BUSB3 Creative Change And Innovation Assignment Sample
Organisational Change and Transition Example 1:
The famous online retailer, BooHoo has gone through a major change in its supply chain this year after a critical review of its suppliers. The change of the company can be discussed with the ADKAR model of change where the acronym stands for Awareness, Desire, Knowledge, Ability and reinforcement. This particular model is goal-oriented and ensures that change can be sustained and implemented. Firstly, the model focuses on the need and requirement of change. The supply chain issue has been identified in the review of Alison Levitt QC. The review entirely focused on how the company’s Leicester factories in its supply chain have endemic problems such as minimum wage and life-threatening fire risk (THEGUARDIAN, 2021). Thus, the concerns of the company were circulated where suppliers have been underpaid and protected against Covid-19.
Figure 1: ADKAR model of change Source: (Karambelkar & Bhattacharya, 2017)
The second stage desire is about bringing change and be a participant in it. The company quickly take the situation under scrutiny as the actions violated both the minimum wage act and the workplace health and safety act. Such an issue led the company to legal consequences where it has to take quick action to mitigate the entire situation. The next stage of knowledge is about searching for data that need to be used for bringing required change. The company’s internal review has found many failings to its supply chain then the company went on collecting further data based on its allegation to be capitalised on the commercial opportunities offered by the lockdown. As of the next stage, the company already has a proper workforce in place that includes a team that can effectively make changes in the company process. As a result, the company published a new list of 78 approved suppliers across 100 factories. In which, more than 50 factories are based in Leicester (BBC, 2021). The suppliers have been selected after evaluating their transparency and address issues identified in the auditing process. As per the last stage of the ADKAR model, the company can reinforce it properly.
Organisational Change and Transition Example 2:
Amazon, the biggest e-commerce platform across the world has been going through the transition of having a sustainable business model. It can be discussed using Kotter’s change management theory which is about the response of people to change. As per the theory, there are various stages such as increase of urgency, building a team, having the right vision, communicate, making sure forward activities, focus on short-term goals, not giving up and incorporate change (Evans, 2020). The company’s transition has begun after developing a sense of urgency as every large company has taken actions to reduce its environmental impact (Alsaifi, et al., 2020). There has been a major conflict within the workplace as the employees had to be open about how the company could not do anything for the betterment of the environment considering every action of the firm makes a major impact on people (BBC, 2020). After facing such criticism from own employees, build a team with excellent employees who can build policies that mitigate such issues.
Figure 2:Kotter’s change management theory Source: (Evans, 2020)
Next, the leader has set the vision properly to ensure that the team is working towards the proper goal. The vision is not only developed based on the strategy but also based on creativity and emotionally connect. However, the vision cannot be fruitful if it is not developed considering the views and thoughts of employees and also such vision need to be communicated well. In order to make sure that things can swiftly move forward, the goals must be attained. The management has taken the decision that ensures that the employees understand that their sincerity towards sustainable action has been acknowledged by the brand. The short-term goals have been effective to ensure that that the team can achieve the change related to the environmental impact. The goals are Net-zero carbon emissions across the operations by 2040, powering renewable energy by 2025, making 50% of all shipments net-zero carbon by 2030, deploying 100,000 custom electric delivery vehicles by 2030, investing $2 billion to support the development of decarbonising technologies and services and investing in $100 million in reforestation projects and climate mitigation solutions (SUSTAINABILITY, 2021). The team has persistently worked on ensuring that Amazon can reach such goals and lastly it is working on making it a part of organisational culture which is a part of incorporating change.
Organisation Change and Transition Example 3:
The luxury electronic car manufacturer Tesla has taken huge expansion strategy for this year and such transition has been expected to make a major change in the company’s overall success. Such change can be analysed by Lewin’s Change Management Model that involves three stages such as Unfreeze, Change and Refreeze (Rosenbaum, et al., 2018). In the first stage, a company understand that there is a need for the change and thus starts preparing for the stage. Tesla has witnessed a major hike in demand in recent years which could have been due to environmental consciousness and people’s interest in luxury products.
In order to fulfil such demands, the company need to build factories in Texas, Austin and Brandenburg. The change will be taking place in future which needs to be done by understanding the level of demand as per regions and facilities required in particular areas to set up factories for Tesla. Effective leadership and reassurance ensure that such action is effective for the overall productivity of the company. When such change will be implemented and embraced by the people of the organisation, it will reach to refreeze state. Overall, the last stage is where everyone restarts the old routines in the workplace.
References
Alsaifi, K., Elnahass, M. & Salama, A., 2020. Carbon disclosure and financial performance: UK environmental policy. Business Strategy and the Environment,, 29(02), pp. 711-726.
BBC, 2020. Amazon ‘threatens to fire’ climate change activists. [Online]
Available at: https://www.bbc.com/news/bu
[Accessed 09 August 2021].
BBC, 2021. Boohoo slashes UK supplier network after Leicester failings. [Online]
Available at: https://www.bbc.com/news/uk-england-leicestershire-56521738
[Accessed 09 August 2021].
Evans, T., 2020. Improving evidence quality for organisational change management through open science. Journal of Organizational Change Management, 01(01), p. 01.
Karambelkar, M. & Bhattacharya, S., 2017. Onboarding is a change: applying change management model ADKAR to onboarding. Human resource management international digest, 01(01), p. 01.
Rosenbaum, D., More, E. & Steane, P., 2018. Planned organisational change management: Forward to the past? An exploratory literature review. Journal of Organizational Change Management, 01(01), p. 01.
SUSTAINABILITY, 2021. Net-Zero Carbon by 2040. [Online]
Available at: https://sustainability.aboutamazon.com
[Accessed 09 August 2021].
THEGUARDIAN, 2021. Boohoo severs ties with hundreds of UK manufacturers after critical review. [Online]
Available at: https://www.theguardian.com/business/2021/mar/25/boohoo-severs-ties-with-hundreds-of-uk-manufacturers-after-critical-review
[Accessed 09 August 2021].
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