CONTENT

No Topic Page

1.0 Introduction of the selected organisation 1

2.0 Types of environments and focus of change by the organisation 2-5

3.0 Description on the framework for change developed by Burnes 6-8

4.0 Discussion on the approaches 9-11

5.0 Conclusion 12

6.0 Part 2 – Online Class Participation 13-15

References 16
1.0 INTRODUCTION OF THE SELECTED ORGANISATION
UMW Toyota Motor Sdn. Bhd. (UMWT) is the appointed Toyota distributor, assembler
and exporter of Toyota vehicles in Malaysia. The company was founded in October 1982
as Sejati Motor, prior to being renamed UMW Toyota Motor in October 1987. UMW
Toyota Motor is a joint venture between Malaysia-based United Motor Works (UMW), and
the Toyota Motor Corporation (TMC) and Toyota Tsusho Corporation of Japan. UMWT
wholly owns Assembly Services Sdn. Bhd. (ASSB), the exclusive assembler of Toyota
passenger and commercial vehicles in Malaysia. They are also the official distributor of
Lexus vehicles in Malaysia since 2006. Prior to 1968, Malaysian market Toyota models
were only imported as complete built up (CBU) units. In the 1960s, the Malaysian
government began to emphasise industrialisation, then viewed as a more dependable
economic sector for employment and economic growth. In May 1964, the Malaysian
government enacted a policy to encourage the local assembly of vehicles and
manufacturing of automotive components. The new policy made complete built up (CBU)
cars more expensive through the addition of import duties, and licenses were issued to
various car companies who were interested in setting up local assembly plants. In the 1970s,
Malaysia experienced an economic boom as a result of increased industrialisation. Japanese
companies heavily invested in Malaysia during this period, and Toyota was one of several
Japanese firms which contributed to the development of Malaysia's automotive industry.
Local assembly of the Toyota Corolla and Toyota Corona commenced in February 1968 at
the Champion Motors (CM) plant in Shah Alam. Champion Motors was renamed as
Assembly Services Sdn. Bhd. (ASSB) in April 1975. Over the course of the 1970s,
Assembly Services benefited from significant technology transfer from Toyota. Production
engineers from Toyota contributed to the design of ASSB's plant and advised on the
assembly of vehicles. Later in March 1980, Toyota set up a representative office in Kuala
Lumpur, and in October 1982, Sejati Motor was established through a joint venture between
the Toyota Motor Corporation and United Motor Works (UMW). In October 1987, Sejati
Motor was renamed to UMW Toyota Motor (UMWT), while ASSB remained a subsidiary
of UMWT ever since, as the exclusive assembler of Toyota vehicles in Malaysia. Another
ASSB manufacturing plant at Bukit Raja, Klang rolled out its first car on 10 January 2019
which was a Toyota Vios. This plant will operate alongside the existing plant at Shah Alam
and during its initial face can have an annual output of 50,000 vehicles.

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2.0 TYPES OF ENVIRONMENT AND FOCUS OF CHANGE BY THE
ORGANISATION
Organisational change means to the modification of the existing organisation to enhance
its effectiveness and efficiency. It introduces the basic concepts of organisational change
and describes the various forms of change, the sources of change (internal and external)
and the focus of change (people, structure, and technology). Organisational are confronted
almost daily with the need for change. Over the last few decades many new products and
services have been introduced into the market; local markets have become global markets;
protected industries have been opened up to competition; and public institutions have either
been privatised. In simple words, change has become both pervasive and prevalent. Hence,
obviously change is invisible in an organisations and managing change effectively is a
major challenge faced by organisations. There are two types of environment which are
turbulent environment (culture, structure and process), and stable environment
(attitudes/behaviour, task and procedures).

1) Turbulent Environment - Culture

Emphasising the improvement of job performance by changing certain culture of
organisation members such as their work attitudes and work behaviour. In UMWT,
managers may attempt to make this kind of changes when human resources are shown
to be the major cause of organisational ineffectiveness. Example of people change are
training given to employees to learn new process, or new vehicle technology, not to
mentioned stress management programmes to enhance employee’s welfare.
Apart from that, communication is deemed important to influence employees to bring
desired changes and fulfill employee’s talent. This causes UMWT to regularly enhance
employee skills in order to meet evolving vehicle market requirements. This can be
achieved through a program of learning, training, new skills competency enhancement
and work process improvements. This point, also described as culture change in the
UMWT’s management.
Above of all, performance planning among the employees and managers are very
important in culture change. The performance management process requires annual
formal reviews, the calibration of talent and allocation of performance rewards and
promotions all decisions in line with being a meritocracy. Throughout the year,
UMWT’s managers provide employees with ongoing feedback, coaching, training and
on-the-job development. Employees and managers mutually create the employee-
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 development plans. This entire process aligns individual performance objectives and
career-development planning with business and company goals and results. This plan
evolves over time, adjusting to internal and external changes.
The change of political environment also contains varying of government's laws in
every country which too complicated to he company or others to adapt immediately to
the new laws. It includes the field of advertising, safety, pollution, and investing
required by different governments. In economic environment, UMWT should focus on
the value of the home currency which all parts and products they are importing to the
country and the prices vary with changes in the relative exchange rates. Even in the
crisis period, the customers are likely to purchase higher quality products rather than to
simply buy based on their income.
The culture environment contains a large impact on the industry with large sphere of
influence. The key to be succeeded in these changes depends on how UMWT adapts to
the environment by modifies it marketing fix and strategies. The strategy will be
changed depends on the economic environment where containing consumer buying
power, inflation levels, number of employee levels, credit conditions to the customer.
2) Turbulent Environment – Structure and Process
Structural factors are organisational control, such as policies and procedures. It
involves any modification in authority relationships, chain of command, coordination
mechanisms, degree of centralisation or decentralisation, job design, spans of control,
work specialisation, departmentalisation, formalisation, standardisation or team
building. It may involve major changes in the actual structural design. Changing
conditions or changing organisational strategies often lead to changes in the
organisational structure. Examples of structure change is revision of job specification
and job description. In addition, modifying organisational structure to fit the
communication needs of the organisation. Other than that, decentralising the
organisation to reduce the cost of coordination, increase the controllability of work
units, increase employee’s motivation and gain greater flexibility.
Motivation to the senior staff is one of the changes made below structural factors of a
multinational company. The employees work with managers to create well-rounded
development plans to prepare them for future roles. An ideal plan blends training with
on-the-job experiences and career moves and mentoring from co-workers and others.
Employees build networks in which they can give and receive feedback. Targeted
external coaching is offered to executives to provide guidance and support to help
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 improve performance and grow leadership capabilities. Employees may use the 360
review process to gain performance insight and identify opportunities for growth and
improvement.
Open communication also leads to increased understanding of the need for change
within the organization. Communication in UMWT is open across all levels of the
organization from top management to the lowest position. Relevant feedback is
recurrently shared for improvement. This change will encompass a wide breadth of
topics from technical training to communication skills and also to the sales workshops.
3) Stable Environment – Attitudes and Behaviour
Attitude is an expression of favor or disfavor toward a person, place, thing or event.
Attitude can be formed from a person’s past and present. An attitude can be as a positive
or negative evaluation of people, objects, events, activities and ideas.
Behavior is a response of an individual or group or range of actions and mannerisms
made by individuals, organisms, systems, or artificial entities in conjunction with
themselves or environment, person or stimulus whether internal or external, conscious
or subconscious, overt or covert, and voluntary or involuntary.
A job attitude is a set of evaluations of one’s feelings toward, beliefs about, and
attachment to one’s job. Overall job attitude can be conceptualized in two ways. Either
as affective job satisfaction that constitutes a general or global subjective feeling about
a job or as a composite of objective cognitive assessments of specific job facets, such
as pay, conditions, opportunities and other aspects of a particular job. Employees
evaluate their advancement opportunities by observing their job, their occupation, and
their employer.
Many measurements and scales are used to examine attitudes, but it can be difficult to
measure because measurement is arbitrary, meaning people have to give attitudes a
scale to measure it against, and attitudes are ultimately a hypothetical construct that
cannot be observed directly.
4) Stable Environment – Task and Procedures
The development of task procedures in change management has become a fundamental
process in every sectors. This is due to the complexities of current technology as a result
of high increase in demand for vehicle, but most importantly, the technological
advancement and globalization has brought lots of innovations in the ways of doing
things in all spheres of human society; be it political, social or education etc. These
changes have indeed posed a great challenges on management of automotive industry
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specifically UMWT that they must endeavour to produce quality products which able
to meet the global competitiveness. In other to cope with these demands, managers,
executive or administrators of UMWT, should be proactive, foresighted, have
knowledge and technological skills to be able to systematically and objectively plan to
realize the policies set by UMWT themself. The task and procedures management
involves the process of forecasting, planning, decision making, supervision,
implementation and evaluation of their policies with the sole aim of attaining set further
goals.
In UMWT, the diversion of tasks will be determined according to the staff’s respective
skills such as human resources, technical, etc. This change is aimed at improving the
quality and productivity of work by examining the existing structure and reorganizing
the processes and activities of the organization in a better direction while forming an
appropriate organizational structure and culture. It is appropriate for organizations to
establish a work culture that can distinguish the identity of an organization from other
organizations. The spirit of teamwork can also be fostered through the culture instilled
in the organization. UMWT also make changes to improve the quality and effectiveness
of employees task in the organization such as holding courses and training for new
employees to clarify working methods and techniques, especially for technical
employees who need certain skills about technology. Workforce management is one of
the most important functions in an organization. This is due to the success of an
organization depends on the quality and quantity of the workforce. Though the training
carried will add more costs to the organization but it will give good returns in the long
run. The skills possessed by employees will provide benefits to the organization itself
in addition to being able to improve the quality and quality of the services performed
later. Creative and innovative employees are able to produce high-quality products for
the organization.

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3.0 DESCRIPTION ON THE FRAMEWORK FOR CHANGE DEVELOPED BY
BURNES (2004)
Figure below shown four quadrants, each of which has a distinct focus in terms of change.

The top half of the figure, Quadrants 1 and 2, represents situations where organisations
operating in a turbulent environment need to make large-scale, organization wide changes
to either their culture or structure. Meanwhile, the bottom half of the figure, Quadrants 3
and 4 is representing situations where organisations operating in a stable environment need
to make small-scale, piecemeal and localized adjustments to attitudes and behaviours or
tasks and procedures.
This concludes the left-hand side of the figure, Quadrants 1 and 4, represents situations
where the main focus of change is the human side of the organisation, i.e. cultural and
attitude or behavioural change. These sorts of changes are likely to be best achieved through
a relatively slow, participative approach, rather than a rapid and directive or coercive. The
right-hand side of Figure, Quadrants 2 and 3 represents situations where the primary focus
is on achieving changes to the technical side of the organisation, i.e. structures, processes,
tasks and procedures. These types of changes tend to be less participative in nature and
relatively more rapid in their execution.

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1) Quadrant 1
It identifies situations where the culture of an organisation operating in a turbulent
environment is no longer appropriate. For such relatively large-scale initiatives, where
the main focus is culture change at the level of the entire organisation or large parts of
it, the Emergent approach (e.g. Kanter et al’s Long March), which emphasises both the
collaborative and political dimensions of change, is likely to be most appropriate. The
attempts to change culture through top-down, directive or coercive initiatives are liable
to fail. Therefore, where they are to be successful, such forms of change are less likely
to be consciously embarked on and more likely to ‘emerge’ from a host of initiatives
that arise in response to changes in the environment, though this does not necessarily
exclude some elements of deliberation and guidance from senior managers. Although
the organisation may be operating in a turbulent environment and, therefore, individual
elements of the cultural change may be rapid, the overall cultural transformation is
likely to be a slow process.

2) Quadrant 2
It relates to situations where the focus is on achieving major changes in structures and
processes at the level of the entire organisation (e.g. Kanter et al’s Bold Stroke).
Situations where such changes are required arise for a variety of reasons. It may be that
an organisation finds itself in serious trouble and needs to respond quickly to realign
itself with its environment. Alternatively, it may be that an organisation is not
experiencing a crisis, but that it perceives that it will face one unless it restructures itself
to achieve a better fit with its environment. In such cases, it may not be possible or
advisable to change the structure slowly or on a piecemeal basis and, therefore, a major
and rapid reorganisation is necessary. Because it involves the entire organisation or
major components of it, this is likely to be driven by the centre and to be the focus of a
political struggle, given that major structural changes are usually accompanied by major
shifts in the distribution of power. Therefore, the new structure will be imposed from
the top in a directive or even coercive way, depending on the balance between winners
and losers.

3) Quadrant 3
Q3 presents a different picture which represents organisations operating in a relatively
stable environment where changes to the technical side of the organisation tend to be
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 relatively small-scale and piecemeal and with few (if any) implications for behaviour
and attitudes. Such changes take place at the individual and group level rather than at
the level of the entire organisation. How these are managed will depend on the culture
of the organisation. In a traditional, bureaucratic organisation, a Tayloristic approach
may be adopted, i.e. specialist managers and engineers will identify the ‘best way of
working’ and impose it. In a more participative culture, such as a Japanese company, a
more collaborative approach may be appropriate, such as a Kaizen initiative that brings
together a team comprising workers and specialists. But either is possible and it should
be possible to achieve either in a relatively speedy fashion.

4) Quadrant 4
It covers relatively small-scale initiatives whose main objective is performance
improvement through attitudinal and behavioural change at the individual and group
level. Once again, organisations in this situation tend to be operating in a relatively
stable environment and, therefore, the Planned approach, with its emphasis on
collaboration and participation, is likely to be most appropriate. However, because such
changes focus on behavioural and attitudinal change, they tend to be relatively slow.

4.0 DISCUSSION ON THE APPROACHES

Based on framework, the approaches with the types of environment are Turbulent
Environment consist of i) culture - emergent approach; ii) structure and processes - bold
stroke approach and Stable Environment which includes i) attitudes/behavior - planned
change approach; ii) task and procedures - Taylor and Kaizen approach.

1) Culture – Emergent Approach

Is an action model coined by author Henry Mintzberg that describes a business strategy
that develops over time as a business balances its goals with changing circumstances.
These strategies emerge after a business carries out a set of actions repeatedly to
develop a pattern in its habits. Emergent strategy differs from deliberate strategy in
business because the pattern of an emergent strategy is by definition unintended.
Examples of unforeseen circumstances that can prompt emergent strategies are market
changes, economic changes and fresh ideas. Emergent approach can be a natural result
of a company adopting processes to address changing circumstances. When
organizations embrace emergent strategy, they can use the power of change to guide
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 their plans, visions and decisions, rather than a specified business strategy. This can
allow businesses to adopt new and innovative processes through trial and error. While
emergent strategies can be unpredictable, they can give companies an opportunity to
better meet the needs of consumers and adapt to new situations. The ability to adapt
through the use of emergent strategies can help businesses weather financial hardship
and discover new applications for their products. Some benefits of using emergent
approach are practicality to the work process, opportunity in getting new ideas, and as
a learning ground. UMWT is using emergent approach to its organisation specifically
at the manufacturing plant to reduce waste, control production timea as well as
achieving production target.

2) Structure and Process – Bold Stroke & Long March Approach

As any experienced manager should know, a classic illustration of the difference
between bold strokes and long marches. Bold strokes are decisions that can be made at
the top, implemented pretty quickly by command as acquisitions, divestitures, real
estate purchases, layoffs. It also are big strategic decisions or major economic
initiatives, such as issuing executive orders, announcing new policies, merging with
unit, ending some projects or re-allocating critical resources. While long marches takes
time and the involvement of many people who must produce new elements and
coordinate their actions before the change can be successful. Long Marches are more
operational and cultural initiatives, such as winning people’s hearts and minds to
embrace the actions, changing people’s behavior, transforming quality of curriculum or
services, or enhancing overall effectiveness. The difference between both approach as
below table:

Bold Strokes Long March

Time Frame Fast Slow

Locus of Action Decision made at the top Initiative throughout

Leader Control High level of control; can Lower level of control; can
command results initiate and delegate

Initial Results Clear actions & impact Unclear actions & impact

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 Final Results Less predictable More dependable

Culture Impact Behavior and habits often Behavior and habits can
remain unchanged change

3) Attitudes/Behaviour – Planned Change Approach

Planned change approach in organizational development is preparing the entire
organization for new goals or a new business strategy. The direction can be culture,
metrics, internal structures, processes, or other relevant areas. There are three
significant organization development and change cummings theories used to help the
organizational members manage the change.

a) Lewin’s Organization development and change model

Lewin’s model is the basis for comprehending organizational change. It was first
developed by Kurth Lewin and had three steps in it. Lewin’s change model suggests
increasing the factors that trigger a change in the organization while reducing the
forces that preserve the existing status of the organization. This reduces the
resistance to change. The three steps involved in this model include:
i) Unfreezing: This step involves reducing the factors which maintain the
existing organizational behavior at the current level. It is named unfreezing
because the existing state is unfrozen here. Unfreezing is sometimes
accomplished by the causes of psychological disconfirmation.
ii) Moving: There is a displacement of existing organizational culture,
innovation strategy, individual or department to a different level. It also
involves interfering in the present system to develop new attitudes and
relevant organizational change.
iii) Refreezing: In this step, stabilization of the organizational equilibrium
occurs. Supporting mechanisms and procedures are used to achieve
refreezing, which forces the new organizational state.

b) Action Research Organization development and change model

Planned change in organizational development is a cycle, and the action research
model focuses on the planned change as a cycle. The core research about the

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 organization gives information to guide further action. The results are assessed on
the amount of information provided. Action research has the objective of assisting
companies with implementing their planned change. It also helps develop general
knowledge gathered from implementing the planned change so that it can be applied
to other companies.
c) Contemporary approaches to change
The contemporary approaches to change are culled from an action research model.
However, the difference here is that the member involvement is relatively high in
the change process. This includes educating the members of the organization about
their company and how they should change it to apply the planned change.

4) Task and Procedure – Kaizen Approach

The word is very synonym with UMWT has the Japanese DNA in it. Kaizen is a
Japanese term meaning change for the better or continuous improvement. It is a
Japanese business philosophy that concerns the processes that continuously improve
operations and involve all employees. Kaizen sees improvement in productivity as a
gradual and methodical process. The concept of kaizen encompasses a wide range of
ideas. It involves making the work environment more efficient and effective by creating
a team atmosphere, improving everyday procedures, ensuring employee engagement,
and making a job more fulfilling, less tiring, and safer by having continuous
improvement over time. Some of the key objectives of the kaizen philosophy include
quality control, just-in-time delivery, standardized work, the use of efficient equipment,
and the elimination of waste. The overall goal of kaizen is to make small changes over
a period of time to create improvements within a company. That doesn't mean
alterations happen slowly. The kaizen process simply recognizes that small changes
now can have huge impacts in the future. Improvements can come from any employee
at any time. The idea is that everyone has a stake in the company's success and everyone
should strive, at all times, to help make the business model better. Many companies
have adopted the kaizen concept. Most notably, Toyota employs the kaizen meaning
and philosophy within its organization. It esteems kaizen as one of its core values. To
improve its production system, Toyota encourages and empowers all employees to
identify areas of potential improvement and create viable solutions. Figure below shows
the Kaizen approach:

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5.0 CONCLUSION
Good management is not just details left to technocrats. It is good for customers,
constituencies, and the public. Britain managed an Empire not because of a great leader at
the top, but because of an effective civil service well-trained in management. Some scholars
have argued that countries in Africa and other parts of the developed world that were once
governed by the British were left a legacy of administrative capabilities that make them
relatively better managed today. In contrast, bad management hurts everyone. It wastes
time and money. It fails to produce results while crowding out alternatives. Evidence of
managerial experience (and what was learned from it) would be a good prerequisite for
leadership. Lawyers and doctors must pass tests before practicing their professions, but
there is no managerial exam to pass in order to get a license to lead. That’s management.
Vision, symbolism, inspiration, and other items associated with leadership are vitally
important, no question about it. Let’s bring management skills back into leadership. While
asking managers to become more visionary, let us also insist that leaders should be able to
manage well by having all the concept and approach which are discussed earlier on top.

(4,344 words)

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