Strategic change management plan: a case study of pt.margaria group

Herdyana, Annisa Rahma (2014) Strategic change management plan: a case study of pt.margaria group. Masters thesis, Institut Pertanian Bogor.

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Official URL: http://elibrary.mb.ipb.ac.id

Abstract

Over the past five years, retailing industry in Indonesia has seen a very rapid growth. PT. Margaria Group, a medium sized goods and services retailing company based in Yogyakarta, has opted to undergo a change in organizational structure in January 2014. However, many organizational change efforts fail due to the management’s lack of understanding of how to properly implement changes and what consequences do these changes bring about to the organization. Therefore, an effective change management strategy is needed to successfully carry out the change and ultimately aid the organization in achieving its long-term strategic goals. The main purpose of this research is to: 1) To analyze what type of change that PT. Margaria Group intends to undergo; 2) identify internal and external driving forces that trigger changes in the organization; 3) determine how significant these change drivers have affected the company over the previous year; 4) analyze the potential impact(s) that the planned change has towards PT. Margaria Group and its employees; 5) identify potential resistance that might arise from the planned organizational structure change; and 6) formulate change programs for PT. Margaria Group in order to successfully carry out the planned change. The planned change in PT. Margaria Group’s organizational structure is classified as a transitional change. The top five external driving factors are the need to successfully differentiate among intensified competitors, rise in consumer purchasing power, dynamic and ever-changing industry, rapid developments in technology, and insignificant customer switching cost. Meanwhile, ineffective communication caused by unclear organizational structure, work overload, continuous growth of business portfolio and ventures into new industries, unsuccessful regeneration, and a hands-on management approach are identifed as the top five internal change drivers. Three of the strategic change drivers (need to successfully differentiate, dynamic industry, and ineffective flow of communication) were assigned ‘very high impact’ by respondents, while the remaining strategic change drivers were deemed to have ‘high impact’. An analysis of how the planned change will affect the organization utilizing the Star Model revealed that in all of the five aspects (strategy, structure, process, reward, and people), respondents generally express high confidence and faith in the upcoming change. However, respondents consider that the change in organizational structure will not be able to lessen involvement from executive director in daily technical business activities, provide a more effective control and evaluation from FAT division, and create equal career opportunities based on competency and not seniority. Forms of potential resistance that PT. Margaria Group might encounter in implementing change involves fear, cost, mindset, perception differences in management, and ineffective communication, lack of training, limited resources, and reluctance of employees to be involved in decision-making. The proposed major change management strategy involves purposeful planning, management support, effective communication, motivating people, vision and clear goals, control and feedback on progress, training, as well as supporting environment. Out of the 18 change management programs proposed during FGD, respondents agreed on the feasibility and potential success of 15 programs which fall within the ‘win’ and ‘worry’ zone (program 1, 3, 4, 5, 6, 7, 10, 11, 12, 13, 14, 15, 16, 17 and 18).

Item Type: Thesis (Masters)
Additional Information: 16(47)Her s
Uncontrolled Keywords: Manajamen Strategi, manajemen strategik, manajemen perubahan, transitation model, analisa force-field, star model, dice model
Subjects: Manajemen Strategi
Depositing User: SB-IPB Library
Date Deposited: 08 May 2014 08:10
Last Modified: 13 Nov 2019 08:54
URI: http://repository.sb.ipb.ac.id/id/eprint/1874

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