Models Of Strategic Change

Models Of strategic ChangeStrategic Change solicitudeThis edifice block is written with reference to strategic win over shell outment. It gives an apprehension of the assumes of strategic transmute making the image clear. It gives an insight into the theories to bedevil the idea a positive concept and not a detrimental one. Change is not always negative. It paves way for a development too provided it is often taken as nighthing that disturbs routine. It is delicate to do something new(prenominal) than the normal way but we do fail to accept the fact that a channel mint make things work correct and whatever changes be made should commence been decided after quite consideration. Change has become the normal way of life but success requires an boldness to optimize and coordinate across the whole business. Understanding the various types of change that are required and the options available for management is a critical step in structure the capacity to manage chan ge within your system of rules.AcknowledgementsI dedicate this assignment to my mother who worked hard all lifelong only for the upbringing of her daughters. She stood for us like the Rock Gibraltar in times of trouble. Being a single mother, she struggled hard sometimes even to feed us. Life has been too unkind to her but she never complained rather tried her best to give us a positive image of the world and the power to struggle and a never enjoin die attitude. I am indebted to her giving me life and the power to live it in a decent way.TABLE OF CONTENTS PAGE no.AcknowledgementsIntroduction projection 1 assess 1.1 Discuss the models of strategic change projection 1.2 Relevance of models of strategic change to placements in the current economyTask 1.3 tax the value of using strategic interposition techniquesTask 2Task 2.1 Examine the acquire for change in an makeupTask 2.2 prise the factors that are driving the need for strategic change in an organizationTask 2.3 Assess the resource implications of the organization not responding to strategic changeTask 3Task 3.1 stand up systems to involve stakeholders in the planning of changeTask 3.2 Develop a change management dodging with stakeholdersTask 3.3 judge the systems use to involve stakeholders in the planning of changeTask 3.4 Create a dodging for managing resistance to changeTask 4Task 4.1 Develop capture models for changeTask 4.2 Plan to implement a model for changeTask 4.3 Develop appropriate measures to monitor progressIntroductionThis building block helps would-be-managers to understand the nature of change and to cope with it. It gives an understanding closely change and the ways to manage with it without disturbing the working of the organization. In this unit we form discussed the different definitions and models of change which have been given by thinkers in the past which helps in evaluating the relevance of models of strategic change to organizations in the current economy. As we pro ceed, we examine the need for change and assess the factors that are driving the need for it. Also, the resource implications are discussed which do not respond to strategic change. The theories given by Kotter, Prosci, Lewis and others are milestones of the explore on change management. Their theories have helped in thorough understanding of change management. As the topic develops, it gives vital nurture on the reasons of change in markets, budget pressures, new technologies and other new programs such as TQM and re-engineering. All in all, the topic is an important resource on the factors and implications that bring change. Another unavoidable and subjective resource of the organization is stakeholders of the beau monde. The topic discusses slightly systems modelling, divergence and convergence and methods of involving them into organization. It is also quite obvious that change brings resistance therefore this unit enables us to manage resistance giving a way to strategies such as confabulations, education, forums, etc.The entire work gives a clear picture of change management. All a manager needs is to understand the criteria and manage with a difference on the guidelines of the researchers.Task 1 Discuss the Models of Strategic ChangeThere are many a(prenominal) theories about how to manage change. Most of the theories originate with leadership and change management guru, John Kotter who is a professor at Harvard Business School and world storied change expert. The following eight steps in the change process are his contribution.JOHN KOTTER Eight steps to transforming an organization (Kotter.J, 1995)Establishing a sense of proddingForming a powerful guiding coalitionCreating a visionCommunicating the visionEmpowering others to act on the visionPlanning and creating short term winsConsolidating improvements and producing legato to a greater extent changeInstitutionalising new approachesKotters research gave a whole new way to managing change.A p rogramme of planned change and improved performance unquestionable by Lewin involves the management of a three-phase process of behaviour modification.HcollegeimagesCAW3ZYXL.jpgLewins Change Management ModelSource http//www.infed.org/thinkers/et-lewin.htmUnfreeze- Reducing those forces which behaviour in its present form, mention of the need for change and improvement to occur.Movement Development of new attitudes or behaviour and the implementation of change.Refreezing Stabilising change at the new level and bread and butter (Hardy 1996)A new culture should be created within the organization such that managers look to change as an opportunity and adapt their business system to perpetually emerging conditions. (Hussey 2000)Proscis ADKAREffective change management demands five name purposes to form the basic ADKAR modelAwareness of the need to changeDesire to participate and gestate the changeKnowledge of how to change (and what change looks like)Ability to implement the cha nge on a day-to-day basisReinforcement to follow the change in place (Hiatt 2003)http//www.change-management.com/tutorials/baseballhands.jpgProscis ADKARSource http//techotoys.com/qwxDnJu0J/Action ResearchAction research refers to a way to look at ones own work practically and check as he would like it to be. Be experience research is done by the person him ego or the practitioner, it is called practitioner based research. It is also referred to as a form of self ruminative practice because it involves the person himself and his own work. (Hardy 1999)http//t3.gstatic.com/images?q=tbnANd9GcQcsVE4Cf5vBAswROm2rCiHEY7RlOeA6qasGK7xErfJZgmC-mlT5whttp//t3.gstatic.com/images?q=tbnANd9GcQcsVE4Cf5vBAswROm2rCiHEY7RlOeA6qasGK7xErfJZgmC-mlT5w http//www.llas.ac.uk/images/projects/action_research.gifAction researchSource http//www.llas.ac.uk/projects/2837Task 1.2Evaluate the relevance of models of strategic change to organizations in the current economyTeambuilding ConsensusStrategic change mode ls, as discussed above are the keys to success of any organization provided they are implemented in a sophisticated way. To achieve effective police squad end making leadership, (Franzen 1994) describes Consensus Team Decision Making CTDM model which has three key pillars.Maintain high conceptual levelStrive towards consensusManage the decision making processStrategic interventionsTypes of interventions selected for a project although depend on variety they are highly concentrated in a project. Strategic interventions are useful in situations likeRapid changes in the external environmentRapid or stagnant salesIncreased competitionRapid elaborateness of marketsMergers and acquisitions (Lewin 2005)Decision MakingContingency Theory of Decision MakingDecision participative contingency theory or the Normative Decision Theory is a model which says that the efficiency of a decision procedure depends on a number of aspects of the situation the importance of decision quality and acceptanc e the quantity of relevant information possessed by the leader and subordinates. (Fiedler 1999)In the autocratic style, the leader takes decisions without consulting others. (Lewin 2005)The participative style leadership, also known as participative democratic leadership style does the job of creating and maintaining estimable relationships between the employees and their leaders.(Kotter 2007)Proactive and Reactive (Whitehead 2006)PROACTIVEREACTIVENeeds to have and use own answersUnderstands the power of and uses team in solving problemsMakes decisions by selfRequests that team members make decisionsPushes for resultsShares a vision so compelling the team wants to move towards itReacts to changeForesees and influences changeTeaches team to expect railionTeaches team to be self reliantFocuses on finding and fixing problemsFocuses on achieving performance outcomesQuick to punish on mistakesLets the team learn by errorsTask 1.3Assess the value of using strategic intervention techniqu es in the organizationThe most important asset of any organization is human resource and strategic intervention helps them to adjust with the changing strategies of the organization and understand it.(George 1999). At azure Beauty stripe, it is vital to have a peaceful mind and sound behaviour as this profession cares with direct clientele.The method of strategic intervention assists the employees of Sapphire to find meanings to their life, dis prolong what, and why they do and how to meet their needs in positive and negative ways which helps to promote sustainable change. (Hiatt 2006)Human Process InterventionsThese are cooperative in particular during change project in organizations where there are some combinations of many new employees, different cultures, working together, many conflicts, etc.Activities Coaching, counseling, delegating, group learning, virtual teams, etc. ( Hiatt and Creasey 2003)Techno-structural InterventionsThese interventions are helpful in particular f or rapid harvest-feast but few internal systems to sustain growth, many complaints from customers, etc.Activities Balanced scorecard, downsizing and out placing, ISO 9000, Six sigma, etc.(Kurt 2005)Human Resource Management interventionsThese interventions are helpful in situations like establishment of new organizational goals, implementation of technology for a short time, low productivity, etc.Activities Staffing, evaluating performance, career development, employee wellness programme (George 1999)Task 2.1Examine the need for strategic change in the chosen organizationReasons for changeChange in market The United Kingdom is going by means of recession and there has been recession and the CPI annual inflation has rose to 3.3%. (London Business Times 2009). There has been increase in prices, job loss, bankruptcy and what not. both business has gone through losses and needs to cover up their expenses. (Fiedler 1999). At this point of time, Sapphire needs to change accordingly to ease customers at their purse and still keep them coming.Economic downturns Due to price rise, the raw material needed at the store is also become expensive. It is important to cover the costs by bringing about change in the organization. (Paul 1996)Customer Expectations There is a very hard competition in the market oddly in the beauty field. Customers get attracted to offers and it is not easy to get their confidence. To invest into customers, It is important to change the strategies accordingly. (Kotter and Cohen 2002)Competitive Edge Competition is healthy but can be fatal if the strategies become too monotonous and outdated. There is need for change to face competition. (Kotter 1995) Sapphire needs to be updated with products and material being used by competitors and try to do better than other turning the tables towards them. (Kotter 2007)Mergers The merger of the organization with another can lead to change in system as the new staff can have better ideas and plans to mak e the company a success. (Paul 1996). If Sapphire merges with another company to make it a success, it may have to revise the ways to do things.Change in mission If the mission of the company changes, obviously there has to be a different strategy to deal with it. The mission of Sapphire is to fight ageing and make muckle look beautiful but now the market demands more of stress releasing treatments. So Sapphire needs to rethink about its strategy. (Franzen and Hardaker 1999)Task 2.2Assess the factors that are driving the need for strategic change in an organizationThe Shifting rescue The economy is so very changing and dynamic. Due to the unpredictability of it, the organization is in constant need of change in the strategy and economic plan. This is more prevalent since recessionEnvironmental factors There are certain environmental changes that have an effect on the production and sales. These changes are to be monitored and the demand of change arises.Financial pressure There occur financial pressures on the organizations, in order to meet deadlines and targets. In order to handle finances, there has to be a change in finance plans. This is where the need for change management occurs.Technological advances There has been drastic change in production, marketing, outsourcing and other fields due to technology. The organization needs upgrading and has to keep in pace with the technological advances to succeed in its mission and make way for growth. Keeping in mind the factors discussed above, there is a need for change.Funding cuts With the recession in the economy, the company has cut down on costs and funds. There is need for change in financial strategy to keep the balance.Competition Competition is a healthy asset for any business. To keep up to the standards and do better than others is very important, hence it is vital to keep a watch at what others are doing and bring change in the company accordingly.Task 2.3Assess the resource implications of t he organization not responding to strategic changeRestructuring of HR- If the company does not respond to the changes as discussed above, it may have to face severe consequences and lose in the process. The organization will have to restructure the HR making way for a new beginning. There have to be leaders chosen again and staff employed for the smooth working of the company. call into question and hire of new employees Interviewing and hiring of new staff will have to be done which is a time consuming and costly process for any business.Redundancies The organization will have redundancies if proper steps for the change are not taken in time. This will affect the working and time management of the strategy of work.Training Training is another costly and time taking process. It takes a lot to train the employees and bear the costs. If the need for strategic change is understood, there is no need for the organization to bear costs or losses.ireTask 3.1Develop systems to involve st akeholders in the planning of change in the chosen organizationA stakeholder is one who has something to gain or lose through the outcomes of a planning process or project. These are also called interest groups and can have a strong bearing on the outcomes of political processes. It is useful for research projects to identify and analyse the needs and concerns of different stakeholders, particularly when these projects have an effect on policyInput-output transformation modelOperations management transforms inputs (labour, capital, equipment, land, buildings, materials and information) into outputs (goods and services) that provide added value to customers. Transformation System is the critical element in the model that determines how well the company produces goods and services that meet consumer needs. It does not matter whether the organization is a for-profit company, a non-profit organization (religious organizations, hospitals, etc.), or a government agency all organizations m ust get through to maximize the quality of their transformation processes to meet customer needs.Steps InvolvedStep 1 Clarify the research or policy change object glass (Problem Tree Analysis or objectives analysis might help with this.)Stap 2 Identify all the stakeholders or interest groups associated with this objective, problem or issue. Stakeholders can be organizations, groups, departments, structures, ne twainrks or individuals.Stakeholder tablehttp//www.odi.org.uk/resources/details.asp?id=5257title=stakeholder-analysisStep 3 Using the grid organise the stakeholders in different matrices according to their interest and power. Interest measures to what degree they may to be affected by the research project. Power measures the influence they have over the project or policy, and to what degree they can help achieve, or block, the desired change.The heathenish WebCulturalWebThe Cultural Webhttp//www.mindtools.com/pages/article/newSTR_90.htmThe Cultural Web identifies six interr elated elements Johnson and Scholes (2002) call it the paradigm the pattern or model of the work environment. By analyzing the factors in each, you can begin to see what is working, what isnt working, and what needs to be changed. The six elements areThe past events and people talked about inside and outside the company. Who and what the company chooses to abide by say a great deal about what it values, and perceives as great behaviour.The daily behaviour and actions of people that indicate acceptable behaviour. This determines what is expected to happen in given situations, and what is valued by management.The visual representations of the company including logos, how exquisite the offices are, and the dress codes.Multiple Cause Diagramshttp//t1.gstatic.com/images?q=tbnANd9GcSdVRFuXnr_B3dlTLYyaZepQmDbF-NMDoz5q0TClaUYPXfxVGPVt=1Multiple cause diagramshttp//ilearn.cto.int/login/index.phpMultiple cause diagrams are a way of using interconnectedness to shape up a complex situation.T hey represent both adequate and casual cause without making a distinction between them.This system is pictured as an interconnected group of events or effects to cause an effect as a purpose. Sometimes, if the input cause is removed, the output cause continues to happen, may be because feedback loops are present or other causes drive the effect.Influencing skillsThe careless(prenominal) reception of authority is becoming increasingly less common in the world. To get things done, it is better to rely on commitment rather than authority. For example, gaining co-operation from other departments.Task 3.2Develop a change management strategy with stakeholders in the chosen organizationDeveloping a winning strategy is messier than textbooks suggest. Most insights that are important for formulating strategies rest in the heads of operating managers. (Kotter 2007)The Stakeholder CircleThis is designed to put stakeholders on the project management radar. It is a proven method supported by a t ough, easy to use tool that guides us through five easy steps namelyIdentify your projects stakeholders and understand their needsPrioritize the stakeholders on the basis of power, proximity and urgency.Visualize the key stakeholders using the Stakeholder Circle. call for with the stakeholders by building and implementing an effective communicationplan.Monitor changes as you update and review your stakeholders at key points in the project.Public Hearings There can be events where stakeholders are allowed to give evidence or question general familiar authorities about decisions.Public hearings Regulated, formal arrangements for times and places at which members of the general public and other types of stakeholders can give evidence or question public authorities about decisions.Deliberative Polling This collects views when people are introduced to the issue and think about it. It also includes a feedback session.Task 3.3Evaluate the systems used to involve stakeholders in the planni ng of change in the chosen organizationThe stakeholder model is helpful in explaining the rules of the economic game and the link between stakeholder value and competitive advantage. The stakeholder strategy plan guides us on how to interact and communicate with each stakeholder during different stages of a project. It also helps to define who should participate, in what ways and on what level of the project. It gives thorough knowledge of the matter and suits best to most organizations. Other ways such as polling, seminars and workshops are also perfect ways to handle change in a proper manner.Task 3.4Create a strategy for managing resistance to change in the chosen organizationSelective Perception Peoples self interpretation of stimuli presents a unique image of the real world and results in selective perception. This leads to slanting view of the situation that fits into the perception of reality.Habit People are used to the same way of doing things which makes a habit. It becom es serves as a source of comfort. Bringing about change brings resistance.Loss of Freedom If the change is seen as an inconvenience, it reduces freedom of action or results in increased control, there will be resistance.Direct vs validatoryThere is staff that may resist directly and others that may be indirect in resistance. Direct resistance is to oppose in a direct manner and fighting straight but indirect resistance is to show resistance by making excuses such as resigning.Task 4.1Develop appropriate models for change in the chosen organization that will reflect their circumstancesThe best model for change that applies to Sapphire Beauty Box is Proscis Five twist Blocks change management model which includes the ADKARThe first thing Sapphire needs is the Awareness of the need for change. If the need for change is understood, half the job is done. Planned communication is essential for understanding. Sapphire needs change as there is a need for it.Next is the Desire to participa te and help the change. The employees of Sapphire need to make a personal decision to support the change and sustain it too. The CEO announced incentives for individuals creating a desire to be a part of the change.The third building block is providing Knowledge. Sapphire held a seminar for imparting awareness for change, how to undergo change and how to implement it. Prosci (2003) suggested forums and mentoring for knowledge of change.Ability to implement required skills and behavior is another building block of the ADKAR model. It is the difference between theory and practice. Once knowledge is imparted on change, the performance of the individual needs to be supported. Sapphire can do this by practice, coaching and feedback.Lat, but not the least comes Reinforcement. It is the final and essential stage of the model where efforts to sustain the change is accentuated. It is to be ensured that changes stay in place and individuals do not revert to old ways. The ways to do it are pos itive feedback, recognition, rewarding, etc. Sapphire makes it a point to take feedback of the customers as well as the employees to keep both sides balanced. There is a Best Employee of the Month award scheme at Sapphire Beauty Box which inspires employees to do their best.http//www.change-management.com/tutorials/ADKAR-clip_image002.gifProscis Change Management Modelhttp//www.change-management.com/tutorial-adkar-overview.htmTask 4.2Plan to implement a model for change considering the internal and external circumstances impacting on the organizationKaizen MethodThis is a Japanese method for continuous incremental improvement. It is a concept for gradual, continuous improvement. It assumes that every aspect of life has to be constantly improved. The main elements of Kaizen are effort, quality, and willingness to change, communication and interlocking of employees. Its five founding elements areTeamworkPersonal DisciplineImproved Morale tone Circles andSuggestions for Improvement.Th e Kaizen method is best for Sapphire Beauty Box as it is people oriented, requires long term discipline and easy to implement.Matrix OrganizationsThis kind of organization offers the advantages of flexibility, greater security and control of project information. It establishes a grid with a two way flow of authority and responsibility.Task 4.3Develop appropriate measures to monitor progress of the developed modelGoal Based EvaluationTo start with goal based evaluation, there can be two main questions we can ask forHow has the programme made a differenceAre the participants of the programme thought better as a result of the programme?Outcome based evaluation is a way that determines if the project at Sapphire Beauty Box have achieved its goals. The organized process using OBE helps to establish clear outcomes, to measure benefits, clarify groups for which benefits are targeted.Other ways to monitor progress in Sapphire Beauty Box are regular reports of the activities being practiced in there. Meetings are also undertaken by higher authorities to administer the changes and keep a watch on them. Quality Circles appear simple and straightforward but have to be viewed in regard to Japanese culture and management systems. Quality circles are do work and are used successfully by British organizations..CONCLUSIONIt can be concluded that strategic change is the key factor in any organization. Change is a pervasive influence. We are all subject to change in one form or the other which is continuous. The steps to change from Kotter give vital knowledge about making change Kotter is called the GURU in terms of change management. Proscis ADKAR building blocks give deep understanding and guidance for applying change and monitoring it to sustain change. Kurt Lewins change model is also an important one. The freeze, refreeze and transition stages develop new attitudes and behaviour.