Work integrated project - Lab Report Example

?Work Integrated Project Table of Contents Table of Contents 2 Overview 3 Rationale of Change Intervention 4 2. Perspectives for Change 5 3. Change Strategy 8 3.1 Description of the Adopted Change Strategy 8 3.2 Evaluation of the Choices and Constraints the Organization Faced When Choosing the Resulting Strategy 11 3.3 Change Model 11 3.4 The Strategic Planning Tools Used As Well As How They Were Modified Or Abandoned To Suit Organizational Requirements 12 4. Evaluation of Limitations and Alternative Proposal 13 References 15 Bibliography 17 Overview Swan Sweet is the manufacturing and wholesale segment of Lebanese Sweet and is located at Maddington, West Australia. Swan Sweet was founded by Hassan Youssef in the 1920’s and was then known as ‘Hassan Youssef Sweet Lebanon’. The company has positioned itself as the key supplier of confectionery items for the business market. Swan Sweet offers sweets and other catering solutions to fulfill all the business needs of their customers. They are well known for their supplies of freshly baked Baklava, a variety of Mediterranean pastry. They also offer wholesale solutions to their customers for promotional proceedings and corporate events by providing bulk products enabling the clients to develop and build their businesses (Swan Sweet 2011). The report addresses the issues pertaining to a change intervention process of Swan Sweet. The report analyzes the internal and the external drivers which led to the change intervention in Swan Sweet explaining it’s rational and purpose. The study considers the change perspectives that might have driven the owners of Swan Sweet. The study also describes the change strategy adopted by the management of Swan Sweet and demonstrates the approaches employed for the development as well as implementation of the change strategy. An assessment has also been made of the options available to and restraints the company Swan Sweet faced when selecting the resulting strategy. The report also confers about the strategic planning tools employed as well as how they were customized or discarded to match the organisational requirements of Swan Sweet. The report evaluates the confines of the change intervention process, and finally proposes alternative change perspectives and strategies for the change intervention in Swan Sweet. 1. Rationale of Change Intervention Swan Sweet has evolved over the years since its foundation in the 1920’s and has under gone various modifications in their functioning process. Swan Sweet’s incessant up gradation in terms of quality is aligned to their objectives of customer satisfaction. Swan Sweet has implemented a distinctive blend of technology and service to offer sufficient products options. The product service of Swan Sweet is designed in a mode that it enables the customers to specify their exact requirements. Swan Sweets ensures that each and every product delivery made by them is unique and precisely as per the requirements of the client. Customer service and customer satisfaction is the top priority of Swan Sweets. The company guarantees to deliver every product order on accurate time, as per the agreed budget and of the best possible quality. Swan Sweet’s goal is to provide customer delight by means of the utmost levels of service and quality achievable (Swan Sweet 2011); this had served as the internal driver or the principle which had motivated Swan Sweet to employ incessant change in order to upgrade the level of the services provided by them. The management of Swan Sweet believes in contemporary marketing technologies and has also developed online shop for marketing their products. The management of Swan Sweet was certain that there was a demand for an online platform which would provide best quality sweet and other confectionary products for the business segment (Swan Sweet 2011). The success of their online delivery service has proven the existence of such a requirement amongst the public. In the initial years of the formation of Swan Sweet, the growth of Muslim populace in Australia and the rising number of Lebanese immigrants in the country acted as an opportunity for the company to strengthen their hold in the market. Eventually, the high quality of their products and the good quality service provided by them, made Swan Sweet popular amongst the non-Lebanese groups as well. Thus, the urge to provide superior customer service and the external demand for better service in the form of online shop, led Swan Sweet to various innovative transformations to meet the business requirements of their customers (Swan Sweet 2011). 2. Perspectives for Change There are fundamentally ten perspectives of managing organizational change. The biological perspective states that the changes taking place in an organization is similar to the ones taking place in the natural world. It is based on Darwin’s theory of ‘survival of the fittest’. The institutional perspective considers the various forces in the external industrial environment such as the social, cultural and legal forces responsible for the change brought about in an organization. The rational perspective of change management is based on a strategic approach when the process is based on continuous planning in reaction to the rapid changes that take place in the business environment. The contingency perspective has a very behavioral outlook which is governed by circumstances and according to it there is no best way to implement a change. The resource perspective confers that the acquirement and consumption of resources is a significant action driving the change process. The psychological perspective confers that a change process in an organization depends on every individual’s own psychology. It emphasizes the importance of resistance to change as it is a form of psychological reaction to change. The political perspective states that the process of change is driven by aspiration to initiate fresh philosophies or approaches in the organization. The cultural perspective states that change is presided over by the principles and ideas of members in the organization. The systems perspective believes that change should be holistic and takes into consideration the affect of change in one division of the organization has on the other. The postmodern perspective believes that change is best comprehended through societal reality, and that change needs to be innovative and confront business mindsets in order to thrive in todays highly aggressive and rapidly shifting markets (Graetz, Rimmer, Smith and Lawrence 2011). In this case, the change perspective motivating the management of Swan Sweet to initiate change in their organization seems to be the biological perspective and the rational perspective. Swan Sweet made minor changes and evolved over the years, which confer upon them competitive advantages and made them one of the very important suppliers of confectionery items for the business market. With time, these new advantages, for example the online shopping platform, would be picked up by further organisations and then gradually be accepted as industrial standards. In this logic, industries evolve progressively just like species in response to their environment. Swan Sweet has followed a very planned and calculated approach since its inception. The company’s outlook was based on the alliance between its competencies and its surroundings. Most significantly, this alliance was within the power of management of Swan Sweet to influence because they were charged with the best use of resources to achieve organisational objectives. Furthermore, as soon as the objective of Swan Sweet to provide high customer service was specified, the process of organisational change was purely the result of sound planning and execution. Change is generally said to be held resolutely in the hands of organisational leaders, its success is considered to be a reflection of their capacity to transform objectives into actions, while dodging environmental limitations. It is also assumed that the projected final destination of an organisation is the steering power behind the change efforts (Weick and Quinne 1999). The planning process was central in the organisational change of Swan Sweet and it was much focused in its approach. The changes in the company came about in a linear and straightforward way; the outcome of the planned interventions of the management of Swan Sweet was as expected. They were convinced that there was a need for an online platform providing customised best quality sweet and confectionaries in the market, and accordingly they brought about the change in the organization and the success of the service proved that their planning and the implementation process was accurate (Swan Sweet 2011). 3. Change Strategy 3.1 Description of the Adopted Change Strategy The change in any organization is mainly unplanned and gradual. In the change strategy an organization can follow several approaches. Classical Approach to Strategy The productivity is the ultimate objectives of the business in classical approach and it is achieved by rational planning. The classical approach illustrates broad disciplinary and symbolic support (Whittington 2001). Evolutionary Approach to Strategy Evolutionary approach does not depend on the top level management’s ability to plan and perform reasonably. Instead of relying on managers, this approach believes that market itself can decide profit maximization. Whatever strategy an organization will implement, the best strategic performance is the one that remains. According to this approach, competition cannot be overwhelmed by detached calculation like classical approach rather by continuous struggle for survival in the business environment. The core evolutionary theory is based on the biological principle which states that best performing organizations survive and progress and the weaker performers are wiped out from the market (Axelrod 1986). Processual Approach to Strategy Processual approach differs with the evolutionary perspective. According to this approach a company and market are formed with uncertainty and mess. The best processual method is not to strive for supreme performer but act with reality. Systematic Approach on Strategy Systemic theorists consider that a company is able of planning and performing efficiently. The economic activity cannot be detached from common relation such as family, nation or religion. According to this approach, the social aspect can manipulate the earnings and trimmings of a systematic approach and describe about the appropriate behavior of an organization. In systematic approach, a company is not only made up of persons but the social groups which have varied interests. This strategy relies on the social setting of an organization. In the Swan Sweet, the classical approach on strategy had been followed for change as the main objective of the change was to increase the profitability. Through rational planning the Swan Sweet had accomplished the organizational change. The main strategic aim of Swan Sweet is to earn sufficient return on investment in the long run. Ansoff Product–Market Mix The product–market mix of Ansoff is a popular business development strategy. In the expansion or development of business, a firm can select the best appropriate strategy which suits its business condition. According to Ansoff, there are four strategies that a company can use. Each of these strategic alternatives includes diverse opportunities and downsides for different firms. Thus, if one strategy is appropriate for a particular business it is not essentially be appropriate for another company (Ansoff n.d.). The four strategies are illustrated below: Market Penetration: In this strategy a company raises sales of existing product in the existing market. Product Development: This strategy is recognized with developing new products for the existing market. Market Development: In market development strategy, an organization attempts to sell the existing product in the new market. Diversification: In diversification strategy, an organization developed a completely new market for selling new products. Swan Sweet had adopted the market penetration and market development strategy for development. By providing high quality services and technology, Swan Sweets is able to increase its market by fulfilling requirements of customers and providing great customer service. It had developed new market in Australia and became popular in the non-Lebanese groups. Through its marketing strategy, Swan Sweet had successfully attracted new customers and developed online marketing segments. 3.2 Evaluation of the Choices and Constraints the Organization Faced When Choosing the Resulting Strategy For selecting any strategy, firstly an organization needs to agree with the overall objectives of the business. The evaluation of the strength of the organization is critical aspect in the development of strategy. Swan Sweet had faced product and environmental constraints while choosing the strategy. The benefits that are derived from the products of Swan Sweet and the offering are the main concerns for choosing strategy. Besides, Swan Sweet had faced several environmental challenges such as competitors in the new market, demographic changes and cultural changes and it affected the choice of strategy. 3.3 Change Model The approach adopted by Swan Sweet for change strategy development as well as implementation is fundamentally based on Cooperrider’s Appreciative Inquiry model of change. The change strategy implemented by Swan Sweet focuses on changing the whole organization systemically by using the collective insight of the organization through facilitated group meetings. They follow a very holistic approach. Any organizational change in Swan Sweet is primarily based around four central thoughts; they assess what changes have to come about, the essential environment in order to facilitate the changes to do well, the existing collective conditions, the means for nurturing the conditions. The Appreciative Inquiry model involves a 4-D Cycle which has five key phases. The phase ‘Affirmative Topic of Choice’ involves deciding what is to be particularly analyzed; ‘Discover Phase’ engages in exploration to be aware of what has happened till date and is presently happening within the organization. This is done through individual interviews of all the employees. The third phase ‘Dream’ involves visualization of the combined expectations within the organization for the future of the organization. This is generally achieved through big group meetings. The fourth phase accumulates the recognized dreams and ‘Designs’ what the organization should be. The final stage ‘Destiny’ focuses exclusively on the individual and organizational commitments and the way ahead (Whitney and Trosten-Bloom 2003). Swan Sweet had centered each of the phases of change intervention on the company’s positive foundation, strategies, positive approach, best practices, resources and potential. Essentially, this systematic approach appears to be the source of the Swan Sweet’s competence. In the end, the holistic and proactive approach employed by Swan Sweet resulted in the development of fresh organizational practices, actions, methods and structure. 3.4 The Strategic Planning Tools Used As Well As How They Were Modified Or Abandoned To Suit Organizational Requirements Strategic planning provides the roadmap for the future of an organization. Strategic planning procedure adds configuration to organization’s planning exertions and supports appropriate examination, suitable strategy design and positive evaluation (Simerson 2011). In the change process of Swan Sweet, the SWOT analysis and competitive analysis tools had been used. Through SWOT analysis, Swan Sweet was able to understand the internal as well as external factors that were required for strategic planning. With the help of SWOT analysis, Swan Sweet had able to take the advantages of the new market and expand online business. The Competitive analysis helped Swan Sweet to know about competitors offering and implement strategies regarding products and services for gaining competitive edge. 4. Evaluation of Limitations and Alternative Proposal Swan Sweet had employed the change intervention process in the organization in a fairly good way. However, there were few limitations in the implementation of the change intervention strategies in Swan Sweet. The company had in general employed the biological and the rational perspective in the change execution process. But, the biological change perspective brings about slow change and since it is not rapid, it is not applicable to proactive changes. Though the rational perspective approach of Swan Sweet is much planned and systematic, but often the initial plans have to be altered and modified in response to the fast changing atmosphere in the business environment where unexpected issues might come up anytime (Porras and Silvers 1991). The alternative option could be the systems perspective as it is a very holistic and realistic approach which ensures that the changes in different strategies and different divisions of the company are harmonized and mutually supportive (Graetz, Rimmer, Smith and Lawrence 2011). Swan Sweet had relied on the prescriptive or the classical approach to strategy. However, the approach is considered to be mechanistic, rigid, and dependent on quantitative tools as well as methods of uncertain strength. The result of this approach which seeks to prescribe how a strategy should be brought about is that organizations do not apply a rational approach to the process of decision making (Whittington 2001). The alternative approach for strategy could be the analytical approach, which instead of telling a company how to build their strategies tries to analyze and understand the complications of the company and also considers the various forces that affect the way the company builds its strategy (Burnes 2009). Thus, Swan Sweet could follow a more qualitative approach based on the management’s choice and preferences and apply the approach for a proper implementation of change. References Axelrod, R. 1986. “An Evolutionary Approach to Norms”. The American Political Science Review. 80 (4). Ansoff, H. I. n.d. Strategies for Diversification. Harvard Business Review. Informit Online http://foswiki.org/pub/Sandbox/SimiWiki/Strategies_for_diversification.pdf (Accessed August 05, 2011). Burnes, B. 2009. Managing change. UK: Pearson Education Limited. Graetz, F., M. Rimmer, A. Smith and A. Lawrence. 2011. Managing organizational change. Australia: John Wiley & Sons. Porras. J. I. and R.C. Silvers. 1991. “Organization Development and Transformation.” Annual Review of Psychology. 42: 51-78. Swan Sweet. 2011. Swan Sweet. http://www.swansweet.com.au/ (Accessed August 04, 2011). Simerson, B. K. 2011. Strategic Planning: A Practical Guide to Strategy Formulation and Execution. California: ABC-CLIO. Weick, K.E. and R. E. Quinn. 1999. “Organizational Change And Development.” Annual Review of Psychology. 50: 361-386. Whitney, D. K. and A. Trosten-Bloom. 2003. The power of appreciative inquiry: a practical guide to positive change. US: Berrett-Koehler Publishers. Whittington, R. 2001. What is strategy, and does it matter?. UK: Cengage Learning EMEA. Bibliography Norbutus, D. K. 2007. Exploring the experience of organizational transformation: contrasting episodic change with continuous change. UK: ProQuest. Palmer, I., R. Dunford and G. Akin. 2005. Managing organizational change. India: Tata McGraw-Hill Education. Smith, A. and F. Graetz. 2011. Philosophies of organizational change. UK: Edward Elgar Publishing. Read More