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Introduction

Change, when properly understood and managed, is critical to organizational success. Instead
of fearing change, organizations should strive to embrace it. And the change of the entire
working environment of the organization is called a change of workplace. Change occurs in an
organization for a variety of reasons, including technological advancement, structural changes,
and human factors. Furthermore, they need to develop policies and laws that can be
implemented in the workplace. Organizations can clearly identify the challenges and conflicts
they face. In this way, they can be found quickly and strategies can be developed to adequately
assist in problem solving and avoidance. This study was planned in two groups of organizations
to observe leadership styles. and management of an organization that recognizes and leads to
organizational change: Vinamilk and Vinfast. The purpose of this report is to provide a
comparative analysis of the different types and dynamics of change within an organization and
to assess the impact of change on organizational behavior. In addition, the report provides an
introduction to the drivers and impacts of change and how they affect organizational strategy,
an overview of organizational case studies, a PEST review of each. case studies to identify the
drivers of change and analyze for each individual organization the impact of the change and its
impact on the organization's strategy and operations, assess how the change will affect how it
affects leadership, people, and team behavior, assess how the impact of change has been
minimized, change, and apply appropriate models to manage process change effectively
effective.

Research Finding
1. Company’s Backgrounds:
a. Vinfast:

Established from scratch in June 2017 in Vietnam. To achieve this, they have partnered with a
number of established companies, most notably BMW. They have worked with industry giants
like BMW to develop the product. Producing products suitable for Vietnamese consumers to
achieve this. As a result, they sold more than 17,000 vehicles in the first year of business, an
impressive number in Vietnam (vinfast).
b. Vinamilk:
The company was established in 1976 as the state-owned Southern Coffee-Milk Company to
nationalize and take over the operations of three formerly private dairy firms in the South of
Vietnam. United Enterprises of Milk, Coffee, Cookies and Candy was the new name of the
company in 1978. Vietnam Dairy Products Company was officially established in 1993. After
conducting initial public offering (IPO) on the Vietnam Stock Exchange in Ho Chi Minh City in
2003, the company legally changed its name to Vietnam Dairy Products Joint Stock Company.
Vinamilk's main activities are producing and trading condensed milk, powdered milk, fresh milk,
soy milk, yogurt, ice cream, cheese, fruit juice, coffee and other dairy products. Vinamilk also
ships condensed milk and powdered milk to Australia, Cambodia, the Philippines and the
Middle East (vinamilk).
2. Analysis of identifying drivers of change:
a. Drivers of Changes:
Understanding these elements will enable you to determine the kind of change that each
employee in the organization is going through. This is significant because it may be challenging
for everyone concerned to bring about change due to inherent irregularities or
misunderstandings regarding transition demands, or simply their extent. Anderson & Anderson
identified seven important drivers of transformation by moving from external stimuli to internal
reasons (Ha, 2020).

External: The sales force of today is most familiar with and frequently takes these elements into
account before figuring out what is causing a change in its Influence. the necessity to modify
internal solutions to meet new, specific needs in order to cut expenses overall and
accommodate greater intrinsic source flow
• Environment
• Marketplace Requirements for Success
• Business Imperatives
• Organizational Imperatives

Internal: These elements are more challenging to pinpoint and, if not dealt with, can result in
project failure. Success depends on being able to handle both internal and external variables.
Problems may occur if you give one issue all of your attention. These elements consist of:
+ Cultural requirements
+ Leader and employee behavior
+ Leader and Employee Mindset
b. Vinfast's identify for locating change-drivers:
The macroeconomic environment in Vietnam has recently tended to favor the car sector, which
is expected to perform better than all other sectors. This outcome is the consequence of
incentive schemes, as well as commercial, governmental, and other measures targeted at
advancing the automotive sector. Recognize any outside influences that could have an impact
on your company's strategies and practices. study on the subject. Vinfast needs to investigate
the region outside of Vietnam as a result before establishing there. For this, PEST is a helpful
tool. It offers a framework for evaluating and looking at the external environment of an
organization. Political, economic, social, and technological are the four variables. There are four
key things to think about.
a) Political
Government policy, business regulation, international trade agreements, and political stability are
a few examples of political influence. Vietnam's most recent war came to an end in 1979. Since
then, Vietnam has not had any armed wars or terrorist attacks. Like China, Vietnam continues to
have a communist system of government with the Communist Party of Vietnam as the sole
ruling party. Important political choices are being made by the Communist Party of Vietnam, and
potential strategic trajectories are being evaluated. Vinfast is able to function and grow in the
business world as a result of the strong management of the Vietnamese people. In actuality, the
Vietnamese government has consistently been a steadfast friend. The Prime Minister has
authorized a theme plan on the expansion of the car sector in the South until 2030. This plan's
overarching objective is to motivate indigenous producers to grow the automotive sector into a
significant industry in Vietnam so that it may serve as an intermediary and a vehicle for the
global automotive market. bowl. Vinfast has access to and uses a variety of VinGroup resources
to generate a variety of future growth and development strategies (Tien, 2020).
b) Economic
The auto sector in Vietnam is suffering greatly as a result of the economy. Vietnam's GDP
expanded by 7.02% in 2019, somewhat less than in 2018. Prior to it, our economy consistently
had yearly growth of around 6.5%. The economy of Vietnam is expanding quickly, improving
living conditions and affecting consumer behavior. When predicting product demand, it is also
compatible with Vinfast. The graph below shows Vietnam's GDP development from 2009 to
2019. Vietnam also features Southeast Asia's fastest-growing middle class, with a GDP per
capita that increased by 350% between 1991 and 2017 (second only to China). Vinfast has a big
chance in this situation. You wish to get high-quality human items at an affordable price. Vinfast
must, however, also account for the inflation impact. The rise in manufacturing costs resulted in
higher prices for labor, raw materials, transportation, and other production-related expenses.
pushes for inflation Rising producer pricing will have an impact on consumer spending, which
will also benefit the market for the firm. Fortunately, from 2017 to 2019, Vietnam's inflation rate
stays at 4%. In general, Vinfast can continue its commercial expansion plan at this moment due
to the positive economic climate in Vietnam (Tien, 2020).
c) Social
Vietnam is in a "golden demographic" era, with 70% of the population being between the ages of
15 and 24, which will finish in 2040. The design of Vinfast products is based on well-known
European car models, with Europe bringing dynamic sports style, suitable for children's tastes
that suit everyone. As a result, Vinfast has a significant population advantage. In addition, when
income increases, young Vietnamese people are potential customers of Vinfast. Many
Vietnamese people once believed that costly, opulent automobiles were solely for the wealthy.
However, customers find more uses for automobiles. additionally, along with the growth of the
economy. Vietnam now ranks fourth in ASEAN in terms of the number of automobiles sold,
according to VAMA, with over 400,000 units sold. In conclusion, Vietnam's young population
and strong economic growth in vehicle consumption are ideal circumstances for the development
of the nation's auto sector (automate.org/, 2018)
d) Technology
Every turn is a revolution that transforms the automobile industry due to the lightning-fast rate of
technical innovation. A mechanical arm is typically employed. process of production. Since the
development of this technology, firms have been able to more effectively minimize the number
of employees while increasing accuracy and productive output at a reasonable cost. Vinfast
introduced the most cutting-edge technological vehicle in Vietnam in 2019. To create a car
production process that meets European standards, they have teamed up with BMW. It is also the
top factory in ASEAN, still running 1,200 linked ABB robots that may function independently
and in accordance with pre-programmed instructions. Companies may concentrate on their
strengths and weaknesses via the opportunities and threats in the SWOT analysis, whereas PEST
presented the macro environment and the micro environment is dealt with in the SWOT analysis.
a company's surroundings (creately.com, 2014). The SWOT analysis of Vinfast is outlined
below:
c. Vinamilk's identify for locating change-drivers:
+ Political:
The laws of that nation are a vital factor that have an impact on a brand's business plan. In
Vietnam, food safety and cleanliness are important objectives. Vinamilk satisfies all conditions.
Food handling in business enterprises is legally required to be properly regulated. safety and
cleanliness. Businesses must also process milk-based goods and other dairy products. The law
that promotes peaceful politics and protects business interests is one political factor that
benefits Vinamilk's activities.
+ Economics:
The expanding economy of Vietnam combined with the rising need for healthcare has made it
possible for the dairy business to gain widespread recognition. Additionally, a lot of clients
these days are curious about the milk's quality. Vietnamese consumer demand for milk and
Vietnam's entry into the WTO have both been strongly and favorably influenced by the
country's expanding economy, placing some pressure on enterprises. Vinamilk Additionally,
when beef prices rose, businesses had to raise the selling prices of their products. (amis, 2022).
+ Social:
In terms of Vietnamese culture, the PEST model study of Vinamilk reveals that as people's living
conditions rise, so does the demand for milk. When considering Vietnamese culture as a
differentiator for Vinamilk, this is one of the primary points. Many people are appreciating it as
society's level of life rises, which has facilitated the dairy market's excellent growth and the
need for dairy products in healthcare. (amis, 2022).
+ Technologies:
Companies consider a variety of factors when selecting whether to locate in a certain nation,
including the country's level of technology. Customers may feel secure knowing that items are
being managed for quality according to ISO standards. The business utilized cutting-edge
technology in manufacturing at the time by utilizing Vinamilk's milk lines, and it launched the
same high-quality goods onto the market.

3. The impact of change and the effects it has upon the organisation’s strategy and
operations:
a. Impact of changes:
Whatever the cause, change has a significant influence on an organization, both positively and
negatively. Positive transformation improves an organization's performance and productivity and
aids in the accomplishment of its objectives. The organization's goal has been clarified. There is
a general improvement in group and common people morale as well as a shared sense of
satisfaction. Despite appearing to have a negative impact, there was a considerable rise in stress,
anxiety, and impedance. As a result, quality and efficiency suffer, which also has an impact on
the organization's goals and mission. Unscientific methods of action, poorly thought out designs,
or unforeseen consequences. As a result, everyone in the group experiences a decline in morale
and a sense of alienation. In extreme circumstances, this increases turnover rates and further
destabilizes the business. Similar subjectively unpleasant feelings were discovered when impacts
on humans were investigated. These responses ultimately cause disruptions in organizational
structure and operation. You may sum up the various ways that people respond to change as
follows. Anger and resentment might result from overall depression and fear of change.
Resistance, both active and passive, is thought to be a mental effort to lessen the intensity of
atopic dermatitis; nevertheless, if actions to maintain the status quo are not taken in the short to
medium term, they frequently succeed, sometimes even making things worse. Questioning or
distorting the causes of the change can lead to mistrust of strong figures and the formation of
"conspiracy theories" that provide erroneous justifications. or unreasonable for change, which
heightens employee unease. leads to the creation of competing factions that are trying to
maintain the status quo or build goodwill with the organization's present leader. Power battles
that follow make it harder to have faith in group leaders and make people more anxious. As this
process goes on, more and more individuals become unwilling to carry on, which frequently
results in executive departures. Important individual. Incidents and unexpected consequences
weaken the organization's commitment to achieving change as well as its support for it. The
organization will gradually stagnate and fall apart if these negative impacts are not handled.
b. Vinfast’s Operational change strategy:
After two years on the market, VinFast vehicles have sold more than 50,000 units, which is an
impressive achievement for a new automaker in the Vietnamese market given the popularity of
the VinFast Lux SA2.0, Lux A2.0, and Fadil models. List the top 3 new models in the segment
that are most in demand according to the "Car of the Year 2021" program. Following the
popularity of gasoline-powered vehicles, VinFast introduced the first three electric car models,
the VF e34, VF e35, and VF e36. The three new electric car models from VinFast are a part of an
expanding global consumer auto industry (phaply).
The business sees smart electric scooters as a popular product that it wants to see utilized
extensively in Vietnam in order to promote environmental preservation. VinFast electric
motorbikes can connect with smartphones for vehicle maintenance, navigation, anti-theft, and
service supply in addition to having strong resilience to harsh operating circumstances including
skidding and floods. Other recent additions (phaply).
Thorough preparation:
Vinfast has been researching and developing its models for ten years, and in addition to that, it
has been preparing facilities, staff, and technology transfer. 2018 saw the signing of a new
strategic partnership agreement between VinFast and General Motors (GM) US for the
Vietnamese market. As a consequence, VinFast purchased GM's manufacturing and commercial
operations in Vietnam. Additionally, VinFast accepts the present dealer network that has been
authorized by Chevrolet and takes on the responsibilities of being the only distributor of goods
and services under the Chevrolet brand in the Vietnamese market. VinFast made the right
choice by choosing to join the market through its present distribution network. On September
9, 2020, a Sale and Purchase Agreement was signed by Duong Lang Test Center and VinFast
Business, Trading and Services Co., Ltd. (Victoria, Australia). This phase is the next step in
VinFast's strategy to become a global auto brand. One of the oldest and most advanced
automobile testing facilities in the world is located in GM Holden's residence in Lang Lang. One
of the symbols of the Australian car industry is Lang Lang. This has served as the testing location
for all Holden automobiles since 1958. In 2018, Lang Lang was fully refurbished and
acknowledged as one of the top automobile testing facilities in the world. This selection reflects
VinFast's advertising goals. Another PR tactic is to carefully position the brand to affect how
consumers perceive it. Additionally, VinGroup, a business with a significant client base across a
variety of industries as well as a reputable and respectable financial potential, is used by this
Vietnamese automaker. Selling grocery stores, residences, apartments, vacation packages, and
now it's time to sell automobiles. Vinfast is very knowledgeable about Vietnamese consumers'
purchasing patterns and effective communication strategies for addressing their psychological
demands (phaply, 2020).
+ Pay attention to product quality and give each brand's merchandise a distinct "personality":
Vinfast promotes their brand as the "first automaker in Vietnam." Vinfast has collaborated with
other businesses and enlisted the help of ItalDesign and Pininfarina, two renowned Italian
designers. A division of the Ferrari and Lamborghini brands is ItalDesign. Internationally
renowned firms involved in the development and production of automobiles include Bosch,
AVL, ZF, GROB, Thyssenkrupp, Magna Steyr, and AVL. Collaboration with these well-known
businesses not only enables Vinfast to build vehicles of the same standard as other automakers
globally but also increases Vietnamese consumers' understanding of luxury automobiles.
VinFast has established a reputation as a reliable automaker from the introduction of the first
model. A business at the time was in charge of developing the brand identity. Some brands are
maintaining their prices, while others have robust portfolios of consumer technologies. VinFast
is unquestionably making a significant advancement. All VinFast products adhere to global
safety requirements prior to shipping. The significant ASEAN NCAP award serves as proof that
VinFast has made some inroads into the Southeast Asian car industry.
+ Vinfast "customer-centered":
Vinfast's "customer-centric" philosophy is demonstrated by the company's decision to engage
two well-known Italian designers in addition to prioritizing product safety. ItalDesign and
Pininfarina were first involved, but Vinfast later enabled Vietnamese citizens to vote on ideas.
Vinfast has found success with this tactic, and people will undoubtedly be flexible in their
design preferences.
+ Smart and effective communication techniques:
Vinfast makes advantage of all available communication avenues, but particularly word-of-
mouth and social media. Up to 80% of those surveyed claimed to be aware of this product and
excited for it to hit the home market. Vinfast places a strong emphasis on national pride in all of
their marketing efforts. When the first Vietnamese-branded vehicle was unveiled at a major
international auto show like the Paris Motor Show, it sparked excitement among Vietnamese
people "unlike anything else, something other, emotions, and "national pride." Using a
"genuine" brand ambassador is one of the best things you can do." One of the most well-known
people in the world and a past brand ambassador for Adidas, Rolex, and other Vinfast firms,
David Beckham, asked a different well-known corporation to take part in Vinfast's inaugural
event at the Paris Motor Show. Without a doubt, David Beckham's performance alongside Miss
Tieu Vy, Tran Quang Dai, and other well-known dance troupes was the highlight of the opening
ceremony. VinFast, a different Vietnamese celebrity, began monitoring the outcomes both
domestically and internationally. The fact that the word truly stood out demonstrates the size
of the appeal of this style of influencer marketing and improves the standing of the Vinfast
brand not only in Vietnam but also globally (phaply, 2020).
+ A competitive and cheap pricing strategy:
Vinfast charges fair and aggressive rates. Vinfast has created a pricing strategy that is more
costly than European and Korean-Japanese automakers like Mercedes or BMW, but less
expensive. The automobile costs between 414 and 490 million VND, which is a little bit more
than other manufacturers' competitively produced vehicles such the Toyota Yaris, Hyundai I10,
Kia Morning, and Fadil. LuxSA2.0 automobiles compete with brands from the same market
segment. Honda CR-V, Toyota Fortuner, Hyundai Santafe, and Kia Sorento are examples of
vehicles with pricing between VND 1.5 billion and VND 1.8 billion. Vinfast provides a variety of
incentive packages to help people purchase vehicles. Following that, all Vinhomes clients will
receive a certificate proving they purchased high-quality VinFast vehicles worth up to VND 200
million using the Scheme's collected Vinfast "Elite Class" voucher program Project Vinhomes.
Price policy number 3 states: "Register for 0 VND" as an incentive if the government has not
approved the policy; no release date; Save 10% on full payment; Installment customers are
exempt from interest for two years; 5 year payment plan; Free support 24/24 during the
warranty period. Visitors can park for free every six hours at the parking spot in Vinhomes
urban communities and Vincom commercial areas across the nation. Vinfast has a wide
distribution network that enables it to promote its brand and sell its goods all throughout the
nation. The Vietnamese carmaker now has more than 80 showrooms, a licensed vehicle dealer,
and over 200 electric motorbike sales outlets spread out from North to South. For a product
that has only been available for a year on the market, these are noteworthy figures. Recently,
over 100 electric motorcycle stores in 30 provinces and cities were opened by VinFast and
Vin3S Experience Center. In order to develop the market and boost sales and income, brands in
Vietnam must enter overseas markets and win over local consumers (phaply, 2020).
c. Vinamilk’s operational change strategy:
A company that wants to survive in the market and develop further always needs the right and
successful business strategies. In the context of an increasingly competitive market, Vinamilk
has affirmed its position and brand with a slow but steady business strategy.
+ Product development: The investment in technology and product development is the
cornerstone of Vinamilk's business plan. Tho Nhat, Long Life, and Dielac were the three facilities
that made milk exclusively when the business first began. Vinamilk has prioritized building and
improving a product distribution infrastructure from its inception. The organization places a
high value on product diversity. Many products have been produced and explored by Vinamilk.
Customers are more likely to be pleased with the new product range. financial assistance.
Additionally, this lowers the company's risk. Vinamilk now offers more than 200 dairy products,
including: milk in powder Children's powdered milk vs. adults' nutritional milk powder clean
milk Greek yogurt nut milk Juice with cheese - Soft drinks with flavor Vinamilk has built dairy
stores in Hanoi, Can Tho, Binh Dinh, Saigon, and Nghe An to process and create its goods after
being properly and practically developed. Additionally, the business collaborated with the
National Institute of Nutrition to assist consumers trust the firm's products more. The company
also used a sensible pricing plan to help the products become more competitive. Vinamilk's milk
and dairy products are consumed all across the country, in both urban and rural regions, thanks
to a thorough and serious business approach. Put your efforts into producing high-quality items
that can persuade potential buyers through scientific reviews (Khang, 2020).

+ Focusing on communication:
Vinamilk places a high priority on communication, marketing, and brand positioning in addition
to creating and sustaining product quality. In the present competitive market, a well-liked
brand must provide consumers other values in addition to safe, hygienic, and delicious
products, such as: convenience, sustainability, etc. Vinamilk must also pay attention and invest
a lot of effort in studying, enhancing, and creating innovative package designs. Additionally, the
company's social media accounts and communication channels are utilized to advance the
company's reputation and brand. Vinamilk also uses retail outlets, agencies, and supermarkets
as full-fledged distribution channels. Attempts to increase the potential market (Khang, 2020).

+ Expanding domestic market share:


The business collects data on the consumption patterns, age, gender, and tastes of its
customers in an effort to gain a thorough understanding of their characteristics. This aids in
expanding the retail network for each individual item and in spreading awareness in other
towns and cities. The business also keeps funding the hiring of new workers. Additionally,
Vinamilk invests in enhancing the abilities of each department in addition to caring about the
lives of its personnel. In order to most effectively promote each individual employee's and team
member's capacity to work, the firm upgrades the standard of the working environment in the
factory and at the office.
4. How Vinfast's leadership, individuals, and teams have been affected by the
transition:
Vinfast admitted that challenges remained, but asserted that it was prepared to outperform
other technological behemoths in the same price range as well-known Vietnamese brands like
Toyota, Mazda, and Ford. According to the current rankings, Mercedes-Benz and BMW are the
top two brands. The organic fuel industry, which includes this electric vehicle, as well as the
smart car category are both impacted simultaneously. However, effective stakeholder
participation is necessary for effective change management. Due to brand obstacles and
customer concerns that Vinfast's goods are significantly different from those of well-known
companies with a lengthy history, Vinfast has competed in the manufacturing sector but has
not had a significant influence. Vinfast admitted that challenges remained, but asserted that it
was prepared to outperform other technological behemoths in the same price range as well-
known Vietnamese brands like Toyota, Mazda, and Ford. According to the current rankings,
Mercedes-Benz and BMW are the top two brands. The organic fuel industry, which includes this
electric vehicle, as well as the smart car category are both impacted simultaneously. However,
effective stakeholder participation is necessary for effective change management. Due to brand
obstacles and consumer concern that Vinfast's goods are significantly different from well-
known brands with a lengthy history, Vinfast has competed in the manufacturing sector but has
not made a significant influence.
Management must put a staged capacity development strategy into place and include all
relevant parties in the organization's stakeholders in the restructuring and change of the
business. Organize the project in accordance with Prosci's change management framework. In
general, major issues have emerged for growing organizations that are not changing, including
ignoring customer expectations, failing to pay attention to market trends, shifting markets,
management issues, internal management issues, and difficulty in losing market share, among
many other internal factors (prosci).

If the PROSCI framework technique had been used, the organizational transformation would
have been of a different nature. By preparing the company for the shift, the first phase of the
PROSCI technique's three-phased strategy emphasizes change management.
Vinfast's plan enabled the successful implementation of the first phase of change management.
The formation of sponsorship, which the corporations have failed to generate, is essential in the
initial phase of change. Numerous factors, including a lack of accountability and other internal
issues, may be to blame for this. In the case of Vinfast, the next stages of the PROSCI Model of
change management were mostly ineffective. The implementation team may have anticipated
the present level of obstacles if the change management team had used such an effective
strategy and had a comprehensive project charter and implementation plans.
In light of Vinfast's current circumstances, it is clear that the organization's change
management environment has given thought to the action of reinforcing the change, which
frequently produces measurable results for companies (prosci).
5. How Vinfast reduced the impact of change:
Since Vinfast made a debut at the Paris car show, it has been evident that company employs a
focused approach. Vinfast is always concentrating on factors like production volume and
cutting-edge technical procedures to modify aspects of the product or market. A Vietnamese
automobile that could drive like a German car was the goal. They did this by investing in the
most sophisticated and effective machinery, tools, and technology that were best suited to the
product line the business wished to develop. Thus, the target market for Vinfast is quite
constrained. The majority of Vinfast's clients are those who are prepared to shell out around
$50,000 for a vehicle. Despite the fact that there aren't many of these clients in Vietnam,
Vinfast's primary rivals are well-known companies in their respective industries, such Audi,
Mercedes, Volkswagen, Peugeot, and Toyota. In Southeast Asia, Vietnam's middle class is
expanding at the quickest rate because to the nation's recent strong economic expansion.
According to figures from Vietnamese customs, Vietnam imported more than 109,000
automobiles in 2019 for a total value of $2.4 billion. Between 2018 and 2019, imports of autos
climbed in quantity and price by 267% and 257%, respectively. It is astonishing that vehicles
with fewer than 9 seats account for the majority of imports, accounting for almost 75,848
vehicles and costing 1.459 billion USD. This demonstrates how customer demand is evolving
and how their spending power is rising. Therefore, Vinfast still has opportunity to develop.
Vinfast also benefits significantly from strong government support in the form of a zero percent
import tax rate. Mercedes-Benz and other brands are unable to accomplish this. The last thing
Vinfast can say with confidence about its capacity to succeed is that it is following in the
footsteps of successful global corporations like Toyota and Hyundai.
Conclusion
The aforementioned study makes it clearly clear that the objective of this exercise is to produce
a comparative analysis of the different business change mechanisms and their drivers, as well
as to determine how these mechanisms influence organizational behavior. Additionally,
Vinamilk and Vinfast serve as illustrations of how a company's management and leadership
acknowledge and support change in an organization.

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