Impact Of Hard System Model Of Change In Kmart Organisational Structure
Question
Task: Assignment 2 consists of a more comprehensive discussion of a change process you have observed or been involved with, within an organisational setting. It is necessary for you to demonstrate a solid understanding of the theories of change developed across this course. Relevant theory and literature must be used to support your observations and discussion of events.
It is not sufficient to describe or report on these events without commentary or indication of relevance to course theory. The assignment is to allow you to prepare a considered analysis of what, when, how, where and why the change happened, along with the outcomes. As such, this needs careful planning in order to show the breadth of your understanding of key issues.
Things to consider:
- The assignment is a report. This format does allow for figures, tables and/or graphs. They can distract from the discussion however, so use them sparingly and ask yourself: “why would this table/graph/ figure be pertinent for this discussion?”. You may include models from the set text if you wish; again, the relevance should be made clear to the reader, rather than including such illustrations for the sake of discussion. Significance of the theory to the situation of change in the nominated organisation must be made explicit.
- Allow yourself time to prepare a first draft. Write as much as you can about each of your key ideas. It is easier to edit down than to build up. This can then be refined and polished for the final version.
- Knowledge claims must be supported by theory from either course concepts or appropriate and quality academic sources. Use Google Scholar for research.
- Grammar and Spell-check your assignment, prior to uploading. This is a business course and your work is required to be free from spelling and formatting errors.
- Have another person proofread your assignment for content and structure. This will enable you to correct any out-of-context terms. Clarity of discussion is essential. The marker should not have to interpret meaning of terminology or statements.
- The Academic Integrity declaration should be the first page of the assignment, followed by a title page (if you wish) then the Executive summary and other sections as indicated in the project description. Section numbering is acceptable for this assignment.
- Please note the maximum and minimum limits for the word length. Try to use the full allowance of 2250 words. The reference list is not included in the word count. Markers will check the word count and note it on the marked assignment.
- Read each section of the assessment criteria carefully on the feedback sheet. The assignment is assessed for Presentation (25%), Content and Structure (50%) and Referencing and Academic Integrity (25%). Ensure compliance with all statements in each section.
- Upload the Assignment 2 feedback sheet as a separate document. It can be downloaded from the course Home page, under the assessment tab. Please save it with your name as part of the file name. This is part of the presentation score, so ensure you give yourself the opportunity to score well in each criteria of the assessment.
- Students may wish to confirm that the nominated organisation is suitable for this assignment. Please email me or discuss with your tutor as soon as possible.
- Following are the details of the assignment. Ensure you understand the task requirement for this assignment.
Assignment 2
The project requires you to analyse a change process that has been implemented in a group or organisational setting with which you are familiar. The organisation can be one where you have volunteered or a sporting club, for example. It may be a place of work or it can be an institution where you have studied.
Answer
Executive Summary
The report has focused on discussing the Kmart organisational structure, change management process and the way the process has successfully able to make growth in organisational development. Through the application and understanding of various models and theories in the corporate structural change management, the report has focused upon the particular change that will take place within Kmart. On the other hand, the discussion has been done upon by focusing on communicating the change within the organisational members and the lead management in the change management process. Further, this report has focused on the recommended changes and various responses to it. This report has analysed the answers and support provided by individuals in Kmart and the role of leadership in implementing the changes. Practical solutions and recommendations are provided for better growth and result in the coming years. The report will also talk about the extent to which, the use of the hard system model of change management would help in improving the Kmart organisational structure effectively.
Introduction
This study on Kmart organisational structure explores the well-established retail store in America, Kmart, which has made better stability and market growth. It is providing a more excellent range of apparel and general merchandise at reasonable and affordable prices.
Being a manager, it has been noticed that change management plays an important role to bring integration and innovation in the Kmart organisational structure. Kmart was established in 1969, and it is operating around 231 stores worldwide. It provides a wide variety of services and products to the customers. It employs over 13,000 team members across different store locations. It has focused on the direct sourcing operations by focusing on the delivery and high quality of the products. With the changing scenario of business, significant changes are found, and it creates concern related to effective management.
Various associates and individuals are connected with this company. This involves managers, finance managers, H.R. managers, sales staff and administrators. They have specific roles in managing the changes by participating potentially. This project on Kmart organisational structure has focused on the implementation of a hard system model of change for better growth and adaptability. Finance managers will get better opportunities to manage the constraint related to cost controls and inventory management by roper budget allocation and savings. The hard system model of change has been introduced in Kmart; mangers need to get proper knowledge based on it so that it can train the team members to bring better productivity. Hr management can bring suitable candidates with better selection and recruitment processes. The use of technologies will help to create innovation and creation by managing the sales departments and organising supplies with procurement strategies (kmart.com, 2019).
Analysis of the change Process
Kmart is the leading American organisation in the retail outlet that sells its online products through the marketplace. To cope up with the new competitive technology in the market, the company has thought about bringing a change in the organisational structure to remain competitive in the target market. To deliver a radical shift within Kmart, effective communication strategy between the different corporate members needs to be developed so that the structural change that is taking place within the company can be well informed to all the employees of the organisation. The number of efficient resources can deliver the best output (Ziaee Bigdeli et al. 2017). To be successful in the international retailing, the company has thought about bringing a change in the marketing department to ensure that through effective marketing strategy, the best revenue can be generated by the organisation.
Due to the changing economic and competitive environment in the target market, and organisational change often takes place, and this transition from the current state to future desired state can only take place through effective structural change within the organisation (Stark, 2020). On the other hand, by looking at the financial crisis that the organisation has been facing recently on giving technological competition to other departmental retail stores, the company has thought to implement and plan a new structure and policy for the employees, so that secure communication is developed among each employee within the company. In this way, to address the issues in the financial, marketing and employee retention policy, the hard system model of change will take place within the Kmart organisational structure, for bringing significant progress in the evolving technology for surviving in a competitive market environment.
Explaining the recommended changes and the problem it addresses
Hard model of change system can bring better ways to manage the store uniquely. The hard system model of evolution has proposed a systematic approach for delivering realistic results or outcomes. A scientific method based on problem-solving has been involved that brings integration and innovation. A hard model of change in Kmart has brought rigid techniques and procedures to create unambiguous solutions (Pick et al. 2015). This is likely focused on computer science and digitalisation. It is acquired that hard model of change can bring better communication processes by enhancing the process of interaction between the various departments and teams of Kmart. Visual presentation and specific goal setting can help to create better outcomes by proposing new principles to adapt to the new changes. The hard model can create better clarifications based on meetings and conferences (Al-Haddad and Kotnour, 2015). Thus, discussion and face-to-face meetings can witness organisational growth by reducing the issues of doubts, confusions and lack of better understanding of roles or responsibilities.
What is role of process of communicating the change in regards to Kmart organisational structure?
Organisational change initiatives often take place due to the problems that are faced by the company. To make the employees of Kmart aware about organisational change and its policies on the hard system model, an annual meeting and program are scheduled with both the internal and external stakeholders of the company to communicate the change that is taking place within the organisation. It is essential to be specific while delivering the message of change within the organisation. Therefore, in order to enhance the Kmart organisational structure, the communication needs to be specific on the company goal-setting so that each employee is aware of their roles and responsibilities (Rosenbaum et al. 2018). On the other hand, by setting a visual presentation for the employees in the meeting and by circulating official emails about the new changes in the company, Kmart can effectively communicate the difference in process management among its employees. HRM team of Kmart also needs to ensure through proper training and development program on the new changes; the same can be communicated among the employees of the company.
Leader of the change
Based on the existing change management project of Kmart, the implementation of a hard model system of change in Kmart is championed by the head Manager and I.T. department. Thus, the active contribution has been able to bring transformation in the process of doing meetings and conferences within Kmart for planning different activities. The resources and budgetary constraints have been analyzed before to reduce the negative impacts on profitability and partnership working better various departments and teams (Nordin and Deros, 2017). The manager has provided leaderships to train and encourage individuals to support the changes rather than facing challenges that can affect the organisation in the coming years.
Identification of models of change from theory
As per the current business proposition carried out by Kmart, it has been found that the company has been facing an uphill battle while trying to catch rival Wal-Mart, who is well-known for its retail I.T. systems. It is to be noted that the company aims at changing its Kmart organisational structure effectively to facilitate their working processes. Therefore, it is essential to identify a significant model of change, which aims at the change management processes to resemble a proper business process. Hence, the hard system model of change has been selected to identify the notions of change management.
The hard system model of change is considered as a particular method that has been primarily developed for designing and managing change (Okraszewska et al., 2018).
Fig: Hard system model of change
(Source: Hayes, 2018)
This definite model of change is responsible for the implementation of change in certain situations to characteristically define particular hard complexities. This model can be divided into three distinct phases, which would help to implement changes in Kmart organisational structure effectively. The first phase is referred to as situational summary, which refers to a specific situation, which is primarily associated with the notion of understanding the correct assumptions regarding significant stakeholder relationships. Situation summary further requires the collection of data and information for the quantification of the current state and performance level. The analysis of the existing system would help Kmart to be able to redefine the problem or opportunity (Melo et al., 2019).
The second phase of the model is referred to as the identification of change objectives, which mainly refers to the identification of the overall goal to change the sub-objectives that eventually contribute towards the change objective for Kmart organisational structure. On the other hand, it is also important to note that the notion of identifying the change objectives to form a real hierarchy. The ultimate goals and subgoals required by Kmart would further provide them with a guide to be able to move the present state of affairs to get the desired solution. The last phase of this definite model is referred to as the performance measures, which refers to the quantification of objectives effectively. It helps in combining the goals that help in carrying out significant methods and procedures. It further assesses the efficacy of the definite possibility of change (Helgesen et al., 2018).
Analysing the responses to the change
In the early phase of implementation, individuals have reacted in different ways. It is observed in this study of Kmart organisational structure that in the initial few days, the associates have faced issues due to lack of knowledge and ideas based on new change within Kmart. With time, training and the developmental program have helped to encourage individuals to learn from the initial implementation process (Harmon, 2019). Previously, it was found that the new implementation has changed the overall process of business conferences, meetings and interaction. This has created constraints of knowledge gaps and lack of supports between the individuals working together in Kmart. This is due to the uncomfortable zone, and managers have resisted this, as it is very reasonable to face charges in the company (Georgalis et al. 2015). Gradually, with the involvement of better ideas and innovative ways, the supervisors, department heads, H.R. team has supported the fact and has contributed in a better way to reduce the gaps related to new change model. It was done, such as to create opportunities for the individuals to learn from their mistakes and adapt or accept new changes of Kmart. In turn, this has implemented new policies and structures to accept the changes and develop ideas regarding it. Thus, various issues can be resolved like employee turnovers, marketing or financial matters (Altamony et al. 2016).
Further, employee and sales department has supported the change management process. This is because it has included the old or traditional method of managing an organisation. This has faced certain limitations based on limited knowledge, ideas and ineffective communications. To attain success in the coming years, Kmart needs to plan strategies for active growth. This will help it to propose solutions for competing with the competitors potentially by addressing the issues and drawbacks of poor performances, lack of adequate supply management. Communication and collaboration have been found that have helped to support the new change in Kmart organisational structure. Based on this situation, I will say that I think difference is healthy in any organisation, but proper strategies are necessary to reduce the negative impacts of the changes. The new change has created a better thinking process within me and helped me to design unique solutions for managing change (BHATT, 2017). As per the research carried on the study of Kmart organisational structure, it id noted that organisations like Kmart invest in impel mention like the hard model system, but it also requires proper outsourcing for training and developing the skills of the individuals to accept the change and being comfortable with it. This can reduce turnovers based on new moves and mistakes related to work (Cameron and Green, 2015). I have tried to learn from a new approach by bringing creativity in the thought process.
Explaining training
As the company intends on changing their existing Kmart organisational structure, it is essential to consider specific well-defined processes and procedures. It is to be noted that, the presence of the hard system of change helps in the facilitation of the positive ways with the help of which the organisational structure can be changed in an effective manner (Brunning, 2018). Hence, based on this particular assessment on Kmart organisational structure, it is essential to be able to understand the propagated training procedure that needs to be taken into account. Therefore, the following aspects can be taken into account:
- It is essential to be able to provide proper insight as to how the model works.
- As the company manages to identify the performance measures using the model, the employees need to understand their assigned roles and responsibilities towards the associated with the presence of changing the organisational structure.
- It is important to include employees in the formal process of change that would encourage collaboration, which invested in the execution of change within the organisation (Hayes, 2018).
Conclusion and Recommendations
Based on the overall discussion and analysis, it can be concluded that being a well-recognized company Kmart has faced certain limitations while adapting to the new changes to boost the Kmart organisational structure. It has faced issues with maintaining competitiveness in the present time. Thus, structural change has helped to maintain proper policies and standards within Kmart. Besides, lack of communication and collaboration has created barriers to address the operational changes. Thus the new approach of hard system model based on change can accrete a better aspect to ensure that better communication and strategies can be made for productive growth in the coming years.
Based on the issues identifies in this study of Kmart organisational structure, specific recommendations can be provided:
- Based on the change management process, it can be said that Kmart needs to keep checking and tracking the new change process. This can bring encouragement to propose employees better collaboration and cooperation to work together by knowing the constraints based on the new change.
- In the case of the hard model of change in Kmart, it can be suggested that the higher departments or H.R. teams mist give some time to the new replacement for identifying the probabilities and possibilities. This will help to make proper corrections and improve the changes in future.
References
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Altamony, H., Al-Salti, Z., Gharaibeh, A. and Elyas, T., 2016. The relationship between change management strategy and successful enterprise resource planning (ERP) implementations: A theoretical perspective. International Journal of Business Management and Economic Research, 7(4), pp.690-703.
BHATT, R., 2017. Theoretical perspective of change management. CLEAR International Journal of Research in Commerce & Management, 8(2).
Brunning, H., 2018. A manual of organizational development: The psychology of change. Routledge.
Cameron, E. and Green, M., 2015. Making sense of change management: A complete guide to the models, tools and techniques of organisational change. U.K.: Kogan Page Publishers.
Fraser, J.R. and Simkins, B.J., 2016. The challenges of and solutions for implementing enterprise risk management. Business horizons, 59(6), pp.689-698.
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Harmon, P., 2019. Business process change: a business process management guide for managers and process professionals. U.K.: Morgan Kaufmann.
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kmart.com (2019). Kmart. Available at: https://www.kmart.com/ [Accessed on 25th Oct 2019]
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