Managing Organizational Change Identify the Key Elements Research Proposal

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Managing Organizational Change

Identify the key elements of the resistance to change described in this situation.

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For Perrier the key elements of resistance to change emanate from the once lucrative level of sales they had achieved, only to see their sales levels plummet due to benzene being found in their water. From a very lucrative business that provided the financial means to meet the unions' demands for 35-hour work weeks and average annual salaries of $32,000 a year to near-bankruptcy, the resistance to change began when Perrier senior management began tightening budgets, entertaining take-over talks with Nestle' and also looking to make symbolic statements of how drastic the economic conditions were for the company. The CGT (Confederation general du travail -- General Confederation of Labour) controls the Perrier processing plant with 93% of the plants' 1,650 workers being members. When Perrier management decided to cut 15% of its workforce, there was uproar from CGT. To make matters worse, Perrier management purchased cases of a competitor's latest beverage, Badoit Rouge, and placed it throughout the company cafeterias. Unionized workers saw this as an insult, further galvanizing them against any efforts to share in the financial burdens of Perrier's senior management. All these key elements were in retrospect were autocratic on the part of Perrier and were taken as condescending and arrogant instead of inviting ownership, which would have been a far more effective as a change management strategy (Brown, Cregan, 2008). As the senior management at Perrier continued to focus not on collaboration but more towards dominating unions into approving a 15% reduction in staff, the situation became even more tense (Passariello, 2004). The CGT union leader Jean-Paul Franc decried the lack of consideration and cooperation from Perrier and Nestle senior management, leading to an impasse in the negotiations (Passariello, 2004). Only after the French government intervened did the company and union make progress in reaching an agreement.

Research Proposal on Managing Organizational Change Identify the Key Elements Assignment

Construct a change management strategy for dealing with the situation. In… [END OF PREVIEW] . . . READ MORE

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