Smart Connection Company Pty Ltd

t/a Australian College of Applied Business

ACN 086 185 248 | ABN 50 086 185 248

Samson Media
Change Management Briefing Report

Introduction
Provide an overview of the current situation facing Samson Industries including:
a. Analysis of the company’s organizational objectives and identification of
strategic changes needs.
b. A review of the current human resources policies and procedures and
practices at Samson Media against strategic objectives and report on required
changes.

Samson Media publishes a number of high-end fashion publications. As well as being

a large source of advertising revenue, it has close relationships with a number of high-
profile fashion houses whose products appear in the magazines. Primarily, the
periodicals' readers are women aged 35 to 55.
Over the last two years, the number of readers has decreased. Many other fashion
publications have made their products available electronically, and the consumer trend
of consuming their content digitally is largely responsible for this shift. Profits have
also declined by 20 percent as a result of the dip in readership, and the stock price
has dropped as well.

 Objectives: The following are the objectives as stated in the scenario information:

 Within two years, raise the return on capital employed to 8%.

 Implement a company-wide transformation that will see all magazines
converted to a digital-only format.
 The printing and distribution facility should be shut down.
 Save money by shifting the corporate headquarters to a smaller location.
 Reorganize the head office personnel by reducing the number of permanent
employees and increasing the number of contract employees.

 Reviewing the policies and procedures at Samson Media against strategic

objectives:

 Examine existing policies/practices in light of strategic goals to see where

adjustments are needed:
 The following important changes will occur as a result of strategic objectives:
o Close all printing and distribution locations and convert to a digital format.
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 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

o Redundancies as a result of the new digital format and the transition to a

new staff structure with fewer permanent employees and more contractors.

 As a result of the organization's shift, policies and procedures need to be

revised. As a result of this transformation, some personnel will require new
skills (e.g. writing for a digital context). A training requirements analysis
approach will be implemented to identify these capabilities and to guarantee
that continued professional development takes place. A planned performance
development approach should also be created to ensure a high-quality,
streamlined organisation.

 If there are large numbers of people who are being laid off, the policy and
method for terminating employees may need strengthening.

 The benefits and drawbacks of an enterprise agreement should be evaluated,

as well as the process of drafting one.

External environment analysis

Provide an analysis of the external environment relevant to Samson Media and its
objectives, including events/trends that impact on strategic objectives, including trends
in magazine publishing, as well as trends in on-line magazine readership.

Your analysis should reflect a PESTLE analysis approach, reviewing political,

economic, social, technology, legal and environmental factors.

Trends: There are a number of trends to watch, including:

 Political: the political environment is typically favourable to businesses; there are
no specific rules for this industry other than those relating to copyright and privacy.
 Economic: Magazine spending is expected to fall over the long term, and the
advertising industry is expected to shrink. The overall economic situation is
improving, along with household income growth.
 Social: A young audience is drawn to online content, which has a specialised
appeal. Youth are drawn to online material, and niche markets are appealing.
 Technology: Consumers are increasingly reading magazines online as a result of
increased Internet access. As a result, magazine publishers are also being
compelled to compete on a global market.
 Legal: Issues relating to copyright and privacy may have an impact on online
content.
 Environmental: Sustainability of printed periodicals or magazines and
environmentally friendly printed publications
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 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

General trends: The following are some general trends to keep an eye on:
 A shift in customer behaviour has caused Magazine and Directory Publishing
members to suffer. The magazine and directory publishing industry are being
threatened by the internet, with revenue predicted to decrease 9.4 percent
annually over the next five years, to $1.0 billion. Consumers' access to material
has altered as a result of the growth of online platforms and the adoption of
smartphones and tablets. Customers are increasingly using search engines
and internet directories to find information. Print publications have lost
advertising revenue to digital content providers, social media platforms and
other online media. - A snapshot of the IBIS world market report.
 Marketing skill is essential to profitability.
 Subscribers to online publications continue to expand.
 As a result of technological advancements, employment rationalisation is also a
concern in the business.
 Revenue is dependent on advertising, which presents a challenge.
 Users of mobile devices, such as smartphones and iPads, are increasingly
turning to websites for reading material. The effectiveness of magazines is
greater across a variety of media, with some study indicating that print is also
helpful in certain situations.
 People who read online magazines spend more money and are more likely to
share their experiences on social media.
 Online magazine consumers spend less time reading the magazine, but more
time browsing beyond their initial interest, such as reading product reviews.
Impact on the achievement of organisational objectives: Affects the achievement
of organisational goals A variety of possible responses are conceivable depending on
the observations.
 Print and distribution should be discontinued, although it may be worth
examining possibilities for publishing the magazine, as some research shows
that magazines that are available in both print and digital formats perform best.
 To maximise the marketing effort, change management must consider the need
for integrated marketing communication.
 The magazine must be readable on a variety of digital platforms, including the
web and mobile devices.
 Due to the deteriorating nature of industry and competition, diversification may
be necessary.

Sources of information on change management and best practice approaches

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 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

Outline the sources of information you identified about best practice change
management strategies, as well as an overview of best practice change management
strategies.

Summarise each source of information and briefly outline how it has assisted in
identifying major change requirements and opportunities.

On the Internet, there are several resources for learning about change management
best practises.
Here are a few examples:
https://www.lgnsw.org.au/files/imce-uploads/361/change-management-best-practice-
guide-QLD_0.pdf
This resource outlines the following:
 (2.2) The importance of change management
 (3) covers Factors common to successful change management
 (4.1 to 4.4) consists of summary outline of each
 (5) specifies the need for defined governance and reporting arrangements for
instance setting up of appropriate structure.
 (6) covers the importance pf committed leadership
 (7) depicts the informed stakeholder- delivers summary ideas.
 (8.2) consists of the Organisation needs assessment and change
An organised change management approach is essential, as is communication with
employees from the beginning to the conclusion.

As a second source of information, we recommend:

http://www.businessballs.com/changemanagement.htm

This is a great resource because it outlines Kotter's eight steps to successful change
model, for example. These eight stages are simple to follow and can help you
understand the pressures of change and how people react to it.

Major change requirements

Identify and document major operational change requirements based on the scenario
information and your research and analysis to date.

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 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

Major Operational requirements for change: by observing the scenario information and
research and analysis conducted, the following operational requirements for change
have been identified.
• Closure of the printing and distribution facility: all print employees will be laid off.
Job tasks and jobs might be consolidated, and employees could be rehired as
contractors.
• Relocating offices: downsize your workspace. However, potential locations and
expenses must be researched. Staff could become more adaptable (working from
home days and "hot desking" arrangements, for example). Designers and
photographers might work from their homes or have their own studios.
• Examining current responsibilities at head office and reducing costs by reducing
the number of permanent employees and increasing the number of contract
employees. Key positions, such as management, should be retained, but staff
positions such as photographers, journalists, and graphic designers should be
contracted out.
• To increase revenue, review marketing and build an integrated marketing
approach.
• This will be accomplished by using digital professionals to ensure that the
magazine is compatible across a variety of digital platforms
• It was also suggested that magazine printing be continued through contractors in
order to give both mediums to existing clients.
• HR rules and procedures, as stated in the beginning, should be updated as
necessary.
• The development of a corporate contract to replace individual agreements

+61 0422 568 755

+61 02 8677 7407
 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

Prioritisation of change requirements

Outline your recommended priorities for each of the change requirements, including
your reasoning/.
My recommended priorities regarding change requirements: As per my
perspective, the first priority is to shut down the printing and distribution facility and to
lay off all employees. Students should provide a strong reason for their other priorities.

Cost-benefit analysis
Provide cost-benefit analysis of the high priority change requirements and
opportunities. Use the information in the scenario to inform your analysis. You may
also need to research costs for the change requirements you are recommending.

On the basis of the recommended priorities, an analysis of cost-benefit will be

performed.
It is important that students not only consider the financial expenditures as outlined in
the change scenario, but also take into account the cost savings that could be
achieved by closing down the printing/distribution facility and moving. There are non-
financial expenses, such as the potential loss of revenue if consumers don't move to
the new magazine, that may be considered. Among the benefits of the change:
 A new, more streamlined structure.
 Lessening of personnel costs
 Technology adoption
 Diversification

Recommended communication and education strategies

Outline your recommended communication and education strategies to promote the
benefits of the change

Among the possible strategies that could be recommended are:

 E-mails, notes and newsletters are all examples of mass communication.
 Discussion boards, email addresses for questions, and other interactive
communications
6

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 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248

 meetings, information sessions and training sessions - face-to-face communication

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+61 02 8677 7407
 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248
Version: v1.0/2020
This document is Briefing Report Template.
It is part of the supporting assessment resources for Assessment Task 2 of BSBINN601.

Risk Assessment
Identify potential risks and barriers to change and strategies to address these using the risk assessment template. Demonstrate your
problem-solving skills, as well as innovation skills to identify risks/barriers to change, as well as to identify relevant and innovative
strategies to deal with risks/barriers to change.
Complete the risk assessment table below to you to record risks and solutions.

Risks and barriers to change and strategies to overcome these

Risk description Likelihood Impact Priority Preventative Action/Contingency Plan

Disruption to Unlikely Severe High In order to guarantee a smooth transition from printed to
publication digital format, an operational plan is to be developed.
Inferior quality of Unlikely High low In regard to leading and managing change, coaching is to
leadership be given by organizational experts.
Unexpected appearing Unlikely Moderate Medium A variety of plans, including the change management plan
issues and the communication and education plan, are in place to
prepare for any change.
Prolonged and difficult Likely Severe High Above the legal requirements, offer a redundancy
discussions over package.
redundancies with the Take action to ensure as many staff as possible to be
employees.
+61 0422 568 755
+61 02 8677
7407
 Smart Connection Company Pty Ltd
t/a Australian College of Applied Business
ACN 086 185 248 | ABN 50 086 185 248
Version: v1.0/2020
This document is Briefing Report Template.
It is part of the supporting assessment resources for Assessment Task 2 of BSBINN601.

retrained.
.
Reduced work’s quality Unlikely Severe High Regular contact through emails and newsletters, as well as
a face-to-face meeting to discuss possible changes, are all
part of the workforce communication and education
process.
Provide redundancy packages that go above and beyond
the regulatory standards.
Inflation-related increases in contractor wages
Workforce should be educated on the benefits of change.
Resistance to adapt Likely High High Regular contact through emails and newsletters, as well as
change a face-to-face meeting to discuss possible changes, are all
part of the workforce communication and education
process.

Workforce should be educated on the benefits of change.

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+61 02 8677
7407