sac 5 - AOS 2 implementing change Flashcards
leadership defintion
leadership is the ability to influence and motivate individuals and motivate individuals to achieve business objectives
importance of leadership in change
> change can be a difficult process for many stakeholders as they work to move from the current state to the new unfamiliar state
leadership is important to help the stakeholders during this transition
change can cause resistance from stakeholders
leadership is important because it can help overcome this resistance if the manager supports these stakeholders during the change
what will a strong leader do in times of change
> be able to communicate a clear vision with stakeholders
listen to employee concerns
resolve conflicts that may arise as change is being implemented
motivate stakeholders on the benefits of change
provide support for those finding it difficult to adapt
focus on the needs of employees as well as the needs of the business
management strategies to respond to kpis
- what the management strategy is
- list of kpis that are related
- impact of strategy
inititing lean production technique
> eliminating waste
5S strategy to implement lean sort, set, shine, standardise, sustain
Time, Inventory, Motion, Waiting, Overprocessing, Overproduction, Defects
> KPIS INVOLVED
- number of customer complaints
- amount of waste
- net profit figures
ADVANTAGES
DISADVANTAGES
improved quality in production
> quality control/quality checks/quality assurance
higher quality raw materials from suppliers
> KPIS INVOLVED
- number of sales
- nuber of customer complaints
- percentage of market share
ADVANTAGES -increase sales -increase customer satisfaction -increase reputation DISADVANTAGES -increase expenses -increase time and materials -time and materials for quality checks
change in management styles and skills
> STYLES=
autocratic-manager makes all decisions and tells staff what decisions have been made, 1 way com
persuasive- manager makes all the decisions and sells the decision to staff, 1 way com
consultative- manager seeks feedback or input, from employees before making decision, 2 way com
participative- manager and staff work together to make decisons, 2 way com
laissez faire- manager gives full responsibility to employment for operations, 2 way com
SKILLS=
communicating- exchange of info between people (verbal/non-verbal, 1-way/2-way)
delegating- authority and responsibility is passed down from manager to employee
leading- ability f a manger to influence and motivate people towards achievement of business objectives
planning- being able to set objectives and detail ways of achieving them
decision making- ability to select the most appropriate course of action from a range of alternatives
interpersonal- ability to communicate and interact with a range of people and build strong relationships with them
ADVANTAGES DISADVANTAGES
>higher staff morale >resistance from managers
>higher productivity >managers may not be
capable
>increase sales
>no costs
KPIS
>rate of staff absenteeism
>rate of staff turnover
>no of customer complaints
staff training
on the job or off the job
>improving skills and knowledge
ADVANTAGES >higher employee motivation > higher quality >higher confidence >higher productivity=more outputs DISADVANTAGES >lots of money >time
KPIS >no of customer complaints >productivity rates >staff absenteeism >staff turnover >level of wastage
increased investment in technology
computer software, hardware, machinery, automated production line, machinery
ADVANTAGES >higher productivity >less human error >less workplace accidents DISADVANTAGES >costs money to implement >need training to use it >could breakdown >potential redundancies
KPIS >productivity rates >percentage of market share >number of sales >level of wastage >number of workplace accidents
staff motivation
willingness for employees to work hard to acheive business objectives
ADVANTAGES >higher productivity >higher staff morale DISADVANTAGES >hard to reach all employees
KPIS >productivity rates >percentage market share >profits >staff absenteeism >staff turnover
redeployement of recourses
movment of place/role resouces= natural-materials labour-employees capital-machinery/equiptment
ADVANTAGES >could increase motivation >increase efficiency >increase profits DISADVANTAGES >time >money >employee resistance
KIPS >number of sales >profit >level of wastage >productivity growth
cost cutting
could cut costs in inputs, materials, wages, rent, waste
ADVANTAGES >increase proft >satisfy shareholders >better efficiency >less waste DISADVANTAGES >could compramise quality >could cause conflict >lower staff morale
KPS >rate of staff absenteeism >staff turnover >sales >profit
seeking new business opportunities
managers will often seek new business opportunities to gain new business
>helps to groe and expand
>domestically or globally
domestic opportunities
domestic opportunities is where the business is looking to gain more buiness with their current country of operating
multiple branding
multiple branding is where one buisines sells mutiple brands in the same market
>allows customers to have a choice in a wide variety of products and allows business to take up a larger amount of shelf space
>business might get backlash from customers who think they are just after profits
franchising
franchising is where a business grants someone the rights to carry out commercial activities using the brand of the business
>enables the business to expand while using other peoples money
>there is some loss of control and shared profits
government programs
governments at different level provide assistance for businesses that are looking to grow
>
global opportunities
global opportunities are whee the business is looking to gain mokre business outside their current country of opearations
exporting
exporting is where a business send their good or services to another country for sale
>this can open up marets and increase sales
>there can be extra costs and obstacles involved
austrade
the government body that is involved in advancing australias international trade and education as well as investemnt and tourism
>
devaloping an online presence
putting the business online can allow the bsuiness to attract new cutomers in new locations . domestically or globally
>open up to new markets and to a global markets
>can be costly and need to find new distribution channels
strategies to overcome employee resistance
> chance canc cause resistance from employeesand stakeholders.
employees often resist chnage because they feel isolated, fear, frustration and uncertainty.
managing chnage effectivley is crutial to overcome this resistnace and ensure the chnage is successful.
low and rish risk
low risk startegies
communication, emplowerment, support, incentives
high risk strategies
> high risk strateges are another way business can overcome resustance to chnage
overcome quicker
greater risk to lead to negative consequences
manipulation and threat
communication
> being open and honest about the chnage so that employees fully understand the direction of the buisness and its impact
helps build support and gives a better understanding of the change
empowerment
> involveing employees in the change process can help get them on board with the change
shows trust in employees
employees are less likely to resist a chnage they had a part in
support
those that are affected by the change need to be supported through the process
>if employees lose employment they need support in finding employment
>others finding the chnage difficult can be supported though training, counselling or consolation.
incentives
> providing something that encourages employees to embrace the chnage
eg promotions or bonuses
manipulation
> gaining support from employees by the selective use of facts or deception
this can reduce resistance because meployees are likely to be told the benefots of the chnage wihtout knowing the negatives
however if employees find out could harm morale and culture of workplace
threat
> forcing employees to embrace chnage or recieve penalties
makes them embrace chnage quicky
could cause resentment and harm relationships
senges learnning organisation
>a learning organisation is a business that is flexible, adaptive and productive >aims to have a culture where people work together at their best and continually learn to work together at their best. >5 key principles; - systems thinking -mental models - personal mastery - shared vision - team learning
systems thinking
> the ability to see the big picture rather than see things in isolation
personal mastery
> where the people within the business undertake continual learning
employees constantly work towards a vison of themselves
mental models
> the deeply ingrained assumptions, generalistaions and images of how people undertsand the world
these beleifs and values direct how we behave
during chnage, the business and its people need to look at themselves and srutinise what they do
shared vision
> being able to devalop a vison that the people within the business beleive in
having all people on the same page can develop long-term drive towards transformation
team learning
> the process of aligning and devaloping the capacities of a team to create the results its members truely desire
individuals that learn together, grow more rapidly
leading a learning organisation
> senge states that a learning orgnisation requires a more contemporary form of leadership
leaders in a learning organisation are;
- designers, designing purpose, vsion and core values
-stewards, leading look after and protect the vision rather than own it
-teachers, being able to foster an environment where learning is for everyone
effect on managers during change
> managers are those that make decisons on the directions on the direction of the business and the strategies used to acheive those objectives
changes can impact managers in a number of ways including;
-change of management style
-change of processes that managers need to carry out
-increase/decrease of roles
-loss of employment
customers
> customers are those that purpose goods or services from the business
change in a business that impact the good or service will have an effect on customers
this effect can be positive eg. improved quality or lowered price
it could also be negative eg. stop producing a product, chnage the product (eg recipe) or how the product is assessed
suppliers
> suppliers are businesses that provide resources to a business
when businesses chnage thier operations, it can ave an effect on the suplliers
eg changing to more ethical supplier or moving operations and suplliers overseas
general community
> businesses have a significant effect on the general community
businesses may decide to take part of their business offshore to reduce costs, which could result in increased unemployment in the local community
businesses can allow have a positive impact if they expand into a new location, and stimulate local economy in the community
csr during chnage
> csr is the resonsibility of an reoganisation to run their business in an ethical mannar. this mean taking account for the social, environmental and economical responsibilities for all stakeholders both now and in the future
restructure/downsizing- considering the amount of job losses and implementing strategies to find new employment
suppliers- purchasing from local suppliers, supplier working conditions, support for suppliers
changes in technology- training should be implemented to employees using new technology, impact on environment
impact on environment- decrease pollution, and decrease impact on wildlife
lewins three step change model
step 1- unfreeze
>unfreezing is about preparing the business for chnage and includes:
-identifying what needs to chnage
-creating urgency by demonstrating need for chnage
-challenge current beleifs that may resist chnage
step 2- change
>with the bsuiness unfrozen and prepared for chnage, they can begin moving to th new desired state
>it is important that open communication and support is used in this stage to help those that are finsing the chnage difficult
>people are empowered to take action and the necessary resources are provided towards implementing the change
step 3-r efreeze
>refreeze is about reinforcing the chnage and anchoring it into the culture so that it can remain for the long term.
>without refreezing, there is potential that chnage will be implemented then gradually the business will move back to old ways
>continuous support and training is provided to help reinforce
>adjustments are made where necessary
key performance indicators
level of staff turnover rate of staff absenteeism level of wastage number of customer complains percenatge of market share number of sales rate of productivity growth net profit figures number of workplace accidents
importnace of reveiwing kpis
kpis asses performance in different areas of the business so wit kpis, managers are able to identify areas that are going well or areas that need improvement and therefore work on those particular areas to more effectively be successful in the acheivement of business objectives