Organizational Change Management On Woolworths

Change Management

Introduction

Woolworths is one of the biggest and largest Australian retail companies in terms of revenues as well as profit. The company had started its business operations in the year 1924 in Sydney. The main business operations of the company are discount department stores and supermarkets. The company has more than 15 million customers, 47 thousand employees over the 14 counties. It is severing in more than 1500 locations. The primary purpose of the company is to provide a range of retailing products to the customers at the discounted price than its competitors. The company had developed trust among the customers by understanding their importance and value. In this research paper, Organizational Change Management in Woolworths will be discussed and analyzed.

Change Management

Generally, change management is a strategic approach that directs the changes in the company. A change not only affects a company’s policies or strategies but also overall productivity and growth. Change management is pay attention on how a company is affected by the majority of decisions. A company brings a range of changes within the organization for the growth. For case, in order to compete in the market and survive for the long term, a company focuses on the changes in the business policies, structures and strategies.

Need of Change Management

In the current time of globalized and competitive business era, each and every type of companies is paying too much attention on change management because it is the key to the success of any organization. Change management is considered one of the major tools that bring positive changes within the organization successfully. Woolworths has faced a number of structural changes in the present time. For case, the company faced major issues in its subsidiary companies (Rose, 2013). Most of its subsidiaries companies are struggling to compete and survive in the market. Along with this, the company had failed to deliver value to its customers. As per the research report, it is also announced by the company that it cut down more than 400 employees from the job. The current situation of the company is not favorable and as per market situation so company is losing customer relationships, and loyalty. Hence, the company decided to change its policies and structure in order to deal with such specific issues which are affecting company’s success and growth negatively.

Reforms and Key Changes Implemented by Woolworth Supermarket

Woolworths is experience noteworthy restructuring for enlarging the experience of customers. The new structure of the company is focused on building of new departments including fresh service’ and fresh convenience in all its retail stores. The rearrangement supported the idea of one manager linked with full ownership in relation to fresh services. This has led to the replacement of staff and manager of the company who disjointedly butchery, deli and seafood (Cummings, Bridgman, & Brown, 2016).

A portion of the managers are found to give the chance of reapplying for non-administrative situations at diminished compensation. This embodies tremendous pay cut for the staffs of Woolworths Supermarket making burden for the laborers in supporting their individual offices and meeting the commitments of home loans. It is apparent that implantation of rebuilding process brought about overt repetitiveness of roughly 10000 administrators cross country. Earlier rebuilding of Woolworths Supermarket, the activities of each store is found out to be overseen by 10 to 15 managers and group pioneers, whose jobs turned out to be profoundly powerless against overt repetitiveness (Canry, 2006).

The adjustment of the concerned association is set apart by the challenge of such 10 to 15 chiefs for each store for the fix or six positions in the rebuilt association. This likewise prompted change in the quantity of representatives as a significant number of the workers lost their employment in the rebuilding system. This additionally prompted change in the quantity of representatives as a large number of the workers lost their employment in the rebuilding system (Wanna, 2007). The rebuilding system of Woolworths Supermarket exhibits better buyer confronting influential positions that endeavors in conveyance of improved administrations to the clients through fulfillment of fluctuating shopping needs. So, in the wake of breaking down the above setting of Woolworths contextual analysis it would be said that be able to significant changes are found in type of cutbacks, incurrence of overt repetitiveness commitments and presentation of offices, which included ‘new comfort and fresh service’ (Hayes, 2018).

Strategies to Manage Change

This major change in Woolworths created stress and dissatisfaction among the employees and results in uncertainty for the employees. But, such issues are managed and handled by the company by adopting different specific strategies. For instance, in order to reduce the stress level of employees, clear ideas and vision was established. Moreover, more specific growth opportunities were also identified by the company in relation to redeployment of employees. (Lewis, Cantore, Passmore, 2016). Along with this, employees were also empowered as well as motivated by the leaders by effective and open communication. Moreover, the major goals as well as objectives of the change were clearly defined in the front of affected people. A communication strategy was also followed and used by the company in order to deal with the resistance to change successfully. On the other hand, the company arranged a number of specific training and development programs for the employees. This helped the company in educating the employees towards the change. In the same way, various best methods, practices and strategies are used by the leaders of the company to manage the resistance to change successfully (Bailey, 2017).

Conclusion

Based on the overall analysis of the report, it can be concluded that, change in the business processes, strategies, structure and operational methods are not only important for a company but also essential for the sustainability, growth and long term success of a company. Change bring improvements in the organizational work environment and help a company in attaining both long and short term business goals, and objectives in an effective and proper manner. In the same way, change brings a number of improvements and opportunities for the success of a company. But, a company may face a range of issues during and after the implementation of change which may negatively affect success, growth and profitability negatively. So, it is important for a company to adopt best strategies, practices, and methods in order to manage the change process successfully. Finally, it can be summarized that, change management process should be followed by the leaders or top management of company in an effective and proper manner.

References

Bailey, M. (2017). Absorptive capacity, international business knowledge transfer, and local adaptation: establishing discount department stores in Australia. Australian Economic History Review, 57(2), 194-216.

Canry, N. (2006). Large Firms and Institutional Change: Industrial Renewal and Economic Restructuring in France. Economica, 73(290), 357-358.

Cummings, S., Bridgman, T., & Brown, K. G. (2016). Unfreezing change as three steps: Rethinking Kurt Lewin’s legacy for change management. Human relations, 69(1), 33-60.

Doppelt, B. (2017). Leading change toward sustainability: A change-management guide for business, government and civil society. Routledge.

Hayes, J. (2018). The theory and practice of change management. Palgrave.

Lewis, S., Cantore, S., & Passmore, J. (2016). Appreciative inquiry for change management: Using AI to facilitate organizational development. Kogan Page Publishers.

Rose, K. H. (2013). A Guide to the Project Management Body of Knowledge (PMBOK® Guide)—Fifth Edition. Project management journal, 44(3), e1-e1.

Wanna, J. (2007). Improving implementation: organisational change and project management. ANU E Press.