Global Professional Development (7004CRB) Case Study - Steve Wood, Newsprinters Word Count – 3739 Student ID - 9921104 Contents Page No. Part 1: Newsprinters Current Position 3 Company’s current position 3 Essential Tools and Techniques for analysis 3 company’s strategic needs 3 Leadership style that need to adopt 5 The company’s culture which need to change and adopt 6 The Structure that need to adopt 6 Advantages and disadvantages of the tools and techniques used 7 Part 2: Recommendations to the Organisation 8 Part 3: Implementation 9 Leadership Styles for a change 9 Monitoring the proposed method 10 Impact on organisation due to changes 11 Impact of organisational structure and culture on creativity, 12 change and innovation Part 4: Critical Reflection 12 Reference 14 Part 1: Company’s current Position 1) A brief summary of the company Newprinters is a newspaper printing industry predominantly in United Kingdom. This company is a part of big multinational company and print some international titles also. Currently in the UK, this company alone print 60 % to 70% titles. The actual income comes from printing and some revenue is generated by advertising. However, the company has been shrinking and income has been fallen around 5 to 8% per year. The one of the main factors for the loss is the internet. This organization has 3 manufacturing plants, in the UK, in which they spent huge money on the most recent innovation and gears to become the leader in the printing industry. The company’s main aim is to become the last man standing in the printing industry. 2) Essential Tools and Techniques for Analysis Outline the drive of change Definition: “A change driver is an internal or external pressure that shapes change to an organisation. This includes change to strategy, plans, designs, products, services and operations” (John Spacey, April 30, 2018). Newsprinters has the vision to sustain in the market. However, it appears that the Newsprinters has been shrinking by the digital news. Right now, this report will break down the vital capacities of Newsprinters. a) company’s strategic needs Strategy Definition: - “the direction an organisation takes with the aim of achieving future business success.” (CMI-Checklist 258). The internal factors of the company Right now, this report will utilize the SWOT model to examine the internal condition of the organization. In terms of company’s strengths, this company has the primary providers for paper prints, and has the high status in the entire market. This company is expert in fast printing of the paper with the cautious arranging, precision and point by point consideration. They have helped the printing purchasers to share the marketing strategy so that they will get befit from each other. As per weakness, at present, newsprinters is lagging in terms of change in innovations and internet. The company’s management team to not able to tackle this situation. As far as opportunities is concern, the Production team updated all machines to increase the productivity and decrease the manufacturing cost. Newsprinters Management team focused on to fulfil even more requesting article demands giving an upgraded and progressively adaptable assistance. The main threat of the Newsprinters is the digital news. Therefore, many organizations are already closed. Newsprinters is the only company which is fighting against this threat. Therefore, due to decrease in sales cause huge loss to the company. So, to tackle this situation, company must adopt latest technology to solve this issue. External Factors To investigate the external factors, this report will utilize PEST model because this model is most suitable to analyse external effects. As per economic point of view, the cutting-edge financial decrease has welcomed the conspicuous impact on the business with around 200 organizations previously going into administration and due to this 3000 people lost their jobs. Furthermore, to keep running the operation of the industry, the big paper company 'Sappi' has declared to increase the price of the paper. Moreover, with increasing the price of fuel and resources, all machines are depending on energy consumption. Due to increasing technology, many big organizations, national capitals, and financial centres are working together, and this is affecting the small local companies. In terms of social, Newsprinters business has been affected by the online media and it has the limited income including the newsstand sales, subscription and advertising. In contrast, the further improvement in newspaper industry appears to be restricted by the traditional form. In this case, the web-based news has made the adverse impact on imposing business model of creation and dissemination and as a result this monopoly is broken by internet. In technological department, the innovation cause significant impact on the industry. Due to technological innovation, people can get all digital news and magazines at very cheap price and faster rate. As per environment scenario, the printing industry is contributing in environmental pollution, soil pollution due to waste processing and emission from the resources. The printing industry is cutting down large number of trees to get papers which affect the environment. Leadership style that need to adopt Leadership Definition: - “the manner in which managers exercise their authority in the workplace and ensure that their objectives are achieved”. (CMI-Checklist 256). Burns (1999) has introduced two leadership styles, which are transactional leadership and the transformational Leadership. “This is based on an exchange between leader and follower where the interests of both parties are served. The efforts made by followers to achieve organisational aims are exchanged for specific rewards, which may be financial or non-financial” (CMI checklist 256). At the point when employees perform well, they get a prize and Rules, methodology, and principles are fundamental in transactional leadership. These leaders do well at setting desires and guidelines that increases the effectiveness and efficiency of an association. They will in general give productive feedback regarding their employees output that helps employees to enhance their performance in order to get good feedback. In contrast, the transformational leadership concentrates on how to enhance the outcome of the employees by creating a positive and essential change. With this change the employees performs good in individual and group work. To implement this leadership style, the leader follows some essential steps such as motivating people, give inspiration, clearly define the goal, and create a positive and stronger bond with their subordinates. Furthermore, the leader give training to their subordinates on how to take self-decision and authority on their assigned work. For employees, this leadership style gives more opportunities to solve old problems and become creative. People that follows this leadership track, with proper training, they can also become transformational leaders. The company’s culture which need to change and adopt Definition: - “Organisational culture is the way that things are done in an organisation, the unwritten rules that influence individual and group behaviour and attitudes” (CMI-Checklist 232). There are certain factors which can impact on culture, including structure of the organisation, procedure of work carrying out, the nature of the people, company’s norms and traditions. The style of leadership and management is also affecting the culture. As steve woods said, “I think innovation is something that can only prosperous when you have the correct culture and we have not got a culture of innovation at the moment”. So, to introduce a culture, Kirton’s Adaptation-Innovation (KAI) model is suitable to fulfil the need of the company. Adaption-Innovation is a cognitive style which is the preferred manner of bringing about change adopted by individuals. All people are creative but in a different style so managers can decide which employee is suitable to which jobs. “For the organisation employee engagement can improve performance and productivity, release innovation and creativity, lead to high levels of customer service, facilitate the management of change, increase retention levels and boost interest in employee development. It is also a valuable source of competitive advantage” (CMI-Checklist 245). One solution is that the company can create a particulate team which will only focus on innovation, because as steve said money is never been a problem. While other employees can follow their existing management model as “Adaptors”. This can be start by evaluating the present atmosphere in the industry, recognizing zones of strength and shortcoming and by revealing any elements which are going to hindrances. Numerous industries decide to do this by methods of past representative's outcomes. d) The Structure that need to adopt Definition: - “Organizational structure is the framework of the relations on jobs, systems, operating process, people and groups making efforts to achieve the goals. Organizational structure is a set of methods dividing the task to determined duties and coordinates them” (Minterzberg, (1979)). Likert’s (1967) Four Management System shows four types of organisational systems with different characteristics, from strictly hierarchical management to more productive style of management, namely, the exploitative authoritative, the benevolent authoritative, the consultative and the participative system. During interview with steve, he said “Within our company we do have problems with communication, so our idea of communication is newsletters, emails, notice boards”. So, it looks like Benevolent Authoritative system is currently adopted by this company. “Likert concluded that closer the organisational characteristics to the Participative System, the more productive and satisfied workers will be. In turn this will improve staff retention, increase profitability and reduce costs for the long-term” (Likert’s model). Time permitting, major decision-makings are claimed to involve all stakeholders. Organisational communication is ineffectively one way, from top level to bottom and there is a Lack of feedback reported. Communication problem can cause trust issue in the organisation. How to communicate with colleagues and team members, one solution is to complete a diagnostic test – “tests administered by HR professionals are generally recommended as opposed to online tests which may have no sound theoretical basis – but you can also gain powerful insights by consulting with your colleagues” (CMI-Checklist 256). This can also Condescending trust from top towards employees. This is become the responsibility of the manager to check if the proper communication is carried out or not. Newsprinters needs to work to proceed to the consultative system, where considerable involvement of the lower employee level needs to be incorporated in decision-making. Moreover, employees can be motivated by giving awards or incentives for their good work. 3) Advantages and disadvantages of the tools and techniques used In SWOT investigation, as per various measurements, the Newsprinters company has huge experience in terms of news printing and due to large investment of money in technology bring this company at the top spot. However, the company’s management team not able to concentrate on the effect of web news, which prompts the immediate impact of the online media. Also, this tool “ignoring the ideas of participants at lower levels in the organisational hierarchy” (CMI-Checklist 005). In PESTLE analysis, the outside conditions are dynamic, and these factors change at an exceptionally quick, which builds vulnerabilities for the company to evaluate such factors. These changing circumstances put the analysts in a situation where they need to collect large amount of data. “Managers can be bogged down in collecting vast amounts of detailed information without analysing the findings” (CMI-Checklist 196). The Transactional leadership style is created on the idea that the people will only work in order to get a prize or to avoid penalty. In this style, the leader not praise their subordinates for their good work because the leader sees the work as an exchange of money. In transformational leadership, sometimes the leader can take wrong and harsh decision due to authority, confidence and emotion, which can cause harmful effects on employees. Moreover, because the leaders have reputation and employees trust them, sometimes poor decision are carried out. As a result, employees and organisation have faced consequences. In Benevolent Authoritative system, the manager is responsible for most of the work in the industry. The manager and employees have master-servant like relation. Due to this, the employees are not able to discuss about their jobs freely. The group work and communication in this system is low. Part 2: Recommendations to the Organisation For Newsprinters, the important thing is to think about the advancements because the customers in the market have been changed. The young people who are preferred to read news through their smartphone, iPad, laptop etc. As a result, the company’s distributers and administration team are thinking about to change their strategy and now they are considering innovation and reinvention in news delivering department. These strategies have influenced the decision-making power of the Newsprinters company. For instance, in every country almost all young generation people are relying on digital media. Furthermore, at current scenario, in order to publish their quality content, every publisher is now connecting the internet and bloggers to the conventional media. Also, it is important to keep the positive environment in the printing industry by reducing the use of blood red ink. Recommendations As per above investigation, the manager of the company is taking essential steps to improve and change the condition of the industry to further enhance their system. Firstly, the future is based on innovation with integration of media. For the company, this is an unavoidable factor. So, in order to stand in the market, the company must find a new business model to fight against the Internet and blogger news, this can be done by adopting new digital technology and company must use this technology in every printing paper. As per customers conveyance, the company should connect every customer to their production chain to maintain a proper printing cycle. Newsprinters is a brand that offer quality service by digitalization. Digitalization in the printing is very crucial step, and with the Internet service, they can build up their digital database and store in the server, so that they can deliver data to their customers on internet instead of just relying on printing. Secondly, as per the study of the company’s advertising exercises, they have handled the promoting through the site, newsletter and the leaflets distribution. As indicated by the report, of the Estimation of Marketing Effectiveness, the manager of the company is only focusing on to improve the production, increase sales, raise profit and sustain in the competition environment. However, at current stage, most of the purchasers are utilizing Internet (Bass, and Avolio, 1993). So, the company should provide all their content through the website if it has and the site will provide more convenience to the customers like price list, any request about data, type of services, portfolio of work. Thirdly, the Newsprinters main clients are the nearby distributers, paper distributers and some small-scale companies and most of them are based on the wholesale. But there are many possibilities in the market to extend their consumers like, restaurants, schools, small local shops. In order to catch huge amount of audience they can sponsor some sports events in order create strong brand value. Part 3: Implementation For the Newsprinters, there are three main sectors which it needs to improve and require efforts in order to implement the recommendations and support the changes in the strategic direction, including the innovation management, marketing and brand management. 3.1 Leadership Styles for a change Leaders are the important part of any organisation and they mould their employees according to leadership style and strategy. The two typical style of leadership are known as transactional and transformational leadership. For better involvement of people, the organisation generally uses transformational leadership style. In the case of Newsprinters, their main goal is including innovation and digitalization in their printing content. By adding digitalization in the production department, the company will be able to reduce the environmental concern. By doing this, they can extend their business by involving small industries. With the help of transformational leadership, the company can provide better services to their customers. At that point, when the industry invested a large amount of money, it is crucial to make a team which will introduce a change in the organisation. To introduce the change, it is important to integrate standardisation, teamwork and engagement. Leader can use motivation and intellectual stimulation as a tool to inspire talented employees to get involve in the improvement program of the organisation. These employees can be select from different departments such as administration, marketing, production, distributors etc. With the help of this method, leader can inspire their employees to do innovation in their own way and in their own departments. The managers can examine their employees work and set the target for the further improvement of the industry. This method will give many opportunities to the people to make new changes in the industry and which will help to boot their career in future. Furthermore, the team from the production department can come up with a method that will raise efficiency of the machine which includes less fuel consumption and low waste generation. “When deciding which approach to take, it is also important to think about where the key influencers are and how communication channels will work” (CMI-Checklist 040). 3.2 Monitoring the proposed methods “Managing change involves planning and carrying out actions designed to achieve a transition from the current situation in an organisation to a more desirable situation in the future. It involves anticipating and minimising obstacles to achieving change as well as dealing with any problems which arise in the course of the transition” (CMI-Checklist 038). To manage and monitor the changes, the Beckhard-Harris Change Equation can be use. According to this equation the resistance of change must be outweighed by three factors which are, dissatisfaction, vision and first step. “Before beginning to embark on a programme of change, the company must have a clear strategy based on the objectives and outline plans which have already been set” (CMI-Checklist 040). A team should be created to measure and evaluate the changes. “A team with a mix of technical competencies, personal styles, and levels of seniority can be selected” CMI-Checklist 038). Every change program must have a set start and end date with finite cycle to monitor the changes. The cycle can be set for one month, two month or any finite time. A detailed implementation plan should be set with the involvement of every departmental heads. The team must see who will be most affected by change, this will help to reduce the dissatisfaction. Every plan and change should be 3.3 Impact on organisation due to changes Definition: “A risk assessment identifies threats which could compromise a project and seeks to quantify the impact they would have upon the project’s success and on the organisation as a whole, should they arise” (CMI-Checklist 241). Due to changes, organisation may encounter some potential risks which may be related to production, management etc. As per above changes, one of the main risks that the company may encounter is the people`s resistance to change. This risk is so common that even transformational leader always struggles to solve despite his/her abilities. Second risk is that the manager may assuming that an organisation’s culture can be fully understood through superficial observation. This will affect the organisation culture in a bad way and due to this there will a no use of culture change. Third, in order to digitalize printing media, this will require new talented employees, a lot of survey, a completely new ecosystem (building new server to store their digital data), so it will take a lot of time and money. As a result, the company may loss its profits at initial time. Finally, due to large no. of changes in organisation culture, structure, leadership, communication, management may cause poor employee`s performance, loss of employees or an unhealthy environment in the company. 3.4) Impact of organisational structure and culture on creativity, change and innovation Creativity is “the formation and gathering of thoughts in a way that leads to a different understanding of a situation”, whereas innovation is usually related to “the development of a new product or service” (CMI–Checklist 177). The main goal of the Newsprinters is to introduce new culture and structure to create an innovation and change as per external factors. The most commonly identified type of innovation is related to changes in an organisation’s product/service offerings. Organisational innovation refers to innovation at the firm level rather than technological change. culture will require a change in the organisational structure and strategy. Changes in organisational structure may require reinvent of departments. After successfully creating a culture in Newsprinters, it will create a new healthy environment among employees. Furthermore, by changing a structure in the company, it will introduce new creative abilities in their employees which will create an innovation in the working environment. As a result, people can create new ideas by working in groups or through brainstorming. Part 4: Critical Reflection Definition: “Reflective practice is a high value transformational leadership skill aimed at moving people away from their routine and habitual thinking where their action is often guided by tradition, taken for granted process / procedure and / or towards a more informed reflective action that involves critical and careful consideration of those traditions or taken-for-granted knowledge / process (CMI-Checklist 280)”. For writing of reflection, this report is used Gibbs reflective cycle which consist of six main steps including Description, Feelings, Evaluation, Analysis, Conclusion, and Action Plan. During the analysis of Newsprinters based on transformational leadership, the leaders is always concentrating on continuous improvement and development for the company. Newsprinters has taken this leadership model with their goal, motivation, and inspiration. This inspiration and motivation will help stakeholders and the staff members to move on. Due to effect of internet, it is very important to have proper strategy and determination. I am concern about the implementation of change in the company due to involvement of many different departments and as a result, it is becoming difficult to get involve all employees. “location can have a dramatic effect on thinking, and assist in the stimulation of different attitudes, thoughts and unlocking of feelings” (CMI-Checklist 280). As per evaluation, the company’s project manager has selected a team which contain various experienced employees from different departments for implementation of change and improvement in order to tackle with barriers and improve coordination. Furthermore, with encouragement, it will be beneficial for the company but there some other hurdles in the way of improvement, in this scenario communication is important. With communication, they can solve problems together in an effective manner and get their support in future development. In the stage of analysis, the leader and management team analyse the outcome by their professional experience which may include the comparing the present outcome with the past. For instance, after implementation of digital news in Newsprinters, they can see that how many new people are joining to this innovation and they can analyse the trend. At the final stage, the expectation of the various stakeholders is different on the project and it is becoming the duty of the leader to make the balance between them to take the benefit of the project’s profit. In future, I will continuously be looking for the new ways to get more profits for stakeholders. Also, I will consider appropriate leadership style to overcome the company’s hurdle and increase the efficiency of the operation. Finally, in near future, I will concentrate on different leadership styles and application, and their effects. It will increase my learning capabilities. Reference Bass, B. M., & Avolio, B. J. (1993). Transformational leadership and organizational culture. Public administration quarterly, 112-121. CMI-Checklist 005 performing a SWOT analysis [online] available from <https://coventry.md.cmi.org.uk/Content/Display/917> CMI-Checklist 038 Mapping an Effective Change Programme [online] available from < https://coventry.md.cmi.org.uk/Content/Display/949> CMI-Checklist 040 Implementing an Effective Change Programme [online] available from< https://coventry.md.cmi.org.uk/Content/Display/951> CMI-Checklist 177 Managing Creativity [online] available from <https://coventry.md.cmi.org.uk/Content/Display/1081> CMI-Checklist 196 carrying out a PEST/PESTLE analysis [online] available from <https://coventry.md.cmi.org.uk/Content/Display/1097> CMI-Checklist 232 Understanding Organisational Culture [online] available from <https://coventry.md.cmi.org.uk/Content/Display/1131> CMI-Checklist 241 conducting a risk assessment for projects [online] available from <https://coventry.md.cmi.org.uk/Content/Display/1139> CMI-Checklist 256 Understanding Management and Leadership Styles [online] available from <https://coventry.md.cmi.org.uk/Content/Display/79854> CMI-Checklist 258 Developing Strategy [online] available from <https://coventry.md.cmi.org.uk/Content/Display/80103 > CMI-Checklist 280 Reflective Practice Skills [online] available from <https://coventry.md.cmi.org.uk/Content/Display/84745> Mintzberg, H.T. 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