Unit 17 Understanding & Leading Change Assignment Sample

Introduction Of The Understanding & Leading Change Assignment

Continuous transformation for an organization is very important according to the requirements of the business and other operations to improve business culture and environment. The entire study is focused on the transformation of Coca-Cola in its business and other organizational operations. There are also 5 different case studies based on the organizational change and transformation of the organization. The conducted SWOT and PEST analysis is also capable of improving the leadership ability and team behavior among the business and organization. All the adopted case studies have the potential to demonstrate the effectiveness of the entire business.

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Overview of the adopted case studies

Figure 1: The five adopted case studies

(Source: Self-Created in SmartArt)

Case study 1: Financial analysis

This particular study is based on the transformation of strategic management and financial analysis of Coca-Cola and PepsiCo (Genget al. 2021). The Coca-Cola Company focuses on the brand building, innovation, resource allocations whereas the PepsiCo Company focuses on the positive agriculture, choices and value chains. The transactional perspective between the financial accounting system and the digital method of accounting is also elaborated in the study for analyzing the current business situation of Coca-Cola and PepsiCo. This is also very important to determine all the further changes and management in the business and financial sector of Coca-Cola and PepsiCo.

Case study 2: Organizational business procedure

Coca-Cola is in the transformation of brand preference advertising campaigns and also controls the trademarks. Bottling companies produce, bottle, market, and supply tasty drinks to clients and dispensing companies, who subsequently market the goods to customers (Brondoni, 2019). Its product lines either mix sugars into the extracts. On the other hand, the PepsiCo Company has a wide range of products in the food industries along with the beverage industries. The Company is selling different types of snacks like potato chips, nachos, fruit juices and oats which give them a huge market in the food and beverage industries. The Company implements various operational methods in which they reduce the use of plastic, increase the use of recycling items for packaging, maintain the product’s quality, improve the functionality of the supply chain system and the location strategy in order to attract more customers. They focus on spreading business in the underdeveloped markets where the competition is less.

Case study 3: Influence of other organizational strategy

The differences between the organizational culture of Coca-Cola and its biggest competitor PepsiCo are mentioned in the study. At the end of the 20th century, PepsiCo made its main promotion in the organization's background when it set security signs for the business in every region of the world. This activity critically engaged giving customers of both beverage companies’ two glasses of each product in a transparent pot. Some people are selected to choose their favorite one from the two beverages. Most of the involved people selected PepsiCo as their favorite. Let the flavor of what users want to consume, PepsiCo is urging the general public (Sciencepub.net, 2022). According to the majority of research, problems with the carbonated beverage market before the pandemic were brought on by rising consumer consciousness and individuals' restriction on their consumption patterns. The study can play a very important role in the future growth and development of Coca-Cola.

Case study 4: Impact of international organizational culture

The content delivery system of Coca-Cola Company is known and adored everywhere. The process organization has followed had a huge impact on its growth. The Business also seeks to delicately satisfy the unique demands of regional markets, and as such, its corporate structure must do the same. This Case Study serves as an example of how the Company created a leadership strategy that is both reliable and adaptable enough to satisfy these specific needs (Academics.epu.ntua.gr, 2022). The current business and infrastructure of this organization, have implemented some effective business infrastructure, whenever feasible, to promote cooperation. For instance, each newly developed product at Coca-Cola Great Britain brings together groups of people with various specialties. The direct store delivery system (DSD) of Pepsi Company is also famous among the businesses. Their DSD system helps in the growth of the Company. This system uses the centralized IT platform to interact with their clients. This system also assists in managing inventory. The leadership strategy of the Company enhances the growth of the financial and competitive performances. The current business and infrastructure of the company have implemented some effective infrastructures that promote the bulk sales as well as gathering a huge number of customers.

Case study 5: Change Management

The adopted change management of the organization is mentioned in the study with the help of a brief analysis based on the operational scenario. Coca-Cola is an example of an organization that focused on its goods and marketing philosophy in the concept of transforming market requirements and other factors (Ukessays, 2022). In this research, researchers focused on different areas from either the history of the Coca-Cola Corporation and analyze what factors influenced their decision to make the shift as well as the tactics that the organization arrange different narratives to critically evaluate the changing process effectively. An institution's need for transformation is frequently prompted by both external and internal variables. Intrinsic factors include the employees, mineral wealth, work engagement, and the strategic plan that the organization has chosen. Environmental factors include governing rules, labor markets, economic factors, economic circumstances, etc. One of the largest companies on the planet is the Coca-Cola Company. PepsiCo Company focuses its business to deliver sustainable long-term development as well as to leave an effective impression on the society and environment. In order to transform its business market, PepsiCo now focuses on the sustainable food system, healthier food products and less production of carbonated drinks.

PEST/SWOT analysis

Case 1: SWOT

Table 1: SWOT analysis of case study 1 (Source: Self-Created)

Case 2: SWOT

Table 2: SWOT analysis of case study 2 (Source: Self-Created)

Case 3: PEST

Table 3: PEST analysis of case study 3 (Source: Self-Created)

Case 4: SWOT

Table 4: SWOT analysis of case study 4 (Source: Self-Created)

Case 5: SWOT

Table 5: SWOT analysis of case study 5

(Source: Self-Created)

Analysis of the other organizations for influencing the change of this company

The management of this organization is continuously focused on the transformation of the products and services to increase the public interest and involvement in the business. When a competing firm introduced a black drink with a relatively pleasant and smooth flavor, the producing and selling engaged in misleading advertising (MaaniHessariet al. 2019). Facts to know about Just the Coca-Cola Company include 42.7% of the UK market for soft drinks containing carbonation. There are two types of media: textual communication and moving images. Publications, tabloids, trade and corporate media, and online are all examples of published media.

Figure 2: Influence of other organizations in the business culture

(Source: Self-Created in SmartArt)

Pepsi is the nearest and most effective business rival of Coca-Cola. The strong business organization and culture of the rival groups also have the potential to reduce all the issues and risk factors through the efforts and contributions made by the management. Similarly, the business might also be influenced by the government and non-government organizations all over the world to continue their business (Guo and Wen, 2021). Unquestionably, PepsiCo and Coca-Cola are well-known for the refreshments they produce underneath a variety of trademarks, but they really produce a wide range of supplementary goods. PepsiCo has types of items that are incredibly diverse and tries to give each product the same amount of attention. The other sector where PepsiCo is present is the consumer packaged products sector. In actuality, PepsiCo's goods in the snacking world of food contribute to close to 40% of the business' overall revenues. The organization's broad business strategy has allowed it to develop and purchase a number of close substitutes in the production of food. The corporation only depends on its drinks and beverage brands when that refers to Coca-Cola, on either extreme (Greenhalgh, 2021). Apart from that, the PepsiCo Company packages its beverages products into different quantities which assists to serve their similar products to the customers in a wide range of pricing. Television, radio, movies, advertising and direct marketing are examples of both auditory and visual media. Coca-Cola was able to differentiate its brands from those of its rivals by emphasizing image, durability, and affordability via the use of references including brand image and premium pricing (Struckellet al. 2022). These tactics helped Coca-Cola to carve out a competitive niche and succeed.

To minimize the unfavorable effects of Coca-Cola, two theories can be implemented viz. PDCA cycle or the System Theory.

PDCA cycle

The SWOT and PEST analysis explains a variety of problems, which needs to be solved by Coca-Cola. To reduce the problems, the Company should follow a series of actions. For this purpose, the PDCA cycle is suitable to minimize the negative effects. The PDCA cycle consists of four sets of actions, such as plan, do, check and act. In the first step, Coca-Cola needs to recognize the challenges that create unfavorable effects. After that, the Company must plan some strategies in order to reduce the effects. In this case, the major challenges are related to heavy use of plastic materials, limited range of products in a particular category, expansion of the business market and the brand value and market share of the company. To overcome these challenges, the Company should make a plan to expand its market by increasing the brand value and market shares. Along with that, a plan is required to lower the usage of non-recyclable products in packaging. In the second step, Coca-Cola’s management needs to perform necessary actions in order to execute the plans. Here, the Company recollects all its packaging materials and recycled them to use for further packaging. Along with that, the company focuses on reducing the unfavorable effects on the environment caused by the company. The Coca-Cola Company promotes its products by associating with numerous establishments such as eateries, groceries, cinema halls, shopping complexes etc. where a large number of people can view their products. This helps to increase the brand value of their products and with the increasing brand value, the market share of the company is also increased. In the third step, all the activities which are performed to execute the plan are checked or evaluated for its efficiency (Smith, 2021). Here, the management assesses the effectiveness of the plans. The company is able to reduce the 25% emissions of greenhouse gas from their factories and improves the watershed health in the areas which suffer from the scarcity of waters. In the last step, when the evaluation of the activities is completed, the final plan is implemented to minimize the negative effects of the company. Here, the company focuses on reaching net zero carbon by 2050 and the recent market value of the company is greater than their rival companies, especially PepsiCo.

Evaluation of leadership and team behavior change

The Coca-Cola Company has separated its services by area, but every territory has a director. In 2018, the corporation modified its worldwide operational plan to better utilize its key executives. As a result, the firm recently reorganized its operating organization into three primary groups: “Southeast Asia, managed by John Murphy, EMEA, headed by Brian Smith, and Latin America, led by Alfredo Rivera” (Suay, 2020). According to the leadership context, the origin of this attribute may be seen in path theory, in which the leader enhances the demand for innovation. Coca-Cola's CEO believes in creatively developing the company.

Figure 3: Leadership and behavioral change

(Source: Self-Created in SmartArt)

They specialize in making investments in research and improvement to identify innovative ways to serve the institution's consumers and staff. Coca-Cola Company uses both communication and collaboration to construct the appropriate promotional platform's domestic and foreign infrastructure. Official management is to create a good workplace culture for organizational workers in which ideas are freely exchanged at all levels of administration and among firm personnel (Brondoni, 2019). Coca-Cola leadership accomplished this by compensating all administrative and group employees inside the organization. These facts also played a very crucial role in maintaining organizational behavior.

Every organization is changed due to the different barriers. In Coca-Cola Company, the major barriers are the market dimensions, customers’ concern towards nature and the marketing strategies. The products of the Company are limited to the beverages which confined the company only in the beverage industries. Their main products are carbonated beverages which affect the customer's health (Paavola and Cuthbertson, 2022). These carbonated beverages affect the marketing of the Company as people are more concerned about their health and most of the people have restrictions to consume these products. The rival companies spread their business market by implying various unique ways of branding which attracts the customers to consume their products. Due to the unique business strategies, the brand value of other beverage companies become high which affect the Coca-Cola’s market. Additionally, the rival company PepsiCo uses recycled materials for their packaging.

The Coca-Cola Company is one of the leading contributors to the plastic pollution which makes consumers abstain from using their products. These barriers force the Coca-Cola Company to focus on reducing the usage of non-recyclable plastic-based materials in packaging, obtain unique marketing strategies and reach a large number of consumers to increase the brand value of the Company. In order to meet these objectives the Company focuses on the requirements of the customers, perspective of the customers towards their products, gathering the used plastic materials of the company in order to recycle those, advertising of the products and the technological changes (Shahid and Ashfaq, 2021). Though there are different driving forces to fulfill the objectives, there are also some restraining forces that can hinder the completion of the objectives. The lack of researchers can affect the invention of latest technologies by which the Company can lower the use of non-recyclable products and increase the use of recyclable products for their products’ packaging.

The poor interaction system of the company can affect the sales. The huge pressure of the customers can derail the company to follow their objectives. In order to remove the barriers, the most important factor is the customers’ concern and expectation from the company. As the company has its brand image, Coca-Cola needs to produce superior quality beverages with the recyclable packaging to satisfy the customers.

Effective models of change efficiency

The capacity of Coca-Cola to develop and flourish in new areas is a key factor in its success. Road improvements happened as a result of strategy implementation at Coca-Cola. Additionally, to a greater selling rate, effective performance communication is key (Serôdioet al. 2018). The business began acting in 19 nations, including Mexico and the Philippines. Such a partnership will help Coca-Cola succeed in the global industry in the world (Greenhalgh, 2019). The fact that Coca-Cola Industry's returns increased in 2014 compared to the prior years, suggests that the alteration that was done was successful. Additionally, teach individuals how to advance while maintaining revenues. For a Coca-Cola business transformation to be successful, it must not just influence employee behavior inside the company, but also take a methodical approach. Furthermore, choices are taken at Coca-Cola by operating as a worldwide team, allowing the firm to satisfy its career progression and attain originality (Maisoniet al. 2019). The standard way is via preparation, which is the act of creating objectives and the skill of establishing stated objectives while describing tasks. The Coca-Cola Company is now putting importance on reducing non-recyclable products for their packaging systems as the customers are now more concerned about nature before using any products. The Company’s main competitor has already used recyclable products for the packaging purpose which forces the Coca-Cola Company to use recyclable materials for the packaging purposes of their products. The Company is now packaging their beverages under one liter by using recycled plastics which put a positive impact on the Company’s marketing strategy as well as on the emotions of the concerned customers (Maisoniet al. 2019). Apart from that, the Company is now working with their distribution strategy which earlier was only focused on affordability of the products. To compete with the bulk sale strategy of their rival company PepsiCo, Coca-Cola spreads its products in the major areas where the engagement of the customers are huge, such as supermarkets, gas stations, restaurants and convenience stores. The Company gives importance to direct distribution rather than indirect distribution as these can enhance the interactions with their clients and customers[referred to Appendix 1: Functional change of Coca-Cola].

Evaluation of the model

Coca-ethics Cola's and occupational codes of conduct form the basis for conformity with global requirements. A company's standards of responsibility in terms of ethical behavior, particularly in trade, are clearly stated in its code of ethics and behavior (Zhang, 2019). The Coca-Cola ethics code entails first understanding why there is a code, then making some good moral dilemmas, protecting company resources, demonstrating personal responsibility, dealing fairly with each other, being compassionate for the communities, ignoring ethical dilemmas and building a straightforward partnership.

The firm has already started by improving its working culture (Deshpande et al. 2020). The corporation employs the expertise of its implementation of a group of people for a particular task. Providing training by the leaders will be very helpful for the further development of the people in their future along with a particular role and responsibility.

The Company also has some ethical models on the environment as this is one of the most important factors in recent times. The Company offers recycled plastic packaging to their products in around thirty markets. As the packaging material can affect the environment as well as the climate, the Company aims to reach net-zero carbon by the year 2050 (Singaramet al. 2019). This assists to reduce the plastic wastes in the world and enhances their “World Without Waste” campaign. Apart from that, the Company reduces the emissions of greenhouse gas by 25%. The water strategy of the Company focuses to improve the watershed health in the areas which suffer from the scarcity of waters[referred to Appendix 2: Growth Strategy of Coca-Cola].

For the improvement of the consumers’ health, reduction of sugar usage is most important for the beverage company (Airaodion et al. 2019). Coca-Cola reduces the amount of added sugars in their products and supplies their nutritional products.

Conclusion

The entire study is centered on Coca-Cola's and other organizational procedures. The impact of all factors in the changes and transformations made is also capable of increasing the efficiency of the Coca-Cola business. There are additionally five further case studies that have been executed in the context of organizational change and transformation. The simultaneous participation of numerous people and organizations may be extremely advantageous to Coca-Cola's success. The impact of all factors in the changes and transformations made is also capable of increasing the efficiency of the Coca-Cola business. However, only by innovative management can a corporation maintain its number one position. These courses include much information on the company's objectives and plans. This has helped the firm create better results, and corporate employees are taking orders more seriously and putting them into action.

References

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Websites

Academics.epu.ntua.gr, 2022, A Coca-Cola Great Britain case study, Available at: https://academics.epu.ntua.gr/sites/default/files/2021-07/Final%20organisational%20structure%20case%20study%20coca%20cola.pdf [Accessed on: 5 December 2022]

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Ukessays, 2022, Change Management including Case Study on Coca Cola, Available at: https://www.ukessays.com/essays/business/case-study-of-change-management-in-the-coca-cola-corporation-business-essay.php [Accessed on: 5 December 2022]