Index IntroductionThe Origins of the OrganizationMomentum for ChangeAnalysis and Evaluation of the Change Process/ProgramUnfreezeChangeCorporate StrategyOrganizational StructureHuman ResourcesRefreezing:RecommendationsConclusionIntroductionThis report is conducted to analyze and examine the change management of Nokia, one of the main mobile phone manufacturers. The report will examine Nokia's information about their background and history. The problems of falling behind in global competition are also highlighted. From these issues, it is time for Nokia to work on its own change process. Nokia has implemented change in important aspects of the organization under the direction of its new CEO. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay Organization Background Nokia Corporation or Nokia is a well-known Finnish multi-industrial company, founded in 1865 from a single paper mill business (Bennett and Pohjanpalo, 2017). Since telephony began, Nokia has started to enter the world of telecommunications. And when Europe deregulated the industry, Nokia decided to make mobile telephony and telecommunications its main business, achieving a large number of achievements in the history of mankind, such as the first fully digital local telephone exchange, the first telephone for cars, the first GSM (global system for cellular telephones) communications) call… (Schrempf, 2011). In 1998, Nokia had been the world's leading mobile phone brand for decades. This innovation leader's ambition was shown most clearly as he evolved and expanded his business. joining some giant companies like Siemens, Microsoft… With the vision of transforming the way people and things communicate and connect, run by thousands of people in over 100 countries, Nokia Corporation was an iconic model of organization of success in their brilliant era. for changeAccording to Aubry et., guided forces. In this case, the problems faced by Nokia can also be divided into 2 categories: internal and external forces. At that time, Nokia was facing global innovation competition with new companies. Technology is one of the fastest growing elements in the modern world (Hallingby, 2016). Many great innovations and achievements have been presented to improve human life, especially in the field of mobile telephony and telecommunications. With the advent of smartphones, market competition between device manufacturers has become more intense. In 2007, Apple introduced its first multi-touch smartphones with unique operating systems (OS) and a mobile platform later called the App Store. Not later, the Android operating system was also created together with the Play Store platform. These new operating systems with their platforms were the new revolutions at that time and customers started adopting them. In 2010, these two dominated the market. As the largest mobile device manufacturer, Nokia believed that all new products introduced were the latest technology and ignored the presence of Apple and Android operating systems. However, they did not foresee that this emergency would lead to a change in customer demand and behavior. Nokia's sales continued to decline and lost the top spot in the industry (Violeta and Camelia, 2016). Regarding internal forces, Nokia has a great history as a Finnish organization, especially its top management. With people from the same background and generation, culture andleadership in the organization have become conservative, lack major innovations and their bureaucratic culture in a rapidly changing world (Violeta and Camelia, 2016). Nokia's sales continued to decline and lost the top position in the industry due to their caution with the growth of technology. Analysis and Evaluation of Change Process/Program Organizational change refers to a long-term effort to improve an organization's problem-solving capabilities and its capabilities to cope with changes in its external environment with the help of agent of change (Đurišić-Bojanović, 2016). According to Dittrich and Duysters (2007), Nokia has gone through several organizational changes since its founding. And one of the biggest current changes in this organization has been the device and services partnership with Microsoft, the American technology "giant". The process of change at that time was crucial for Nokia as its profits and market share continuously decreased. Before closing the deal, Nokia appointed Stephen Elop as CEO to guide the company through difficult times. To analyze this process of change, Kurt Lewin's change model will be used in this part. This model includes three phases: thawing, changing, and refreezing (Medley & Akan, 2008). The reason why this form is used is because it is a planned change where Nokia hired a change agent, Elop as CEO, determined and prepared the process for the organization. Unfreezing Unfreezing is the first step in the process. This is the time for the organization to prepare for change by starting to recognize the forces for and also against the change. Driven forces cause group members to become dissatisfied with the organization's status quo and prepare for the moment of change. However, there are some obstacles that push for change when this slows down the change process (Maon, Lindgreen & Swaen, 2009). In the Nokia case, the application of Lewin's force field model is the appropriate overview to understand the current state of the organization. Figure 1 will show this analysis. From this form, it is clear that the driving forces exceed the braking forces, which means that the change was seriously needed for Nokia. The large amount of difficulties that Nokia was facing made its business suffer and it was time for Nokia to look for a way to move forward by improving its effectiveness in the mobile device industry. For the restraining forces, these are the problems against the change process occurred in the organization. To initiate change, Nokia and management had to reduce resistance to change. The change process could not continue without a change agent. The change agent is a change leader who can be internal or external to the organization (Zbieg, Batorski & Zak, 2016). As the first non-Finnish leader in the organization's history, Elop acted as a change agent and soon initiated the change process by issuing a searing reminder on the platform that openly showed his employees the serious strategic challenge they were facing. The memo also invited everyone to contribute their opinions to undertake change. This was a great move by Elop to overcome resistance when employees were aware of their new CEO and the current state of the organization. Subsequently, the employees were noticed of the change process. Here is a summary of the Elop memo: “We fell behind, missed big trends and wasted time. At that time we thought about takingthe right decisions; but, in hindsight, we are now years behind. “Our competitors are coming in intense heat, faster than we expected. Apple revolutionized the market by redefining the smartphone and attracting developers into a closed but very powerful ecosystem. ""The Shenzhen region of China is capable of producing phones at an incredible rate. By some accounts, this ecosystem now produces more than a third of phones sold globally, taking away share in emerging markets. ""Our competitors are not taking our market share with devices; they are taking our market share with an entire ecosystem. ""We poured gasoline on our own burning platform. I believe we have lacked the accountability and leadership to align and direct the company in these disruptive times. We had a series of errors. We didn't deliver innovation fast enough. We are not collaborating internally.” (Anthony, 2012). Change The intermediate step in Lewin's model is change or displacement. It's time to apply and implement plans, actions for change. The tools of change in this phase cover many aspects of the organization. Corporate strategy days after the memo, Elop announced the new strategy for Nokia when it moved its current operating system to Microsoft's Windows and became a partnership in the mobile and service industry. Partnership is one of the tools of organizational change. It will fit well into all areas of such organizations and enable them to be mutually beneficial (Schuster & Holtbrugge, 2014). This partnership came as a big surprise to everyone inside and outside Nokia and Microsoft. Confusion and worry about the big change happened to everyone involved in the change. However, as a decision maker, Elop believed that the union was an opportunity for them to work together, bring further innovation and create differentiation in the market. The two have joined forces in mobile telephony and services. Nokia Maps, for example, would be at the center of key Microsoft resources like Bing and AdCenter, and Nokia's application and content store would be integrated into the Microsoft Marketplace. As new goals, a new mobile ecosystem was predicted to be a revolution and a success for two in the near future (Carter, 2011). Organizational structureAfter the partnership agreement, Elop initiated the restructuring of Nokia. He chose to delay the management structure, bringing a flatter one to the organization. The new management level will be called the Leadership Team rather than the Executive Committee. Delaying means removing layers of management of the organization in a highly competitive environment (Pai, 2015). In this case, it is important to have a delay as the change tool as Nokia's original structure was complicated and slow in making decisions. The new change would help them increase efficiency and productivity. Elop also changed the operational structure of the mobile services and telephony division by dividing it into two main units: smart devices and mobile phones. These units have their own accountability for their performance by focusing on the complete customer experience. The divisions were small in size and allowed for a faster response in addressing very different markets in terms of demand and feature usage. Other units were also formed to support and collaborate the main units towards the objectives (Eddy, 2011). Human Resources When it appointed its new CEO, Nokia took its first step in terms of leadership. An outsider like Elop could.
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