The Importance Of Systematic Change Business Essay

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This report discuss about the impact of systematic change in Timezone Games, Queen Street, Auckland. It is the top performing store of all Timezone branches in New Zealand. The company - Timezone is one of the largest entertainment centres in the world, it was originated and founded in Australia and had branched out with 200 stores operating in Australia, India, Indonesia, Singapore, Vietnam, Philippines and New Zealand. Coin Cascade Ltd. is the franchise holder for Timezone New Zealand and also the largest importer, manufacturer, and distributor of electronic coin-operated equipment in New Zealand.

The project discuss the impact, benefits and how the implementation of systematic changes within the branch/store. The systematic change focuses three dimensions: first one is on inventory management, second is on methodical communication amongst employees and third is on the importance employee training. The findings indicate a need for change within the system of workplace and needs orientation on the process itself. The limits of the research are contained within Timezone itself and the time for the investigation was done on a limited time.

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The project has conducted a thorough research, investigation, interviews, preliminary study, keen observations, SWOT Analysis within the organization and interrelated to The Lewin's Model of Change to implement such changes. At the end of the research, the aim is to define, measure, analyse, improve and control the systematic changes within the store that will benefit all employees and give improvement to the process. This can be of great help for the company in achieving one direction in an orderly manner.

Introduction

Overview of Business Problem

The Setting: Change is integral to every company; adherence is the vital part of it. Change itself is irrelevant without the participation of the people involved within the organization. There are a lot of ways to infiltrate changes in the company but the question is are we ready for it? Ready or not we should be susceptible to it because change happens all the time. The degree of change is what only that matters.

Being a company that deals with games and entertainment, customer service and in hospitality industry the major setback and challenge within the company is having a systematic change when it comes to process and how is it going to be implemented. Acceptance is not a problem because there is no way to go but to move forward, deal with it and commencing with it is the main thing. How do we begin? That is the main question.

The Problem: It was clearly identified that the business problem of the company is that there is no standard in operating procedures as to:

The proper handling of inventory of redeemable items and inconsistent FIFO (First-in, First-out) method of food items as prizes

Process of communication, forms being used and systematic procedures in the store

Lack of employee training on how to operate and do preliminary maintenance and trouble shooting of the machines and equipments, how to do first aid in case of accidents and emergence of trouble

Value of the Research: Given the identified business problem, the application of a solution is needed to help address what is embarked upon in this research. This includes the clear indication of methodology and research instruments used to help identify and analyse the problem, and a justification of applied management concepts that is relevant to the situation. In this research, an explanation of how the business problem was undertaken, what specific data that is relevant to the problem was gathered, and steps to implement was stated. Given all above statement problem solving techniques, research instruments and its justification is clearly defined to address the issue and come up with recommendations.

Aim and Purpose of Study: This is a good opportunity to present an in-depth analysis within reach on a management and employee perspective that can support and give advantage to the organization in the future not only in Timezone Queen Street branch, but in all Timezone Stores in New Zealand. This will give relevant information and study on how systematic changes will directly affect the store on its relation to achieving goals and objectives.

Methodology

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Research Process: The focus of this preliminary study was primarily on the systematic changes and aimed at perceptions of actual changes attributed within Timezone Games. A detailed questionnaire was developed and aimed at determining the effects of systematic changes on inventory management, methodical communication process and the significance of training program amongst employees. Twenty-two questions were used to determine predictor or impact variables. These are shown in Appendices 1. It was expected that competency in internet use can be associated with perceptions of success in doing research and questions probed in this issue. Second, questions asked about the effect of change within the organization and management. We were particularly interested in the possible impact of systematic change on the development and maintenance of teamwork structures in organizations and included in questions on that subject. Finally, there were questions that asked about personal variables like the relationship between company structure and systematic changes and changes in routine at workplace.

Here we relate the vital points of the research paper, where I have gone through the gathering stage of data that is necessary in finding the appropriate information, identify all suitable methods and finding available resources. Data captured a big question where the primary stage talks about the systematic change itself and the secondary data talks about the detailed information regarding systematic change. Another stage is the analysis stage, where it is based on the respondents' feedback on the issues concerning the research paper. It was done in a logical manner in such a way the research paper will have a complete picture of the whole research process. The gathered data have been gathered was converted into valuable information used to analyse the research and how it will go through the process.

Primary Process: The gathering of data was conducted through means of a detailed survey making use of a questionnaire done on a one-on-one interview to 6 persons and has completed in 5 days since the staff members have different shift schedules at work. In the conducted interview usable responses were received and that there was no noticeable bias involved. The response rate went over thirty to forty-five minutes to complete interviews and was considered excellent. Please see Appendices 1 for the questionnaires used for the said interview. Keen observation was considered in gathering relevant data on the research process.

Literature Review: To be able to assess, rationalize and arrive conclusion to the identified business problem, I make use of the SWOT Analysis [2] and have associated the DMAIC Principles [3] to support the analysis of the business problem, supported by using an opinion poll which I handed out sets of Questionnaires [4] to the staffs employed in Timezone their opinions when it comes to the working conditions of the store and have done keen observation during work hours were the tools and techniques used to help in solving the identified business problem.

Apart from that of the above methods I have come up with the 5 Whys [5] to support the research:

Why we are having problems related to productivity and efficiency?

The methods and processes used are outdated.

Why we are using these outdated methods?

Because staff and management do not want to change it.

Why they do not want to change these processes?

Because they are afraid of using new things.

Why they are afraid of using new things?

It may lead to chaos.

Why it will lead to chaos?

It may not be well planned and systematic.

The title of the questionnaire is "Dealing with Systematic Change" [6] consisting different questions tackling the dimensions of the workplace within the boundaries of systematic changes of the store including the staffs' perception of the company, the management and towards professional development. All members of the team are included in the conduct of the research and have drawn out insights from the group and conclude on an evaluation needed for the identification of the problem and its important solutions.

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Strengths and Limitation: Below is the summary of the surveys for the research:

Population: 6 employed staff working on a specific day

Intervention: 6 staff answered questionnaires on dealing with systemic change in the workplace

Control: All staffs participated in the research

Outcome: All staffs agreed for systematic change that will make work easier and orderly

Methodology: Detailed interview and make used of questionnaire

Management Theory: Since the research is focused on change I have incorporated the Lewin's Model of Change [7] as well to powerfully and successfully implement the change within the organization. In this model we try to understand why there is a need for change and will undergo the three stages of the model. It should start by creating the motivation to change, promote effective communications and empower people to adhere to change, and return to the state of stability. The three stages are as follows:

Unfreeze - it is necessary to first prepare the organization to accept change by developing a persuasive message why certain things must not be continued, like usual methods used in the work place, the inconsistency of policies and procedures, and the non-existence of process

Change - people involve in change needs more time to understand and accept changes as they need a constant communication as well for the transition period, hands-on management is best approach

Refreeze - management have to make sure that the change are used at all times as this is the important stage and have to celebrate the success of the change as a closure and hope that it will be successful

Given with this sample size and the outcome of the research, have moved on in working at developing a feasible solution to address the issue of the business regarding systemic change.

Results and Discussions

Primary Research: Imminent from the data that have gathered using SWOT Analysis and analysing the results from the answers of the respondents, there is a correlation of systematic change in the company to achieve its objective. The Strengths, Weaknesses, Opportunities and Threats are clearly stated:

Strengths:

Established chain of gaming stores and location within New Zealand

Obtained and established brand name and customer recognition

Appeals strongly to the young market

Only gaming centre with concept of redeeming of prizes

Weaknesses:

With the concepts of gaming arcade, games are becoming obsolete

No new redeemable prizes in-store

Non-existence of systematic procedure in inventory, communication and training methods

Opportunities:

Improvement of communication method and forms used in all stores

Consistency of standards and operating procedures in all stores

Easier analysis of financial position

Threats:

Potential food poisoning to customers

Possibility of theft amongst employees

Profit loss due to credibility and poor standards

Possibility of safe hazard on customers

Analysis of the Data: Based on the given questionnaires and conducted one-on-one interview interpretation and analysis is given in relation to the three identified problems.

The proper handling of inventory of redeemable items and inconsistent FIFO (First-in, First-out) method of food items as prizes:

Four out of six employees have encountered complaints regarding expired or foods that are not viable for consumption in redeemable prizes. The need for systematic changes regarding the handling of food items and inventory of which is high and is significant to the company. On the other hand, there is an inconsistent schedule of checking and monitoring of inventory based on the answers given.

Process of communication, forms being used and systematic procedures in the store:

Shifting of staff members is being followed, but the existence of proper endorsement is not being practiced. It is sometimes not given importance and bypassed that's where problems in communication is clearly identified. Forms, daily task books, calendars are present within the store but it is not always used and the irregularity of use and different methods were taken individually according to the knowledge of every team member. The importance of standards and operational communication process is highly regarded.

Lack of employee training on how to operate and do preliminary maintenance and trouble shooting of the machines and equipments, how to do first aid in case of accidents and emergence of trouble

All respondents have encountered faults in most of the games but how to troubleshoot and do preliminary maintenance is the main concern. Not everyone has been taught how to operate in detail and properly manage the gaming machines. Their knowledge is up to the basic on and off procedure on a several games. Thus some customers are annoyed on how employees deal with certain situations. While accidents and in the cases of emergencies may not be that frequent, employees are vigilant in the occurrence of such because of the lack of knowledge on how to do the first aid in the cases of accidents, cuts, bruise, etc. it is necessary to have that kind of training to know how and what to do in case of fortuitous events.

Possible Solutions: Given all the data gathered based on the answers of the respondents, systematic change within Timezone Games is really relevant and necessary. This proposal is solely based on the inference I have formulated from the data gathered to support the inquiry to the problem and assess the initial risk and potential pitfalls of such proposal. As this is a study of the business itself and by the application of acquired management principles and techniques, it is imperative to focus on solid and practical solutions that can eventually benefit the business in the long run. Such benefits would mean an increase in profitability and achieve sustainability as well.

The understanding of the Three Stages of Change in Lewin's Change Management Model is the key element but this will depend on how the team members will respond and understand the change progress. The Unfreeze - Change - Refreeze is the three stage process as described. Constant communication and time management is substantial and tangible way in the implementation of systematic change. There may be a need but if the message is not relayed it is yet unsuccessful.

The proposal for a solution would entail on creating - 1A systematic procedure on how to manage inventory by incorporating the FIFO (First-In, First-Out) Method, by having a methodical inventory stock take procedures and organizing stocks inside the stockroom and at the counter area. 2A systematic procedure that would require every team member to follow, a form that will be easy to understand and use, and a communication method that is explicable to every team member. 3The request for training in gaming machine handling on the preliminary maintenance and basic trouble shooting as well as handling in case of emergency situation like accidents, trouble, fire, etc.

The opportunity like this would involve the normal day-to-day instead of per project operations. This would mean that there are better chances of eliminating complaints, irregularity at work and misunderstanding. This set up could help sustain the business of the company in the long run especially by culminating the old routine and do the systematic and orderly method. Creating such opportunity would give the significance that the company will take consideration the need for systematic change.

Management Theory: The association of DMAIC Principles in eliminating deficiency on process, services and procedures have taken into consideration. Since the Six Sigma [8] is a disciplined approached and methodology for elimination of defects in any process not mainly on a product which has no significance since Timezone is rendered on value of services to customers. The emergence of this study helps eliminate the total quantity and quality in chances of shortcoming. Definition of the problem, states on the systematic changes and how to adhere to it; Measure the boundaries and scope of the problem, based on the demographics of the store; Analysing the problem, identifying the root cause and that systematic change is necessary in all stores; Improve the problem, implementation on systematic changes within the store as pilot project; and Control the systematic changes, to continue such progress to achieve standards and implement in all stores.

Conclusion and Recommendations

Timezone Games as the leader in entertainment and gaming industry in New Zealand need not only to rely on the existing structure of the company. They should consider revitalizing as well by implementing such systematic change. The company should not be complacent in their situation now as change is inevitable. The sudden emergence of a competitor might be a great threat for the organization as the company is taking all those significant variables lightly.

Systematic change will not start in a spur of time; it takes a while to infiltrate the whole organization. It starts from one pilot project until every one has to embrace that change to be able to go for that one direction. To eliminate imperfection there should be a systematic procedure and standards should be set. Change starts amongst employees and it should be guided by their superiors. As said communication and time are the key elements in systematic change. By recognizing the Lewin's Model of Change with its three distinct stages of change, the company can plan to implement the required systematic changes. It should start by creating the need for change (the unfreeze stage), go on with the change process itself by promoting effective communications and empowering team members to adhere to the new ways of working (the change stage), and then finally when everything is going back to the sense of stability (the refreeze stage).

This recommendation is for improving the systematic procedures and standards in operations of the company. This establishes a foundation of the organization to do better in handling customer satisfaction in terms of systematic food handling which is health hazard to them and their protection inside the store premises that is safety hazard as well. This may also help in reduce, control and manage costs by having a monitoring sheets, scheduled checking of stocks (food and non-food items) by eliminating theft and loss, the cost of calling technicians to do the trouble shooting if the problem is not that severely damaged, and customer complaints that may greatly affect the status of the company. And lastly this may help all team members understand each other well achieved through the formality of communication tools and methods.

It is also necessary to learn about systematic change itself and how it can benefit the organization for good. Learning from actual experience is essential for adjustment and adherence to change. Team members and the organization changes both common and unique directions. Systematic change usually affects the company structure, chain of command, responsibility units, the company culture and values. But in effect, it can sustain and last the business and refine it through and through.

The required skills would be knowledge of the company's products and it's food redeemable items - by knowing how to safe keep and handle food items properly and in orderly do the FIFO (First-In, First-Out) method; the communication and analytical skills in relaying messages and providing forms for proper endorsement and filing process; and the need for training on how to do preliminary maintenance and basic trouble shooting of all the gaming machines in case of faults, the company should be able to provide it as soon as possible.

The follow through of the research project is as follows:

Proposal presented and approved by tutor

Proposal presented to the Manager - Timezone Queen Street

Presentation to panel of mid-level to senior management

Ensure buy in of the business problem identified in the paper

Propose viable solutions

Work out viable solutions within the team

Get feedback from the team through consultation meetings

Implement the agreed solutions, if there are any revisions

Get feedback from the managers.

Call for a general meeting after one quarter to evaluate the running results and discuss what is working and if there are any rooms for further improvements.

This proposal upon validation will be presented to the Store Manager of Timezone Queen Street as preliminary review and see how will go through the process of systematic change and implement proposed solutions to the problem. There will be a feasibility study to be conducted within the Management and will be applied in effect once this has been established. It can not be denied that the management have not given importance on the standards and quality of procedures in all stores. The company has ignored the factors on handling inventory, communication process, and Timezone Queen Street may be just one store but it is the top performing store here in New Zealand. Hence, it is viable to do the systematic changes first within the store branch.