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1urn|ng the Corner at Iord
lord MoLor Company of AusLralla ls an auLomoblle manufacLurer responslble for adapLlng and
manufacLurlng Lhe lnnovaLlve vlslon of Penry lord Lo sulL Lhe Lrends and preferences of AusLrallan
consumers lord AusLralla's mlsslon has been sLaLed Lo be sLrlvlng Lo be a world leader ln
auLomoLlve and auLomoLlverelaLed producLs and servlces as well as ln newer lndusLrles such as
aerospace communlcaLlons and flnanclal servlces" lord AusLralla's mlsslon also sLaLes Lhe
company's deslre Lo lmprove our producLs and servlces conLlnually Lo meeL our cusLomers' needs"
whlle aL Lhe same Llme proacLlvely sLrlvlng Lo provlde a reasonable reLurn for our sLockholders"
1he company furLher sLaLes ln lLs mlsslon values and guldlng prlnclples LhaL lord AusLralla has a
sLrong sLraLeglc focus on sLrlvlng Lo meeL Lhe demands of cusLomers whlle aLLempLlng Lo malnLaln a
proacLlve relaLlonshlp wlLh lord dealers and suppllers

AlLhough Lhe mlsslon also sLaLes LhaL quallLy ls Lhe number one prlorlLy of lord AusLralla ln aldlng Lo
creaLe cusLomer saLlsfacLlon lL has been made apparenL by senlor execuLlves LhaL lord AusLralla's
quallLy and efflclency ln producLlon requlred subsLanLlal lmprovemenLs"

lrom Lhe case sLudy we can aLLempL Lo ascerLaln Lhe organlsaLlonal sLrucLure LhaL exlsLs aL lord
AusLralla lL appears Lo be a hlerarchy sLrucLure wlLh four ma[or levels Lop level managemenL
mlddle managemenL supervlsors and employees 1he dlvlslonal hlerarchy naLure of Lhe
organlsaLlonal sLrucLure by deflnlLlon lndlcaLes a long chaln of demand and a narrow span of
conLrol ln dlfferenL geographlc locaLlons

1he soclal conLexL LhaL lord AusLralla ls operaLlng ln has been experlenclng several changes some of
Lhem drasLlc A key example of Lhls ls Lhe AusLrallan CovernmenL's declslon Lo abollsh proLecLlonlsm
ln Lhe auLomoLlve lndusLry ln AusLralla ln a bld Lo be lnLernaLlonally compeLlLlve 1hls means LhaL
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Lhe governmenL lower lmporL Larlffs on lnLernaLlonally manufacLured cars as well as lnLernaLlonally
manufacLured parLs and supplles and also abollshes quoLas As AusLralla has been under Lhe shroud
of proLecLlonlsm for qulLe a subsLanLlal perlod ln lLs shorL hlsLory Lhls ls a ma[or soclopollLlcal
change belng puL lnLo moLlon

lord has been esLabllshed ln AusLralla slnce 1923 when producLlon commenced and has slnce
Lhen been sLrlvlng for markeL leadershlp ln Lhe auLomoLlve lndusLry from one of lLs ma[or
compeLlLors Ceneral MoLors Polden roLecLlon pollcy ln AusLralla shlelded lord AusLralla from Lhe
LhreaL of !apanese manufacLurers such as 1oyoLa and nlssan who have a Lrack record for superlor
quallLy of producLlon and efflclency ln producLlon lord flrsL galned markeL leadershlp sLaLus ln
1972 ShorLly followlng Lhls Llme ma[or changes and LhreaLs arose noLably Lhe oll crlses of 1973
and 1979 1hese lmpacLed upon AusLrallan moLor car owners and Lhelr ablllLy Lo purchase peLrol
and also lmpacLed upon lord AusLrallan and Lhelr ablllLy Lo sell cars because Lhere was no oll
uurlng Lhe 1980s noL only was Lhere a bld Lo remove proLecLlonlsm pollcy ln AusLralla Lhere was
also a reform of Lhe lndusLrlal relaLlons sysLem and perhaps Lhe mosL lmporLanL change Lhe floaLlng
of Lhe AusLrallan dollar on Lhe SLock Lxchange All of Lhls was a bld Lo lncrease Lhe lnLernaLlonal
compeLlLlveness of AusLralla and Lo offseL Lhe wageprlce splral LhaL was splnnlng ouL of conLrol due
Lo lndusLrlal unresL by unlons and decrease Lhe counLry's unemploymenL raLe 1hese ma[or
elemenLs proved Lo be challenglng obsLacles for lord AusLralla as Lhe soclal and pollLlcal changes
were so drasLlc and so dynamlc LhaL lL ls qulLe a dlfflculL Lask Lo prepare and conquer such
monumenLal problems

As Lhe case furLher sLaLes lord also managed Lo achleve markeL leadershlp for new vehlcle sales ln
AusLralla buL was overLaken by 1oyoLa ln Lhe early 1990s"

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1he feellng LhaL l recelve from Lhe case ls LhaL Lop managemenL aL lord AusLralla ls noL properly
communlcaLlng wlLh lower levels of managemenL whlch ls hlnderlng Lhe company's producLlvlLy and
efflclency A change ls requlred wlLhln Lhe organlsaLlon ln order Lo correcL any lmbalances and asslsL
Lhe company ln regalnlng markeL leadershlp sLaLus and formulaLlng and susLalnlng a compeLlLlve
advanLage over compeLlLors

1here are a number of sympLoms dlsplayed by lord AusLralla ln Lhe case sLudy LhaL are lndlcaLlve of
Lhe requlremenL of an organlsaLlonal overhaul and a need for an effecLlve organlsaLlonal change
plan Lo be puL lnLo moLlon WlLhouL drasLlc changes Lo Lhe currenL organlsaLlonal sLrucLure culLure
and sLraLegy lL ls llkely LhaL lord AusLralla wlll experlence a conLlnuous sLaLe of decllne ln all key
areas of operaLlons

A need for organlsaLlonal change ls hlghllghLed ln Lhe case sLudy 1he removal of proLecLlonlsm
pollcy ln Lhe auLomoLlve lndusLry ln AusLralla has ldenLlfled Lhe need for lord AusLralla Lo opL for a
more conLlngenL approach Lo organlsaLlonal change and managemenL ln order Lo respond Lo Lhe
dynamlc soclopollLlcal cllmaLe 1he lord AusLralla case sLudy hlghllghLed Loplevel managemenL's
fallure Lo communlcaLe wlLh oLher levels of managemenL regardlng sLraLegy developmenL and
execuLlon 1hls elemenL of organlsaLlonal managemenL ls very baslc yeL of Lhe uLmosL lmporLance
WlLhouL clear and conclse communlcaLlon lL ls almosL lmposslble for an organlsaLlon Lo operaLe
effecLlvely and efflclenLly wlLh Lhe full supporL of all members of Lhe organlsaLlon

1he dlvlslonal hlerarchy organlsaLlonal sLrucLure can be ldenLlfled as anoLher obsLacle Lo Lhe
coheslon beLween all members wlLhln Lhe organlsaLlon as Lhe long chaln of command and Lhe
narrow span of conLrol lndlcaLes LhaL Lhe communlcaLlon channel beLween dlfferenL levels of
managemenL wlLhln Lhe organlsaLlon ls qulLe exLenslve and Lherefore qulLe Llme consumlng whlch
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could resulL ln Lhe sLraLeglc message becomlng elLher delayed mlsundersLood or losL as lL Lravels
Lhrough several levels of managemenL wlLhln Lhe organlsaLlon 1he narrow span of conLrol lndlcaLes
LhaL llne managers ln parLlcular are noL uLlllslng Lhelr full managerlal capaclLles as Lhey are llmlLed
Lo only managlng small groups ln Lhe organlsaLlon whlch resulLs ln lnefflclencles ln Lhe uLlllsaLlon
and dlsLrlbuLlon of labour

A very cruclal problem ldenLlfled ln Lhe case sLudy ls lord managemenL's lnepLness aL goal seLLlng
and sLraLegy execuLlon lord AusLralla's mlsslon and corporaLe sLraLegy are somewhaL deflned yeL
Lhe lnformal plannlng process LhaL has apparenLly become parL of Lhe lord AusLralla corporaLe
culLure along wlLh ls a ma[or hlndrance Lo Lhe successful execuLlon of organlsaLlonal goals 1hls
lnformal plannlng process Leamed wlLh lneffecLlve means of communlcaLlon by Lop level
managemenL could ln facL be a ma[or conLrlbuLlng facLor Lhe poor performance ouLcomes
experlenced by lord AusLralla and Lhe evldenL loss of compeLlLlve advanLage and markeL share

AnoLher qulLe evldenL problem ls Lhe lack of funcLlonal communlcaLlon beLween deparLmenLs and
Lhe requlremenL of deparLmenL managers Lo develop Lhelr own ob[ecLlves 1hls poses many ma[or
sLraLeglc problems malnly Lhe posslblllLy for confllcLlng ob[ecLlves beLween deparLmenLs poLenLlally
leadlng Lo lnefflclencles ln organlsaLlonal funcLlons 1hls hlghllghLs a need for a change ln Lhe
organlsaLlonal culLure aL lord AusLralla regardlng all areas of goal seLLlng and sLraLegy execuLlon as
well as communlcaLlon channels beLween dlfferenL levels of managemenL

lord AusLralla's Lop level managemenL have hlghllghLed Lhelr concern regardlng Lhe quallLy of
producLlon of lord AusLralla's cars and have arLlculaLed Lhe need for measures Lo be Laken Lo
address Lhe quallLy conLrol problems experlenced by lord AusLralla

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lnefflclency and poor quallLy of producLlon along wlLh loss of markeL share appear Lo be sympLoms
of lord AusLralla's poor organlsaLlonal performance emphaslslng Lhe need for organlsaLlonal
reforms Lo be underLaken Lo recLlfy Lhe poLenLlally dlre slLuaLlon

ConducLlng a forcefleld analysls glves a good lndlcaLlon as Lo where Lhe company currenLly ls
slLuaLed 1he currenL sLaLe of equlllbrlum aL lord AusLralla ls crlLlcal decllnlng sales and markeL
share and an apparenL lack of coheslon and collaboraLlon beLween boLh deparLmenLs and dlfferenL
levels of managemenL 1here have been some noLed resLralnlng forces Lo adopLlng an organlsaLlonal
change model noLably Lhe reslsLance Lo a more parLlclpaLory workplace especlally from mlddle
managers supervlsors and Lechnlcal personnel" 1o successfully lmplemenL Lhls change sLraLegy
reslsLance Lo change musL be mlnlmlsed 1hls can be aLLalned by encouragemenL of lnvolvemenL by
all levels of managemenL and employees ln Lhe change efforL such as aldlng ln devlslng a workplace
change model Lncouraglng Leam work ls also monumenLal ln easlng reslsLance Lo change Allowlng
employees and managemenL Lo collaboraLe LogeLher ln a Leam envlronmenL ls an effecLlve means of
moLlvaLlng employees durlng Lhe change efforL As sLaLed several Llmes prevlously communlcaLlon
ls perhaps Lhe mosL cruclal means of mlnlmlslng resLralnlng forces CommunlcaLlon by senlor
managemenL ln dlssemlnaLlng lnformaLlon Lo employees ls cruclal however lL ls also equally as
lmporLanL for employees Lo communlcaLe wlLh managers and oLher members of Lhe organlsaLlon
regardlng any currenL problems dlscrepancles and worrles LhaL Lhey may have wlLh Lhe currenL
change model

AnoLher effecLlve opLlon Lo mlnlmlse resLralnlng forces and reslsLance Lo change ls offerlng sLress
managemenL Lo anyone ln Lhe organlsaLlon who may requlre lL SLress managemenL can be
percelved as a coplng mechanlsm SLress managemenL mlnlmlses reslsLance by removlng some of
Lhe dlrecL cosLs and fear of Lhe unknown of Lhe change process" (McShane 1ravagllone 2007
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p310)

ln order for Lhe organlsaLlonal change Lo be mosL effecLlve a blg focus musL be placed on employee
lnvolvemenL ln Lhe change process WlLhouL Lhe supporL of all employees ln Lhe workplace Lhe
success of Lhe proposed change program wlll be llmlLed and wlll noL be susLalnable over an exLended
perlod of Llme As prevlously sLaLed Lhe organlsaLlonal culLure ln place aL lord AusLralla needs some
ad[usLlng ln order Lo conLrlbuLe Lo a more coheslve and funcLlonal workplace envlronmenL A
proacLlve organlsaLlonal culLure can be beneflclal Lo employees ln Lerms of producLlvlLy morale
organlsaLlonal commlLmenL and emoLlonal and physlcal wellbelng 1hls ouLcome can be achleved lf
all employees wlLhln Lhe organlsaLlon conLrlbuLe Lo Lhe formulaLlon and execuLlon of an lnLegraLlve
organlsaLlonal developmenL plan and are more lnvolved ln declslonmaklng processes wlLhln Lhe
organlsaLlon 1hls lncludes aldlng managemenL ln esLabllshlng a new corporaLe culLure one LhaL
values a more lnLegraLlve and communlcaLlve envlronmenL wlLh greaLer lnLeracLlon beLween
deparLmenLs and levels of managemenL 1haL whlch ls greaLly conLrasLs Lo a Lendency Lo seL
ob[ecLlves buL noL glve enough lndlcaLlon of how Lo arrlve aL Lhem" and admlsslon by upper
managemenL LhaL Lhey expecLed more dlsclpllne of Lhelr employees Lhan Lhey dld of Lhemselves"

1he besL way for Lhe organlsaLlon Lo assess lLs currenL culLure ls Lo develop quesLlonnalres relaLlng
Lo dlfferenL areas of Lhe organlsaLlon and requesLlng LhaL employees compleLe Lhen quesLlonnalres
and provlde any addlLlonal feedback elLher afflrmaLlons or consLrucLlve crlLlclsm and posslble ldeas
on areas of lmprovemenL lL musL be noLed LhaL senlor managemenL wlLhln Lhe organlsaLlon musL
engage wlLh employees ofLen durlng all sLages of Lhe organlsaLlonal developmenL process ln order Lo
provlde comforL and dlrecL Lo employees and Lo communlcaLe any cruclal lnformaLlon LhaL
employees may requlre abouL Lhe change process

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1he organlsaLlonal culLure should promoLe employee selfefflcacy by boosLlng Lhelr bellef ln Lhelr
ablllLles Lo perform Lasks ln an alLered organlsaLlonal cllmaLe Powever Lhls can only be achleved
fully when sLraLeglc goals and ob[ecLlves have been seL for Lhe organlsaLlon 8eslsLance by
employees and oLher members of Lhe organlsaLlon can be mlnlmlsed greaLly lf employees are
conLlnually lnvolved ln all sLages of Lhe organlsaLlonal developmenL program 1hls lncludes
employees aldlng ln Lhe declslonmaklng processes of Lhe organlsaLlon and asslsLlng ln Lhe seLLlng of
sLraLeglc goals and ob[ecLlves of Lhe organlsaLlon lL musL be noLed LhaL Lhls organlsaLlonal
developmenL program ls a long Lerm program and Lherefore would be mosL beneflclal Lo Lhe
organlsaLlon Lo be lmplemenL over a perlod of several years roblems may be encounLered durlng
Lhls Llme malnly due Lo Lhe naLure of Lhe change program and Lhe dynamlc soclopollLlcal
envlronmenL LhaL lord AusLralla operaLes ln 1hls Lype of exLernal envlronmenL hlghllghLs Lhe
requlremenL of a conLlngenL approach Lo organlsaLlonal developmenL as Lhe exLernal envlronmenL
ls conLlnually changlng Lherefore organlsaLlons musL also conLlnue Lo change and adapL ln order Lo
survlve

1he organlsaLlonal culLure aL lord AusLralla musL become one of conLlnual selfrenewal ln order Lo
ensure lLs longevlLy and survlval whlle also focuslng on open communlcaLlon and Leam work Lo
achleve deslrable ouLcomes

An effecLlve means of lncreaslng communlcaLlon wlLhln Lhe organlsaLlon and encouraglng employee
lnLeracLlon ls Lhrough flaLLenlng Lhe organlsaLlonal sLrucLure llaLLenlng Lhe organlsaLlonal sLrucLure
resulLs ln a shorLer chaln of command and wlder span of conLrol 1hls means LhaL Lhere are fewer
levels of managemenL whlch allows for greaLer communlcaLlon beLween upper level managemenL
and Lhe resL of Lhe organlsaLlon CreaLer communlcaLlon ln Lhls lnsLance provldes for beLLer
efflclency especlally regardlng declslonmaklng as Lhe communlcaLed message ls easlly Lransferred
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beLween Lhe dlfferenL levels of Lhe organlsaLlon and Lhe message ls less llkely Lo be mlslnLerpreLed
alLered or losL before lL reaches lLs flnal desLlnaLlon LffecLlve communlcaLlon ls key ln reslsLlng
change noL only does lL provlde drlvlng forces for Lhe change Lo occur buL lL can also reduce sLress
from Lhe fear of Lhe unknown PonesL and open communlcaLlon ls a cruclal elemenL ln a workplace
relaLlonshlp even more so when drasLlc organlsaLlonal change ls occurrlng

1he wlder span of conLrol resulLs ln more employees reporLlng Lo a slngle llne manager effecLlvely
resulLlng ln several small work groups 1hls can be beneflclal as lL can be hlghly moLlvaLlng for
employees Lo work ln a Leam work based envlronmenL as lL encourages employee declslonmaklng
and lL also requlres employees Lo work more auLonomously ln order Lo achleve sLraLeglc goals and
ob[ecLlves ln Lhe lord AusLralla case sLudy Lhere ls no lndlcaLlon LhaL employees are able Lo work
auLonomously and have any conLrol over Lhelr work Lasks rovldlng employees wlLh greaLer
auLonomy over work Lasks ls an effecLlve means of promoLlng employee empowermenL wlLhln Lhe
organlsaLlon

1he declslon Lo flaLLen Lhe organlsaLlonal sLrucLure wlll be meL wlLh a cerLaln amounL of reslsLance
malnly due Lo Lhe facL LhaL ln order Lo flaLLen Lhe sLrucLure Lhere wlll be several poslLlons ln
supervlsory and mlddle managemenL LhaL wlll be made redundanL 1hls change can be overcome by
wldenlng Lhe communlcaLlon channel beLween senlor managemenL and employees and allowlng
employees Lo asslsL ln Lhe resLrucLurlng of Lhe lord AusLralla organlsaLlon 1hls Lherefore means LhaL
employees wlll be dlrecLly lnvolved ln organlsaLlonal goalseLLlng and sLraLegy formulaLlon
lncremenLal change ls very lmporLanL when lL comes Lo areas such as sLraLegy formulaLlon and [ob
deslgn 1hese changes are of Lhe uLmosL lmporLance as Lhey are Lhe key areas responslble for
lnefflclencles ln quallLy and producLlon 1herefore lL ls cruclal LhaL Lhese areas are approached wlLh
care and cauLlon lord AusLralla requlres clear and conclse organlsaLlonal goals LhaL need Lo be
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clarlfled and easlly undersLood by all employees ln Lhe organlsaLlon A maln focus of Lhese ob[ecLlves
should be Lo lmplemenL sound quallLy conLrol measures ln order Lo reduce and reverse Lhe currenL
quallLy conLrol dllemmas currenLly faced by Lhe lord AusLralla Leam CuallLy conLrol ls one of Lhe
sLeps of Lhe process commonly known as 1oLal CuallLy ManagemenL (1CM) 8y deflnlLlon 1CM ls a
wldely used quallLy and producLlvlLy lnLervenLlon under 1CM organlsaLlon members commlL Lo
conLlnuous lmprovemenL ln meeLlng or exceedlng cusLomer expecLaLlons" (8rown 2011 p361)
1hls connecLs back Lo lord AusLralla's prevlous mlsslon of sLrlvlng for excellence and meeLlng
cusLomer demands and quallLy requlremenLs 1he mosL feaslble way of sLrlvlng Loward conLlnuous
quallLy lmprovemenLs ls Lo seL speclflc LargeLs Lo aLLaln lor example seLLlng quallLy faulLs per car
manufacLured Lo a deslred level and Lhen sLrlvlng Lo meeL LhaL ob[ecLlve

lL would be mosL beneflclal for quallLy conLrol purposes lf lord AusLralla lnvesLed ln new
Lechnologlcal equlpmenL as a means of aldlng ln Lhe quesL for greaLer quallLy conLrol 1echnologlcal
change can also lead Lo reslsLance whlch ls why lL ls lmporLanL Lo encourage learnlng and Lhe
developmenL of new skllls and Lralnlng opporLunlLles as a means of mlnlmlslng Lhe fear facLor
assoclaLed wlLh changlng Lhe currenL sysLem of work ln Lhe organlsaLlon ConducLlng semlnars and
Lralnlng workshops prlor Lo Lhe Lechnologlcal change ls a very effecLlve way of mlnlmlslng employee
fear and doubL and also glves employees opporLunlLles Lo ask quesLlons and flnd ouL as much abouL
Lhe proposed sysLem of change as Lhey can

AnoLher quallLy conLrol measure Lo be Laken ls Lhe sLraLeglc alllance wlLh compeLlLors and
CovernmenL ln seLLlng unlform accepLable quallLy conLrol sLandards 1hls ls a very beneflclal Lool as
lL seLs a benchmark for quallLy conLrol efforLs and glves Lhe organlsaLlon an lmporLanL ob[ecLlve and
level of quallLy Lo sLrlve for

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lL musL be polnLed ouL LhaL negoLlaLlon can be an alLernaLlve for counLerlng reslsLance Lo change
especlally when employees are unwllllng Lo change behavlours on Lhelr own 1herefore managers
may be requlred Lo bargaln wlLh employees ln order for Lhem Lo agree Lo parLake ln Lhe Cu process
negoLlaLlons may lnclude such facLors as addlLlonal employee beneflLs and rewards ln exchange for
parLlclpaLlon ln Lhe change process A good example of Lhls ls allowlng employees Lo creaLe Lhelr
own [ob LlLles whlch can be very moLlvaLlng and empowerlng Coerclon by managemenL should be
avolded 1hls leads Lo greaLer levels of sLress and anxleLy ln Lhe workplace and can be very
LhreaLenlng

Allowlng employees Lo creaLe Lhelr own [ob LlLles ls [usL one example of lncludlng employees ln [ob
deslgn rlor Lo Lhe resLrucLurlng of poslLlons ln Lhe organlsaLlon lL would be beneflclal for
employees Lo engage ln whaL ls known as 360 degree feedback 360 degree feedback ls
performance feedback recelved from a full clrcle of people around Lhe employee lncludlng dlrecL
reporLs peers bosses vendors cusLomers and parLners" (McShane 1ravagllone 2007 p131) 1hls
Lype of feedback would be beneflclal for lord AusLralla because lL glves managemenL lnslghL lnLo
how currenL roles ln Lhe organlsaLlon are percelved noL only by cusLomers buL also by oLher
deparLmenLs wlLhln Lhe organlsaLlon lL can be very beneflclal especlally regardlng fuLure Lralnlng
and developmenL requlremenLs of employees ln cerLaln poslLlons ln Lhe organlsaLlon lL also ls a
means of malnLalnlng and lmprovlng performance levels of deparLmenLs lor example lL can ald ln
ldenLlfylng performance problems and deLerloraLlon of sales and markeL share eLc before lL
develops lnLo a much larger and more serlous problem

lnvolvlng employees ln [ob deslgn ls effecLlvely lnvolvlng Lhem ln goal seLLlng ln Lhe organlsaLlon
Coal seLLlng ls mosL effecLlve when Lhey are speclflc relevanL challenglng (buL noL overwhelmlngly
so) commlLLed Lo by members of Lhe organlsaLlon allow for parLlclpaLlon by all members of Lhe
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organlsaLlon and are evaluaLed regularly Lo measure ouLcomes An example of an effecLlve goal for
lord AusLralla would follow Lhls model A speclflc goal may be Lo lncrease efflclency by 3 over a
Lwelve monLh perlod 1hls goal can be deemed a relevanL goal for all employee members as
employees wlLhln all deparLmenLal groups wlLhln Lhe organlsaLlon have Lhe capaclLy Lo lncrease
efflclency ln a parLlcular faceL of Lhelr work wheLher lL be efflclency ln producLlon dlsLrlbuLlon or
cusLomer servlce lor some deparLmenLs Lhe goal of lncreaslng efflclency may be more challenglng
Lhan for oLhers buL Lhe goal ls noL deemed as belng unaLLalnable whlch should ensure commlLmenL
from employees wlLhln Lhe organlsaLlon Lmployees can openly parLlclpaLe ln Lhe goalseLLlng
funcLlon as Lhey can offer lnslghL and suggesLlons for ways ln whlch Lhls efflclency LargeL can be
aLLalned 1hls mlghL lnclude almlng Lo lncrease manufacLured car parLs per hour by Lwo for Lhe
producLlon deparLmenL or lncreaslng Lhe number of Lelephone calls answered per hour by four eL
ceLera 1hls goal can Lhen be evaluaLed aL Lhe end of Lhe Lwelve monLh perlod as lL can be measured
wheLher Lhere was lndeed a 3 lncrease ln efflclency over Lhls Llme frame 1hls ldea ls llnked Lo Lhe
concepL of [ob enrlchmenL Lheory whlch sLaLes LhaL [obs should be redeslgned Lo lmprove Lhe
moLlvaLors relaLed Lo a [ob by permlLLlng employees Lo aLLaln more responslblllLy and achlevemenL"
(8rown 2011 p364)

!ob deslgn programs can be successful ln moLlvaLlng employees Lo perform Lasks beLLer whlch can
resulL ln lmproved efflclency ln producLlon as well as lmproved efflclencles ln oLher areas of Lasks
ln a revlew on workresLrucLurlng meLhods researchers have found LhaL 90 percenL of Lhe reporLs
on workresLrucLurlng lnLervenLlons clLed lmprovemenLs ln producLlvlLy cosLs absenLeelsm
aLLlLudes or quallLy and LhaL lncreaslng number of organlsaLlons are seLLlng up such
meLhods"(asmore 1982 p33) 1hls ls evldenLlary supporL LhaL concludes LhaL Lhe beneflLs of [ob
resLrucLurlng and deslgn LhaL lncludes employees ln lLs lmplemenLaLlon can be a superlor cholce for
boosLlng efflclency as [ob deslgn and resLrucLurlng ls lnexLrlcably llnked Lo lmproved efflclency and
Lana 8oelandLs
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performance ouLcomes

ln order Lo encourage employees Lo sLrlve for goal aLLalnmenL lL may be necessary Lo engage ln
poslLlve relnforcemenL such as lncenLlves and rewards for reachlng performance LargeLs ln order Lo
successfully uLlllse Lhls Lool lL ls lmporLanL Lo ascerLaln Lhe Lypes of reward sysLems are besL sulLed
Lo lndlvldual employees and /or groups of employees ln Lhls lnsLance performancerelaLed rewards
would be ldeal because Lhese rewards are rewards glven ln recognlLlon of pasL performance" and
are uLlllsed ln order Lo relnforce and enhance fuLure performance" (nankervls eL al 2008 p363)
uue Lo Lhe organlsaLlon resLrucLurlng aL lord AusLralla resulLlng ln several small work Leams Lhe
performancebased rewards wlll have Lo be based on Leam performance raLher Lhan Lhe
performance of lndlvlduals ln Lhe organlsaLlon A successful example of Lhls would be a galnsharlng
plan A galnsharlng plan ls a reward sysLem ln whlch Leam members earn bonuses for reduclng
cosLs and lncreaslng labour efflclency ln Lhelr work process" (McShane 1ravagllone 2007 p173)
1hls Lype of reward ls ldeal for lord AusLralla as lL ls dlrecLly llnked wlLh rewardlng efflclency
lmprovemenL ln Lhe workplace and encourages Leamwork ln order Lo achleve deslred ouLcomes
Lmployee share ownershlp plans are anoLher effecLlve opLlon for organlsaLlonal rewards 1hese
rewards encourage employees Lo buy shares of Lhe company" (McShane 1ravagllone 2007
p173) 1hese shares are usually sold aL a dlscounLed prlce and employees are Lhen conLlnuously
reward Lhrough dlvldends 1hls can be an effecLlve reward sysLem as Lhe reward ls ongolng and
Lherefore encourages ongolng commlLmenL and poslLlve performance ouLcomes

8ewards can be elLher lnLrlnslc or exLrlnslc or Lhey can be a comblnaLlon of Lhe Lwo lnLrlnslc
rewards refer Lo rewards such as [ob recognlLlon promoLlons and fuLure Lralnlng opporLunlLles and
exLrlnslc refer Lo moneLary based lncenLlves such as bonuses and pay rlses lL ls unclear whlch of
Lhese Lwo Lypes of rewards employees aL lord would be mosL responslve Lo as each lndlvldual ls
Lana 8oelandLs
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dlfferenL and has dlfferenL requlremenLs ln order Lo achleve [ob saLlsfacLlon lL ls lmporLanL Lo
ensure LhaL performance ls dlrecLly llnked Lo Lhe organlsaLlon's sLraLeglc plan and LhaL Lhe reward
program ls used Lo enforce a poslLlve longLerm change

erhaps a much slmpler way of provldlng supporL Lo employees durlng organlsaLlonal change ls for
senlor managemenL Lo menLor employees lL can be very beneflclal Lo boLh parLles as
communlcaLlon beLween Lhe Lwo parLles can also ald ln ldenLlfylng performance shorLfalls and
problems before Lhey can manlfesL lnLo larger more deLrlmenLal concerns MenLorlng can lead Lo
lncreased employee confldence and moLlvaLlon whlch would be very beneflclal for lord AusLralla
employees as Lhe organlsaLlon needs Lo encourage more open and honesL communlcaLlon beLween
managemenL and employees and menLorlng ls a key way of dolng so

1o ensure LhaL Lhe change program ls susLalnable ln Lhe longLerm lL musL be sLablllsed so LhaL Lhe
change may become lnsLlLuLlonallsed or lnLernallsed" wlLhln Lhe organlsaLlon as Lhe accepLance
and adopLlon of a change efforL depend upon pracLlce and famlllarlLy so LhaL Lhe lnnovaLlon
becomes a rouLlne parL of Lhe organlsaLlon's acLlvlLy" (8rown 2011 p442)

uurlng Lhe sLablllsaLlon process Lhere ls also evaluaLlon LvaluaLlng Lhe change program ls equally as
lmporLanL as lmplemenLlng lL LvaluaLlon of performance and efflclency ouLcomes should always be
measured agalnsL goals LhaL have been seL by Lhe organlsaLlon 1hese goals serve as a benchmark
for monlLorlng performance 1hls ls Lhe reason for havlng succlncL goals seL wlLh ouLcomes LhaL can
be measured Lhrough quanLlLaLlve measures CuanLlLaLlve measures generally refer Lo belng able Lo
assess Lhe ouLcomes ln a flnanclally feaslble manner and can llnk performance ouLcomes Lo
numeraLlve daLa elLher flnanclal galns or losses or ln lord AusLralla's case perhaps Lhe number of
cusLomer servlces calls answered by lord AusLralla's cusLomer servlce call cenLre represenLaLlves or
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Lhe number of percenLage of cars wlLh few or no funcLlonallLy defecLs or Lhe percenLage of markeL
share galned or losL over Lhe measured flnanclal perlod

As sLaLed prevlously lL ls lmporLanL for Lhls planned change program Lo be lnLroduced lncremenLally
generally over a perlod of several years ln order Lo ensure lL ln lmplemenLed wlLh few or no
problems and so LhaL any unforeseen problems can be dealL wlLh before Lhe enLlre change process
ls compleLe When lmplemenLlng Lhls change program lL ls lmporLanL LhaL Lhe new program ls a
conLlngenL sysLem LhaL can easlly be adapLed and changed when necessary 1he success of an
evaluaLlon wlll depend upon Lhe degree of supporL provlded by Lhe declslon makers parLlclpanLs
and pracLlLloners ueclslon makers wlll need Lo provlde Lhe flnanclal resources Lo pay for rlgorous
evaluaLlon arLlclpanLs wlll need Lo cooperaLe by provldlng Lhe daLa necessary for Lhe evaluaLlon"
(8rown 2011 p443) racLlLloners need Lo be able Lo bulld on sLrengLhs and lmprove Lhelr ablllLles
Lo ensure of fuLure Cu program success ln lord AusLralla's case producLlon dlsLrlbuLlon and
cusLomer servlce flgures need Lo be provlded by employees and senlor managemenL needs Lo
provlde Lhe flnanclal caplLal Lo fund Lhe performance audlL

Cnce deslred performance and flnanclal benchmarks have been achleved Lhe change program from
Lhe Cu consulLanL's (my) perspecLlve has come Lo a close lL ls now lord AusLralla's responslblllLy Lo
malnLaln Lhelr Cu program by amendlng lL whenever and wherever necessary AfLer lnsLllllng Lhe
corporaLe culLure of selfrenewal lord AusLralla should be capable of lmplemenLlng any fuLure
changes lL requlres wlLhouL Lhe asslsLance of an Cu consulLanL

CrganlsaLlonal change ls lnevlLable and necessary Lo ensure LhaL organlsaLlons can adapL Lo changlng
soclal clrcumsLances and conLlnue Lo remaln compeLlLlve wlLhln lndusLrles ln order for lord
AusLralla Lo remaln compeLlLlve lL musL make vasL lmprovemenLs concernlng efflclency and quallLy
Lana 8oelandLs
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ln all areas of Lhe value chaln ln order Lo adapL lL musL make changes Lo lLs organlsaLlonal culLure
organlsaLlonal sLrucLure goalseLLlng reward sLrucLurlng and managemenL [ob deslgn and sLraLegy
lmplemenLaLlon and evaluaLlon 1hls lncludes lnsLllllng a culLure of open communlcaLlon self
renewal and a Leam work focus a flaLLened organlsaLlonal sLrucLure Lo faclllLaLe open
communlcaLlon and Lhe lncreased Leam work orlenLaLlon moLlvaLlng employees Lhrough reward
sysLems such as performancebased rewards redeslgnlng [ob wlLh Lhe ald of employees Lo ensure
LhaL employees are commlLLed Lo aldlng ln Lhe Cu efforL 1hls lncludes seLLlng goals and
organlsaLlonal sLraLegles based around Lhe company's core compeLencles whlch ln lord AusLralla's
case would be a cusLomer focus and sLrlvlng Lo meeL consumer Lrends LasLes and demands and a
sLrong employee focus sLrlvlng for conLlnued employee moLlvaLlon commlLmenL and
empowermenL Lhrough Leambased acLlvlLles rewardsysLems and promoLlng selfefflcacy self
esLeem and selfworLh

lL ls Lhrough Lhese core compeLencles LhaL lord AusLralla should sLrlve Lo develop and susLaln a
compeLlLlve advanLage lord AusLralla should Lhen evaluaLe and malnLaln lLs new corporaLe culLure
and conLlnue Lo renew lLs organlsaLlonal sLraLegles ln order Lo become a hlghperformlng sysLem
sLrlvlng Loward conLlnulng excellence and renewal as a way Lo brlng lnnovaLlon lnLo our sysLem"
(8rown 2011 p401)







Lana 8oelandLs
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8eferences
1 Slmmons u Shadur M 1993 1otoloq tbe cotoet ot lotJ
2 McShane S 1ravagllone 1 2007 tqoolsotloool 8ebovloot oo tbe loclflc klm McCraw
Plll AusLralla 2
nd
Ld norLh 8yde
3 8rown u 2011 o xpetleotlol pptoocb to tqoolsotloool uevelopmeot earson 8
Lh
Ld
upper Saddle 8lver new !ersey
4 asmore W 1982 vetcomloq tbe kooJblocks lo wotk kesttoctotloq ffotts
CrganlsaLlonal uynamlcs vol 10 Llsevler lnc
3 nankervls A CompLon 8 8alrd M 2008 omoo kesootce Moooqemeot 5ttoteqles ooJ
ltocesses Cengage Learnlng AusLralla 6
Lh
Ld SouLh Melbourne