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Kotter's 8 Step Model

Discuss about the Organization Development and Change Diversity Management.

In a highly competitive market, each organization is trying its best in order to ensure the maximization of its profit. However, an organization will fail to achieve organizational success, if it does not take into consideration the satisfaction level of its employees that in turn can help in enhancing their productivity, and improving their efficiency rate at workplace. This is exactly the problem with the small, emerging organization of Australia, The Yum, specializing in the production and sale of healthy and yet dainty food items, such as snacks and sweets, rich in nutritious content. Though the organization is an emerging one set up in the year of 2006, it has a huge prospect in future, as by exploiting innovative strategies, the organization has been able to boost its sales growth, boasting of a high rate of profitability. However, despite the rise in the revenue earning capacity of the organization, one major obstacle of the company impeding its growth in recent times, has been a sense of discontentment arising from lack of unity among the diverse workforce (Alvesson and Sveningsson 2015).

The organization hires a diverse workforce, whereby the employees hired, belong to different ethnic groups, possessing various cultural identities. It has been observed on various occasions, that there is a lack of unity among the employees forming the workforce, and most of the employees do not feel a sense of belonging, while working for the organization. While most of the employees are highly professional at workplace, their competitive spirit, and almost a hostile attitude towards the employees, belonging to a different ethnic group, is de-motivating the employees (Senge 2014). This is having a direct impact on the productivity and efficiency rate of the employees (Cameron and Green 2014). Further, it has been observed that since the majority of the employees working in a subordinate position are native Australians, the appointment of a CEO and an administrative manager, belonging to the indigenous origin in the year of 2012, has also created unwanted difference among the employees and the managerial heads. While the employee relation is at stake, the possibility of the smooth operation of the business activities of the company, in a systematically organized way is being challenged. Some of the employees, especially belonging to the minor ethnic groups, have also complained of being victimized by workplace abuse, that has led to the high employee turnover rate problems, within the company. Hence, taking into consideration the adverse impact of employee relations on the productivity of the organization, an internal organizational change management program has been proposed. As far as the internal organizational change is concerned, it can be of various types, including structural change, strategic change as well as people change (Cummings and Worley 2014). However, in case of The Yum, the people change strategy will be adopted, that will aim to achieve employee cohesion, developing a sense of belonging among each of the employees. The management of a heterogeneous workforce comes off as a huge challenge, and hence proper organizational change management programs are required to be properly addressed. 

Create an Urgency

Change has become the new success formula for organizations operating in the competitive industries. Each company is trying its best to change, innovate and re-invent its strategies, to stay ahead in the competition. While some organizations are trying its best to implement technological improvements, other organizations are deeming the idea of introducing change in the leadership style (Mishra 2013). As far as The Yum is concerned, the organization is doing well in generating profit for itself, and hence the change in the administrative or financial section of the company is not required immediately. Hence, the change in the organizational culture is required, which will be implemented, by employing the use of the famous model, Kotter’s 8 Step Model. While an organization considering introducing change at workplace, may employ the use of various models, the most effective model for this case is the 8 Step Model of Kotter. According to John Kotter, the eminent professor of the Harvard University, it is not sufficient to introduce change by formulating and implementing a strategy, as there are several important steps involved in the middle that should not be altogether overlooked (Hickman and Ojo 2014). Before explaining each step involved in the change management program implementation, it is important to state and comprehend the proposed changes. First of all, a set of stringent workplace policies should be introduced, that will mandate the recruitment of an inclusive workforce. There should be strict rules that as and when the organizational vacancy arises, employees should be recruited, making a separate reservation for the ethnically minor groups of people. These policies will render a legal framework to the organizational problem, and hence it will reduce the possibility of policy violation within the organization. It should be noted that The Human Rights and Equal Opportunity Commission Act of 1986 as well as the Racial Discrimination Act of 1975, have made it mandatory for the organizations, operating in Australia, to introduce an inclusive workforce (D'Netto et al. 2014). Besides, making stringent rules is not sufficient, and hence a supervisory committee will be set up, that will be entrusted with the duty of monitoring the employee relations within the organization, and whether each policy is being properly followed by the employees. Again, the organization will arrange a variety of workshops, seminars and training programs that will help in developing the cultural awareness and a sense of unity among the employees, of the diverse workforce (Whitworth et al. 2014). It is not sufficient to train and educate the employees regarding the needs to be friendly with the co-employees, but The Yum will also ensure that the employees enjoy a sense of co-ordination and collaboration for accomplishing a single task. Accordingly, each week, the organization will arrange interactive sessions and fun, interesting activities, whereby each employee will learn and explore about his colleagues, and the participation will be mandatory for all.

Form a Powerful Coalition

In accordance with the 8 steps involved in the diagram, the implementation of the organizational change will be introduced.

First of all, it should be noted that none of the employees will agree to participate in the seminars, or stay back after scheduled official time, for participating in the interactive sessions, if the employees do not feel a sense of compulsion. Hence, the management authority must adopt an organized approach, whereby the employees will be asked to attend important meetings at least two times a week, before the change is being introduced. The meetings can be hosted by the managers, whereby they will communicate how diverse workforce benefits other organizations, and hence should be implemented in The Yum as well.

The importance of the coalition cannot be understated. For the successful implementation of the plan, it is highly important that a group of change leaders is being chosen who will have a clear idea about the scope and direction of the plan (Calegari et al. 2014). Since the CEO and the administrative manager themselves have been victimized by the problem of cultural differences, it is discreet to choose the HR managers and the Directors of the organization. Besides, a few employee relation experts should also be hired who will also explain the benefits of having an organized workforce, and will motivate the employees to participate in the workshops and training programs.

The introduction of a sudden change can lead to undesirable resistance from the employees. The employees may not comprehend the importance of the proposed change, unless they are being convinced of a meaningful vision (Calegari). Accordingly, a vision will be created, focusing on the importance of achieving employee unity in increasing the profitability of the organization.

The vision will be communicated by the higher authority to the employees, explaining both the importance of accomplishing the vision, as well as mentioning the time period within which the organization aims to achieve the vision (Osiyevskyy and Dewald 2015).

Once the vision and the change are being introduced it is important to inspire each employee to follow the change. Hence, accordingly, even after the change is being implemented, the organization will ensure that it holds meetings at regular intervals, for the purpose of motivating the employees, to embrace the change. Besides, the employees must be encouraged to provide their feedback, doubts or queries regarding the change, if any.

The generation of the short-term wins is important for incentivizing the employees to work harder for the change (Osiyevskyy and Dewald 2015). As and when slight improvements in the employee relation is being observed, the organization will build momentum and enthusiasm among the workers. For example, The Yum can announce a monthly award for “The Friendliest Employee” or “The Best Partner to Work with”, so as to improve employee relation.

Create a Vision for Change

Even after the change is being implemented, the organization should keep on building on the change, by hiring employees belonging to the indigenous groups, or promoting employees of minor ethnic groups to managerial designations, provided they possess the required skill and professional expertise.

Make it Stick:

The proposed change should stay with the organization. Hence, the supervisory committee should regularly monitor and supervise the change within the organization. In case of the violation of the policies, it should be ensured that immediate action should be taken (Calegari et al. 2015).

The implementation of the change is expected to bring about organizational success. Cultural diversity in workplace implies the diversity of skills, professional expertise and knowledge, that is sure to benefit the organization. The Yum is expected to benefit as a result of the multiple perspectives and professional knowledge of a variety of employees. Besides, cultural diversity is an important issue that each Australian organization is needed to be taken into consideration. Since Australia is one of the most culturally diverse nations, workplace diversity is a very sensitive issue. In case, any emerging organization is being accused of having workplace diversity problems, the organization may lose its brand recognition in the consumer market (Barak 2013). On the other hand, a more unified diverse workforce will always feel motivated to increase its efficiency, ultimately benefitting the organization. Many Australian organizations have been found to have participated in a national television campaign, for promoting the economic benefits of hiring a diverse workforce. The campaign has rightly emphasized that a well-managed workforce also helps to reduce the huge cost involved in case of high employee turnover problems. With the introduction of a well-organized culturally diverse workforce, the return on investment as well as the share price is expected to increase. Besides, Australian government has strict rules that mandate the existence of a highly diverse workforce, and hence even recognizes companies by offering ACLW’s Diversity Award and AHRI HR Awards for promoting workplace diversity (Mason and Aramovich 2013). Needless to state, these awards and accolades will help the organization gain recognition in the local as well as overseas market. This will definitely have a desirable impact on the economic realm of the organization. A sense of unity and a sense of belonging help to motivate and enthuse the employees, who intend to work harder for the accomplishment of goals. According to the Bureau of Labor Statistics, an organization suffers from a huge financial expenditure, if it loses a single employee, while on the other hand, the retention of the employees, helps in ensuring organizational success in the long run. By introducing change in the organizational culture, the company will be able to motivate its employees, by creating a positive work environment to work in. Besides, as a culturally diverse workplace, the organization will also be able to gain easy recognition among the masses, which will have a direct, positive impact on the consumer purchasing behavior. As and when a strategy is being formulated, its successful implementation will not only rely on the individual employee, but also on the shared vision of the employees. In case the employees have differences among themselves, it will be difficult to accomplish the tasks that require joint effort and coordinated approach (Tynjälä 2013). In absence of employee unity, the organization is likely to encounter challenges such as employee conspiracy, backstabbing and hypocrisy. As and when the employees will be working with selfish interests or biased attitudes, they will fail to contribute to the overall success of the organization. As far as the external factors are concerned, it should be noted that the Australian government follows a strict legal framework, that seems to justify employee equality and fair treatment at workplace, and hence the implementation of the proposed change will be legally supported. However, on the other hand, since the majority of the employees at The Yum are native Australians, the employees may show resistance and reluctance during the initial phase. Hence, the selection of the most suitable change agents, for persuading the employees to embrace the change, and accomplish the common goals is highly important (Bond and Haynes 2014).

Conclusion:

Each organization works on the principle of team work, as the employees are required to accomplish the tasks by co-coordinating with each other. Since there is a continuous sense of collaboration needed, for implementing any strategy, the organization should necessarily introduce a well-organized diverse workforce. A sense of unity and belonging created by an organization, is important, if the organization intends to achieve success. The organization, by implementing the proposed change, will be able to enhance the employee engagement. While the training programs can train the employees about the benefit of having a diverse workforce, the workshops and seminars will be able to potentially influence the behavior and the communication style to be adopted by the employees. Again, the unification of team can be easily achieved by the incorporation of the fun, interesting activities, such as games, quiz shows or family get together activities. These steps help in developing mutual love, care, trust and co-ordination among the employees, ensuring a healthy workplace. Besides, the implementation of the strict workplace policies, encouraging and promoting employee unity, also helps in increasing shareholder value of the organization. The more culturally aware the organization is, the more will the organization succeed in attracting the attention of the consumers.

Reference List:

Alvesson, M. and Sveningsson, S., 2015. Changing organizational culture: Cultural change work in progress. Routledge.

Barak, M.E.M., 2013. Managing diversity: Toward a globally inclusive workplace. Sage Publications.

Bond, M.A. and Haynes, M.C., 2014. Workplace diversity: A social–ecological framework and policy implications. Social Issues and Policy Review, 8(1), pp.167-201.

Calegari, M.F., Sibley, R.E. and Turner, M.E., 2015. A Roadmap for Using Kotter's Organizational Change Model to Build Faculty Engagement in Accreditation. Academy of Educational Leadership Journal, 19(3), p.31.

Calegari, M.F., Sibley, R.E. and Turner, M.E., 2015. A Roadmap for Using Kotter's Organizational Change Model to Build Faculty Engagement in Accreditation. Academy of Educational Leadership Journal, 19(3), p.31.

Calegari, M.F., Sibley, R.E. and Turner, M.E., 2015. A Roadmap for Using Kotter's Organizational Change Model to Build Faculty Engagement in Accreditation. Academy of Educational Leadership Journal, 19(3), p.31.

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

Chrobot-Mason, D. and Aramovich, N.P., 2013. The psychological benefits of creating an affirming climate for workplace diversity. Group & Organization Management, 38(6), pp.659-689.

Cummings, T.G. and Worley, C.G., 2014. Organization development and change. Cengage learning.

D'Netto, B., Shen, J., Chelliah, J. and Monga, M., 2014. Human resource diversity management practices in the Australian manufacturing sector. The International Journal of Human Resource Management, 25(9), pp.1243-1266.

George, P., MacDonnell, C., Nimmagadda, J., Murphy, J. and Dollase, R., 2015. Designing interprofessional education curriculum using multiple conceptual frameworks. Annals of Behavioral Science and Medical Education, 21(1), pp.9-13.

Hickman, S. and Ojo, O., 2014. Implementing Early supported discharge, Chronic Obstructive Pulmonary Disease, Community, Primary care, Multidisciplinary team, Change management, Kotter's 8-step Model. GSTF Journal of Nursing and Health Care (JNHC), 1(1).

Mishra, S., 2013, September. Relevance of Kotter’s Model for Change in Successfully Implementing Lean. In IFIP International Conference on Advances in Production Management Systems (pp. 540-547). Springer Berlin Heidelberg.

Osiyevskyy, O. and Dewald, J., 2015. Inducements, impediments, and immediacy: exploring the cognitive drivers of small business managers' intentions to adopt business model change. Journal of Small Business Management, 53(4), pp.1011-1032.

Senge, P.M., 2014. The dance of change: The challenges to sustaining momentum in a learning organization. Crown Business.

Tynjälä, P., 2013. Toward a 3-P model of workplace learning: a literature review. Vocations and learning, 6(1), pp.11-36.

Whitworth, A., Torras I Calvo, M.C., Moss, B., Amlesom kifle, N. and Blåsternes, T., 2014. Changing libraries: facilitating self-reflection and action research on organizational change in academic libraries. New Review of Academic Librarianship, 20(2), pp.251-274.

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