Organisational Change: Development and Transformation

Topics: Management, Leadership, Decision making Pages: 9 (2901 words) Published: November 28, 2012


MGT 5000

STUDENT ID - 599971

Task 1.1:
“Qantas has grown to be Australia's largest domestic and international airline. Founded in the Queensland outback in 1920. Registered originally as the Queensland and Northern Territory Aerial Services Limited (QANTAS), Qantas is widely regarded as the world's leading long distance airline and one of the strongest brands in Australia.”

“Alan Joyce -- Chief Executive Officer --- Alan Joyce was appointed Chief Executive Officer and Managing Director of Qantas in November 2008.He is a Member of the Safety, Health, Environment and Security Committee. Mr Joyce is a Director of a number of controlled and associated entities of the Qantas Group, and a former Director of Jetstar Pacific Airlines” The power bases of Alan Joyce

Being the CEO, Alan Joyce had the power, authority and also power to influence. He used this to make tough business decisions and implemented the same in the organisation. As seen in the case study here are some of the powers Alan Joyce depicted. * Legitimate power: It is the right to command. This power has the right to influence the employee. Directors have legitimate power over the C.E.O. In similar manner the CEO has legitimate power over all organisational resources and hierarchy. Alan Joyce the C.E.O had this legitimate power which he had utilized to make his decision to close the company. “On 29 November 2011, Qantas chief executive Alan Joyce made the decision to ground the airline’s entire fleet. This action stranded 68,000 passengers around the world and locked out Qantas employees in response to the protracted industrial dispute.” * Power Authority and Obedience: power implies to control behaviour of others. Authority grants such control through managerial position and legitimate power. Tendency to follow command from the superior determines obedience. Alan Joyce had the legitimate power which gave him the authority to take business decisions and because of this power and authority the employees had no choice but to be obedient to his command. In this case study Joyce had the power to shut down the operations of Quanta’s, had the authority to take this decision with no further permission required. The obedience in this case study was shown by all the three unions were they had to accept the closer of the organisation. * Managerial power and influence: managerial power means to get the work done by others. Managerial power is a combination of position power and personal power. It also requires understanding the tactics and strategies by which power is granted and used. On the other hand influence states that other people will agree to your decisions even if they defer in their wishes. Alan Joyce enhanced his personal power that is knowledge and information, personal attractiveness and effort along with his position power in taking the decision of closing the company as this was the only option to get out of the crisis for good of the company. * Turning power into influence: Power can be acquired as per hierarchy but utilizing this power to achieve desired goal can be fulfilled if and only if a manger is able to influence his employee against their agreement. Quanta’s case study sets a true example of power turning into influence as the C.E.O. because of his higher authority was able to take the decision of the company closer despite of non agreement from the unions.

Task 1.2:
Conflict occurs in every organisation. The method of managing these conflicts is essential for any organisational success. There are number of methods to reduce conflicts by making certain adjustment in the organisation structure. Some of the commonly used strategies are: 1. Dominating

2. Liaison groups
3. Decoupling and
4. Linking pins

* Dominating: This kind of strategy is majorly used when one of the parties to the conflict has superior power...
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