Leadership Management And Social Responsibility: A Yellow Auto Company Case Study Essay.

Summarisation of the Case Scenario

Discuss about the Leadership Management and Social Responsibility Values.

Change Management is an integral part of the organisational functionalities. Usually, change management procedures are undertaken when the company requires earning profitability or strengthening the competitive position more precisely. Change management is considered as the techniques and tools that have been undertaken by the company in order to accomplish the goals (Cameron & Green, 2015). The accelerated changes are effective enough in bringing the organisational excellence. Especially, it has been noted that the companies usually undertake such change management procedure in order to achieve success (Hatch & Cunliffe 2013). The study will be focusing on the case scenario of Yellow Auto Company, which is one of the renowned brands of Renault. The case study is concerning several internal issues that have been faced by the associated employees. Recognising the underlying issues, the discussion will be focusing on the implemented change management procedure.

In the year of 1989, Yellow Auto Company was established by two brothers, Can Sale and Caner Sale. At the initial stage, the company was only a family owned business, which grew up to be a renowned brand of a famous automobile company Renaults. Previously, the company owned two stores for the automobile cars. One store was in Cambidi and another one was in (Gaziemir Katrinli et al. 2012). The major aim of the company was to sell the cars of famous brands to the customers of different areas. However, while determining such goals, the concentration of the company was to identify the high market demands (Hornstein, 2015). However, in keeping pace with the organisational growth, it has been noticed that the company has been re-structuring the internal management scenario. It has been notified that the management related issues have become much prominent in a very specific way.

At the initial stage, the first and foremost problem has been found due to the lack of proper cooperativeness and communications. The management faced several prominent issues in managing and controlling associated staffs, as there is the lack of proper documented records. It was quite difficult for the company to follow up the activities of the employees, which led them towards facing severe problem in controlling process. Another problem that the company faced was due to the lack of proper behaviour of the staffs with the customers (Hayes, 2014). It was noticed that many of the staffs were not much efficient and educationally certified to hold the position of marketing executives. Hence, it was seen that the efficiencies of the existing sales executives were not effective enough to attract many customers. Hence, it became one of the major priorities of the company to find a proper solution regarding such issue (Fan & Zhang, 2013). On the other hand, it was noted that the leadership style existed in the company was not much effective enough to motivate the employees. The employees think that they can work in a better way if they will be able to work with Can Sale instead of Asli Sale.

Related theory of Change Management

Another most significant issue was concerning the after sale services. It was noticed that the spare parts of the automobile products after sales are much unhygienic for the workers. The lack of facilities and conflicts among the internal associates are also considered as the major problem for the company (Leach, 2014). Identifying such issues, it is noted that the company decided to undertake several changes in their internal functionalities. The first initiative towards change management process was undertaken in the year of 2001. It is important to mention that the company determined a particular goal of achieving almost 50% share in the region. However, due to the recognition of the potential issues, the company started undertaking several radical changes (Chemuturi, 2013). It was necessary to undertake several changes, which can address the underlying issues more specifically. The company started working with several efficient academicians who have the well sorted knowledge regarding the management functionalities (Ali & Lai, 2016). The recognition of the owners’ demands is essential in such cases. Seeking knowledge regarding the solution of the identified issues within the company became the top priority of the company. However, while implementing such changes, it was even necessary to identify the underlying strengths and weaknesses as well. Accordingly, the company started working on their leadership management activities to enhance the job satisfaction parameter of the employees.

The issues recognised in the internal management process of Yellow Auto Company needed to be addressed before the changes take place. In such regards, it is necessary to keep the concentration on the proper theoretical perspective of change management process. Kurt Lewin established a three staged model of change management that is helpful enough in understanding the basic concept of the process. The three stages are Unfreeze, Transition, and Freeze. The description of these stages is presented below:

Unfreeze: The unfreeze stage is the initial step of the model that is considered as the most important stage to understand the current scenario. This particular stage ensures the reason for changing and the start-up methods towards change (Du et al. 2013). Yellow Auto Company could recognise the potential issues associated with the internal management functionalities. It is noted that the lack of proper professionalism and knowledge of undertaking the organisational functionalities are the major reasons for ensuring changes. Therefore, the company decided to take the help from the efficient academician to organise the internal activities in a structured method. Therefore, the initial stage of such changes is to consult the academician for resolving the internal issues related to the identified problem.

Identified Strengths and Weaknesses

Change and Transition: According to Kurt Lewin, the changes are not considered as the event; rather a transition procedure. The transition process is indicating the movement of the reaction that leads towards changes. The company involved several academicians from Izmir University of Economics. These academicians started working as the business consultants to provide the relevant advices regarding the management functionalities. However, while implementing such changes, the company even needed to consider several determinants as well.

Freezing: The final step of Lewin’s three stage model is freezing, which is sometimes termed as ‘refreezing’ (Burke, 2013). This particular stage determines the stage of establishing the changes that have been decided to be undertaken. Yellow Auto Company started concentrating on the consultation process with the efficient academicians. The implementation of such process was fruitful enough to derive the proper knowledge about the internal management functionalities based sales, marketing, and financial structure. However, it is important to mention that this stage of Change Model, the high level of flexibility is necessary. In order to maintain such flexibility, the company even faced several potential conflicts. The further section of the study will thus be defining the underlying strengths and weaknesses associated with such changing scenario.

The changes have been applied in order to resolve the underlying management issues. However, in considering the changes, it is noted that the company faced both the benefits and issues. The major strengths and issues of undertaking such change management procedure are described further:

Strengths:  The Company will be much benefitted if the efficient consultants provide the insightful ideas regarding the management functionalities. The management will be able to understand the proper professionalism and required activities to manage the associated staffs. Another most recognisable strength is that the efficient management procedure would generate job satisfaction among the employees. Hence, eventually, the company will be able to build the reputation in the automobile market in Izmir.

Weaknesses: Undertaking the efficient change management process created several issues due to the internal conflicting scenario. One of the most recognisable weaknesses was the occurrence of confusions about the responsibilities and authorities of the allocated teams. When the change took place, it became unclear about the division of the responsibilities. Another most specified weakness was the emergence of the departmental conflicts. The lack of proper documentation about the employee information was much problematic for the management (Groves, 2014). Hence, it is essential to pay the attention towards such identified issues. Due to such conflicts, the communicational transparency was affected more significantly.

In order to derive the particular knowledge about the job satisfaction parameter, it was essential to receive the feedbacks from the existing employees. Therefore, the company conducted a systematic survey where the employees were asked four major questions about the description of the allocated jobs. The first question was about the list of tasks that they need to do. The second question was about the tasks that were done by others. The third questions specified the determination of performing the allocated tasks. Lastly, the final question signified the assurance of proper authority to complete the tasks. However, the responses derived from the employees clearly pointed out that there were high disagreements of performing the allocated tasks. Many of the redundant tasks were present due to which the employees were dissatisfied (Morgeson et al. 2013). However, it is also noted that the employees did not receive enough motivation since there were lack of proper facilities for the employees. The leadership style of Can Sale was autocratic, which eliminated them from ensuring their authority on performing any proper tasks. In fact, the lack of proper understanding and communicational transparency, the employees even could not able to raise their concerns to the management.

If the company would undertake the participative leadership style, the employees will be able to provide their concerns and suggestions. It generates the sense of existence among the employees. Once the employees feel that their suggestions or participations have been fruitful for the organisation, it increases the sense of reliability. Moreover, it helps in motivating the employees. In Addition to this, the consultation with the academicians will provide the insightful ideas about proper professionalisms. Eventually, it will create impact on employees’ minds and the attitudes of the employees will evolve accordingly.

The survey report specified that the change management scenario was not so much efficient to bring the job satisfaction among the associated employees (Deveau & McGill, 2014). Therefore, it is necessary for the company to undertake the proper management activities that can create the significant impact on their performance parameters. Recognising such needs, it can be inferred that the implementation of proper leadership style would be much preferable. In the previous time, the company used to follow the autocratic leadership style, which dominated the will power of the company (Johnston & Marshall, 2016). However, if the company can undertake the participative leadership style, it will be effective enough to encourage the team spirit as they can participate in making any relevant organisational decision. Hence, it is necessary to establish the communication transparency, which helps the employees to raise their concerns. Moreover, the management requires keeping a proper documentation of the different functionalities and information of the associated staffs. The review and monitoring the documents would be preferable to structure the internal activities as per requirements.

The undertaken activities needed to be structured with proper project management methodologies. Walden et al. (2015) indicated that the project management methodologies depends on the identified scenario associated with internal management functionalities. Identifying the associated issues in this case scenario, it can be inferred that the company requires undertaking the Information Technology Infrastructure Library (ITIL) methodology. This methodology is helpful enough in improving the management functionalities by enhancing the understanding level. The company requires a new set up for restoring the documents and other necessary information. Accordingly, this particular project management methodology helps in starting development from the management level. Hence, such methodology would be applicable for adopting the change management process in Yellow Auto Company.

Conclusion

The case study follows up the internal management scenario of Yellow Auto Company, which is a famous brand of Renault. The identified issues indicated that the associated employees faced the lack of communication and motivation while working under the management. Therefore, the company decided to implement the change management procedure by consulting with efficient academicians. However, there were several issues still remained due to the ineffective leadership style. Recognising such requirements, the company needs to undertake the participative leadership style to motivate the employees and bring the performance efficiency in a changed scenario.

References

Ali, N., & Lai, R. (2016). A method of requirements change management for global software development. Information and Software Technology, 70, 49-67.

Burke, W. W. (2013). Organization change: Theory and practice. Sage Publications.

Cameron, E., & Green, M. (2015). Making sense of change management: a complete guide to the models, tools and techniques of organizational change. Kogan Page Publishers.

Chemuturi, M. (2013). Requirements Change Management. In Requirements Engineering and Management for Software Development Projects (pp. 117-127). Springer New York.

Deveau, R., & McGill, P. (2014). Leadership at the front line: Impact of practice leadership management style on staff experience in services for people with intellectual disability and challenging behaviour. Journal of Intellectual and Developmental Disability, 39(1), 65-72.

Du, S., Swaen, V., Lindgreen, A., & Sen, S. (2013). The roles of leadership styles in corporate social responsibility. Journal of business ethics, 114(1), 155-169.

Fan, G., & Zhang, D. (2013). Research on the project design change management of general construction contractors. In ICCREM 2013: Construction and Operation in the Context of Sustainability (pp. 466-474). ASCE.

Groves, K. S. (2014). Examining leader–follower congruence of social responsibility values in transformational leadership. Journal of Leadership & Organizational Studies, 21(3), 227-243.

Hatch, M. J., & Cunliffe, A. L. (2013). Organization theory: modern, symbolic and postmodern perspectives. Oxford university press.

Hayes, J. (2014). The theory and practice of change management. Palgrave Macmillan.

Hornstein, H. A. (2015). The integration of project management and organizational change management is now a necessity. International Journal of Project Management, 33(2), 291-298.

Johnston, M. W., & Marshall, G. W. (2016). Sales force management: Leadership, innovation, technology. Routledge.

Katrinli, A., Atabay, G., Gunay, G. & Cangarli, B.G. (2012). The change story of Yellow Auto Company. In D. L. Anderson (ed.), Cases and exercises in organization development and change (pp. 266-272). Thousand Oaks, CA: Sage Publications.

Kerzner, H. R. (2013). Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.

Leach, L. P. (2014). Critical chain project management. Artech House.

Morgeson, F. P., Aguinis, H., Waldman, D. A., & Siegel, D. S. (2013). Extending corporate social responsibility research to the human resource management and organizational behavior domains: A look to the future. Personnel Psychology, 66(4), 805-824.

Walden, S. E., Foor, C. E., Pan, R., Shehab, R. L., & Trytten, D. A. (2015). Leadership, management, and diversity: missed opportunities within student design competition teams. In 2015 ASEE Annual Conference and Exposition.

Zhu, Y., Sun, L. Y., & Leung, A. S. (2014). Corporate social responsibility, firm reputation, and firm performance: The role of ethical leadership. Asia Pacific Journal of Management, 31(4), 925-947.