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Introduction - Nature of organizational change
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What are the motives of the organizational change project for Lakeland Wonders? Give details analyzing the change approach adopted by the CEO of the company?
This case study will discuss the change approach which is implemented by Cheryl Hailstorm in the Lakeland wonders. There are 2 reasons for the Lakeland wonders for managerial change. The aggressive profit target for the business pushed Cheryl Hailstorm to change the structure of the company to achieve those targets. The second reason is the ability of the company to acknowledge new challenges which is the strongest cause to go for organizational changes to expand the visualization of the company towards new opportunities and challenges. The company is working in America and wants to collaborate with a company like bull-eye to enter the market with cheaper rates. The main motive for doing the change approach is to go offshore to produce cheap-rate products in the competitive market.
The CEO of the company is introducing new and skilled employees to reach their products with a level of quality and improve their performance. The communication must be flexible inside the organization to exchange the ideas and feedback with the employees. The goal of the company should be clear in the mind of the CEO of the company to work accordingly. The changes related to the set targets of the company should be adopted according to their availability in the future market. The CEO of the company has adopted a different change approach to increase their profitability by hiring new skilled employees in an organization. The reason for the company to change its structure is to reach the target market and increase profits.
The Lakeland wonders can plan some new entry workforce to grow the business at a large scale. The company can also use Barnes's scale and speed approach to do some structural changes in their business with midmarket business planning, in order to make negligible changes in their personnel to increase the functionality of an organization. The new concept was a concern for existing employees as they would need a proper training program to handle new techniques (Cameron and Green, 2019). The CEO suggested an increment for the employees rather than job cuts for offshore manufacturing. The CEO had a good reputation in her previous business and wanted the Lakeland wonders to reach rapid growth to compete in the market.
The quality and design of the organizational changes adopted by the company were hitting the absolute portion of the contract between labor unions and timing. The company needs to develop an effective strategy to maintain the quality of the product with efficient employees in an organization. Cheryl Hailstorm recognizes the way to assemble the aggressive enlargement aim set by the board. For her, the future of a company was to go offshore to fulfill the demand expected by the boards. The CEO wants to take fast decisions to change the element of the corporation (Coban, et. al. 2019). The company is implementing the change blinded by the concern of workers and started looking for outsourcing another talent show that can beat the same page. Cheryl Hailstorm was expectant employees to agree to her visualization. Consequently, the changes implement faced resistance from nearly every department.
Explain McKinsey 7s framework for Lakeland wonders to analyze the need for change in Lakeland Wonders?
The McKinsey 7-s model is used by the organization in a variety of situations. This model will help the company to improve its performance and to determine the best strategy for its operations. This framework can be used by the Lakeland Wonders to examine the effects of changes in the company. This can also be used to align departments and during mergers and acquisitions. This Model is a framework for companies’ efficiency that assumes that seven internal factors of a business that needs to be associated and resistant for this to be successful. This is an organizational tool that will give access to the Lakeland wonders for efficient performance and helps to determine the company's structural support. This model has 7 internal factors which are classified as hard and soft. The hard element is easily recognized and prejudiced by an organization which includes strategy, structure, and systems factors. The soft element is intangible and influenced by company culture which includes shared values, skills, style, and staff factors (Demir and Kocaoglu, 2019). The hard elements are easy to identify and the company can influence them directly in their operations. The soft elements are tough to describe and they are less tangible. This model can applied to facilitate company changes, implementing new strategies, identifying the new area for changes in the future in order facilitate the merger and acquisitions.
- Strategy: the case company can apply this to plan different strategies for maintaining a competitive advantage. An effective strategy is clearly expressed. In the long-term, it helps the organization to accomplish a competitive advantage and is resistant to the mission, vision, and values. This strategic factor will help the company to build a great strategy, system, sound structure, and many more. The company should plan a long-term strategy rather than a short term for positive results in future performance.
- Structure: Lakeland wonders should organize different departments and team structures which will create a healthy working environment for the company. The company structure represents the firm division and organizing units which includes the information system stating who will accountable to whom.
- System: it is a procedure and process of the organization which reveals the daily activity of the company. The decisions in the corporations are taken on behalf of these daily activities. It is the area of the corporation that determines that how the business is done. The main focus of the manager is to manage these organizational changes.
- Skills: these are the abilities of the employees to perform well in the company (Chmielewska, al. 2022). The case company should recruit a skilled and talented workforce to build new strategies and increase their future performance.
- Staff: the types and number of employees in a company and these employees are trained, recruited, motivated, and rewarded for their performance in a company.
- Style: this represents the way the case company is supervising by the top-level manager and how they interact with their team.
- Shared values: they are the foundation of every corporations that represents their norms and value that guides employees' behavior and action of the company.
What type of Organizational cultures evident in the Lakeland wonders company?
The organizational culture of any company or firm refers to the attitudes, shared values, and practices that describe an association. It is the personality of a company that plays a huge part in the overall satisfaction of the workforce. The company hires new employees and grows the team which becomes necessary for them to build a sound culture in an organization to prepare the vision and mission. This depicts the personality of the firm which plays a huge role in building the rules and policies of the company. An effective organizational culture will help the case company to attract skilled and talented candidates for the job profile. For creating a sound culture in the company the managers need to invest a lot of time and effort. It should be prepared accurately by considering all the vision and mission strategies (Joseph and Kibera, 2019). There are 4 types of organizational cultures in every company which is:
- Clan culture: It is a people focused culture that focuses on cooperation and mentorship. This creates a highly shared working environment where every employee is valued and communication is a top main concern. It is paired in a horizontal structure to break down the barriers between the employees. This culture encourages mentorship opportunities in the organization to build strong relations with the employees. The CEO of Lakeland wonders should adopt this culture at her workplace to improve the environment of the business.
- Adhocracy culture: it focuses on the risk-taking and innovation by the business. The company should focus on making an innovative product to survive in the competitive market with its competitors. They should motivate employees to give innovative ideas with their creative thinking. This will help Lakeland wonders to face the external factors and increase market growth for success. This will benefit the company in generating high profits and revenues. This also focuses on new ideas, the creativity of employees, and development opportunities. This culture is adopted by changing the technology industry where the demand for new products is high.
- Market culture: the completion and business growth is prioritized for profitability through the market culture. These are the result-oriented goals that focus on external accomplishment rather than internal satisfaction. A market culture pressure the importance of getting results, gathering quota, and reaching targets. The case company by adopting these market cultures can increase its profits and sales. As the employees are focused on achieving the market goals and improving their efficiency.
- Hierarchy culture: the company by adopting this hierarchy culture can focus on corporate structure and stability. The company by separating employees and leadership focuses on internal factors through multiple management tiers and a clear chain of command. This culture will set out culture and make stability and risk-averse. This will benefit the company by prioritization of internal factors of the organization and following clear hierarchy directions which will create a positive working environment in the company (Krauss and Vanhove, 2022). The company can focus on day-to-day operations and can change things easily. The company should consider every department and team to ensure clear short and long-term goals.
Give justification upon the stakeholder position? Prepare to map the stakeholders at Lakeland Wonders?
Stakeholder mapping is a chart that lay all the stakeholders into the project, idea, and product on one map. This gives a clear representation of all the stakeholders who are affected and can affect the project in the company. The stakeholders may be internal and external parties connected with the company. The CEO of the company should build a new product to know the stakeholder of different groups and their roles in the product. These stakeholders include Observer, player, currently unengaged, and latent players. The company can penetrate new markets to gather new customers, existing customers, and new retailers. For starting the project the company needs to develop stakeholders internally which include project managers, developers, designers, and the CEO. There are 2 types of stakeholders which participate in the projects of the company. The company should adopt positive organizational cultures to improve its performance efficiently. They should select suitable candidates according to the different job profiles according to their skills and knowledge.
The first one is internal stakeholders who are engaged in the project within the company including the people participating in the product advancement and delivering the projects. The level of engagement of stakeholders in the project may differ but they are highly influenced as a part of an organization mostly they are CEO, product owners, designers, developers, and project managers who are engaged internally. The second one is External stakeholders which are affected by the projects of the company and include investors, customers, shareholders, government, and suppliers. Stakeholder map is a process of mapping, identifying, analyzing and prioritizing the stakeholder. This will benefit the Lakeland Wonders to sponsor real goals, project success, effective communication, and mechanism to influence other people.
The organization can work upon the relationship of influence with stakeholders. The mapping of stakeholders can be done through differentiating each of the stakeholders by putting them in a separate group. The first step is identifying the list of stakeholders depending on the business and which will impact the project of the company. The next step is to analyze them to better understand their perspective and relevance in the project (Giuffrida, et. al. 2019). The company should analyze the type of stakeholders, their contribution to the project, their willingness to engage, and how much they are influenced by the project. The third step is mapping the stakeholders according to the list and analyses which will help the company to compare the chart and rate their relative sentiments towards the project.
The last step includes prioritizing the stakeholders by engaging them with time and money. The mapping chart will help the company to capture the most relevant issue and relevant stakeholders (Krupa, et. al. 2018). Depending on the difficulty of the project, a company can have a combination of stakeholders for a small mission which bring big changes to an organization. When the company is dealing with external and internal stakeholders, it is very essential to prioritize them individually with their efficiency.
Explain three major recommendations provided to CherylHailstorm justifying the success of the change initiative?
With the fast-moving industries, it becomes essential for the company to do technological advancement and change its organizational culture. This will allow the company to do necessary changes which will improve the performance in the long-term goals. The company can apply different change models which will be useful in planning and implementing the change in the future for long-term success in a company. Change management is a planned approach to organizing groups, processes, and technology to efficiently implement change within a company. The company should use this McKinsey 7-S framework in their business to make effective strategies to gain a competitive advantage by making highly innovative products (Heracleous and Bartunek, 2021).
It is recommended that CEO of Lakeland wonders can apply the Lewin's change model which helps in influencing the behaviors of people and create an effective positioning for the company. The Lewin change models is applied by following three stages which are unfreezing the insights of administration, employees feedback and rewarding the employees for the their work proficiency. Kurt lewin's model includes the unfreezing, changing and refreezing to the evaluate the change in management through the classic approach. It is recommended that the change model will influence the working of management through outlining the foundation of the organization. The steps involves in the model helps in the change which helps the company to implement the changes and employee feedback to smoothen the change. This ensures a continuous flow of information and session for change management. Lewin’s change model helps employees to adapt to the change efficiently by motivating them. The employees move from the transition phase to refreezing stage. Which later on help the company to identify employees through the ability of early adopters and reward them. They should collect feedback from employees regularly.
The company can also apply Kotter's change model which should overcome large-scale changes and challenges to run its operations effectively. The 8 steps include a sense of urgency, developing vision strategies, put together a direct union, communicating change visions, remove barrier, aim short-term wins, build on change and stick those changes. Implementing the change is not always easy for the company many barrier can come in a variety of forms. The lack of collaboration, inflexible workplace culture, arrogant attitude, general human fear, etc. can disturb any change accomplishment in the project. The process starts with creating a sense of need among the CEO and employee and everyone involved in the project. In the next step, the company should bring competent employees with skills, talent, proper knowledge, connections, and reputation to change the organization (Baloh, et. al. 2018). The company should prepare the vision and strategies to help the employees to achieve the goals of the company. In this step, the company should communicate its vision strategies to the employees to encourage them to accept the change. The company should remove the barriers within the operations which are blocking the implementation to change (Wentworth, et. al. 2020). the firm should improve its short-term wins that are easily visible throughout the change initiative.
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