CMI Level 7 Unit 705 Leading Strategic Change Assignment Answers

Course: CMI Level 7 Certificate in Strategic Management and Leadership in Practice

Aims of the CMI Level 7 Unit 705

One of the most crucial roles of a leader is to be able to direct the organisation with their strategic change. This will improve the ability of the organisation to remain competitive, to react in a better way to the desires of stakeholders and to be the first one to respond to any kind of change in international or national markets. This unit aims to make future leaders understand the value of context, complexity and scope of leading strategic change.  

Here in this unit, leaders will understand how they can utilise different applications of analytical techniques, various models and theories of change, and sharpen the skills for problem-solving creatively so that they can equip themselves in leading strategic change with confidence. The unit culminates in allowing leaders to develop a proposal for leading a strategic change. 

Keywords:  Change, drivers, scope, context, problem-solving, theory, approaches, strategy, reflection, success.

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Learning outcome 1: Understand the scope and context of strategic change

AC 1.1 Discuss the scope, context and drivers for organisational change

Answer:

The scope of organisational change is needed for the implementation of the necessary controls, management, and record of any changes following the project contract stage on the required scope. The rising project cost and project schedules highlight the importance of revising the project scope to implement a formal change management process.

Context denotes the outside and inside elements that have a colossal impact on change in management. The other core factors of an organisation have a significant influence on the success of the change, the value and fit of the change solution and the change management process being the other factors.

Internal Factor

Internal influences that have a significant influence on the change include other organisational transformations that are running at the same time, causes of the failure of previous change strategies, the executive management, or the current performance of the organisation.

The following are the internal change drivers:

1. Financial management: Financial factors are also rather instrumental in pushing the internal factors of an organisation.
2. Profitability: profit to a company is the main objective; it is the key gauge driver of the internal aspect that is the profit of an organisation in comparison to the cost.
3. Organisational structure: it defines the system that establishes some activities that are facilitated to achieve the goal of the organisation.
4. Organisational culture: it encompasses all the business elements because the working culture is significant in ensuring comfort, support, and appreciation of employees.
5. Stakeholder requirements: stakeholder requirements entail the decision-making in the business needs, goals and objectives based on the perspective of the stakeholders and their contribution in business.

External Factor

The changing context, such as the economic or regulatory climate, activities being practised by the competitors or some popular belief of what the organisation is doing, is also a significant factor in the changing context. The external factors that propel the organisation include:

1. Legal and regulatory needs- the laws typically rely on approaches, which are referred to as the click-through nexus. This approach is based on the extension of the existing law to require a retailer to collect the sales tax from customers.
2. Policy efforts - good governance is a highly significant factor behind the policy invention and curiosity. The firm concentrates on adopting the most appropriate policy to run an ethical firm where stakeholders of the firm trust the company.
3. Emerging and disruptive technologies- technology change is significant to the company since in such a rapidly changing world, technology is rapidly developing.
4. Social factors - Organisations always eagerly anticipate the replacement of employees and install technology in their stead. The deflation of employment opportunities is a significant risk to the organisation in terms of societal aspects.
5. Economical reasons - The immense variety that the organisation offers captivates consumers when they do not need an expensive item. In developing countries, economic stability presents growth opportunities to organisations. 

AC 1.2 Critically appraise the complexities of leading strategic change

Answer:

Based on several reports and studies, it is known that leading strategic change is a process or program that works towards assisting individuals or people in highlighting the personal and organisational transformation. Based on research conducted, it is established that the organisation has several kinds of changes which apply to the organisation in relation to the problem and the situation the organisation is undergoing. The research indicates that it is evident that the strategic change, which involves the organisation's workforce and organisational culture, has many complexities or challenges that the organisation faces.

The intricacies of guiding the strategic change that the organisation must attend to are as follows:

• Legal, regulatory, and good practice requirements: legal and regulatory aspects of the company are crucial towards achieving the goal. A recent report has indicated that the organisation is looking forward to launching its wings globally, yet the company is complying with the rules and regulations. To overcome this factoring company must emphasise cybersecurity and all the legal requirements, based on the country in which it operates.
  
  
• Organisational culture: the organisational culture will always count in spearheading change. Since part of the leading strategic change company should be dedicated to leaving the existing culture, and working on establishing a new culture where employees are comfortable in the organisation.
  
  
• Organisational development and design: organisation development and design of strategic changes is a very crucial aspect. The concept is to be able to adapt this strategic change so that people and organisations can utilise and make the best out of its capabilities and potential.
  
  
• Stakeholder management: it is no secret that an organisation is comprised of stakeholders that possess multiple interests and play a part in the strategic change of the organisation. As the company plans strategic change, it can anticipate the effects of such changes on the stakeholders are comfortable with such or otherwise, since the primary objective of strategic change is to meet the needs of the company stakeholders.
  
  
• Resourcing: Strategic resourcing is one of the important aspects of strategic change. This involves appropriate management of the human resources, which aligns with the strategic change and operational needs of the organisation, and the most important factor that the company should take care of is the proper utilisation of resources.
  
  
• Risk management and risk reduction: at the company, risk management is a significant consideration. The organisation is always eager to reduce the risk that it encounters by adopting different technologies and policies, and strategically plans to be a step better than its competitors.
  
  
• Transformational Change - Individual change to organisational change, it is highly significant to alter the behaviour of the workforce and the methods they are applying in their work, which is vital to embrace changes. The disadvantage in this case is that if some of the employees fail to embrace the procedure, the managers would need to find a substitute for the specific individual.

AC 1.3 Critically evaluate theories and models for leading and managing strategic change.

Answer:

Strategic change management is the procedure of supervising change in a structured method to meet organisational goals, missions, and objectives. There are various models for the management of the change process. The detailed description of these models is as follows:

Kotter's Change Model

This model of strategic change management supports organisations to lead their employees through critical steps, which are very important to consider. There are eight steps to be followed, which are as follows:

• Creating an environment of insistence and ensuring that there is a requirement for the change, from which employees understand the organisation’s strategic development.
  
  
• Creating a managerial alliance of groups that can assistinmodelwith innovative change adaptationandalso encourage working collectively as a team.
  
  
• Initial strategy and visualisation, and a picture of the company, where it is heading, and the process of achieving the particular goal.

Kurt Lewin's Change Model

Kurt Lewin’s force field theory refers to therestrictive forces which influence the performance of the group as well as the individuals, eventuallydeciding the chance of change. The powerful forces direct and encourage employees on the road to the new state of change in the organisation (Hussain et. al. 2018). Change managers must apply stress management techniques, ensure compliance is met, and use convincing change reasoning.

• Stage 1 – 
  o    Unfreeze: In this stage, effective communication plays an important position in involving the required team members brought in and supporting the employee's start of the change management.
  
  
• Stage 2- Change: 
  o    In this stage, the change model deals with the application of change; this step involves the following important points:
  o    Making a permanent flow of information to attain support for the team members.
  o    Organising the various change management workshops and sessions for exercising change management.
  o    Encouraging employees to understand and deal with the modification actively.
  o    Motivating the team members for easy wins and visible results.
  
  
• Stage 3 – Refreeze
  o    This stage in the model refers to the movement of employees away from the transition phase for acceptance or steadiness. 

Learning outcome 2:  Know how to propose a strategy for leading strategic change

AC 2.1 Develop a proposal for leading strategic change.

Answer:

• Outline of the Proposed Strategic Change

This proposal focuses on leading a strategic change to introduce flexible and digitally enabled working practices across the organisation. The change includes adopting hybrid working, upgrading digital systems, and developing leaders to manage change effectively. The business value of this change is improved productivity, higher employee engagement, better work–life balance, and increased organisational agility. The change is expected to be implemented over 12 months. Resources required include investment in digital technology, staff training, change leadership support, and HR involvement.

• Aim and Objectives of the Strategic Change

The main aim of the strategic change is to create a more agile, inclusive, and future-ready organisation. The objectives are to improve operational efficiency, enhance employee well-being, increase employee engagement, and reduce staff turnover. Another objective is to strengthen leadership capability so managers can confidently lead teams through change and support continuous improvement.

• Alignment to Strategic Goals and Compliance Requirements

The proposed change aligns with the organisation’s strategic goals of innovation, people development, and customer satisfaction. It supports HR policies related to flexible working, equality and diversity, and employee wellbeing. Ethical considerations are addressed by ensuring transparency, fairness, and employee involvement throughout the change process. The change also complies with legal and regulatory frameworks, including the Health and Safety at Work Act 1974, Equality Act 2010, GDPR 2018, and Working Time Regulations. Corporate Social Responsibility goals are supported by reducing commuting, lowering carbon emissions, and promoting sustainable working practices.

• Tools and Techniques to Deliver Strategic Change

A range of tools and techniques will be used to plan and deliver the change. Diagnostic tools such as employee surveys and performance data will be used to understand current practices and readiness for change. Stakeholder mapping will identify key stakeholders, including senior leaders, line managers, employees, and external partners. Kotter’s eight-step change model will guide the change by creating urgency, building commitment, and embedding change into organisational culture. Lewin’s unfreeze, change, and refreeze model will support behavioural and cultural change. A structured project management approach, such as PRINCE2, will be used to manage timelines, risks, and governance. Risks such as resistance to change and skills gaps will be identified early, with mitigation plans including training and ongoing support.

• Potential Impact and Consequences of Strategic Change
  
  The change is likely to have both positive and challenging impacts. Employees may initially feel uncertain or resistant due to changes in routines and expectations. Change agents such as managers and HR professionals will play a key role in supporting employees and addressing concerns. Resistance will be managed through communication, involvement, and reassurance. The outcomes of the change will be monitored using employee feedback, engagement surveys, performance measures, and cultural indicators such as collaboration and trust.
• Communication Strategy to Support Strategic Change
  
  A clear and consistent communication strategy will support the implementation of the strategic change. Internally, regular updates will be shared through team meetings, emails, and digital platforms to keep employees informed and engaged. Leaders will be encouraged to role-model the change and reinforce key messages. Externally, communication with customers and partners will highlight the organisation’s commitment to modern, flexible, and responsible working practices.

AC 2.2 Reflect on how approaches to leadership can be applied to deliver the strategy for change.

Answer:

Understanding the leadership approaches to deliver strategic change in an organisation is an essential task for the leader. For a company’s leaders to use appropriate and effective leadership approaches that deliver strategic change. Various approaches to leadership help drive strategic change in the company and are suitable for the particular strategy and project.

The organisation is generally popular as it is a customer-focused company in the market; it succeeded in this area by making sure to fulfil all its promises made to customers and members. The company's finance leader claims that the organisation is investing around $800 million to fulfil the promise of one-day delivery. This kind of strategic change will lead the company in the market by giving tough competition to its rival companies.

Reflection

There are various leadership approaches, but the most suitable for this situationand can be applied for case company which are transformational leadership approach, and the company can also use Kotter's Change Model for driving the strategic change.
Transformational leadership –it is the approach to leadership that places importance on change and transformation. In the case of organisations, the leader can consider applying a transformational approach, as this approach focuses on encouraging employees' potential to work hard.

Kotter’s change model - In the case of organisations, the leader is required to lead their subordinate in the right direction, for which the leader can consider using Kotter's change model. By considering the model leader can guide their team members and subordinates to work according to a strategy that further helps in fast delivery in a one-day process.

The strategic change factors- the leader of the company should also focus on utilising the strategic change factors, which are time, scope, capability, and capacity, which will help to achieve their desired goals. And after the making of the report, it is recommended to use various communication strategies that are effective for organisations, which also help the company's business strategy and ideas to grow further.

Leadership approaches and management models to deliver strategic change

To the effective implementation of leading strategic change in the company, the manager or leader can opt for the following leadership approaches and management tools

• Authentic Leadership: A management style known as authentic leadership comprises leaders who are genuine, self-conscious, and open. By continuously communicating their impression of their colleagues' performance, a good leader inspires loyalty and faith in their workforce.
  
  
• Entrepreneurial Leadership: this leadership model states the mindset of people that highlights the strategic management of strategic change and the risk involves. 
  
  
• Situational Leadership: According to the Hersey-Blanchard Model, there is no such leadership style which is superior to another. According to the model, effective leadership is relevant to relationships and tasks.
  
  
• Five Practices of Exemplary Leadership: Leadership is not about character; it is also about performance, services, and abilities. The practices of leadership by authors Jim Kouzes and Barry Posner, the practices state that they first set out to determine what effective leaders require to do when they are at their best.
  
  o    Represent the ways
  o    Motivate a mutual vision
  o    Confront the procedure
  o    Allow others to act
  o    Support the heart.
  
  
• Leadership Styles: Based on Goleman's Leadership Styles, uniquely affect an organisation. According to Goleman, Leadership mightworks smoothly in one condition, but it may achieve terribly in another:
  
  o    The Affiliative manager
  o    The Democratic Leader
  o    The Commanding Leader
  o    The Pacesetting Leader
  o    The Authoritative Leader
  o    The Coaching Leader
  
  
• Ethical leadership model: When somebody leads morally, they act based on principles and ideology that are widely accepted as providing a solid foundation for the all-purpose good. Truthfulness, admiration, belief, fairness, transparency, and sincerity.

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