Change Management Consultation

Business change management

You have been hired as a change management consultant for a manufacturing company. The leadership of the company currently uses a top-down management approach. The organizational structure is a hierarchy (pyramid type). Employees are not encouraged to be creative or make suggestions or decisions. They are also not encouraged to experiment and come up with new solutions to problems.

The company has grown rapidly over the past decade, from generating $1 million in sales to $100 million. In the past year, the company expanded its business internationally and now has 500 employees worldwide. Due to the rapid growth of the company, the organization has not invested in training and development opportunities for its employees to drive innovation and process improvements. Additionally, the company’s processes and software systems for inventory management have become antiquated.

As the change management consultant, you will provide a report for the executive leadership team where you diagnose the need for change and explain how to plan for change, how to implement change, and how to sustain change. You will also explain how the company can transition to a learning organization in order to be on the forefront of change and innovation.

Requirements

Your submission must be your original work. No more than a combined total of 30% of the submission and no more than a 10% match to any one individual source can be directly quoted or closely paraphrased from sources, even if cited correctly. An originality report is provided when you submit your task that can be used as a guide.

A. Discuss the need for change for the company in the scenario using either the systems contingency model or the organizational life cycle model.
B. Describe the differences between a learning organization and a traditional organization.

  1. Identify which stage of Woolner’s 5-stage model the company is currently in.
    a. Explain why the company is currently in the identified stage of Woolner’s 5-stage model.
  2. Explain how the company from the scenario would use Senge’s 5 disciplines to become a learning organization.

C. Identify the end result and the nature of change to take the company from a traditional organization to a learning organization using Balogun and Hope-Hailey’s model.

Note: You may either identify both the end result and nature of change individually or identify the name of the quadrant in Balogun and Hope-Hailey’s model that aligns to the end result and nature of change.

  1. Explain why the end result and nature of change would be appropriate for the company in the scenario using Balogun and Hope-Hailey’s model.

D. Discuss how four steps of the action research model could be applied to the change process (traditional organization to learning organization) for the company in the scenario.

E. Recommend two innovation strategies that management could use to transition the company in the scenario from a traditional organization to a learning organization.

  1. Explain how one recommended innovation strategy would be used by management in the company’s change process.

F. Discuss how four steps of Kotter’s 8-step model could be applied to the change process for the company in the scenario.

G. Explain how each of the five pillars of sustainable change could be applied to sustain the learning organization environment of the company in the scenario.

H. Acknowledge sources, using in-text citations and references, for content that is quoted, paraphrased, or summarized.

I. Demonstrate professional communication in the content and presentation of your submission.

SOLUTION:

Change Management – Report

A. Discuss the need for change for the company in the scenario using either the systems contingency model or the organizational life cycle model.

 The company has witnessed a rapid growth in the form of revenues and number of people employees in recent times. With old software and lower investment in the training and development company has a need to become a learning organization to improve its overall strength and perform even better in the market.

The current need for change in the company can be best described under the organizational life cycle model. The company has seen initial period of struggle and now it is witnessing the growth, a stable growth phase may last for a long time but it will end at some point in time. The company is currently in the 5th stage of the organizational life cycle where it needs to make changes and improve its work processes to remain competitive in the market and grow.

B.  Describe the differences between a learning organization and a traditional organization.

Learning organization and traditional organizations are completely different when it comes to running of day to day operations and interactions with employees. A learning organization seeks growth based on improving itself from the learning process whereas the traditional organization prefers little variation in its current form and tends to continue with its rigid structure.

A learning organization provides an environment for growth and development to its employees so that they can rise in their professional lives. On the other hand, the traditional organization’s consistency is supported with less room for growth and development of employees.

In the learning organization creativity is encouraged and promoted, this helps the organization in finding out new methods of performing a task and the process keeps on evolving. In the traditional organization supports only little variations in the day to day operations. From the above, we can understand that learning organizations are more flexible and adaptive for changes in comparison to traditional organizations.

1.  Identify which stage of Woolner’s 5-stage model the company is currently in.

A. Explain why the company is currently in the identified stage of Woolner’s 5-stage model.

Woolner’s 5-stage model suggests the following stages in the life cycle of the organization:

1. Formation of the organization

2. Development of the organization

3. Mature organization

4. Adapting organization

5. Learning organization

Each of the stages defines a different overview of the organization’s growth and learning process. The company has seen the phase of formation and development successfully. The company is in 3rd stage of Woolner’s model, as the company has attained a stable growth and is now started adapting to the changes required to sustain in the market.

With further growth the company is likely to see the learning phase sooner to provide for growth and development opportunities for employees and self.

2.  Explain how the company from the scenario would use Senge’s 5 disciplines to become a learning organization.

Peter Senge’s 5 principles include:

  1. System Thinking
  2. Personal Mastery
  3. Mental Models
  4. Building shared vision
  5. Team learning

The system thinking principle enables the organization to improve the employee’s thought process of interlinking the activities and identification of problems and effectively finding solutions for the same. The company can include system thinking in developing the problem-solving skills of the employees. The personal mastery principle suggests improving the focus and patience of the employees.

The company can induce this principle in the organization to improve the employee’s performance by improving their focus in the activities. The mental model enables individuals to change their assumptions and see the situation from a different angle. The company can use a mental model to bring creativity in problem-solving inside the organization. Building a shared vision enables any company to combine its goals with the individuals so that both get benefitted by the growth of the company.

The company can use this to merge the employee’s goals with the organizational goals to achieve a common vision and understanding. Team learning helps to develop the team spirit and increases individual capacities to perform in a group.

To conclude the company can use Senge’s 5 principles to induce learning in all aspects of the organization which will then help the organization to become a learning organization ready for new challenges and changes.

C.  Identify the end result and the nature of change to take the company from a traditional organization to a learning organization using Balogun and Hope-Hailey’s model.

1.  Explain why the end result and nature of change would be appropriate for the company in the scenario using Balogun and Hope-Hailey’s model.

Balogun and Hope-Hailey’s Model’s Four Strategies are as follows:

  • Evolution
  • Adaptation
  • Revolution
  • Reconstruction

To become a learning organization from a traditional organization the company in the present scenario needs to follow the adaptation model of Balogun and Hope-Hailey’s four strategies. The change or the end result of using the adaptation model will be a realignment of the company with its new objective.

The end result and nature of the change will bring a realignment of the company’s older methodologies with newer ones (“10 Principles of Change Management – Strategy+Business”, n.d.). The incremental approach will be least intrusive or obstructive to the organization and will help in creating an environment for the learning and development of the employees.

D.  Discuss how four steps of the action research model could be applied to the change process (traditional organization to learning organization) for the company in the scenario.

The company in the present scenario plans to change from a traditional organization to a learning organization. For this, the company needs to follow a changes process that will help the company transform itself smoothly (“Change Management | APMG International”, n.d.). The four steps of the action research model can be used as the change process of the company. Let us see the process to describe the way it will help transform the organization.

Step 1: Problem Identification

The company in the present scenario is very traditional in its operations. This approach of the company has not supported any creativity or initiative from its employees. Also, the company has not invested much in the training and development of its employees. The company followed a rigid structure till now which had less space for change and innovation. The traditional culture has brought the company to a place in which the growth of the company seems to have stopped. To overcome these issues the company needs to transform into a learning organization.

Step 2:  Preliminary Evaluation

A close analysis of the company shows that the company’s software systems are out-dated and need an update. The diagnosis of the company also shows that there is a lack of support for the employees in the area of creativity and innovation. The evaluation suggests that there is a need for structural changes in the organization without which the company cannot transform itself from a traditional organization into a learning organization.

Step 3: Implement change

The company must integrate new policies in its operations that promote employees’ involvement in creativity and innovation of the work processes. The company must also invest in acquiring the latest hardware and software to replace its old software of operations this will help in improving employee productivity and morale.

Step 4: Data Collection

Once the changes are implemented, data must be collected to keep a check on the progress of the company. The data can help in the formation of the future policy of the company depending on the success and failure of the previous results of the change process.

E.  Recommend two innovation strategies that management could use to transition the company in the scenario from a traditional organization to a learning organization.

1.  Explain how one recommended innovation strategy would be used by management in the company’s change process.

As innovation strategies, the management of the company must use Exploration and innovation strategies to transform the company from a traditional organization into a learning organization. Exploration of new ideas and innovation can lead to organizational success in the long run, for a short run the same can provide support in the transformation process of the company.

Here is the way in which the recommended strategy will be used by the organization to support the changes process. The management to implement a new strategy must create an environment where employees will be encouraged to explore new ideas to improve the work processes. Implementing the exploring strategy will encourage the employees as well as the company to respond to the newer opportunities by exploring new methodologies (“What is Change Management & Why is it Important | Tolero .”, n.d.).

F.  Discuss how four steps of Kotter’s 8-step model could be applied to the change process for the company in the scenario.

Four steps of Kotter’s 8-step model can be very helpful to the change process of the company as it can provide the sequential pathway for the organization to move on to become a learning organization. The steps that can be used are as follows:

  • Establishment of sense of emergency: The change of transformation of the company from a traditional organization to a leaning organization is really big. Creating urgency for the change to take place in the organization will encourage the employees to participate in the process.
  • Create a Vision: A clear vision will help the company and its employees stay aligned with the progress. The vision set must integrate the opinions of the management as well as employees. A common vision will motivate and make everyone work towards a common goal and this can also be used to keep a check on the activities of the organization.
  • Empower Others to Act on the Vision: the company must do away with its old top-down approach and must evolve towards decentralization of command. A participative environment created in the organization can have a positive impact on the growth of the company.
  • Consolidate Improvements and Produce More Change: The Company must sustain the changes made and try to move forward. By making change a regular activity the company will be ready for any kind of threat and opportunity from the external environment in the future ahead.

G.  Explain how each of the five pillars of sustainable change could be applied to sustain the learning organization environment of the company in the scenario.

The five pillar of a successful organization are listed below:

  • Leadership
  • Strategy
  • Culture
  • Structure
  • Systems

These five pillars of sustainable change are keys to the success of any company. These factors are interrelated and depend on each other. To sustain the learning organization environment the company must implement them carefully.

  • Leadership- This pillar must play the most important role in the transformation of the organization. Once the transition phase is over the role of this pillar must change from the change agent to sustaining the new structure. Leadership must keep itself focused on the vision it created in the transformation process and put in efforts towards reaching the goals planned earlier.
  • Strategy- the Company must define its strategy for the future and convey the same to everyone in the organization. This will help the company in sustaining its position in the market and carries on with the growth.
  • Culture- the Company must continue with its supportive approach towards innovation by rewarding the ideas. A continuous orientation towards innovation can keep the company growing for the long term.
  • Structure- the Company to keep up its learning environment must enable structural changes that support the sharing of information and provide an improved communication mechanism for everyone inside.
  • Systems- Keeping the systems updated with the time and demands of the work processes can help the company sustain its learning organizational environment.

H.  References

10 Principles of Change Management – Strategy+Business. Retrieved from https://www.strategy-business.com/article/rr00006

Change Management | APMG International. Retrieved from https://apmg-international.com/product/change-management

Lorenzi NM, Riley RT. (2000). Managing change: an overview. Retrieved from http://www.ncbi.nlm.nih.gov/pmc/articles/PMC61464/?tool=pubmed

Tams, Carstan. (2018). Why We Need To Rethink Organizational Change Management. Retrived from  https://www.forbes.com/sites/carstentams/2018/01/26/why-we-need-to-rethink-organizational-change-management/#18025dace93c

What is Change Management & Why is it Important | Tolero … Retrieved from http://www.tolerosolutions.com/what-iwhat-is-change-management-why-is-it-important-to-your-organization/

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