Session 3 by Vanice


Develop and aciculate ideas for describing leading change in an organization of your choice.
My workplace example
Company library
HR department is responsible for organizing all the staff trainings. However, the company management decided to establish a new training branch to held operation, technical and safety training to staffs where HR department will only help to arrange management, IT skills and language training to staffs as they find that HR department is lack of training experts with in depth knowledge in technical related training. A company library is also transferred from the HR department to the new training branch and the new branch decided to improve the operation of library.

Why need to change?
One of the main changes is using formal library classification scheme to classify the library materials. The library is handled by staffs with any library field experience before and thus they decide to use a record management system which easy for them to classify the library items with less considering of the users. They only give the library materials with a call number representing the department which request to buy the materials and order of acquisition. Thus, unrelated items are grouped together. The old classification scheme is not user friendly.
How to change
After serveral internal discussion, the new branch decided to use new classification scheme to classify all the new library materials. DDC will be used to classify English items while new Classification Scheme for Chinese Libraries will be used to classify all the Chinese items. And those items with old call number will be re-classified according the new library classification scheme.
Effort to sustain the change
Training is the key factor to sustain this change. Only one staff in the new branch knows how to use the formal library classification scheme to classify the library materials. Thus, there is a need for those who also responsible to maintain the library operation to understand the new library classification scheme. The experience staff should provide training to those with less experience.
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Other example
HSBC
One of the leading changes of HSBC is the restructure of its bank branch network.
In 2004, HSBC decided to restructure its bank-branch network as the branch banking service would more focus on insurance and investment services.

Why need to change?
This decision was driven by several reasons. Besides branch banking, the bank offers their services through various channels which include ATM, internet and phone banking. Branch banking was no longer the single way to access bank service. And people are more familiar with using computer and their acceptances to e banking are increase. According to HSBC, 75% of transaction was completed through ATM and e banking and the branch banking transaction continuously decrease in the first half years of 2005. The restructure of bank branch network was also due to cost consideration. The rent and salary in Hong Kong is high, close up some unprofitable bank branch can reduce operation cost.

How to change
The bank gradually closes up unprofitable branches. For example, the numbers of branches decrease from 125 to 84 from 2006 to 2007. On the other hands, relevant trainings such as selling skills etc were provided to staffs as the branch banking will more focus on insurance and investment service.

Effort to sustain the change
New ATM machines were introduced
To cater for elderly customers, new ATM machines with large words function were introduced.

Chan, Siu Yin Vanice

References:
News about the introduction of new ATM machines for elderly customers
Legco documents about the impact of branch bank closure

2 comments:

  1. Hi Vanice,
    Thank you for sharing the the ideas for describing leading change in an organization of your choice. I think you have talked about the reasons, ways and result of the change of your organization. So does the change have solved the problems you mentioned before? And who decided to get this change? ( You don't have to answer my question if you feel it has nothing to do with the topic and feel free to give me suggestion. Thank you!!!)

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    Replies
    1. Hi Makino,

      Thanks for your comment. On the point of view of management, I think HSBC did do the right thing to close up some of the branch as bank service can provide through various way now, we do not reply on banch servcie. And they must have reduce much of the cost.

      However, this decision would be unconvenience to eldlerly as they may not able to use ebanking or ATM especially for those old people without relatives to help.

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