Leading and managing changes Essay

1.1BackgroundThe David Jones is iconic department depot in Australian sell industry, tho the winnings bring in of David Jones has been decrease beca manipulation of the quick retail environmental turns, unhealthy cultures, and global online attack. The problems of declining net net profit in David Jones be creating stag it essential to apply the more or less adequate qualify charge for comp any(prenominal). 1.2AimThe aim of this report is non merely applying the modification bangment theory, archetype, and mien for David Jones and David Jones chief operating officer, capital of Minnesota Zahra, entirely also supporting the arguments with incident studies in baffle to find practical solution. 1.3ScopeThis report presents the heap that a positive warning, modular transformation and additive neuter ar the close fitting channelize management theory that can be implemented for David Jones. Also, a coercive dash of management is a capable flare of managem ent for David Jones CEO, Paul Zahra. The findings and analysis of performance for each theory, influence, and air be justified by a critical comparison of the tilt management theories, models, styles and practical problem solution pillow slips. Moreover, the improvements for David Jones restructure are discussed.2.0 good example OF PLANNED CHANGE FOR DAVID JONES 2.1 David Jones issuesDavid Jones is the oldest department store in Australia and was established in 1838. Until 2010, David Jones worked successfully in the Australian market, especially from 2007 to 2010. During that time, the net profit of David Jones increase from $109.5 million to $156.5 million, but the significant growth in the net profit dropped slowly from $156.5 million to $101.1 million by 2012. The slow decrease in the net profit of David Jones is caused by unhealthy governingal culture, global online retail attacks and retail environmental agitates. In order to reconfirm David Joness importance in the A ustralian retail and con sum of moneyer market, the best planned salmagundi model has to be chosen for David Jones.2.2 Comparison ofplanned change models for David Jones Cummings and Worley (2009) summarise the differences of trinity major models of planned change. The first one is Lewins change and activity research model, which are more focused on fixing problems than concentrating on what the organisation does well and gaining those strengths. Also, Lewins change model, a three-stage model, claims that adaption of these forces master(prenominal)tain the condition quo, which leads to efficient schema for change (Waddell, Cummings & Worley 2007).The three-stage of Lewins change model is shown in figure 1(A). Moreover, the action research model is a cyclic bidding, which is determined by eight steps that fix problems exploitation shit research (Cummings & Worley 2009). Eight steps of action research are shown in figure 1(B). On the separate side, a positive model focuses on positive dynamics in an organisation that improves the extraordinary results (Waddell, Cummings & Worley 2014, p. 39). This model is describe by in five steps, which is shown in figure 1(C). find 1 The comparison of planned change models (Cummings & Worley 2009, p.25)2.3 Positive model for David Jones check to David Jones case study, the positive model of planned change is the best suitable one for David Jones because it is proved that in order to survive with todays uncertainty and huge competitive lineage environment, organisations need to focus on more line of merchandise environmental changes than fixing the organisational problems (Waddell, Cummings & Worley 2014, p. 39) Cristian-Liviu (2013, p. 1690) notes that the resistance for change causes the disaster of strategic implementation because employees try to maintain their culture.Also, Ruxandra and Camelia (2013, p. 127) observe that resistance to change may create lots of problems during the change act upon such as activity drawl, activity slow-down, delays in launching and change march, and delayed and inefficient performance. Sandra and Tracy (2012) indicate that bad novels in transmission line organisation leads to poor financial outcomes, and external and internal crisis. it is supported by case studies that the linkage between inability of identifying of retail environmental changes and Zahras tonic fork over plan for David Jones failed because after the new-made rescue plan of Zahra, net profit and share price continued to decrease.Moreover, the case study verbalize that it may be a good five years out front strategy can be assessed properly (Waddell Waddell, Cummings & Worley 2014). On the other hand, Lewins change model or action research model is not suitable for David Jones case because of focusing on more problems in the organisation than concentrating on retail environmental changes. The result of implementation of Lewins change model or action research model would be le d to the strategic trouble. The possibility of positive model of planned change for David Jones makes it inevitable for the company to use positive model.3. THE CURRENT RESTRUCTURE OF DAVID JONES3.1 watercourse business restructure analysisEven though this report agrees with the up-to-date restructure and rescue plan of David Jones, which were divided main three separate including eleven subparts that are renovating store policies, focusing its core strengths, and transferring from traditional business to technologically oriented business, I want to add two main parts that are sustainable nurture and focused merchandise strategy. 3.2 Recommended changes for David JonesIn order to achieve best results, David Jones should consider the following choices. Sustainable training The speedy changes in business environment are needed and involve to learn every innovations for business organisations in order to dominate their topical market. It is proved that in the todays interconne cted world, the success of organisations and aggroups depends on how much they can use and operate new information and converse technologies that changes business environment (Ancona, Bresman & Caldwell 2009). Also, Blanchard (2009) notes that coaching for their employees lead to successful organisation within the unpredictable changes, but the new rescue plan has no any special training and coaching for their employees.It is a big disadvantage of new rescue plan that has been causing the decreasing net profit of David Jones and failure of strategic implementation. Moreover, it is supported by case study that although David Jones had excellent node service in the fast, but it has decreased over the years. Focused trade strategy Another disadvantage of new rescue plan is unfocused marketing strategy. Accordingto case study, new strategic plan did not include any focused marketing plans, which target customers and profitable markets. Also, David Jones could not identify ever-cha nging customer behaviours and profitable buyers. It is supported that new economic order has changed the buyers market, which is that a twenty-four share of buyers in Australian population has balanced fifty-four percent of discretionary spending, but David Jones has been concentrating on fifty percent of buyers, who are only twenty-four percent of discretionary spending in Australian population.The combination of lack of marketing strategy and non-target sales activities cause the inefficient strategy implementation. In addition, Nemcova & and Dvorak (2011) evince that the strategic management of electronic commerce is concentrating essentially on customers, but David Jones focuses on more result s than concentrating on customers. The possibility of sustainable training and marketing strategy supporting strategic implementation of David Jones makes it necessary for the David Jones to add sustainable training and marketing strategy for their strategic plan. 4. outgo OF CHANGE FO R DAVID JONES4.1 Comparison of graduated table changeDuring the unpredictable changing business environment, the scale of change helps to organisation in order to achieve optimum result how much change the organisations. This process is divided by from fine-tuning organisational outgrowth to corporate transformation (Waddell, Cummings & Worley 2014, p. 52). Fine-tuning This changing process is performed at di stackal or departmental level as disturbing between organisations structure, strategy, people and activities.Incremental change Change process that in order to match changing environment, corporate business structures, strategies and management process are always adapted.Modular transformation Modular change concentrating on more changing and redesigning one or more division than changing hale organisation.Corporate transformation Corporate transformation brings about whole organisational transformation.4.2 Suitable scale of change for David JonesFor David Jones, the most s uitable of scale of changes are modular transformation and incremental change the reason why in the case study, although new strategy of David Jones was implemented in order to matchbetween retail environmental change and strategic performance, it faced failure because of performing too late. Firstly, in order to dominate online and retail market, David Jones has to use the modular transformation that renovates some divisions including information technology, marketing and strategy and forgiving resource. By renovating the inability of divisions, it reduces the risk of failure of strategic implementations because Poblador (2014) notes that the failure of organisational strategy is sometimes caused by unexpected responses from the organisation itself, especially its employees behaviours that indicates corporation culture. It is showed that using corporate transformation is more risky for David Jones than using modular transformation. later on that modular transformation process wou ld be finished and are matched business environment changes, David Jones should be applied to use incremental change process in order to maintain and dominate its retail market. Also, it is supported that the alimentation of changing environmental situations are accomplished by keeping incremental changes (Poblador 2014, p.143). fine-tunning is not suitable for David Jones because between 1960s and 1970s fine-tuning was implemented successfully in organisation, but todays uncertainty business environment is needed by different change process (Waddell, Cummings & Worley 2014). Also, case study said that even though unhealthy organisational culture take over been causing for losing net profit of David, main reason for David Jones is retail environmental change especially online trade, new economic order and technological revolution.On the other side, the decrease of net profit in David Jones was caused by online trade, new economic order, technological revolution and unhealthy organ isational culture, and majority of profit in David Jones is earned by traditional department stores, it is not necessary to make whole organisational change in order to match retail environmental changes. It is proved that Ford Plastics was implemented in an organisation-wide change in order to match its external environmental change, but it faced the failure in brief (Graetz et al. 2002, p.32). All the evidence shows that the modular transformation change and incremental change are the most suitable change process for David Jones. 5. APPROPRIATE musical mode OF MANAGEMENT FOR DAVID JONES CEO PAUL ZAHRA5.1 Comparison of style of managementThe style of management is described by Australian researchers Doug Stace and Dexter Dunphy. The main head of the style of management is that unpredictable business environment is required and demanded the rapid changes for organisation to achieve their strategic goal. Using style of management for organisation, which is described by from collab orative to coercive, makes it easier to be employed (Waddell, Cummings & Worley 2014). Collaborative Employees are mired in making significant decisions about organisational future and change performance.Consultative According to consultation, employees bring about organisational change, but for goal setting, they involved limited participation. The goal setting is done by expertise or responsibility. Directive Main form of significant decisions about organisational future and change performance are made by managerial authority and direction. positive One of forcing authorities, which are outside parties, managers and executives imposes to change on key concourse in the organisation.5.2 The most suitable style of management for Paul ZahraFor David Jones CEO Paul Zahra, the most affordable style of management is coercive because the prospicient term performance results of sixty teams are estimated that empowering team leader leads to high work performance for teams over time than a directive team leaders because of higher level of team coordination, empowerment, learning, and mental model developing (Natalia, Matthew & Henry 2013). collaborative and consultative are not suitable for David Jones because Phil (2012) estates that the most efficient change management for overpowering companies were brought by the combination of tough clear vision of change and sponsorship from the top.Also, it is supported that the commitment of top management for change creates energy for action within the organisation, which leads to a successful vision (Graetz et al. 2002). according to Jaroslav (2013), the directive style leads to lower capacity for the average beach sales clerks, which is proved by banking sector in Slovakia. It is showed like David Jones menstruation situation the reason why net profit of David Jones has been decreasing, which proves that the directive style is not suitable for David Jones. case study said that not only the board of David Jones has b een supporting Zahras vision of change, but also the rapid changes in retail businessenvironment are needed to manage quickly because the business environment changes and competitors do not wait David Jones. To sum up, the possibility of coercive management style to be used successfully in rapid changes business environment makes it necessary for the David Jones CEO Paul Zahra to use coercive management style.6.0 ConclusionIt can be seen that the most affordable suitable planned change model for David Jones is Positive model, and scale of change is modular transformation with incremental change. Moreover, the best suitable style of management for David Jones CEO Paul Zahra is coercive. Furthermore, even thought this paper agrees with the restructure of David Jones, sustainable training and focused marketing strategy would be added for David Jones rescue plan. In conclusion, the combination of Positive change model, modular transformation with incremental change, coercive style of ma nagement, sustainable training, and focused marketing strategy leave alone support David Jones strategy achievement. Also, the improvements for David Jones restructure are discussed.