Kotter's 8 steps for leading organizational change

Running head: APPLYING KOTTER’S 8 STEPS AT WAL-MART 1

APPLYING KOTTER’S 8 STEPS AT WAL-MART 7

Applying Kotter’s 8 Steps at Wal-Mart

Penny Williams

HRM 560: Managing Organizational Change

Dr. Allan Beck

May 11, 2019

Applying Kotter’s 8 Steps at Wal-Mart

John Kotter’s 8 steps process of change is widely accepted across various industries as suitable model for implementing changes within organizations. Kotter’s 8 step change model comprises of: increase urgency, build a guiding coalition, get the right vision, communicate for buy in and empower action by removing barriers. The other key steps are: create short term wins, sustain acceleration and make change stick. The first three stages focus on establishing a climate of change. Steps four to seven are about engaging and enabling a firm, while the final step is about implementing and sustaining the change (Sarayreh, Khudair & Barakat, 2013). Wal-Mart Incorporation can use Kotter’s 8 step change model to introduce changes in its human resources policies and practices.

Strategies for Applying Kotter’s 8 Steps

Increase Urgency

Successful change effort at Wal-Mart can only happen if the organization acts with sufficient urgency. The organization must act with on your toes attitude that seeks for opportunities to solve problems, that encourages everyone within the company and that pushes for a sense of let us go. Kotter’s, according to Appelbaum et al. (2012), asserts that a change effort can become an exercise in futility without creating a sense of urgency. Successful transformation initiatives normally commence when leaders assess the market for change that can lead to competitive realities for an organization. In this regard, the chief executive officer at Wal-Mart should explain to employees that major changes in its human resource practices are imminent and encourage frank discussion within the firm. He or she should show employees valid evidence from outside the company that demonstrate the need to change.

Build Guiding Team

A feeling of urgency will help significantly in constituting the right team to guide change process within the company and in establishing essential teamwork among members. By creating urgency, many employees at Wal-Mart would want to provide help even if there would be personal risks. Appelbaum et al. (2012), in their support, observe that many people would be willing to pull toward the same direction, even if they do not gain short term personal rewards. Nonetheless, additional effort would be required to get the right individuals in place with emotional commitment, teamwork as well as trust to do the work. The strategy is to show enthusiasm and commitment in order the right people into the team. Also, the Wal-Mart may structure meeting formats for the team to reduce frustration and enhance trust.

Get the Right Vision and Strategy

In many cases, guiding teams may fail to set clear direction or adopt sensible visions. The consequences can be tragic for Wal-Mart and painful to the employees. For successful change effort, the guiding team at Wal-Mart should answer questions that may help create a clear sense of direction. Kotter (2012) observes that it is important to know the type of change required, the vision of the new firm, the things that should not be changed, and the effective ways for making the vision a reality. Also, it is also important to identify the change strategies that are unacceptably dangerous. By doing so, an organization can position itself on the right path for a better future. The guiding team at Wal-Mart should try to visualize the possible future and have clear visions that can be articulated in a minute. The vision should be moving and the strategies must be bold to make the visions a reality.

Communicate Vision for Buy In

The change initiatives at Wal-Mart cannot be successful, if the guiding team fails to disseminate the vision and strategies. The direction for change must be widely communicated throughout the organization for understanding and buy in. Small et al. (2016) indicate that the objective is to get as many individuals as possible aspiring to make the vision a reality. According to Kotter (2012) an effective vision is desirable, focused and communicable. In addition, the vision must be imaginable, feasible and flexible. Developing an effective vision is a challenging process that takes time, but the final product provides a clear path for the future. The strategy is to keep the communication simple rather complex and technocratic. Moreover, the guiding team at Wal-Mart should do some homework before communication in order to understand people’s feelings. It is important to address people’s anxieties, distrust and confusion. Most importantly, the team should use new technologies such as the intranet to help workers see the vision.

Empower Broad Based Action

Successful change can happen when people at Wal-Mart begin to not only understand, but act on the change vision as well. The management and employees must be ready to remove hindrances on their paths. Kotter asserts that the boss could be the single most obstacle to change effort. Subordinates may see embrace the vision and want to assist, but are shut down by the boss. System barrier is another source of disempowerment. Bureaucracy including layers in the hierarchy, procedures plus rules may tie the hands of workers who want to achieve the change vision. Lack of information about the change initiative is also a common source of disempowerment (Kotter, 2012). Finding persons with change experience who know how to bolster people’s self-confidence can deal effectively with hindrances that block actions at Wal-Mart. The other strategy is use of rewards and recognition to inspire and promote optimism. Issuing of regular feedback that can help employees make effective vision related decisions can also help in removing barriers that block action.

Generate Short Term Wins

In successful change initiatives, empowered individuals create short term wins to nourish faith in change initiative. Wal-Mart requires short term wins to keep critics at bay and help in building momentum. Without short term wins that are unambiguous, time and meaningful, the change efforts at the organization can run into deep problems. Kotter (2012) observes that successful and enduring efforts take time to build, which can be discouraging to workers at all levels of an organization. To maintain urgency, leaders must create conditions that do not only support early success but visible improvements as well. It is important to produce enough short-term wins that are visible to many people throughout the organization. The wins should be unambiguous and meaningful to permeate emotional defenses. Also, the wins should be easily and cheaply attainable, even if they appear small compared to the grand vision.

Consolidate Gain and Produce More Change

After creating short term wins, the change initiative at Wal-Mart will have direction plus momentum. The organization will build on the momentum to help realize the change vision by keeping the urgency up and lowering the feeling of false pride. Wal-Mart will eliminate the unnecessary and demoralizing human resources policies and not declare victory prematurely. According to Appelbaum et al. (2012) Kotter identifies sagging urgency as the primary problem during this stage. People begin to relax by declaring victory prematurely. It is important to take on some easier problems to create a few wins and generate a momentum. Also, the organization can utilize the early success as the basis for larger challenges and revise policies and systems that contradict the change vision. Furthermore, Wal-Mart should aggressively rid itself of the human resources policies that wears it down.

Anchor New Approaches into the Culture

Tradition is a formidable force that can drag down leaps into the future. Wal-Mart can keep the new human resource practices in place by creating a new, supportive as well as sufficiently formidable organizational culture. Kotter (2012) asserts that a supportive culture provides the foundation for the new methods or ways of operating. It will keep the new human resource practices working to make Wal-Mart a success. For Wal-Mart to anchor the new human resources approaches into its culture, it must not stop at step seven because it is not over until the new policies have roots. Telling clear stories over and over again about the new Wal-Mart, what it does and reasons for its success can also help in making sure that the change sticks.

References

Appelbaum, S. H., Habashy, S., Malo, J. L., & Shafiq, H. (2012). Back to the future: Revisiting Kotter's 1996 change model. Journal of Management Development, 31(8), 764-782.

Kotter, J. P. (2012). Leading change. Boston, MA: Harvard business press.

Sarayreh, B. H., Khudair, H., & Barakat, E. A. (2013). Comparative study: The Kurt Lewin of change management. International Journal of Computer and Information Technology, 2(4), 626-629.

Small, A., Gist, D., Souza, D., Dalton, J., Magny-Normilus, C., & David, D. (2016). Using Kotter's change model for implementing bedside handoff: A quality improvement project. Journal of Nursing Care Quality, 31(4), 304-309.