Company Profile

Vedanta Resources – Vedanta is an international metal and mining firm based in London, UK.
Mr. Anil Agarwal is the founder of the company. Vedanta is one of the largest non-ferrous
metals and mining firm in many countries like India, Zambia and Australia. It has basically
mining operation and generates products like iron ore, copper, aluminium, zinc, lead. Vedanta
also runs power stations in India (Punjab – 2000MW and Orissa – 2400MW). It is a listed
company on London Stock Exchange

Task – 1

Part -1: Models for strategic changes

Each organization does not follow same model for strategic change in their organization. Most of
the organization choose model that is appropriate for making necessary changes in the
organization but sometimes they change the nature and planning of the model as per their
requirements. There are many models for strategic changes but organization sometimes chooses
alternative models and approaches to bring required changes.

1) Basic Strategic Planning Model – This model is helpful for those organizations which is
smaller and in initial phase of organizational developments. This model is implemented
when company tries to get the feel of change in the organization.
2) Goal Based Model – This model is implemented to make specific changes in the
organization, once company goes through its internal strategic analysis of the process.
These changes are pertained to specific department or process.
3) Alignment Model – This model ensures that organization be aligns with organization’s
mission and vision all the time and timely usage of resources by the organization. This
model is chosen by those organizations which are facing many problems related to
internal issues and efficiency.
4) Scenario based Model – This model is used in combination with other models to ensure
that strategic changes can be brought by in the organization. This model is particularly
important from solving internal issues and achieving set goals.
5) Self-Organizing Model – This model is different from traditional model of change. It is
basically a specific rather general approach or cause and effect model. It emphasis on
bringing change in organization’s culture, values, mission and ultimate goals. It is very
practical method.
Part – 2: Strategic change in the organization

Vedanta is known for highly efficient metal production and mining. It has highly technological
process and operation department who carry out the operation very well. But from last few year
companies has been criticized for not adopting pollution control devices in their mining location
suited in Orissa, India. The emission of polluted air and water is harming the lives of people
living nearby locations and wildlife of the state. People from that area have reported the agency
regarding the dust setting on the crops, clothes and food of these people.
The model used for bringing change in Vedanta is “Goal Based Model”. The reason for choosing
this model is that company has to make few changes in their process and operation so as to make
the environment pollution free. This change is quite relevant from the current economy because
government allow only those firms to set up the plant who adhere to laws made by International
Pollution Control Board. If company is not able to match up with the specified laws then it will
not have any chance to set their mining firm and it will cause huge damage to its revenue and the
brand image.
In the current economy, the competition is intense high and companies are looking out for new
locations to venture their projects. So if company lacks in technological change and advancement
then it will lose the opportunity to make best out of the deal and other competitor will get the
chance to utilize the opportunity.

Part – 3: Usage of strategic intervention technique

Intervention is a planned activities or action that is intended to enhance the effectiveness of the
organization. There are basically four kinds of interventions exist:
 Human process
 Human resource management
 Technological
 Strategic

The kind of intervention required for bringing changes in Vedanta is “Technological

Intervention”. Technological intervention consists following structured changes:

 Structural framing and design

 Re-engineering of complete process
 Downsizing
 Work design
 Involvement of employees

Out of the given interventions, re-engineering of process technique will be used to bring the
required changes. Since Vedanta has to comply with technological factor which also includes
pollution control too, so this intervention will help to bring the company on track in terms of
making better public relation and increasing its brand image in the market and this will
ultimately help the organization from financial perspective.

Task – 2

Part – 1: Need for Strategic Change

Vedanta is one of the largest mining and metal firm. It requires model for change to get the
competitive advantage over other market competitors. Vedanta has to transform its process to
make it world class mining process and remain top among other competitor. Old processes and
practices can have adverse impact on efficiency and utilization of resources and it may cause
direct effect on revenue of the company. Efficiency and maintaining quality standard are the
main reason behind the need for brining strategic change in the organization. The company has
to think in making big changes in management, technology and restricting the set up in different
mining locations. Other than this Vedanta will have to increase the productivity by introducing
highly efficient and effective process. It is already mentioned above that mining operation is
allowed to only those firms which is adhere to international laws and regulations and if company
wants to successfully run their business set up in different part of the world then it will have to
make changes in their operation and process otherwise it may directly affect their business.

Part – 2: Driving Factors for Strategic Changes

There are basically two factors that create the need for strategic change in Vedanta –
a) Technical Perspective: It is very common practice of bringing strategic changes. This
change is rational and instrumental. The main focus of this change is to implement
acquired knowledge which is effective from organizational performance and making the
operation and process streamlined.
b) Political Perspective: It is a practice in which powerful group dominates less powerful
group and rule the world. It is moreover a practice to get the competitive advantage over
other competitors to rule the world.
c) Social Perspective: It is a practice which basically comes under Corporate Social
Responsibility (CSR). It is something that company has to do for the society. Company
should not adopt any of those practices that can hamper the living of society. This
perspective also leads many organizations to make changes in their processes and
operations.
Part – 3: Implication of resources

There are resources that do not allow bringing any change in the organization. One of the
resources is the human resource in Vedanta group. Employees working in the organization are
accustomed to the defined old practices and set of rules but when it comes to bring changes it
become difficult for them to accept the changes easily because it requires time to learn new
things. Each process and operation is defined by the experts but once the new changes are
proposed by the specialist then it becomes the responsibility of the management to discuss the
new changes with the concern people and the stakeholders. In first stance, people reject the
proposal to accept the changes but management has to discuss the benefits of changes for long
term and how it is important from the future of the company.

Task – 3

Part – 1: System to Involve Stakeholders

Development & implementation of proper network and communication helps to proper
functioning and managing continuous growth of the organization. Organizational change can be
implemented for the progress and development of the organization and it is applicable with all
kind of changes. Some of the examples of these changes are implementation of new technology,
change in process & operation, departmental changes, merger and acquisition, formation of new
groups and teams for the projects.

There can be two levels of management changes:

The first level of management change is required for organizational development that is adequate
to bring changes with simple applications. It basically consist development of new technology
and setting up of department office. The changes are made in such a way that matches with the
attitude and need of the employees and this require proper understanding of employee
perception.
The second level of organizational changes consist all those tools and techniques required to
apply & implement the change for the development. Certain plans and specific activities are
prepared that is needed to bring changes and development of the organization. The system
required to involve stakeholders must be developed through a business model that understand the
existing relationship between different stakeholders of the organization and restructure the
process and operation according to the requirements.
Part – 2: Strategy for Change Management

The change is essence to keep the organization successful for long run. Organization should
develop such a system which is acceptable by each stakeholder. The system should accept
following factors:
1) Flexibility: Each stakeholder should be able to adopt new changes as per the
requirements. They have to be flexible enough to get gel with new processes and the
practices. People should be resistance to changes.
2) Timings: Each stakeholder should adhere to the timeline of change. The timings of the
implementation of changes should be match up with the need of organizational change.
The timings of change should be in such a way that results audacious goals for the
organization.
3) Expertise: There must be a team of expert who can implement the changes in the
organization very efficiently and effectively. The team member must have good
knowledge and skills in the specified field so they can understand the issues and
problems very well and can solve it very effectively.
4) Dependency: Each stakeholder must be dependent on each other in making changes and
development of the organization. If organization get dependent on the employees then it
become easier for employees to drive changes and development of the organization on
their own. On the other hand if employees are dependent on the company then employees
do not have any chance to make any changes on their own. So it is needed to have
balance between employees and the organization on dependency factor otherwise it
would become difficult to make successful implementation of changes.

Part – 3: System to involve stakeholders

Planning and making strategies are easier part of bringing any changes but implementing these
plans on right time is very difficult to carry out. All those factors which can strengthen the
change in the organization should be promoted and implement first and those factors which can
weaken the change should be avoided.

We should develop such a system which is conducive for development and making changes.
Before going for actual implementation of changes, we must conduct survey among the
stakeholders regarding their reactions on bringing changes and then accordingly create an
environment which is highly suitable for every stakeholder of the organization to accept those
changes. It is the responsibility of top managers and the officers to take initiative to create highly
conducive atmosphere for bringing changes. Other stakeholders such as employees, investors,
consumers and board of directors should also taken into confidence and encouraged to create
developmental climate and the changes. The benefits and the positive side of the changes must
be discussed with the people mentioned above. There must be proper communication between
top managers and other stakeholders so that they can understand their problems regarding
changes and can suggest to each other. It is not easy to create new ideas regarding changes. But
change can create new path for the organization and the stakeholders as a whole.

The system should support all those members too who are not directly attached with the system.
There must be proper channel between employees and the top management so that any issues
regarding resistance of making changes can be sorted out and the implementation can be done
effectively.

Part – 4: Strategy for management of resistance

It is the tendency of the people to avoid changes in their system. They usually carry out their
processes with the existing system even if the changes are made for the good purpose to these
people. People avoid changes because they become habitual of old processes and structure of the
organization. If employees and the stakeholders of the organization show more resistance for the
new changes then it become more difficult for the organization to take the initiative and
implementing the change and bring development.
The best way to reduce this resistance of change by the stakeholder is to develop a conducive
environment for proper communication and development of network with all stakeholders.
Proper communication helps to reduce the issues and problems regarding resistance for change.
Management can communicate the benefits and advantages of changes and the organizational
development.
Task – 4
Part – 1: Model for Change

The above mentioned model can be build to bring the changes in the organization. Whatever be
the changes an organization likes to bring, the most important thing required for change is the
timeline. This model takes the consideration of each stakeholder, individual and group of the
organization before bringing any change and development of the organization. The end result
and outcome of each change must be properly communicated to each stakeholder and also the
benefits and the advantages of these changes must be told to each and every stakeholder of the
organization. This model has described the time when change has to be implemented according
to the need of the organization. There must be proper monitoring of change and the development
and also monitoring of implementation of policies and plan so that effect of change can be
realize as soon as possible. The model for change must include the internal and external climate
of the organization and both should converse to ultimate objective of the organization.
Part – 2: Implementation for Change
The organizational changes can be implemented through certain plans and these plans can be
described as follows:
Preparation for making changes
 Analysis of environment
 Identify the strengths and weaknesses of the company
 Identify the changes that is require to make in the organization
 Determination and identification of all major issues and problems regarding making
changes
 Identification and accessing of all involved key stakeholders of the organization
 Winning the confidence and support of groups and individual before making any change
 Identification of resistance of change
 Identification of risk involve in making changes and the associate cost along with the
change in the organization
 Understanding the reason behind the resistance for the change
 Recognition of the basic need for change, identification of current position

Building the long term Vision

 Framing clear long term vision
 Communicate people about the changes what is all about and what is mainly involves and
how people are involved in this change
 What is required by the people to involve
 How the changes is going to effect the involved people
 What are the benefits involved in these changes
 How organization can manage and maintain the changes

Plan the required Changes

 Devise required and appropriate policies and strategies to make the changes
 Designing of models and methods for changes
 Identification of steps required to bring the change process
 Determination of need for changes and the people who are involved in it in detail
 Involve people in planning process to bring changes
 Developing proper communication path between top management and the other
stakeholders
 Set a timeline for complete change process
 Allow all people to take participation in suggestion and recommendation process so that
change can be done inclusively
 Get the confidence of each stakeholder for the change
Implementation of Change
 Check each stage of change and record the ongoing process
 Making sure that change has happened for permanent
 Continuous improve on weak areas
 Trying to overcome the resistance
 Development of proper communication channel and informing people regarding change
 Introduce reward system for the stakeholders
 To ensure that changes has been adapted by the organization very well
 Regular training and development program for the people involved in the change

Part – 3: Monitoring the change

There are certain measures to monitor the change. Some of them are as followings:
 Degree of implementation: It shows that how successful is the implementation and how
much it has been implemented.
 Degree of changes: It shows that how much effect has been realized by the stakeholders
and the structure of the organization as a whole
 Degree of inclusivity: It shows that how much coordination and commitment has been
shown by the stakeholders to bring the change in the organization
 Progress report: It shows that whether company has improved its weak area properly or
not.
 Proper training and development to the employees and other stakeholders also have to
monitor because these are the people who have to remain with the new change in the
organization.

Conclusion:
Vedanta is very reputed international firm, operationalise in different part of the world. Vedanta
has been criticized by the Human Right Commission of India and the International Pollution
Control Board for not to adopt the technology that is not environmental friendly and also
harming the lives of people living nearby the plant areas and the wildlife. This has made Vedanta
to think about bringing change in process and operation of the plant through technological
change. Vedanta resources have made a model which is effective and efficient from the change
in the organization perspective. This report consist the issues related to making organizational
changes. It also consist the development strategy for the changes that has been led by the
stakeholders. And it is also discussed that how to develop model for change and how to
implement it and monitor it for getting the required changes in the organization.