Gap Analysis and Revised Leadership and Change Management Plan for Sony Corporation

Discussion

Write about Australian leader for Sony Corporation.
 

The leadership function for a change management process is extremely important. The modern day organizations rely heavily on innovative practices and continuous upgradation of their existing systems (Senge,  2014). The organization selected for the purpose of study is Sony Corporation, which is a Japanese multinational entity (Sony.com.au, 2016). In this report, a Gap Analysis is performed. The Gap Analysis measures the degree of difference between the best practices and the present practices of change management as well as leadership, in the selected organization. A revised change management and leadership plan is prepared, which is made on the basis of the identified gaps in the organization. The last part of the report deals with the various limitations of the study and a consolidation of the key findings of the study. The report would create an in depth understanding of the various implications of the change management and leadership in Sony Corporation. It would also help in understanding the methods by which the leadership in the organization can be enhanced.

Gap Analysis

Step 1- Creation of strategic objective

The first step of performing a Gap Analysis is to understand the goals of the concerned organization and its implications (Van Ittersum et al., 2013). Sony is a reputed corporate organization with its worldwide popularity. The vision of the company is to achieve the position of global leader in consumer electronics, services and entertainment (Sony.com.au, 2016).

The company has announced a new objective of safeguarding the natural environment, known as “Environmental Vision Towards Sustainibility” (Sony.com.au, 2016). The reason behind the adoption of the strategy is the increased concern for environmental issues of the customers and the stakeholders. The companies are given ratings on the basis of Socially Responsible Investments and various environmental measures (Sony.com.au, 2016). Sony strives to achieve the objectives by improving several operational processes like Corporate Citizenship, Research and Development, Business Planning, Product Design and the Manufacturing Process as well as Site Management (Sony.com.au, 2016). The leadership of the company should be excellent for the achievement of the business objectives. The company strives to attain new heights under the leadership of Denis Handlin (Sony.com.au, 2016).

Step 2-  Identification of deficiencies in the current scenario

The second step revolves around the detection of deficiencies in the current operating scenario (Austin et al., 2015). The Chief Executive Officer of Sony, Kazuo Hirai, has taken several faulty decisions, as a result of which the company has suffered considerable financial as well as operational losses. The company is facing stiff competition from the market leaders in the electronics sector. The company is reportedly running at losses for the past four years and it has only 15% of its capital remaining as equity (Forbes.com, 2016).  The founder of the company, Akio Morita Sony, demonstrated  exceptional leadership and devoted countless hours to gathering innovative ideas in technology (Shavinina, 2012). The company was once a market creator and leader of consumer electronics (Shavinina, 2012).

Gap Analysis

The situations started deteriorating when the company over focussed on the production of electronic goods in a faster and cheaper way (misleading guidance from the existing leaders) (Cojocaru & Cojocaru, 2014). This has affected the performance of the company, which makes the company run at losses, till today. The company focuses on the development aspects of the manufacturing process rather than venturing into new markets (Nishimura, 2014). Sony failed to produce any new technological advancement, which demonstrates clearly, a lack of leadership in the R& D areas (Forbes.com, 2016). The company failed to make superior mobile phones (due to lack of leadership) and hence the competitors like Apple, Samsung, won the battle (Forbes.com, 2016).

The leaders of the organization are supposed to implement suitable changes in the organization so that it fulfills the vision of the company (Alvesson & Sveningsson, 2015). In Sony, the leadership failed to identify the potential paths to success. The vision of the company outlines the dream of global leadership; however, the company has not taken any significant pathways to fulfil it (Alvesson & Sveningsson, 2015). Sony operates in several countries of the world, which underlines the role of efficient cross cultural management. The leaders should encourage the managers to adopt a global mindset (Cullen & Parboteeah, 2013). The company has no written policies of global management of the teams and fail to clearly address the cross cultural issues. The successful policies in one country may not be the same success in another country.

The productivity of the employees dropped enormously (White, 2013). They were not ready to listen to their managers and were fighting for their rights. This affected the productivity of the company. The transformational leadership resulted in unhealthy competition among the company’s manpower (White, 2013). The employee engagement practices were not up to the mark and hence the model of leadership and change management cannot be considered as the best practice.

Step 3- Creation of Action Plan

The above deficiencies are evident in the organization, which has led to a decreased revenue generation of the company. It is important to create an action plan, which addresses the identified gaps in the system (Grimshaw et al., 2012). The revised Leadership and Change Management Plan is developed, which is discussed in the subsequent sections of the report.

Step 4- Evaluation of Action Plan 

The creation of the change management and leadership plan is not sufficient. There should be an adequate evaluation of the implemented plan (Patton, Sawicki & Clark, 2015). This would help to determine the accuracy of the plan. It also helps in determining whether the plan fulfills the organizational mission. 

Step 1- Creation of strategic objective

The process of change management should be structured and planned, which would help the organization achieve the broad objectives of the organization (Davenport, 2013). There should be certain behavioral and organizational adjustments that need to be undertaken, which would result in successful change management. There are certain parameters that need to be managed in the process of change management (Cummings & Worley, 2014). They are strong governance, steering committee, change agent work stream owners and others. The role of leadership is immense in a change management process (Cummings & Worley, 2014). The leaders of the organization represent visionaries and role models for initiating change (Cummings & Worley, 2014).  The change management should be supported by the organizational leaders at all levels.

The first stage in the preparation of revised change management and leadership plan is to thoroughly understand the operational gaps in the organization (Pfeffer & Sutton, 2013). The first component of the plan is to develop an excellent human resource team, which is the greatest contributor to the success of an organization. Sony has undertaken initiatives for the recruitment of experienced cross-border leaders to handle the market variations prevalent in the digital industry. There is a need to improve the employee engagement activities in the organization. Sony should strive to create an organizational culture based on trust, harmony and cordial relations among the fellow employees (Pfeffer & Sutton, 2013). The human resources of Sony should function as one single team competing against the major rival companies, rather than competing against each other (Pfeffer & Sutton, 2013).

The second component should focus on the mission and the vision of the company (Hujala, 2013). The leaders should undertake policies for the fulfillment of the objectives. The leaders should guide his team so that there is optimum performance of the employees, leading the achievement of the organizational objectives (Hujala, 2013). The leaders should encourage a learning atmosphere within the premises of the organization (Hujala, 2013). The employees should be allowed to participate in the decision making process, which would lead to free flowing ideas, which in turn would enable leaders to take the right decision (Hujala, 2013).

The third component deals with the better management of the cross cultural management issues (Spencerâ€ÂOatey  & Franklin,  2014). The company has demonstrated sufficient cross border leadership, by the recruitment of Mr Howard Stringer, who is an American (Sony.com.au, 2016). The company, however, needs to manage the cross border managerial issues, which demands enhanced leadership guidance. There are many cross border barriers and issues, which needs to be carefully managed (Spencerâ€ÂOatey  & Franklin,  2014). The prosperity of Sony Corporation, in individual locations all across the world, would certainly lead to an increased prosperity of the company as a whole.  

Step 2- Identification of deficiencies in the current scenario

The fourth component of the plan focuses on the induction of technology in the products of the company (Davenport, 2013). The electronics products are facing stiff competition regarding the development of new features,  which fascinate the target customers. The products are undergoing constant changes and improved user interfaces (Davenport,  2013). The company should incorporate user friendly features in their products and gain competitive advantage (Davenport, 2013). In such a competitive market, the senior leadership of the company should strive for the development of innovative and technologically upgraded products, which meets the changing customer requirements (Davenport, 2013).  

This report describes the change management and leadership in Sony Corporations. It is very helpful in the identification of the various operational flaws in the company. There are certain limitations associated with the study. The study is limited to the Australian market only, despite the fact that Sony Corporation, is a multinational organization. It operates in several other countries of the world. There can be different leadership styles in different countries. The gap analysis done in this study, is primarily based on the demonstrated leadership and change management in one single location (Australia), with a consideration of the global leadership patterns. The leadership and change management of Sony in various geographical locations are outside the scope of the study.

The study is based on the collection, assimilation, analysis and representation of the secondary data. The various sources of the secondary data sources include the website of the company and several international journals and magazines. There is no utilization of the primary data sources. The secondary sources of information are varied and provide rich sources of information.

The overall leadership and change management practices of the organization are discussed in detail. There are several leaders in an organization, ranging from the top management to the middle management. The topmost leadership of the company is discussed in this report. The leadership style of Denis Handlin is discussed in detail. The leadership traits of the leaders at junior management levels, are outside the scope of this study.

The limitations do not dilute the purpose of the study. The leadership style of the Sony Corporation, in Australia, is a reflection of the leadership of the overall organization. The operational deficiencies observed hold true for the global operations of the company. The senior leadership paves the way for the junior leaders. The study of the leadership pattern of Denis Handlin gives critical information regarding the change management approach followed by the leaders.

Step 3- Creation of Action Plan

The change is inevitable in any organization. The responses to the change can make a huge difference in the survival of a business entity. Change is important for a dynamic and huge organizations like Sony. The change can originate from internal sources or external sources like social, economic or political pressures. There can be technological advancements, which can lead to changes in the organization. In all the cases, it is vital for a company to manage the change in an effective manner. The authorized person to deal with change management is the leader.

Sony has demonstrated exceptional leadership qualities, with a special mention of Denis Handlin, who is the Leader of the Australian division of Sony Corporation. In the past 30 years, he has demonstrated exceptional leadership capabilities. He has received numerous prestigious awards and accolades. He has successfully implemented the Kubler-Ross model, consisting of five stages,  for dealing with the external challenges effectively. The transactional leadership has already been implemented in the organization, which has proved to be successful. There are several issues that were identified by the model, like behavior of the employees, unhealthy competition, inappropriate organizational culture and others. Another model, “Kart Lewin’s Force Field Analysis Change Model”, is used for addressing the low productivity issue in the organization. The current leadership and change management practices in the organization are identified. The best practices in this domain are also identified. A Gap Analysis is performed, measuring the deficiencies between the current practices and the best regarding, from the perspective of leadership and change management. A revised plan is prepared, with its primary focus on the change management and leadership of Sony Corporation. The objective of this plan is to improve the role of leadership in the change management function of the organization. 

Conclusion

Sony is a global organization with excellent products and exceptional management leadership. It was one of the pioneers of the electronic products. It was once known for breathtaking technologies. The things started changing thereafter, due to certain faults in the leadership process. The time has arrived, when there is need for reviewing the change management process in the organization. The change management process would not be complete without the participation of the organization’s leaders. There should be participation from all the levels of the organization. There should be involvement of not only the top management, but from the operational level and middle management level too. The combined efforts of the leaders in the organization would foster an environment of change within the organization, which is the need of the hour. There should be proper implementation of the change management and leadership plan. This would certainly lead to growth and prosperity of the organization. 

References

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