Your company, ABC Electronics, is undergoing a relatively calm
period, sales are stable with slight increases, however your market
share is decreasing in an environment where new players are
appearing with innovative products that are technologically superior
to your company’s own, several of them in offshore locations.
Strategy consultancy firm PVC has issued a market analysis study
that claims that the tendency of your star products is to disappear
from the market in 2 to 3 years due to the new alternative products
that some of your competitors are already starting to commercialize.
Most of ABC’s employees are experts in the old technologies and
products. Many of them have been working with those technologies
for over 10 years and they lack the skills needed for the new product
line and technologies. At the same time your factory is setup and
optimized to produce the old product line. You will need to invest in
transforming it to produce the new products. Additionally, the IT
systems require an urgent update, since they are configured to serve
the old setup of the company. A significant investment will be needed
to adapt them.
The divisions have become silos over time and there is little
communication or collaboration across departments. ABC is
apparently a successful company with a rigid hierarchical culture
extremely adverse to risk and change. After all, their current
configuration has proven successful for many years.
ABC’s CEO is clear in his analysis of the situation: the company will
not survive unless they abandon the current product line and start
investing in new technologies that will compete with the new
products in the market. For that purpose, he asks you, the head of
the internal project management department, to lead a change
management project that will transform the company’s focus and
structure to embrace the new technologies and product lines.
Please do the following:
1. Identify what the vision for change for this firm would be. In
addition, identify what drivers and constraints the firm must
factor in when implementing a change management plan to
achieve the set objectives. (33%)
2. Prepare a diagnosis of the firm and identify the problem /
challenge / dilemma that this firm is facing. The diagnosis
should cover two parts: external environment of the firm, and
internal or organizational diagnosis. You should select the
most appropriate change diagnosis tools and factors and
make explicit reference to them in your answer. (67%)
• Outcome 1: understand and apply the competencies and
behaviors of an effective change agent.
• Outcome 2: assess and evaluate the varying diagnostic
tools used to facilitate organizational change
• Outcome 3: Demonstrate the ability to appraise the ideas and
arguments of academics and practitioners to assess the
validity of the conclusions reached within the context of
• Outcome 4: compare and contrast four change strategies and
effectively apply them within defined contexts and/or specific
• Outcome 5: develop and recommend an appropriate change
management plan in accordance with an organization’s
mission, processes, systems, organizational structures, job
roles and external stimuli;
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