A Study Of Lewins Model Management Essay

A Study Of Lewins molding guidance EssayIn the refreezing stage the company stabilized transfigures by establishing schemas that nookie establish behavioural pattern in the organisation. A peeled performance appraisal system based on behaviour and results was introduced to encourage customer service. (Goodstein., D., L. Burke, W., W., 1991) 14It is not easy for an organisation deviate its structure and business functioninges since any trade may lead to some direct of resistance by the employees. wizard of the main causes for resistance is the fear of the unknown and loss of what is familiar. There argon quartette reasons of resistance from employee to organisational mixed bag including 1) Parochial self-interest, 2) Misunderstanding and lack of trust, 3) Contradictory assessments, and 4) natural depression tolerance for interpolate. (Buchanan D. Huczynski A., 2004) BA tried to flip-flop behaviour by changing the vigilance style from authoritative to participative. B A wished employees participate more in charge decision but since this was unfamiliar employers would f only back to the old patterns. 15A tactics that was use in BA to manage resistance to qualifying was the HR policy which included training guidelines. Such an HR policy is heavy in making the employees understand and react positively to change. There is withal an example where resistance to change hindered the organisations goals and objectives. In an attempt to cut down speak to plunder compete with low cost circulariselines BA tried implementing a new payment system and besides hiring workers for lower salaries. This created insecurity among the employees which ended in a strike that cost the company in one thousand millions in 2000. so handling resistance and the HR aspects of the company is vital to a triple-crown change process. 15REFERENCES 16Wilson, C.D., (1992), A Strategy of Change, Thomas Learning, London 16British Airways, 2006, Leaders For Business What are w e looking for?, http//www.british get offwaysjobs.com/baweb1/?newms=info196 (22 December 2006)British Airways, 2006, Our Recruitment Process The Assessment Process, http//www.britishairwaysjobs.com/baweb1/?newms=info48 (22 December 2006) 16Paton, R.A. McCalman, J. (2008) Change Management second ed. Sage Publications, London 16Cellars, T. (2007), Change Management Models A Look at McKinseys 7-S Model, Lewins Change Management Model and Kotters Eight Step Change Model, Associated Content, Online, http//www.associatedcontent.com/ expression/237685/change_ commission_ samples_a_look_at_pg5_pg5.html?cat=3, accessed on 30 November 2009 16Green, M. (2007), Change Management Masterclass, Kogan Page Limited, Philadelphia 16Syque. (2007). Lewins freeze phases. Retrieved April 12, 2007, from Changing Minds 1612Manage. (2007, April 9). 7-S framework (mckinsey). Retrieved April 12, 2007, from 12Manage Web site http//www.12manage.com/methods_7S.html 16Chapman, A. (2006). Change management. Retr ieved April 12, 2007, from Business Balls Web site http//www.businessballs.com/changemanagement.htm 16Mind Tools. (2007). Lewins change management model Understanding the three stages of change. Retrieved April 12, 2007, from Mind Tools Web site http//www.mindtools.com/pages/ article/newPPM_94.htm 16Morgan, O. (n.d.). Organization management part 1. Retrieved April 12, 2007, from Oliver Morgan Web site http//www.omorgan.info/download/Part%20I/organisation_management_Part_I.pdf 16Recklies, D. (2007). The 7-s-model. Retrieved April 12, 2007, from Recklies Management Web site http//www.themanager.org/Models/7S%20Model.htm 16Johnson G and Scholes k (2002) Exploring Corporate Strategy, Prentice Hall, 6th ed. 17INTRODUCTIONBritish Airways Plc, renowned in the world as a leading airline, work outs world-wide and domestic plan and charter passenger services, freight, mail as well as ancillary services. Including 6 domestic flights, British Airways serves nearly 150 destinations. New code make do arrangements agreed with Finnair, Iberia and Cathay Pacific are included in BAs global alliances. The airline operates in geographical areas such as the UK, Europe, America, Africa, Middle and Far East, Australasia and Indian sub-continent.For the year ended March 2009, the company generated revenues of 8,992 million which is an increase of 3.1% on the 8,753 million revenues generated in the year ended 2008. The net loss of the company was 358 million during the 2009 financial year, showing a major decrease from the 696 million profit in the previous year.British Airways Plc was formed from the airlines,BOAC,BEA, Cambrian Airwaysand Northeast Airlines on 1 September 1974 throughnationalisationby the Labour Government. In February 1987, thirteen years later, the company was privatised. Measured by passenger numbers, British Airways was the largest airline of the UK until 2008. British Airways is listed on theLSEand is a constituent of theFTSE 100 Index. The airline celebr ated its 35th anniversary on 31 March 2009.Change managementAccording to secure et al (2004) change management is a set of processes that is employed to ensure that signifi dropt changes are implemented in an orderly, controlled and systematic fashion to effect organizational change. One of the goals of change management is to reduce resistance to change in order for organizational members accept the change and thereby achieve the organizations goal of a smooth transformation.Change management open fire be seen to hasten five specific stages that must be realized for an organisation to be successfully implementing change. foremost the organisation must know why a specific change or series should be brought about. Secondly the organisation must be cause and desire to go through this particular change. Thirdly the organisation must posses the knowledge of how to carry out the change. Fourthly the organisation must acquire new skills and behaviours that are necessary for the chan ge to occur. Lastly the organisation must become sustainable by making these new behaviours their usual practice. moreover according to Wilson (1992) change can occur mainly in two dimensions depending on the theories and models used. This view explains that change can be either planned or unplanned. Also change can be described in terms of the process or performance strategy. The issues of understanding and managing change within an organisation depend on the change approach that is selected by the organisation.Organisational StructureBritish Airways operates as a group of companies whose main industry sectors are international and domestic scheduled and charter air services carrying passengers, freight and mail as well as providing supplementary services. The group consists of British Airways Plc and a number of subsidiary companies, including British Airways Holidays Ltd, British Airways pass away Shops Ltd etc. The two main operating bases of the company are Heathrow and Gat wick airports and has established in branches around the world. The company is listed in several stock exchanges including LSE, Munich, US etc. British airways together with its partnerships have managed to extend its network thus entering all significant markets.As for the structure of BA, it has suffered a shift from modern to tell on modern to post modern organisational structure i.e. it has moved from mechanistic to more organic style of operation. The operations of BA can be analysed departmentally into Planning, dispersion and mileage partnerships, Marketing communications, Global contact centres, eCommerce, Triton Programme, Revenue management, AirMiles Travel Company, Travel Shops, BA Holidays, BA prompt Clinics, Corporate communications, BA world Cargo, earth Operations, BA engineering, Information management, BA shares etc. Each division has its own functionalities to perform, goals and objectives to meet which contributes to corporate aims and objectives.DepartmentRe sponsibilityPlanningPlanning fleet, network, schedule, infrastructure, resources, property dissemination mileage partnershipsEnsure that customers can book pay and ticket a booking through the website, contact centres, shops, travel agents around the worldMarketing communicationsMarketing communications, advertising, promotions, gain insight into customer needsGlobal contact centresDelivers services to customers who prefer using the phoneeCommerceMajor projects to broaden the range of minutes customers can do on their own, improve quality of online channelsTriton ProgrammeThe 10 year contract with Amadeus, leading provider of travel industry systemsRevenue managementMonitors, controls, forecasts sales working to improve profitabilityAirMiles Travel CompanyCarries out customer loyalty programmesTravel ShopsProvides personal services and sharp advise from well travelled consultantsBA HolidaysSells holiday packagestravel ClinicsOffers travel health advice and comprehensive vaccinati on serviceCorporate communicationsProtects and manages the global nature ensuring that a wide audience are aware of the airlines news and developments.world CargoProvides freight, mail and courier servicesGround OperationsManagement of client services and terminal operations with safety and securityEngineeringResponsible for aviation maintenance providing full support for the fleetsInformation ManagementResponsible for all IT across the BA group and plays a fundamental role in shaping the future of the airlineBA sharesResponsible for all investor relations tabularize 1 Departmental Analysis of British AirwaysMarket Environment PEST AnalysisThe Airline industry has become extremely warring payable to the work out airline and the current unfavourable economic conditions. All player compete for the market share in an environment where the bargaining powers of customer have change magnitude and there is no control over the powers of fuel suppliers and prices. In the current econom ic conditions there is limited growth in volume and demand for air travel has declined significantly. The PEST analysis shows the external factors that affect the organisation and its change processes. It also reveals the changes the organisation must make in order to remain competitive in indecent market conditions. Thus, this section looks into the external environment of British Airways since change strategies are affected by the factors and changes in the macro environment. Such changes could get hold of about favourable or adverse effect on the companys turnover and growth. The PESTEL framework has been applied to examine the external factors and its have-to doe with on the company.Political and legitimate FactorsDevelopments in the political and legal factors can have a high impact on the airline industry. Political developments include changes in governmental policies, international regulations and legislations, government taxes on air travel, political and economical re lationships with counties, changes in airport and aviation rules etc. Some of the developments have a favourable impact on the company while some others will have an unfavourable impact. The EU policy has increased air travel and therefore has been a positive impact on the airline industry. On the other hand, increase of government taxes has adverse results on the industry since demand for air travel declines due to high airfare. frugal FactorsEconomic developments such as increase in fuel prices, unfavourable currency and interest rates, street corner, inflation, increase in unemployment has a negative impact on British Airways. In such environments leisure travel declines because people have less disposable income and business travel declines because corporate spending is reduced. Also recession negatively impacts on growth of companies in terms of expansions and buying additional aircrafts.On the other hand, changes such as economic boom, deflation could favourably contribute to wards a companys performance.Social and Environmental FactorsAirline industry is constantly under pressure for various environmental pressure groups due to high CO emission, noise and the effects on the climate. Also outbreaks of diseases such as such as Swine Flu can decrease air travel. Another aspect that could reduce air travel is safety related issues such as acts of terrorists and crashes.Technological FactorsChanges in technology have shown negative and positive impacts on the airline industry. The positive impacts have been safety, cost reduction and ease of booking and planning travel online. On the other hand due to new technological developments such as advanced clashing facilities business travel is not necessary to the same extent as before.BA and RyanairBritish Airways aims to operate a high quality service to its customers at a affordable price. It operates long and short haul flights to many destinations around the world and ensures comfort while taking the passenge rs closer to their destination. British airways mainly operate in three areas, namely passenger transport, cargo and mail services. British airways aim to understand its customers needs and operate accordingly. The company has a strong brand image and the employees are expected to work up to its standards. The organisational structure can be regarded as a flat type because it has only one level of hierarchy that separates Managing Directors at the top from bottom-line employees.On the other hand Ryanair operates on a no- frill strategy which means that the passengers are not provided with any superfluous facilities and operates simply as a point to point transportation service. It has grown largely in Europe by attracting customers who prefer low ticket prices thereby reducing the market share of British Airways. It mainly operates short haul flights to destinations which are secondary airports.Factors Affecting Change ManagementAccording to Paton and McCalman (2008) Change managem ent can be defined as a planned process for changing a core function or organization of an enterprise. Change Management is an organized, systematic application of the knowledge, tools, and resources of change that provides organizations with a key process to achieve their business strategy. (Lamarsh 2000). With the aid of technology the industries and products are congregating which means each besotted has to take a very holistic approach to the marketing of goods and services. Paton McCalman (2000).Factors driving changeMost organisations change when internal and external environments change. The factors that initiate the need for organisational change can be two fold. The first factor can be called an External Trigger which involves the activities and innovations of competitors, change in customer requirements, legislation and government policies, and so on. Economic change can create the need for change. Also, due to the EU policies many companies had to change their practices and procedures. Environmental pressure groups that impose pressure due to adverse environmental effects can force a company such as BA to change its processes to make it climate friendly.The second factor can be called the Internal Triggers including new product and service design, innovations, appointments of new directors, new ideas on how to achieve service quality etc (Buchanan D. Huczynski A., 2004). The British Airways privatization program that changed the companys ownership was launched due to the impact from such triggers. The aims and objectives of this programme was to improve the organisations performance and gain a competitive advantage over its competitors. According to the change model described by Lewin, organisational change occurs in three stages. The first stage is called Unfreezing which reduces the forces which maintain behaviour as it is currently and recognition of the need for change occurs. The second stage is called nominal head which is the development of new practices and the implementation of the change. The final stage is named as Refreezing which is stabilizing the changes that occurred and reinforcement through supporting mechanisms. (Mullins, J., L., 1999)Involving PeopleIt is essential that the organisation manages its human resources in a manner that is favourable to the change process. It is important that the employees understand and support the change in order to have a smooth transformation. If the change managers can make the people involved to see the common objectives and mutual benefits that the change will bring about it helps in making the change more successful (Paton McCalum, 2000). However, each individual will react to change in a different manner. The factors that affect how individuals will react to change are manifold, namely the organisational culture, the reasons for change, factors of change, leaders aspects and organisational structure. The change management style and approach are important aspects wi th regards to involving the employees of the organisation. Change management requires a considerable amount of skill and previous experience on the management of the organisation. It is important to consider each individuals perception and attitude towards the process for it to be a success.For example during the second stage of change, BA developed tactical manoeuvre and programs to bring the vision of the top management-level to the bottom-line employees throughout the organisation. Thus the internal structure and systems were changed and also a permanent training center was established to promote round training.StakeholdersIt is important that the company analyses its stakeholders since the change will have an effect on them. Communication is vital to involve all stakeholders in the process so that the change is successful. It is also important to categorise your stakeholders according to their power and interest involving the change. There are some aspects regarding stakeholde rs and the change process that should be taken into consideration. Differentiating and grouping employees and deciding how to deal with different types, planning communication in both directions and also looking after the interests off all individuals. There are mainly foursome types of stakeholders, blockers, sponsors, champions and sleepers Green (2007). Blocker have high power but low level of commitment, while the sponsors have high power and high commitment. Also Champions have high energy and high commitment while sleppers have both low power and low commitment to change. For a successful change it is important to identify the stakeholders with high power and commitment.British Airways has a number of stakeholders who have various interests in the business and from whom the company expects different things. There have been conflicts amidst these stakeholders due to their differing interests as well as formations of coalitions. It can be observed that most stakeholders have a n interest in the organisation performing well. In the in a higher place context it is important that the stakeholders are analysed according to the power and commitment grid so that change can be successful.Planning the changeThe change process must be planned and it is advisable to use models of change and also consider the impacts of resistance to change. Two different change models are discussed in the interest section, namely the Mckinsey 7-S model and Lewins Model. The basic principle of the model is that there are seven internal aspects of an organization that need to be aligned if it is to be successful. The 7S model can be used in a wide variety of situations such as improving the performance of the company.The McKinsey 7S model contains seven interdependent factors which are categorised as hard or soft elements. Hard elements are strategy, structure, systems and soft elements are shared values, skills, style and staff. The Hard elements are easier to identify and warp w hile the soft elements are more difficult to manage but equally important for a successful transformation. The model depicts the interdependencies of these elements in terms of how a change in one element affects the others.According to the model the seven elements must be aligned. In the case of BA, the model can be used to identify what needs to be realigned to improve performance during other changes in the company. What ever the change is this model can be used to understand the interrelationships. Further it can be used to analyse the current position, proposed position and identify the gaps between the two. It is also necessary to adjust these elements to make sure the company whole kit and boodle effectively.Now lets examine Lewins change model. According to Lewin, there are three stages of change in an organisation which are unfreezing, movement, and refreezing.Unfreezing storeyaccordingly, the first step for BA is to unfreeze present pattern of behaviour to manage resistan ce. In this stage change did make an impact on individual level due to the implementation of Downsizing of Workforce policy to restructure the organisation. This policy reduced hierarchy, and allowed worked to be carried out easily thus improving performance. (Shibata., K., 1993) The downsizing was achieved through compassion. BA also introduced training programs such as Putting People First to help line managers and workers understand the change and the requirements of the industry.Movement StageThe second stage of Lewins Model is movement. During this stage BA used tactics and programs to bring the vision of the top management and line employees. In support a number of new systems where implemented. (Goodstein., D., L. Burke, W., W., 1991)Refreezing StageIn the refreezing stage the company stabilized changes by establishing systems that can establish behavioural pattern in the organisation. A new performance appraisal system based on behaviour and results was introduced to encour age customer service. (Goodstein., D., L. Burke, W., W., 1991)Resistance to changeIt is not easy for an organisation change its structure and business processes since any change may lead to some level of resistance by the employees. One of the main causes for resistance is the fear of the unknown and loss of what is familiar. There are four reasons of resistance from employee to organisational change including 1) Parochial self-interest, 2) Misunderstanding and lack of trust, 3) Contradictory assessments, and 4) Low tolerance for change. (Buchanan D. Huczynski A., 2004) BA tried to change behaviour by changing the management style from authoritative to participative. BA wished employees participate more in management decision but since this was unfamiliar employers would fall back to the old patterns.A tactic that was used in BA to manage resistance to change was the HR policy which included training guidelines. Such an HR policy is important in making the employees understand and react positively to change. There is also an example where resistance to change hindered the organisations goals and objectives. In an attempt to cut down cost can compete with low cost airlines BA tried implementing a new payment system and also hiring workers for lower salaries. This created insecurity among the employees which ended in a strike that cost the company in millions in 2000. Therefore handling resistance and the HR aspects of the company is vital to a successful change process.