Before we start to discuss on organisational change i would like to define it first organisational change is the process in which change bring a strong influence on the style of work and the people who are doing that work or simply the workers or staff. Now this change can be done in various segments of the organisation for example
in the formation of an organisation
to organisational operation and size of a employees
to functioning hours or practices
in the way roles are agreed out
to the the extent of a role that results in a change to the functioning situation, arrangement, terms and circumstances or environment.
I would like to introduce ASDA as the organisation which I am taking to discuss in this assignment and to know about its organisational change techniques and impact on its performance. So before starting here is the brief introduction of ASDA as an organisation ASDA was started with the vision of the beginning fathers to make it a one stop for all the desires of the customers. The company is one of the well recognized supermarket chains located in the UK. It has on offer food, garments as well as general goods items for its customers. In 1999 the company came jointly with Wal-Mart.
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The history of the company goes back in time to the 1920s. At that time the Asquith family owned a butchers shop at Knottingely in West Yorkshire. The two brothers in the family, Fred and Peter took over the trade and were also the founders of ASDA. At the same time another company with the name of Craven Dairies ltd was formed with the help of a group of West Riding Dairy Farmers. In 1949 the companies combined to set up the Associated Dairies & Farm Stores Ltd. It was only in 1965 that the corporation got its present name when Associated Diaries came together with Asquith. As per records of 2007 the company has a share of 16.8% in the grocery market of UK now I would like to discuss the organisational change in ASDA and it managed to overcome on that change.
Solutions to organizational change of ASDA
When U.S. retail huge Wal-Mart bought UK supermarket chain ASDA in1999, the only assurance was change. First in line was ASDA’s IT system, to be transformed in masse to Wal-Mart’s system. The Human Resources department felt it was in front of a clear challenge-how could it guarantee that change took place without any harmful effect on staff loyalty and dedication?
At that point of time ASDA prime challenge was to make such a kind of strategy in which they would be able to create the culture change in order to retain the staff loyalty and commitment and they were seriously looking to solve this problem when certainly strucked with the idea To initiate a
Company-wide reinvention and organizational change procedure involving over10,000 employees. enhanced leadership culture, increased partnership, and sales that outperform the whole UK retail sector. In addition, the organization was lately voted the number one employer of selection.
Range of organisational change models or frameworks for ASDA
There are many efficient approaches (or models) from which to manage a change effort. Some of the approaches have been more or less for many years — we just haven’t consideration of them as such. For example, many organizations take on strategic planning. The implementation of strategic planning, when done in a methodical, recurring and open approach, is strategic
Management. Strategic management is also one model for making sure the success of a change effort.
I would like to discuss few of the ASDA change models here and how they apply in an ASDA whenever there is change occurs.
Strategic planning model
Simply put, strategic planning determine where an association is going over the next year or more, how it’s going to get there and how it’ll know if it got there or not. The centre of a strategic plan is usually on the whole organization, while the spotlight of a business plan is usually on a exacting product, facility or program
There are a diversity of perspectives, models and approaches used in strategic planning. The way that a strategic plan is urbanized depends on the nature of the organization’s guidance, culture of the organization, complication of the organization’s environment, size of the organization, capability of planners, etc. For example, there are a variety of strategic planning models, including goals-based, issues-based, organic, scenario (some would assert that scenario planning is more of a technique than model), etc.
1) Objectives -based planning is probably the most common and starts with concentration on the organization’s mission (and vision and/or values), objectives to work toward the mission, strategies to gain the goals, and action preparation (who will do what and by when).
2) Issues-based strategic development often starts by investigative issues confronting the organization, strategies to tackle those issues and action plans.
3) Organic strategic preparation might start by determining the organization’s vision and values, and then action objectives to achieve the vision while addressing to those values. Some planners give preference to particular approach for planning, e.g., appreciative inquiry
Action research model of ASDA
Lewin’s freeze phases model for ASDA
At the start of 20th century, psychologist Kurt Levin recognised three stages of change that are still the basis of many approaches currently.
The three important points of his model of change are
The term ‘change ready’ is mostly in use to explain people who are unfrozen and ready to initiate the next step. Some people always ready for change whilst others take a lot of time to let go of their comfortable present realities
Transitioning thus needs time. Leadership is mostly vital and when entire organizations change, the one-eyed person may be king. Some form of training, analysis or other psychological support will mostly be very helpful also.
At the other conclusion of the journey, the last objective is to ‘refreeze’, putting behind roots again and determining the new place of constancy.
Range of creative problem solving techniques to address change challenges in ASDA
If you favour to neglect what pepole have to say. In reality, people active contribution is likely to add to the quality of the solution – it should be taken sincerely. on the other hand, if people feel their views were solved then ignored pepole are likely to become more introducing a new place of expense codes you can issue the message “with effect from date x, new codes must be used The design of the project’s move towards and should take into account the optimum style of addressing organisational change issues. Commonly, the target people will be more supportive of the changes if they have been part of the change process. The sceptical view is that you should make them feel part of the process even as per the attached book”. on the other hand, if you are making huge changes to the job and lifestyle of the target people you will need to work with them to gain their co-operation, for example, if you want them to re-locate willingly and re-train for significantly changed jobs.
Here are some change styles that may be suitable and on which ASDA always focus on are
Collaborative – The target people are engaged in the change development, usually from side to side cascading workshops or meetings. They will be reserved to date on the issues. Their opinions will be vigorously sought and acted upon. response will reveal how their input has been acted upon.
Consultative – The target people are informed about the changes and their advices are sought.
Directive – The staff is informed about the changes and why those changes are important.
Coercive – The staff is told that they must follow the new instructions.
Change solutions that link to organisational strategic plans of ASDA
Recognize possible pressure, and develop scenarios showing what could occur in the future.
Look at opportunities that should be, or could be, subjugated.
Begin honest discussions, and give lively and convincing reasons to get people talking and thinking. Recognize the true leaders in your organization.
Ask for an emotional commitment from these key people.
Work on team structure within your change alliance.
Certify your team for feeble areas, and make sure that you have a good mix of people from different departments and different levels within your corporation.
Build up a short summary (one or two sentences) that captures what you “see” as the future of your association.
Make a strategy to carry out that vision.
Make sure that your change alliance can describe the vision in five minutes or less.
Exercise your “vision speech” frequently.
2.1Range of change implementation model of ASDA
The Pathways functioning Model provides a recipe for recognising desired changes, e.g., prospects, accomplishment, and access, and a method for successfully implementing the “what – content” and the “how – process.” Use the tools, and go after the model.
As we know that every situation is exclusive, and the tools to be applied, or the technical support that will be the most help, will vary. However, the important activities associated with each step must happen at some point for the change plan to be successful.
2.2 criteria to select a change implementation model that supports organizational change of ASDA
It is frequently the case that once in general changes objectives and strategies are clear, a new team will be place together to get the project initiated and see it through to completion. It is at that point that many projects fail, as they do not take into consideration the change leadership needs essential for success. For example, some of the actions and skills needed at this time include:
The making of a clear project governance structure
Role description for all important stakeholders concerned in the project, predominantly project team members
Team construction activities
Project management skill growth, as well as meeting management skills
comprehensive project planning
3.1 The use of analytical tools to monitor the progress and the effect of change in ASDA.
Strategic preparation includes the use of a number of tools for the evaluation of external and internal factors that influence the way the organization wants to respond to changes and thus make its strategy. These tools are intended to measure the external factors (competitors, consumers, and market) in the organization’s surroundings, and internal factors (abilities
Weaknesses) that affect its aptitude to respond:
â€¢ Porter’s Five Factors. To measure the charisma of an industry for business and the spirited situation, Michael Porter explains that management should think five forces. These include the risk of new rivals entering the industry – possible entrants, the threat of possible substitutes, the bargaining power of suppliers, the bargaining power of buyers, and the degree of competition or nature of competition between existing competitors.
â€¢ PEST analysis. To consider environmental factors that are out from the control of the organization, four sources of change should be measured. These include the political, economic, social, and technological (PEST) elements of an organisation or a definite market.
â€¢ Benchmarking. To measure how other organizations react to change, benchmarking gives insight into how other players are reacting. It is a form of spirited intelligence that involves comparing the organization’s practices and performance with those of other company in the same industry, and with best achievers in other trades.
To put the strategic objectives it is important to think the strengths, weaknesses of the organization, and the opportunities and threats that they create. SWOT testing enables management to expose the organization’s capabilities and competencies as well as the weaknesses that affect its performance and the achievement of its objectives.
Ansoff’s process or gap analysis. To measure the organization’s prospective and ability to meet its strategic objectives, Igor Ansoff made the method of gap analysis. The process involves examining the dissimilarity or gap between the current state of the organization (the “is”) and the state envisioned in its goal (the “should”). The organization should then accept the suitable strategies and programs to close the gap
3.2 monitoring and measurement techniques to change within ASDA.
ASDA does necessary preparation and implementation for the monitoring, measurement, analysis and improvement processes whenever needed and its main purpose of doing that are
a) To show traditional values of the product,
b) To make sure consistency of the quality management system, and
c) To constantly improve the efficiency of the quality management system
capacity should be evaluated in terms of the added value provided to the organization, and should be applied only where the benefit can be recognized. The measurement criteria and goals should be recognised. These measurements should lead to attention of suitable action. They should not be purely for the gathering of information.
The organization should encourage the use of creative and innovative techniques for improvement processes. Also, the organization should plan the implementation of the betterment action and provide enough resources. The organization should continuously examine and record the implementation of betterment actions, which will also give data for future developments. Relevant comparative data and information should be used to set approachable and challenging goals.
3.3 strategies to minimize adverse effects of change in ASDA
ASDA is always on the task to minimize the adverse effects of change and the key points on which it focus are mentioned below.
customer laws; these are intended to protect customers against unfair practices such as deceptive descriptions of the product
rivalry laws; these are aimed at shielding small firms against harassment by larger firms and ensuring customers are not exploited by firms with domination power
Service laws; these cover areas such as unemployment, dismissal, working hours and minimum salary. They aim to protect workers against the exploitation of power by managers
Health and safety legislation; these laws are intended at ensuring the place of work is as safe as is reasonably practical. They wrap issues such as training, treatment accidents and the suitable provision of safety equipment
4.1 The processes to review the impact of the change in ASDA
Change threatens our aptitude to create and maintain feasible and effective business .But ASDA always Continuity plans. persons, places, technology, procedures– things simply will not stay the same .ASDA challenge is to run change as it influences its business continuity (BC) interests ,i.e. “to make sure that standardised processes and procedures are used for competent and on time handling of all Changes, in order to reduce the impact of any related Incidents upon service.
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ASDA defines change management as “actions involved in (1) crucial grand instilling new values, attitudes, norms, and behaviours inside an organization that sustain new ways of doing work and conquer resistance to change; (2) building agreement among customers and stakeholders on exact changes designed to betterment their wants; and (3) preparation, testing, and implementing all aspects of the change from one managerial structure or business procedure to another.”
4.2 The results of the impact review of ASDA
The real-time survey solution of ASDA was intended to score the following important factors in order to imitate impacts on customer experience and satisfaction the key elements of results are as follows
â-² considerate the customer issue
â-² Cause for call
â-² Advisor understanding with the customer on the call
â-² Kindness and value provided on the call
â-² Customer contentment with the way the call was handled
â-² Customer satisfaction with the result of the call
â-² Customer compliance to promote ASDA to others – (Net
The solution has been subsist across the operation for four months and has already produced important input to both
Traders and ASDA on what constitutes outstanding service. The solution has also tinted those areas of the contact
inside that need precise improvement, training involvement and skills development whilst providing precious handy to ASDA on the gaps and problems within their supply chain process, and how these impact the overall customer experience.
Professional services included the following by ASDA
Being one of the best retail services providers ASDA uses the following specialized services for its customers.
â-² Best practice recommendation and survey development including use of effort based questions and net advertiser scoring.
â-² Development of surveys, advertising boards and logical reporting tools.
â-² thought on initial technology addition Requirements, and future phases. The current solution is initiated without automatic integration to the ACD and voice recording platforms. This will shape part of a future phase to make sure a fully automated solution. instruction for Advisors, Team-Leaders, excellence Assessors and Operations Management.
â-² incomplete handholding and business maintain to understand the results and effects on the Operation
4.3 The findings of the change analysis of ASDA
ASDA uses pestle analysis for answer of change but it depends on situation as well for example a retailer under taking pestle may consider For example
restricted factors such as planning consent and local financial growth rates
nationwide factors such as UK laws on retailer opening hours and trade metaphors laws and UK interest rates
Worldwide factors such as the opening up of new markets making business easier. For example The entry of Bulgaria and Rumania into the European Union might make it convenient to enter that market in terms of meeting the various system and provide new growth opportunities. It might also change the work force within the UK and employment opportunities.
This version of pestle analysis is known as the long pestle and it is illustrated below.
In “Foundations of Economics” we spotlight on the fiscal environment. We look at issues such as the result of interest rate changes, changes in exchange rates, changes in business policy, government interference in an financial system via spending and taxation and economic development rates. These can be extremely important factors in a firm’s macro-environment. The development of China and India, for example, has had massive effects on many organisations. Firms can move production there to benefit from lower costs; these up-and-coming markets are also providing huge markets for firms to aim their products at. With a population of over 1 billion, for example, the Chinese marketplace is not one you would want to overlook; at the same time Chinese producers should not be neglected either. However, the comparative importance of financial factors compared to other factors will depend on the exacting position of a business. Exchange rate deviates may be significantly important to a international but less important to a local window cleaner. Rapid financial expansion or financial decline may be very important to a construction business that depends greatly on the level of income in the economy but may be somewhat less significant to a milk producer whose product is less sensitive to income. So whilst the economy is significant to all firms on both the supply side (e.g. redundancy levels affect the ease of employment) and require side (e.g. income tax affects spending power) the comparative importance of specific financial factors and the relative significance of the economy compared to, say, directive or social trends will vary http://www.oup.com/uk/orc/bin/9780199296378/01student/additional/page_12.htm
Through this assignment we have seen different strategies of organisation change and try to find out the impact of change in organisation at different level and learned how to minimise the impact of that change it also helped me to understand what are the key issues i should keep in mind while to make any change in the organisation.
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