Change Management Research

Running head: CHANGE MANAGEMENT RESEARCH

Change Management Research

University of Phoenix

Change Management Research

Effective Leadership - FP International

FP International is a privately held company with 550 employees worldwide and over $100 million in annual sales in 2005. FP International manufactures packing products such as bubble, air cushions, Kraft paper cushioning and ready-to-use products, polyethylene foam, loose fill made of 100% recycled polystyrene or cornstarch and Kraft/bubble mailers (About FP International, 2007). Arthur Graham is the founder and president of FP. Graham started the company in 1967; it was called Free-Flow Packaging International at the time, which later was changed to FP international. Graham gained his expertise by heading up a company called Safe-T Pacific Company in the 50's, Safe-T pacific was the leading maker or paper straws.

Already holding a patent for hollow paper tube packaging, the company looked at making its product from lightweight plastic. In 1968, the company developed a unique, new extrusion process to produce its free-flowing cushioning material from expanded polystyrene. The hollow polystyrene tube was crimped in the center to make a figure-eight-shape. This distinctive figure-eight-shape both identified FLO-PAK loose fill and created greater product protection by interlocking with other eight-shapes in a carton during shipment. (About FP International, 2007). Graham is still the president of FP International, at the age of 87. Graham has very hands on approach to the company and is an effective leader. He is still involved in all the operations in the company and goes into work every day.

FP International has taken on organizational changes and performed well before during and after the changes. "A successful organizational change is highly dependent on effective leadership throughout the organization. Senior executives cannot create change on their own. According to organizational change expert John Kotter, successful organizational transformation is 70% to 90% leadership and 10% to 30% management" (McShane & Von Glinow, 2004). FP does not have laissez-faire leadership within the company; Graham would not tolerate the ineffectiveness of that leadership style within his company. A significant part of effective leadership is the close connection between the leader and the follower, which often determines the success of the leader's mission. Graham is a successful leader and because of his leadership FP International grew into a very profitable company.

CrysTel is going through similar leadership changes. As the company grows, the executives and managers will need to continue with the effective leadership. CrysTel will be a successful organization just as FP International is if it stays on the right course.

Organizational Learning - Intel

Intel is the world's largest chip developer and manufacturer, offering products and services at various levels of integration. Intel was founded in 1968 and has weathered major changes in the semiconductor and computer industries. In the late 1980's, Intel capitalized on the opportunities associated with the phenomenal growth of the PC industry. During this time, under the direction of Craig Barrett all top executives made the strategic decisions making it almost impossible for any technical employee to propose ideas for development (Dell). This changed, Craig Barrett had a background in learning organizations, and he was a former associate professor at Stanford University. Craig, along with the other executives, helped lead Intel into the direction of organizational learning. The company prospered and so did Craig Barrett; he is now the current Chairman of the Board for Intel Corporation.

Intel responded to the needs of organizational learning by working with other companies on the same subject, The Society for Organizational Learning. "Organizational learning is an organization which facilitates the learning of all its members and continuously transforms itself" (McShane & Von Glinow, 2004).

"By 1995, Intel had collaborated with several companies for The Center for Organizational Learning, currently the Society for Organizational Learning. The center consisted of 19 organizational partners including Amoco, ATT, Chrysler, EDS, Federal Express, Ford Motor Company, Harley Davidson Motorcycle Company, Hewlett Packard, IBM, Intel Corporation, Lucent Technologies, Merck and Company, National Semi-Conductor, Pacific Bell, Philips, and the Quality Management Network (a consortium of healthcare organizations), Shell Oil Company, Texas Instruments, and US West. Working in partnership with researchers at MIT, a number of these companies undertook a variety of significant organizational experiments. Through these experiments have explored building learning capabilities in intact teams, developing new organizational learning infrastructures, transforming the assumptions and practices of executive leadership, and developing internal learning communities. Over time, some companies have involved thousands of people in these organizational experiments" (Society of Organizational Learning, 2007).

Intel continually transforms itself in the chip manufacturing market by the interdependent development of the people. Learning, strategy, and competition help to create the opportunities for growth within the company. With the Intel's continuous learning programs the company is ever growing the new ideas required to take the company forward.

Servant leadership and organizational learning -

Shell Oil, a U.S. subsidiary of Royal Dutch Shell

The Crys Tel organization would like to introduce new product lines and the CEO recognizes that this necessitates major change throughout the organization. One of his first steps is to find out whether the organization is open to change by hiring consulting companies to issue employee satisfaction surveys. This process determined that some departments were ready for change, but others had issues that may have stemmed from a lack of leadership. Shell Oil, a U.S. subsidiary of Royal Dutch Shell went through a similar process when it's new CEO, Phil Carroll arrived in the early 1990's. At the time of Carroll's arrival, the company was posting poor results and Carroll openly stated his vision for the company and hired consultants to assist with what he viewed