Question:
Discuss about the Knowledge Management in Domino’s Pizza Australia.
One of the most popular strategies in organizational strategies is change management. Knowledge Management (KM) helps organizations to deal with change. It includes the management of technology, innovation and information. Global organizations such as Domino’s Pizza have a major challenge of managing change in culturally diverse environments. Calculated steps in change management involve the identification of the need for change, initiating the process, implementation strategies of change management and monitoring its effectiveness. Its success depends on effective planning and research into the existing gaps. Management personnel across all departments should participate in the process for a comprehensive organizational approach. KM practices in a restaurant such as Domino’s Australia includes the creation of knowledge, acquisition of knowledge and its use. E-commerce as an example of an IT practice requires that Domino’s management team provide training to its employees on how to share information, use new IT systems and align it with its partners. Like other global organizations, Domino faces implementation challenges such as security and privacy in the online KM. Therefore, the brand needs a suitable working environment and structural system for KM. Other challenges include resistance to change management, which may hinder the organization from implementing KM practices. Since knowledge is dynamic, a continuous process of KM is applicable for this case study.
The use of KM in society is wide across industries, and organizations. Knowledge based societies depict change in different ways. Gradualist believe in change as a continuous process (Bock, et al., 2012). Innovation keeps changing and new ideas, tools and information comes up to change the way people and organizations function. The incremental process of this change needs an effective management structure. Domino’s Pizza keeps acquiring new skills for its customer service, and operations. KM provides solutions to the organization and it also improves people management approaches. In the case of Dominos, KM facilitates for smooth service delivery of an Amercan brand within a foreign culture (Dalkir & Liebowitz, 2011). KM is about the people, the process, culture and technology. It helps with the management of language and lifestyle differences between the US consumer and the Australian customer. Before the brand started the branch in Australia, it had to carry out market research to obtain basic information about the region, its consumer trends, preferences and reaction to American flavors.
Complex organizations need a multi dimensional approach to KM (Pettigrew, 2013). This is because large organizations constantly enforce change in strategies, structural frameworks and organizational culture. The introduction of ICT in Domino’s Pizza, Australia’s service unit connects all its branches in Sydney, Adelaide and SA. Global communictaion between Domino’s leadersip is via video conferencing, cloud computing and multimedia technology (Easterby-Smith & Lyles, 2011). These tools are also relevant in training, emergency meetings and strategy communication. The purpose of developing competitive knowledge management systems is for a competitive advantage.
Adaptation to change may require Domino Inc to do things differently in the Australian branch. Reorientation comes in when global organizations rebrand or reinvent in order to meet the dynamic consumer needs (Gettler, 2012). As a foreign owned brand, it needs a plan that makes it accetable in the Australian market. The modern consumer often demands for quality and value for money. Investing in research, innovation and technology helps the brand to manage such changes. Succefful recreation requires competent teams and this may have a cross cultural perspective. A competent process follows a specific pattern of identifying best practices in the Australian region (Slack, 2015). Internal change at Dominos Australia may arise from crisis in the leadership, control of the brand processes or bureucracies.
The process of knowledge management is a systematic process with practical concepts. Dominos is part of a global service with regional branches in the Australian industry. Its applications of KM are visible in:
These have strengths and weaknesses that help Dominos to succeed and make decisions (Lutz, 2014). The long term and short term consequences of KM indicates the pros and cons. The Human and social capital in an organization detects and discovers knowledge. Different factors influence the acceptance of knowledge. Proper timing, personal attitude and trust makes Australian consumers and Domino’s employees to accept any delivery of information by Domino. Therefore, its website including social media links need to inform, clarify and update frequently. Sharing reliable financial information with the stakeholders is part of Domino’s accountability strategies (Times, 2017)
Understanding change also implies that the organization adapts to new ideas. Managerial capabilities at Domino’s Australia borrow a leaf from the original Domino in the US. It incorporates brand elements such as the logo, uniform, tagline and brand name. The configuration of all these elements under a common leadership is a strategy (Kor & Mesko, 2013). Policies about work, hiring, training and structural levels use KM. Information Systems for the HR and Service department enhance performance at Dominos. When the organization has a smooth flow of information, its operations run smoothly. CSR concepts as part of KM have benefits for the society and its application varies across organizations and applications. Like other organizations, Domino shares its CSR with the public without being misunderstood. Domino Australia has a Corporate segment of its website, which shows its service to the community through charity works (Domino’s, 2015).
Resisting change is dangerous because organizations which fail to embrace change lag behind (Moore, 2011). For instance, Domino Australia may ignore change due to long-term success. The result could be increased costs, less innovation, no learning and reduced customer focus. Therefore, change has benefits but there are also risk factors. In the quest for competitive advantage, the brand may hire certain skills leading to segmentation of the labour market. Domino Australia happens to be the largest franchise of Domino Pizza. Committed to local and global service delivery, the brand shows commitment to ethical practices with its employees, stakeholders and business partners (Domino’s, 2015).
Sometimes organizations may embrace change but its employees resist change hence declined performance. A leading organization gains respect because of its ability to implement change. Tacit knowledge provides the intelligence for Domino as a global brand to predict and effect change effectively (Quast, 2012). Accepting change as part of organizational development helps the brand to mitigate effects of obsolete knowledge. Leadership is an integral part in steering the change through vision and giving direction. The managers discern the need for specific change in order to assign the change implementation roles to teams, and individuals. It is the role of the organization to help employee to overcome negative change, the unknown and resistance. Bringing multiple nationalities together for a common ground is a strategy.
Tacit knowledge defined by the tools and practices used by Domino highlight the significance of research in the industry. This is because change does not last longer. Innovative meals, beverages, and deserts come about as an indirect result of the short-lived change. However, using tools to change consumer perceptions is not easy. Domino’s Australia maintains local favorites such as prawn, bacon and meat. Australians love beef, pork mutton, and barbecue. Domino’s menu comprises of Australian as well as non-Australian flavors. Explicit KM consists of data management applications, which enable the brand to gather, organize and use information. Technology keeps changing as seen in the mobile commerce, which has changed marketing trends. Domino Au needs a rigorous process of keeping up to date with modern practices (Banu Gotkan & Miles, 2011). For instance, instead of focusing entirely on charity work as its CSR, it needs to show commitment for energy saving approaches. A “Green Energy” section of its website would add value to the brand because consumers appreciate brands, which show commitment to environmental conservation practices. Effective content delivery ensures that the brand delivers services using advanced technology. Creating trust amongst people is important as highlighted by the Hofstede’s cultural dimensions (Hofstede, 1993). Dominos is a multinational dedicated to effective KM practices. Its strategies support cross cultural practices and change management.
References
Banu Gotkan, A. & Miles, A., 2011. Innovation speed and radicalness: are they inversely related?. Management Decision, 49(4), pp. 533-547
Bock, A., Opsahal, T., George, G. & Gann, D., 2012. The effects of culture and structure on strategic flexibility during business model innovation.. Journal of Managment Studies, 49(2), pp. 279-305
Dalkir, K. & Liebowitz, J., 2011. Knowledge management in theory and practice. s.l.:MIT press
Domino’s, 2015. Business Partners. [Online]
Available at: https://www.dominos.com.au/inside-dominos/corporate/business-partners
[Accessed 31 July 2017].
Domino’s, 2015. In the Community. [Online]
Available at: https://www.dominos.com.au/inside-dominos/corporate/in-the-community/
[Accessed 31 July 2017].
Easterby-Smith, M. & Lyles, M. A. e., 2011. handbook of organizational learning and knowledge management. s.l.:John Wiley & Sons.
Gettler, L., 2012. How domino’s surged while rivals failed: Don Meiji’s story. Smart Company, 29 March.
Hofstede, G., 1993. Cultural constraints in management theories.. The Academy of Management Executives, 7(1), pp. 81-94.
Kor, Y. & Mesko, A., 2013. Dynamic managerial capabilities: Configuration and orchestratration of top executives’ capabilities and the firms dominant logic.. Strategic management Journal, 34(2), pp. 233-244.
Lutz, A., 2014. Costco’s Simple Strategy for Outperforming Wal-Mart and Target. Business, 30 Sept.
Moore, F., 2011. Holistic ethnography: Studying the impact of multiple national identities on post-acquisition organizations. Journal of International Business Studies, Vol 42 (5), pp 654-671
Pettigrew, A., 2013. The awakening giant ( Routledge Revivals): Continuity and change in imperial chemical industries. s.l.:Routledge.
Quast, L., 2012. Overcome the 5 main reasons people resist change. Forbes, 26 November
Slack, N., 2015. Operations strategy. s.l.:John Wiley & Sons
Times, F., 2017. Equities. Financial Times
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