The
present report included a critical analysis of all the possible issues and
their respective solutions. The report contains a critical assessment of the
micro and macro environment. The issues faced by the company are also discussed
in the report. Based on previous issues and solutions, some recommendations are
suggested to improve the outcomes and to have an effective impact on the growth
of the company (Cools, et al., 2008). The criteria of a
business decision and implementation of new strategies must be based on the
improved profitability, market shares, return on the investment, increase in
the sales, level of customer satisfaction with the services, brand image,
capabilities, and the available resources. All the possible alternatives are
measured in the report that can be used to produce the solutions to issues (Ghanbari & Vaseli, 2015). If the selected
alternatives are not used, then proposed solutions can be used if they fulfill
the criteria. The decision should be taken straightforwardly after evaluating
the alternatives. The pros and cons, as well as workable conditions, are
mentioned in the analysis for the conditions under organizational constraints.
The company must enhance the variety of operations, and it could lead to the
solution of issues. The decision-making process must be justified with viable
solutions to problems (Ghanbari & Vaseli, 2015).
Ansoff Matrix of British Gas UK Strategic
Management and Change
Figure 2:
Ansoff matrix for British gas
The
Ansoff matrix defines a complete framework to explore strategic growth and
directions. The model is often used to analyze the possible strategic direction
in the business. The analysis describes that British gas has different growth
opportunities that encourage planners to consider the expected risk as well as
returns (Cools, et al., 2008). The market
penetration is higher for the company, but it requires appropriate strategies
to expand the sales of existing products. The product development is somehow
risky for the existing market. The market development of the previously
existing product is higher, and there is no possibility to find new uses of the
product. The diversification is low because it is not easy to add new services
instead of gas and electricity. The company can penetrate the existing market,
but it is not easy to move for a new market (Cools, et al., 2008)
Section 4 of British Gas UK Strategic Management and
Change
Change
management defines as a process that supports any company to perform an easier
business transformation. It helps out the employees to understand, dedicated
to, and take part in the change management of the company. Thus, change
management plays an essential role in creating the successful transformation of
any company (By, 2005).
This
section aims to analyze the change management which has been conducted by the
British Gas, along with its practices.
McKinsey’s 7S’s analysis of British Gas UK
Strategic Management and Change
Figure 1: McKinsey’s 7S’s analysis for
British gas
Strategy
|
British gas UK has developed one of the leading global business
strategies that give higher value to the customers and improve customer
satisfaction levels. The company is working efficiently in different segments
and have firm positioning at global levels (Plexisstrategy. com, 2019).
|
Structure
|
The structure of the company is customer centralized that make an efficient
decision in favour of customers and service users. The structure of British
gas UK is according to needs and execute according to the strategies.
|
System
|
The system developed by the company is efficient, and it uses all the
effective and fully improved strategies. The business system is based on the
need or execution of strategies.
|
Style
|
The management sector of British gas UK is working under leadership
style and have cultural qualities that help in achieving strategic
objectives. The focus of leadership is on the needs of the firm and its customers.
The organization is achieving excellent outcomes. Communication in the firm
is consistent (Crawford , 2012).
|
Staff
|
The workforce established in the company can fulfil the desired
operational objectives, and it depends on the little developmental needs. The
employee engagement with the outcomes is higher than increase the large focus
on the margin.
|
Skills
|
British gas is developing higher expertise and skills in the employees,
and they are capable of dealing with any kind of circumstances related to the
services. The company is focusing on the development of skills according to
the needs (Plexisstrategy. com, 2019).
|
Shared values
|
British gas is focusing on the customer values and
shared values of the customers that deal with the delivery of products and
right services at the same time. Shared value is the principle that helps
British gas to work according to the strategies and government policies (Dutta & Reichelstein, 2010).
|
VRIO analysis of British Gas
UK Strategic Management and Change
In
the VRIO analysis of British gas, there are four main attributes that were
identified with the help of organization, and it could lead to higher gain and
competitive advantages. The critical analysis of the company suggests that
British gas must implement the valuable, imperfect, rate, perfectly
non-sustainable, and imitable conditions. The resources and capabilities can be
facilitated by the competitive advantage of the company (Cools, et al., 2008). The four components
of VRIO analysis are discussed in detail.
Valuable of British Gas UK Strategic Management and Change
British
gas UK company must use some strategies and resources that can result in
exploiting the opportunities and can defend the major threats faced by the
company. The resources are valuable and increase levels of customers
satisfaction and customer value. It could lead to an increase in the differentiation
of product and prices. It is necessary for the British gas, according to the
analysis, to implement the resource values and activities of the company (Ghanbari & Vaseli, 2015).
Rare of British Gas UK Strategic Management and Change
Rare
as well as valuable resources are used by British gas company to get
competitive advantages of firm. For the company, the competitive parity is not the
desired position, but the company must use valuable resources (Hokroh,
2014; Casequiz. com, 2019).
Costly to imitate of British Gas UK
Strategic Management and Change
The resources used
by a British gas company are costly to imitate. There are two ways used in the
company for the imitation. The resources are perfect but nonadjustable due to
cost factors, social complexity, casual ambiguity, and historical conditions.
Organized to capture the value of British Gas UK Strategic Management and
Change
British gas company
is working to provide advantages to the organization. The company is using an improved
management system, strategies, policies, and processes. The resources used in
the company are cost-effective, rare, and valuable (Casequiz. com, 2019).
Capabilities/Competencies and resource analysis of British Gas UK
Strategic Management and Change
The
complete analysis of the company defines the possible opportunities and
threats. The company is focusing on the important issues and their solutions.
The alternatives can be applied to reduce the issues. The company is
considering realistic solutions to operate the company according to the
opportunities and constraints. According to the critical analysis, the problems
and the solutions of the issues cannot occur at the same time, and they should
be described as a mutually exclusive condition. The company is not in a
position to take any kind of action that is not viable and cannot be used. Based
on alternatives, the solutions were generated for the company (Cools, et al., 2008).
References of British Gas UK Strategic Management and
Change
Bradshaw, P. M. (n.d.). Future UK Gas Security: A
Position Paper. Retrieved from
https://warwick.ac.uk/fac/soc/impact/future_uk_gas_security_-_a_position_paper_wbs_ukerc.pdf
britishgas.co.uk. (n.d.). Gas and electricity.
Retrieved from
https://www.britishgas.co.uk/aem6/content/dam/britishgas/documents/tariffs/terms/gas-and-electricity-supply-terms-and-conditions.pdf
britishgas.co.uk. (n.d.). How is Corporate
Responsibility Evolving? Retrieved from
https://www.britishgas.co.uk/the-source/making-a-difference/in-local-communities/good-for-society-good-for-business
britishgas.co.uk. (n.d.). Supporting Communities
across Britain. Retrieved from
https://www.britishgas.co.uk/content/dam/british-gas/about%20us/pdfs/British-Gas-External-community-brochure.pdf
britishgas.co.uk. (n.d.). Why renewable energy is
here to stay. Retrieved from
https://www.britishgas.co.uk/energy/guides/renewable-energy.html
By, R. T. (2005). Organisational change management: A
critical review. Journal of change management.
Casequiz. com. (2019). British Gas Business Case
Study Solution & Analysis. Retrieved from www.casequiz.com:
https://www.casequiz.com/british-gas-business-129039/
Cools, M., Emmanuel, C., & Jorissen, A. (2008).
Management control in the transfer pricing tax compliant multinational
enterprise. Accounting, Organizations and Society, 33(06), 603-628.
Crawford . (2012). Solo and Distributed Leadership:
Definitions and Dilemmas. Educational management administration and
leadership, 01(01), 01-10.
Dutta, S., & Reichelstein, S. (2010).
Decentralized Capacity Management and Internal pricing. Review of Accounting
Studies, 15(01), 442-478.
Energyroutes. eu. (2016, 04 23). Porter’s Five
Forces Model for Oil and Gas Industry. Retrieved from energyroutes.eu:
https://energyroutes.eu/2016/05/23/porters-five-forces-model-for-oil-and-gas-industry/
Ghanbari, M., & Vaseli, S. (2015). The Role of
Management Accounting in the Organization. International Research Journal of
Applied and Basic Sciences, 09(11), 1912-1215.
Hokroh, M. A. (2014). AN ANALYSIS OF THE OIL AND GAS
INDUSTRY’S COMPETITIVENESS USING PORTER’S FIVE FORCES FRAMEWORK. Global
journal of commerce and management perspectives, 03(02), 76-82.
Melkonyan, A., & Gottschalk, D. (2017).
Sustainability assessments and their implementation possibilities within the
business models of companies. Sustainable Production and Consumption .
Perera, R. (2017). The PESTLE Analysis.
Nerdynaut.
Plexisstrategy. com. (2019). Strategy Is Not
Everything. It’s Just A Piece Of The Puzzle. Retrieved from
plexisstrategy.com: https://plexisstrategy.com/strategy-is-not-everything-its-just-a-piece-of-the-puzzle/
statista.com. (n.d.). Domestic gas suppliers market
share in Great Britain (GB) in 3rd quarter 2018. Retrieved from
https://www.statista.com/statistics/665727/domestic-gas-market-shares-gb/
Taha, T. M. (2018). Competitive Analysis of the Global
Oil and Gas Industry using Porters Five Forces Model.