Analysis of the issue applies at least one frame well. The analysis is more descriptive than analytic in parts. A basic understanding of the relevant frames and relevant course concepts is evident. Further use of examples, data and/or academic literature required to make the analysis convincing.
Recommendations are logically linked to the analysis and relate to several frames. They are specific, feasible and appropriate to the context, and convincingly address key aspects of the issue. Claims are well supported by evidence and academic literature.
A solid analysis of the issue that applies at least two of the frames well. A good understanding of the relevant frames and relevant course concepts is evident. Examples, data and academic literature used effectively in parts.
Organisation change management is a concept of improving the organisational scenario considering the need for change. Each of the organisations strives to meet the expectation level of the business stakeholders and strengthen the competitive ground in a globalised scenario. It is explained that the dynamic and complex global business force the business organisations to rectify their operational values to ensure long term survival (Lozano, Nummert & Ceulemans, 2016). Similarly, the study concentrates on the change management process undertaken by Bega Cheese, which is renowned dairy firm in Australia. The study would discuss the change management approach undertaken by Bega Cheese to modify the restructuring process. The identification of the underlying issues would be discussed in the further section of the study. Furthermore, the study would discuss the Four Model Framework by Bolma to identify the most dominant factor that influences the change management aspects within the organisation. Identification of the issues and the dominant factor affecting the changed scenario would provide the insightful knowledge base on the subject area.
Bega Cheese Ltd. is a wholly owned Australian Cheese and Dairy Company. More than hundred of the dairy farmers from Bega Valley are associated with the company to deliver resources for the products (Businesschief.com. 2018). The company produces and distributes the high quality cheese and dairy products that create the significant value among the consumers in Australia and fifty other countries. The company concentrates on establishing the core values by embracing challenge, building for the sustainable future, and driving change. The company signifies positive trait in achieving the vision and building the pillars of heritage among the customers and community (Eastwood et al., 2016). Eventually, the company has strengthened the ground of being a leading icon within the Australian dairy industry. Bega Cheese is now looking forward to achieve more success in future by developing the organisational restructuring process. However, the company has been facing the numerous obstacles in making relevant organisational decision.
The extensive research on the business scenario highlights that Bega Cheese has been facing the considerable challenges due to the higher competition in the business scenario. The competitors in the Australian dairy market strive to achieve excellence in every possible ways. Bega Cheese is mostly facing the challenges due to the changing demands of the potential customers. It is reported that the diverse range of players in the market seek the high quality ingredient added to the procure milk and consumer goods (Hansen & Jervell, 2015). Victoria has captured the leading position as the dairy state in Australia. It produces approximately 65% of the entire dairy product in the country and exporting almost 85% of the products to the international locations (Accc.gov.au, 2018). The stakeholders from Australian companies and the multi-national companies seek for various form of product range. However, it has been observed that milk processors have been facing challenges related to the procuring the sufficient quantities of milk that could achieve the efficiencies in this competitive scenario. Therefore, the company recognizes the requirement of developing changes in the organizational structure to facilitate the well-maintained operational activities. The changes in the structure of the management are expected to develop the profitability range by satisfying the expectation level of the associated stakeholders.
Change Management in Bega Cheese
It has been observed that the emerging competition level and the demands of the various product ranges are the major issues identified within the organisation. The previous organisational structure highlights that previously the company used to maintain the centralized management. Maintaining the centralized management structure to deliver the product range and establishing the value-added distribution process is quite difficult (Mylan et al., 2015). It creates the negative influence on decision-making process of effective milk procurement method. It is quite necessary for the management to concentrate on the diverse range of the production process (Gianni, Gotzamani & Vouzas, 2017). Hence, it is observed that the management structure has been facing difficulties in undertaking effective decision-making process especially when the demand of the diverse range of the products has increased drastically.
Change management in an organization can be defined as the framework that is adopted by an organization in order to manage the new business processes in an organization. The Organization change management addresses the people side of the change management and its effects.
There are various organizational change management tools available that go a long way in helping the organization to reach where its goals are (Langley et al., 2013). Bega Cheese for some time had been facing certain problems with respect to management of authority and organizational structure due to which it had been facing intense competition from the external environment. They were also suffering from poor employee feedback. Hence, in order to bring certain changes in the organization, it decided to change the organizational structure of the organization. The organization`s chain of authority was decentralized and it was decided that various small groups would be formed which would help the firm to understand their responsibilities well and also enable them to perform effectively. The given change would be carried out by the senior management who will be supporting the various employees of the organization in this aspect. For the given change management, the company would be providing a vision and training to all the employees, in order to sail through better during the transition stage.
According to the four frame model of the organization, there are mainly four frames namely structural, human resources, political and symbolic. Critically evaluating the issues with the restructuring of Bega cheese in relation to the four frames of the organization will help to identify the key issues with them.
In terms of the structural frame, Bega cheese is having positive and favorable structural capabilities. This is mainly due to the reason that Bega cheese is having access to huge capital and being a publicly traded organization, it is having the capabilities to invest more in different departments (Fleming-May & Douglass, 2014). However, Bega cheese faced the difficulty in terms of the systems and processes. This is due to the reason that though they are having access to huge capital and financial abilities, but their system or structure for them of implementing the change process is not effective at all. Due to the ineffectiveness of the structure and process of Bega cheese, employees are not being effectively involved in the process. Another structural issue being identified is the lack of involvement of the employees in the structural change of the organization. Thus, resistance is being originated from the side of the employees. Moreover, it is also being identified that there are some sort of contribution of the physical structure of Bega cheese in the identified issues (Lyon et al., 2014). This is due to the reason that they are having their business operation in different countries. However, physical structure of them is not same every locations around the word. Thus, with the change in the organizational structure, there are number of the facilities around the world, which are not at all compatible with the new structure and thus it caused issues in the organization.
Evaluation Based on Four Frame Model
With the rapid development in the technology in the food and beverage sector, it is important for Bega cheese to stay updated in the market. In addition, the access to their huge capital sources is also helping them in investing more improving the technology. However, with the presence of the global brands in dairy sector and their entry in the Australian market, the competition is rapidly increasing. These global brands are having more updated technology compared to the Bega cheese and thus they are having fewer issues with their internal management.
Human resource frame is the most dominant frame in the identified issues of Bega cheese. This is due to the reason that the first issue originated from the restructuring of the organization is the resistance of the employees. Thus, it can be concluded that management of the human resources is not effective for Bega cheese (Alfes et al., 2013). It is identified that the with having te global presence of them, Bega cheese is having diverse employees in their business operation. However, the level of effectiveness of the training is not equal for all their employees. All of their facilities are not have same level of effectiveness on their employees. In addition, it is also being identified that the communication process with the employee is also not effective as it should be (Greenaway et al., 2015). Thus, in the change of the organizational structure of Bega cheese, employees are not being properly and well communicated about the change. Thus, the employees were not having the clear and precise idea about what are going to change in the organization and how it will benefit them. Thus, a negative impression is being created among the employees and it caused resistance from their side.
Moreover, it is also being identified that employees are not being involved in the decision making process of the organization. Thus, they are not having the idea about what is going on I the organization. In addition, not having any decision power in the organization is de-motivating the employees. Thus, the employees are not engaged in their workplace, which is reflecting in their resistance in the structural change of the organization (Muogbo, 2013). Employees are resisting the organizational structural change in Bega cheese due to the reason that they are not motivated in their workplace and they do not have the faith in their leaderships.
As discussed in the earlier section regarding the lack of employee involvement in the decision making process, it can be concluded that organizational power is not equally distributed in the organization. This is due to the fact that upper level management of Bega cheese is having the major power in the decision making process of the organization. As the key stakeholders of Bega cheese are the dairy farmers, they should have enough power in the decision making process of the organization (Aime et al., 2014). Thus, political frame is having majorly the negative implications on the organizational performance of Bega cheese. In the case of the organizational restructuring in the Bega cheese, the issues got aroused due to the reason that employees do not have the power in the decision making process. Thus, due to the negative distribution of the power in the organization, upper level management is having the upper hand in initiating the structural change (Shepherd & Rudd, 2014). On the other hand, the issues and challenges of the employees are not being considered in initiating the change.
Due to the negative distribution of the power in the organization, the healthier competition among the employees is also having less intensity. This is due to the reason that majority of the employees are demoralized due to the less power accessible by them. This is in turning reduced the probability of determining the feedback of the employees prior to the initiation of the change management in the organization.
In relation to this frame, internal management of the Bega cheese will be considered as an entire theatre and the employees and other internal stakeholders are considered as the actors. Thus, the employees who are the looking after the sales and marketing of them along with the customer service are the front actors who will be witnessed by the audiences or the external stakeholders such as customers (Lee et al., 2015). Determination of the requirement of these employees is important due to the reason that they are the face of the company similar to the key actors of the theatre. Thus, these employees generate the positive word of mouth in the market. On the other hand, the farmers of the Bega cheese are the ones who play backup role in the theatre and they are the foundation for the organizational effectiveness.
However, not determining the issues and challenges of the employees has created issues with the employees in the Bega cheese. Having the demoralized employees in place caused the emergence of issues (Njoroge & Yazdanifard, 2014). In relation to the symbolic frame, the theatre will not get succeed if their actors are not motivated enough to perform better in the play.
Thus, it can be concluded that human resource frame is the most dominant among the four frames identified and discussed in the earlier section. This is due to the reason that the issue emerged in the Bega cheese is mainly due to the ineffective management of the human resources and their lower level of motivation. Thus, the human resource frame is the most dominant one and the maximum concentration should be given on the determination of the need and requirement of the human resources.
The obtained ideas from the above analysis indicate that the most dominant frame is the human resource factor. The scenario depicts that prior to take any change management initiative, the management failed to establish the proper communication with the employees. However, concentrating on these specific issues identified in the above scenario, the following recommendations are provided.
- Establishment of the Communication Transparency
Human Resource Frame
Maintaining the communication transparency with the associated workforce is most important prior to take any decision regarding the organisational change. After suggesting change for the organisational structure, the management of Bega Cheese requires concentrating on developing the transparent communication process with the workforce. It would clarify the purpose of thee change in a significant way. Moreover, the employees would be able to present their suggestive concerns.
- Facilitating Training Session
The development in the milk procurement house helps in producing the better ranges of the products as per the suppliers’ needs. Therefore, management requires concentrating on facilitating the effective training session for the associated staffs and farmers in the dairy production house. It would generate the sense of motivation and reliability to improve their work performance and knowledge. Moreover, the organisational performance would be developed accordingly.
- Gathering the employee feedback
It is important for the company to collect the feedback from the employees associated with the milk procurement house. The employees need to understand the requirement for change and provide their views before any initiative is undertaken. The company needs to derive the innovative ideas by gathering the feedback and assessing it for making the relevant organisational decision.
The study provides the insightful ideas about the organisational change management undertaken within Bega Cheese Ltd. the extensive competition in the dairy industry and the emerging issues with the decision making process have led the company to change the organisational structure. The use of the Four Frame Model identifies the major factors that are influencing changes in a significant way. The human resource factor is the dominant aspect that creates the majority of the issues within the organisation. The development of the transparent communication, delivering effective training session, and gathering the employee feedbacks are some of the preferable recommendations that can mitigate the emerging issues in a significant way.
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