Challenges in Implementing Change at Simmons

The main issue that needs to be addressed is:

The case primarily deals with the difficulties faced in implementing change programs at Simmons. There is resistance to change coming from both individuals and the organization. In addition to this resistance, the prevailing organizational culture at Simmons does not align with the core organizational culture, which further complicates the implementation of change programs.

Simmons is currently facing its most challenging period in history, with economic shocks being the primary driver of change.

CEO Charlie Eitel must oversee the implementation of the Great Game of Life (GGOL) as a comprehensive change program. However, this implementation is met with significant resistance.

Individual Sources: The fear of the unknown is present among employees and top managers, as the outcomes of GGOL remain uncertain leading to concerns about safety and job security, evidenced by the resignation of plant managers. Additionally, individuals tend to stick to their habits and preferred ways of working, causing resistance when faced with GGOL as they fear a shift from their familiar environment.

Get quality help now

writer-marian

Verified writer

Proficient in: Business

4.8 (309)

“ Writer-marian did a very good job with my paper, she got straight to the point, she made it clear and organized ”

+84 relevant experts are online

Hire writer

Economic factors also contribute to resistance, as the ambiguity of GGOL at Simmons raises concerns about changes in job tasks and work routines impacting productivity and pay.

Organizational Sources: Structural inertia acts as a counterbalance to maintain stability and resist changes, with the dominant culture at Simmons contradicting the company's original culture, thus reinforcing the resistance to change. This can be seen in the complete overhaul of leadership style at Simmons, where the vision promotes embracing new ideas, open communication, and a fun work environment.

Despite deviations from core values in the dominant culture, actual leadership relies heavily on intimidation for motivation. GGOL aims to completely overhaul the company's dictatorial structure and ensure Simmons is headed in the right direction. Additionally, there are limitations on resources. Adequate financial resources are needed for organizational change, but Simmons is currently facing the threat of bankruptcy. Furthermore, group inertia is evident as some employees resist GGOL due to opposition from the groups they belong to.

Analysis and evaluation:

Implementation of the GGOL is a contentious issue, but it effectively teaches Simmons staff how to collaborate and share information. The GGOL consists of four phases. The initial phase concentrates on fostering participation, encouraging employees to engage in discussions and improving organizational communication. Resistance to change is viewed positively as it prompts open dialogue and exchange of opinions. Change agents utilize this resistance to elucidate the change effort through process consultation. The second phase focuses on building trust and support through team-building activities. These first two phases mirror the unfreezing step in Lewin's three-step model. The last two phases are interconnected, utilizing intergroup development techniques to identify and address disparities (corresponding to the Movement and Refreezing step in Lewin's model). Ultimately, these efforts help employees reach their full potential in the workplace.

Recommendations:

Following Charlie Eitel's appointment as CEO, he undertook several key initiatives such as revamping the Beautyrest brand, investing $9 million in an advertising campaign, restructuring management and the company's overall structure, and introducing the GGOL program. While many of these efforts were successful, Eitel and his top executives have yet to develop a strategic plan for steering the company through current challenges.

Considering the successful results of the experiment at the Charlotte Plant, I recommend that Eitel continue with his original plan to adopt the GGOL. The key focus of this plan is to establish a culture that promotes change. Below are some suggested improvements.

It is important for companies to prioritize listening to their employees' feedback. By doing so, they can gain insight into their attitudes, pinpoint any disparities among employees, and work towards resolving any issues. Additionally, survey feedback can help employees feel appreciated and valued by the company.

Simmons should consider implementing appreciative inquiry (AI), which focuses on the organization's successes rather than its problems. At Simmons, employees are often criticized, but by identifying the strengths of the organization and leveraging comparative advantages, managers can help bypass disadvantages. AI also involves creating action plans and developing implementation strategies collaboratively between managers and employees. The more people are engaged in this process, the more willing they are to embrace change.

Restructuring the hierarchy of Simmons is essential for Eitel to prioritize. By decreasing the importance of hierarchical authority and control, communication within Simmons can improve and become more efficient. In innovative organizations, communication tends to be both high and effective. Additionally, reducing the emphasis on hierarchical authority can result in power equalization, ultimately benefiting the overall growth of the organization.

The importance of Organizational Behavior is highlighted in "Leading Change at Simmons" through its focus on a workplace culture that prioritizes employees and is led by an innovative leader with a clear vision for the organization.

Issue Explanation

Simmons is currently dealing with the aftermath of losing three important clients following the 9/11 attacks, resulting in a major economic impact. Additionally, the company is facing challenges with its products emitting a foul smell, suspected to be due to low-quality raw materials from a particular supplier.

Issues

Throughout the case study, it becomes apparent that the company is facing numerous problems, ranging from a lack of a clear vision to internal competition between different manufacturing units. These issues are clear indicators of the sources of conflict within the organization.

1. Goals that are not compatible with each other

2. Diversity

Analysis of Problems

Role conflict occurs when individuals face conflicting demands from different roles within an organization, often stemming from unclear organizational structures defining roles and responsibilities. Ambiguity in these areas can result in confusion, inefficiencies, and tensions among employees. To prevent role conflict and enhance productivity, organizations must establish transparent structures and clearly communicate roles to all employees.

The company encountered a significant issue stemming from the lack of a clear organizational structure and role conflict. Associates were reporting to General Managers who primarily held roles as Sales Managers and lacked business acumen, leading to manufacturing units being overseen by these managers. This problem is brought to light when Bob Hellyer, President and Director of Simmons, discusses the manufacturing units at Janesville and Charlotte with Eitel.

Failure to implement the company's vision and values

When Eitel became the CEO of Simmons, three additional core values were introduced to the existing four. It appeared that there was a lack of adherence to the "Simmons Code of Ethics" and the "Simmons Values," as well as a missed opportunity for collaboration and open communication.

Our objectives in the short term:

1. Get rid of the mattresses made with poor quality foam and take legal action against the supplier.

2. Communicate and report long-term with partners and employees.

Restructure

Bill Wagnar should remain in his current position...