Running head: CONSULTING PROPOSAL #1 1
Consulting Proposal #1
Christopher Anderson
July 17, 2020
BMAL 504 – Leading Organizational Change
CONSULTING PROPOSAL #1 2
Definition of Project
Seagram Inc. will implement a corporate strategic plan aimed at introducing and
sustaining corporate culture change. The strategy focuses on increasing profitability through
variation, reengineering, and worldwide expansion. This case presents an opportunity for
understanding the modifications in the mode of operations at the company to shift from
hierarchical culture based to one in which the workforce is part of the decision-making process.
The case proposes a model of participative organizational culture in which the workforce is
valued. The company leadership is of great importance in transforming the company’s
organizational culture to that of innovativeness, effective communication, and openness.
Diagnosis of current situation
The executive team at Seagram Inc. has been striving to create an effective image in the
minds of its workforce and the customers. The management is essentially authoritative because
of the hierarchical organizational culture embraced by the company. Research points out that
corporate cultures founded on strict hierarchies comprise of weak communication between and
among the staff and the management at different levels (Markoczy and Child, 1994). The
rationale is that there is a gap created by hierarchies. In this, employees at the lower cadre lack
direct access to the top executives.
In the current setting at the company, there is shortage of trust. The employees do not
trust the top management. The management uses authority to get things done. The situation has
culminated in decline of productivity. The employees feel disengaged from the company. They
feel that the top management imposes authority on them. They do not work for the interest of the
company. Instead, the employees work to earn a living without caring about the future of the
company.
CONSULTING PROPOSAL #1 3
The company contends with reputation and image issues. The executive is challenged
with the identification of the company by the public. The main challenge is identifying with the
consumer on what the company means to the consumer market. By reacting appropriately to this
concern, it would mean that the management have loyal customers who will make repeat
purchases.
Analysis of the Issue
The company has been working to change the corporate culture internally. The company
has been making progress in creating a positive global image. The management has improved the
operating income while achieving numerous milestones in the consumer market. Increasingly,
the management has been gaining confidence of the staff. The change in attitude by the
employees was occasioned by the management employing focus group strategy. The strategy
enables the staff to be listened to by the management, effectively altering the staff performance
behavior.
The management encourages the staff to learn from best practices that have proved
effective in other firms. The best practices have been implemented in the company’s different
operations such as understanding customer needs (Beer, Eisenstat and Spector, 1990).
Understanding these needs is an important impetus in the pursuit of innovative solutions to
challenges that entail customer expectations.
In an effort to make the employees feel closer to the management and feel part of the
company, the management has meticulously organized focus groups from the different
departments. The creation and development of the new corporate process such as the focus group
has facilitated the creation of new channels and relationships of communication. Open
communication is facilitating the staff in adapting to the new corporate setting. The new
CONSULTING PROPOSAL #1 4
corporate climate presents a prospect for every staff at different ranks. There are diverse
functions for developing a culture founded on consideration, appreciation, and trust. The opinion
of the employees has value. They perceive that the management recognizes them when their
opinion is solicited and their suggestions evaluated for implementation. The strategy has
demonstrated to be a healthy approach for managing the employees based on the creation of trust
among employees and with the company executives. Despite all the efforts, there remains a wide
range of strategies that the company could employ to change the authoritative culture of the
company into a participative regime.
Recommendations:
For Seagram to fully transit into a participative regime where employees are engaged,
there is need to revise and redefine the culture that define the company’s brand. The new
business model adopted by the company requires new values devoid of functional pride,
authority, and individualism. Instead, the company should embrace corporate values that are
shared by all top management staff and employees with feeling alienated. The values initiative is
a significant step towards a culture of inclusivity in decision-making. A clean break is needed
from the old culture that inhibited progress. Despite the reengineering and redesign initiated by
the top management, the old culture would only change if a new set of values was adopted across
the company.
It is important to note that the use of ‘values’ approach is not a measure of success. The
company should use ‘values’ initiative as a tool to improve the communication relationship. The
success of the corporate culture change should be related to the growth of each of the divisions
within the firm in terms of improved communication culture and employee productivity.
CONSULTING PROPOSAL #1 5
For the employees to feel engaged and have a sense of belonging to the company, the
management should be ready to move the staff to new roles. The strategy will facilitate personal
growth with new challenges and more flexibility (Pucik and Zalan, 2010). The employees will
interact with others outside their departments. The employees will learn new skills. They will get
better at what they do and what is anticipated of them. When employees have changing roles and
interactions, the organization becomes homogenous, with the employees becoming agents of
change in the corporate culture.
Implementation Plan
The management should seek to develop a recommendation acceptance process among
the employees. Whereas a shift in corporate culture towards a culture of effective
communication, employee engagement and participation may appear noble, resistance to change
is inherent in organizations. The management should encourage employees to submit opinions,
ideas, and recommendations on the aspects they would want to see changes (Nadler and
Tushman, 1989). Direct communication with the human resource manager and open
communication with top management via appointments should act as the ice-breaker on effective
communication within the company. An evaluation team on value recommendation should be
appointed among the managers, supervisors, and lower cadre employees. The strategy will
change the attitude of the employees towards the management as interaction will be evident.
Once the team has polished the recommendations, they should be published in the internal
journal. The process will provide a means of monitoring the success of the company values.
There will be a mechanism for hearing recommendations. The momentum of change will be
sustained when employees feel engaged and encouraged to sustain their input into the change
program.
CONSULTING PROPOSAL #1 6
Summary
Corporate culture changes should be continuous processes. It should not be dealt with as
a one-time event or fixed entity. The room for improving aspects such as communication and
engagement should be identified and implemented at every opportunity. The corporate culture
improvement process will culminate in innovative ideas from employees on how to improve
organizational processes. The culture of effective communication between the management and
the employees should be encouraged at Seagram for effective corporate culture change.
CONSULTING PROPOSAL #1 7
Reference
Beer, M., Eisenstat, R., & Spector, B. (1990). Why change programs don't produce change.
Harvard Business Review, 4-13.
Markoczy, L., & Child, J. (1994). Barriers to shared belief: The role of strategic interest,
managerial characteristics and organisational factors. Research Gate, 1-325.
Nadler, D., & Tushman, M. (1989). Organizational frame bending: Principles for managing
reorientation. Academy of Management Perspectives, 3(3).
https://doi.org/10.5465/ame.1989.4274738
Pucik, V., & Zalan, T. (2010). Ayudhya Allianz C.P.: The turnaround. Strategy and General
Management, 1-15.
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