Human Resources And Organisational Development Essay

Human Resources And Organisational Development - Essay Example The company undertook aggressive expansion strategy by establishing budget clothing stores in malls and purchasing chains of travel agents. The company also created the â€Å"Montague† in honor of the founder of the company. 80 percent of the income was from the grocery business. Later, Mercury Consolidated acquired Smith’s and installed new managers with the objective of out competing Allworld Foods. Mercury Consolidated had initially embarked on similar strategies in New Zealand, France and South Africa. Allworld depended on other business lines like clothing, Montagues and travel to buffer the revenues when grocery business was declining. Smith’s ne management implemented new product mix and streamlined operations. Smith’s ventured in new markets Generation Y and Generation X. Within two years, Allworld dividends declined and employees expressed a lot of grievances with the management. Shareholders raised concerns of the remuneration of the management. According to the CEO, Lily Chambers, new a cultural shift was needed and was only possible to start at the top. The paper will discuss the need of changes in the organisational culture and processes in order to survive in the changing external environment. The paper will also analyze the current culture of Allworld and the desired culture. Lastly, the paper will offer recommendations that should be implemented in order to attain competitive strength and market share in the industry. Current organisational culture and desired organisational culture There are numerous reasons that may lead to failure of organisational market share. The decline in the market share can be... This report stresses that the CEO will then have to remove all the obstacles to the cultural changes. For instance, a review of performance evaluation methods, job descriptions and remuneration methods will assist in removing the hu8man obstacles to the cultural changes. The next step will involve creating short term wins. The short term wins are early indicators of the organisational cultural changes. The CEO should set time frames for the short term wins that could be like within a year. The early targets should be easy to achieve and may include low employee absenteeism. The management should then build on the short term win in order to ensure total organisational cultural changes. New product development and creativity should be the defining culture of Allworld. This essay makes a conclusion that the management of Allworld has relied on traditional aggressive pricing and advertising strategies to stay competitive in the market. There is evidence of poor management practices and lack of planning. Allworld lacks a contingency plan that can enable the company to effectively respond to urgent changes in the market. The management should change the values, assumptions and beliefs of the organisational culture. Scanning of the environment will enable Allworld to understand the competitive strengths and strategies of all the competitors. Allworld should conduct research on the changing customer needs since customers are no longer attracted to the low pricing strategy.