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Changes are one of the most inevitable part of doing business in market and have a great influence on working activities and procedures. Although, changes are not accept by management or employees with open arms as some workers feel hesitated to accept changes because it is not familiar with their comfort zone. Change can drive up the efficiency of working activities or processes that makes more satisfied customers for company. Short terms changes affects can be painful while it has a positive impact for long run. Changes can take several forms and build up new challenges for an industry as implementation of new techniques customers' needs are changed (Yoder-Wise, 2014).The present assignment is based upon Morgan cars company which is British Motor Car manufacturer which is implemented in 1910 by Henry Frederick Stanley Morgan. The firm is focused on leading design capability, an extensive array of luxurious materials and the latest drive-train technologies combine to create unparalleled pure driving pleasure. Apart from this, the report will be describe the impact of digital changes on this manufacturing industry and how the firm modify its functional areas so as to serve effectively in target market. Basically, digitalisation will directly affect working styles and supports organisation to expand business in international markets also.
Digitalisation was one of the major change for corporate world which wholly affect working activities as well as organisational cultural in positive and negative manner. But before adoption of digital tools and techniques firms was not able to sell their products and services at global context. At this time, it was too difficult for manufacturing companies to produce in a bulk as it requires more time, money and work force. Management of business associations was only liable to make all necessary decisions and develop policies according (Apostolou and et. al., 2011). For them, it got tough to manage employee grievances especially in large firms where diverse cultural people work. No one employee was involved to while corporate decisional activities; it results lack of ideas or thoughts. Business organisations kept their records in books as they cannot find them easily at the time of requirements thus, firms could grab better opportunities by making instant decisions. At this time, when any changes occurred had a great hindrance on company’s market position, some corporations were not able to face these challenges and forced to shut down.
Along with this, before digitalisation it was difficult for firms to manage their database and accounts in a systematic manner. In context of Morgan, the company sold its products in local areas also and at this time its sales and profitability was one third of Morgan's current income. The annual employee turnover of the company was also high through which affects its profits and sales revenues (Ang, 2012). It results, many traditional organizations could not meet their expectations. Traditionally, IT has been seen mostly as a tool for developing a company's own functions: streamlining processes, increasing productivity and automating the supply chain. But now it has become one of the most imperative function of car manufacturing companies. Before this change, company was only able to make normal cars which requires higher petrol’s or oil. It also had been increased fuel prices and operation cost of companies. As normal people was not able to purchase luxury cars due to their higher costs and taxes.
Furthermore, before digitalisation work used to be done manually which was time consuming as well as prone to more errors? It was quite difficult for manufacturing companies to carry out their daily operations supported with quality. There were less possibilities of making innovation to car designs as they were restricted to human thinking.
During digitalization large manufacturing organizations get more occupied with different synchronous change programs, frequently including lot of individuals over various locations. While customary workshops and strategic programs have their place, they are not successful and are not fast enough. Along with this, due to digitalisation business models are also grow more flexible (Courtney and et. al., 2015). For instance- product individualisation is not a new concept but the level of customisation, speed of production and low prices have been be attained in a certain time period. As a result, attackers born in the digital age can swoop in and disrupt the market through rapid delivery of digital products and services combined with advanced algorithms and full access to information. The operative environment of Morgan also gets changed as digitalisation supports in raising firm's efficiency and productivity. For example- while organisations gain all new solutions from a blank state; it results they will simplify basic IT and can run in more effective manner. After digital changes, it makes possible for Morgan to do things or tasks in completely new manner. It results, innovative business models has been born which supports to deliver a unique experience of auto mobiles to customers. Therefore, now Morgan cars have long become famous the world over for their unique blend of charisma, quality materials, craftsmanship and performance. To attain this success, the firm has acquired those software which delivers advanced reverse engineering, surface analysis, quality inspection and assembly guidance. The digitalisation process of the company is vital to maintaining a digital thread between designs, engineering, manufacturing, and finished part validation (Gaynor and Muir, 2014). For example - Based on a powerful CAD platform, Verisurf software are committed to digital Model-Based Definition (DPD) (MBD), open standards, and interoperability with all coordinate measuring machines and CAD software. These solutions help manufacturers produce higher quality products in less time.
A change is a process where some policies and procedure at workplace get modify at some course of moment. It is really essential to understand the changes and modifications which arrive at workplace properly so that better and supportive working could be done. The change and modification at workplace arise due to some expansion or a field for deriving better outcome.
Morgan Car Motor are one of famous car manufacturer of UK whom used to deal in sports car manufacturing. Thus, they want to expand themselves properly through digital technology where they are going to place order of car online medium as well. Hence, management will going to done this modification in business and concern operations which required communicating with all staff personnel (Doherty, Horne and Wootton, 2014). This will enable them to understand about such modifications properly so that they could alter working and operations as per that. Leaders also have to take active participation which facilitates them to derive better and effective outcome. There are certain numbers of ways which need to implement by Morgan Car Motor so that alteration used to take place in better and supportive manner.
Change need to be clear and appropriate as per the reason: This stands that management need to communicate about the change to all employees properly with specific reasons as well. This will enable them to expand properly as well as maintain competitive edge through managing change. Morgan car Motor has to define to their employees about such digitalisation properly with clear explanation so that better and efficient outcome could be drawn.
Determine the emotional impact: Although, sometimes, employees do not want to change their working and alter operations as well. Thus, before actual implementation, managers and leaders need to understand about EQ with such alteration so that better and efficient outcome could be drawn (Dhillon, 2013). Morgan Car Motor has to understand such aspects in respect with employees so that effective working could be done.
Aware about employees: Management need to signify that such change will used to bring out positive attribute. Like management of Morgan Motor Car need to define to employees about positive attribute from such digitalisation. Like their working abilities and capabilities used to get enhance which could be an ultimate response of such change and modifications.
Define about change: Business managers have to explain clearly about aspects of alteration properly. This required to get done by pictures, graphs and other techniques as well. This will contribute in motivating each and every individual of Morgan Car Motor properly so that derivate working could be done in better manner.
Distribute responsibilities as well as sources: Managers of Morgan Car Motor have to divide the responsibilities of each and every employee properly so that they could perform their work effectively. On the other hand, they also have to utilise the resources properly so that such kind of change could be implemented in better and effective manner (Linsky and Lawrence, 2011).
Facilitate two way communications process: A business association has to provide a two way communication in which they have to understand the views of employees as well. This will enable them to understand the aspects of various individuals properly so that any kind of difference related with alteration could be modifying more properly. Morgan Car Motor have to determine this aspect in better manner and gain response of their clients effectively so that efficient and appropriate working could be done.
Such process need to follow up by the managers and management of Morgan Car Motor so that they could facilitate effective and efficient working operations. Along with this, modifications will used to take place in better and supportive manner as well.
A business have different and various number of stakeholders. All of them have their own view and aspect which need to understand by business managers. Thus, when a change could be determine some of the stakeholders could show and signify positive attribute where as on the other hand some of them show unfavorable response in tenure (Zhang, 2013). Thus, Morgan Car Motor has to analyse and understand about the aspects and perspective of different groups in an organization or outside the firm so that better and efficient decision related with alteration used to take place.
Employees: They are the one whom support business to grow and expand their operations as well. Business need to understand about the aspect and perspective of various employees regarding change or alteration in better manner so that effective judgment could be determine. As some of them want to not to modify their work because they think that such alteration might provide harm to their jobs. Like digital transformation reduce workload of more than half individuals. Thus, chances of inappropriate consideration could be enhance which further resist better and effective working.
Board of directors: Another individual whom have positive attribute towards change are board of directors. They need to alter their operations because they want higher return which facilitates them to gain and perform the better things and operations. Thus, their perspective is clear which completely related with growth and development of a firm not anything else (Janes and et. al., 2013). Thus, their response also required to implement and take in account properly which further assist in gaining and defining effective outcome.
Hence, Morgan Car Motors have to understand the aspects and perspective of various internal individuals. This will assist them in bringing down the change properly and effectively. Like through better communication, management become able to communicate with employee’s negative perspective that such digitalisation could enhance their ability only and signify positive response. Although, their board of directors need to determine the results in future so that better and effective strategies could be implemented and crafted. Henceforth, such changes will used to bring out positive attribute only but not negative influence. Hence, it will bring and derive effective and better outcome in near future course of time which further support them to gain and identify appropriate opportunities.
Digitalization refers to the process by which organization shifts from typical analog to digital process. To maintain and retain position in competitive world, Morgan have to change their procedures and processes to recent advancement i, e., to digitalization. This provides company in proper implementation of manufacturing procedures and also records their activities. It helps Morgan to increase their productivity and efficiency in their production. Morgan manufactures cars which have different designs and creative designs and is dealing in this sector from many decades. They have been famous with innovative and unique patterns of cars and have modified their traditional designs with more attractive designs (Gupta, 2011). This has been possible after the implementation of digitalization within company. As change is an unpredictable phenomenon and can occur any time in market, so company should be prepared in order to implement good changes in their operations to maintain and lead the market. Morgan is expert in implementing any recent change in auto motive industry which helps them to maintain their brand image (Murray, 2011). Managers ensure that company only implement good changes which can result them with more profits and revenues. Engineers and manufacturer come up with innovative ideas and also managers give responsibilities to other employees associated to manufacturing departments to come up with unique ideas which they can implement in the process of manufacturing the car. Superiors of Morgan company implements various change models in order to effectively manage their change and make more profits out of it. They manage their changes by implementing change management within organization. Following are some models of change:
Lewin’s Change Management Model
This model is the most effective and popular model and help managers to understand about organizational and structured changes. This theory was developed by Kurt Lewin and consists of three main stages which are as follows:
Unfreeze: In this method, organization prepares themselves for new changes. In Morgan, managers identify new changes in environment and prepare themselves with set of procedures, operations, etc (Anderson, 2016). One is the situation with digitalization, managers found out that digitalization will help them design and develop more effective and unique designs, they adopted it and implemented in their company.
Change: This is the actual stage where implementation of changes is done. As soon as managers found out the advantages of digitalization, they implemented in their working and start developing cars with attractive designs. It is the responsibility of managers and leaders to address their employees and other staff members about new changes in order to comfort them with new changes. They need to tell them about benefits of change which can result in maximum profits to company. This increase the zeal in employees to adapt to those changes as fast as possible. Communication between superiors and subordinates are the keys for this stage.
Refreeze: After the change has been accepted, embraced and implemented within organization, the company begins to become stable again. After adopting digitization for the very first time, slowly and slowly, Morgan started becoming used to that change. That is why this stage is known as refreeze (Spillane, 2015). At this time, staff members and company begin to refreeze and things start going back to normal pace and routine. This requires combined efforts of employees and superiors to establish new change within every area possible and make ensure that those changes are used all the time. For e.g. Managers of company ensure that engineers use digitalization to design their cars.
McKinsey 7’s Model
This is another model which is used by Morgan Company. Following are the stages involved in this model.
Strategy: In this managers prepare step by step future strategy which help company to make out profits from recent change.
Structure: It represents different divisions of organization and includes the information of who is accountable to whom. It is one of the most visible and easy change elements of the framework.
Systems: This includes procedures and process of company according to which business operates its activity (Whitelaw, 2012). Managers should focus while making organizational changes. Morgan pays attention while making or implementing any change within the enterprise.
Skills: These are the abilities which are possessed by employees. They are the core competencies of employees and help them to perform their work smoothly. At the time of implementation of new change, managers has to see what type of abilities and skills will be required for the employees to inculcate those changes in their routine work.
Staff: They are mainly concerned with what type and how many employees are required for company to perform their activities (Galliers and Leidner, 2014). They are also concerned with recruiting, hiring, motivating, providing necessary training and rewarding them at the time of best performance.
Style: In this, how Morgan company implement different leadership and management styles within their organization are mainly focused. How the managers and leaders manage their staff and employees and at what extent they are successful in satisfying employees are focused under this stage.
Shared Values: This is the core competency of McKinsey model. This includes some norms and standard which guide behavior of employees and actions of company. They are the foundations of every organization.
Above were models of changes which are used by Morgan Company. They are using digitalization in every aspect and in every step of organization and are thus gaining more profits and customer satisfaction. It is the responsibility of superiors to find out the advantages and benefits of changes and then implement the in business operations. They should also encourage employees to come up with innovative ideas and thoughts which can benefit company. With the help of digitalization, Morgan has maintained their position in market and gives tough competition to other auto motive industries.
Digitalization is one of the most fundamental drives of transformation giving a unique chance to an organization to shape its future. This era of digital change enables occurrence of acceleration in technology, social and industrial forces that induces an innovation in global auto mobile industry leading to growth relevance of new entrants into traditional segments and creation of new one.
Morgan Motor Company being iconic brand for manufacturing three- wheeler, classic and aero cars has embraces digitalization by molding its traditional designs with latest technologies.
Pre Digital Design Early concept cars such as the Morgan Aero max would be panel beaten into shapes by first making sketches of the same (Eacott, 2014). This extremely talented line of work included manually manipulating aluminum sheets over flexible jigs by making use of hammers and English wheels. Each car manufactured was built as per customer specifications components of which were made off site. The operations of Morgan were entirely family owned having in charge of all activities from concept to production an launch. Also the company required a huge team of employees from designing to manufacturing and from assembling to launching the final car models. The main drawback of this traditional manufacturing technique was it was too slow, tedious task having narrow scope for reworking the form with speed. Also lack of speed and incapability of redesigning the model during creation heightened up the urgency to bridge the deviation between initial sketch to final production car design to attain accurate model in first attempt.
By embracing age of electricity Morgan which previously working as a soul owner managing al its operation single handedly join partnership with Autodesk. It clubbed visual-based aesthetic designer and the engineering team for drawing on technical and 3D using advanced software from Autodesk (Design Suite Ultimate which includes AutoCAD, Showcase, Alias, 3ds Max). This provided company with an opportunity of physically creating the design in the same manner as it is visualized by designer. 3D rapid prototyping, CFD analysis and modern CAD design /visualization work in harmony with hand beaten panel work, carpentry and leather trimming. With digitalization hitting the modern age Morgan’s being proactive in grasping the opportunities in its working environment took advantage of it team member belonging to different backgrounds and skill sets are encouraged to give innovative and creative ideas that can be converted into actions. This also enabled Morgan to know process of its project in real time so that it can swiftly adapt to any changes on time easily avoiding any hold ups. The use of the design tools enables Morgan Motors to continue to build cars with traditional methods, blending traditional body and trim with modern drive train and underpinnings (Allen, Rogers and Bunn, 2012). By using zero cost sign off technique comprising low cost form model whose expense incurred is not more than four employees company enables to sign off it costs. Also by using highly technical robotics technologies for assembling the car components reducing time, budget, money and workflow constraints making car more attractive for young and emerging talents who wants speed, latest technology, classic designs that suits their budgets. The designer’s tools like Project Falcon, Alias enabled the fast relationship between on screen surfacing to cut physical models, rescanning and rework that was not possible earlier. Another positive impact of digitalization that proves to be advantageous was it built to order process. To enhance customers Satisfaction Company now provides a photo realistic impression of the probable car design for its consumers to view so that any alteration related to design, color, appearance could be made. The character, story and personality injected in this nature of manufacturing are only made possible by being able to increase the efficiency of the upfront design work. Another feature added wills that company will be implementing T-Spline technologies in to their work flow which will ease of modeling surfaces. The company is exploring more powerful rendering packages from Autodesk to increase the speed and accuracy level of visuals while carrying out 'on screen sign off'. It is also launching a PLM catering and exceptional cloud based processing options for catering needs of any designer who is undertaking detailed work project. With the emerging trend of segmentation and diversification company is thinking of launching economical and luxury range to cater the demands of these segment groups. With media becoming powerful tool for sales and brand promotions Morgan is giving greater emphasis on building up its strong brand image. Company is exhibiting its products at number of shows worldwide. To enhance and maintain it unique style and car design Morgan has teamed up tech giant along with both HP and Nvidia and niche automotive company. By undertaking fusion of old and new which is unique to Morgan cars the Aero has evolved into the high-end luxury Aero Super Sports Morgan cars today.
As per the above discussion, it get comprehend that changes in internal and external business environment has a vast impact on growth and success of corporate association. The report stated that digitalisation is one of the major changes that has been occurred and has a great impact on working activities of the change. Before this, Morgan Car Company was not able to sell its products over the world and could not reach large number of customers, but after adoption of digitalisation concept the firm is able to attain and retain target audiences for long term period. Although, the firm also launched its online website where people can get know about new products and offerings of the company. Henceforth, change of digitalisation has a positive impact on Morgan car company in terms of raising efficiencies of employees as they will capable to work in effective and innovative manner.
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