Strategies for Positive Corporate Culture & Change Management
Creating a Positive Corporate Culture
Policy Implementation
Establishing clear policies fosters expected behaviors and consistency within a business, contributing to a positive corporate culture. Examples include anti-bullying and equal opportunity policies.
Leadership and Shared Vision
Effective leadership motivates employees and guides them towards achieving business objectives. Leaders share their vision by communicating the reasons for change, its benefits, and the consequences of not adapting.
Managing Staff Turnover and Productivity
Staff Training
Equipping employees with necessary knowledge and skills enhances their ability to perform tasks effectively, leading to reduced stress and a more positive work environment. This can result in fewer customer complaints and increased productivity.
Staff Motivation
Implementing strategies that motivate employees to work towards business objectives can reduce absenteeism and staff turnover, fostering a positive corporate culture.
Global Outsourcing and Learning Organizations
Global Outsourcing
This strategy involves leveraging global efficiencies such as lower labor costs and reduced tax rates in other countries to improve operations, as seen in the case study of Coop’s mobile phone manufacturing.
Senge’s Learning Organization Principles
Mental Models: Challenging existing beliefs and values to foster growth.
Team Learning: Encouraging collaboration and knowledge sharing among employees.
Shared Vision: Developing a mission that inspires and unites all employees.
Lewin’s Change Model
This model consists of three stages: Unfreeze, Change, and Refreeze.
Unfreeze: Preparing stakeholders for change, as demonstrated by Kmart’s efforts to lower costs and gain a competitive edge.
Change: Implementing the desired changes, which may cause fear and confusion among employees. Clear communication and support are crucial during this stage.
Refreeze: Sustaining the change long-term by introducing new policies and job descriptions to align with the new corporate culture.
Corporate Social Responsibility (CSR) and Stakeholder Impact
CSR and Corporate Philanthropy
CSR involves ethical business conduct that considers society, the environment, and the economy. Corporate philanthropy, such as charitable donations, is an example of CSR.
Impact on Stakeholders: Qantas Case Study
Employees: Changes at Qantas may lead to reduced work tasks but can also create stress and job insecurity due to potential redundancies and wage freezes.
Customers: Reduced service quality and increased ticket prices can lead to customer dissatisfaction.
Change Management Strategies: High Risk vs. Low Risk
Low Risk: Support
This strategy focuses on reducing employee fear and stress but can be time-consuming to implement.
High Risk: Threat
This strategy saves time but may increase employee fear and resistance to change.
Importance of KPIs and Management Strategies for Positive Culture
KPIs for Evaluating Change Effectiveness
Key Performance Indicators (KPIs) such as financial performance, sales, and market share are crucial for evaluating the effectiveness of change initiatives.
Management Strategies for Positive Culture
Investment in Technology: Implementing automated processes to improve efficiency and effectiveness.
Cost-Cutting: Reducing business expenses to maximize revenue and profit.