on the World." HFN, September 3, 2001: 8. Reflective Journal 7 Week 30 In David’s case study, the implementation of LAN is only possible through application of change strategies in the organization. A closer scrutiny at David’s character, there is a clear indication of the fact that he lacks the ability to lead the organization to the completion of the tasks in the organization. However, it is clear for him that change is not possible without boosting communication channels within the organization. With this fact in mind, David comes with a plan that sees the implementation of the LAN. This, nevertheless, is not successful since he lacks cooperation from the rest of the organization’s members. David’s diplomatic skills are questionable, since he lacks the quality and ability to convince his subordinates towards implementation of the LAN. From this fact, it is warranted to argue that managers must be on the frontline to mobilize the employees towards a successful implementation of the organization’s objectives. If the managers cannot be the central force in implementing change in the organization, the organization is bound to fail in the attempt to succeed in implementing change. Pinto (1998) advocates for responsibility among the managers of all change projects in the organization, through mobilizing and motivating employees towards goal attainment. The example of the success of the Wal-Mart company can be accredited to the continuous implementation of the organizational objectives with its founder Mr. Walton taking part in the implementation process. As discussed earlier, the implementation process cannot be effective if the managers put a barrier between themselves and the entire process of change. Mr. Walton has always been on the move to take part in all the processes of the company since its commencement to date (Scott &Vance, 1994). For instance, he has always been keen to ensure that the stores are spread out in the entire world even in the rural areas. The founder has also for eternity been there to see the implementation of policies that have led the company survive in the competitive world. This has been made successful with the company spending huge amounts of money to educate the employees on the change process, ensured the stores are well coordinated amongst other roles. This is an elucidation of the fact that the management of the Wal-Mart company has been on the frontline in implementation of change in the organization, an aspect that cannot be ignored if successful change has to be achieved at all levels of the organization (Thau, 2001). It can arguably be indicated that Mr. Walton has set a good example for other prospective managers in the business world. He still insists that no organization can survive without the involvement of the managers. Managers must set the pace for implementation of change, and always be the ambassadors of change in the organization. With this, they develop a sense of belonging in the company and its issues; as well portray perfect examples of stewardship to the employees. Clearly, Mr. Walton is a complete opposite of David according to Scott &Vance, (1994) as depicted in the above case study. References Pinto, J. K.,1998. Understanding the role of politics in successful project management. International Journal of Project Management, 18 pp.85±91. Scott, R., & Vance, S., 1994. Wal-Mart. A History of Sam Walton's Retail Phenomenon. New York. Twayne Publishing. Thau, B., 2001. "Wal-Mart Takes on the World." HFN, September 3, 2001: 8. Reflective Journal 8 Week 32 Coordination of activities within an organization and managing change are intertwined. This fact can be attributed to the case of Walter Hollestelle that includes improper organization of activities within its structures. In this context, therefore, it is validated to argue that all activities in an organization rely on one another for success in the entire organization. The management of Walter Hollestelle faces massive shortcomings as a result of improper coordination. The failure of the evening’s banquet of Plastix International is one of the examples of failure of the management to implement the organization’s objectives as a result of poor coordination. In this case, the management had well documented policies and plans, but failed to coordinate the same structures to allow for the organization’s success. Besides coordination of the organization’s activities, the organization has a lot of issues that relate to collaboration and communication within its systems. According to Graetz & Smith (2007), organizations cannot survive without working in partnership among all the systems in the organization, which they refer to as organizational processes. This argument concurs with the duality theory that indicates that implementation of change includes group activities. This is an interpretation of the fact that all systems of the organization have to be well coordinated if the organization has to be attain its objectives. In relation to Wal-Mart stores, the organization has managed to be a renowned American corporation through coordination of activities in the organization. Troy (2001) indicates that the company has a huge clientele base that always needs to be serviced by the employees. This means that the organization had to employ numerous members of staff to deal with the huge workload in the stores. The stores are also spread all over the country, which means that there needs to be continuous and consistent communication with the managers of different stores so as to have a clear follow up of the company’s progress. This constant coordination has seen the company enjoy long periods of success since its entry into the market in the early 1960s to date. This is a complete contrast with the case of Walter Hollestelle that applies the approach of applying the basics of organization in a lone view. This leads to the validation of the argument by Graetz & Smith (2007) who believe in the fact that all processes and structures in an organization have to be in tandem if the change has to be beneficial and lasting in an organization. References Graetz, F., & Smith, A., 2007. Organizing forms in change management: The role of structures, processes and boundaries in a longitudinal case analysis. Journal of Change Management Vol. 5, No. 3, 311–328. Troy, M., 2001. "The World's Largest Retailer." Chain Store Age Executive, June 2001: 47. Summary Conclusively, change within an organization is bound to face a myriad of hindrances. It is, therefore, the role of the managers to ensure that the change process is well accepted by the employees through systematic application of the same so as the employees can be well prepared for the changes. The managers must always be on the frontline to advocate and implement change so as to set a good example for the employees in the organization. The environment must also be good enough if the employers have to implement change as this allows the employees develop communication with their employers. Read More