individual assignment strategy and change process amina patel
TRANSCRIPT
INDIVIDUAL ASSIGNMENT
RETAIL MANAGEMENT DEVELOPMENT
PROGRAMME
STRATEGY AND CHANGE PROCESS
AMINA PATEL
8703040052087
CONTENTS
1. Introduction
2. Question One
a. Strategic intent and direction
b. Alignment of areas of responsibility
c. Map the change
d. Focus areas for strategic achievement
e. Type of strategy for each focus area
f. Leadership commitment
3. Question Two – Identification of weak threads
4. Question three
a. Stakeholder Analysis
b. Risk Analysis
5. Question four – Important Threads
6. References
1. Introduction
Edcon (Pty) Ltd is the leading clothing, footwear and textiles retailing group in Southern Africa trading through a range of retail formats. The first Edgars store was opened on the 6th of September 1929 in Joubert Street, Johannesburg. Since then, the Company has grown to ten retail brands trading in over 1000 stores in South Africa, Botswana, Namibia, Swaziland and Lesotho.
Edcon's retail business has, through recent acquisitions, added top stationery and housewares brands as well as general merchandise to its CFT portfolio. Edcon Financial Services provides credit facilities and financial services products to the Group's over 4 million cardholders. (http://en.wikipedia.org/wiki/Edcon) Accessed on 19 October 2014)
According to Edcon (2014), the vision of the organization is to ensure that Edcon’s stores
remain "The Places to Go" in our chosen markets and to entrench our position as southern
Africa’s largest non-food retailer. http://www.edcon.co.za/about-strategy.php
The organization further articulates it’s Values as: Our core values are people, integrity, performance and professionalism, all of which are never compromised, in the pursuit of strategic growth. http://www.edcon.co.za/about-strategy.php
People: Value our employees and customers, and treat them with respect Integrity: Be open, honest and fair. Performance: We don’t just strive for excellence, we outperform. Professionalism: Approach every day with personal accountability and commitment.
My role at Edcon is a Specialist Buyer employed to look after the Shelley Lingerie portfolio which is the 2nd largest within the organization’s Intimate wear division. The Intimate wear division is an integral part of the organization’s bottom line and contributes 6% to Total Edgars turnover.
The purpose of this paper is to illustrate that there are existing obstacles within the Shelley Lingerie Portfolio and to develop a change management process to effectively implement an “Ease of Shop” service that will effectively aid to increase turnover within the intimate wear division. The change management process will have an impact on the strategic direction and intent of the portfolio and we will demonstrate in this paper the process involved to effectively drive strategic change.
Edcon strategy is driven by Bain & Company who is the current owner of the group. However Edcon’s business strategy has its own unique drivers as they are trying to achieve specific outcomes all aligned to one common goal and that it to be profitable.
Bain is a global strategic management consultancy firm that the world leaders come to when they want enduring results. They find value across boundaries, develop insights to act on and energize teams to sustain success. They define Strategy as: “A proprietary set of actions that enables a company to be worth more than just the sum of its parts.” (www.bain.com)
The different parts include:
Not burden the frontline from delivering results, so “start with nothing, then add back”
Build a compelling vision and set of concrete financial objectives that are embraced by key stakeholders.
Focus on creating a portfolio of leadership positions to generate superior returns and move to more attractive markets over time.
Determine portfolio priorities (between business units) by assessing competitive positions, leadership potential, market attractiveness and economic profit.
Use portfolio priorities to drive differential resource allocation and differential targets across business units.
Strive for systems repeatability, which creates competitive advantage from learning curve effect gained through repetition, reduced complexity by adapting a known pattern and faster and more reliable decision making on investment.
Manage a conservative capital structure to support growth and provide flexibility. (www.bain.com)
Edcon define their current strategy as: Our strategy is underpinned by four key levers:
comparable store growth, new space growth, margin expansion and credit. We aim to
improve revenue by growing comparable store sales and increasing new space growth, as
we continue to roll out additional stores in South Africa and other African countries.
We strive to leverage the benefit of these increased volumes by improving the margin on
our sales. Our ability to offer credit through our strategic relationship with Absa Bank
Limited (Absa) will enhance customers’ access to the products we sell.
http://www.edcon.co.za/about-strategy.php
It is important to highlight Bain’s and Edcon’s strategy as they drive the strategic intent in the Shelley Lingerie Portfolio. At the end of this paper, the reader will have a clear understanding of how the principles of strategic change and influence are applied to the Intimate wear department focusing on Shelley Lingerie at Edcon, and how this assists in the management of change of implement an “Ease of Shop” service. The reader will also be familiar with the stakeholders, risks, and key strengths and weaknesses that are of importance to the change management process.
Question 1
A) For the purposes of this assignment I will be looking at the intimate wear department focusing on Shelley lingerie a well-established house brand. More specifically on developing and implementing a “ease of shop” service for our clientele for two stores within:
1. Corsetry
2. Undergarments
3. Panties
We envision a roll out to the rest of the product lines upon the successful completion of this
pilot change management process.
We are currently facing the following issues:
1. Customers are not finding desired products
2. Customers are not finding desired silhouettes
3. Customers are not finding desired sizes
4. No clear destination for Shape wear
5. No clear distinction between silhouettes
6. No clear distinction between house brands
7. Retrenchments – less staff to assist customers
8. Poor replenishment of stock from store rooms
The above issues have resulted in:
1. A decline in sales:
Sales forecasted for Shelley lingerie at the end summer 2014 shows a 9% decrease in sales,
13% decrease in gross profit and 24% decrease in stock turn. Shelley contributes 22.3% to
the intimate wear department (as shown in graph below).
22.3%
10.6%
6.0%
4.2%3.1%3.6%1.6%
27.7%
21.0%
INTIMATE WEAR 2014
D 0121 SHELLEY LINGERIE
D 0122 SLEEPWEAR
D 0128 HOSIERY
D 0193 LDS SWIMWEAR
D 0378 FREE 2BU SLEEPWEAR
D 1124 FREE 2BU
D 1125 TEMPTATIONS
D 0120 BRANDED LINGERIE 1
1. The largest product line is the corsetry portfolio which contributes 53% to Shelley
Lingerie which forecasted to end summer 2014 at a decrease of 9.8%
Padded bras are the biggest contributor to the category contributing 45% -
forecasted to end summer 2014 at a decrease of 13.4%.
2. Undergarments contributes 23% to Shelley lingerie - forecasted to end level end of
summer 2014.
Within undergarments shapewear is the biggest contributor, contributing 66% -
forecasted to end summer 2014 at a decrease of 3%.
3. Shelley panties contributes 24% - forecasted to end summer 2014 at a decrease of 16%.
2. Loss of market share:
2013 2014 Loss
Intimate wear -17% -16% 1.9%
Shelley Lingerie -20% -18.7% 2.2%
Target state:
What will stop?
1. Current layout 2. Current signage
3. Current merchandising
4. Current staff interaction with customers
5. Current stock control
What will start?
1. New, clear and easy to understand signage 2. Improved service and customer experience
3. Replenishment of store room stock by size every day
4. Specific destinations for each category (Corsetry, undergarments and Panties)
5. Essential’s for core bras which include your basic bras and silhouettes
6. Panty pack fixtures by silhouettes
What will continue?
1. The same product 2. Same fixtures
3. Staff
B) In order for me to effectively implement the change management process and drive
the “Ease of Store” service I will use my position as a buyer within the Shelley Lingerie
portfolio to influence the necessary role-players by indicating as shown above the loss
in sale and market statistics. I will validate my case with actual data and visuals and
illustrating the benefits to the organisation as a whole.
People
Technology Processes and
Systems
Finance/Budget: Are we on target?
Infrastructure (Fixtures &
Signage): Impacts our
Merchandising
Information / Ease of
purchase
Staff competence: Skill
Culture: Impacts on
service
Staff Turnover: Impacts
on service
Alignment of Area of responsibility - Process flow
1. Product development & purchase
2. Sign Off
3. Suppliers
4. Planning
5.Retail stores
Buyer responsible for product line: Design and
Stock aligned to budget set at financial year
Layout to senior managers and general
managers
General Managers and Senior Managers approve
product range
Suppliers make the stock and deliver to the
distribution centres:
1. Direct supplier : Local or China
2. Indirect supplier: Agent
Technology: The supplier makes a booking on the
E Supply chain database which alerts the planner
Planner allocates the stock to the different retail
stores by store grid.
Allocations are made on the E Supply chain
database.
Planner can track what is delivered and what is
outstanding
The stores receive stock
Stock scanned onto the
system
Merchandising on the
floor
Problems faced in this
area:
Fixtures, packaging and
signage not visible
Staff not skilled
Staff demotivated due to
retrenchments – bad
customer experiences
Staff put all the
merchandise together, no
clear distinction of
product making it difficult
for the client to shop
C) The graph below indicates the decline in sales for 2014 in corsetry, undergarments and
panties and the need to implement change.
The strategic change implemented is the “ease of shop” service. This strategy needs to map
the change as follows:
Map of change in my area of responsibility
Work with marketing to design new signage and packaging for retail stores
Buy in and sign off from senior and general managers
New signage and packaging to be delivered to stores
Clearly marked signage and packaging of product
Upskills of staff - Educate staff:
o Merchandising
o Customer Experience
Store receives stock
Stock scanned onto the system
Merchandising on the floor in accordance to destinations of each category
Increased customer satisfaction due to ease of shop experience
Maintaining stock levels by working closely with suppliers to ensure that lines are
constantly replenished
Increase in turnover
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
C 1416 SHELLEY CORSETRY C 1417 SHELLEY U GARMENTS C 1419 SHELLEY PANTIES
SHELLEY LINGERIE
% Cont. to Intimate Wear % Sales Growth to 2013
D) Below are the specific areas of focus to ensure successful change and strategy
achievement.
1. CORSETRY
The focus area within corsetry is the padded bras as this product contributes 45% to
corsetry and has forecasted a decrease by 13.4% at end of summer 2014.
2. UNDERGARMENTS
The focus area within undergarments is shapewear as this product contributes 66% to
undergarments and has forecasted a decrease by 3% at end of summer 2014.
-30.0%
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
R 01 S CORSETRYPD BRAS
R 02 S CORSETRYUNPD BRAS
R 03 S SPECIALITYBRAS
R 07 S CORSETRYBOTTOMS
CORSETRY
% Cont. to intimate Wear % Sales Growth to 2013
-30.0%
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
R 03 S VESTS SPENCER R 84 SHELLEY SLIPS R 87 SHELLEY SHAPEWEAR
UNDERGARMENTS
% Cont. to Intimate wear % Sales Growth to 2013
3. PANTIES
The focus area within panties are the panty packs as this product contributes 65% to
panty packs and has forecasted a decrease of 9.2% at end of summer 2014. Panty Packs
feature across bikinis, hi cuts, full briefs, thongs and boyleg’s.
-50.0%
-40.0%
-30.0%
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
R 01 SHELLEYBIKINIS
R 03 SHELLEY HI-CUTS
R 04 SHELLEYFULL BRIEFS
R 05 SHELLEYTHONGS
R 06 SHELLEYBOYLEGS
PANTIES
% Cont. to Intimate Wear % Sales Growth to 2013
E) Type of strategy for each focus area:
Corsetry: Padded bras
The strategy for corsetry is do increase the sales of the padded bras across the retail stores,
this can be done by ensuring the following:
Clearly marked signage and packaging of product
Merchandising on the floor in accordance to destination category
Destination category for padded bras will be called Shelley Essentials
Key silhouettes in basic ranges will be placed up on back wall for display
Easy access and feel of product to enhance the customer experience
Maintaining stock levels
Undergarments: Shapewear
The strategy for undergarments is do increase the sales of the shapewear across the retail
stores, this can be done by ensuring the following:
Clearly marked signage and packaging of product
Merchandising on the floor in accordance to destination category
Destination category for shapewear will be called shapewear world
Merchandise two silhouette per fixture, this is clearly defined silhouettes to ease the
customer shopping experience
Maintaining stock levels by working closely with suppliers to ensure that lines are
constantly replenished
Panties: Panty Packs
The strategy for panties is do increase the sales of the panty packs across the retail stores,
this can be done by ensuring the following:
Clearly marked signage and packaging of product
Using existing fixtures but will merchandise one silhouette per fixture
Promotional activity around the panty packs to increase sales
F) Leadership buy in:
Challenges/Concerns Test against the business case
1. Budget: Leadership will query the cost
for new signage and packaging.
Will advise managers that cost will be deducted from
the portfolio cost and be implemented only in two
key stores to identify success or failure ratios.
2. Infrastructure: Floor space
Floor space is allocated based on
turnover of product
With the destination categories you would need
more floor space allocated to the product. This can
be achieved from a trade off with another product.
Chat to operational managers of the store to
increase space as a trade off with another product
for a 3 month period. If success the store gains
increase sales of product. If the result is failed the
product that you traded off with will get a bigger
space for the following 3 months.
3. Staff resistance: Retail store staff not
trained and equipped for change
Buyer to develop product protocol and induction
manual for retail staff. Training will be done by the
buyers responsible for the change management
process.
Question 2
Weak Threads:
The following weak threads for the “Ease of Shop” strategy has been identified using the holistic
analysis – a systems perspective derived from the RMDP notes Understanding the pressure of
change by Dr Chris Lombard. The weak threads are common for all three departments.
Dimension Sub-Dimension Strong /
Weak
Impact/Effect of Weak Threads
Operations
Infrastructure W Fixtures are not compatible in
current set up resulting in stock not
being sold to desired target
audience.
Control of stock W Lines not adequately replenished
resulting in no sizes on the floor for
customer to purchase. Furthermore
results in overstock and loss of sales.
Facilities W Floor space for a product line is
dependent on turnover of the
product. Currently the portfolio is
down on targets hence a reduced
space allocated.
Marketing
Understanding customer
needs
W Currently poor merchandising and
customer service resulting in a bad
customer experience in store.
Demographics of customer not
properly understood.
Customer service W Lack of skills and product knowledge
of retail store staff results in the
customer not adequately being
informed about the product.
Product Differentiation W All merchandise is bundled in one
place. No distinction between
product types and the silhouettes in
the ranges.
Customers
Relationships W The profiles of customers are widely
diverse. They all have different
requirements where different sizes
and need special assistance as our
products are specialised. However
the in store experience does not
take cognisance of the diversity of
customer’s needs.
Perception of service /
product
W The current perception is that the
Shelley range does not cater for a
youthful demographic, does not
have a wide variety of sizes and
often deemed an inferior brand.
Human Resources
Employee Development W Staff are under skilled and have poor
product knowledge resulting in
customers being lost to competitors.
Employee turn over W Staff retrenchments have also
impacted on the service culture as
staff are demotivated and this is
being translated to the type of
service the customer is
experiencing.
Areas
Merchandising W All merchandise is bundled in one
place. No distinction between
product types and the silhouettes in
the ranges.
Store layouts W Fixtures are not compatible in
current set up resulting in stock not
being sold to desired target
audience.
Floor space for a product line is
dependent on turnover of the
product. Currently the portfolio is
down on targets hence a reduced
space allocated.
Question 3
a. Stakeholder Analysis
Stakeholder identification
Internal What do we
want from
them?
What do they want from
us?
Potential to
influence ( high
/ low)
Importance (
high / low)
Store assistants /
specialist
To make every
customer feel
important. They
need to have
product
knowledge.
Support from head office.
They need buyers to send
them the correct product in
the correct quantities. They
need to be trained on the
product and how to layout
the merchandise.
HIGH
HIGH
Suppliers
We need on time
deliveries of good
quality product
Orders placed on time by the
buyer. Sales feedback.
Accurate projections by the
planner and stock forecast HIGH HIGH
Marketing
Highly visible and
attractive
promotions that
catch the
attention of the
customers. Good
looking signage
and packaging
Clear and organised briefs.
Product direction and
knowledge. You cannot
innovate and develop
campaigns around a product
if you do not understand the
product.
HIGH HIGH
External What do we
want from
them?
What do they want from
us?
Potential to
influence ( high
/ low)
Importance (
high / low)
Customers
Loyalty and
support. Increase
in purchases.
They would like to be
understood and receive
superior service. Staff with
good product knowledge
who understand the client
demands.
HIGH HIGH
b. Risk Analysis
Risk Description Internal
/
External
Probability Impact Risk
Factor
Action Plan
Facilities (Floor space) INT 5 9 45
Chat to operational managers of the store
to increase space as a trade off with
another product for a 3 month period. If
success the store gains increase sales of
product. If the result is failed the product
that you traded off with will get a bigger
space for the following 3 months.
Infrastructure
(Fixtures) INT 9 9 81
Changing the layout of fixtures to
enhance the space, look and feel. In this
manner the product line will be enhanced
and provide a better shopping experience
for the customer.
Merchandising INT 7 9 63
Clearly marked signage and packaging of
product
Merchandising on the floor in accordance
to destination category
Maintaining stock levels by working
closely with suppliers to ensure that lines
are constantly replenished
Staff resistance INT 7 8 56
Buyer to develop product protocol and
induction manual for retail staff. Training
will be done by the buyers responsible for
the change management process.
Staff turnover INT 8 8 64
Employee acknowledgement efforts to
increase motivation levels - example
employee of the month initiative to be
started with gift vouchers from the store.
Customer EXT 5 9 45
Launching a customer campaign to clearly
demarcate the destination categories.
This initiative will be driven with the
marketing division
Probability: 1 -3 (Low) 4 – 6 (Medium) 7 – 10 (High)
Impact: 1 -3 (Low) 4 – 6 (Medium) 7 – 10 (High)
Question 4
There are two important factors that I need to convert with regards to the “Ease of Shop”
strategy into strong threads, they are are operations and area.
1. OPERATIONS
Control of stock
Problem:
Lines not adequately replenished resulting in the following:
Insufficient sizes on the floor
Insufficient stock on the floor
Products not sold (overstock)
Loss of sales
The staff are under skilled and do not have the adequate product
knowledge which results in them not knowing the stock codes and
allocating incorrect codes to products. This in turn results in stock
being misplaced or kept in the store room which then impacts on
sale of product.
Solution:
Buyer to develop product protocol and induction manual for retail
staff which effectively details all products and how these products
need to be merchandised. Training will be done by the buyers
responsible for the change management process.
Action Plan:
Buyer to identify the full product range sent to each store
grid with the product codes.
Buyer to map codes with images to have a visual
representation.
Buyer to document the full process in a manual
Buyer to approach Management team and present manual
and process flow.
Management to sign off process and advise HR that this is a
new requirement to be added to store specialist training
programme when starting with the business.
Buyer to initiate the change management process with the
two stores identified for the pilot process
Buyer to evaluate the change and see if it has a positive
impact comparative to other stores, positive impact as
follows:
Customer can find their sizes on the shop floor
Customer can find all the different products on offer
HR to roll out process with rest of stores
Problem:
Staff retrenchments have impacted on employee performance. Staff
have reduced in number and the existing staff are demotivated and
working at a slower place impacting on stock control.
Solution :
Employee acknowledgement efforts to increase motivation levels -
example employee of the month initiative to be started with gift
vouchers from the store
Action Plan:
Engage with HR to Identify the store specialist roles and
responsibilities
Allocate importance and targets against the duties
Allocate rewards and recognition on performance
Present the process to management and explain the cost
benefit ratio.
Management to approve
Buyer to initiate the change management process with the
two stores identified for the pilot process – this is the
employee of the month initiative with gift vouchers from the
store.
Buyer to evaluate the change and see if it has a positive
impact comparative to other stores, positive impact as
follows:
Committed staff working to ensure correct stock control
Motivated staff that ensure high commitment to customer
service
HR to roll out process with rest of stores
Problem:
Insufficient stock holding by suppliers results in short stock in stores.
Solution:
Maintaining stock levels by working closely with suppliers to ensure
that lines are constantly replenished
Action Plan:
Planner to send suppliers accurate weekly forecasts
Penalties and loss charged to supplies if items out of stock
2. AREA Merchandising
& Store Layouts
Problem:
All merchandise is bundled in one place. No distinction between
product types and the silhouettes in the ranges.
Solution:
Clearly marked signage and packaging of product
Merchandising on the floor in accordance to destination category
Action Plan:
1. Corsetry: Padded bras
The strategy for corsetry is to increase the sales of the padded bras
across the retail stores, this can be done by ensuring the following:
Clearly marked signage and packaging of product
Merchandising on the floor in accordance to destination
category
Destination category for padded bras will be called Shelley
Essentials
Key silhouettes in basic ranges will be placed up on back wall
for display
Easy access and feel of product to enhance the customer
experience
Maintaining stock levels
2. Undergarments: Shapewear
The strategy for undergarments is do increase the sales of the
shapewear across the retail stores, this can be done by ensuring the
following:
Clearly marked signage and packaging of product
Merchandising on the floor in accordance to destination
category
Destination category for shapewear will be called shapewear
world
Merchandise two silhouette per fixture, this is clearly
defined silhouettes to ease the customer shopping
experience
Maintaining stock levels by working closely with suppliers to
ensure that lines are constantly replenished
3. Panties: Panty Packs
The strategy for panties is do increase the sales of the panty packs
across the retail stores, this can be done by ensuring the following:
Clearly marked signage and packaging of product
Using existing fixtures but will merchandise one silhouette
per fixture
Promotional activity around the panty packs to increase
sales
Problem:
Floor space not adequate for product line. Floor space for a product
line is dependent on turnover of the product. Currently the portfolio
is down on targets hence a reduced space allocated.
Solution:
Product line that has sufficient place and visibility.
Action Plan:
Engage with operational manager to identify if more store
space can be allocated.
Advise the operational manager of the store to increase
space as a trade off with another product for a 3 month
period.
If success the store gains increase sales of product.
If the result is failed the product that you traded off with will
get a bigger space for the following 3 months.
Critical Success Factors for the Ease of Shop Strategy
Management Support
Managers need to be inspired by this new plan of action. They need to share the same
vision for this strategic change in order for an effective change management process to take
place. Once we achieved success in the pilot stores we will gain respect from the other
stores in the region and division.
Staff Support
All the staff in the store needs to be addressed and made aware of this new change in
strategy of the store. Once they see the value in it for them, it will get them more involved
and a sense of ownership is then established with them. This will not only benefit the
company, but their pockets as well.
HR Support
HR needs to assist in effectively driving the change. They need to develop employees and
motivate them to reach desired targets. HR buying is very important and they need to fully
understand their role to drive change.
Leadership
All of the great leaders of the past did not get where they are because of how smart they
are. They got where they wanted to because of their ability to influence according to me.
This is one the most important critical factor of success. Influence according to
www.businessdictionary.com can be defined as follows;
The activity of leading a group of people or an organization or the ability to do this.
Leadership involves
(1) establishing a clear vision,
(2) sharing that vision with others so that they will follow willingly,
(3) providing the information, knowledge and methods to realize that vision, and
(4) coordinating and balancing the conflicting interests of all members and stakeholders.
A leader steps up in times of crisis, and is able to think and act creatively in difficult
situations. Unlike management, leadership cannot be taught, although it may be learned
and enhanced through coaching or mentoring
It is with influence that this strategy will succeed in the pilot stores. Using all the tools and
knowledge in this assignment I can present a case to the management team to influence the
change. The analysis of the store and the current margins indicates the validity and research
done to strengthen my recommendations.
The change management framework that I have identified that could effectively assist in
driving the change is Kurt Lewin’s three phase approach of Unfreezing, moving and
refreezing as depicted in the diagram below:
This model assumes that change will encounter resistance. Therefore, executing change without prior preparation is likely to lead to failure. Instead, organizations should start with unfreezing, or making sure that organizational members are ready for and receptive to change. This is followed by change, or executing the planned changes. Finally, refreezing involves ensuring that change becomes permanent and the new habits, rules, or procedures become the norm (www.web-book.com)
Stage 1: Unfreezing
It involves getting to a point of understanding that change is necessary, and getting ready to move away from our current comfort zone. It is about preparing ourselves, or others, before the change and motivating the change (and ideally creating a situation in which we want the change).
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 you take any action. (www.change-management-coach.com//kurtlewin)
Stage 2: Change - or Transition
Kurt Lewin was aware that change is not an event, but rather a process. He called that 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.
That said this stage is often the hardest as people are unsure or even fearful. 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. (www.change-management-coach.com//kurtlewin)
Stage 3: Freezing (or Refreezing)
Kurt Lewin refers to this stage as freezing although a lot of people refer to it as 'refreezing' and 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.
Lewin's concern is about reinforcing the change and ensuring that the desired change is accepted and maintained into the future. Without this people tend to go back to doing what they are used to doing. This is probably what Kurt Lewin meant by freezing - supporting the desired change to make sure it continues and is not lost. (www.change-management-coach.com//kurtlewin)
More modern models of change, such as the model, are more explicit about this step and include Reinforcement as one of their phases. I've also read this final step of freezing referred to as the lock-in effect. Establishing stability only happens when the new changes are locked-in.
In what ways do I think this model might be useful for Edcon?
Above is the explanation of the model and below is an illustration of how the model will be
applied to the ease of shop change being implemented in the Shelley range of intimate wear
at Edcon.
I would “unfreeze” management and leadership position by demonstrating the need for
change and illustrating the benefits of the change in the short, medium and long term.
I would “move” their behaviour by running the change as a pilot project at two of our stores
and affording them the opportunity to engage with all the stakeholders in order to fully
appreciate and understand the strengths of the target state.
I will refreeze their position by asking all stakeholders to write a report that details their
reaction to the change and how this has had an immediate and positive influence on the
organisation. The management and leadership of the organisation are likely to commit and
“refreeze” their position in relation to the change once they have seen a clear and obvious
benefit to the key stakeholders involved in the change.
References
Change capacity PowerPoint notes
Websites:
http://www.bain.com/consulting-services/strategy/corporate-strategy.aspx
www.businessdictionary.com
www.change-management-coach.com//kurtlewin)
http://www.edcon.co.za/about-strategy.php
www.web-books.com