This essay intends to propose a change management plan of a medium sized confectionary company with the purpose of betterment and attaining competitive edge in market. A medium sized Australian confectionary company, The Cookie Hub is a familiar name amongst the lovers of baked food products like cake, cookies and other sweet dishes. They are famous for their efficient handmade cookies and cakes. However, recently the company has realised in order to expand their product range and bring variation they have to adopt technology as far as sustaining the business is concerned in the competitive market of Sydney.
Not only The Cookie Hub, as per Bauman (1998), but also other companies are agreeing in a same point that implementation of new technology irrespective of industries are playing a crucial role as far as 21st century in terms of dynamic nature of various industries are concerned. It is beneficial as it increases production and saves both the time and resources as well.
At first, this report will discuss the desired change the company wants to apply (Baggott 2005). Further, requirements and impacts of this contemporary approach will be evaluated. Therefore, this report will discuss the feasibility of change management plan by highlighting the challenges and recommended actions with the help of various theories related to the process. As per assumption of The Cookie Hub, the right implementation of the procedure will bring better results in terms of revenue.
Description of change
As mentioned before, the company has a goodwill of serving handmade, cake, cookies and chocolates. However, every company has aspiration to grow, expand business and increase profitability. The Cookie Hub is not an exception, undoubtedly. In order to achieve the desired outcome, the company has decided to adopt technology to keep a balance with the customers’ demand and competitive business environment. Realising their company’s USP, they have decided to make a separate segmentation with their handmade products.
Realising the power of technology in terms of saving time and resources, the operation manager has recently presented the proposal of technological changes. The manager has visualized the potential of change management plan in successful transition of the organisation. However, according to Barney and Griffin (1992), challenges and resistance are common while choosing as well as implementing the right strategies. Several people fears the technology as it can be the alternative of the human resources in some areas.
This kind of resistances have started to occur already. Therefore, as argued by Greiner (1972), the tension will be less by making the employees understand the change through communication and develop the culture of the workplace in a way, which is more open-minded in terms of adaptation. Employees are needed to inform in timely manner about the plans and procedure to make them feel valued and equally important as organizational benefits.
In the case, of The Cookie Hub the company has to recruit several new employees, and develop technological infrastructure. Apart from a different handmade product segment, the company is looking for processing and packaging machines keeping the increasing market demand in mind. Besides, in order to cater the health conscious population of Sydney, The Cookie Hub has to consider alternative ingredients, which do not contain high calorie. Therefore, highly improved technological infrastructure must be adopted in order to maintain the nutritional benefits of products at the same time. The product can be low fat or sugar free yet many heath related things depend on a healthy packaging material too. Therefore, packaging needs an improved technology as well.
As far as, both the market trend and demand of consumers are concerned, as described in Bate (1994), advanced technologies and innovative ingredients for confectionary items are going to be changed entirely in near future. Therefore, supply chains are needed to revise their list of deliverables as well. The confectionary business has to cope with the global population, their healthy diet, limited natural resources and environment friendly food ingredients. Apart from developing the advanced technological infrastructure,
The Cookie Hub needs to consider the consumers’ outlook of conserving effort, energy and time. In order to extend the customer base and increase the product availability, the company can launch their bakery online. There is a growing opportunity for e-commerce websites in terms of resolving the customer requirements. In the addition, as described in Dunphy and Stace (1990), adoption of new technologies within the stores helps the retails to deliver a smooth shopping experience to customers. Before seeking opportunities of technological changes, it must be determined first what improvement and benefit would come.
After analysing the market, it has been observed, therefore, customers’ demand is increasing and only handmade products are not sufficient to satisfy that increasing demand. Further, although consumers are preferring to buy from Cookie Hub yet both the frequency and tendency of buying sweet candies and products which are high in calories are decreasing due to an increased health consciousness. Additionally, as the busyness has increased among global population, instead of coming to the stores they are preferring online shopping as well.
Therefore, it can be stated in order to make essential technological changes; in one hand, several job designations are being dissolved and several new posts can be created as well. Training and development programs must be initiated to update the employees with the new procedure and make them efficient in terms of new business operation. Occasionally, the store receives orders of manufacturing mass gift packets at the time of festivals. With the help of human resources only, there are chances of missing the requirements or several details. However, if the workforce take help of innovative technological aids, which will help to prepare gift packages with the supervision of HR department, then the company can serve customized orders with better efficiency.
Mass requirement and fast deliveries are important and to do this technological support is necessary to sustain within the competitive business environment. As far as the handmade sector is concerned that is going to be a different segment. There are customers who come for authentic hand made products only instead of machine made ones, to satisfy the increasing demand of them and to ensure timely delivery more efficient chefs and workers must be engaged. In order to support them with technological aids, smart kitchen equipment can be installed within the system. The most important sector is adoption.
The plan must be feasible enough in terms of monetary resources of the company. Significant researches must be conducted on the process of development, marketing and before setting promotional activities in order to design and make the technology function in its most customized way. Although, future cannot be predicted, technological devices and tools are playing important part in shaping consumer perception on a large scale. Requirement is to communicate the change amongst supply chains as well as innovation will influence them as well.
After acknowledging the uncertainty of innovation and change, it can be said consumers’ demand is the ultimate, which is able to control the market trend. Additionally, well skilled and efficient human resource is able to execute the proposed changed if communicated appropriately.
Impact of changes
The impact of technology in HR practices of any organisation will enable the hiring managers with the opportunity of access a database of potential employees. It will also help to keep a track of the existing employees and their details. Further, in the time of organising training and development programme they can manage the list with help of technology in basic investment. The purpose of Technology is to enhance productivity and save the time. It helps to deliver the products on time as well as satisfy mass requirements.
HR department handles numerous personal data of employees like salary and bank details. Unsecure digital system is prone to cyber-attacks and identity fraud. Therefore, by fulfilling the requirements of digital security employee details can be secured. It indirectly enhances the company’s goodwill and creates an example of employee friendly workplace unlike their several competitors.
The Cookie Hub was habituated in a setting, which was entirely controlled by human resources. Therefore, as per the study of Buckingham and Coffman (2000), in order to adopt technological aids in both operations and management functions the influence of training and development must be considered in the first place. In order to ensure greatest impact on the health conscious population of Sydney, instead of making chocolate the company can opt for using chocolate as an ingredient of a low fat dish, using dark chocolate can also influence the sale targeting the fitness conscious generation.
HR department can induce positive changes by sharing ideas of new recipes like including various nuts, unusual fruits, sea salt and use of healthy ingredient, which will create a good impact on dynamic preferences of consumers. Technology can serve major role not only by processing and helping in packaging but also it will help to tackle various job responsibilities. Efficient use of technological infrastructure can help to serve mass requirement and timely delivery.
Due to adaptation of technology, there is a possibility of losing job roles of several employees yet as several new departments are emerging, there is immense chance of getting job in another department as well. Being innovative as per recipes and its capability of satisfying increasing demand of market, it will not only influence the revenue but also help to sustain within the competitive business environment.
Therefore, impact will be noticeable in employee efficiency, in delivering products, all over production and competitive advantage.
Identification of the resistances
Compatibility issues
In accordance to the identified change management process for The Cookie Hut in the above section, there is having higher probability of emergence of resistances from different perspectives. This is due to the reason that technological change process will involve different stakeholders with different sets of requirements and expectations. One of the major forms of resistance being identified is resistances from the side of the employees. This is due to the reason that each of the employees will have to be compatible enough in coping up with the new process and practice. According to Lines et al. (2015), in the case of technological change, major sections of the senior employees tend to resist to the change.
This is due to the reason that senior and older employees will be less accustomed with newer technologies and they are also less flexible in accepting new processes. The authors have also stated that accepting the new technologies will be difficult for the older employees and they will not be able to compete with the new and younger employees in coping up with the implemented technologies. Hence, according to the authors, age gaps will pose a challenge in the implementation of the technological change process and this will led to the emergence of resistances from the side of the senior employees.
On the other hand, it is also stated by Hornstein (2015), that resistances may also occur from the newer and younger employees due to computability issues. This is due to the reason that in order to cope up with the technological change and newer processes, it is important for the employees to have the proper training and skills. As per the authors, if the employees are not having the required skills and expertise, then will not be able to cope up with the technological change and will resist to it. In addition, it should also be noted that this phenomenon is applicable for the employees across different age groups. This is due to the reason that employees across any age groups will resist if they are not having required skills and expertise to cope up with the technological change in the workplace.
Job security
It is a well established fact that technological advancement and implementation of newer technologies will pose threat to the job security of the manual labors. In the case of The Cookie Hut, this is also very relevant due to the reason that implementation of the technological change will led to automation of the majority of the manual labor. According to Kuipers et al. (2014), job security of the employees is one of the major reasons of emergence of resistances.
This is due to the reason that in the case of The Cookie Hut, employees will have the perception that implementation of the technological change in the workplace will automate their jobs and thus their jobs will be at stack. This will made them resists to the change. In addition, it is also being stated by the authors that if the employees are having the perception that implementation of the technological change will deviate their core skills and expertise, then also they will resist to the change.
Infrastructural challenges
Apart from the resistances to be faced from the side of the employees, there are some other internal and external factors that may also pose challenges for The Cookie Hut in implementing the technological change. One of the major challenging factors for them is the infrastructural requirements. According to Avram (2014), The Cookie Hut will have the requirement to have extensive capability to invest and develop their existing infrastructure. This is due to the reason that implementation of the newer automation technology will require change in the existing infrastructure. Thus, The Cookie Hut will face the challenge in extensively investing.
As discussed in the above section, The Cookie Hut is a medium size organization. Hence, it will be difficult for them to invest in implementing the technological change. On the other hand, it is also being stated by the authors that organizations should have other resources ready for having the successful implementation of the technological change. Thus, this may prove a challenge for The Cookie Hut in terms of their change process.
Change in external business factors
In the current business scenario, the external business factors are changing rapidly and frequently. Thus, it is important for the contemporary business organizations to have their strategic intent accordingly. According to Hueske, Endrikat and Guenther (2015), changes in the external business factors will pose challenges for the business organizations. In the case of The Cookies Hut, they are operating in the highly competitive food sectors.
Thus, they will face the challenge of aligning the objectives of their change process with that of the external business environment. In addition, it is also stated by the authors that if The Cookie Hut will implement technological change process and thus the impact of the external business factors will be more. For instance, the technology to be implemented by them through the change process may get obsolete in the few years. Thus, it will become challenge for them to change the approach of their change process in accordance to the external business factors.
Recommended steps
There are different change models being stated by different authors, which will be effective in overcoming the identified challenges and enhance the effectiveness of the change process. One of the major change models is Lewin change model. This is also one of the most widely used models in the current business scenario. According to this model, there are three key steps that should be followed in the change management process.
The first step is unfreezing. As per Shirey (2013), unfreezing process refers to the approach of determining the need of the change in the organization by identifying the gap areas. This is important due to the reason that identification of the gap areas will enable the change managers in convincing the employees about accepting the process. In addition, the authors have also stated that identification of the gap areas will also enable the managers in having the idea about the requirements in the project.
On the other hand, it is stated by Mitchell (2013) that unfreezing process also refers to the allocation of the resources according to the requirements. According to the authors, effective process of unfreezing will help in reducing the probability of emergence of resistance from the side of the employees. This is due to the reason that in this step, Lewin’s model states that employees should be involves in determining the approach of the change process. In addition, opinions and views of the employees should have more valuation, which will further help in creating consensus in the decision making process. Thus it can be concluded that initiation of the unfreezing process will help in reducing the gap between the employees and the managers.
The next step in this model is change, which refers to the process of implementing the change according to the factors identified in the unfreezing process. According to Sutherland (2013), in this step, it is important for the managers to implement the change in accordance to the feedbacks of the employees gathered in the previous step. This will ensure that employees are satisfied with the change process and probability of emergence of resistances from the side of them will be lower. In addition, the authors have also stated that change process should be implemented in pashed manner due to the reason that initiation of the phased manner will help in determining the impacts of the change process and shortcomings can be mitigated in the initial stage.
The last step of the Lewin model of change is refreezing. According to Burnes and Cooke (2013), refreezing process refers to the stabilization of the new implemented process after the implementation of the change process. In addition, it is also being stated that evaluation and monitoring of the performance of the employees and effectiveness of the change process should also be initiated. This is due to the reason that evaluation of the effectiveness of the change management will help to determine the shortcomings of the process and rectifying accordingly. In addition, the authors have also stated that this step also includes the determination of the challenges of the employees being faced in the new process and overcoming them. Thus, proper identification of the issues being faced by the employees will help to resolve them in the initial stage and this will also ensure that employees will have less intensity of challenges and probability of the resistances will also get lowered.
It should also be noted that implementation of the Lewin change model should be arranged according to the external business factors. This is due to the reason that different business organizations are facing different sets of external business factors and thus, they should aligned the change process according to their external business factors (Cummings, Bridgman and Brown 2016).
In the case of The Cookie Hut, implementation of the change management process with the help of Lewin change model will ensure that each one of the involved stakeholders are involved in the entire change management process and the decision making process is being made based on the consensus. On the other hand, this will also ensure that all the stakeholders are having the basic understanding about the objectives of the change management plan.
Conclusion
This essay concludes that The Cookie Hut is having the requirement of initiation of technological change in the organization. This will ensure that technological change will help them in enhancing the organizational effectiveness and efficiency by maximizing the productivity of the employees. In this essay, the requirements for the change management plan are being discussed along with the discussion about the impacts of the change plan on the organization, employees and other stakeholders.
It is identified that initiation of the technological change process will help The Cookie Hut will have majority of the positive impacts. In addition, in this essay, the probable challenges that will get emerged in the implementation process of the change plan are also identified and critically analyzed. It is identified that probability of emergence of resistance from the side of the employees will be more in addition of the infrastructural challenges. These Challenges will reduce the effectiveness of the change plan in the long term. In accordance to these challenges, Lewin change model is discussed in this report that will help to overcome them and enhance the effectiveness of the entire process.
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