List two (2) areas of legislative and regulatory context of an organisation and briefly describe what

they involve.

Risk is traditionally seen as negative, something businesses must do their best to avoid. However, in
an age where disruptive forces—particularly technology— can no longer be ignored, organisations
need to have the capacity to change and experiment, and that means they have to consider some
risk.

Today, businesses operate in a regulatory-intensive environment. The regulatory requirements

represent huge challenges for many organizations. For example, regulation may require that an
organization re-evaluate its resource needs, skill sets and assess the overall impact of the legislation
on the organization.

On the other hand, businesses will be subject to different licences and registrations depending on
the country, state and/or territory of operation as well as specific industry. Local regulations may
also apply to some extent.

In relation to the legislation and regulatory requirement we are going to discuss about two
important areas:

1. Risk Management
2. Consumer Right/ Consumer Law

Risk Management:

Setting and embedding an organisation’s risk appetite is a critical function of the board. Some level
of risk is inherent within all organisational activities: there are commercial and competitive risks
around return on investment; internal and operational risks such as health and safety, cybersecurity,
culture, ethics and reputational risk; as well as external risks such as megatrends in the environment,
the economy, society and politics.

Focusing the risk management, Australia has established its own regulatory body called Safe work
Australia. Safe Work Australia is an Australian Government statutory agency established in 2009.
Safe Work Australia consists of representatives of the Commonwealth, state and territory
governments, the Australian Council of Trade Unions, the Australian Chamber of Commerce and
Industry and the Australian Industry Group.

Safe Work Australia works with the Commonwealth, state and territory governments to improve
work health and safety and workers’ compensation arrangements. Safe Work Australia is a national
policy body, not a regulator of work health and safety. The Commonwealth, states and territories
have responsibility for regulating and enforcing work health and safety laws in their jurisdiction.
In the context of (Australian) regulatory and legislative requirement, the WHS Act and Regulations
require persons who have a duty to ensure health and safety to ‘manage risks’ by eliminating health
and safety risks so far as is reasonably practicable, and if it is not reasonably practicable to do so, to
minimise those risks so far as is reasonably practicable.

Effective risk management starts with a commitment to health and safety from those who operate
and manage the business or undertaking. Organizations also need the involvement and cooperation
of their workers, and if they show their workers that they are serious about health and safety they
are more likely to follow the lead.

To demonstrate the commitment, they should:

 Get involved in health and safety issues

 Invest time and money in health and safety
 Ensure health and safety responsibilities are clearly understood.

Also, Risk management process involves four steps to follow, and these are:

1. Identify hazards – find out what could cause harm

2. Assess risks if necessary – understand the nature of the
harm that could be caused by the hazard, how serious
the harm could be and the likelihood of it happening
3. Control risks – implement the most effective control
measure that is reasonably practicable in the
circumstances
4. Review control measures to ensure they are working as
planned.

The latest Australian Work Health and Safety Strategy 2012-2022 (the Strategy) seeks to explore
Leadership and Culture: Health and safety is given priority in all work processes and decisions.
According to the act, managing WHS risks is an ongoing process that needs attention over time, but
particularly when any changes affect work activities.

A business/organization should work through the risk management process steps when:

 starting a new business

 expanding or purchasing an existing business
 designing and planning products, processes or places used for work
 changing work practices, procedures or the work environment
 changing organisational structure or job roles
 introducing new workers or returning workers to the workplace
  purchasing new or used equipment or using new substances
 working with a new supplier or new commissioner of services
 planning to improve productivity or reduce costs
 new information about workplace risks becomes available
 responding to workplace incidents (even if they have caused no injury)
 responding to concerns raised by workers, health and safety representatives or others at the
workplace, or
 required by the WHS regulations for specific hazards.

Consumer Rights/ Law:

Businesses need to know about their customers’ rights and legal obligations. The Competition and
Consumer Act 2010 covers anti-competitive conduct, price fixing, unconscionable conduct and other
issues, such as advertising. The Act also sets out consumers’ rights and responsibilities including
returns, refunds, warranties, contracts, marketing and advertising.

Relevant regional/state regulator should be able to provide information on requirements when it

comes to:

 door-to-door sales
 telemarketing
 lay-bys
 pricing
 online sales
 unsolicited supply of goods or services
 proof of transaction and itemised bills
 handling of uncollected goods.

There are also regulations when it comes to product safety, weighing and measuring goods and
importing and exporting. Some products or industries may also be required to adhere to voluntary
or mandatory Australian Standards, regional standards (eg. AS/NZS) or International Standards. This
is how the Australian Consumer Law (ACL) came into play.

The ACL commenced on 1 January 2011 as a single, integrated and harmonised consumer law by
bringing together the consumer protection provisions of the Trade Practices Act 1974 (TPA) and
previous state and territory fair trading laws. Since the commencement of the ACL, consumer
agencies across Australia have worked together to support greater cooperation in enforcement,
education, policy and research activities.

The ACL provides a system of consumer protections and remedies for consumers in relation to
defective goods and services (consumer guarantees), prohibitions against misleading or deceptive
conduct and unconscionable conduct, unfair contract term protections, a harmonised national
product safety and enforcement system, national laws covering a number of sales practices and
enforcement powers. The consumer guarantees set out standards for goods and services supplied to
consumers and are independent of contractual arrangements between parties. They are outlined in
Part 3-2, Division 1 of the ACL. Among these guarantees is section 54, which provides the consumer
with the principal guarantee that goods are of acceptable quality. Other key guarantees include the
guarantee of title (section 51), that the product is fit for purpose (section 55) and that the goods
correspond with the description or sample model provided to the consumer (sections 56 and 57).

The ACL sets out nine consumer guarantees for the sale of goods:

1. That a supplier has the right to sell the goods and the goods come with clear title;
2. That the consumer will have undisturbed possession of the goods;
3. That the goods are free from undisclosed securities, charges or encumbrances;
4. That the goods will be of acceptable quality. This means that the goods are safe, durable and
free from defects; are acceptable in appearance and finish; and fit for all the purposes which
goods of that kind are commonly supplied;
5. That the goods are reasonably fit for any disclosed purpose. This means that the goods
perform the function that the consumer was told they would do;
6. That the goods correspond with their description;
7. That the goods correspond with the sample or demonstration model in quality, state and
condition;
8. That the manufacturer will have reasonably available facilities for the repair of the goods
and parts for the goods; and
9. That the goods will comply with any express warranty given or made, including any extra
promises made.

The ACL sets out three consumer guarantees for the supply of services:

1. That the services will be rendered with due care and skill;
2. That the services, and any product resulting from the services, will be reasonably fit for any
specified purpose; and
3. That the services will be supplied within a reasonable time.

If goods or services do not meet a consumer guarantee, customer has a right to a solution to make
the situation right. The type of remedy available depends on whether the problem is major or minor.

If a major problem occurs and customer chooses to either keep the goods or continue with the
service and claims compensation for the problem, consumer protection agencies such as the
Australian Competition and Consumer Commission (ACCC) and/or the various Offices of Fair Trading
(OFT) may take action on a consumer’s behalf if the business has not resolve the problem or reach
an agreement regarding compensation.

Coping up with the new rules and regulations, it is important that businesses understand the
consumer guarantees and have procedures in place if something goes wrong. The future of any
business in Australia lies in complying with the ACL as well as having good relations with current and
future customers.
References:

 Andrews J. D. and Moss T. R. (2002): Reliability and Risk Assessment. Second Edition. Professional Engineering
Publishing Limited, London and Bury St Edmunds, UK. ISBN 1-86058-290-7.

 Crouhy Michel, Galai Dan and Mark Robert (2001): Risk Management. McGrawHill. ISBN 0-07-135731-9.

 Standards Australia. (2019). Risk management: Principles and guidelines (AS/NZS ISO 31000:2009). Retrieved
from http://standards.org.au

 Safe Work Australia. (2019). Managing the risk of falls at workplaces: Code of practice. Retrieved from
http://www.safeworkaustralia.gov.au/sites/SWA

 Safe Work Australia. (2019). How to manage work health and safety risks: Code of practice. Retrieved from
http://www.safeworkaustralia.gov.au/sites/SWA

 Safe Work Australia. (2019). Identify, assess and control hazards: Code of practice. Retrieved from
http://www.safeworkaustralia.gov.au/sites/SWA

 Consumer Affairs Australia and New Zealand 2018, consultation regulation impact statement on the Clarification,
simplification and modernisation of the consumer guarantee framework,
https://consult.treasury.gov.au/marketand-competition-policy-division/c2018-t271629/

 Kate Tokeley, When Not All Sellers Are Traders: Re-Evaluating the Scope of Consumer Protection Legislation in
the Modern Marketplace, 2017, 39(1) Sydney Law Review, page 59.

 Pod Legal (2019). How Does The New Australian Consumer Law Affect My Business?. Retrieved from
https://podlegal.com.au/how-does-the-new-australian-consumer-law-affect-my-business/
Define the following terms in relation to an organisation:

 Mission

 Purpose

 Values

 Objectives

 Strategies

A. Mission:

A mission statement is used by a company to explain, in simple and concise terms, its purpose(s)
for being.

A company’s mission statement defines its culture, values, ethics, fundamental goals, and
agenda. Furthermore, it defines how each of these applies to the company's stakeholders—its
employees, distributors, suppliers, shareholders, and the community at large—use this
statement to align their goals with that of the company.

Powerful mission statements can be vitally important to your company in several different ways:

 Mission statements guide the company forward

 Mission statements focus energy and attention
 Mission statements spark new ideas
 Mission statements shape company culture
 Mission statements establish consistency
 Mission statements send out a powerful message to the public
 Mission statements drive action

B. Purpose:

The Purpose of an organization is the fundamental reason why the organization exists.

A dual method was used to explore the definition of purpose in business, its characteristics or
attributes, and the possible correlation between meaningfulness at work and corporate social
responsibility.

As more and more people demand that businesses serve a higher purpose, organizations will
arguably have to step up. People are looking for meaning in life and companies are beginning to
understand the power in that and, also, that they can no longer separate profit from purpose (Lin,
2010; Deloitte, 2014). What is purpose in business? What are the various attributes of purpose and
how do they play a role in fulfilling a sense of meaning for employees? And does organizational
purpose and individual meaning have something to do with corporate social responsibility?
In the future, without purpose, engaging and motivating employees will be increasingly difficult
which will in turn likely negatively impact customer satisfaction. By contrast, with purpose, an
organization can provide value, create a culture of purpose, and develop a mutually supportive
relationship between measures of employee engagement and the mission of the organization. In this
age of the service industry, in a world of high-speed technology and instantaneous information, it is
important to recognize and capitalize on the strongest of marketing resources— your people.

Key Points about Purpose:

 Is central and enduring to the culture of the

organization.
 Is the cause that defines one’s contribution to
society.
 Unites efforts and inspires action.
 Is the answer to the question: Why is this work
important?
 Is a statement that is brief in length and broad in
scope.

C. Values

Organisational values describe the core ethics or principles which the company will abide by, no
matter what. They inspire employees’ best efforts and constrain their actions. Strong, clearly
articulated values should be a true reflection of your organisation’s aspirations for appropriate
workplace behaviour and play an important role in building a positive culture at your organisation.

To achieve its objectives an organisation must establish its values. Even if they are not consciously
created, the way people behave towards one another will create a default set of organisational
values – and these may not be what you’d ideally like. Best then, to invest some time in deciding
what you’d like them to be, rather than leaving it to chance. Values find their way into every nook
and cranny in an organisation – they guide how people behave and serve as an external reference
point

Well-drafted and current organisational values:

 Guide staff behaviour, as well as strategic and operational decisions

 Provide a solid foundation for your employment policies, and “fill the gaps” where policies
are silent
 Over time, improve the organisation’s ethical character as expressed in its operations and
culture
 Demonstrate integrity and accountability to external stakeholders
 Set the organisation apart from its competitors
 Reduce risk of inappropriate behaviour
 Strengthen the employment value proposition
Every organisation preference some values over others. A university might value intellectual rigour,
independence and the pursuit of knowledge. By comparison, a listed telecommunications company
would prefer customer service, network reliability, and profit. For this reason, there is no such thing
as a one-size-fits-all Code of Ethics.

D. Objectives:

Organizational objectives are long-range objectives. They serve as the goals for management in
achieving the organizational mission.

The purposes, missions, and goals of an individual organization or its units, established through
administrative processes. It includes an organization's long-range plans and administrative
philosophy.

Objectives of the organization (business goals) are stated by management before any planning or
decision-making activities. Every organization is structured using all available resources in order to
achieve objectives set by managers. They are an expression of associations and feedback with the
environment. Objectives have a strong influence on the interaction with the environment.
Environment affects the determination of the organization's objectives. Objectives should satisfy all
the participants of the organization.

E. Strategies:

An organizational strategy is the sum of the actions a company intends to take to achieve long-term
goals. Together, these actions make up a company’s strategic plan. Strategic plans take at least a
year to complete, requiring involvement from all company levels. Top management creates the
larger organizational strategy, while middle and lower management adopt goals and plans to fulfil
the overall strategy step by step.
The concept of strategy has developed as an important aspect of management due to the dynamics
and complexity of the world as well as an increasingly turbulent business environment (Kibicho,
2015). Strategy encompasses the process, organizational restructuring and the outcomes of chosen
long-term directions (which can either be conscious, planned or a series of events), which lead to a
desired objective. It also involves the evaluation of the impacts of both the external and internal
organizational environments on the long-term goals of the organization (Mintzberg, Ahlstrand and
Lampel, 1998)

Strategy organizes the internal and external context of an organization, using concepts like SWOTs
and Porter’s Five Forces, to help us make sense or meaning of the environment we operate in.
Strategy helps us make meaning of our context, and therefore helps us create a path forward. It
provides others in the organization with a mental model to understand the organization, its’
environment and the path that it has chosen.
That is why strategy can’t be a commodity, because it is unique for each organization, as the unique
people in each organization are those who create meaning. Different perspectives may create
different meaning from the same basic set of circumstances.

Strategy is important because it creates a coherent direction, but also because it helps us
understand our context to create meaning and purpose.

References:

BBC, 2015, ‘Inside the BBC: Mission and values’, accessed 27 September
2019, http://www.bbc.co.uk/corporate2/insidethebbc/whoweare/mission_and_values.

Pascarella, P. & Frohman, M. A. (1989). The Purpose-Driven Organization: Unleashing the Power of
Direction and Commitment. San Francisco, CA: Jossey-Bass Publishers.

Deloitte. (2014). Culture of purpose—building business confidence; driving growth 2014 core beliefs
& culture survey. Retrieved from
https://www.deloitte.com/content/dam/Deloitte/us/Documents/about-deloitte/us- leadership-
2014-core-beliefs-culture-survey-040414.pdf

Mueller, K., Hattrup, K., Spiess, S-O., & Lin-Hi, N. (2012). The effects of corporate social responsibility
on employees' affective commitment: A cross-cultural investigation. Journal of Applied Psychology,
97(6), 1186-1200

Leila Norman, What is organizational value statement?. Retrieved from

http://smallbusiness.chron.com/organizational-value-statement-23848.html

Company Core Values: Why To Have Them and How To Define Them. Retrieved from
https://7geese.com/benefits-of-having-core-values-and-how-to-set-them-in-your-organization/

Aaltonen, P., & Ikävalko, H. (2002). Implementing Strategies Successfully. Integrated Manufacturing
Systems, 415-418.

Ahmadi, S. A., Salamzadeh, Y., Daraei, M., & Akbari, J. (2012). Relationship between Organizational
Culture and Strategy Implementation: Typologies and Dimensions. Global Business and Management
Research: An International Journal, 286-299.

Johnson, Sophie. (2019, March 08). What Is the Meaning of Organizational Strategy? Small Business -
Chron.com. Retrieved from http://smallbusiness.chron.com/meaning-organizational-strategy-
59427.html
Identify and explain three (3) techniques that can be used to cultivate collaborative relationships
and partnerships

Collaboration is a mutually beneficial and well-defined relationship entered by two or more

organizations to achieve a common goal.

When the company environment is focused on collaboration, team members naturally feel a part of
something bigger than themselves. The best way to transition from an individual to a collaborative
mindset is to equip each team member for active participation in the group dynamic.

Collaboration requires a high commitment of time, and a high level of trust between the
organisations. Collaboration includes structural changes, such as financial and personnel allocation.

Employee collaboration not only equals a happier workforce, it represents an educated one. A
collaborative workplace naturally cultivates a sense of community within an organization, with
employees feeling almost like they are a part of a family. This compels them to go beyond the
expectations of their role, absorbing as much organisational knowledge as possible and driving the
business forward with informed and sound decisions.

Below are the three (3) techniques that can be used to cultivate collaborative relationships and
partnerships:

1. Have a Clear Purpose and Expectations: In regard to successful collaboration, both partners
require to have a desired outcome. Also, they need to look differences in their interests.
Having said that, each organization requires to clarify the expectation to avoid any sort of
mis understandings. Most importantly, a SWOT analysis is required before starting the
collaboration to establish the purpose and expectation for all organizations.

2. Commitment towards working relationship: One of the main key objectives of the
collaboration is all organizations must need to work together through a trusted relationship.
If the relationship is not established, then the partnership will never have the desired
outcome. All the stakeholders also need to be involved without any doubt. As a result, a
sense of equity, transparency and respect will grow for each other which will led to an
effective collaboration.

3. Clear Roles, Responsibilities and Guidelines: Effective collaboration also requires a clear
roles & responsibilities. Formal agreements and good documentation can be one of the good
options to start with. Along with it, good communication is also an important tool when
organizations need to make a good collaboration. Strong financial & statistical accountability
can also be considered as defining responsibilities for collaborating. Last but not the least, it
is important for all organizations to review, feedback and update their processes as per the
requirement of the collaboration.
List and describe three (3) data collection methods.

Data Collection is an important aspect of any type of research study. Inaccurate data collection can
impact the results of a study and ultimately lead to invalid results.

Three data collection methods are described as per below:

1. Telephone interviews:

The biggest advantage of telephone interviews is that saves cost and time. Today, accessing people
via telephone is so much easier because almost everyone has one. Another advantage is fewer
interviewers are required in order to conduct telephone interviews than face-to-face interviews.

2. Online surveys

Given the current myriad of technological developments, the use of online surveys has rapidly
increased. It may well be the least expensive way to reach the greatest amount of people – all over
the world. Once an online survey has been designed, it can be stored easily, revised and reused as
needed from time to time. The response time is quick so online surveys have become the preferred
method of data collection for many consumer satisfactions surveys and product and service
feedback.

3. Face to face interviews

This method is one of the most flexible ways to gather data and gain trust and cooperation from the
respondents. Besides that, interviewing respondents in person means their non-verbal language can
be observed as well. It is especially useful to detect discomfort when respondents are discussing
sensitive issues. Respondents have more time to consider their answers and the interviewer can gain
a deeper understanding of the validity of a response. It is also easier to maintain their interest and
focus for a longer period. Focus Group Interviews entail more respondents at one time.
Identify and explain the type of analysis that can be used to analyse the eternal content of the
business environment.

Business analysis has taken a paradigm shift in the last few years with the innovative approaches of
best business analysis techniques. The sole purpose of these techniques is to get the best outcome
as a business solution.

Moreover, it is not that the best business analysis techniques are used throughout the project. It
could be applicable for a specific phase of a project like at the beginning of the project or when the
project is over. In addition to that, not that all the best business analysis techniques are applicable
for all projects. They are project specific and used for purposes.

Below are the most popular business analysis techniques used for business environment:

 MOST Analysis:

The term MOST stands for its four elements –

 M-Mission
 O-Objective
 S-Strategy
 T-Tactics

MOST analysis is a powerful business analysis framework and among the best business analysis
techniques using which the business analysts analyse what an organization does and plans to achieve
the goal and what it should do to maintain strategic alignment. Hence, MOST analysis is a clear way
to understand an organization on its ability and purpose.

Now, let’s explain each of the factors with their purposes.

Mission: This is the most critical factor for an organization which defines its purpose and the goals it
wants to achieve in the future. If the mission is specific, then it is easier to analyze and measure the
remaining factors.

Objectives: We can consider objectives as a collection of goals which as an accumulated result in the
mission of the organization. Moreover, Objectives must be S.M.A.R.T –

 S- Specific
 M-Measurable
 A-Achievable
  R-Realistic
 T-Timely

Strategy: This is the steps or actions that an organization takes to achieve the objectives and finally to
accomplish the mission. A strategy is a group of tactics.

Tactics: These are the discrete and straightforward methods which an organization follows to carry
out the strategies.

Advantage:

MOST analysis is a structured business analysis technique followed by every working level in an
organization from the top to down. The process ensures that an organization retains focus on the
mission which is the critical factor for the success of an organization.

 SWOT Analysis:

The term SWOT stands for its four elements–

S- Strength

W- Weakness

O- Opportunities

T- Threats

It is a thorough analysis conducted by a business analysis considering

The internal factors as Strength and Weakness

The external factors as Threats and Opportunities

SWOT analysis is a four-quadrant analysis for a business analyst where he places the data as the
answers for each quadrant. A business analyst answers the questions under each of the quadrants.
  PESTLE Analysis:

There are always environmental factors which influence business in its strategic planning. These key
factors are commonly known as PESTLE which stands for –

P- Political

E – Economic

S – Social

T – Technological

L- Legal

E – Environmental

Each of the factors mentioned above has influences in making a business decision final.

In the above picture, we have highlighted some of the key factors which drive the PESTLE
parameters. Hence, the task of a business analyst is to apply PESTLE analysis technique to
understand and identify the factors within the environment of the organization operates and
analyse how those PESTLE factors will influence the future performance of the organization.

Advantage:

PESTLE is a simple and easy framework for business analysis which involves cross-functional skills of
a business analyst along with his expertise. With an effective PESTLE analysis, we can reduce the
potential threats of an organization. Moreover, it opens the scopes to exploit the opportunities for
entering into new markets globally.
Explain what emotional intelligence is, including and its relationship to individual and team
effectiveness.

Emotional intelligence refers to the capability of a person to manage and control his or her emotions
and possess the ability to control the emotions of others as well. In other words, they can influence
the emotions of other people also.

Emotional intelligence is important among team members to carry out their roles and tasks in a
cooperative and collaborative manner. It helps in reducing conflicts and can create a more
comfortable and cooperative work environment. Team members need to be aware of their feelings
as they may allow uncontrolled emotions to affect the dynamics and culture of the team. The skill of
regulating emotions during work stress and conflict would help to smooth the project and enhance
working relationships effectively with other members. Team members are not only responsible for
their own motivation but also play a key role in motivating the team and colleagues. Empathic team
members think from various points of views and they accept the diversity of people.

It was found that there was much commonality between successful teamwork and emotional
intelligence, there is a strong relationship between successful teamwork and emotional intelligence
and contend that emotional intelligence competencies are more important than the ―Visible skill‖
set shown in Figure 1, such as technical competencies. There is more to effective teamwork than a
keen intellect and grasp of technical knowledge. The difference between success and mediocrity in
working relationships, especially in a team environment, can be attributed to a team member’s
mastery of the softer skills – abilities and approaches grounded in emotional intelligence.
(Grossman, 2000).

Positive, effective interpersonal relationships are an important element of successful teams.

Emotional bonding that exists between team members has a profound effect on the work produced
and the overall success of the project. Teams that care about each other at a personal and
professional level are more likely to be successful than teams that ignore the importance of the
relationship between positive interpersonal relationships, professional relationships and goal
achievement. Developing positive relationships where team members are aware of the impact their
emotions can play on the effectiveness and success of the team should be the aim of each team
member. A positive emotional climate should be developed so that all energies can be focused on
the attainment of mutual goals including the success of the project (Johnson & Johnson, 1999).

In order to promote positive, progressive, effective working environments, team members need to
have a combination of technical knowledge and well-developed emotional intelligence including self-
awareness, empathy, social awareness and be highly motivated and be able to inspire and motivate
their colleagues.
References:

Bar-On, R. (1997). The Emotional Quotient Inventory: A measure of emotional intelligence, technical
manual. Toronto: Multi-Health systems

Feyerherm, A. E., Rice, C. L. (2002). Emotional intelligence and team performance: The good, the
bad, and the ugly. International Journal of Organizational Analysis (1993 - 2002), 10(4), 343.
Identify and explain the stages in the effective management of change and organisational
transformation.

Transformation planning is a process of developing a [strategic] plan for modifying an enterprise's

business processes through the modification of policies, procedures, and processes to move the
organization from an "as is" state to a "to be" state.

Change Management is the process for obtaining the enterprise (or business) intelligence to perform
transformation planning by assessing an organization's people and cultures to determine how
changes in business strategies, organizational design, organizational structures, processes, and
technology systems will impact the enterprise.

The objective of organizational change management is to enable organization members and other
stakeholders to adapt to a sponsor's new vision, mission, and systems, as well as to identify sources
of resistance to the changes and minimize resistance to them. Organizations are almost always in a
state of change, whether the change is continuous or episodic. Change creates tension and strain in
a sponsor's social system that the sponsor must adapt to so that it can evolve. Transformational
planning and organizational change is the coordinated management of change activities affecting
users, as imposed by new or altered business processes, policies, or procedures and related systems
implemented by the sponsor. The objectives are to effectively transfer knowledge and skills that
enable users to adopt the sponsor's new vision, mission, and systems and to identify and minimize
sources of resistance to the sponsor's changes.

1.Identify What Will Be Improved

Since most change occurs to improve a process, a product, or an outcome, it is critical to identify the
focus and to clarify goals. This also involves identifying the resources and individuals that will
facilitate the process and lead the Endeavor. Most change systems acknowledge that knowing what
to improve creates a solid foundation for clarity, ease, and successful implementation.

2.Present a Solid Business Case to Stakeholders

There are several layers of stakeholders that include upper management who both direct and
finance the endeavor, champions of the process, and those who are directly charged with instituting
the new normal. All have different expectations and experiences and there must be a high level of
"buy-in" from across the spectrum. The process of onboarding the different constituents varies with
each change framework, but all provide plans that call for the time, patience, and communication.
3.Plan for the Change

This is the "roadmap" that identifies the beginning, the route to be taken, and the destination. You
will also integrate resources to be leveraged, the scope or objective, and costs into the plan. A
critical element of planning is providing a multi-step process rather than sudden, unplanned
"sweeping" changes. This involves outlining the project with clear steps with measurable targets,
incentives, measurements, and analysis. For example, a well-planed and controlled change
management process for IT services will dramatically reduce the impact of IT infrastructure changes
on the business. There is also a universal caution to practice patience throughout this process and
avoid shortcuts.

4. Provide Resources and Use Data for Evaluation

As part of the planning process, resource identification and funding are crucial elements. These can
include infrastructure, equipment, and software systems. Also consider the tools needed for re-
education, retraining, and rethinking priorities and practices. Many models identify data gathering
and analysis as an underutilized element. The clarity of clear reporting on progress allows for better
communication, proper and timely distribution of incentives, and measuring successes and
milestones.

5. Communication

This is the "golden thread" that runs through the entire practice of change management. Identifying,
planning, onboarding, and executing a good change management plan is dependent on good
communication. There are psychological and sociological realities inherent in group cultures. Those
already involved have established skill sets, knowledge, and experiences. But they also have pecking
orders, territory, and corporate customs that need to be addressed. Providing clear and open lines
of communication throughout the process is a critical element in all change modalities. The methods
advocate transparency and two-way communication structures that provide avenues to vent
frustrations, applaud what is working, and seamlessly change what doesn't work.

6. Monitor and Manage Resistance, Dependencies, and Budgeting Risks

Resistance is a very normal part of change management, but it can threaten the success of a project.
Most resistance occurs due to a fear of the unknown. It also occurs because there is a fair amount of
risk associated with change – the risk of impacting dependencies, return on investment risks, and
risks associated with allocating budget to something new. Anticipating and preparing for resistance
by arming leadership with tools to manage it will aid in a smooth change lifecycle.
7. Celebrate Success

Recognizing milestone achievements is an essential part of any project. When managing a change
through its lifecycle, it’s important to recognize the success of teams and individuals involved. This
will help in the adoption of both your change management process as well as adoption of the
change itself.

8. Review, Revise and Continuously Improve

As much as change is difficult and even painful, it is also an ongoing process. Even change
management strategies are commonly adjusted throughout a project. Like communication, this
should be woven through all steps to identify and remove roadblocks. And, like the need for
resources and data, this process is only as good as the commitment to measurement and analysis.

References:

Burke, W., 2008, Organizational Change: Theory and Practice. Sage Publications, 2nd edition.

Burke, W. and G. Litwin, 1992. "A Causal Model of Organizational Performance and Change," Journal
of Management, Vol. 18, No. 3.

Quinn, R. E., & Cameron, K. S. (Eds.). (1988). Ballinger series on innovation and organizational
change. Paradox and transformation: Toward a theory of change in organization and management.
New York, NY, US: Ballinger Publishing Co/Harper & Row Publishers.

Michael Beer and Nitin Nohria, “Cracking the Code of Change,” Harvard Business Review, May/June
2000.