Assignment 5: Change Management Plan
GMcNeel0
KotterChangeManagementModelforFoxconn21.docxRunning head: KOTTER’S CHANGE MANAGEMENT MODEL FOR FOXCONN 1
KOTTER’S CHANGE MANAGEMENT MODEL FOR FOXCONN
Kotter’s Change Management Model for Foxconn
Name: Gabrielle McNeely
Institutional Affiliation: Strayer University
Kotter’s Change Management Model for Foxconn
Dr. Kotter initiated the 8-step change management model as a response to change failures in a number of organizations. Observations of organizations and the management showed that change is not initiated in a manner that reduces change resistance; consequently, the 8-step process emanated from the success factors the influenced change in the few organizations where change was a success. The 8-steps are a process that means the preceding step influences the successive step.
Foxconn, which is a Chinese based company, but Taiwanese owned engages in the assembly of electric product such as phones, tablets, and laptops among others. Companies such as Apple Inc. contract it to make Apple products. In 2013, the company employed about 1.4 million employees in China, as an electronic contractor, the success of its clients is closely intertwined with its own success (Chan, Pun & Selden, 2013). However, due to the changes in the labor conditions in China, Foxconn had to adopt by implementing some changes in order to remain competitive and relevant in meeting clients’ orders (Clover, 2014). Among the economic conditions that Foxconn had to deal with include intense pressures arising from strict timing for product delivery, accusations of illegal overtime for employees in order to meet strict product delivery deadlines, and increasing generation of youthful Chinese migrating from the rural areas who agitate for their rights (Chan, Pun & Selden, 2013). Research on the organization’s performance and working conditions compared to western-based countries during the industrialization phase showed that the working conditions at the company are not badly off. However, there were complaints that included excessive hours on production lines, overcrowding, lower wages, and low employee morale; therefore, it was accused of exploiting a situation that increased the rate of suicide at the factory complexes (Hays, 2008). In response to the accusations, Foxconn increased wages for its employees, it has initiated measures to reduce employees’ total working hours (Hays, 2012). In response to the majority of the changes of the employees welcomed the move; however, some complained that some announcements are never implemented. As such, there are human resource issues that needed to be improved. The HR management should design programs that ensure a conducive and favorable working environment for employees by valuing employees and their contribution to the success of the company.
The HRM Change Process
The second step is forming a powerful coalition. After convincing employees that change is necessary for the betterment of the organization and for themselves, active leaders are identified. The active leaders serve as influencers of other people. The active leaders include the supervisors in various sections of the production line, the heads of departments and team leaders. The identified leaders work as a team to build a strong movement for change in the organization (Pollack & Pollack, 2015).
The third step is creating a vision for change. The vision helps people in the organization focus on the direction and what is expected of them. As a result, the employees in the organization will ever understand why they have to understand some unique actions or operate differently. Vision for change helps in developing appropriate strategies that should be adopted in order to contextualize the change. Among the strategies is defining roles for the various players in the change process, and mentoring project (Pollack & Pollack, 2015). When everyone knows the vision for change, the values and culture central to the change are developed easily with minimal resistance.
The fourth step is communicating the vision for change. Notably, effective communication of the vision for change creates the needed mentality about the change. Frequent communication enables the organizational members to understand the importance and the vision for the change process. At Foxconn, human resource management should use every opportunity available to communicate the vision in order to outdo other daily communications in the organization (Pollack & Pollack, 2015). Communicating the vision for change entails often talking about the vision, addressing the anxieties and concerns of people about the change and applying the vision for change in organizational operations.
The fifth step is removing any obstacles that may hinder the change process. Whereas the urgency for change has been done, a strong coalition has been established, the vision is stated and communicated, and there are always elements that would resist the change (Pollack & Pollack, 2015). For example, some employees in the organization may be comfortable with the long overtime hours or the subsistence wage paid. Furthermore, some may resist the change because of fears such as losing their jobs or other benefits. Removing the obstacles for change also entails eliminating processes that may hinder the implementation of change. For instance, what may be triggering overcrowding in the company’s facilities is higher demand and strict deadlines; therefore, among the ways of removing such process is building more campuses and employing more people.
The sixth step is the creation of short-term wins; small successes that arise motivate the groups, the teams, and the management to stay on course. Among the quick wins that human resource management should emphasize is an increase in employee salaries and a reduction in overtime. Notably, change has targets; therefore, the people who meet the short-term win targets should be rewarded as a way of motivating them (Pollack & Pollack, 2015).
The second last step is building the change in the organization, the short-term wins are an indication of victory; however, it should not be overemphasized to the extent of losing focus because real change is deep. Therefore, short-term wins should be developed in order to achieve long-term wins. For instance, an increase in salary of employees and reduction in overtime is a short term; however, the process should continue so that employee motivation is enhanced and the workplace environment is friendly to all employees.
The last step, which is the eighth, is anchoring the change in the corporate culture (Pollack & Pollack, 2015). The human resource management in the organization should ensure that the implemented changes are discussed by the top management in the organization and structured such that they become part of the organizational culture. Among the ways of doing it is talking about the ideals and values of the change to employees, replacing key leaders necessary in sustaining the change and talking about the process of change.
References
Chan, J., Pun, n and Selden, M (2013). The Politics of Global Production: Apple, Foxconn and China’s New Working Class. New Technology Work and Employment, 28(2), pp. 100- 115.
Clover, C (2014). Foxconn Struggles to Adjust to China’s Changing Labour Landscape. The Financial Times, 17th July 2014. Web. Accessed on 7/11/2019
Hays, J (2012). Apple and Foxconn: Work Conditions, problems, and Changes. Web. Accessed on 7/11/2019.
Pollack, J, and Pollack, R (2015). Using Kotter’s Eight Stage Process to Manage an Organizational Change program: Presentation and Practice: Systematic Practice and Action Research, 28(1), pp. 1-9
