Change Management

Practices

Prepared for, Dr. Sabnam Jahan, Associate Professor

EM-517

Prepared by, Tamzid Ferdous Ryan, 3-17-35-051

  Anika Jahan, 3-17-35-011

  Rumana Eayub Joyee, 3-17-36-009

  Mirza Bushra, 3-18-38-024

 Change Management
A collective term for all approaches to prepare and support
individuals, teams, and organizations in making organizational
change.

Administration, based on circumstances, may be

(i) in-house: cost-effective, own resources and know-how, may not
be appropriate every time
(ii) external consulting firm: expensive, expert suggestions
Change Management
Necessity:
 Business acquisition,
trade, sale
 New departments
 New or Changing Brand
Identity
 New products or services
 Restructured operations
 New technology
Failure Reasons:
 (i)Soft elements –
Leadership, culture,
motivation, morale;
difficult to measure
 (ii)Hard elements –
Measurability,
communicability, can
be influenced
 Company Profile

A successful Russian producer of ice

Multinational Anglo-Dutch company was cream and frozen foods, initially started
established in England in 1880. as a stall.

Consumer goods company co- Inmarko revenues in 2008 totaled 243

headquartered in London, United million USD in cash and 72.700 tons of
Kingdom and Rotterdam, Netherlands. ice cream in kind.

Over 400 brands, with a turnover in 2017 Ceased to exist as a separate

of 53.7 billion euros. company in 2012.

Entered the Russian market in 1991. 6,500 people work for Unilever in
Russia, Ukraine and Belarus at the
100 % shareholder of Inmarko in 2008. present date.
Synergy Effects from Acquisition
 Synergy in purchase of raw materials and packing: greater units
purchase, discounts
 Synergy in brand promotion (through mass media): dominant
promotion, more negotiating power
 Synergy in transportation and storage: increased production, large-
scale joint network
 Synergy in administrative costs: decrease labor expense, reduce total
headcount, outsourcing
 Synergy in sales department costs: united enterprise, access to
distribution network, access to special asset, headcount decrease
 Synergy in technologies: process solution in manufacturing lines,
cost reduction, working conditions
 Corporate culture and mergers of companies

 The first thing to do is to understand the development strategy of the merged

company both in general and in relation to eventual results of the integration.
 The second step is to identify every company’s culture and the features that
would complicate or assist implementation of this strategy, and also to
determine the missing, but important features.
Based on the understanding of culture of the merging companies and the
strategy, a scenario of working with the merged company’s corporate culture and
change management should be elaborated.
Organizational changes in the context of HR
strategy:

HR strategy

HR
Organizational Structure Result
Business
New Structure Result

Transformatio
Talent / Human asset n
Integration Renovated
Organization
Profit

Corporate Culture
Enhanced Culture
 Key HR risks and issues related to organizational
changes:

 Information support of restructuring

 Resistance to changes
 Competence assessment
 Retention of talented members and key stakeholders
Recommendations

 optimizing the organizational structure by transforming of business processes,

decision making systems and information management
 maintain a proper balance of released manpower
 Ex, give the assignments to the key managing positions and transfer it to
equivalent levels
 integrate a new model of career management and professional development
processes
 Ex, long term relationships
 assist their employees during integration into a new cultural environment
 Ex, language