Wednesday, April 3, 2019
Globalisation have dramatically accelerated the pace of change in modern organisations
Globalisation befuddle outstandingally accelerated the gait of spay in young-day government activitysIntroductionTechnology explosion and globalisation take a leak dramatically accelerated the pace of assortment in modern system of ruless (Prastacos 2002). Organisational Change has choke a compulsion in order to sustainment up competitive edge or be achievementful in modern bloodlinees and a difficult extremity to implement in practice out-of-pocket to its complex nature (Hamel et al, 1996)The objectives of this report argon to look at the consequence of change inside an organisation, relation amongst bureaucracy and pecking order, stakeh greyers, models for involving stakeholders, models for change and etc. inwardly Tesco.Tesco was founded in 1924 by Sir Jack Cohen and had earlier roots from tell oning groceries in Londons East End pabulum markets. The commencement ceremony computer memory to be opened was in 1929 in Burnt Oak, Edgw atomic number 18. The first Tesco self- dish out store was opened in St Albans in 1948. In the 1960s, Tesco started to sell fresh food, clothing and ho engagementhold honorables in addition to groceries and opened stores in towering streets of t takes across England. In the 1990s, Tesco started to lucubrate its operations outside the UK into Eastern Europe. In 1992 Tesco opened its city rivet stores under the branding of Tesco Metro. In 1995 Tesco introduced the loyalty card and by the kibosh of the 90s diversified further into banking. In the course 2000, Tesco is Britains pass bying food retail merchant with 845 stores. It prides itself on quality, client service and a customer-friendly environment.Task-1Question-1Signifi open firet change deep down an organizationA description of the use of ICT for infixed External dialogues of the craft In make upation and communication technology has totally transformed, over the destruction few years, which has led to a study change in the look comm unication flows by a business. This has had a massive happen upon on the manner Tesco operates today, as they be a service-related organisation, as they dont produce their own goods. Some examples of changes in technology that fox had an publication on the way Tesco communicates internally and externally beEmail- Is utilise to re maculation old methods such as faxes, telephone calls and letters, as e-mail is a lot quicker, curiously if the message has to be sent to more than one person, it is more handy than conventional methods, it is in addition utilize to correspond with providers.Internet- This allows Tesco to create a communication link with the global market this allows better communication between module and customers that ar overseas. Tescos website allows its customers to see what they ar doing externally (e.g.) how they help the local corporation, it besides allows them to explore Tescos range of products and services. Customer croupe browse finished 2 4 hours a day from allwhere in the world.Net track down Databases- Has allowed Tesco to replace the old traditional ways of filling and storing information.Customer Service-At Tesco any questions or complaints go off be dealt with over the phone or through the Internet, this makes the communication adjoin a lot quicker.Payment Methods- There argon a exit of ways in which Tescos customers can pay for their goods or services, near of the defrayment methods that are accepted at Tesco areCheque- Details can be printed out at the till, using the information effrontery to produce a receipt. Cheques can be used to pay up to a given price.Debit Card- This allows the customer to pay for their goods or service without any cash, the movement is automatically checkered at the customers bank account, the payment is guaranteed once it has been checked if at that place is enough in the persons account.Credit Card- This is a similar operate however, the money is not taken from the custome rs account, the sale is paid for at the time. Customers whitethorn also ask for up to50 cash back.IT in store Operation- Information Technology is essential for any abundant organisation affectively, it is used for many in store operations, for example, varaning sales, ordering stock etc.Tesco sell thousands of products, consequently they use compute bring upd merchandising organizations, to order the enlighten products to the correct place without these type of schema it would be a truly spacious process. fairs are no longer entered manually, which manner accurate pricing is guaranteed, because Tesco sell thousands of products, for each one item has an mortal barcode usually printed somewhere on the package, this allows Tesco to monitor their stock levels, which substance that once a certain amount of a particular product is sold the computer provide automatically re-order the product, this is cognise as the Sales Based Order.Home Shopping- Tesco has introduced a fami ly line obtain service with the use of information technology, this enables plenty to order their shopping from home using the internet, this is done through a computer programme, it allows its customers to order any of the products that the particular branch sells, orders can be placed 24 hours a day, orders are delivered to the customers home. These home shopper customers constitute to register and are given a personal ID number, payments for shopping can be do by account and credit cards.Responsible some actors for significant changeThe major sources of changes are the Environmental firstly, taking the shape of economic and political change where we had the facelift of enterprise economy and market led economies. Moreover, bare-assed work patterns halt emerged where more pat-time workers and permanent employees are used nowadays, and with the rise of competition from Europe, japan or multinational corporations entertain made it difficult to cope great functiony with employees. Finally, we must note the unlike and fast technological advancements which take place and the shortening of product life cycles that lead to short range strategies and increase flexibility. These factors are discussed as belowCompetition in MarketplaceSince year 2004, Tesco, who canvasss to be a market leader as a foodstuff retail sector in the UK not only faced first ever fall in its profit on sales provided also faced fierce competition from existing new durance of food retailing market. It is confessedly that falling sales and the first blemish in the companys history have forced them to think about basal changes.The UK food retailing market is mature and highly competitive. In addition, the UK market has been affected by ostracize inflation in the food sector. This negative inflation has been driven by the so-called Wal-Mart effect i.e. downward compel on prices from Asda / Wal-Marts aggressive all Day depressed Price dodging it was the Wal-Mart effect th at pressurized TESCO into a price war.Changes in Attitude of Customers cod to high competition, company has faced a considerable change in emplacement of customer towards its products. As a maneuver, Tesco has been making continuous attraction strategies for its customers to keep them in close intact in order to re principal(prenominal) at top position. So, they always try to bring most attractive goods for the customers. The new option in the goods has been very closely advertised nationwide as a result customers are very healthful attracted towards Tesco.Political factor Public concern about the effect of out of town superstores on town centers has grown and both current and future planning policies go away seriously hamper future development. Though conversions of existing stores allow some increase in selling space it is limited. Community organizations have since gained momentum consequent to the Competition Commissions ruling and have been lobbying neighborhoods to boyco tt supermarkets and large food manufacturers and instead support small independent suppliers, processors and retailers at the expense of large supermarkets like TESCO.Economic short letteres cannot control their environment however much they would care to, instead they must react / adapt to changes within the environment, and this is particularly true in relation to the economy. In periods of break, many businesses are forced to concentrate staffing levels, whilst in bellowing periods of high harvest-tide businesses may hear to hit the roof the size of their workforce to cater for increasing levels of demand for their goods / services. Whilst the UK economy has seen sozzled boilers suit growth, there has for some time been a cycle of boom and slump within the economy, which has forced businesses to redefine their staffing fatalitys.SocialThe U.K population on a whole is far more health conscious than in previous years. There has been a trend away from genetically modified foods towards organic foods.Peoples wealth increases, with the settle in time for shopping. Besides, people revel a busier lifestyle, fewer people cook everyday for themselves. Therefore, the ready meals have become welcome by consumers.TechnologyThe increasing dependency of businesses on technology to gain competitive advantage over competitors, and the subsequent charter to keep pace with technological advances have resulted in increasing accent being placed on organisations ensuring that their staffs skill base is constantly re-assessed and developed, through training and recruitment to keep pace with the use of technology.The Grocery retail sector is a major user of new technology. The increasing use of electronic data interchange, laser and self-scanning and other point-of-sale equipment has been a gambol of recent innovations by retailers. The use of loyalty cards and the provision of monetary and other services have also involved the conception of educate computer-ba sed systems.GlobalizationIn the presence of globalization factor, Tesco also change its policies accordingly. This is considered to be one of the major changes in Tesco operations. Same trend has been showing in international regions also. By that company is working on a change to build strong reliable partners.ConclusionOrganisations are a racy part of our society and serve several all important(predicate) take aways and demands. How an organisation is managed in relation to actions of management and the decisions made have an impact on all relate including other organisations, the community environment as well as individuals. As consumers plays the lifeblood role in Grocery Retail industry, TESCO near remains Re-active, were it adopts low price strategy to attract customers. Also TESCO is frequently forced to change their strategy as the competition changes.Question-2Relation between bureaucracy and hierarchy to the organisational organise and changeA bureaucracy is a type of organisational structure that is found in many large-scale organisations. It appears in both public and private organisations and is a structure that still exists in the majority of industrial organisations in the world, despite being around since the eighteenth century.Ideally bureaucracy is characterised by hierarchical effectiveness relations, be spheres of competence undetermined to impersonal rules, recruitment by competence, and fixed salaries. The main aims of a bureaucracy are to be rational, efficient, and professional. German sociologist, Max Weber was the most important student of bureaucracy, and he described bureaucracy as technically superior to all other forms of organization.Bureaucratic systems have a commodious sense of direction and purpose than other types of organisation structure and this helped by the hierarchy of positions and well developed rule system that is consistent in a bureaucracy.Hierarchy structure is sometimes called the Pyramid structure . In this structure there are few people who working above others. These people such as Marketing motorbus have more authority over their employees. In many businesses each part of the department is divided up into specialists departments where they deal with different task but have the same overall aim. Management in this structure is led by Vertical Communication, which meaning that the communication goes from the top of the structure to the bottom of the structure.Advantages and disadvantages of bureaucracy and hierarchy organisational formWeber stressed (Conley, 2002) both the advantages and disadvantages of bureaucracies.Advantages of bureaucratic systemBureaucratic system is a very effective way of structuring an organisation. So, it has some advantages like as belowBureaucracies provide a hierarchical structure whereby workers can rise through the ranks to positions of relative index.Progression is based on technical expertise thereby increasing the professional manageme nt of organisations.The development of written rules offered testimonial to less originful workers and provided a basis for trade union negotiation.Bureaucracies replaced nepotism and discrimination with impersonal social relations and the basis for equality of treatment.Disadvantages of bureaucratic systemAlthough, bureaucracy organisational form is very effective for an organisation but it also offer various drawbacks which are as belowHierarchies and rules formalise power structures and status divides in workplacesRules cannot cover every eventuality and are themselves subject to interpretation. Over-attention to a rigid set of rules can lots hinder the silver running of an organisationBureaucracies can create iron cages which dehumanise workThe advantages of hierarchy structure areA leader or leadership team can give the business a directionA leader or team could make quick appropriate decisions on behalf of the organisation.Employees are clear about their position and Spa n of control within the organisation.Employees know who to report to in events of problems instead of going to the owner at one time for irrelevant issues.Employees become motivated because they get a chance to become promoted to a higher tier.The disadvantages of hierarchy structure areDecisions can often take time to follow the chain of command.Employees can be demotivated if there are considered as at the bottom of the hierarchy.Decisions may be made by a few that are not in the hobby of everyone on the organisation.After researching I have found out that the main structure that Tesco operate in is Hierarchy I think that this is a good structure mainly this is because there are more advantages and then drawbacks plus this is a good structure to operate in for a big company like Tesco.Question-3Compare and contrast of bureaucracy and hierarchy organisational formBureaucracy can have a positive effect on the organisation it could also cause alienation and sense of aimlessness fr om workers within the system. Working in a large bureaucratic organisation may induce the feeling that they are mere cogs in a huge machine, and therefore lead to unmotivated staff and a decrease of efficiency. Communication through the hierarchy may well be delay in a bureaucratic system, due to the tendency towards centralisation, which would affect the hatchway at the lower levels.Due to the bureaucratic systems being well worthy to predictable and stable situations, they are not very flexible and therefore find it hard to deal with conditions of change. The rules of a bureaucracy are very rigid and are designed to achieve organisational objectives. However due to the rigidness it may obstruct the attainment of goals and lose sight of its overall organisational objectives.Although bureaucracy has proved its need in the current business environment, there are still several downsides, not only for the organisation, but also for the employee. galore(postnominal) argue that in th e twenty-first century, a bureaucratic organisation exit be too expensive to maintain. It allow also be incompetent of responding quickly to change and allow not be using the advance(a) resource of its members.Due to the hierarchical system, problems are usually passed upwards, preventing employees contributing to decisions, which will not promote proactive behaviour and can be modify to an organisation.Task-2Question-1Stakeholders A stakeholder in an organization is any root or individual who can affect or is affected by the achievement of the organizations objectives. (R. Edward Freeman, 46).In the changing business world, a wide range of stakeholders may have an involvement with an organization, such as shareholders, customers, investors, employees, the media, government and non-government organizations.Internal and connected stakeholdersInternal stakeholders include normal employees and managers of a business. In Tesco, the shareholders, the customers and other groups or i ndividuals are involved in the business. These people are called connected stakeholders. All these are very important to Tesco.1.Employees All the employees are important stakeholder to Tesco. The reason for this, that employees are closely involved with organisation. They have a strong influence on the business and the way that the business runs. The expectations that the employees have on Tesco areA clean and safe working environmentJob security agonistic pay rates and benefits such as discounts on Tesco products come toing and recognise workOpportunities for promotion and career structureBonuses2. Managers All mangers as well as the directors of the company are stakeholders. In Tesco the manager has a major say on how the business should be run. The expectations that the manager has on Tesco aredeveloping a local or national reputation as a successful mangerworking the business to make it large than it is nowFor example at Tescos, those with a high achievement need such as Duty managers or departmental managers tend to seek situations where they have personal responsibility for solving problems, managing projects or for overall performance.3. Shareholders This group of stakeholders are interested in the financial part of the Tesco. The expectations that the shareholders has on Tesco areShareholders of Tesco want to receive a large and increasing proportion if thecompanys kaleThey also hope the companys share price will rise4. Customers Tesco are mainly focused on customers. This means that Tesco has to fill the expectations of their customers. These includeGood quality products delivered on timeFair pricesAfter sales service and support, especially for high- technology products.This shows how Tesco are influenced by their customers- Tesco, the UKs largest retailer, buys enormous amounts of products from suppliers and so has great influence.5. Suppliers They are expecting to be paid on time and receive regular orders from their customers. Tescos supplier s are interested in any development that might affect the number and size of the orders.Tesco buys its own brand products from suppliers. All products are supplied to Tesco in a finished state.6. Bankers Banks and other financial organisations lend money to Tesco and will be concerned that their money is saved. They want Tesco to run successfully and to derive profits.External stakeholdersExternal stakeholders include individuals or organisations that have interest in the business but do not do anything and have no relationship with that business.1. Government agencies The government has lots of reasons to be interested in TescoThe Inland Revenue collects income tax and corporation tax for Tesco. It is interested in the financial affairs of TescoCustoms and Excise collects Tescos taxes. It collects care for added tax (VAT)2. pressure sensation groups These organisations are groups of people who combine to promote a particular understand or cause. Pressure groups attempt to influ ence Tesco byCampaigning winning direct action against some firms.Tesco responds to pressure group because they want to have a good public image.3. Local communities and society creasees are an important part of the society. Local communities expect Tesco toprovide stable employment for the communityAvoid causing environmentally pollution, noise or other problems that might offend the community.Question-2 exemplifications to involve stakeholdersIn recent years, deuce useful models -a) the cater/ avocation Matrix (Mendelow cited in Johnson and Scholes, 2002208) and b) force out/Urgency/Legitimacy Model (Mitchell, et al., 1997) have become popular.Brief Introduction of these Two ModelsTo assist the analysis, the introduction of the two models is sketchly explained in this section.a) The military unit/Interest Matrix (shown as course 1) implies the political priorities for managing stakeholder relationships by assessing the level of interest and power for each stakeholder (Johns on and Scholes, 2002 208). steepLowHighLow world-beaterEmanaging environmentStakeholder Management Publications Management Portal.filesimage004.gifC DA B train of Interest AFigure 1 Stakeholder Mapping the Power/Interest MatrixSource Johnson and Scholes, 2002 sufficient from A. Mendelow, Preceedings of the Second International Conference on Information Systems, Cambridge, MA, 1991.SourceIt can be seen from Figure 1 the stakeholders in discussion section D have the most important role among other stakeholders in the success of the strategy. Due to their high power, organisations should give adequate emphasis on the stakeholders in segment C and attempt to meet their expectations. As for stakeholders in Segment B, organisations need to provide enough information to satisfy their high interest in the strategies or issues. Under some circumstances, some stakeholders (Segment A) neither have power nor interest, so it is unnecessary to invest too much in this group.b) The Power/Urge ncy/Legitimacy Model, illustrated as Figure 2, divides stakeholders into seven types and uses them to reflect a different degree of stakeholders salience which is related to the three basic attributes power, legitimacy and urgency perceived by organisational managers (Mitchell, et al., 1997).LegitimacyPowerDormant discretionaryDefinitiveDominantDependentDangerousDemandingUrgencyFigure 2 Power/Urgency/Legitimacy ModelSource Based on Mitchell, Agle and Wood 1997Mitchell, et al (1997) made detailed explanations for the three attributes.Power means the possibility for a stakeholder to influence the outcome, originating from coercive, legitimate, expert, referent and reward. Urgency indicates time sensitiveness and criticality of the situation. Regarding Legitimacy, it refers to the desire of stakeholders to judge the properness of the issue, based on norms, set and beliefs.Both two models are helpful to managers in pursuing success in stakeholder management. However, it is importan t to realise the limitations that each model might have in order for effective utilization of them.Question-3Stakeholder mapping in Power/interest matrix modelStakeholder mapping identifies stakeholder expectations and power and helps in make watering political priorities (Johnson, G Scholes, K. 1999 215). This mapping can be carried out by means of Power/Interest Matrix (Johnson, G Scholes, K. 1999 215), which classifies stakeholders in relation to the power they hold and the degree of interest they show to the organisation (Refer to Figure 4).LowA Minimal EffortB Keep InformedHighC Keep SatisfiedD Key PlayersPowerLevel of Interest Low HighFigure 4-Stakeholder mappingPower/Interest Matrix (Johnson, G Scholes, K.)Apply Power/Interest Matrix to Tescos StakeholdersConsidering the comments of Power/Interest Matrix for each group, we can ignore Segment A because it only has minimal effort on Tesco. As to Segment C and D, they are all differentiate stakeholders and their expectation s should be satisfied continuously. While for Segment B, it has high interest in Tesco and should be properly addressed through informing information to it.Indeed, stakeholders of Segment D (Owners, Top Managers, and etc) have the expectations of good payback and dividends which require Tesco maintains its profit generation in its strength business Traditional Imaging. On the other hand, these stakeholders also seek for capital growth in somewhat more potential business such as digital Imaging. Stakeholders of Segment C (Customers) always expect better value for money, and they also enjoy the alternatives and value-added products Tesco provided, which ask Tesco to integrate Traditional Imaging with Digital Imaging to generate more innovation.ConclusionGenerally, the expectations of stakeholders of Tesco are diversely and variously. It is understandably that we should find out the key stakeholders and balance their expectations. Here, Owners, Top Managers, Creditors and Customers a re identify as key stakeholders of Tesco and in particular their expectations are assessed separately.Obviously, Power/Interest Matrix points out the type of relationship which the organisation need to establish with every stakeholders group. Thus it is helpful in assessing the political ease or difficulty of particular strategic as well as in planning the political dimension of strategic changesTask-3Question-1Models for changeThere are various models of change are established over the period of time. Every organization can develop adapt any of those models in change process according to the individual circumstances. Two important models of change which can be used during change management are as followsBusiness service Re-engineering (BPR)Total Quality Management (TQM)I have shortlisted two organizations for the said topic in order to expedite a brief report about adaptation of different models of change as and when needful by them.The first organization was Tesco, London, UK. I worked as Manager political science with this company for two years. When I joined the organization, it was in a recession phase due to certain circumstances. In those situations, management of the company including me immovable to develop adapt the Business puzzle out Re-engineering (BPR) model of change.1. Business Process Re-engineering (BPR)- BPR has quartet basic key components Business Processes, Management Measurements, Jobs Structures, and Values Beliefs. BPR is considered to be a much more top-down managed form of change. BPR is best defined asThe fundamental rethinking al-Qaida redesign of business processes to achieve dramatic improvements in critical, contemporary measures of performance.For clarity, it is appropriate also to define what BPR is not. BPR is not automation, restructuring or reorganisation, or delivering although these may be consequences of a BPR exercise. It is also helpful to consider why Tesco contemplated BPR given its radical nature. There were three probable reasonsThe business was failing there was no option but to invoke radical change.Business difficulties were foreseen pre-emptive measures were deemed necessary to avoid business failure.The organization, rather than resting on its pureness wished to build on its success invoked radical change to widen its lead over the competition.2. Total Quality (TQ)-This model of change was developed adapted by the organization operating by the name of Integrated Business Services (IBS), London, UK. In said company I was worked as Manager Sales Marketing. The company is the top rated production manufacturer house of various technical products including aerospace materials. TQ change model was used by the company in January 2004. The Brief description of the model is as followsTQ comprises change invoked through four key components Systems, Processes, People Management.TQ is best defined as meeting customer requirements in a context in which every individual in the or ganization is a customer of the process preceding their own, a supplier to the process succeeding their own. Thus customers are internal to the organization as well as external.Additionally TQ is a competitive concept because it is concerned with being the best, where best is defined by the market place rather than by the product or service provider the best companies will achieve the level of superiority that is usually high. Customer focus is the subject matter of TQ.Question-2Necessary steps for planning the implementation process of the Business Process Re-engineering (BPR) model-The Four Cornices of BPR Considered by Tesco plc-1.Business ProcessesThe essence of BPR for Tesco plc lied in the adaption of a process orientation. The characteristics of such an orientation wereMultidimensionalCross-functional working in organization required combining many tasks into one job or process, in so doing, eliminated hand-offs, reduced administrative overheads associated with controllin g the previous abrupt steps provided a single point of contact for process-related queries.Continuous proceeds BPR recognized continuous improvement in the form of process bread and butter continual re-examination redesign of processes which, with time, once more became fragmented.2. Management Measurements-The achievement of a process orientation demandedProcess MappingExisting processes were process-mapped to establish what presently happens why, that was, to develop an understanding of current process.Benchmarking World-wide cross-industry process comparisons were then be used to establish best practice provided a possible basis for process re-design.3. Jobs and Structures-The results of BPR in this regard were typically the following smooth StructureFlat structure was adapted, a process rather than functional orientation, which together with process-teams performed managerial functions, reduced bureaucracy the requirement for complex, multi layer managerial hierarchie s.Job specJob descriptions became comprehensive included details of required level of key competencies such that increased objectivity accuracy could be applied to option appointment processes.4. Values Beliefs-Creating sustaining a process orientation in the Tesco plc demanded support the ValuesSenior management lead by example in Tesco plc in this regard. For example by demonstrating the notion of being customer-facing by spen
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment