HR management assignment on: MANAGEMENT OF CHANGE
The new beginning for Clemenger BBDO has been highlighted in this essay. In the year 2005, Clemenger BBDO one of the leading advertising agency was found in financial stress. It was seen that, the problem was initiated in the year 1990 when the founder of the company was appointed as the Chairman of the same. This was termed as the turning point for the organization where in the entire charm for the organization was lost. The fact i.e. the long & loyal clients for Clemenger BBDO took their businesses elsewhere (Taskinen, 2002). The two major clients with accounts of approximately $12 million and $8 million also took their businesses elsewhere which led to high levels of loss for the enterprise. When the financials of the organization i.e. Clemenger BBDO started to decline, there were many negative repercussions over the same. The brightest as well as the oldest enterprise amongst advertising firms was dripping down due to lack of finances. This also had a negative effect over the dynamic staff members of the same. This led to a decline in the overall morale of the staff members attached with fear as well as discontent all the time. It was thought that, downturn of Clemenger BBDO have had serious repercussions over the entire advertising industry. Many big industrialists forecasted that, downfall of the industry leader will have an adverse effect over the Melbourne fortune which might lead to a problem within industry’s future (Susman, Jansen & Michael, 2006).
In order to cater to the main issue, the newly appointed Chairman (Rob Morgan) realized that a minimum level of accounts shall be taken into consideration. Therefore, Peter Biggs was appointed who was given the task to use his creativity as well as use its innovativeness in the field of advertising (Susman, Jansen & Michael, 2006). When Biggs took over the charge to see what went wrong, he came into conclusion that the company was quite lazy & unimaginative. The people involved with the enterprise i.e. Clemenger BBDO were not ready to take up risks. They were scared of the same. This showed that, Clemenger BBDO did not have any new project in hand to work upon & failed to attract any new customers in order to come out of the bankruptcy. With the arrival of Biggs, Clemenger BBDO took over various new clients which helped the organization at large to bring more money in order to get away from bankruptcy (Taskinen, 2002). In a short span of time, apart from the existing clients Clemenger BBDO generated $13 million from the new clients into the business. It was seen within the enterprise that, an increase in the levels of revenue is generated due to the high levels of innovation & an informal leadership style being practiced by Biggs. According to Biggs, to increase the levels of revenues within Clemenger BBDO has been due to high levels of team work, use of creativity & innovativeness. Above mentioned refers to the various type of Dilemma’s which have been faced at Clemenger BBDO. In order to clarify the same, the various characteristics of sustainable competitive advantage as well as analytical models or change management tools shall be opted at Clemenger BBDO which will help in order to come out of the situation (Susman, Jansen & Michael, 2006).
Clemenger BBDO shall attain competitive sustainable advantage in order to have an edge in the competition within this industry type. Certain essential questions such as “why shall the client come to you barring the other present within this industry”, “how can an enterprise expand its revenues as well as increase the levels of profit”, “whether this venture is a successful & a sustainable business”, etc (Jthumma, 2010). It must be seen that, Clemenger BBDO shall think about all the questions mentioned since it has undergone bankruptcy & dripped all the financial figures. Once they will think about the same, the organizations will be able to grow successfully & independently which will in turn help to build loyal customers which can be expanded over time. This will also help Clemenger BBDO to attain due time as well as recover from the same.
So as to sustain in the dynamic & changing business environment the organizations shall opt for change management tools. It must be taken into consideration that, within Clemenger BBDO the Kotter’s 8 Step Model shall be followed. The Kotter’s 8 step model has been used within many organizations such as The Mahindra Satyam and many which have helped the organization to learn from their faults as well as continue to succeed at the time of success. The eight steps have been briefly described as under. The first step will be to create urgency within the organization. This step would help the organization to create a situation & then immediately does what it wants to do. The urgency should be developed which would help in order to change the entire process (Susman, Jansen & Michael, 2006). At Clemenger BBDO the following should be kept in mind while implementing the same. They are as follows, firstly look into the threats which might come in the process of success for the organization. This would help in order to develop a scenario which might help the store in the years to come. Secondly, to examine the opportunities this might come in the near future. The second step within the Kotter’s 8 step model highlights regarding the powerful coalition. This would help them in order to convince people working in the organization to practice strong leadership skills (Jthumma, 2010). This would help in order to have an effective change leadership in the entire enterprise. Change management would influence the people in the organization to enhance the productivity, effectiveness as well as the efficiency of the same. With the help of coalition in the organization, a spirit of team work could be established. This would help in order to identify the true leaders of the organization, have emotional commitment amongst all the employees working in the store, and have a healthy environment which would display change coalition. The third step which shall be followed within an enterprise refers in the creation of vision for change. The possible reasons as to why the organization is demanding change (Jthumma, 2010). When an organization thinks about change, there are various reasons or an idea which is there in the minds of the governing authority of the enterprise. A clear vision should be created which would help the people in the organization to accept the change as soon as possible. At Clemenger BBDO, the following shall be taken into consideration i.e. to determine the values for change & creation of strategy which needs to be executed. The fourth step within the 8 step model would be to communicate the vision i.e. why various changes should be implemented in the organization. Formal communication should be practiced which would help them in order to determine success of the organization (Hanson, 2006). Once the change has been practiced & implemented, the communication of the same should be done on a day to day basis as it would strengthen the employees (Jthumma, 2010). The change in the vision should be talked about with the employees now & then. This would help the employees in order to take any important decision as well as solve the problems. The fifth step within the Kotter’s 8 step change management refers to remove all the obstacles which might come while implementing this model for change management (Hanson, 2006). This would help in order to remove all the obstacles which might come in the way of implementing the change model. At Clemenger BBDO, the following shall be taken into consideration such as to identify, or hire, change leaders whose main roles are to deliver the change, take action to quickly remove barriers, etc. The sixth step amongst the Kotter’s 8 Step change management would help in order to create short term wins. This would help in order to have motivation as well as add to the success factor. By the implementation of the change process, the company would be able to feel the success every day, every month, every hour, etc (Coaching, 2010). Short term targets should be created by the organization which would help in order to get implemented as well as achieve he levels of success in the years to come (Hanson, 2006). This would also help to motivate the overall staff as well as have overall success of the organization. At Clemenger BBDO, the following shall be taken into consideration such as not to choose early targets that are quite expensive, recognition shall be done to the people who help you meet the targets, etc. The next step in the Kotter’s 8 step model is to build on the change within the management tool. This tool will help in the implementation of the same. Publicly recognize key members of your original change coalition, and make sure the rest of the staff – new and old – remembers their contributions (Susman, Jansen & Michael, 2006).
Hence, it can be concluded by saying that change management refers to a process which helps any enterprise to attain better ways of fulfilling the vision, mission, objective & short term or long term goals. Clemenger BBDO shall attain competitive sustainable advantage in order to have an edge in the competition within this industry type. So as to sustain in the dynamic & changing business environment the organizations shall opt for change management tools. It must be taken into consideration that (Jthumma, 2010), within Clemenger BBDO the Kotter’s 8 Step Model shall be followed. The Kotter’s 8 step model has been used within many organizations such as The Mahindra Satyam and many more which have helped these organizations to learn from their faults as well as continue to succeed at the time of success.
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