DB FPX 8610 Assessment 3 Aligning Frameworks

Student Name

Capella University

DB-FPX 8610 Leadership Theory and Practice

Prof. Name:

Date

Kensington Auto Parts: Business Story

When change management is poorly managed or ignored, projects and organizations face increased costs and risks (Creasey, 2022). This is evident in the case of Kensington Auto Parts. The company’s work quality has diminished, valuable talent is being lost, and productivity is low (Media.capella.edu, n.d.). These issues reduce morale, affect customers and suppliers, and create a legacy of failed change. The costs and risks impact not only the project team but the entire company (Media.capella.edu, n.d.). These effects often extend well beyond the lifecycle of a given project. When valuable employees leave, the consequences can be extreme. So, why is Kensington Auto Parts ignoring all these warning signs?

The Problem

Kensington Auto Parts faces a problem directly linked to Emotional Intelligence and Leadership. Specifically, the company’s issue is poor change management. Properly managed, change management can serve as a risk mitigation tactic and a cost avoidance technique (Creasey, 2022). Evidence of Kensington Auto Parts failing to deliver results and outcomes includes:

A 3% decrease in market share
High expenses
Loss of global investment opportunities

Effective change management can mitigate risks and prevent issues related to how employees adjust to change (Creasey, 2022). Kensington Auto Parts needs to include its business roadmap and guiding principles in its change management strategy (Creasey, 2022). Business leaders must reflect and echo the goals of the change management strategy (Shin, 2013). Without effective preparation and influence from leaders, the results could be detrimental (Shin, 2013). Last year’s 3% market share decline underscores the need for immediate action to bridge the practice gap (Media.capella.edu, n.d.).

Researching Articles to Support a Problem and a Gap in Practice

Kensington Auto Parts’s leadership fails to understand the importance of change management. Knowing how to lead and navigate through uncertainty and chaotic changes can make or break a company (Shin, 2013). Change management requires a collective effort (Shin, 2013). The change management plan must have support from all levels of management (Shin, 2013). Leadership must recognize that change management is central to progressively managing and implementing ongoing change (Creasey, 2022).

For change management to be effective, leaders at all levels need to be involved (Hitt, 1995). Kensington Auto Parts’s leadership must understand the impacts and recognize failing change management. Senior management sets the tone, middle management plays a frontline role, and team leaders are crucial (Hitt, 1995). Whether expected or unexpected, change can lead to either success or failure (Hitt, 1995). Leaders must be aware of their organization’s “meaning” status (Ericson, 2001).

The way Kensington Auto Parts interprets new processes or changes may differ from the actual reasons for the change (Ericson, 2001). For example, the company’s reluctance to expand beyond U.S. territories is seen as adherence to traditional methods (Media.capella.edu, n.d.). If the leaders do not understand the impacts of their poor change management skills, the risks will continue to be damaging (Ericson, 2001).

DB FPX 8610 Assessment 3 Aligning Frameworks

To reinvent itself, Kensington Auto Parts must abandon outdated business models (Tran & Anvari, 2014). Sticking to traditional methods hinders change (Media.capella.edu, n.d.). A company that positions change management as a risk mitigation and cost avoidance technique understands the importance of managing change (Muralidharan, n.d.). Kensington Auto Parts must be ready to meet market demands head-on (Tran & Anvari, 2014).

Currently, Kensington Auto Parts has not formed any global marketing partnerships, and recruitment of young creative talent has declined (Media.capella.edu, n.d.). These issues could have been mitigated with proper change management. With growing trends, change management must be discussed regularly (Tran & Anvari, 2014).

Utilizing frameworks can help implement change management efficiently. Traditional frameworks were once sufficient (Kunnanatt, 2016), but today’s complex issues require more strategic approaches (Kunnanatt, 2016).

DB FPX 8610 Assessment 3 Aligning Frameworks

Two frameworks, Sensemaking and Sustainability, highlight the importance of managing change for Kensington Auto Parts. The sensemaking framework helps organizations understand emerging contributions (Ericson, 2001). It emphasizes how employees create meaning and understand organizational goals (Ericson, 2001). The workforce is changing, and Kensington Auto Parts must adapt to new technology and business ideas (Media.capella.edu, n.d.). A sensemaking framework helps navigate dramatic changes and reconstructed meanings (Ericson, 2001).

A sustainability framework allows Kensington Auto Parts to manage long-term impacts in a structured manner. Successful sustainability frameworks must be integrated into the business strategy (Doppelt, 2017). This way, transformation occurs from top to bottom (Doppelt, 2017). Kensington Auto Parts’s vision of industry leadership does not align with its sustainability goals, contributing to its struggles (Media.capella.edu, n.d.).

Frameworks Explained

The selected frameworks align with Kensington Auto Parts’s problem and gap in practice. Both demonstrate that change management is vital for ongoing success. They show that understanding change management is crucial for mitigating risks and avoiding costs. As observed, Kensington Auto Parts’s costs and risks are high due to poor change management (Media.capella.edu, n.d.).

The costs of not expanding globally and not positioning for change have led to revenue losses and increased employee turnover (Media.capella.edu, n.d.). Kensington Auto Parts must make changes soon to secure its future (Media.capella.edu, n.d.). Traditional models like McKinsey 7-S or Lewin models could be effective, but the selected frameworks offer a more innovative approach. Kensington Auto Parts must shift from traditional methods to new strategies.

Project of Interest/Eliminating Personal Biases

Change is inevitable (Doppelt, 2017). It will happen whether an organization is ready or not. Poorly managed change poses risks (Doppelt, 2017). At my job, employee morale is down due to mismanagement, impacting project objectives. Like Kensington Auto Parts, poor change management can have long-lasting effects (Doppelt, 2017).

Both sensemaking and sustainability frameworks can mitigate risks and avoid costs. Leadership must understand the reasons for changes and ensure these are understood by employees (Ericson, 2001). The sustainability framework requires leadership to visibly and audibly support company goals (Doppelt, 2017). Mitigating bias is essential for successful projects (Walter et al., 2016). Leadership can learn from past experiences and create diverse teams to reduce bias.

Reflection

This assessment helped me identify frameworks to address business problems. I can now recognize practice gaps and provide a solid foundation for solutions. Researching practitioner and scholarly frameworks was challenging but rewarding. This assessment has strengthened my leadership skills, preparing me for future challenges. I am excited about what I have learned and look forward to applying these skills in my capstone project.

References

Creasey, T. (2022). The Costs and Risks of Poorly Managed Change. https://www.prosci.com/blog/the-costs-risks-of-poorly-managed-change

Doppelt, B. (2017). Leading Change toward Sustainability | A Change-Management Guide for B. Taylor & Francis. https://www.taylorfrancis.com/books/mono/10.4324/9781351278966/leading-change-toward-sustainability-bob-doppelt

Ericson, T. (2001). Sensemaking in organizations — towards a conceptual framework for understanding strategic change. Scandinavian Journal of Management, 17(1), 109–131. https://doi.org/10.1016/s0956-5221(00)00035-x

Hitt, M. A. (1995). Corporate Restructuring: Managing the Change Process From Within. Academy of Management Review, 20(3), 750–754. https://doi.org/10.5465/amr.1995.9508080339

Kunnanatt, J. T. (2016). 3D Leadership – Strategy-linked leadership framework for managing teams. Economics, Management, and Financial Markets, 11(3), 30-55. http://library.capella.edu/login?qurl=https%3A%2F%2Fwww.proquest.com%2Fscholarly-journals%2F3d-leadership-strategy-linked-framework-managing%2Fdocview%2F1826415727%2Fse-2%3Faccountid%3D27965