GSGM 7223 Managing Organization Assignment: Global Foods Ltd Case Study on Change Management and Digital Innovation

Case Study: Strategic Transformation at Global Foods Ltd.

Background

Global Foods Ltd., a mid-sized, family-run enterprise based in Manchester, UK, had enjoyed more than three decades of relative success in the frozen foods market. Founded in 1986, the company had carved out a niche for itself by supplying high-quality frozen meals to regional supermarket chains. By 2018, Global Foods employed over 800 staff and generated annual revenues of approximately £120 million. However, by the turn of the decade, signs of stagnation were becoming difficult to ignore. Despite its established brand and loyal customer base, the company was beginning to falter under growing external and internal pressures.

The food industry was undergoing a rapid transformation. Consumer preferences were shifting toward healthier, organic, and sustainably sourced options. Simultaneously, large multinational competitors were aggressively expanding their market share through advanced digital capabilities, agile supply chains, and significant marketing budgets. Within Global Foods, inefficiencies plagued internal processes, innovation was minimal, and morale was steadily declining. Realizing that the company could not afford to continue on its current trajectory, the CEO, Emily Carter, initiated a bold and comprehensive strategic transformation in early 2020.

The transformation began with a company-wide strategic review. Global Foods engaged a respected consultancy firm to lead a thorough diagnostic of its business model, market position, and organizational health. This phase involved detailed SWOT analyses, competitor benchmarking, and extensive consultations with employees, customers, and suppliers. The result was a renewed strategic vision built around three interconnected priorities: fostering innovation in product development, embedding sustainability into operations, and embracing digital transformation as a core enabler of efficiency and agility.

To ensure the successful execution of this new vision, a Strategic Planning Committee was established. This committee, composed of senior executives, department leaders, and external advisors, was tasked with translating the high-level vision into concrete, measurable objectives. Their approach emphasized cross-functional collaboration, with the intention of breaking down silos and encouraging ownership of change at every level of the organization. However, as is often the case with transformation efforts, the road ahead was fraught with challenges.

One of the most significant obstacles to the implementation of Global’s new strategy was cultural resistance. With a relatively stable workforce, many employees had been with the company for decades and were deeply accustomed to existing ways of working. The introduction of new technologies, agile practices, and external consultants generated a wave of skepticism and fear. Employees expressed concern about job security and struggled to understand why such drastic changes were necessary. This resistance was compounded by communication gaps between senior leadership and middle managers, many of whom felt underprepared to act as change agents.

Another critical issue was the company’s outdated infrastructure. Global’s legacy IT systems were incompatible with many of the modern digital tools being proposed, and the cost and complexity of upgrading them were considerable. Efforts to streamline operations by introducing AI-driven inventory systems and digital supply chain platforms met with technical glitches and staff apprehension. Additionally, Orion’s commitment to sourcing ingredients more sustainably led to disruptions in its supply chain, as several long-term suppliers did not meet the new ethical standards and had to be replaced.

Despite these difficulties, Global Foods pressed ahead with a structured change management approach, guided by Kotter’s 8-Step Change Model. The leadership team recognised that lasting change could not be imposed from the top down; it required a shift in mindset across the organisation. A sense of urgency was established early on through transparent communication about the company’s vulnerabilities and the risks of stagnation. Change champions were appointed across departments to support local adoption and to ensure that feedback from the ground was incorporated into decision-making.

Short-term wins were prioritised to demonstrate the potential of the new strategy. For example, the launch of an organic ready-meal line not only received favourable market response but also became a tangible symbol of the company’s new direction. Gradually, employee engagement improved as staff began to see the value of their contributions and the long-term vision of the transformation. Investments in training and leadership development helped middle managers gain confidence in navigating the change process. Internal communication channels were revamped, with regular updates through newsletters, video briefings, and Q&A sessions with the executive team.

By 2024, Global Foods had made notable progress. Annual revenue had climbed to £145 million, with a significant share attributed to new product innovations. Employee satisfaction scores rose by 40%, indicating a more engaged and motivated workforce. The company also made substantial strides in sustainability, with over 60% of its ingredients sourced from ethical and environmentally friendly suppliers. Most impressively, the implementation of data analytics and AI technologies in its logistics and inventory management systems resulted in a reduction of waste by nearly 18%, contributing to both environmental and financial goals.

While not every goal was achieved in the prescribed timeline, the strategic transformation of Global Foods stands as a compelling case of how mid-sized firms can reimagine their future through deliberate, inclusive, and well-structured change management and strategic planning. The journey underscored the importance of leadership, communication, adaptability, and employee empowerment in driving meaningful and lasting organisational change.

Answer ALL questions. Each question carries 20 marks

1. Discuss the key drivers that necessitated strategic change at Global Foods Ltd.

2. Explain in detail Kotter’s 8-Step Change Model and how it helped facilitate the transformation process at Global Foods.

3. Leadership plays a vital role in transformation in organisations. Discuss in detail the role leadership played in ensuring the success of Global Foods’ strategic plan?

4. Why did cultural resistance pose a significant challenge, and how was it effectively managed?

5. Analyse what broader lessons can be drawn from this case for other mid-sized companies facing similar challenges?