OUTCOME 1 1. Introduction Classic Interiors was formed by IzziMc Donald, TomiAjetunmobi and Alasdair Young.

They are talented interior designers. Their creative talent is well known and. Their creativity was showcased in quite a few of the Homes and Interiors and Boutique Hotel They have won the Interior Design Hotel Awards Scotland a year back. The have a small studio office, where they operate. The company has an administrative team of three full time staff. The office is equipped with networked computers for all staff and the partners. The office has all the necessary office operational like computers, email facility for all staff and partners. Displays around the studio. As the company is well known, the partners have to keep visiting the clients, and during their absence the callers complain to the administrative staff. Although the company is doing well, they did not have a good office management. Therefore, work suffered and clients were not too happy. It was decided that the partners will take turns to run the office, but this led to confusion and demotivated the staff. 1. Evaluation of complexities of strategic and operational level decision making: Whenever taking a decision in an organisation, it takes a lot of thinking to get the right decision in place. There are different decisions to be taken in a work place these decisions should be balanced. Such balanced decisions helps any organisation to have growth in their business, these growth will also highlight profits, goodwill and prosperity. Decision making is important in all areas of an organisation, if the right type of decision is not taken then there will be a decline in business and performance of an organisation. All decisions (business, economic, social etc.) should be fair and rational. A good decision making should serve as a precedent over a long period. A good decision making would require a balance approach which is very important for any decision making. If such balanced decision making does not take place then this would create a gap within the organisation as well as outside the organisation and will be dangerous. Prudence in decision-making is important and every one of us has the ability to take the right decision at the right time and at the right place. This is possible through human brain which 1

has the ability to learn, think, analyze and relate complex facts and variables while arriving at a decision. In an organisation when a head or a manager has to make a decision, then he has to use the right type of approach by using his knowledge, experience and his ability of rationalizing things pertaining to business. There are two types of decision making, which are strategic in nature and operational in nature. Strategic Level of Decision Making: Strategic decisions are the highest level. Here a decision concerns general direction, long term goals, philosophies and values. These decisions are the least structured and most imaginative; they are the most risky and of the most uncertain outcome, partly because they reach so far into the future and partly because they are of such importance. They will often require a considerable use of judgment by the person or group responsible for making the decisions. This is because although such decisions will require a considerable amount of analysis, important pieces of information will frequently be missing and so risk will be involved. Operational Level of Decision Making: These are every day decisions, used to support tactical decisions. These are highly repeatable decisions and therefore excellent candidates for decision management systems They are often made with little thought and are structured. Their impact is immediate, short term, short range, and usually low cost. The consequences of a bad operational decision will be minimal, although a series of bad or sloppy operational decisions can cause harm. Operational decisions can be pre programmed, pre-made, or set out clearly in policy manuals.

THE DECISION MAKING PROCESS: The decision making process needs to be though off with care.

Assess situation When taking a decision, first the problem has to be defined. This would require proper identification and decision criteria, which will be important in solving the problem. In this step, the decision maker is determining whats relevant in making the decision. This step brings the decision makers interests, values, and personal preferences into the process. Choose objectives and identify alternatives To choose an objective for the situation to be analysed is very important. This is because what one person thinks is relevant, another may not. There should be an alternative plan in light to make the right decision. The decision-maker weights the previously identified criteria in order to give them correct priority in the decision. The decision maker generates possible alternatives that could succeed in resolving the problem. No attempt is made in this step to appraise these alternatives, only to list them. Implement responses The decision maker must critically analyze and evaluate each one. The strengths and weakness of each alternative become evident as they compared with the criteria and weights established in second and third steps. This is very important when implementing the responses.

Monitor and Review Once the implementation is done that the decision should be monitored and reviewed periodically. Strategic and Operational Decision that Classic Interior partner can take. In the case study we notice that there is a lack of focus among the employers and partners. Hence certain decisions should take place. Strategic Decision Making Process: Classic Interiors have important roles in strategic decision making. The partners of Classic Interiors to get a competitive advantage are to have a close relationship with its clients. The partners should make a strategic decision to have the online service to be initiated. This initiative should be given a timeframe, where vendors can be selected to develop the online services. This initiative would require appropriate training and on-going improve process. This would be a competitive advantage, where by other organisations will find it difficult to copy. Another strategic initiative would be to have a state of art head office, where by the partners would either have to find a bigger place or build an office. The project to have a head office should be on priority basis. This is because the at present Classic Interiors are a brand by itself, hence they should project the best to their clients. The above type of strategic decision will prove to be a competitive advantage to the organisation, making them look different from their competitive. Operational decisions: An operational decision occurs on a daily basis and is made considering the risk to the business. At Classic Interiors employees at every level take operational decisions daily. Also the partners can start the day with one of the big, important tasks and then go onto smaller and less important tasks. Classic Interiors should put proper policies and procedures in place, especially where client service is concerned. Communication an important tool within an organisation should be improved. The partners should either employee a good office manager, who looks after the daily operations. Or one of them should stay in the office to maintain the operations in the office. The office staff should be given proper job descriptions, where their work is defined. Further more appropriate delegation should be given to employees based on their grade.

The operational decisions then help the firm to bring about changes that move the business toward its strategic goals.

2. Role of Office Manager In any organization the hierarchy is such that each level of employees has supervisors and managers, who report to each person higher than their rank. Every level in the organizational chart will show a head or manager, who in line will report to a person in higher designation. This is very important, as each group in an organization doing in a specialized area would require a person to monitor them. The main role of these managers/ heads is to see that there is discipline enforced within the group or overall structure of an organization. The office manager has all important responsibilities related to facilities management, bookkeeping, scheduling, vendor management, and administrative assistance. The office manager also supports the coordination of human resources, recruiting, and event planning. However small a team, and the officer manager will have to be someone who is flexible in performing duties in other words, has a whatever it takes attitude to get the job done. It is important that the office manager will help to sculpt and maintain the corporate culture. As an office manager the passion should be about working in a small fast-moving environment, possess exceptional attention to detail, be an expert communicator, and above all, have energy to burn. Furthermore he should also focus in a fast-paced environment and dedicated to implementation and compliance in the job. A manager also maintains discretion with sensitive and confidential information. To club all this things we can say that an office Managers does the following: Planning: The aspect of is very important in any business or organization development and growth. Planning involves the way forward which defining goals, establishing strategies for achieving these goals, and developing plans to integrate and coordinate activities.

Organizing: To achieve this planning organization is needed which involves designing, structuring and coordinating the work components. Organizing is the process of determining what tasks are to be done, who is to do, how the tasks are to be grouped, who reports to whom, and where decisions are to be made. Directing or Leading: Any organization is a success when all the employees work towards achieving a single goal. Leadership involves the exercise of influence by one person over the other to achieve any objectives. Hence the aspect of the right leader directing the employees is very important. Controlling: Controlling which involves monitoring the employees behaviour and organizational processes and taking action to improve them. Linking the above to the case study, we can observe that the organisation Classic Interiors is a well-known organization. Classic Interior although had good business coming in they lacked the right direction in the office. The administrator who worked for one partner, did not have the right direction and did not work as a team. Organizational structure Any organization be it big or small should have an organizational structure, which shows who reports to whom. Classic Interiors a growing company should think in those lines and have the hierarchy in place, which would translate to an organizational structure. This structure would help the administration staff to align their duties in a good way. By this way the organization can stream line the work process in the office. An office manager would have to be appointed to manage the employees and the work process efficiently. Delegate, Communication and prioritizing the jobs Once the organizational structure is in place, then the delegation process can be done. Delegation process is the best practice, here employees are empowered responsibilities and

deliver in time. Delegation with proper communication will help in development subordinates, and could help in promotions and the reward system. Communication is important and having it efficiently done will benefit any organization. In Classic interiors lack of communication was a major issue. Classic Interiors would have to bring the culture of internal communication, to bring about the right work culture. Communication could be done through weekly meetings, newsletters, emails etc. The employees of the organization should prioritize work which would enable them to have an efficient work flow.

3. Process of financial planning and budgetary control: Financial Planning Financial planning is the long-term process of wisely managing your finances so you can achieve your goals and dreams, while at the same time negotiating the financial barriers that inevitably arise in every stage of life. Remember, financial planning is a process, not a product. A good financial plan can alert an investor to changes that must be made to ensure a smooth transition through life's financial phases, such as decreasing spending or changing asset allocation. A financial plan allocates future income to various types of expenses, such as rent or utilities, and also reserves some income for short-term and long-term savings. A financial plan can also be an investment plan, which allocates savings to various assets or projects expected to produce future income, such as a new business or product line, shares in an existing business, or real estate. Classic Interiors would have to first of all have the right finance person who would prepare a financial forecast or financial plan which will show annual projection of income and expenses for a company, division or department. The financial plan will give the partner an idea of the types of expenses they will have to incur during the year, accordingly they will have to make their business plan. The financial plan will also show their assets, projected business, future expenses and income. Classic Interior partners will be able to see their business in a clear vision and strive towards the goal. The administrative team will work on the bases of the financial planning that is done annually, they would ensure as to not the cross the financial plan. This would further improve the communication between the employees as well as partners, when discussing the plan. The partners when doing the financial plan can include to the employees, and help them to understand that if a financial target is reached then this would be beneficial to the organization. Advantages of financial planning A financial plan is done to think of the future, this helps in the budget as well as controlling expense. When doing a financial plan this helps managers to look ahead to make a detailed plan to achieve any sort of target, which is department wise. A financial plan helps to coordinate and communication

When doing a financial plan, this helps management to think of the future and set out detailed plans for achieving the targets for each department, operation and (ideally) each manager, to anticipate and give the organisation purpose and direction.

Problems in financial planning Although the financial planning identifies the budgets can be seen as matters than can be imposed by management, which can result into employee and management differences. To achieve the budgetary figure, there could be possible where their book keeping could be inaccurate. Furthermore disputes over resources and employees blaming each other if targets are not attained. It would also be difficult to reconcile personal/individual and corporate goals. Waste may arise as managers adopt the view, "we had better spend it or we will lose it". This is often coupled with "empire building" in order to enhance the prestige of a department. There are also possibilities where costs can be overestimated and responsibility versus controlling will be a major issue. Budgetary Control Meaning of budget: A budget is a detail plan of operations for a specific period of time. In the present era everyone is with the term budget because it essential in life. A budget is prepared for the effective utilization of resources, which will help in achieving the set objectives. Budgets are also very important in individual life as it is important in business firms. Classic Interiors will look into the planning which is the most important function to perform. Planning of different budgeted items as per the financial plan will depend upon so many factors. Classic Interiors would have to do the budgeting and controlling of budget by comparing the actual performance with standard performance. Budgets are also prepared in advance. Budgets are prepared to check the availability of finance according to the demand of project. So budgetary control is also essential tool of management to control cost and maximizes profits. As for budget control Classic Interiors will have to use a controlling technique where by they will have to control their expenses, so that the variance in budget is not very large.

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The employees of the Classic Interior will see the control of the budget by keeping in view not wasting various thinks like paper, electricity, etc. A control in a budget will help Classic interior to look into the strategy of the company in a very clear way. Advantages of Budgetary Control Having a budget control all financial aspects within an organisation. Budget control translates strategic plans into action. They specify the resources, revenues, and activities required to carry out the strategic plan for the coming year. Budget control helps to identify the spending of organizational activities.

Problems in Budget control The major problem occurs when budget control are applied mechanically and rigidly. Budget control can demotivate employees because of lack of participation. Employees will not understand the reason for budgeted expenditures, if not explained to them while giving a target.

Financial plan and a budget can go hand in hand and will help in the following ways: Step 1: set out a pro forma cash budget month by month. Step 2: sort out cash receipts from debtors Step 3: other income Step 4: sort out cash payments to suppliers Step 5: establish other cash payments in the month The financial planning and budgetary control is very important and can support the organization. Taking the case study we can see that Classic Interiors proprietors would have to see that their expanding plan would require proper financial planning. Hence they should prepare an appropriate financial/business plan. 3. Delegation The delegation of authority is a key team leader and management skill. Good delegation techniques and systems can help individuals and organisations to be more effective. The importance of delegation should not be underestimated. Employees often crave trust and responsibility. Effective delegation meets these and other needs. 11

The manager or team leader making the delegation is still involved; however, the extent of that involvement will vary depending on the existing knowledge and skill levels of the employee receiving the delegation. If the employee is very experienced, the managers involvement will be minimal. If the employee is inexperienced, the manager may provide more support, as the delegation is clearly being treated as a development exercise. Delegation Process Delegation is a process by which a superior transfers formal authority to his subordinate. There are 4 stages in the delegation process. First Stage: Identification Here the manager must identify a work that can be delegated. The manager must also identify the right employee to delegate the work. Second Stage: Assigning duties: The manager will have to transfer the right authority to the employee. Authority is the power to take decisions. The right authority is given, so that the delegate can take the right decision at the right time, and complete the delegated work effectively. Third Stage: Acceptance of Duties The delegate may or may not accept authority delegated to him. If he accepts the authority, then the process continues. If he rejects the authority, the process of delegation has to start again. Here the delegate may not accept delegation on the following grounds: Fear of criticism Fear of being exposed of inefficiency Fear of losing job Lack of incentives Lack of information and resources to complete the work Lack of self confidence Overburdened with regular work Poor relations with the superiors etc.

Fourth Stage: Task performance

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The fourth stage is when the employee performs the task and uses the authority accurately. By accepting this assignment and its accompanying authority, the employee becomes accountable to the manager and is responsible for completing the assigned task. Benefits of delegation 1. Develops trusting relationships with employees: Classic Interior partners should delegate various tasks among their employees. This would help smooth running of the duties, as the employees will be aware that the owners have trusted them to delegate the job, if they will not perform they would breach the trust of the employer. Employees feel more involved and engaged if they feel they are being trusted with important responsibilities or activities. If they are required to think about the task, consider alternatives and make choices, the work itself becomes far more rewarding. 2. Focuses on desired results, not methods: At present Classic Interior do not have any direction in the office. There a jobs that overlap or some employees are burdened with work and others are not. Delegation of jobs will create awareness to complete the desired task, in a much more reliable way. Responsibility and accountability are important. So is thinking about the work you are doing. It can make even ordinary tasks more interesting. Barriers of delegation 1. Fear of loss of power: A manager might not delegate to a subordinate, this is because a person feels he is best when he does a task. In classic interiors should have confidence in their administration staff and give them enough powers to do their work efficiently. This would lessen the burden on the partners and they would be able to concentrate on their clienteles much better.

This barrier can be overcome by bringing in change within the organization as well as the partners. Change is always feared, but the partners should take in confidence their employees, and give delegate higher authority. The partners should see to the appropriate training, to nourish the skills of the employees to perform the task efficiently. They can also monitor the performance of the employee frequently, till they are confident that the task is perfected by the employee. Appropriate monetary and non-monetary motivational techniques should be implemented for the employees.

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2.

Fear of criticism: A subordinate may not take the delegation of powers in the fear of their boss. It would be advisable for classic interior employees to take in confidence the partners, and get the right delegation of job, which is as per their job description. This would help them to perform in a better way. This barrier can be overcome when the employee is confident about his task, the employee should take in confidence the partners, and seek their advice for the first few months to perform the job efficiently. They should also take the training offered by the partner. To conclude, the partners of Classic Interiors are always on the move catering to their clients. Hence they should have the right delegation of authority in place, which would help them to focus on their client service and further increase their productivity. Each of their administrator can be delegated a particular duty, whereby the administrator will be liable for that task and will focus on their work. When delegating such a duty the partners would have too see that appropriate training is given before assigning the task.

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5. Leadership Models Leadership is generally defined simply as the art of influencing people so that they will strive willingly towards the achievement of group goals. Leadership is a set of behaviour. A leader is a person who sees to the success of the organization by working along with the employees towards achieving the organization goals. Hence Leadership takes a strong personality with a well-developed positive ego. To lead, self-confidence and high selfesteem are useful, perhaps even essential. There are various types of leadership styles. But, Kurt Lewis identified 3 different styles of leadership. They are Authoritarian Leadership, Participative Leadership and Declaratives (Laissez-Fair) leadership. Authoritarian Leadership: When an authoritarian leader is born then they provide clear expectation for what needs to be done, when it should be done and how it should be done. Here they do not give the followers any say but they command their wishes. The leader here sees to the decision making all by him without taking the view of others. Participative Leadership: A participative who help the group in various ways. They take opinion of their group and have group discussion to get to a conclusion. Participative leaders encourage group members to participate, but they retain the final say over decisions. Delegates (Laissez-Fair) Leadership: Here the leader does not say anything himself nor does he take the opinion of the group members. Most of the decisions are taken by the group members. This can be effective in situations where group members are highly qualified in an area of expertise Linking the leadership style we can see that Tomi and Izzi used two different types of leadership model. Tomi takes the role of a Participative Leader while as Izzi is an authoritarian leader. Comparing their style, Tomi took the confidence of the employees and saw to that their views were accommodated. This is the case of participative leadership. As a group they dealt with a number of issues. The lunch time where staff would have to take turns to sit in the office was discussed and actioned upon. Tomi used the style of encouragement and motivated the staff by taking into view their opinion and experiences. If Tomi did not agree with an issue, she explained her disagreement and had the final say over a decision.

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Izzi took a different step, which was authoritative. She was stricter and did not listen to the employees. Instead, it created confusion and distribuence in the daily routin. She imposed her rules to the employees. Meetings were called as and when Izzi decided and this interfered with other daily job routine like the mail, which was not sent on time. Izzi interference and dominating ways brought about tension within the team. A leadership within an organisation is very important. Taking the above leadership theories we can see that the participative leadership style is considered very popular as the decisionmaking abilities are shared with a leader leading the group. This step was taken by Tomi, which proved to be very impressive with the staff Motivation which is a key to performance, was a tool used by tomi to encourage the staff to perform to the best of their ability. The employees were motivated by the style that Tomi took, she listened to the employees in the weekly meeting, and took appropriate actions. She also streamlined the processes for the employees, giving them more authority and motivating and encouraging them. This help the employees moral, and performed in a much better way.

Due to this the operational issues were sorted out and streamed line, and become a much better environment to work in.

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OUTCOME 2 Introduction Classic Interiors a well known interior designing company, was owned by three partners, Izzi Mc Donald, Tomi Ajetunmobi and Alasdair Young. They have won the Interior Design Hotel Awards Scotland a year back. The budding interior designers operate through a studio office, which is equipped with networked computers, used by the partners and administration staff. Classic Interiors plans to expand their operations by offering a studio-based service available through the Internet, like online services. At present Classic Interiors were successful we dealing with operational issues which has a dramatic effect on the company, as well as with technology going way ahead, they struggle in the current economic climate. Task A PESTEL PESTEL analysis stands for "Political, Economic, Social, Technological, Environmental and Legal analysis" and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management. The PESTEL analysis is a useful strategic tool for understanding market growth or decline, business position, potential and direction for operations. The "radical and ongoing changes occurring in society create an uncertain environment and have an impact on the function of the whole organization". A number of checklists have been developed as ways of cataloguing the vast number of possible issues that might affect an industry. A PESTEL analysis is one of them that is merely a framework that categorizes environmental influences as political, economic, social and technological forces. Political Politics relate to Government policy which are closely related to any organizations. Any political condition of a country is taken into consideration. The political condition should highlight the rules of the country, freedom of process, rule of law and levels of bureaucracy and corruption. A country can be assessed on the regulations and de-regulation trends. The countries tax policies and trade traffic should be taken into consideration. Also any changes in the political environment should be checked. The government sets regulations for companies to abide like, planning for hazard identification, risk assessment and risk control. If companies

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do not abide by these regulations they will be fined or even in some cases be forced to close down.

As the company is growing and has become popular, the partners of Classic Interiors would have to first of all look all the rules, regulations and government policies and adhere to the requirement. They would have to have a proper accounting system to pay all taxes and check for any changes as per the government rule. Economic Taking the Economic into view which is not always stable should always show the Current and projected economic growth, inflation and interest rates. When ever a business is going to start in any country it is important first to check the stages of business. In some of the countries like UK and UK the labour cost is high, hence the owner of a company will have to look into this aspect. There also would be changes in the economic environment with impact of globalization which is an important factor. And with the currently the economic outlook is very uncertain and this is more than likely to affect retail sales, as people do not have the spare cash to spend on luxury items such as clothing and food luxuries. Classic Interiors would have to see the economic factors, and keep up with their competitors. In case of any diversion in the economy, the partners will have to change their charges to clients, so that they can try and stay ahead of the recession. For this they would require a good financial person and office manager who would look into the economy of the country, and give the right advice to the partners. Social The socio cultural environment encapsulates demand and tastes, which vary with fashion, disposable income, and general changes, can again provide both opportunities and threats for particular companies. Over-time most products change from being a novelty to a situation of market saturation, and as this happens pricing and promotion strategies have to change. Similarly, some products and services will sell around the world with little variation, but these are relatively unusual. Organizations should be aware of demographics changes as the structure of the population by ages, affluence, regions, numbers working and so on can have an important bearing on demand as a whole and on demand for particular products and services. Threats to existing products might be increasing: opportunities for differentiation and market segmentation might be emerging. 18

Classic Interiors partners want to expand their business and stretch the company brand, for example he considered highlighting their service online as part of a plan to become a multichannel retailer, this was obviously to keep up with the competitive market and to appeal different markets in terms of social class and other demographics; this has a major influence on the way they respond to current issues. The people at present look into differentiation of ideas Consumers want services which in the present days are influenced by cultural, social, personal and psychological characteristics. For the most part, marketers cannot control such factors, but they must take them into account.

Technological Technology is widely recognized by various literature on strategic management, as part of the organization and the industry part of the model as it is used for the creation of competitive advantage. However, technology external to the industry can also be captured and used, and this again can be influenced by government support and encouragement. Technological breakthroughs can create new industries which might prove a threat to existing organizations whose products or services might be rendered redundant, and those firms which might be affected in this way should be alert to the possibility. Equally, new technology could provide a useful input, in both manufacturing and service industries, but in turn its purchase will require funding and possibly employee training before it can be used.

Classic Interior partners, have planned a lot of ideas to build their small set up. One of them was to expand by offering a studio-based service available through internet. They were also . Classic Interior partners were also looking at the latest technology which will have sophisticated software's and high tech designing concepts, which will help the partners in the current high tech world. Environmental Factors With the current environmental climate as it stands, issues are being promoted daily on the television, in magazines and newspapers and on the radio. All companies, industries and organizations are being pressured to change their ways when it comes to the materials they use and how they manufacture. 19

Classic Interiors partners will have established their CRM Policy, by which they can promote the environment factors. They can advise their clients to use materials that do not harm the environment, like using wood for their roofs can be avoided. This idea can also be a competitive advantage aspect for Classic Interiors.

Legal Factors Legislations are always changing, and some of them are Antitrust law, consumer law, discrimination law employment law and health and safety laws. Classic Interior partners should have a legal person or firm appointed. These law firm or lawyer should update the partners the new laws or legislations, and with issues regarding Health & Safety they also ensure that their legal protection is updated. The partners should also be informed of any tax changes to the business .furthermore the administrative staff too should be included in any new and ongoing development. 2. Three opportunities and Two threats for administration department Classic Interiors which is a privately owned interior design company, which is run by three partners. The company partners are hard working and brought the company to great heights. The company is small but is well known, especially since they had won the Interior Design Hotel Awards. Since the cliental list has grown, the company is finding it difficult to cope up. Hence it was decided to identify the opportunities and threats of the company. Opportunities Classic Interiors market presence is expanding as they have many future opportunities. Taking three of them into consideration, we can see that: Technology improvement 1. Classic Interiors are in the process of expanding their services and are looking into offering a studio based service which will be available through the internet and this is lacking with the competitors. This type of technology will bring the Classic interiors into popularity. Change in work practices 2. Classic Interiors would required to appoint a new office manager who would look into the changes in work practices. The entire Classic Interiors administrators would have to change their way of working as per the right office norms. This would help to streamline the process 20

and help the employees to know what is their job description. They would then be able to perform in the highest level to satisfy the organizations goals. Customer Care 3. Classic Interiors and the partners will have to see to the gaps in their organization. With the help of the office manager, proper procedures would be put in place. This would also include customer care. The case study highlights, that some of the customers were not happy, as there was miss communication between the partners and customers. Customer care can be improved with appropriate system and training. These opportunities would further let Classic Interiors enter into the international market. Threats Lack of expert staff 1. Classic Interiors although a well known organization, lack expert staff. This is considered a threat, and hence would require either to train the staff or to get in expertise. If this is not done then the organization would lose it credibility as a well known interior organization. Communication 2. Classic Interiors lack a proper management in the office and absence of an Office manager to run the office. The administration staff do not have any staff meeting, hence they did not know the critical issues happening around the office. This lead to miss communication with the clients. And hence the clients were not very happy with the service. This was a real threat since customers would then change their service provider. 3. Five changes to administration Classic interiors run by three successful interior designer, have everything to make them successful. But the companies have a number of threats. To overcome these threats, it is important to get the appropriate solution. Expert staff: Classic interiors would require to have recruit more employee who are expert in the designing and interiors. These employees will be able to tackle crutial technical problems when the partners are away in business. Business Relationship Manager Classic interiors would also require to recruit a Business Relationship Manager who has knowledge of interior designing. The duty of this Manager would be to bring in new clients. This would lessen the burden on the partners.

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Office Manager A dedicated Office manager has to be appointed so that he foresees the smooth operations of the office. Organization structure/Delegation of work At present Classic interiors partners have one dedicated staff who work for them, which needs to be changed. The organization should create an organization structure, where the reporting line is defined and the job description for each staff should be made clear. This will help in the jobs being equally distributed among the current staff. Training and Development The existing staff should be given training at work as well as sent to workshops. This will help the employees to be more job oriented and they will be able to perform better.

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Section B 1.Five reasons for resistance to change: Resistance can be defined as change which is the action taken by individuals and groups when they perceive that a change that is occurring as a threat to them. Classic Interior is in a growth spear, and hence require change. They are a number of reasons why the change was not adopted, some of them are: Self Interest: The employees at present were reporting to the partners, and had a different at the way they were working. They felt that a change in system would cause a hindrance. They were concerned with the implications for themselves. Habit: The routine work had become a habit and was a comfort and security. The employees felt that having a change in system will not be feasible and would create problems. Communication: There was lack of communication which was a major problem. The employees did not have weekly meetings nor did they have proper briefings. Hence communication was one of the reason of resistance. Low tolerance of Change: Change is always resisted, employees dont feel secure. They feel that if they cannot perform then they would be asked to leave. New Technology: Most of the times when adopting changes, new technology is introduced. There might be disagreement for such changes, and deliberations over the advantages and disadvantages of the new technology will take place. 2.Reason impact in administration department Classic Interiors should not resist to change. Since they are a growing company they would need to adopt to the new changes, to create a organization with a goal and vision. Hence the partners should see to the following: Communication When adopting changes, it is very essential to communicate the changes to staff well before hand. It is advisable to take the opinion of the employees as well. Taking the employees into confidence will make the change process easier. There might be a chance that an opinion given by the employee will be the right way forward. Encourage process experiment The employees at Classic Interiors have an impulse to do what is familiar and comfortable. They are not comfortable towards change and challenges. These types of changes when achieved to a positive note, should he highlighted and communicated. Befriend people closest to your resisters. The partners should see to the make friends with administrative assistants, direct reports, or other people who spend time with them. These relationships often yield useful information and help get better ideas. Go bottom up. If senior management is resisting your idea, start from the bottom of the organization and build grassroots support. With enough backing, from the partners it may be able to convince the employees to have a change for a betterment of the organization.

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3.Three strategies to solve this problem. Force field analysis is an influential development in the field of social science. It provides a framework for looking at the factors (forces) that influence a situation, originally social situations. It looks at forces that are either driving movement toward a goal (helping forces) or blocking movement toward a goal (hindering forces). The principle is a significant contribution to the fields of social science, psychology, social psychology, organizational development, process management, and change management. Three stage theory of change commonly referred to as Unfreeze, Change, Freeze (or Refreeze). The Unfreezing stage is probably one of the more important stages to understand in the world of change we live in today. This stage is about getting ready to change. It involves getting to a point of understanding that change is necessary, and getting ready to move away from our current comfort zone. This first stage is about preparing ourselves, or others, before the change (and ideally creating a situation in which we want the change). The more we feel that change is necessary, the more urgent it is, the more motivated we are to make the change. Right? Yes, of course! If you understand procrastination (like I do!) then you'd recognize that the closer the deadline, the more likely you are to snap into action and actually get the job started! With the deadline comes some sort of reward or punishment linked to the job. If there's no deadline, then the urge to change is lower than the need to change. There's much lower motivation to make a change and get on with it. Unfreezing and getting motivated for the change is all about weighing up the 'pro's' and 'con's' and deciding if the 'pro's' outnumber the 'con's' before take any action. Change Change is not an event, but rather a process. Process a transition. Transition is the inner movement or journey we make in reaction to a change. This second stage occurs as we make the changes that are needed. People are 'unfrozen' and moving towards a new way of being.

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This is not an easy time as people are learning about the changes and need to be given time to understand and work with them. Support is really important here and can be in the form of training, coaching, and expecting mistakes as part of the process. Using role models and allowing people to develop their own solutions also help to make the changes. It's also really useful to keep communicating a clear picture of the desired change and the benefits to people so they don't lose sight of where they are heading. Freezing This stage as freezing although a lot of people refer to it as 'refreezing'. As the name suggests this stage is about establishing stability once the changes have been made. The changes are accepted and become the new norm. People form new relationships and become comfortable with their routines. This can take time.

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Bibliography Robbins, S. P., & Judge, T. A. (2006).Organizational Behavior. Upper Saddle River, NJ: Prentice Hall. Torlak, O., &Koc, U. (2007).Materialistic attitude as an antecedent of organizational citizenship behavior. Management Research News , 30 (8), 581-96. Hayashi, Alden M. (2001) When to Trust Your Gut. Harvard Business Review on Decision Making p169-187 Sinclair, Marta (2010) Misconceptions About Intuition. Psychological Inquiry, 21: 4, p378 386 Drucker, Peter F. (1967) The Effective Decision Harvard Business Review, Jan/Feb67, Vol. 45 Issue 1, p92-98 Kepner, Charles and Bregoe, Benjamin (1965) The Rational Manager Princeton, NJ KepnerTregoe, Inc. Bazerman, Max (1986) Managerial Decision Making. John Wiley and Sons, Inc. Doconinck, J. (2003). The impact of a corporate code of ethics and organizational justice on sales managers ethical judgments and reaction to unethical behavior. Marketing Management Journal , 13 (1), 23-31. Pasa, S. (2000).Leadership influence in a high power distance and collectivist culture. Leadership & Organization Development Journal , 21 (8), 414-421. Penner, L. A., Midili, A. R., &Kegelmeyer, J. (1997).Beyond job attitudes: A personality and social psychology perspective on the causes of organizational citizenship behavior. Human Performance , 10 (2), 111-130.

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