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Importance of Change Management for Last Resort Hotel

Discuss about the Commitment and Work Engagement of Public Sector.

Change management is crucial to develop the employees and to bring the competitive advantages. However, change management is considered as the formal way to communicate with the employees (Doppelt 2017). By using the effective communication with the employees an organization will be able to reveal the importance of the change in an organization. However, change management enables an organization to ease the tension and to develop a smooth process. This study deals with the change management process in the context of Last Resort Hotel. However, in this organization, there are several issues and opportunities. In order to deal with these issues, it is important to implement a new organizational structure and an effective communication in this hotel.

As commented by Kuipers et al. (2014), change management is required for every business to restructure their existing system. From the given scenario, it has been received that the current reputation of TLR is strong, however; their percentage of return customers is declining. Therefore, the attractiveness of Tasmania is reducing, which leads this region to lose their reputation as a tourist place. On the other hand, there are opportunities of new developments, which can attract the high-end tourists. Therefore, the Last Resort has the opportunity to become a honeymoon resort for the couples of India and North Asia.

Employee development is a big challenge for every business industry as often the employees become resistant to take training and it is a costly process also (Lozano et al. 2016). In the context of Last Resort, they have been facing challenges to select and develop the employees those are able to serve high-end customer service. On the other hand, the local councilors continuously complain that TLR is the poor corporate citizen as they do not employ and provide training to the employees. One of the major strengths of TLR is their strong corporate culture, which leads them to gain high turnover. On the other hand, the cooperation between the departments is not strong and the internal communication is declined in this organization.

According to the Kotter change management model , for every business, it is crucial to identify their current threat and opportunities to forecast the future of a business (Rajan and Ganesan 2017). The first element of this model is the creation of urgency. However, for TLR it is important to restructure their existing system and to build an effective communication with the internal stakeholder. As argued by Teixeira et al. (2017), often the employees show resistance to the change in an organization. In order to deal with this situation, TLR needs to make a powerful coalition to convince the people to implement the change in this organization. In order to bring the change in an organizational structure, it is important to create a vision for the proposed change. To carry out this change it is important to make a link between the ideas and create a rigid vision of the change. After creating the vision it is important to communicate with the vision. TLR has the opportunity to make their resort as the honeymoon destination. To implement this vision, it is important to communicate with the employees to share the value of this idea.

Challenges Faced by Last Resort Hotel

Reduction of the barrier is crucial during the change management (Pollack and Pollack 2015). TLR needs to maximize the performance of the organization. In order to do this more skilled employees are required. Hence, the local councilor creates barrier due to not employing the local employees. TLR needs to reduce this barrier while developing the employees in order to bring the structural change in their organization. After this step, it is important to build on the change. TLR should not declare the victory too early and they have to take long-term change initiatives. The corporate culture of TLR is strong, however; the communication level between the employees is not good. To implement the current change strategy they need to anchor the change in their corporate culture.

Lewin’s model is one of the most popular change management models. According to this model, there are three steps in change management process such as unfreeze, implement changes and refreeze (Cummings et al. 2016). In the unfreeze step the organization needs to realize the importance of change in their organization. In the context of TLR Hotel, poor communication between the staffs, decrease in the number of the repeat customers and opportunity to develop the accommodation of the hotel ensure that such organization needs change. Unfreezing condition is applied by the organization to identify the upcoming changes and their challenges associated with the change. The next step of this model is to make the changes. In order to bring the proposed change strategy, TLR needs proper support from the employees. Therefore, education and communication are necessary. It has been found from the scenario, that the communication level between the employees in TLR is not good. Thus, the establishment of an interpersonal communication is crucial to deal with these challenges. The GM of this organization should communicate with the employees on a regular basis, which will improve the level of communication. The next phase is the refreeze phase. After the implementation of the change in TLR, it is vital to refreeze the status. In this phase regular review is required to carry out and new methods need to be followed.

Action research model is one of the vital models of change management. This model highlights the planned change in a cyclic process (ChePa et al. 2018). Problem identification is the first stage of this model. In the context of TLR, retention of the repeat customers is one of their major issues. Next step is the contracting that is consultation with the expert regarding the identified problem. This will help TLR to implement necessary change in their organization. In the diagnosis step the data regarding the issues needs to be gathered and analyzed. This will allow TLR to carry out the root cause analysis of their current issues. Collection of the feedback is the fourth element of this model. This step will allow TLR to make conference with the clients and to gather feedback from them regarding the issue.  The next step is the planning change where the management of this organization influences the stakeholders to take part in the decision-making process. In this step TLR needs to take specific action to deal with their current challenges. In the intervention phase the actual change takes place. However, TLR needs to diversify their service to retain the repeat customers. Evaluation is the last step of this model. In this step the TLR needs to carry out a re-diagnosis of their implemented change to measure the effectiveness of the implemented change. Hence, application of Action Research model will be helpful for TLR to give shape their new changes in the organization by minimizing the current issues.

Kotter Change Model for Last Resort Hotel

TLR needs to develop a structural change and the effective communication to deal with the threat and opportunity of their organization. However, in order to build an effective communication in TLR a verbal communication by using open discussion and conference is required. In order to deal with the employees open discussion is a good way to share the viewpoints (Bharadwaj 2017). However, in the context of TLR the corporate culture is strong but the communication between the employees is not good. Therefore, there is the employee development problem. However, by providing an open discussion the GM of TLR is able to share the change management goal with the employees. However, it has been received that the internal communication level is very poor in this organization. Hence, by using the verbal communication strategy the organization is able to make an effective communication with the employees. In order to make the verbal discussion with the employees an open discussion forum needs to be created. The GM of TLR needs to create a conference where the employees are able to share their viewpoints regarding the current threat and opportunities of the organization. Open discussion is a process that enables the people to share their opinions without any hesitation (Haffar 2016). In TLR the employees fail to communicate with their coworkers and the management team. This is a big challenge to make a solution of the current threats.

It has been found that the repeat customer number is continuously decreasing in TLR. This is due to the poor communication level and poor structure of the organization. Hence, by using an effective verbal communication the TLR is able to contact the customer directly and identify their issues. On the other employee development also needs a clear communication with the employees (Doppelt 2017). By making a clear communication with the employees TLR will be able to understand the area of improvements among the employees. Therefore, to bring structural improvement in TLR by making it a honeymoon destination an open communication with the employees is required. This will help the employees to share their viewpoints regarding this structural change.

Therefore, to resolve the issue with the councilor, GM of TLR needs to discuss with them regarding their problem. There is a concern that the helipad may impact on the environment. This should be mitigated by using the communication with the local authority. Implementation of change in an organization may be positive or may be negative (van Hilten 2018). TLR needs to develop an effective verbal communication with the external and internal stakeholders. To implement the effective communication they need to make an intervention plan. In this intervention plan first, they need to contact the repeat customers and to identify their issues. This can be done by using telephonic conversation with the customers. On the other hand, to develop the resort as a honeymoon destination they need to communicate with the employees through a conference and to listen to their viewpoints regarding this opportunity. Next to reduce the claim of local councilor GM of TLR needs to make a contract with this councilor regarding the employment of the local people. In order to do this, they need to carry out a face to face discussion. Therefore, the cooperation between the departments is declined and the level of internal communication is reduced. To establish a good relationship between the departments it is important to involve them in a collaborative work by sharing the information through verbal discussion. However, employee development is a structural change of the organization. Hence, it is important to implement a training program for to develop the employees. Hence, during the training verbal communication is required to share the information.

Lewin's Model for Last Resort Hotel

Various issues take place during the implementation of the change management system in an organization. One of the major issues is the lack of personal interest of the individual (Smuts et al. 2017). However, often the individuals in an organization do not show interest regarding the implementation of the change intervention (ChePa et al. 2018). In the context of TLR, they want to restructure the organizational system and to develop an effective communication in the organization. To make this change support from each employee is crucial. Hence, negligence of the employees to share the information may hamper this change management process. Next political pressure and legal objection are the other challenges of the change management in an organization. However, it has been addressed that the local councilor claims that TLR is not interested to recruit and develop the local people. This is a political pressure for this organization. If they want to implement change intervention then it is important for them to recruit the local people in their organization.

Changes in the legal policy may lead an organization to implement any change in their organization (Van der Voet and Vermeeren 2017). However, to restructure the organizational system green signal from the government is required. On the other hand, if any policy changes during the implementation of change management program it may affect the change management process. For example, helipad approach of TLR needs to follow the environmental laws. If it leaves a negative impact on the environment then this approach cannot be used. Poor leadership may create a barrier for the change intervention. The present GM of TLR needs to adopt proper leadership strategy while communicating with the employees. If the GM fails to carry out their roles and responsibility properly then they change cannot be implemented successfully. Lack of proper funding is another major barrier that affects the implementation of the change management. TLR needs to arrange their financial resources properly while implementing the proposed change in their organization. Employee resistance is the big barrier of the implementation of change intervention in an organization (Kerzner and Kerzner 2016). However, often the employees become resistant to the change and they do not accept the new changes in the organization. However, the employees think that it will be difficult for them to work in a new environment and they have a fear of this change. For example, TLR needs to train their employees to deliver good service to the customers. The demand of customers is always changing thus, the employees scare to deal with such customers. To make the employees confident effective verbal communication is crucial.

Action Research Model for Last Resort Hotel

In order to mitigate the challenges of the change interventions, it is crucial to address the barriers. Establishment of an open door policy is crucial to address the internal challenges of an organization (Serrat 2017). However, the managers are too far to the employee behavior in an organization. In TLR the implementation of an open door policy for the employees will help them to come to the mangers and express their issues. Such open door policy also supports the communication strategy as it helps the employees to share their concern with the management. Therefore, the managers should not let the problem linger. Addressing the issues as they take place is a good strategy to identify the barrier properly. Often the stakeholders become discouraged when they see the problem is not addressed properly. The local councilor and the customers may be dissatisfied if TLR is not able to address their problem at the right time. Conduction of the regular meeting will be helpful to address the barriers of change management. The GM of TLR needs to conduct a meeting with the employees on regular basis to identify the challenges of change management.

According to the given scenario, the GM of TLR wants to implement the change intervention as soon as possible. However, the major ethical issues of this change management process include the lack of transparency and inclusive method. It is important for the GM to make a strong commitment to an ethical, inclusive and transparent process while implementing the change intervention. However, change management should be done in an ethical way (Salehi and Baboli 2017). If TLR fails to carry out their proposed changes in an ethical way then it may lead this organization to face legal issues. TLR should give their concern to the benefits and loss of the employee's wile implementing the changes in the organization. If the new change hampers the benefits of the stakeholder then it will be meaningless. Keeping confidentiality is another ethical concern of an organization while implementing a communication strategy as a change strategy. It is important for GM to conduct the entire change intervention plan in an ethical way. However, it is important to keep the value of the employees while implementing the change intervention.

In order to address the ethical issue, it is important for TLR to support the codes and ethics of the change management. Development of the environment where the employees can speak up is vital to address the ethical issues (Michalos 2017). A positive culture in the organization helps the employees to reveal their concern regarding the proposed changes in TLR. Therefore, accumulation of the various disciplines is an effective way to address the ethical issues. The GM of TLR can introduce the various practices to the employees to understand their concerns and viewpoints regarding the change. On the other hand, by collecting the feedback from the external stakeholders the GM of TLR will be able to identify the major ethical concerns of the organization. Moreover, by appointing a mentor and taking a weekly conference are helpful to address the ethical issues in an organization.

Verbal Communication to Solve Last Resort Hotel's Issues

It is crucial to keep the transparency while bringing a change in an organization (Robertson et al. 2017). However, the TLR focuses to restructure their organization system and to build an effective communication with the stakeholders. Structural change can be done by proposing the new developments, which target the new golf courses and high-end tourists. Implementation of communication strategy by using an effective verbal communication needs transparency. The employees of TLR needs need to keep transparency while sharing the information with their coworkers. Moreover, in order to build an effective interpersonal communication in the workplace open discussion is required. During such discussion confidentiality should be maintained. However, both managers and the employees need to keep the information confidential while communicating for change purpose. Comfort zone of the employees is a major ethical concern. During the implementation of the change intervention, TLR needs to protect the value and the comfort level of the employees.

Conclusion

The entire study focuses on the change management process in the context of The Last Resort. However, the number of repeat customers is declined in this organization despite their strong reputation. Therefore, the internal communication is not good. Moreover, this organization has an opportunity to develop their resort as the honeymoon destination. To deal with these challenges and opportunities TLR needs to adopt a structural change strategy and the effective communication strategy as the change management plan. Therefore, they should concern the ethical issues while implementing the change intervention. Development of the interpersonal communication is a good way to improve the performance of the employees. During this change, information needs to keep confidential.

References

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

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Teixeira, B., Gregory, P.A. and Austin, Z., 2017. How are pharmacists in Ontario adapting to practice change? Results of a qualitative analysis using Kotter’s change management model. Canadian Pharmacists Journal/Revue des Pharmaciens du Canada, 150(3), pp.198-205.

Van der Voet, J. and Vermeeren, B., 2017. Change management in hard times: can change management mitigate the negative relationship between cutbacks and the organizational commitment and work engagement of public sector employees?. The American Review of Public Administration, 47(2), pp.230-252.

van Hilten, A., 2018. Respectively reviewing" Change management: A guide to effective implementation. Qualitative Research in Organizations and Management: An International Journal, pp.20-80.

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