Management Case Study Example | Topics and Well Written Essays - 2000 words

Management - Case Study Example In other words change management tries to reduce the impacts on the employees of the organization and ensures to avoid disruption. Therefore the companies which successfully implements change in their system of operation are successful and on the contrary those who could not execute it properly remain at the flipside. The report will highlight on the rationale for which the company is making changes in its existing system of conducting business. The report will also try to draw attention to on the specific changes which are undertaken by Virgin Blue. Apart from that the report will also use Kotter’s eight step change model to showcase change management process. Table of Contents Executive Summary 2 Introduction 4 Why Virgin is changing 5 Changes in Virgin 7 Kotter Eight step model 9 Conclusion 14 References 15 Bibliography 17 Introduction Business environment is turbulent and organizations are not only making frequent changes to their operations but also making changes which are complex in nature. Change is the most essential characteristic for an effective management (Hussey, 2000, p.1). Change management is defined as the structured approach for modifying the organizations current situation to a preferred situation in the future. Change management is considered important for various reasons i.e. a number of issues influences the need for change. The major changes include technological change, change in customer tastes, alteration in the rules and regulations of the government, issues related to industrial relationship, competition changes, changes in leadership and a cluster of different other changes which either affects the growth of the organization or improves survival opportunity and expansion of the organization (A. Mills, Dye & J. Mills, 2008, p.10). In order to conduct or assess the positive impacts of chang e management in an organization Virgin blue the Australian air transport company has been chosen. The chosen company is a part of the renowned virgin group. The company arrived in the Australian market during the early 2000. They entered the Australian aviation industry and from then onwards they have given stiff completion to other players. The first flight of the company was DJ214 from Brisbane to Sydney during august 2000 (Virgin Australia, n.d.). They have principally focused on the leisure sector of the industry. The company has repositioned itself during the mid of 2011 with the launching of virgin Australia (Virgin Australia, n.d.). The company also achieved plenty of acclamation to its name. So in order to remain in the long run the company is also focusing on the changes to its current state. Why Virgin is changing A change in organization is a risky activity as organizations sometime fails or do not realize the proposed results. There are number of factors which are consid ered by the company to undergo changes in their existing system. Some of the reasons that Virgin blue has considered for making changes in their organization are as follows:- Declining market share – With the struggling economy there were huge losses of job and slow growth of economy. In such situations there are very less leisure travels and people tend to cut down their cost on luxury spending. Leisure travelling is one activity which gets hampered. Therefore it was necessary to make changes in their current state in order to strengthen the financial condition of the company. The changes which need to be undertaken are strictly based on current market situation. Strengthen Position in the corporate market – One of the strongest reason for which the company considered to implement changes in their