The Hr Function - Context and Roles

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Negotiating Change at Northern County Dairies
Report 2012

Module: The Human Resource Function:
Context & Roles

Contents

Summary3
Introduction3
STEEPLE3
Force Field Analysis3
SWOT Analysis3
Why Change is Necessary4
Managing Change4
Main Changes4
HR Policy5
Conclusion6
Appendix 17
Appendix 28
Appendix 39
Appendix 410
Appendix 511
Appendix 612
Appendix 713
References15
Bibliography16

Summary
The objective of this report is to show the role of the Human Resource Team in regard to negotiating change at Northern County Dairies. It is not about the day to day processing of paperwork but about consciously seeking to contribute to the organisation and the direction it wants to take. The report will identify the businesses needs, understand why change is necessary, identify the firm’s bargaining position and produce a strategy on how to manage the proposed changes.

Introduction
The author of this report is the Employee Relations Manager at Northern County Dairies an organisation with 1500 employees. The company has appointed a new Managing Director who has a remit to lead an extensive change programme. In order to support the business strategy, Human Resources have identified opportunities and threats to managing the change by conducting both a STEEPLE and Force Field Analysis. They have also used a SWOT analysis to better understand the firm’s bargaining position as it embarks on the change programme.

STEEPLE
In an ever changing environment the Steeple analysis (Appendix 1) is a tool Northern County Dairies has used to help identify opportunities or threats for the business. It may influence business decisions and help the organisation to plan strategically for the future.

Force Field Analysis
Lewins Force Field Analysis is a more specific tool for analysing the, fors and againsts of a proposed change. See Appendix 2. Lewin proposes that whenever driving forces are stronger than restraining forces the equilibrium will change. This helps the organisation to understand the resistance of employees to change in order to make informed decisions that will make change more acceptable.

SWOT Analysis
This has been used by the organisation as part of the planning process. This tool identifies the strengths, weaknesses, opportunities and threats that Northern County Dairies will face implementing the proposed changes. See Appendix 3.

Why Change is Necessary
To be successful at managing change you must first understand why change is needed. Then be able to communicate this in a way that everyone can understand why the current way of doing things cannot continue.

With profits falling substantially over recent years and losses being recorded this year it is clear the company will not survive if changes are not made. Kurt Lewin designed a model for understanding and managing change in the 1950’s and it is still used today. This model is known as Unfreeze-Transition-Refreeze using an analogy of changing the shape of ice. See Appendix 4 for more details.

Managing Change
During consultations with Unions and employees it will be necessary to convey a clear message as to why change is necessary. See Appendix 5 for a plan for communication to take place and Appendix 6 for a factsheet to be distributed to employees. If consultations are not conducted professionally and timely there is a danger that staff will lose confidence in the organisation resulting in them resisting any changes that are implemented.

The employee’s existing contract has a clause that changes in terms and conditions negotiated by the trade unions are incorporated into individual employee’s contracts. This is still the case even if an employee is not a member of the Trade Union. After consultation with the Unions if no agreement can be reached, Northern County Dairies can terminate the contract with the correct notice and offer...
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