Managing Change turned on today in one of the important tools for global business and ensure to the enterprise’s growth successfully to compete in this worldwide economy.
The foremost purposes of this paper is to bring out the impact of change management process and the basic elements for SRB Retail Group (the company name has been changed due to confidentiality), in relations to external economic factors, which have led to re-engineering methodology to focus on efficiency and simplifications of existing process to give the link and path amongst the diverse tasks. (Waddell et al, 2017).
(Todnem,2007) , outline that in effect management of change is vital to each organisation in order to stay alive and be successful in the current, competitive and continuously changing business environment. It is about clarification of the uncertainties, needs, and requirements of the people in any business.
The assignment is about managing change process using the organisational issue analysing the suggested changes via Lewin’s change model method, in addition, will look at the change approach that can be implemented for future change. The paper will also appraisal the intervention methods of techno-structural interferences and leadership through change and will close with some recommendations for dwindling resistance to change.
Please recognize restrictions of analyses within the narrow word count limit.
Such as environment changes, corporations need to tailor they business if they want to be successful, under these stimulus organization are downscaling, re-engineering, changing structures, innovating in technology and going global. (Waddell et al, 2017).
‘A major challenge that the business are facing s today is to develop a management style and culture that will enable them to cope with the challenges and opportunities they face’ (Waddell et al. 2017 p.2). Businesses in the world today need to apply change management in their own way and the type of technique of change management adopted need to be steady with the goals of the organisation its situation. (Champy, 1995).
This paper emphasize on the change management process using the organisational issue via Lewin’s change model that was developed during the 1940\'s as this theory of \'Unfreezing-Moving-Freezing\' and it is still relevant today, considering the organization in terms of its internal framework as well as external environment, in relations to re-engineering approach to focus on efficiency and simplifications of business process. Waddell et al (2017, p. 36) state that ‘Lewin’s model provides a general framework for understanding organisational change’. Figure 1 below shown Lewin’s change model.
According to Nickols (2004, p. 1) the term ‘managing change \' has two meanings, both ‘the making of changes in a planned and managed or systematic fashion’ and ‘the response to changes over which the organisation exercises little or no control’.
Various litterateur including Szamosi and Duxbury, 2002 (cited on D’Ortenzio, 2012), signposts that change management is a unseen part and is present today in the organisations.
2. The Company:
SRB Retail Group (the company name has been changed due to confidentiality), is one of Australasia’s largest retailers, has a respectable market position in the leisure retail sector.). In recent years, the group had made ample investment improving core capabilities, expanding into new solutions and service, and consolidation of the multi-channel distribution infrastructure. (SRB Retail Group, intranet page)
The Group has operations in Australia, New Zealand, and China. Started in 1972 and on the Australian Stock Exchange over that twelve years ago, the Group has become one of Australasia’s well-known specialty retailers.
The focus of this assignment is on change management of SRB Retail Group in running towards business automation by integrating the business process, by moving away from a manual decision of the purchase orders creator to forward the approval request by email to the correct approver and start using an electronic process. In SRB Retail the workflow is not automated in SAP and is not the technique of validations which results in a delay on approval, thus payment deferrals and re-works as result of the manual involvement of the approval process.
3. SRB Retail Group External Environment
The business needs to get used to the changes as they growing. The external factors that bring change in the organization include economic, technological, social and governmental influences. The SBR Retail external environment can be appraised via PESTEL (Thompson et al 2014).
This business retain the excellent market position in the leisure retail sector and it been a wealthy retail commerce in many ways; however, the business needs to be in unceasing development to warranty the enterprise’s growth strategy success to compete in this universal economy.
SRB Retail Group not only needs to crop new services and goods also need to deal with technological enhancement. Figure 2 below outline the prospective external context.
The external influences for SRB, technological increase, and legal factors link in terms of change management. Many writers, including Gatling and Keohan (2011, p.5) ‘Cost of not automating the process is higher than implementing an automated process’, the firm needs to make changes in automating the purchases orders method to sustain a competitive advantage for the group (Sehgal, 2010). Technology is deeply used in improving process (Sehgal, 2010).
4. SRB Retail Group Organisational diagnosis:
‘When done well, diagnosis points the organisation towards appropriate intervention activities which will improve organisation effectiveness’. (Waddell et al 2017, p.134). To start with the diagnosis of the issue the firm need to gauge how the structure and management are in the organisation.
Internal impacts have a strong influence on business in Australia. (Internal and external influences on business opportunities, 2015). SRB can use in-house development (OD) professionals, somebody who know the business well and its essentials, someone who is familiar with current issues, transactions, activities, and roles to appraisal the areas for change and the overhaul require in the present process.
Lack of confidence on the current process and manual input can be diminishing, getting the accurate information to the right person, at the right time, and guaranteeing accountability. (Gatling & Keohan, 2011).
(Waddell et al, 2017), outlines that to review the process of the delineated issue, it can be done via Lewin’s change model. The OD specialists need to unfreeze current routing to apprehend the existing concern to identify the necessity for change and make everybody aware by delivering information and communicating the info to all areas in SRB Retail Group.
Lewin\'s model remarks that one of the best ways to involve and encourage people to change is to engage them to understand the need for change. (Lewin\'s 3-Stage Model of Change: Unfreezing, Changing & Refreezing, n.d):
The communication is meaningful in the unfreezing stage, so the personnel can become well-versed about the upcoming changes, the reason on why the changes are needed and how it will benefit the company and their jobs and performance.
5. Organisational Structure and Company Culture
Companies with stout, articulated values that are concentrated on the desires of their people have a significant advantage over those short of values. (Fairbairn, 2005).
SRB has a condensed organisational configuration and company culture values. Many writers, including Lefifi (2015) express that:
An organizational structure that can be categorised as being appropriate is depended on the goals of the organization, the environment that the organizations are doing business in and the type of work carried out by the organization.
SRB Retail (intranet page, n.d). Core values statement:
…. is committed to the development of a culture that engages and inspires its team members to live their passions and that underpins a successful customer and team member centric retail organisation.
(Waddell et al, 2017). The next step after the people are \'unfrozen\', via Lewin’s change model is moving, at this stage OD specialists need to look over the company culture and the organization structure, understanding the sources and methods of people’s behaviours in order to support managing changes to automate and restructuring the manual process; it can hardly be accomplished when is there some kind of intransigence. In this stage is when the change turns into real.
The culture of a corporate is displayed in the way in which the organization actions and carries out business. (Internal and external influences on business opportunities, 2015).
SRB can make sure of the change process using tactics to establishing and applying an effective change management approach, by communicating the change to everybody involved and winning the management support from all levels of the organization. (IT Process Automation Implementation 2016). When the members inside the organization begin to realize how the change is beneficial for them, for the corporation and those around them, will embark to take ownership in the change and drive it. (change-management-consultant, n.d)
Figure 3 below outline SRB set of five values that not only aid to define who the business is but help to guide the organization in the way they behave. (SRB Retail intranet page, n.d).
6. Collecting and analysing diagnostic information
Data assemblage resides of pull together information from both internally and externally, such feedbacks, designs, components, and outputs. (Waddell et al, 2017). Figure 4 outlines the four methods usage to collect data.
(Waddell et al, 2017) suggest that OD practitioners carry out an active role in collecting data from the employees for analytical purpose. For example, for SRB Retail Group the data assemblage is vital to clear ideas, understand the current issue to appreciate if is there a resistance to change from the staff to move away from the manual purchase order process approvals, or if is there the shortage from management visibility into business processes to introduce workflow automation. The collection of accurate data is an essential task but the most important issue in the collecting process is an analysis of the collected material (Tahir and Mukhtar, 2005).
Data can be pulling together through analyses from interviews with key current users and managers, a sequence of semi-structure interviews, surveys and questioners, and focus groups will allow qualitative information to be composed. The main snag with an interview is the quantity of time required to conduct and analyse the responses. (Waddell et al, 2017). The consultation usually involves one to one, it can be accomplished in the group consultation, and it can eradicate the problem for SRB Retail Group of time needed to conduct individual interviews surveys and questioners, due to a number of employees and different geographical location of the offices. (Waddell et al, 2017).
By carrying out focus group interview for collecting data, OD specialists of SRB Retail Group can select staff members and managers from various departments that are involved in the day to day purchase orders creation and approval process; this will allows feedback both ways, employees, and executive.
7. Feeding Back the information or data
Undoubtedly one of the most value methods in the diagnostic process is feeding back the info; OD practitioners need to review and analysis data and documentation, gave an upright hint of current process weaknesses in order to provide relevant recommendations for the client. (Waddell et al, 2017).
Not only the outcome need to be posted to the business management but also share down to focus groups and currents users. A crucial point of the feedback process is to assure that the business has ownership of the data. (Waddell et al, 2017).
8. Designing interventions
Waddell et al ( 2017, p. 156 ) outline that:
The term intervention represents a set of sequenced scheduled actions or events that are intended to aid a business to growth the effectiveness. Interventions are designed to disrupt the status quo; they are considered the attempt to move a business o subunit towards the altered the operational state.
After the OD practitioners had put together, analysed and feeding back the information collected, now the business can plan how the new process will work and will be implemented. Planning would be necessary for to carry out training, workshops on the new process and a way to communicate the changes. The OD practitioners in general set rollout timeline, beginning with a training period and followed by a rollout. Organization development intervention looks to modify specific features of part of the business. (Waddell et al, 2017).
9. SRB Retail Group Change Management
9.1 Implementing change
The suggested change via Lewin’s change model is the third and final step (refreezing), the importance is on the emphasizing of new processes and tasks in the business by the employer.
Waddell et al ( 2017, p.161 ) state that ‘ unfreezing the status quo will be extremely difficult’, engage management to support the changes from the entire organisation as the change is carried out would help the staff to be motivated and committed to change. Multiple papers, including (Forsyth, 2012) displays that there is a habitual disposition to resist change, so it is important for the organization that individuals see that this change it as contribution some personal benefit, progression and career developing.
A suitable implementation of business processes strengthens the ability to train employees by automating the manual steps and allowing them to emphasize on tasks that drive income. (Grover, Varun & Lynne, 2008).
Communication is vital at this stage to success, thus offer employees with an indication that the changes have had a positive impact.
Kotter (1995), summaries 8-Step Change Model is one of the change management models which is beneficial in complying with the change management program. Given these facts, the steps are outlined below in Figure 5.
9.2 Evaluating change
The assessment process is impacted by equal measurement and research design, (Waddell et al. 2017). The evaluation of change contemplate inputs from the quality and project management processes, so is important that the management of the organization to take the initiative in assessing if the goals planned in change management process were met or not, they can do this by pursuing constant feedback at the same time as the new process is rolling out and may also consider changes if something is not working. The change should be checked and measured whereas it is being implemented. ( D’Ortenzio, 2012).
Carrying out the change will be required at key indicator throughout the change program to appraise any modifications needed for improving success.
10. Techno-structural intervention
The business can take a benefit on using techo-structural intervention approach to managing the change, which includes changes, such as, reorganizing the company and changing the designs of specific jobs to support strategic directions. (Waddell et al. 2017).
This approach refers to the intended at reducing the size of the organization it pursues to reduce cost and bureaucracy. (Waddell et al. 2017). Usually, this type of intervention is accomplished by organisation redesign, lay-off, and outsourcing. By implementing the automated process the SRB Retail Groups can decide to redesign and improve on the new process to do approve purchases orders and eradicating bureaucracy in process management. Process enhancements and process redesigns must frequently employ technology to accomplish foremost improvements in performance. (Ayers 2001).
(Wang, Chan & Pauleen, 2010) ‘Reengineering is the essential rethinking and crucial redesign of business processes to achieve enhancements in vital existing procedures of performance, such as cost, quality, service, and speed’.
SRB Retail group can take an advantage on rethinking ad redesign the business process, taking an advantage of information technology in order to reach improvements in performance. (Waddell et al. 2017).
Figure 6 below outlines the steps of the business process.
11. Knowledge management and Built to change
Many writers, including Waddell et al (2017, p.208) outline that: The important outcome of organization awareness process is organization knowledge.
Organizational knowledge can carry to organization enhancement in their workforce management processes, and it can use the knowledge from key areas to managing this change process for a positive and beneficial result for the enterprise.
Even though this change management process relates the Lewin’s change model method, after the change management process has been fulfilled and the business is the final step of Lewin’s change model method “refreeze”, the organization can take an advantage to obtain benefits from using the built to change approach due to they are founded on design guidelines covering people, plant, process and performance than can be foundation of sustained competitive advantages . (Waddell et al. 2017).
12. Leadership through Change Management
Leaders in any organization have a critical part to play in managing change. Many authors, including D’Ortenzio (2010, p.52) outline, Leaders, have to be responsible for the organisation for the outcomes of their plans and results.
The executive need focusing on the coordination, need to put emphasis on insightful of the business and need to be the leaders of transformational change. Lewis, 2016 outline that:
Effective change management is a joined effort between leaders, employees and/or anyone else involved in the change process, which guarantees that organizational change fits with the people in the organization and that everyone’s needs are met.
Roger (2003) study (cited Lewis, 2016 ) outline that:
Organizational change involves reliable leadership that attends to all four human dimensions (cognitive, spiritual, emotional, and behavioural), in addition, the alignment of values in order to avoid resistance to change.
13. Conclusion and Recommendations:
Even though the emphasis of this assignment was very general, it has been shown from this paper that the organizations change can only be successful if it is supported by all individuals. (Hewlett-Packard, 2015).
Change management is critical in any business. For SRB Retail Group as any other business, leaders are accountable for the formulation and carrying out of change. (Hewlett-Packard, 2015).
Given these facts, it is recommended for SRB Retail Group in relation to managing change to evaluate the existing skills of the staff and compare that to the skills required to execute the automated processes. (Todnem,2007). For any business by taking a proactive tactic developing and applying an effective change management approach, the experience will be substantial more optimistic for everybody involved. (IT Process Automation Implementation 2016).
Moreover, is recommended for the organization to remember the accomplishment of changing management does not depend only on the leaders support, it all depends on all the individuals involved in the changing process. In fact (Bommer, Rich,& Rubin,2005), outline:
all of the effort involved in organizational change does not have to be positioned upon leaders themselves, as individuals from all levels of the business are competent of coming up with innovative ideas to the management change, and staff will be more likely to accept changes if they contributed to the manner.
Additionally would be outstanding for the organisation to conduct external analysis by observing how other local retail business such as Anaconda for example and other large international companies for instance Amazon are managing similar business process.
In addition, SBR Retail Group can take an advantage on using tactics to diminish the resistance to change, such as implementing the change objectively, communicating the changes and training the staff involved in the new procedure as well constructing support and commitment from these individuals. (Khan, 2014 )
In summary, Lewin’s model delivers a useful framework for understanding organisational change but it is occasionally misunderstood by organisations and is used sometimes as an implementation plan. Though, as a model, it has provided an understanding that has empowered managers to contemplate change and to instigate the development of such a strategy. ( D’Ortenzio, 2012).
However, (Waddell et al. 2017), shapes that Lewin’s approach has been used to clarify in what manner information technology can be applied more successfully. Furthermore, for organisations which look for to thrive in today’s worldwide business, for instance, SRB Retail Group, improvement is often vital to success, but only if it go along with effective management of change. (Agarwal, 2009).
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