Barriers to change :

1. Expectations of customers: Coca-Cola is serving in more than 200 countries having the
largest no. Of customers. So the pressure from customers’ size is also immense. They expect
them to maintain its original taste along with the extra ordinary quality of the drink. They
also expect the diversified products and different flavour.
2. Broad marketing approach: The company spends a huge amount on advertisement. It must
add some flavours to compete its rival.
3. Effectiveness of communication system: The company has to maintain an effective
communication channel on both levels either external or internal stakeholders although
maintenance of communication in immensely vast and global market. The good
communication between management and employees will encourage the employees to
more engagement and it will bring some more opinions to make decisions in some critical
circumstances.
4. Global brand power:
Coca-Cola was almost enjoying monopoly in the carbonated beverages market since it came
into being but before the entrance of Pepsi Co in market.

Explanation of the Restraints to change:

1. Giant size of market:
Very huge size of market and its expansion can be both for he company, an opportunity
or a challenge. Opportunity in a sense that the company can the take advantage of big
market and expand the business up to those markets where it is not working yet. If the
company is not paying attention on those then it means the competitor is only player to
win that market without any competition. However controlling this much big market is
very challenging for the organizations.
2. Supply Sources:
Local suppliers are the main source of supply of raw materials for the production
process. If anytime the local supplier doesn’t maintain the standard of the company it
may damage the company’s image (Lynn, 2016).
3. Employees resistance to change:
Employees’ resistance to change is the biggest barrier. They usually don’t like to change
because they don’t know the benefits. The organization first has to take its employees in
confidence. Train them and give enough knowledge about change to remove this
barrier.
4. Diversification in market trends:
Customers wants diversified products which can meet the current market trends. If
Coca-Cola doesn’t go for diversification it can lose a huge potential market share.
Effects on decision making:
The above barriers can have negative and positive influence on organization. If we rate the above
four the customers’ expectations stands first which has the highest potential of effects. So when
company go for change it should evaluate all these keeping in view the magnitude of their effects.
To remain at the top of the list the company must bring change by meeting the requirements of
customers. Provide them the high quality product in cheap price. If they expect different flavours
then the company should develop some different flavours according to customers’ taste to meet
their expectations. The objective of being at the top can only be achieved by averting these
restraining forces.
P5: Different approaches of leadership to deal the change in organizational context:
In any organization the management of the organization plays the most significant role in order to
identify the need of change, drivers and barriers of change. It applies the theoretical framework of
leadership. There are various approaches and theories which can be used in a changing context. An
explanation of some famous theories is given which are helpful in implementation of change.
Transactional leadership approach:
Also known as managerial leadership, this leadership style focuses on reward and punishment
scheme. Bill Gates is a famous transactional leader. Followers are motivated to achieve the goal
focusing a specific task by reward or punishment.