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Business & Marketing
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English (U.S.)
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Topic:

Managing Organizational Change

Essay Instructions:

Few people have as big shoes to fill as the new CEO of Microsoft, Satya Nadella.  As the new CEO of one of the world’s most profitable corporations, Nadella is under pressure to continue the legacy of Microsoft’s legendary founder, Bill Gates.  While Microsoft was once considered a highly innovative and cutting-edge technology company, in this rapidly changing world they are now in danger of being upstaged by newer and trendier technology companies. 

While Microsoft is still a leader in operating system technologies, they are struggling to compete in the new world of smartphones and mobile applications.  In order to better compete with companies such as Apple and Samsung, they have recently purchased Nokia with the idea that this will give them a better foothold in the smartphone market.  But to make this merger successful in overcoming fierce competitors in the smartphone market, major organizational changes, including possible lay-offs and restructuring, will be necessary.  

Do some reading about Nadella and the challenges he will face in managing the merger with Nokia.  Also, review the background materials on organizational change and pay close attention to models such as the Lewin three-step model, Kotter’s eight steps, and the five steps involved in action research.  Use the readings to come up with some recommended steps that you think Nadella should take to manage the necessary organizational changes that Microsoft will need. 

In addition to the background materials about organizational change, read these articles and do some of your own research on Nadella as well: 

Ovide, S. (2014, Jul 10). Microsoft CEO Nadella hints at organizational changes; chief asks top staff to simplify operations; defends xbox business. Wall Street Journal (Online) [Ebrary] 

Cousineau, S. (2014, Feb 05). Nadella saddled with predecessors' missteps. The Globe and Mail,Toronto, Ontario [ProQuest] 

Waters, R. (2014). Microsoft's Nadella faces handset dilemma. FT.Com [ProQuest] 

Once you are finished with your reading and research, write a 3-page paper addressing the following issues:

  1. Choose one of the three main organizational change models presented in the background materials that you think would be most useful for Nadella – the Lewin model, Kotter’s eight steps, or the five steps in action research.  Explain why you think this approach would be the best for Microsoft given the changes necessary to manage the merger with Nokia and other challenges Microsoft faces.  Explain your reasoning for this choice.
  2. Come up with a specific step-by-step plan for implementing change, and use the model you chose in Part 1 as part of the plan. Do not just explain the model in general terms; be as specific as you can regarding the steps you think Nadella should take to implement organizational change and overcome resistance to these changes.

Assignment Expectations

  • Follow the assignment instructions closely and follow all steps listed in the instructions.
  • Stay focused on the precise assignment questions. Don't go off on tangents or devote a lot of space to general background materials.
  • List supporting references and cite sources in proper format.
  • Use appropriate writing style in essay form (organization, grammar, and spelling).
  • Review our “Writing Style Guide” for more detail on referencing and writing expectations. This guide is found under “My Resources” in the TLC portal.

 

Essay Sample Content Preview:

Managing Organizational Change
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Question 1
Satya Nadella, just on five months as the new CEO of Microsoft Corporation, has called employees to embrace organizational change (Ovide, 2014). The CEO now plans cutting the number of employees working for the organization, and reshaping what Microsoft Corporation does in the future. Nadella wants the corporation to rediscover its mission, not simply to deliver high quality software products, but also to widely create technology to assist people lead better lives and enable businesses operate effectively. Employees have been experiencing job cuts and are already informed about the decision about the job cut.
One reason for embracing job cuts is that Microsoft executives want to minimize overlap impacts occurring from the merger with Nokia (Ovide, 2014). The merger resulted into additional employees working for Microsoft from Nokia. Some employees now worry that such changes may be disruptive. Nedalla maintains that the change is inevitable to alter the operation after the merger of the two firms. According to Nadella, the firm’s industry does not depend on the tradition, but only relies on innovation; therefore is a need to embrace transformation (Cousineau, 2014). The new CEO feels that organizational change is imperative to enable Microsoft to regain its technological edge.
At the present moment, Microsoft has a new face since Steve Ballmer left the firm. With Nadella at the helm of the corporation, swift changes have been announced, executive reshuffle, shift in organizational priorities, and change in organizational culture are all expected to take place. Waters (2014) views that the merger with Nokia has been vital to enable Microsoft to control the entire supply change and to strengthen itself to fight against Google Inc. and Apple Inc.
The Kotter’s eight steps model is the best approach for initiating change within Microsoft Corporation based on the need to manage the merger activities including other challenges that Microsoft encounters. Cousineau (2014) opines that the firm intends to change in order to survive especially in the uncertain economic climate. Kotter’s model has several advantages than other change models.
The Kotter’s model is based on eight steps. The first two steps form the greatest strength of the model. The first step is developing a sense of urgency while the second step is establishing the guideline coalition. Nadella has already applied the first step by announcing and convincing employees about the need to change. People should know that there is a necessary need for change. Kotter’s second step encourages leaders to get a group of individuals (a guiding coalition) to assist and develop change (Komives, Lucas, and Mcmahon, 2013). The selected team should have competent knowledge and skills required to initiate effective change. Kotter’s model offers a strong checklist for things needed to be considered during the change process. The model ensures that change leaders align their IT systems with the new change. The fifth step of the model reminds change leaders to make certain that the right systems are in place. There is need to develop short-...
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