8715_300_uko6_ppt_2

Management and Administration Core Overview

• This document comprises content from a PowerPoint presentation (PowerPoint 6) about Project and Change Management specifically focusing on SWOT and PESTLE analysis.

Learning Objectives

• By the end of the session, learners should be able to:

  • Carry out a SWOT analysis and demonstrate how it can support change efforts.

  • Explain how a PESTLE analysis can inform and guide business decision-making processes.

Influential Change Drivers – SWOT Analysis

• Managers utilize SWOT analyses as a tool for effective planning regarding organizational change.

  • SWOT Analysis Components:

    • Strengths and Weaknesses: Typically focus on internal factors affecting the organization.

    • Opportunities and Threats: Usually pertain to external factors impacting the organization.

Strengths in SWOT Analysis

• Identifying organizational strengths that can facilitate and expedite change is crucial. Examples include:

  • A motivated workforce accustomed to and enthusiastic about change.

  • Adoption of innovative production technologies.

  • Demand for new products by stakeholders.

  • Established reputation for credibility and authority within the industry or region.

Weaknesses in SWOT Analysis

• Understanding weaknesses is vital as they may impede future success. Examples include:

  • Staff exhibiting resistance to necessary changes.

  • Reliance on outdated and costly technologies.

  • Weak infrastructure incapable of supporting change initiatives.

  • Deficient management information systems that weaken decision-making.

Opportunities in SWOT Analysis

• Organizations must harness opportunities to cultivate a competitive edge, such as:

  • Exploring new market openings.

  • Creating cutting-edge products.

  • Innovating business processes.

  • Utilizing new media and social marketing platforms.

  • Leveraging technological advancements in hardware and systems.

Threats in SWOT Analysis

• Recognizing external threats is essential for proactive management. Examples include:

  • Breakthrough innovations from competitors.

  • Rivals with effective change management processes.

  • Evolving technology that may render current organizational strategies obsolete.

• Management can either proactively prepare for these changes or react as they occur.

Internal Threats in SWOT Analysis

• Organizations must also be vigilant against internal threats, such as:

  • Inadequate management oversight.

  • Employee resistance to change initiatives.

  • Passive management that avoids necessary changes.

  • Poor quality or lack of information hindering effective management decisions.

Influential Change Drivers – PESTLE Analysis

• An organization must consider external influences when planning change management processes, classified under the PESTLE acronym, which includes:

  • Political, Economic, Social, Technological, Legal, and Environmental factors.

• The organization needs to account for these influences to craft effective change strategies.

PESTLE Factors Explained

• Political: Government policies, political party systems, industrial policies.

• Economic: Economic growth rates, inflation, interest rates, unemployment levels, fiscal policies.

• Social: Cultural norms, consumer expectations, demographics, equality and diversity considerations.

• Technological: Innovations, mobile technology advancements, digital economy developments.

• Legal: Employment laws, health and safety regulations, consumer protection laws, data protection considerations.

• Environmental: Climate change impacts, carbon footprints, waste disposal practices, and global warming effects.

How PESTLE Can Be Used in Change Management

• Conducting a PESTLE analysis allows organizations to comprehend the broader context necessitating change. This process includes:

  • Reviewing current situations and strategies.

  • Identifying solutions and needs for change.

  • Planning for new directions, products, or systems.

  • Considering the long-term consequences of changes.

  • Planning performance measures and change actions to achieve competitive advantages.

• The PESTLE analysis is often paired with SWOT analysis to provide clearer insights into both internal and external factors impacting the organization.

Summary

• The session successfully covered a SWOT analysis and its supportive role in managing change, alongside an explanation of how PESTLE analysis aids in informing sound business decisions.