INDU Assingment Work

8/3/2019 INDU Assingment Work

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Task 1

Overview of Reliance Fresh Company

Among all Indian supermarkets, Reliance Fresh is one of the most develop and

advance one. The Reliance fresh is closely linked with the Reliance Business group

that was earlier started in India. Reliance group functions in several enterprise areas

such as Reliance communications, Reliance industries steel production, Reliance Oil

industries and so on. Reliance Company then grows and enlarges its business in 2004

in many parts of India. This supermarket is meant for selling of different types of

consumer goods, fruits, vegetables, electronic equipments to name. At present,

Reliance Company has about hundred supermarket centers of Reliance Fresh

throughout India. The company gains its position, popularity and fame by providingits end users with a very cheap price and efficient quality products and meeting the

needs of its day to day customers.

Motivating factors that drives Reliance Fresh towards organizational changes

The supermarket industry in India is developing and rising with intense speed. In most

cities of India, consumers find it easier to purchase products from supermarkets

instead of buying them from a certain retailers. Besides the Reliance fresh, QRS, G

Mart, Varkeys are some of the well known supermarket business companies in India.However, with the economic downturn and recession that has been going on within

the country majority of these supermarket centers began to lose its customers. The

Reliance Fresh is also greatly affected and its business went down during those two

consecutive years. However, the company still can’t seem to understand the main

reason behind the decreasing number of customers and the fall of business day by

day. The company then took up a research getting aid from professors or experts so as

to discover the main reason behind for diminishing business with each new day.

According to the research and study taken up by professionals or experts, it made

evident that the Reliance fresh was unable to provide high end services to its

consumers and was not able to meet the requirements of the consumers and therefore

could not remain competitive like its competitors. The study and research that has

been done disclose that the present business system in India is equipped with newer

technologies and improve business techniques and tools. Some of the approaches

adopted to improve business methods in India are as follows:-



• Online Marketing: Nowadays, it has become quite a trend for most of the

supermarket centers to promote sales online. The use of this advanced method

of marketing pull more and more customers in to the business.

•

Home Delivery Services: Home delivery services are preferred by majority of customers in India mainly due to their tight daily schedule and at the same

time due to the congestion in transportation in big cities. This system enables

consumers to order any items or services they want through telephone or

internet while they will be delivered with the requested items within no time

right at their door step.

• Better Customer Services: - Customers can be provided with a better and

reliable customer services with well trained and experienced staffs.

Considering all these and making a wise decision, the Reliance Fresh is also

determined to introduce changes within the organization in order to provide its

customers with a more efficient and reliable customer service by enforcing

better facilities for its customers by providing them with advanced customer

care.

Bureaucratic Organizations

“The bureaucratic system of organization is primarily characterized by the existence

of a series of relatively stable vicious circles that stem from centralization and

impersonality" (Crozier 1964, p 193).

There are some main merits and demerits of Bureaucratic organizations. They are as

given-

Merits of Bureaucratic Organizations



✔ Well defined Planning: - Effective planning is a critical element of success in

bureaucratic organization. By having a clear plans and strategies, the

management can understand about the organizational objectives for a set

period of time. One major advantage of having an effective plans and

objectives is that everyone in the organization understands their job roles and

tasks for growth and success and at the same time for the proper functioning of

the organization. Having a clear distinct plan prevents the higher management

from any doubts about their job roles and it also increases their commitment

towards the organization and job roles.

✔ Hierarchical Management System: - Most Bureaucratic organizations

follow the hierarchical style of management. The top managers decide about

the performance of every activities within the organization. Most of the

decision making is done by the higher management. They control and monitor

each and every action that takes place within the organization. Therefore, they

observe every activity of the employees to ensure if everything is in place and

every task is done accordingly.

✔ Clear Decisions: - The managers in the organization are responsible for

making the final decision orderly. These decisions are made and followed for organization growth and development. The manager should therefore

communicate each and every decisions made and also the goals and objectives

of the organization to the employees so that employees knows about the job

role they are required to take up and then perform their work more effectively.

✔ High level of Co-ordination:- Bureaucratic organizations generally have an

efficient and outstanding ability for organizing the work force of the

organization. With each and every activity managed and controlled by themanagement alone, it makes easier for operating and maintaining effective

movements of work force in the establishment of the bureaucratic

organization.



✔ Specific Duties: - In the establishment of the bureaucratic organization, all

employees are assigned a particular job tasks. Specialization of job has been in

practice in the bureaucratic organizational systems so as to make the

performance of the organization better and advancing towards success. In this

system of job, job roles are distributed among all employees where each

employee is assigned a specific task. Hence, the employee gain more

experience in that job role. The use of this approach brings development in the

organization in many ways.

✔ Increased Level of Efficiency:- As each and every employee are ask to take

up a specific job role the organization is advancing towards success and job

tasks are perform more effectively. The organization makes use of every

capacity of whatever is produced in the organization in the best possible

manner. Bureaucratic organization provides on-job training to each and every

employee within the organization to heighten a more advanced growth of both

the employees and the organization.

Demerits of the Bureaucratic Organizations

✔ Changing slowly: - A Bureaucratic organization has a firm and preplanned

aims and ways to attain their objectives in many different ways. It uses a

scientific ways so as to understand every issue that takes place within the

organization and at the same time solve those problems by changing the way

the organization operates. However, this method is not always effective as

position of the market, economy and the way business is not stable. With

change taking place in the market every now and then, it is mandatory for any

organization to quickly adapt towards change for the growth of the

organization and to stand out from its continuous competitors. Unfortunately,

the bureaucratic organization is not quick in adapting towards the idea of

change which is a major hindrance for the organization to be success in the

near future.



✔ Lack of Motivation for Employees: - The bureaucratic organizations follow

a very strict and habitual method of work which makes the employees lose

interest towards their allocated job role and at the same time it creates

confusion and makes the employees bored. The employees therefore cannot

complete their work more efficiently as expected of them. This tediousness,

inefficient work quality and employee’s lack of motivation can lead to the

downfall of the organization.

✔ No encouragement for Innovation:- As all the decision making are done by

the higher authority in bureaucratic organizations, the lower authority or

employees are not involve in any decision making process which minimize the

employees commitment and interest towards the organization. Employees are

not even allowed to contribute ideas and feedbacks in the bureaucratic

organizations. This is a serious obstacle for innovation to takes place within

the organization. For instance, in WIPRO each and every employee is

motivated and asks to contribute ideas for effective innovation to occur inside

the organization. The company then enforces continuous innovations due to

the many feedbacks and information contributed by the employees.

✔Absence of humanitarian Treatment towards employees: - In bureaucraticorganizations employees are considered as a machine which means the

organization adopts a mechanist method in managing the organization and also

the employees. This is one major failure of the bureaucratic organization and

this practice gave rise to misunderstanding between the organization and the

employees.

Organizational Development

Organizational development can be defined as the process of increasing an

organization’s effectiveness through a planned and organization wide endeavor.

Organizational development is a process of implementing strategies to change the

way the organization works, its culture, values, and organizational structure, so that

the organization is well poised to adapt to the changes taking place in the market,

such as new technologies, changing buyer behavior, new marketing techniques, and

new challenges, etc. (Warren Bennis, 1976).



System Model of Action Research

It is possible to manage continuous changes that take place within a firm by adopting

Kurt Lewin’s formulation on action research for organizational growth. According to

Kurt Lewin, the development process of the organization undergoes through the three

stages of management in change process like Unfreezing, Changing and Refreezing.

Unfreezing is all about those preparations made by an organization to successfully

adopt the idea of change that will be taking place within the company. Each stage of

changes acts on the permanent changes which are carried out during the establishment

of the organization. Also, the Refreeze stage means the way work has been monitored

and to track the change that has been carried out within the organization.

Figure: - Action Research Model – formulated by Kurt Lewin

Overview on the main techniques used in organizational development

Crucial skills necessary for the growth of an organization involves the following:-

Sensitivity training: - This can be also called T groups where T stand for

training. This method aims at making a modification about the conduct and

nature of the people by inefficient and improper interactions done in the

organization.



Grid training and development:- In this technique, the advisors make use of

methods that is able to understand the current fashion of the managers and at

the same time raise them to analyze that can contribute a greater work

environment that drives the organization towards success. The development in

grid Organizational consists of six major stages such as training, team

development, intergroup development, organizational goal setting, goal

attainment and stabilization.

Process consultation: - As stated by Edgar Schein, process consultation

involves those of an advisor that makes it possible for the customer so that

they can perceive, understand and at the same time being influence by those

activities that takes place inside the internal surroundings. He also mention

that several stages of the process consultation includes initiating a contract,

defining the relationship, selecting a setting method, gathering information

and diagnosing, interfering and less involvement and bring to a halt.

Team development

Survey feedback

Third party peace making

Role playing

Structural techniques

Task 2

Reliance Fresh’s stakeholders

It is critical for the higher authority of the organization to take into account the major

elements prior to enforcing the way change is designed inside the organizations.

Likewise, the higher authority of the Reliance Fresh must pay specific care in

assessing those available resources, needed techniques and skills and also the

infrastructural facilities. The organization’s stakeholder must be aware and fully

understand the idea of change. This is a crucial factor for successful planning and

enforcing of organizational change. Reliance Fresh’s management requires their



stakeholders to offer great help and endless support so as to successfully carry out

change in an organization. An organization always consists of central stake holders

who always remain loyal to them and on the other hand those stakeholders who

remain in the organization just for a short period of them. Employees, consumers,

government departments, suppliers, distributors are among the stakeholders of an

organization.

Ways in identifying the key stakeholders with the use of Force Analysis and

Stakeholder Analysis

By adopting the method of stakeholder analysis and force analysis, Reliance Fresh

can easily understand who their key stakeholders are. The use of this analysis method

makes it possible to recognize potent stakeholders of the organization who contribute

important roles in the organization and who are required to quickly adapt towards

organizational change. This method easily identifies every information of those

stakeholders who are willing to accept the idea of change and who are resistant

towards change. Information about those important and key stakeholders is as

illustrated-

Reliance Fresh’sStakeholders

Valuable Stakeholders

Key Stakeholders

AuthoritativeStakeholders

Reliance Fresh’semployee’s Employees

Reliance Fresh’sShareholders

Customers Customers Customers Customers

Council

Suppliers Suppliers Suppliers Suppliers

Reliance Fresh’s

competitors

Reliance Fresh’s

competitors

Reliance Fresh’s

competitorsGovernmentAuthorities

GovernmentAuthorities

NGO

Pressuregroup( Environmentalist and like groups)

Financial Institutions Financial Institutions

Distributors Distributors

Call Centres Call Centres



By examining the roles contributed by the central person of the Reliance Fresh

Supermarket centers and also those methods by which the organization ensure that

key stakeholders are quickly adaptable and adopt the idea of change.

Reliance Fresh’s employees

The management of Reliance fresh taken a decision to come in talk terms regarding

the change with all employees by making them understand about the requirement,

meaning and views of change so that they can easily adopt the idea of change. As

employees are the driving force of any organization, it is necessary for the higher

authority to successfully convince them to happily adapt to change so that the

employees can have positive attitude towards change and be motivated towards their

job role which will in turn lead to organization growth. Reliance Fresh’s management

aims at conducting training and discussions with the employees and all higher

authorities to provide special facility and attention to all the employees to come out of

their confusion and resistance towards change and at the same time make every

employee to understand the benefits of organizational change so that they are at ease

when any time when change occurs within the organization and they can handle the

change in a more efficient way.

Reliance Fresh’s customers

The main aim of reliance fresh to adopt organization change is to meet the increasing

needs of the customers in a more effective way by giving a high quality services and

improved facilities to their customers. The organization will take into considerable

account the customer’s requirements prior to adopting the idea of change. The

organization then come up with an idea to carry out an in-shop survey so as to better

understand customers thought about the idea of change and also to ensure what

exactly is the customers’ need. The Reliance fresh management team communicate

the idea of change to the customers by providing them with organization’s leaflets,

broachers and well experienced trainers who are required to help the customers to

better understand the technical changes with the use of the methodology. The

customers can therefore realize and utilize the auto-check out machines touch screen

device and the ability to go shopping online.

Reliance Fresh’s suppliers



With the extension of market by bringing forth additional services and goods in

market, suppliers are highly required towards the management of change in a more

effective way. In this way the company can have a wide range of suppliers supplying

goods to the end users. The company wills carry out a meeting with its suppliers to

introduce about the proposed change of the organization. The company will discuss

about the way business can be carried out more efficiently and ways to gain more

profit with the supplier to make them more motivated and interested towards the

organization. In this way the suppliers can contribute even more roles for the

development of the company.

Reliance Fresh’s competitors

Reliance fresh aims at exposing the weakness of the day to day rivals and extend a

better services to all the consumers. The company will express in observing about the

changes that takes place in its competitor’s market in order to provide better service to

its end users than its competitors did.

Financial Institutions

Reliance Fresh is in need of financial help that can be given by some financial

organizations so that it can be ready to carry out the proposed change more effectively

in the real world. The financial aids required may be the fund to be invested for those

activities on training, purchasing touch screen devices and computers. It then come up

with an idea to present their financial requirement budgets in order to received

financial aid from other organizations. The organization will then be highlighting the

way it will grow its business based on the proposed change.

Task 3

Reliance Fresh maintains itself as one of the most supermarket business in Indi. To

improve its business and gain more customers the organization comes up with a

method to meet the needs of the customers by offering high end customer service and

other organizational changes which are as shown below:-

➢ Touch screen devices: Reliance fresh has a big supermarket shops where

every shop has a five floor or more. However, the large area of the market

confuses customers to spend extra time to choose the product they need. The



company therefore decided to carry out the idea of placing touch screen

devices in each floor to make it easier for the customers to buy their needs in

the most efficient manner and to attract more consumers with these improved

techniques of shopping.

➢ Bring in an additional auto-check out stations: Reliance fresh introduces a

well designed auto-check out directions in every floor in the shop to avoid

customers standing in queue and to satisfy them even more.

➢ More Ethnic products: Reliance Fresh aims at including and displaying

additional cultural products all around the shops that can pull foreign

customers coming from other countries. The foods of North India differ from

those of the South Indian ones. The company aims at adding additional

products of South India in the market to attract North Indian shops and North

Indian goods to attract south Indian customers and so on. India, being a place

of varied culture and ethnics, bringing this change in the market will be the

best way to gain customer’s attention and make profit in the most effective

way.

➢ Effective Online Services: Online business has been today’s way of doing

business and attracting customers. People in India choose to purchase goods

online. Therefore, the company is required to enforce online marketing to

attract all these people to stay competitive. Online shopping saves time and is

a more convenient way of shopping.

➢ Home Delivery Services: Home delivery services are preferred by majority of

customers in India mainly due to their tight daily schedule and at the same

time due to the congestion in transportation in big cities. This system enables

consumers to order any items or services they want through telephone or

internet while they will be delivered with the requested items within no time

right at their door step.

➢ High Quality Customer Services: - Customers can be provided with a better

and reliable customer services with well trained and experienced staffs.

Considering all these and making a wise decision, the Reliance Fresh is also

determined to introduce changes within the organization in order to provide its

customers with a more efficient and reliable customer service by enforcing

better facilities for its customers by providing them with advanced customer

care.



Models that contribute towards change in Reliance Fresh

There are several different modes available that the company can use to bring about

the idea of change within the company. Kotter Model was considered as the most

effective way to bring the proposed change in real life in the market floor. Relaincefresh company has introduce the change in the following manner.

Implementation

Those changes that are mentioned above can be carried out in five different phases

within the Reliance Fresh Company. Cost and time consume are briefly described as

given.

Phases Authoritative

person

Budget Time taken

Phase 1

a) Conduct Survey Marketing Agency 100000 INR Week 1

b) Products

needed to be

Marketing

Manager

Week 2

Introducing auto-checkouts touch screen

machine, cultural

goods and reliable



elaborated

c) Products

finalization

Marketing

Manager

Week 3

d) Sources of the

purchase

products

Finance manager

and purchase

manager

2000000 INR Week 4

e) Determining the

right suppliers

for the products

newly launched

Finance Manager

and Team

Week 4

Phase 2

a) Beginning of

first TrainingSections

HR Manager 75000 INR Week 5

b) Initiating the

Second level

training

sections

HR Manager 80000 INR Week 6

c) Finalizing the

whole budget

Finance manager 580000 INR Week 1

Phase 3

a) Bid for Self

Check out

machines and

touch screen

product locator

Marketing

manager

Week 2

b) Check out on

bids

Finance manager

and purchase

manager

Week 4

c) Purchasing

machines

Finance Manager 2000000 INR Week 5

4) Fixing of

machines in stores

Company’s

technicians

Week7

Phase 4

1) Product

advertisement

Marketing

Manager

250000 INR Week 8

Phase 5

1) Customer Customer care 50000 INR Week 10



feedback manager

2) Sales evaluation Customer care

manager

Week 14

First Phase

It includes four sub phases where market research is the beginning of the first sub

phase. Reliance Fresh must carry out a research on market on those products which

are highly required by the customers by the use of external agency. One week’s time

is allocated and the price for doing research is100000 INR. The next sub phase starts

with bringing about the final list of new goods and the store manager will be the

person in charge. Reliance Fresh purchase the finally decided products in the third

stage where the price to be expend is 2000000 INR. Here, the purchase manager will

be the person in charge. Reliance Fresh brings about new products in the market in the

fourth stage.

Second Phase

Here, there are four sub phases. Reliance Fresh introduces the touch screen machine –

identification of products, auto-check out devices in the starting phase. Next sub

phase commences by inspecting bids that is done by marketing manager and the most

suitable one among all will be chosen. Training will be given to employees in the

third stage so that they can handle new products more effectively. The last stage is to

introduce new devices in the market.

Third Phase

Employees are given adequate training in this stage. Reliance Fresh will carry out a

two full day training program in the first stage with the employees to convince them

with the idea of change.

Fourth Phase

Reliance Fresh will draw its attention towards advertisement of new products in this

stage and at the same time the end users will be communicated about the change that

currently takes place in the market. The company does advertisement through

newspapers, websites and leaflets and so on.

Fifth Phase



The activity rating and growth gained from feedbacks given by the customers based

on the record of sales done is included in this stage. This rating enables the company

to make the right move.

Improvements in organizational change expected of the implementation process

It raises the satisfaction of end users.

It gives rise to additional customers.

The organization gains more profit.

The employees gain more knowledge and are more specified.

Improvements were made on the market and the shops.

Technological organizational developments were attained.

Number of sales is maximized.

References

1. “Peter F. Drucker (1967), The effective executive, 1st Edition, Butterworth-

Heinemann”

2. “Andrew M. Pettigrew, Howard Thomas, Richard Whittington (1985),

Handbook of strategy and management , 1st Edition, Sage Publications”

3. “David A. Buchanan, Andrzej Huczynski (2001), Organizational behaviour:an introductory text, 1st Edition, Stanford University Press.”

4. “Gareth Morgan (1998), Images of organization, 2nd Edition, Sage

Publications”

5. “Rob Paton, James McCalman (2008), Change Management: A Guide to

Effective Implementation, 1st Edition, Sage Publications”

6. “Esther Cameron, Mike Green (2004), Making sense of change management,

1st Edition, British Library Cataloging-in-Publication Data”

7. “Axelrod, Richard H. Terms Of Engagement: Changing The Way We Change

Organizations. San Francisco, California: Berrett-Koehler Publishers, Inc.,2000”

INDU Assingment Work

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