LO1 Produce a comparative analysis of the different types and drivers of change in business LO2 Evaluate the impact of change on organisational behaviour LO3 Investigate how forces driving and resisting change influence leadership decision making LO4 Recommend a range of leadership approaches to change initiatives.
Table of Contents Introduction .4 I Overview of the organization case study II Force Field Analysis: Force Field Analysis: .7 Force Field Analysis in Vinamilk: a Scenario 1: b Scenario 2: 10 III Different Barriers of Change: 11 Barriers of Change: 11 Schein’s organizational culture model: 12 In term of Vinamilk: 14 a Organizational barriers: 14 b Individual barriers: .15 IV Implementation of change in Vinamilk: 16 Establish a sense of urgency by making the case: 17 Form a guiding coalition by designating change leaders: 17 Develop a strategic vision & initiatives: 18 Convey the vision for buy-in by generating excitement: .18 Empower others to enact action by removing barriers: 19 Generate short-term wins by celebrating before, during, and after the change: 19 Sustain acceleration by using wins as proof of the effectiveness of the change: 19 Incorporate changes into the culture by solidifying it as the new norm: .20 V Advantages and disadvantages of different leadership approaches: 21 Different leadership styles: 21 a Autocratic leadership: 21 b Participative Leadership: 21 c Laissez-faire Leadership: 22 d Transactional Leadership: 23 e Transformational Leadership: 23 Vinamilk’s leadership approaches: 24 Conclusion .28 Reference .29 Table of Figure Figure 1: Logo of Vinamilk .5 Figure 2: Certifications of Vinamilk's food standards .6 Figure 3: Force Field Analysis of Kurt Lewin Figure 4: Steps of Force Field Analysis Figure 5: Force Field Analysis for change plan of Vinamilk .10 Figure 6: Force Field Analysis for change plan of Vinamilk .11 Figure 7: Barriers of Change 12 Figure 8: Edgar Schein's Three Levels of Culture 13 Figure 9: Working uniforms of Vinamilk employees 14 Figure 10: Share Values of Vinamilk 14 Figure 11: Kotter’s 8-Step Change Management Model .17 Figure 12: Vinamilk's organizational structure 18 Figure 13: Vision for change of Vinamilk .19 Figure 14: Employee training program at Vinamilk's factory .19 Introduction When a firm decides to modify its structure, strategy, culture, rules, technology, or even basic beliefs in order to enhance performance and business development, it is called change Adapting to market changes, digital transformation, and technology upgrades, solving internal organizational and organizational problems administration, improving processes and procedures, expanding the company to reach new audiences, or launching a rebranding campaign are all possible reasons for making a change Every company is unique, so the reasons for enacting organizational change are essentially endless Organizations cannot ignore change either, because change is essential to survival (Perkins, 2018) Here, Vinamilk - Vietnam Dairy Products Joint Stock Company will be used as the case study in this report Vinamilk will be investigated and explained barriers to change and its impact on decisionmaking by leaders in this organization The purpose of this paper is to examine the barriers to change at Vinamilk as well as the impact of change It makes use of force field analysis to examine the factors that influence change Apply diverse leadership methods in response to Vinamilk using a range of change management theories and models (situational leadership, change initiation, Kotter's 8-step model, Lewin's change management model) This report will begin by introducing Vinamilk - Vietnam Dairy Products Joint Stock Company for this purpose The second is to use force field analysis to detect objections and change support The third section explains the many types of change obstacles and how they impact decision-making The fourth step is to evaluate how the change was executed and how effective it was Finally, discuss the benefits and drawbacks of various leadership methods to dealing with change I Overview of the organization case study Vinamilk - Vietnam Dairy Products Joint Stock Company Figure 1: Logo of Vinamilk Vinamilk was founded on August 20, 1976, it was formed on the assumption of three dairy facilities that the previous administration had abandoned Since then, this organization has been repeatedly given the State Labor Medal and the title of Labor Hero throughout the restoration era Vinamilk operates dairy farms all across VietNam Vinamilk is also a pioneer brand in Vietnam's high-end organic food business, offering fresh dairy products that comply with USDA standards in the US Vinamilk's brand has expanded outside its native market to New Zealand, the United States, and over 20 other countries Vinamilk is a multi-industry firm that includes dairy farming, animal feed manufacture, and farming The firm has successfully developed 13 dairy farms throughout the years and aims to add another four in the future Vinamilk is committed to investing in cutting-edge technology The firm constructs all cattle barn systems to the highest international requirements This company also constantly trains and develops human resources to ensure mastery of new equipment All of the company's directors and department heads were sent to dairy farms in the United States and Australia to obtain practical expertise Vinamilk is confident in its ability to capture the market with highquality goods at reasonable pricing (Vinamilk, 2018) Figure 2: Certifications of Vinamilk's food standards With continuous improvement and development, Vinamilk is improving more and more, to achieve certification standards such as Quality management system certification according to international standards ISO 9001: 2008, certification system Food safety & quality management system according to British BRC standards, certifying establishments meeting food hygiene and safety conditions according to the regulations of the Ministry of Health In addition, Vinamilk also achieved ISO 50001: 2011, FSSC 22000: 2005, ISO 14001: 2004 certifications (Vinamilk, 2018) (Vinamilk, 2021) II Force Field Analysis: Force Field Analysis: Kurt Lewin (1890-1947), a pioneer in the field of psychosocial scientific study, developed force field analysis as a management tool for forecasting scenarios People should not regard all circumstances in a substantially stable system, but rather in a transient equilibrium, according to Lewin According to him, the driving force and the restraining force have an impact on all changes in a situation (if any) (Connelly, 2020) Figure 3: Force Field Analysis of Kurt Lewin Driving forces are forces acting on a situation that has the effect of pushing that situation in a certain direction, it tends to initiate a change and promote it to continue, for example improving performance productivity in a workgroup, pressure from supervisors, incentives, competition Indifference, resistance, and deteriorated work equipment are examples of restraining factors that constrain or diminish driving forces The condition of equilibrium occurs when the total of forces for change equals the number of forces against change (Connelly, 2020) Organizations may now see what is propelling and stifling their growth thanks to this analytics technology It then allows companies to compare and contrast each problem This tool may be used by businesses to investigate present difficulties or to forecast and plan future process improvements for increased efficiency When it comes to problem analysis, this technique is very beneficial when it comes to helping managers describe additional concerns such as work ethic, management style, efficiency, and working environment (Connelly, 2020) Although field force analysis may be done in a variety of methods, there are certain commonalities The procedures listed below capture a lot of common ground, and if companies follow them, they'll be able to execute a conventional force field analysis successfully: Figure 4: Steps of Force Field Analysis The first stage is to articulate the purpose or vision for the change by describing the plan or proposal for change The second stage is to identify the driving of change, which are the different sorts of factors that are driving the change, both internal and external The third stage is to identify the forces of resistance to change, which are forces that oppose or make change undesirable The fourth stage is to indicate the location, which is the point of each force, which ranges from (weak) to (strong), based on the degree of effect each force has on the plan, the scores for each side are calculated (for and against) A bigger arrow for forces will have a greater influence on the change, whereas a smaller arrow will have a lesser effect The final phase is analysis and implementation, which will determine whether to stick with the decision/change or to reinforce which supporting and opposing forces can diminish and how for a more effective transformation (Joan, 2020) Force Field Analysis in Vinamilk: a Scenario 1: When Vinamilk wanted to strengthen the brand of its dairy product group, the company decided to change the product packaging so that the packaging synchronized with their corporate image, to emphasize the difference compared to competitors, and ensure the packaging is printed with all the necessary information (Nguyen, 2018) For this change, there are different driving and restraining forces These forces will be mentioned in the following table: Figure 5: Force Field Analysis for change plan of Vinamilk According to the table above, with a ratio of 14:11 in favor of the driving force Therefore, Vinamilk can proceed with the implementation of the new packaging redesign plan to better suit the current business of the enterprise b Scenario 2: In today's competitive situation, when businesses in the same industry are also developing constantly Therefore, Vinamilk wants to upgrade the factory with new milk production machines Before implementing this plan, forces for change 10 their change They acknowledge training concerns by assuring their team that they will be supported by weekly self-guided training with their change leader (Huynh, 2019) Figure 13: Vision for change of Vinamilk Convey the vision for buy-in by generating excitement: Ordering support staff to change only leads to frustration and resentment So, after properly understanding its vision, Vinamilk continues by building excitement for people to listen with an open mind Vinamilk demonstrates that its employees can trust them because they have foreseen potential concerns Vinamilk knows that in the process of this change, it is very difficult to maintain the source of imported research while also establishing the status, so they make it clear about their plan to the staff to help the process easier conversion In addition, Vinamilk demonstrated that it plans to provide support to its team throughout the transition so that employees can better adapt to the change that is coming leader (Huynh, 2019) Figure 14: Employee training program at Vinamilk's factory Empower others to enact action by removing barriers: No change is without obstacles, it is important that Vinamilk is able to identify potential barriers as they plan for change and during the transition Vinamilk believes that with this change, the biggest barrier is resistance from employees Instead of pulling ranks and giving orders to employees, Vinamilk works to understand why their employees hesitate After researching, most of Vinamilk's employees said that they had difficulty adapting to working time in this renovation process, their working time had to increase more than before So, during the transition, Vinamilk made adjustments to their original plan because they realized that it was always better to find a way to remove the barrier than to try to ignore it They 19 reduced the work time and put more staff on this project so that the change could take place more successfully leader (Huynh, 2019) Generate short-term wins by celebrating before, during, and after the change: Now everything is set in motion but needs to gather more speed Vinamilk wants its employees to be able to see the benefits so they focus on change with double enthusiasm and motivation It is the close cooperation with local dairy farmers that has helped increase the total number of cows from 3,000 in 1991, the quality of milk is not inferior to imported materials With this initial success, Vinamilk's employees will be more motivated to participate Enthusiasm is extremely valuable, so it needs to be rewarded When Vinamilk's employees showed their support, Vinamilk used an innovative reward system such as a gift card lottery or extra vacation days These small actions can greatly help Vinamilk move in the right direction (Vinamilk, 2018) Sustain acceleration by using wins as proof of the effectiveness of the change: However, short-term victory does not mean complete success Therefore, at each step, Vinamilk and the team must analyze the results to see how short-term goals are adding to long-term goals Vinamilk must analyze the results to know what can be improved to make the plan successful and what has been working properly (Vinamilk, 2018) Incorporate changes into the culture by solidifying it as the new norm: To a change is full gain, it must be eat deep into the textization and the process of the group Vinamilk provides continuous training when it comes to change so that its employees don't go back to old ways of doing things and lose all the new jobs on which the company has been built (Vinamilk, 2018) Summary, although it is a challenging problem, but with methodical investment and proactive application of high technology, continuous staff training Vinamilk is fully capable of turning those challenges into opportunities to create outstanding developments, which means that Vinamilk has successfully applied this change The fact that Vinamilk's development has proved that the dairy industry, although not the strength of a tropical country like Vietnam, can still create strong development milestones thanks to firm steps investment and 20