This task is mainly consisted of the description of three organization's nature such as: Tesco, Sainsbury and Marks and Spencer, along with their present status on the current condition of economy. After that, the significant changes which have been occurred since from the last five years within these organizations and positive or negative effect of the changes on these organizations are also described.
Nature of organizations:
Tesco, Sainsbury and Marks and Spencer both are considered as the chain of retail super market. These three organization are recognized as the renowned organization not only in UK but also among the whole world. 923 stores are operated by Tesco where 2,40,000 employees are working and the total number customers of Tesco is 260 million. Since from the last five years, by launching new products and service, the business is expanded by Tesco in new market in new countries where the business of non-food, personal finance and as well as internet shopping are provided by the organization to the customers.
Like as Tesco, Sainsbury is also considered as the retail company, principal activities of which are: grocery, related services of financial and retailing. There are three operating segments through which the business of Sainsbury is operated and these three segments are: retailing, financial services and last one is property investment. 872 stores are operated by Sainsbury.
Marks & Spencer is considered as the leading retailer in UK, the number of customers which is 21 million of each week. The product with the feature of stylish, high quality, clothing with great value, and as well as the product as home based is offered by the organization. In this company, 75,000 peoples are employed by the organization. Recently, it has been showed that the company takes the five year eco plan for the purpose of achieving green credentials.
For the purpose of describing the companies' present status on the current condition of economy, after that, the significant changes which have been occurred since from the last five years within these organizations and positive or negative effect of the changes on these organizations, it should be needed to analyse the internal and external factors of the organizational changes where all these subject matter are explained.
Internal factors:
1. Technology infrastructure:
In order to exchanging the information, facilitating the system of communication and operating the business, internet plays the significant roles which can be included on current infrastructure of technology. Tesco, Sainsbury and Marks & Spencer, on these three organizations, rapid changes are happened on the technological sectors and as well more knowledge is demanded for ensuring effective management system within these organizations for the purpose of resources managing and along with developing these resources where competitive advantage is also maintained by the organization.
2. Change in leadership:
Products are restructuring by these organizations such as: Tesco, Sainsbury and Marks & Spencer for the purpose of fulfilling the customer demand. It seems to be very difficult to spend money by the organization for solving each and every problem and this matter is well known the top leader of the organizations. In relation to solve the problem, workers of highly committed and flexible are needed within the organization. For make adjustment with the recent changes of the organization, great support can be getting from the leader in order to change the attitude of the employees for the purpose of accepting or welcoming the new changes.
3. Change in Employees Morale and Motivation:
Employees' morale and motivation are affected by making changes on leadership policies and practices in Tesco, Sainsbury and Marks & Spencer. It may also affect the productivity, production and profits of these organizations.
External factors:
For the purpose becoming successful in the current condition of the world, the organizations also should focus on the external environmental factors, along with the considerations are given toward the internal environment by the organizations. Resources and employees are included on the internal factors where external factors consist of political, economical, social, technological, environmental, and legal factors. Through describing these factors, it can be found out about the current conditions of the organization and the positive and negative effect of changes on the organizations.
Political factors:
In modern organizations such as: Tesco, Sainsbury and Marks & Spencer, there has the significant affects of the global politics. The activities of global politics for example: the incident of 9/11, Soviet Union collapse, Germany's reunification, WTO policies, have significant effect on the Tesco, Sainsbury and Marks & Spencer's business operation and the results of which may impede the development of the organization.
Economic factor:
Tesco, Sainsbury and Marks & Spencer, these three organizations handle the scarce resource allocation which is related with the economic system. The economic progress of the country is done by leaps and bounds as the phase of progress. In the flourishing stage of economy rising level of people's standard of living may result to grow the business of Tesco, Sainsbury and Marks & Spencer.
Social factor:
Inspiration, outlook and activity are considered as the foundation of the progress of the society in relation to the human affairs. Therefore, customer actions which are related with the approach and activities of them keep contribution on affecting the business of Tesco, Sainsbury and Marks & Spencer. There are some factors for example: level of maturity, vocation type and along with activities of sparing time and these factors are considered as the basis of bringing changes on the attitude and approach of the customer which results the changes of growing the business of Tesco, Sainsbury and Marks & Spencer.
Technological factors:
Tremendous effect is brought by the technological factors in order to the operation of the business development of Tesco, Sainsbury and Marks & Spencer and their status and as well as their program of marketing. These incidences are directed towards the rapid movement of the new trends generation and if the organizations don't know about these rapid movements of new trends then the growth and development of the business operation of the organization may impede. In Tesco, Sainsbury and Marks & Spencer, world class bid of these organizations, management with cutting edge in order to the program of ethical auditing, a deal is signed by these organizations with the management system of BSI in relation to the entropy software provision.
Environmental factors:
Natural gifts are included on the factors of environment which keep contribution on the change management of an organization where lands, water, air all are comprised. In fact, the movement of cost efficiency of Tesco, Sainsbury and Marks & Spencer result turned out the production progress of Tesco, Sainsbury and Marks & Spencer in order to affiliation alert where it has been showed that for the purpose of ensuring more earning, the organizations should also think about the environmental factors.
Legal factor:
Legal system is consisting of the rules and regulations which are considered as the framework on the basis of which the business of Tesco, Sainsbury and Marks & Spencer operate. The activities of promotion keep contribution towards the development of the nation's administration policies for example: natural environment can be polluted through ventures put off by others.
Task 2:
In order to the requirement of this task, it should be needed to define the bureaucratic organization and along with the definition of bureaucracy. In accordance with Max Weber (1980), the organization with the feature of formal rules and regulation and maintain hierarchy with the level of each and every task is called bureaucratic organization. And bureaucracy can be defined as the combination of structures, procedures, protocols, rules and regulations set in order to activity managing generally on large organization. Here, for the purpose of describing the strengths and weaknesses of the organizations, I take two organizations such as: Mc Donald and KFC.
Strengths of bureaucratic organization:
Bureaucratic organization is consisted of the strengths of:
More control:
In Mc Donald and KFC, efficiencies are attained by these organizations because of maintaining the rules with strict boundary in relation to the qualification of position, code of conduct, strict rules and procedures. Not only this, information with horizontal flow is maintained from the upper level to lower level within the organization through which decision can be made by the organization in order to leadership flowing and as well as the different department of the organization. In order to make decision, feedbacks are collected from the employees by focusing on the personnel hierarchy. In Mc Donald and KFC, employees and as well as the business operations, are keeping in more control by the management of these organizations.
More organized and systematic:
The bureaucratic organization, like as Mc Donald and KFC, the systems of these organizations are arranged in an organized and systematic way and along with these organizations monitor all decisions very strictly. In these organizations, the system of internal control is monitored by the board of the organization and as well as system effectiveness is also monitored by the board of the organization. Monitoring system is superintend by the board and as well as specific task is also designed by the board and after designing the specific task, the job is done by various committees.
Less conflict between workers:
In Mc Donald and KFC, clear relationship is existed in between the employer and employees and it is well defined. All tasks are designed in a systematic way so that the employees don't face difficulties to implement these tasks. As a result, good relationship is existed in between the employer and employees. Monitoring system is superintend by the board and as well as specific task is also designed by the board and after designing the specific task, the job is done by various committees.
Weaknesses of bureaucratic organization:
Delay on decision making:
Decision making with slow procession is considered as the disadvantage of bureaucratic organization such as: Mc Donald and KFC, the reason of which is that top level management is handled the process of decision making. In recent, it has been showed that due to less inspection and monitoring program, more concentration is given by the top level management of these organization towards the unorganized and less developed process of reviewing and monitoring process.
Unnecessary paperwork:
In the year of 2008, a plan is designed by both organizations such as: Mc Donald and KFC, the purpose of which is to reduce the bureaucracy in order to some changes bringing within the system of the organizations and in accordance with this plan, excess paper work is removed by these organizations and instead of paper work electronic audits are used by these organizations for the purpose of storing the paper records on the computer in relation to the information about the employees and as well as the day to day activities of the organizations.
Task 3:
Alternatives forms of organizational development:
For the purpose of making comparison by keeping concentration on the alternative forms of organization development, here I use various organizations such as: Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC etc which I have already used on task 1 and task 2.
Organizational development:
"Organization Development is an effort planned, organization-wide, and managed from the top, to increase organization effectiveness and health through planned interventions in the organization's 'processes,' using behavioural-science knowledge." - Beck hard, "Organization development: Strategies and Models", Reading, MA: Addison-Wesley, 1969, p. 9.
Organizational development can be of various forms as alternatives such as: business process reengineering (BPR), total quality management (TQM), Kaizen continuous improvement and learning organization. Now these alternatives forms of organizational development are described on various organizations such as: Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC.
Total quality management:
The definition of total quality management can be provided as the process of the combination of the growth of quality, sustenance of quality and as well as the advancement of quality attempting by the several groups of organizations in order to production and service modification for the purpose of maintaining the highest level of economy. As a managerial approach, TQM is used by the organizations in order to implement the long range plan focusing on the satisfaction of the customers.
Staff involvement in order to system development as well as the development of services, products and cultures is considered as TQM first step in Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC. In relation to the establishment of the system of total quality management, a training program is offered by these organizations on how to establish the system of total quality management and how the managers cooperate with the organizations to adjust with this system. In the completion of this program of training, problem solving skills are achieved by the employees in order to make effective decision in an organized way.
Business process reengineering:
It has been implied by the business process reengineering to eliminate the task which is not adding the value towards the process of business when it should be needed to reorganizing the task with value adding. Task as redundant and dependent should be restructured by the business process reengineering within the organization. Rethinking and remoulding are the main feature of the business process reengineering. For the purpose of appreciation of this concept, chain of task is adopted by the organization. In relation to the reengineering process of Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC, sub processes are included on this where organization's functional areas are also related.
Task 4:
Models of change:
For the purpose of change implementation, there are so many models which can be used by the organizations such as: TQM, BPR, Kaizen model, etc. among these models, TQM and BPR are used in Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC. These models are described on the below:
Total quality management:
The definition of total quality management can be provided as the process of the combination of the growth of quality, sustenance of quality and as well as the advancement of quality attempting by the several groups of organizations in order to production and service modification for the purpose of maintaining the highest level of economy. As a managerial approach, TQM is used by the organizations in order to implement the long range plan focusing on the satisfaction of the customers.
Staff involvement in order to system development as well as the development of services, products and cultures is considered as TQM first step in Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC. In relation to the establishment of the system of total quality management, a training program is offered by these organizations on how to establish the system of total quality management and how the managers cooperate with the organizations to adjust with this system. In the completion of this program of training, problem solving skills are achieved by the employees in order to make effective decision in an organized way.
Business process reengineering:
It has been implied by the business process reengineering to eliminate the task which is not adding the value towards the process of business when it should be needed to reorganizing the task with value adding. Task as redundant and dependent should be restructured by the business process reengineering within the organization. Rethinking and remoulding are the main feature of the business process reengineering. For the purpose of appreciation of this concept, chain of task is adopted by the organization. In relation to the reengineering process of Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC, sub processes are included on this where organization's functional areas are also related.
Task 5:
In the previous task, it has been already discussed about the models of change implementation and now in this task, a plan is made for the purpose of implementing the change process and this change plan is implementing through the Kurt Lewins model and this model is appropriate for implementing the change plan and as well as the assessing the outcome of changes.
Implementation of TQM and BPR by Kurt Lewins model:
From the perspective of the approach of top down, change can be described through this model, three phases are related on this model such as: unfreezing, changing and refreezing.
Unfreezing:
In this stage of change process, the identification of old ideas and processes are occurred and along with a plan is also made to new ideas bringing which means value based TQM with some initiatives are taken by the organization where change process makes clash with values, thoughts and action's cultural patterns in order to conduct the business initiating.
Changing:
New values and ideas are bringing where implication of culture is also related in order to the specific changes implementation.
Refreezing:
Changes with the implication of culture of the system are accomplished within the organization by keeping relation with the initiative of specific changes in order to the organizational learning.
Process of implementing of TQM:
In Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC, TQM is used by the organizations in order to implement the long range plan focusing on the satisfaction of the customers. Staff involvement in order to system development as well as the development of services, products and cultures is considered as TQM first step in Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC. In relation to the establishment of the system of total quality management, a training program is offered by these organizations on how to establish the system of total quality management and how the managers cooperate with the organizations to adjust with this system.
Outcomes:
The outcomes of implementing this process are:
→ future customer behaviour can be anticipated by the organization.
→ customer expectations can be meet by using these processes.
→ continuous improvement sustainability
→ empowered environment can be created by this process on which each staff can participate.
Process of implementing of BPR:
Business process reengineering can be implemented by using following steps such as:
→ Vision and mission statement defining
→ clear business strategy designing
→ the behaviour of organization defining in relation to the achievement of the goal of business.
→ key performance measuring
→ efficiency development in relation to the organizational culture
→ initiatives identification for performance improving
Outcomes:
→ the cost of maintenance, development and reengineering can be reduced.
→ the model of software application is used for project handling.
Task 6:
In order to the requirement of this task, it should be needed to describe about the system through which stakeholders of the organizations can be involved. Here, I use various organizations such as: Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC etc which I have already used on task 1 and task 2.
Stakeholders are the persons or groups of persons who have the direct or indirect involvement with the organizational activities or functions. In Tesco, Sainsbury and Marks & Spencer, Mc Donald and KFC, the key stakeholders are: customers, suppliers, investors, employees etc and the various systems through which these stakeholders can be involved are: training system, feedback system, survey method, meeting etc. Now these systems are described below:
Feedback system:
Through this feedback system, customers can be involved on the organization activities. They can provide their feedback on the meeting which is arranged by the company. And the organizations can use the response and opinion of the customers to improve the development of the products and services of the organization.
Training system:
Training can be defined as the process of developing and improving the skill of employees so that they can do their work effectively and efficiently. Employees can be involved through adopting this system by the organization. By providing this training program, employees feel free to do their work spontaneously.
