Case History: Stanley Works & Change Change is difficult for all organizations and individuals but not necessarily bad as seen from the following case. If managed in a cautious and smart way, change can actually be constructive for the organization and for its retained employees. The Stanley Works case serves as an illustration. Part A: Background The Stanley Works founded in 1843 in Connecticut, USA, as a manufacturer of hinges, bolts and other hardware became, over time, a global presence, and expanded its international operations to the extent that it now produces more than 50 000 different products, ranging from hand, mechanical, air and hydraulic tools to hardware, fastening systems, doors and automatic doors. It is present in every major region in the world, and sales revenue in 1997 was more than US$2.67 billion. Despite this, the late 1980s, the corporation suffered competition. From an Asian counterpart that was not able to produce goods of enhanced quality but also provided these items at cheaper cost than Stanley. Stanley, consequently, began to lose market share and customers. Changes came about with Stanley's new CEO of the US Corporation, John Trani. The changes were two-fold: firstly, the world-wide manufacturing and distribution sites would be decreased from 123 locations to only 70 locations, with two sources for each product category (one third-world, one first-world country). Secondly, the organizational structure would be changed from divisional
As a result, Zwick (2002, p. 542) has noted that implementing change programmes in organisations that realise positive outcomes remain problematic for many organisations in the 21st century. Ayodeji & Oyesola (2011, p. 235) have postulated that organisational change is a dynamic process, which when taken poorly contribute to employee resistance to it, and eventually leads to failure of the whole process. 3|Page Organisation Behaviour; MGTS 1601; Individual Essay; Employee resistance to change Yuanli Zhang 43401163 Employees resist changes when they occur in the organisations for several reasons. Many organisations when they introduce changes are likely to stick to the ‘top-down organisational change’ process (Awasthy, Chandrasekaran & Gupta, 2011, pp.
Scenario 2: Gary M. was arrested by the FBI when he showed up at a local mall to meet a "14 year old girl" for a date, which he arranged over the Internet. He didn't know that the "14 year old girl" was a 35-year old male FBI agent. Category of crime, crimes of public morality referring to cybercrime, charges Iowa code 705.1 solicitiation of a minor felony up to 5 years imprisonment and fines (Reuters, 2017).
This article discusses the pros and cons of advocating change within the workplace. It also discusses the reason (s) individuals are said to resist change because of habit and inertia, fear of the unknown, absence of the skills they will need after the change, and fear of losing power. OD approaches to organizational change pr
I am an unemployed world war I veteran from Windsor, Ontario; I'm writing this letter to you as a desperate man in despair. I am a young man who did his share to help this fallen country, yet I am placed here to do what? Dig holes in the earth only to re-cover them with soil? There must be other more efficient methods of using our vest resources. It is unrest I share with my fellow comrades that should have your government concerned. I know that you are doing a lot for people out of work, so I am turning to you for assistance. Your my last resource; without you're aid I cannot support myself. I hope this letter will find you well.
Organizational change encompasses many challenges to both the individual, and the organization. An organization is a living system, as Flower (2002) states “living systems cannot survive without change, challenge, variety, and surprise” (Flower, 2002, p. 16). An organization requires the ability to adapt in to survive as Darwin states in The Origin of Man, “It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change” (Read Me First, 2013, p. 1). It must adapt to the changing market, global economic pressures, stakeholder demands, and the diverse needs
The Daniel Gill, the chairman and CEO faces the possibility of changing the organizational structure of Europe, Asia/Pacific, and the Western Hemisphere. The current organization includes an International Division which oversees production and marketing for countries outside the United States. The goal of changing the organizational structure of these three regions is to increase sales growth internationally and decentralize responsibility away from headquarters to field operations.
Cooper’s President, Gene Miller’s ideology was to not restrict operations to the production of engines only. This was reflected in the business decisions when Cooper began to diversify and widen its product ranges. Cooper’s acquisition strategies were well planned and they were not left to the professional managers on the grounds that they could do justice to any product categories or manufacturing processes. Great importance was given on understanding the culture and customs of the areas in which Cooper operated and diversification only took place when the prospects looked profitable. There was a limit to diversification and special attention was paid to the timing of acquisitions. Most of the companies that Cooper aimed at acquiring were market leaders who maintained records of high quality manufacturing. Cooper’s journey was not about acquisitions and additions only. After a business had served its useful purpose, it was divested because clinging to the past would only reduce chances of future success. Between 1970 and 1988, Cooper divested 33 businesses.
Columbus Custom Carpentry (CCC), a family-owned company founded in 1964, operates in a niche market that produces semi-custom doors for the residential market. The company has taken the non traditional approach of not competing with mass manufactures, nor selling their products through popular market stores. The company finds their success and profitability through the development of various jigs and specific tools that aid them in the production of replacing antique-styled doors for the restoration market. They also have a relevant source of business in a line of contemporary doors that have a more distinct and dynamic style than someone would find from mass-market competitors. The company’s tools and systems that are used to
CEO John McDonough decided on making acquisition of Calphalon and Rubbermaid, which influent shareholders’ confidence.
Week 3, the lecture on Managing Change describes organizational changes that occur when a company makes a shift from its current state to some preferred future state. Managing organizational change is the process of planning and implementing change in organizations in such a way as to decrease employee resistance and cost to the organization while concurrently expanding the effectiveness of the change effort. Today's business environment requires companies to undergo changes almost constantly if they are to remain competitive. Students of organizational change identify areas of change in order to analyze them. A manager trying to implement a change, no matter how small, should expect to encounter some resistance from within the organization.
The purpose of this book is to make us see that nearly all-operating prescriptions for creating large-scale corporate change are nothing but myths and that changes do not happen from one day to another by a miracle, the change from good to great is the result of a successful plan who
Introducing organisational change is often hard, the main reasons for that can be variation in perceptions of the employees, fear of disruption or failure and underlining the right approach to apply change. Then even if the change in a specific organisation is projected successfully there is still lot to be done to manage it in an appropriate way (Oakland, 2007).
The case deals with two major transformational organisational changes that take place within a span of 5 years in Marconi PLC. The first change process was under the leadership of Lord Simpson who took over this large diversified conglomerate in 1996 when the company was in a mature phase, already in decline. The company was under performing, had a rigid structure, lacked a clear vision and the employees had become change averse and complacent. To recharge the company Lord Simpson lead a change process with a clear vision with a growth oriented strategy, acquisition and a cultural change process for the employees. To motivate the employers to embrace the cultural change he introduced an attractive stock option plan.
Change may occur in order to remain competitive in response to new competition. Change-fatigue is rampant, and its aggravated by a natural tendency to distrust change that is imposed from above (Morgan, 2001). This report will discuss about Eastman Kodak Company as the organization that failed because it did not go through some organizational change or resistance to change.
For any business in the rapidly evolving world of business, planning and implementing successful organizational change is indispensable. Essentially, organizational change refers to a process whereby an organization strives to optimize performance in order to achieve its ideal state characterized by high performance and profitability (Côté & Mayhew, 2014). Any business would be more likely to lose its competitive edge, as well as fail to meet the demands of its loyal consumers if it doesn’t plan and implement change. Weiss (2012) emphasizes that all organizations ought to embrace change, and it’s imperative to note that successful organizational change doesn’t involve simple process of adjustments; instead it requires appropriate change management capabilities.