The car manufacturing company, AutoTech Industries, has long been recognised for its traditional approach to design...
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The car manufacturing company, AutoTech Industries, has long been recognised for its traditional approach to design and production. In recent years, however, it has struggled to keep up with competitors in terms of technological advancements and market demands such as electric vehicles. Recognising the need for innovation, the CEO, Brian, appoints Jane, the Research and Development Manager, to spearhead the transition. As a first step, Jane decides to meet with Peter who is the Production Manager. Jane: "Thanks for meeting with me Peter. I believe it's crucial for us to embrace innovation and modernise our production processes. It will enhance efficiency and help us meet customer expectations more effectively." Peter: "I understand your point, Jane, but our current production methods have served us well for years. We have well-established procedures, and any change could disrupt our operations and lead to costly delays. We need to prioritise stability and reliability." Jane: "Peter, my concern is that if we don't attempt to innovate our production processes, we'll lose market share and the viability of AutoTech Industries will be in jeopardy." Peter: "Jane, I'm not sure that you and your R&D team really understand the practicalities of making viable cars in a reliable way. This is what my team and I in Production are constantly focused on. Not pie-in-the-sky fads." Jane: "Peter, we're way behind other car manufacturers when it comes to introducing electric vehicles. Electric cars aren't pie-in-the-sky fads, they're the future! My team has provided prototypes of electric cars, but there's always pushback from you and your team about the cost of the technology and machinery needed to produce them and that manufacturing electric vehicles doesn't meet the skills mix of your Production team." Peter: "That's right! We're not ready to shift to electric vehicles now. The timing isn't right." Frustrated by the meeting with Peter, because he doesn't seem to appreciate how critical this change is, Jane decides to bring it to a close. Next, she decides to meet with Susan as Susan is the manager of the Sales Division in the hope that she'll find support there. So, Jane schedules a meeting with Susan. Jane: "Thanks for meeting with me. Susan, innovation in our designs and products is essential to stay competitive in the market. It will enable us to meet evolving customer needs and attract new buyers." Susan: "I appreciate your vision, Jane, but our sales team has built strong relationships with our customers based on trust and familiarity with our current product line. Introducing radical changes could alienate them and negatively impact our sales figures. We should focus on building upon our existing strengths." Jane: "We really need to be forward thinking Susan as there is fierce competition in our market and car manufacturers who aren't innovating are going out of business." Jane ends the meeting by thanking Susan for her thoughts, but Jane is disappointed that Susan wasn't more enthusiastic about the change. Next Jane organises a meeting with AutoTech Industries' Union Representative, Zen, to discuss the innovation as union support is critical for its success. Jane sends Zen an email broadly outlining the innovation in terms of shifting to e-vehicle production and organises a meeting between them. Zen replies saying that she has "big concerns" and would like to discuss them at the meeting. Engagement and motivation of the workforce at AutoTech Industries has been an ongoing problem and Jane is concerned about whether she can get them to commit to the change. Jane: "Good morning, Zen. Thank you for meeting with me today. I understand that you have concerns regarding the upcoming changes in our design and production processes in terms of the shift to making electric cars. I want to assure you that we value our employees and their job security. The introduction of innovation aims to enhance our competitive edge and secure our future in the market." Zen: "Good morning, Jane. Yes, I am sceptical about these changes. Innovation often leads to more automation, which could result in job losses. Our union members have worked here for years, and many of them may not have the necessary skills required for the new processes. What happens to their livelihoods?" Jane: "I completely understand your concerns, Zen. Job security is a priority for us too. Let me assure you that the purpose of this innovation is not to replace our workforce, but rather to enhance their capabilities." Zen: "That sounds promising, Jane. But to be honest with you, we've heard this before from management and the statements they make never match reality. How can you ensure that my members will be provided with the necessary skills for these new processes? Many of them have been doing their jobs in a specific way for a long time. My members just don't trust management, because we've been burned in the past. Also, will my members be rewarded for the new skills required for the innovation, because our current reward system isn't up to scratch?" Jane: "You're right, Zen. There have been problems in the past in terms of management-employee relations and I know upskilling is an issue. I also know that the reward system that we have doesn't encourage skill development and innovation. I recognise these problems, but I'm sure there's a way forward." Zen: "We'll see Jane. I am sceptical because changes in the past have been done without adequate consultation and they've not worked." Jane thanked Zen for meeting with her, but Jane felt discouraged as her impression from Zen was that the union may not get behind the change without additional support and reassurance. Jane decided that it might be best to meet with the CEO, Brian, to discuss her impressions from these meetings and to ask him for more support. Brian rescheduled the meeting with Jane a number of times, but due to Jane's persistence, he eventually met with her. Jane: "Thanks for meeting with me. I'd like to update you on my meetings with Peter, Susan and Zen concerning the shift to producing e-vehicles. Quite frankly, there has been very little support for the change from any of these people. Also, Brian, I appreciate your private support, but without your public endorsement, it's challenging to rally the entire organization behind the innovation initiative." Brian: "Jane, I understand your concerns, but we need to be cautious about disrupting the company's established culture too quickly. Let's give the idea some time to gain acceptance and then I'll back you up publicly." Jane: "To be honest with you Brian, it's the culture here at AutoTech Industries that's getting in the way, because everyone is so set in their ways and the employees are cynical about hidden agendas and are distrustful of management." Brian: "Jane, perhaps you need some help with this innovation. Let's bring in a change consultant who might know how to best manage this change process with you. I'll organise it.' " Case Study Essay Question: You are to take on the role of the external change consultant that Brian contacted and you will adopt an organisational development approach to managing this organisational change intervention. In your response to this case study, you will need to identify key areas of resistance to the change and their causes. Ensure that you refer to specific examples from the case study to support your points. Using the change management literature (theories, research and business examples) you will need to outline the processes that you and Jane will undertake during the following stages to reduce resistance and effectively implement the innovation. The stages you should focus on are: developing the client-consultant relationship, diagnosis, potential actions, plans and strategies, evaluating and institutionalising the change. Word limit: 2000 words (plus or minus 10% allowed) The car manufacturing company, AutoTech Industries, has long been recognised for its traditional approach to design and production. In recent years, however, it has struggled to keep up with competitors in terms of technological advancements and market demands such as electric vehicles. Recognising the need for innovation, the CEO, Brian, appoints Jane, the Research and Development Manager, to spearhead the transition. As a first step, Jane decides to meet with Peter who is the Production Manager. Jane: "Thanks for meeting with me Peter. I believe it's crucial for us to embrace innovation and modernise our production processes. It will enhance efficiency and help us meet customer expectations more effectively." Peter: "I understand your point, Jane, but our current production methods have served us well for years. We have well-established procedures, and any change could disrupt our operations and lead to costly delays. We need to prioritise stability and reliability." Jane: "Peter, my concern is that if we don't attempt to innovate our production processes, we'll lose market share and the viability of AutoTech Industries will be in jeopardy." Peter: "Jane, I'm not sure that you and your R&D team really understand the practicalities of making viable cars in a reliable way. This is what my team and I in Production are constantly focused on. Not pie-in-the-sky fads." Jane: "Peter, we're way behind other car manufacturers when it comes to introducing electric vehicles. Electric cars aren't pie-in-the-sky fads, they're the future! My team has provided prototypes of electric cars, but there's always pushback from you and your team about the cost of the technology and machinery needed to produce them and that manufacturing electric vehicles doesn't meet the skills mix of your Production team." Peter: "That's right! We're not ready to shift to electric vehicles now. The timing isn't right." Frustrated by the meeting with Peter, because he doesn't seem to appreciate how critical this change is, Jane decides to bring it to a close. Next, she decides to meet with Susan as Susan is the manager of the Sales Division in the hope that she'll find support there. So, Jane schedules a meeting with Susan. Jane: "Thanks for meeting with me. Susan, innovation in our designs and products is essential to stay competitive in the market. It will enable us to meet evolving customer needs and attract new buyers." Susan: "I appreciate your vision, Jane, but our sales team has built strong relationships with our customers based on trust and familiarity with our current product line. Introducing radical changes could alienate them and negatively impact our sales figures. We should focus on building upon our existing strengths." Jane: "We really need to be forward thinking Susan as there is fierce competition in our market and car manufacturers who aren't innovating are going out of business." Jane ends the meeting by thanking Susan for her thoughts, but Jane is disappointed that Susan wasn't more enthusiastic about the change. Next Jane organises a meeting with AutoTech Industries' Union Representative, Zen, to discuss the innovation as union support is critical for its success. Jane sends Zen an email broadly outlining the innovation in terms of shifting to e-vehicle production and organises a meeting between them. Zen replies saying that she has "big concerns" and would like to discuss them at the meeting. Engagement and motivation of the workforce at AutoTech Industries has been an ongoing problem and Jane is concerned about whether she can get them to commit to the change. Jane: "Good morning, Zen. Thank you for meeting with me today. I understand that you have concerns regarding the upcoming changes in our design and production processes in terms of the shift to making electric cars. I want to assure you that we value our employees and their job security. The introduction of innovation aims to enhance our competitive edge and secure our future in the market." Zen: "Good morning, Jane. Yes, I am sceptical about these changes. Innovation often leads to more automation, which could result in job losses. Our union members have worked here for years, and many of them may not have the necessary skills required for the new processes. What happens to their livelihoods?" Jane: "I completely understand your concerns, Zen. Job security is a priority for us too. Let me assure you that the purpose of this innovation is not to replace our workforce, but rather to enhance their capabilities." Zen: "That sounds promising, Jane. But to be honest with you, we've heard this before from management and the statements they make never match reality. How can you ensure that my members will be provided with the necessary skills for these new processes? Many of them have been doing their jobs in a specific way for a long time. My members just don't trust management, because we've been burned in the past. Also, will my members be rewarded for the new skills required for the innovation, because our current reward system isn't up to scratch?" Jane: "You're right, Zen. There have been problems in the past in terms of management-employee relations and I know upskilling is an issue. I also know that the reward system that we have doesn't encourage skill development and innovation. I recognise these problems, but I'm sure there's a way forward." Zen: "We'll see Jane. I am sceptical because changes in the past have been done without adequate consultation and they've not worked." Jane thanked Zen for meeting with her, but Jane felt discouraged as her impression from Zen was that the union may not get behind the change without additional support and reassurance. Jane decided that it might be best to meet with the CEO, Brian, to discuss her impressions from these meetings and to ask him for more support. Brian rescheduled the meeting with Jane a number of times, but due to Jane's persistence, he eventually met with her. Jane: "Thanks for meeting with me. I'd like to update you on my meetings with Peter, Susan and Zen concerning the shift to producing e-vehicles. Quite frankly, there has been very little support for the change from any of these people. Also, Brian, I appreciate your private support, but without your public endorsement, it's challenging to rally the entire organization behind the innovation initiative." Brian: "Jane, I understand your concerns, but we need to be cautious about disrupting the company's established culture too quickly. Let's give the idea some time to gain acceptance and then I'll back you up publicly." Jane: "To be honest with you Brian, it's the culture here at AutoTech Industries that's getting in the way, because everyone is so set in their ways and the employees are cynical about hidden agendas and are distrustful of management." Brian: "Jane, perhaps you need some help with this innovation. Let's bring in a change consultant who might know how to best manage this change process with you. I'll organise it.' " Case Study Essay Question: You are to take on the role of the external change consultant that Brian contacted and you will adopt an organisational development approach to managing this organisational change intervention. In your response to this case study, you will need to identify key areas of resistance to the change and their causes. Ensure that you refer to specific examples from the case study to support your points. Using the change management literature (theories, research and business examples) you will need to outline the processes that you and Jane will undertake during the following stages to reduce resistance and effectively implement the innovation. The stages you should focus on are: developing the client-consultant relationship, diagnosis, potential actions, plans and strategies, evaluating and institutionalising the change. Word limit: 2000 words (plus or minus 10% allowed)
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International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
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