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ASSIGNMENT NO. 2
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SUBMITTED TO: DR. MUHAMMAD SHEHZAD HANIF

SUBJECT: ENTREPRENEURSHIP & INNOVATION COURSE
SUBMITTION DATE: 23/12/2020
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ASSIGNMENT NO. 2

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 Q. No. 1
In Kurt Lewin change model (unfreeze-change-refreeze) what do you think which phase is the
most important and time-consuming? Which phase will determine the success of overall
change management process?
The organizational change explains the movement of an organization from the known (current
state) state to the unknown (Desired future state) state. This is because the future of this
change is uncertain and may concern the people worth, coping abilities, and competency, so the
people of the organization do not support change unless they are convinced against the status
quo. The organization may have invested heavily for status quo; subsequently resisting change

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will take place to avoid uncertain future of organization. Consequently, the necessary actions
are to be taken to motivate employees.

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Kurt Lewin's Change Model

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Kurt Lewin developed a change model involving three steps: unfreezing, changing and
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refreezing. The model represents a very simple and practical model for understanding the
change process. For Lewin, the process of change entails creating the perception that a change
is needed, then moving toward the new, desired level of behavior and finally, solidifying that
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new behavior as the norm. The model is still widely used and serves as the basis for many
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modern change models.

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According to my perspective, the most important & time consuming step among all the phases
introduced by Levin is re-freezing phase. Moreover, it is also a phase that is crucial to successful
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change. In this phase, once your changes have been deployed, measured, and tweaked
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according to feedback, you need to “refreeze” your new status quo. This is vital to any change
management model – everything you’ve done is pointless if old habits resurface.
Although well-defined and intentioned, improvement projects often lose focus once a solution
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is found. With the hard part seemingly done, why does the energy disappear, progress stall, and
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cynicism surface in the project implemented?

Naturally, organizations seek to discover why their best-laid plans have derailed. Once a solution
is found, organizations tend to push the new process on the system and the workforce. As
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people come to grips with unfamiliar concepts, ideas and processes, it’s not uncommon for
those who work within the system to become skeptics, procrastinators or even active resisters.
In this phase organization should mainly focus how to overcome resistance.

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 Once there is clear understanding of the reasons for resistance, organizations must take steps to
address those issues. These steps would be specific to the situation, but might include the
following:
Fully understand the very nature of the resistance. Sometimes that is technological, but often
it is human-based. People are uncomfortable with change, so organizations need to make
participants comfortable and convert them into willing partners.
Communicate the need for change. The biggest problem voiced in many employee surveys is
lack of adequate communication. Management must ensure that information relative to
impending change is continuously communicated but adapted to the message and audience.
Focus on the WIIFM (What’s in it for me?) message with clarity.
Get people involved early and often. Resistance drops off in proportion to the involvement of
participants. One of my early mentors told me not to expect 100-percent support from any

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individual who was not personally involved in a change that affected his/her work. It’s not

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physically impossible to involve everyone directly, but setting up networks to reach out to as

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many people as possible is the next best thing.

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Create opportunities for smaller but meaningful change. Nothing breeds success like success.
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Ensure that initial efforts are focused on areas where success and payoff are highly probable.
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This can win allies and soften resistance.
Provide support for change. Allow employees to voice concerns and talk with others who have
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gone through similar changes. Provide reassurance that support will be available throughout
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the change effort.

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Be flexible and patient. Change is tumultuous, with many types of ebb and flows. There may be
challenges, but most can be effectively dealt with through patience, understanding and flexible
implementation strategies.
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We can take the example of application of the new software in any organization which was
previously using manual system of accounting. After the application of new software, we
constantly need to check whether the employees are coping with new software properly. Was
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their training sufficient to work on software? The software is generating correct result. We
obtain continuous feedbacks, review and make several changes with the use to make sure it
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meets our demands & needs. Moreover, we also need to perform & upgrade security checks.
“Re-freezing” will allow the people to thrive in the new organization and take full advantage of
the change.
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 Q. No. 2
How do you build long-term relationships with your stakeholders? Give examples from
organizational perspective?

A stakeholder is a party that has an interest in a company and can either affect or be affected by
the business. The primary stakeholders in a typical corporation are its investors, employees,
customers, and suppliers. However, with the increasing attention on corporate social
responsibility, the concept has been extended to include communities, governments, and trade
associations.
Good Stakeholders relationships are very essential to the entity progress in the long run. These

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relationships build networks that develop credible, united voices about issues, products, and/or

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services that are important to your organization. On its own, a single voice can fall flat for many

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reasons, from a lack of credibility to a lack of volume. The result can be a failure to elevate the
profile of an issue, sway opinion, or drive action. On the other hand, a chorus of voices can

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harmoniously crescendo, reaching desired audiences with the right message at the right time.
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HOW DO YOU BUILD LONG-TERM RELATIONSHIPS WITH YOUR STAKEHOLDERS?
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Communication and trust is the main source for creating a lasting relationship between
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stakeholders. Through effective communications and building trusting relationships,

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organizations should be committed to ensure that all stakeholders are involved in shaping the
decisions of organizations in a meaningful manner. The commitment to actively build and
maintain long-term relationships with stakeholders is based on two fundamental guiding
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principles – communication and trust. These two principles shape the development of
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stakeholder relations philosophy which includes:

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 Encouraging stakeholder participation in the decision-making process

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 Providing timely information

 Open, and honest communication

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 Listening to stakeholder concerns

 Respecting diverse opinions

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  Seeking mutually beneficial solutions

 Learning from each other

Moreover, stakeholder relationships that are unmanaged or mismanaged have a number of less
than favorable consequences for companies. These include unnecessary expenses, and a lack of
buy-in to processes and initiatives aimed at transforming the company. However, stakeholder
management is a difficult undertaking for organizations because it requires investment and
commitment to a long term structured process. While there are a number of efficient
information management tools available through marketing, it is important to start with the big
picture – who are we going to be speaking to and how?
BY IDENTIFYING THE STAKEHOLDERS
Particularly in larger organizations, it is important that we gather and collate as much

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information as possible about the individuals and groups included in the stakeholders. This will

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enable us to start thinking through appropriate and targeted communication with them.

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BY PRIORITIZING THE STAKEHOLDER

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However noble our intentions regarding stakeholder relationship management are, there
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unfortunately have to be some individuals and group who’s needs are more important and who
require prioritization if we intend maintaining their support. Prioritizing of information needs to
be completed with the organizational goals and the level of stakeholder information in mind.
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Ultimately, this will ensure personalization and consistency across communication channels.
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BY UNDERSTANDING THEIR NEEDS

Stakeholders require consistent and regular communication and service. However, their
individual distinctiveness requires that this communication be personalized and targeted. This
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should align with the process of prioritization, with the groups at the bottom needing the least
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amount of information and the groups at the top needing the most.
BY BUILDING TRUSTING RELATIONSHIPS
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Collaborative partnerships depend on trust. Partners must communicate effectively and resolve
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conflicts, especially about sensitive issues like distribution of rewards and the involvement of
host organizations – the “in laws”. As in any relationship, attention must be given to renewing
the relationship and sustaining the commitment of the partners by building and maintaining
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support of the parent organization, evaluating progress and celebrating success.

BY ENCOURAGING THE STAKEHOLDERS
This is the act of giving someone support, confidence, or hope that it is well even though they
do not see it. When we encourage our stakeholders, it makes them feel the company do have
plans for them and that would make them hold on.

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 BY SATISFYING THE STAKEHOLDERS
Satisfaction is important in maintaining a good relationship because when one is not satisfied,
they would always look for a place where they would be satisfied. Even the study of economics
makes us to understand that man is insatiable. So as a company, let’s look for a way to satisfy
the stakeholder’s needs.
BY ENGAGING WITH THE STAKEHOLDERS
Now the easy part is over and you actually have to find an innovative and efficient manner in
which to communicate with these stakeholders. Using a collaborative software package, regular
status reports are useful and email newsletters are very effective for those individuals who are
not privy to sensitive information. Furthermore, an internal and an external newsletter; the first
being only for staff and the second for clients and interested parties can be issued. For small
groups and occasionally large ones, meetings are a good way to get a message across and invite

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buy in and feedback. Remember that in order to be effective, this engagement should be two-

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way. Stakeholders need a forum to air concerns and grievances while having the comfort of

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knowing they will get a response. Neglecting this element of communication is bound to

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undermine the ultimate goals of your organization.

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Regardless of tactics though, the important part of this aspect of the process is to understand
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and manage stakeholder expectations. The stakeholders need to know when to expect
communication and what sort of communication to expect.
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STRENGTHENING AND RESOLVING CONFLICT IN RELATIONSHIPS

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In order to strengthen and resolve the conflicts in the relationships of stakeholders we have to
ensure the following;
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 Assess the strength of the relationship

 Build stakeholders trust in the organization

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 Consistently treat stakeholders fairly.

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 Whenever the organization makes important decisions take stakeholder opinions into
account and otherwise demonstrate concern for stakeholders.
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 Keep organizational promises.

 Demonstrate competence by doing what was proposed.

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  Pay attention and respond to what stakeholders say and do

 Demonstrate the belief that stakeholder opinions are legitimate by responding to them.

 Give stakeholders a say in the organization’s decision-making process, especially in those

areas that affect the stakeholder group.

 Demonstrate commitment to stakeholders

 Show stakeholders that the organization wants to maintain a long-term relationship with
them.

 Engage stakeholders to build loyalty to the organization.

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 Satisfy stakeholders

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 Identify and enhance the ways stakeholders benefit from their association with the

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organization.
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 Make interacting with the organization a “delightful” experience.

 Make stakeholders feel they are important to the organization.

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GETTING FEEDBACKS
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The quality of a partnership can be analyzed by getting feedback from the stakeholders through
questionnaires or interviews.
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Q. No. 3
An ability to effectively handle conflict in the organization is one of the prime tasks of the
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leader? How leadership style would affect the workers towards conflict management in
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organizations?
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Leadership and Conflict Management

The leader’s role in managing conflict can have a significant impact on how they are resolved
within the workplace or organization. Leaders spend about 24% of their time resolving conflicts,
however the process to approaching conflict management relates to a great extent to their
leadership style Leaders who use conflict management skills can provide guidance and direction

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 towards conflict resolution. A common trait of leaders is they are able to build teams that work
well together and help to set the tone for the organization. They must be able to facilitate the
resolution of conflicts through effective conflict management. If they are able to pull on their
leadership skills and recognize which conflict-handling mode is required for each situation, they
can create an opportunity to improve team structure and dynamics, and ultimately achieve
their goal of changing, developing, and transforming organizations.

Leaders exhibit a variety of characteristics and traits that allow them to be great leaders, but
does it help them when it comes to conflict management? I believe that it does. These same
traits can help leaders dealt with conflict. The ability to recognize one’s own leadership style will
ultimately help describe how a leader handles conflict. Peter Northouse states that “it is up to
the leader to assess what action, if any, is needed and then intervene with the specific
leadership function to meet the demand of the situation.” To be an effective leader, one needs

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to respond with the action that is required of the situation” I feel this demonstrates that the job

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of a leader is to analyze a conflict and facilitate the situation to produce a resolution that can be

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positive and productive. Northouse reassures us that any leader can draw on his/her leadership

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skills to employ appropriate conflict management strategies
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A study conducted by Zhang et al. analyzed the relationship between transformational
leadership and conflict management. Zhang et al. looked at how transformational leadership
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affects team coordination and performance through conflict management. What they found
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was that transformational leaders who used conflict management methods were able influence
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their teams to establish stronger identities, discuss their disagreements and frustrations
outwardly, and work out solutions that benefited the team (Zhang, Cao, Tjosvold, 2011). I feel
that this study helps to confirm that leaders must be able to possess conflict management skills
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to effectively run a productive team and organization. This study also shows us that there may
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be a possibility that certain leadership styles are more effective at conflict management. This is
not definite but hopefully there will be more studies done to determine this.
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There are different types of conflict-handling modes that leaders may possess. Leadership skills
needed to be effective at conflict management can be categorized to show which skills match
up with five of the TKI conflict-handling modes. The avoiding mode requires leadership skills
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such as: to be able to withdraw from a conflict or sidestep issues has the ability to leave issues
unresolved, and to have a sense of timing. The accommodating mode requires skills such as:
being able to obey orders, set your own concerns aside, selflessness, and the ability to yield for
the greater good. The competing mode requires skills such as: standing your ground, debating,
using influence, stating your position clearly, and stressing your feelings. The collaborating mode
requires skills such as: active listening, identifying concerns, analyzing input, and confrontation.

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 The compromising mode requires skills such as: negotiating and finding the middle ground,
making concessions, and assessing Behaviors that allow leaders to be effective at conflict
management include:

 Be Candid. Leaders cannot hesitate to put issues on the table to be discussed

 Be Receptive. Leaders need to make sure that team members understand that it is ok for
conflict to exist and that everyone’s opinion will be discussed
 Depersonalize. Leaders must be able to remove personal feeling from the mix and view
conflict as a team issue
 Learn to Listen. Leaders must listen carefully and make sure that they provide feedback
as well
 Be clear. Leaders need to make sure that all team members understand how decisions
will be made to resolve the conflict

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 Out-law Triangulation. Leaders must prevent team members from “ganging-up” on

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others that they may disagree with

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 Be Accountable. Leaders must make sure that they follow through on their actions but

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also hold others to their actions as well
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 Recognize and Reward. Leaders must be able to recognize successful conflict
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management and then reward it
Effective leaders know how to bring conflict situations out into the open so that all parties
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involved can begin to work towards a resolution that will benefit everyone. They manage
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conflicts in way that it is seen as an opportunity to build productive relationships.

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Conclusion
The means in which conflict is managed will determine whether the outcome will be positive
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and productive, or negative and destructive. Leaders are taught to lead change, development,
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and transformation in organizations. One way leaders can accomplish their goals is through
effective conflict management. Conflict can be described as a disagreement among two parties
that is usually portrayed as antagonism or hostility. Conflict can arise from three different
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sources: economic, value, and power conflicts.

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