TABLE OF CONTENTS
TABLE OF TABLES
TABLE OF FIGURES
TABLE OF ABBREVIATIONS
- PPS: PermaPower Solutions
- FM: Financial Manager
- SN: Sales Negotiator
- MD: Managing Director
- HR: Human Resource Manager
- HO: Head Office
During the module week in the simulation where we had to run real-time business organisations and deal with effects of change in the organisations, we as a group at PPS (PermaPower Solutions) dealt with systematic changes which helped us to drive the growth of the organisation and moreover lead the organisation towards partially achieving goals and targets.
Major external and internal changes which positively effected the organisation have been listed below:
- Inter-departmental position change [INTERNAL CHANGE]
Positions of department heads were changed after the first day of the simulation- position of Finance Manager (FM) was changed to Sales Negotiator (SN), position of Dispatcher was changed to FM, the packer handled both the positions of packer as well as dispatcher.
- Changes in the documentation and handling of accounts, delivery notes and invoices [INTERNAL CAHNGE]
As the orders increased the delivery was done in batches, delivery notes were sent on every dispatch stating how many goods have been dispatched and how many goods are still left to be dispatched.
- Changes in the package of the product [INTERNAL CHANGE]
On the second day when the new nuclear product was launched, the organisation dealt with few contaminations, however new innovative strategies for package of the product were developed.
- Change in using digital technology [EXTERNAL CHANGE]
Photographs for sales pitch
- Change in business strategy [INTERNAL & EXTERNAL CHANGE]
On the third day changes were made on utilising the full potential of the organisation and selling the product as a service.
From the changes listed in the above the overall performance of the organisation improved. Here below the table will represent each change and explain how each of them helped improve the position.
|Inter-departmental position change||The positions within the organisation were changed to achieve sustainable competitive advantage. This was done for faster and better communication within the organisation. Adding one more SN helped the organisation to achieve new sales order and release some pressure for the sales department. Moreover, the whole team thought of combining tasks which could create responsive supply chain network within the organisation.|
|Changes in the documentation and handling of accounts, delivery notes and invoices||As the sale orders increased when a new SN was added, and the jobs of a packer and a dispatcher were merged, it was a risky position for the organisation. However, easy to follow and disruptive techniques should be used in order to sustain. Furthermore, we decided to be prompt and accurate with our documentation of stock and materials. Where in, as the organisation started to receive large number of orders, delivery was made in batches and delivery notes, invoices were attached with every dispatch stating the goods that have been dispatched, and even stating the amount that is left to be dispatched, making it much more clearer for the logistics team and even for the receiver. This helped to manage the stock properly and purchase any required raw materials in time.|
|Changes in the package of the product||As the new nuclear product was launched on the second day, the group dealt with some contaminations which led to a reputation downfall for the whole organisation. The team understood the product and created a package that led to fewer contaminations. Moreover, the presentation of the product improved and sense of professionalisation evolved within the organisation.|
|Change in using digital technology||During the sales pitch the SN carried physical products to explain the product much better but due to that there were some contaminations that led to temporary closure of the organisation, however digital photographs of the product with dimensions were used for the sales pitch which helped reduce these issues|
|Change in business strategy||On the third day, new ideas from every individual within the organisation were used and the team decided to change the strategy of selling the products as a unit to service. The products were sold as a service where the organisation took contracts from different companies, all the expenses were to be borne by our organisation and a set of rules and contract was signed and the price discussed. This helped to increase the sales figure for the company and create new innovative methods for selling the product.|
2 Theoretical concepts, models, relationships and simulation based examples for the elements of management of change
Vision, Leadership and Resilience have been chosen for critically analysing change within organisations. In this part of the script; change management tools, literature and specific models representing this change have been presented. This script has been divided into three parts where the first part will explain the literature, the second part would provide relationships between the three elements and provide examples from the simulation to support critical analysis and third part speaks about the experiences.
According to, Kotter (1996) creating a vision for change is one of the eight steps for change within an organisation. This approach developed by John Kotter is a useful step to follow and revolves around creating of the vision and communicating this vision within the organisation for change management. (Kotter, 1996) says that vision is one of the most important factor in helping to direct, align and inspire set of actions within the group or any organisation. He added saying that “without an appropriate vision, a transformation effort can easily dissolve into a list of confusing, incompatible and time consuming projects that go in the wrong direction or nowhere at all.” Therefore a vision for an organisation can transform and change business organisations from the current situation to the desired future goals. Moreover, a vision-statement has been regarded as an initial light for achieving the same.
A vision is a picture of the future desired state. It is generally regarded as the end-result or the desired state that the company wants to achieve with the change in management (Kanter, 2003, Hayes, 2018). Kanter (2003) also stated that an inspiring vision can be highly motivating, it could inspire and motivate the team to work hard for the desired goal even if it is painful. It would help the organisation from reluctance, anxiety and uncertainty and moreover prepare the organisation from any uncertainties or barriers within its path to success.
According to, John F. Kennedy (1963) “Change is the law of life and those who look only to the past or present are certain to miss the future.” This quote has lot of impact on today’s modern day organisations. Organisations fail to see their future and are stuck in the past or the present. They fail to understand, plan and implement change in their organisations. However, an appropriate vision triggers the growth within the organisation and tells the organisational stakeholders to sacrifice the past and concentrate on the present and the future. A vision statement will help organisations think of the future and take appropriate decisions for achieving this vision. However, the need of change should be determined by the leaders, this need of change can only be understood during pain points and triggers events. Moreover, once the need of change is determined, the gaps between the current and desired state must be reduced for proper goal-orientation, decision making and empowering vision within the organisation (Baulcomb, 2003). Furthermore, Forcefield Analysis developed by (Lewin, 1951) can be used to understand and observe how driving and restraining forces are correlated to change within an organisation and move an organisation from current to desired state in future. This model provides a balance between the forces driving for change in an organisation and forces resisting change. Moreover, it explains that change is a result of dissatisfaction with present strategies, changes does not happen on its own but it changes with effective vision and working towards that vision. Lewin (1951) even says that resistance to change will always be a roadblock and is inevitable, but it is not impossible to overcome this blocking. In order, for change to trigger the driving forces must exceed the restraining forces, once these forces implemented the organisations may have a more accurate assessment about the decisions.
Leadership is regarded as one of the most important factors for success or failure of any organisation, framework or any team commitments (Bass and Bass, 2009). Leaders can be found almost everywhere; within an organisation, family, during group assignments, and even within a community. Every individual has different leadership styles and each style is unique in its own manner. Moreover, leadership styles depends on cultural, societal and personal influences (Caramela, 2017). Furthermore, a good leader should be decisive, aware, focused, accountable, emotionally intelligent i.e. empathic, should focus on team dynamics i.e. team and individual needs, confident, optimistic, trustworthy, calm and patient and finally a good listener (Agarwal, 2017). According to, (Bates et al., 2010) an effective leadership can create “a climate of trust, growth and development, which can enhance performance”. However, poor style of leadership can have adverse and detrimental effects on the organisation by increasing stress, role and career conflicts, scheduling of the organisation, relationships and inefficient control over the organisation (Kelloway et al., 2005). Lastly, “leaders are agents of change” (Bass and Bass, 2009) and they drive the change management for the organisation. They are the decision makers at the times of risk and provides the direction to the future (Kotter, 1996).
According to, Jim Collins (2001) in his book “ Good to Great” said that focused and a disciplined thought is a common element for good-to-great leaders within any organisation. Leaders focus on one single idea ‘the vision’ and all the decisions revolve around this one idea. Moreover, they set the goals and objectives for the organisations future state. Lastly, a leaders job is to define and communicate the strategic position of the company. Instead of just earning profits, the leaders goal is the strategic position of the company in the near future and he/she has to communicate internally to the firm and externally to the customers about its commitments in the future (Fuller and Green, 2005). He/she has to change the way people work within the organisation and change the way people think about the organisation.
According to, David Denyer (2017) “Organizational Resilience is the ability of an organization to anticipate, prepare for, respond and adapt to incremental change and sudden disruptions in order to survive and prosper.” In order words resilience is changing and turning challenges into advantages and opportunities. Organisational resilience is the capability of an enterprise to respond to uncertain changes within the organisation. It is the ability to bounce back and forward with determination and precision (Bell, 2002). Moreover, resilience is the attitude for of the organisation to overcome any roadblocks and barriers (Avey et al., 2008).
A new framework for resilience has been developed by (Bart Lammers, 2009) in his book “Risicomanagement en Logistiek” (this book is originally in dutch, however it has been translated into english) which is made up of three components: cognitive, behaviourial and contextual resilience.
Cognitive resilience comes from realisation of own risk, it is awareness of the organisation and is the ability to analyse and interpret the consequences and the vulnerability of the risks. Behavioural resilience talks about the flexibility, transparency within the organisation and links to the ability to learn from the past experiences and to react and improve the current situation of uncertainty. Lastly, the contextual resilience links to the supply chain risk, visibility and interaction within the organisation and integrates and supports the cognitive and behavioural resilience. Moreover, (Lengnick-Hall and Beck, 2005) argue that resilience capacity influences organisational response to environment change in two ways. Firstly, organisations are expected to deal with complex, unfamiliar and uncertain situations arising during the organisational path and secondly, the resilience capacity encourages the organisation to think about the environment in the ways that improves change management and duration of change.
Lastly, resilience is again a very important for organisational change and dealing and implementing these changes for positive impact on the organisation.
2.2 Relationships and simulation based examples for and between the elements of change within an organisation.
This section of the script will explain the relationships between the three elements explained above. For instance, Vision and Leadership will be correlated, Vision and Resilience will be correlated and; Leadership and Resilience will be correlated.
Figure 3 represents relationships between the three elements.
According to, (Northouse, 2018) an effective leader creates vision which guides the behaviour of the people within the organisation. As discussed above, vision is the future state of any organisation and in a developing vision, a leader is able to see the future and communicate this vision within the organisation. The leader and the members of the organisation share the vision and work towards its achievement. Moreover, the relationship states that the leader creates the vision of the organisation and its people should follow and work towards the achievement of the vision, even more the employees should contribute to the creation of the vision and put their viewpoints in front of the leader.
(Books and Goleman, 2000) argued about the Authoritative style of leadership. An authoritative leader is he/she who guides people towards the vision and follow organisational goals and strategies. The leader takes the “Come with me” approach states the overall goals but gives the freedom to the people on ways of achieving it. The employee would innovate, experiment and take risks which will allow him/her to have a sense of belongingness for the organisation. This style of leaderships works when the change is required and a new vision and a clear direction is needed.
CEO of Microsoft, Bill gates is an authoritative leader as he able to successfully move Microsoft in the direction the industry was leading. John F. Kennedy is again a authoritative leader who had a vision for United States Space Program. He had a vision of sending people to moon and even had a plan on how to accomplish that. However an authoritative leader is one who knows much more than its sub-ordinates (Moneyzine, 2018).
During the first day of the simulation, we did not have a clear plan and an understanding of how things are supposed to work. We also did not have any discussions prior to start of our activity and we were just working on our individual tasks and not focusing on the targets which led to the downfall of the whole team. Moreover, we were not working as a team and just blamed each other for the downfall. However, after the first day we felt the trigger of change and along with the MD the team finalised some of the strategies and changes within the organisation. The MD along with the HR Manager decided to shift some roles which would be beneficial for the organisation to achieve the vision and the goals. As the target of sales increased the team decided to add an extra SN which could bring more and frequent orders, however roles of the packer and dispatcher were merged for a responsive supply chain network. Though, we partially achieved our targets, but the flow of working frameworks improved and changed positively from the previous day. There were changes in the market segments and the Sales team started targeting the correct markets for increasing sales. The logistics team started preparing proper documentation for the products dispatched and remaining products that are need to be dispatched in the second batch. Sales were done in batches. However, working towards the goal and the vision provides motivation and inspiration throughout the organisation, leader’s focus on every member of team even allows the team to communicate well within the organisation. However, on the second and third day of the simulation the Managers and MD of the organisation started communicating and interacting in a hierarchical method.
Relationship between leadership and resilience can be explained with a resilient leader who does not loose hope from the setbacks within the organisation. He/she maintain a positive attitude, maintains a calm and a patient environment even at the time of turbulence or any uncertainty within an organisation. He/she finds out ways and methods to move forward during the times of uncertainty. A leader is effective when he or she is able to handle difficult situations without stress and panic (Folkman, 2017, Snyder, 2003).
A resilient leader deals with negative issues and risks, he/she does not overlook these risks and roadblocks, however they face them to implement change within the organisation. They set up frameworks and model which would work even at the most low times. They keep the team going on and inspires them to work and achieve success. Moreover, they have a realistic and proactive approach towards maintaining harmony within the organisation. Lastly, they communicate powerfully, they ask for feedbacks and work towards these feedbacks to improve the gaps, they building positive an trusting relationships, they risks and face fears and they are great decision makers even during the trying time for the organisation (Snyder, 2003, Folkman, 2017).
During the simulation, when the new nuclear product was launched on the second day the team did not know about the product and its uses. The SN did not know about the features of the product and went for taking orders. However, the SN did not know how to handle the products and did not inform the customers about the safety rules and regulations, which led to several contaminations and later closure of the organisation. We became really stressed and entered the panic zone. The whole team started raising their voices and blaming each other within the group for such situation. Moreover, the situation was worse and no one was taking an initiative to improve the situation. However, we were unable to be resilient leaders who display sense of professionalism, emotional strength and courage even during the worst of situations. There will be times during every organisations were things are not going as expected but we have to consider these changes and take these barriers positively for effectively implementing change and benefiting ourselves. Furthermore, there are times during the simulation when a team member was trying to contribute with new ideas but he/she was not allowed to put his/her views in front of the team which is turn did not allow effective leadership and the downfall of the company.
As discussed above resilience is the set of actions that are taken at the time of uncertainty and is the ability of an organization to anticipate, prepare, respond and adapt to incremental change (Denyer, 2017); vision is forecasting the future and seeing the organisation ten or twenty years in the future. However, vision is the interlinking factor of resilience which involves in creating a roadmap to future for the organisation. Resilience is considered to play an important role in the thinking and decision making process, a vision can create imagination and creativity which would implement change within the organisation.
During the hard times, critical situations and when the organisation is moving towards downfall it is hard to think and do the right thing. However, a vision and effective leadership provides a base to overcome the misfortune and motivates the organisation to look forward and achieve the vision. Moreover, the vision includes day-to-day activities towards achieving a great deal in future which helps in stability and provide support for the organisation.
During the simulation, though the goals were pre-determined we were unable to create a realistic vision. The team came up with a vision on the second day while the set of rules and strategies applied did not go along with the achievement of the vision. We were so busy in achieving the targets and the goals that we were forgetting about the main vision “Leading the battery market industry with the most innovative products”. However, on the third day we were supposed to innovate a new usage of the products available. There was no exact plan on innovating a new product, the team did not discuss or communicate any plans of this new usage of the products. However, the SN couldn’t deal properly for the new product.
The coordination and resilience based on the vision of the organisation can be recognised and assessed of the company needs and having faster communication and decision making process within the organisation. However, during the simulation there was a lack of communication between the sales team and the stock team which ended up in cancellation of orders. The Sales team without communicating with the stock departments started to get the orders for the products which were in low quantity, however the orders couldn’t be completed on time and led to cancellation which further led to not achieving the sales target.
During the simulation, I was the Sales Negotiator for PPS. On the first day, I was confused on how the whole system works, I did not understand the products that were supposed to be sold, however I started defending myself by blaming others for my mistake. However,
On the second day I wanted to change my attitude and actually learn something that would be beneficial for my future life. On the second day, when I was changing, I started giving sales pitch and the quality of the sales pitch improved overtime and I could easily understand the behaviours of the customers and could change my sales pitch and my usage of words according to the customers. I started understanding and analysing different kind of people, their behaviours and their attitudes. Moreover, in business organisations understanding people through their facial movements and attitudes is an art. I never believed that I could give Sales pitch and I had never tried before. I was very nervous and stressed on why was I given this post. But, this was truly an effective experience for me and has changed my thinking about working within an organisation and this would even help me in future to give sales pitch for my product to investors to gain fund and investments (Agarwal, 2018).
Furthermore, I used to work in my family business prior to the master’s degree in the University of Warwick and had experienced change while taking managerial decisions for the business. The business operates in Apparel Retail Industry in India and has 15 outlets spread in East India. The system for recording bills and expenses was an outdated technique without the use of the technology, however I have a vision of creating a 100% online business for better supply chain and decision making within the organisation. Making it 100% online means, having online management information systems, enterprise resource planning, real-time reports and analysis on finger tips and many other managerial online strategies. However, the bills and the expenses of the stores was an outdated service which used to send expenses by post to the H.O which used to take a lot of time in making appropriate decisions for the organisation. However, I along with a software developer created a platform which could record almost all types of reports made within the store (such as: staff attendance, general expenses, rent and other payments etc.) and which can be sent electronically on the same day to the H.O. Moreover, after implementing this the decision process became more efficient and I had total expenses of in-store on my devices. I experienced a change of consuming time and taking correct decisions at the right time and at the right place.
In the current modern world, organisational change is of utmost importance, a stagnant organisation may not be able to deliver and create interactive products for the changing needs of the customers. Within an organisation the leaders firstly must set appropriate vision to provide a direction to the organisation which will motivate and inspire people to work. Secondly the team must try to be a good listeners and a good communicators. Moreover, the whole organisation must work together for achieving the goals and the vision and must not blame and create sense of confusion, anger and depression within the organisation. Thirdly, each of the members within the organisation must respect and acknowledge everyone effort for achieving the goals. Lastly, the company must have different set of action pre-defined for different kind of situations within the organisation.
Organisational change is one of the most important aspects and a company must be highly responsive to change and improve on critical situations.
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