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Change is a general transition or a getting into a new phase, it is an act or a process of becoming or making something different (Lewis, 2019). Organizational change is defined as the modification in the technology, structure, or workforce in an organization or any kind of shift in behavior all are part of organizational change.
There is a requirement for change in every organization because there is a light of hope for development and enhancement which also helps in sustaining the position of the company in a competitive market. change is important in improving the satisfaction of people's economic requirements. Change plays an important role in enhancing the profitability of the organization and helps in promoting employee satisfaction and ensuring the well-being of the workforce.
The report is made to discuss the importance of change in an organization. The report has been conducted to recognize the importance of technological change in an organization and how it affects the working of the organization. To develop a detailed understanding of the technology change, the report is considering Accor Hotels as the case company.
Accor is a hotel operator company that manages and also franchises upscale, midscale, luxury, and economy hotels. According to. The company operates hotels under several brand s like Sofitel, Raffles, Fairmont, Swissotel, Pullman, Adagio, Mgallery, Grand Mercure, Novotel Suites, Ibis, Ibis Styles, Hotelf1, Ibis Budgets, and many more. The group is involved in assets portfolio management work, construction, hotel design, maintenance activities, and renovations. (Forbes, 2022) the company operates in around 5298 locations across 110 countries which include Europe, the Middle East, America, and Asia-pacific. The company has 260,00 employees working all across the world in every branch of the company. The company is operating in various countries, its headquarters are at Issy-Les-Moulineaux, France.
Figure 1:AccorHotels
For understanding the importance of change reports is considering Changes in the use of Technology. Starting with understanding the meaning of technological change or change in technology, is the process of invention, innovation, and diffusion of technology. It refers to the use of technology in production. In an organization, there are various changes in technology that leads to an increase or decrease in productivity several factors. Technological progress includes new means of production, the creation of skills, using raw materials, and using advanced technologies in production(Cascioand Montealegre, 2016)Technology is the most important aspect of an organization it helps in strengthening the facilities of the workforce in the organization. Technology change does not only involve technological advancement but is also preceded by sociological change and the desire of the community to alter their social, administrative, and political to make them fit in the new technological change.
Perception is defined as the ways a someone sees the humanity and how they understand the in sequence they gathered. It is the intuitive thing that every individual mind does and depends on the skill to pay awareness to the surrounding. In the case of organizational behavior perception often helps in shaping the employee's personality and the ways of their actions in certain situations. Perception of employees can affect their reaction to any situation which further reflects in their performance and also in their thinking and decisions. Management of paying concentration to performance behaviors in employees can assist to conclude the person's employment strength and ethics.
Change in technology affects the ability of people in expressing their competence to interact with others, the ability of people in being active rather being passive, and also influence people. People’s perspective is the view in which the individual sees the change, this comes from the personal point of view of an individual which is shaped by their life experiences, values, state of mind, and also assumptions they take regarding a particular situation. Technology change has a huge impact on people as technology has changed a lot of things in their daily lives. Technology change has played a very important role it helps in the improvement of skills of the individual which helps in decision-making and gaining promotions in the organization. Technology has made communication easier than ever before, shifted the ways the organization's workplace environment looks, and the most important change that technology has bought is that it permits them to become more organized and encourages them to work efficiently.
Technology change has a huge impact on the employee's behavior and work. Technology has consistently changed the ways of the job of employees across every industry. change in technology affects both the personality as well as the perception of employees. Some factors that the technology change has affected are as follows:
Personality: in today's life employees need to have technical skills along with professional skills. These skills help in the improvement of the personality of employees which also reflects in their performance. Technology advancement in the personality of employees is as follows:
Perception: perception in humans is the procedure where sensory encouragement is translated into organized knowledge. Every employee has a perception regarding the technology change is it good or bad for them or is the technological advancement resulting in the loss of their jobs, etc? It is not always a negative perspective some employees have a positive perspective. Employees in the organization have the following perspective regarding the technology change:
The popular hotel company Accor Hotels is working on its technological change by launching a 5 years digital transformational plan which was called Leading digital hospitality, in which the company is looking forward to spending around 225 million euros which is one of the biggest AccorHotels investments. The company made this technological change covering from 2014 to 2018, which was established on three building blocks (Damnjanovi?et. al.2020).
The first one is a common mobile app for every hotel, the second one is customer focus, and the last is the various tools for streamlining the customers' experience all these building blocks are part of big changemanagement. The company hired more than 100 experts for helping them with the digital transformation plan of the company. the company's online booking platform known as 7 AccorHotel.com is very well established with around 329 million visits per year. The online booking platform of the company is available in around 28 languages, this platform was not available for all the AccorHotels brands and its independent hotels (Jelassi, and Martínez-López, 2020).
Accor's hotel's sales are booked by the online platform which is estimated to be around 1/3 of total sales and around 12% of the booking was done via mobile. In the year 2015, the company launched a mobile application known as Mobile First which was ordinary to all Accor Hotels, in which the main objective of the company is to increase its mobile booking up to 35% within 5 years with which half of its bookings to be made from mobile. (Lenoel, 2020) the company plan for the year 2016 was reaching increased up to 40% in mobile application usage. The main objective of the company which was introduced by the CEO of the company was to focus more on its customers. The CEO of AccorHotels states that the only thing which matters for the company is the customers. For many years company had it all wrong in that the company was product and brand-centric. The company was not listening to its customer's wants, why they were preferring Airbnb, and also why they were attracted to other brands. Mr. Bazin the CEO of AccorHotels believed that the retention of the customer was controlled by experience and that the hotel stay makes memorable for their customers.
Another way opted by the company to develop into customer-centric was to control its database of customers through a project called the voice of the Guests. According to Mr. Bazin, their company and also other companies have customers' data but are unable to use the data properly, so the main purpose of Voice of the Guests is to enable the AccorHotels to dig out the data and information from its customer's database and use it in a proper way for each of its customers. The company also has various tools which were introduced for the improvement of customers' experience at each step to make sure that the customers have a seamless journey with one-click booking facilities, easy paperless payments, and the online check-in. This plan also involves an e-membership card which was for its loyalty program known as Le Club AccorHotels. This program of the company covers all the brands of every country and in the year 2017, it has around 25 million members.
According to (Nowak, 2018) the focus to speed up the digital transformation of the company acquired a web and mobile platform called WI polo, which manages trip itineraries, and connects those to Twitter and Facebook. After that the company also acquired Fast booking, the leader of France in digital marketing of the Hotel industry, it served more than 3500 hotels in Europe, and Asia with help of a website, digital marketing campaigns, business intelligence software, and channel managers.
Political |
Economical |
the company has a geopolitical risk because of its geographical footprints of the company in various countries all across the world. |
· the company faces fluctuation in its net profits because of a change in exchange rates. · There is a huge increase in the disposable income of companies all across markets. |
Social |
Technological |
The company's main social responsibility is regarding the employee's and its guest's safety concerns because of a recent health crisis. |
· The company is leveraging analytics tools for forecasting bookings. · Technological change that the company has adopted is leading it to a rise in shared services in the hotel industry. |
Legal |
Environmental |
· The company has an agreement with the labor laws in every country it is operating. · it also has an agreement with the regulatory and legal needs of operating in various economies. |
The company has planned on reducing its environmental footprint by launching its carbon strategy. |
Strength |
Weaknesses |
· The company has a diversified portfolio in three categories of segments which are luxury, midscale, and economic. · The company has a global presence and a strong distribution platform. · It also has the strength of loyalty and strategic partnerships. |
· The major weakness of the company is that company is lagging in technological change. · The company is focused on the same old methods of marketing, forecasting, and booking. |
Opportunities |
Threats |
· With the help of change in technology companies have the opportunity to provide innovative services to their customers. · Leveraging the fast increase in internet diffusion to upsurge social media presence. |
· The biggest threat to the company is constant innovation. · Competing with companies with advanced technology like Airbnb is tough for the company. |
Individual
On Each Order!
It is normal for individuals in the organization to be resistant to change, specifically in their work life. Employees in the organization value the steadiness and the foreseeable nature of the daily work schedule and also be attentive to the adaptation of anything new in the organization, especially in case of technological change. The individual in an organization might have the fear that the change might end up rendering him expendable and he could lose his job. When an individual simply employs technological change and tries to play a little part in implementation, resistance by employees becomes a serious issue that affects the productivity and efficiency of the organization(Zantvoort, 2015). For minimizing the resistance to change individuals can work on proper planning and developing good communication skills. For avoiding problems that are associated with resistance to change, individuals in the organization should consider the following points:
Organizational
Resistance to change is the unwillingness of adapting to change, organizational resistance is the propensity for an organization to resist change and also want to maintain the current situation. The organization's resistance shows inflexibility and enables the organization to adapt to the change. The cause of this resistance to change are internal power, poor decision-making processes, etc. for overcoming this resistance to change organizations can consider
Influence of motivation on technological change.
In today's world companies are always looking forward to different methods to motivate their operations and meet their desired goals. All this is achieved by the implementation of technology which can decrease cost, optimize everyday working, and minimize errors made by employees in the organization. Technology change brings about benefits for the organization's balance book, as it impacts employees' motivation.
Conclusion and Recommend strategies to Implement change
Lewin’s Change Model
Change is the union for every organization's expansion; most workers choose the current situation in comparison to change. The report recommends one of the best change management models for the case company AccorHotels to adopt change. There are several change models the report recommends Lewin's change model also known as Kurt Lewin's Force Field Theory which refers to restraining forces having a huge impact on both group as well as individual's performance, ultimately deciding the destiny of change. Lewin suggested that it is very critical to balance all the forces during useful communication and worker contribution, by training the employees to bridge the gap between skills (Hussain et. al. 2018). There are 3 stages of change in Lewin’s change model
Figure 2: Lewin's Model of Change
Stage 1: Unfreeze
The first segment in the demonstration states perception management and aim in preparing stakeholders for future organizational change. In this stage change leader, must needs to look at the methods and plans to improve the company's preparation for the upcoming change. In this stage, the most important role is played by communication in attainment the desired team and also supporting the individuals in the executive.
Stage 2: Change
This step of the model deal with the change operation. In this step manager must consider an agile and iterative aspect that incorporates employees' feedback to further smooth the transition (Cummingset. al.2016). This company makes sure that there is a permanent stream of information for attaining the support of team members.
Stage 3: Refreeze
This stage is of stabilization and acceptance where employees move further from the change phase. However, if the change leader fails to reinforce the change in the organisation, it will affect the employee's behavior to pervious behavior. For securing this manager needs to collect employees' feedback on regular basis and also employees' training and support.
At last it is concluded that the change management model is intended to assist and find the way the organization during various challenging phase. Change management further helps in guiding the management team towards adaptation to change in the organization.
Reference
Cascio, W.F. and Montealegre, R., 2016. How technology is changing work and organizations. Annual review of organizational psychology and organizational behavior, 3(1), pp.349-375.
Cummings, S., Bridgman, T. and Brown, K.G., 2016. Unfreezing change as three steps: Rethinking Kurt Lewin’s legacy for change management. Human relations, 69(1), pp.33-60.
Damnjanovi?, V., Lon?ari?, D. and Dla?i?, J., 2020. TEACHING CASE STUDY: Digital marketing strategy of Accor Hotels: shaping the future of hospitality. Tourism and hospitality management, 26(1), pp.233-244.
Forbes, 2022. Overview. Accor. (online). :<https://www.forbes.com/companies/accor/?sh=701997315f47>. (Accessed on 26/11/2022).
Grama, B. and Todericiu, R., 2016. Change, Resistance to Change and Organizational Cynicism. Studies in Business & Economics, 11(3).
Hussain, S.T., Lei, S., Akram, T., Haider, M.J., Hussain, S.H. and Ali, M., 2018. Kurt Lewin's change model: A critical review of the role of leadership and employee involvement in organizational change. Journal of Innovation & Knowledge, 3(3), pp.123-127.
Jelassi, T. and Martínez-López, F.J., 2020. AccorHotels’ Digital Transformation: A Strategic Response to Hospitality Disruptor Airbnb. In Strategies for e-Business (pp. 665-689). Springer, Cham.
Lenoel, T., 2020. The impact of a digital transformation strategy: A case study of the AccorHotels group (Doctoral dissertation, Griffith College).
Lewis, L., 2019. Organizational change. In Origins and Traditions of Organizational Communication (pp. 406-423). Routledge.
Nowak, C., 2018. AccorHotels: How digital technology is reinventing the hotel industry. Le journal de l'ecole de Paris du management, 131(3), pp.15-21.
Petrou, P., Demerouti, E. and Schaufeli, W.B., 2018. Crafting the change: The role of employee job crafting behaviors for successful organizational change. Journal of Management, 44(5), pp.1766-1792.
The Economic Times. (2018). AccorHotels to strengthen presence in India with its existing brands. (online). :<https://economictimes.indiatimes.com/industry/services/hotels-/-restaurants/accorhotels-to-strengthen-presence-in-india-with-its-existing-brands/articleshow/63646327.cms>. (Accessed on 28/11/2022).
Whatfix, 2022. Lewin’s 3-Stage Model of Change Theory: Overview. (Online). :<https://whatfix.com/blog/lewins-change-model/#:~:text=Lewin's%20change%20model%20is%20a,plan%20%26%20implement%20the%20required%20change.>. (Accessed on 1/12/2022).
Zantvoort, B., 2015. On inertia: resistance to change in individuals, institutions and the development of knowledge. Cosmos and History: The Journal of Natural and Social Philosophy, 11(1), pp.342-361.
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