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MINISTRY OF EDUCATION AND TRAINING
UNIVERSITY OF ECONOMICS HO CHI MINH CITY
DOAN QUYNH HOA
MAINTAIN CHANGE IN HUMAN RESOURCES
MANAGEMENT OF TETRA PAK COMPANY
MAJOR: BUSINESS ADMINISTRATION
EXECUTIVE MASTER OF BUSINESS ADMINISTRATION
CODE: 8340101
Tham Khảo Thêm Tài Liệu Tại Luanvanpanda
Dịch Vụ Hỗ Trợ Viết Thuê Tiểu Luận, Báo Cáo, Khoá Luận, Luận Văn
Zalo/Telegram Hỗ Trợ : 0932.091.562
DISSERTATION OF MASTER OF BUSINESS ADMINISTRATION
Moderator: Prof., Dr. Nguyen Dong Phong
Ho Chi Minh City, 2022
DECLARATION
It is to declare that this is my own original work and has not been presented for a
degree in any other universities.
Signature …………………. Date …………………………..
ACKNOWLEDGEMENTS
First of all, I would like to express my big thanks to my beloved co-workers at Tetra
Pak for spending your valued time in participating in my survey and interviews and
for giving me your feedbacks and ideas of my study. My sincere thanks also go to
management team of Tetra Pak, who does their best to grant a professional and world
class working environment, especially their granting progressive learning
opportunities to their co-workers.
Above all, my big thanks to Prof Dr. Nguyen Dong Phuong and Dr. Tu Van Binh,
who supported me with guidance and sharing their expertised inputs to make this
study successfully.
Last but not least, I want to send my heartfelt thanks to classmates of EMBA4 and my
loved ones in family, who stand by me during whole course and support me during
busy time of preparing dissertation.
Once again, my big thanks to all of you!
TABLE OF CONTENT
Sub-cover
Declaration
Acknowledgement
Table of content
Abbreviation
List of tables
List of figures
Abstract
Forewords
Chapter I Introduction ..............................................................................................1
1.1 Chapter introduction…............................................................................... 1
1.2 Background of the study..............................................................................1
1.3 Methodology................................................................................................6
1.4 Research questions ......................................................................................6
1.5 General objective….................................................................................... 7
1.6 Tetra Pak…..................................................................................................8
1.7 Problem statement .....................................................................................10
Chapter II Literature review…....................................................................................16
2.1 Chapter introduction…............................................................................. 16
2.2 Theoretical framework ..............................................................................16
2.2.1 Change…................................................................................................... 16
2.2.2 Change management… .............................................................................17
2.2.3 Transformational leadership….................................................................. 19
2.2.4 John Kotter change model…..................................................................... 21
2.2.5 ADKAR model…...................................................................................... 24
2.2.6 Transition of Human Resource Management........................................... 25
2.2.7 How to make change repeatedly and reliably in people management…..27
Chapter III Research methodology ............................................................................29
3.1 Chapter introduction….............................................................................. 29
3.2 Research design…..................................................................................... 29
3.3 Population................................................................................................. 29
3.4 Data collection…....................................................................................... 29
3.5 Data analysis…............................................................................................30
Chapter IV Result and finding........................................................................................32
4.1 Chapter introduction….............................................................................. 32
4.2 Respond rate… ..........................................................................................32
4.3 Demographic characteristics… .................................................................32
4.4 Employees’ perceptions on change in human resource management…..36
4.5 Part A: Change understanding….............................................................. 38
4.6 Part B: Expectations… ..............................................................................57
4.7 Part C: Leading change..............................................................................60
4.8 Part D: Transition period…....................................................................... 62
4.9 Solutions and recommendations for maintain change in HRM.................68
Chapter V Research summary discussion and conclusion............................................71
5.1 Chapter introduction…............................................................................... 71
5.2 Research objective achieved…....................................................................71
5.2.1 HRM change…............................................................................................71
5.2.2 Reasons for change..................................................................................... 71
5.2.3 Success factors for change…......................................................................72
5.2.4 Expectations of staff and managers…........................................................ 73
5.2.5 Leadership during change in people management… .................................74
5.2.6 Challenges during transition…................................................................... 75
5.2.7 Effectiveness of change in people management…......................................76
Chapter VI Recommendation....................................................................................... 77
6.1 Chapter introduction…............................................................................... 77
6.2 Leadership ...................................................................................................77
6.3 Employee engagement and communication............................................... 82
6.4 Project management ....................................................................................83
6.5 Make change repeated and reliable, a fundament of sustainability………83
Reference………………………………………………………………….
Annex……………………………………………………………………..
1 Questionnaire……………………………………………………………..
2 Letter to respondent……………………………………………………...
ABBREVIATION
HRM - Human resources management
HRMS – Human resources management system
HRBP – Human resources business partner
WCM – World class manufacturing
CM – Change management
ESS – Employee self-service
MNC – Multinational companies
GM – General Manager
LM – Line manager
BOM – Board of management
HRCS – Human resources core services
Definitions
- WCM: In https://www.managementstudyguide.com stated: World class
manufacturing is a collection of concepts, which set standard for production and
manufacturing for another organization to follow. Japanese manufacturing is
credited with pioneer in concept of world-class manufacturing. World class
manufacturing was introduced in the automobile, electronic and steel industry.
For further information, please find in below link:
World Class Manufacturing - Meaning and its Principles
- Buddy: In Tetra Pak a buddy has a key role in on boarding the new employee. They
make the new hire feel welcome, they connect them with new colleagues and they are
mainly the one point of contact to understand how things are done here.
It is someone based in the same location as the new hire and can introduce them to the
site and facilities. Most importantly, it is someone who lives the Tetra Pak values and
culture.
LIST OF TABLE
No. Name of table Page
1 Table A: Summary of SWOT analysis pertaining HRSC in Tetra Pak .....................12
2 Table 3.0: Sample size ...............................................................................................29
3 Table 3.1: The summary of data collection and analysis ..........................................31
4 Table 4.0: Respond rate…..........................................................................................32
5 Table 4.1: Breakdown of awareness of employees about functions and
responsibilities of HR Department............................................................................. 38
6 Table 4.2: Breakdown satisfaction of employees about recent change in HRM
systems in company ...................................................................................................40
7 Table 4.3: Success evaluation of HRM strategy execution at department level…….41
8 Table 4.4: Understanding reasons for HRM change….............................................. 43
9 Table 4.5: Clear reasons communication................................................................... 45
10 Table 4.6: Success factors for change….................................................................... 46
11 Table 4.7: Change success factors done in company................................................. 49
12 Table 4.8: Satisfaction rate about change management skills of superior .................51
13 Table 4.9: Critical HR functions for organizational change ......................................53
14 Table 4.10: People management skills of superior… ...............................................55
15 Table 4.11: Expectations to change management in people management…............. 57
16 Table 4.12: Employee’s satisfaction during change… ...............................................59
17 Table 4.13: Critical activities from top management required during leading
change…......................................................................................................................60
18 Table 4.14: Awareness and knowledge about change execution……………. …..62
19 Table 4.15: Feeling of employees during transition period…………………. ….63
20 Table 4.16: Success factors for transition period……………………………. ….65
21 Table 4.17: Effectiveness of change in HRM……………………………… …..67
LIST OF FIGURE
No. Name of figure Page
1 Figure 1.1: HR Model version 2.0 applicable in Tetra Pak .......................................10
2 Figure 1.2: Global workforce study 2016 – Willis Tower Watson........................... 14
3 Figure 1.3: Strategy till 2020 in Tetra Pak................................................................. 14
4 Figure 2.1: 8 steps of leading change….................................................................... 21
5 Figure 2.2: Administrative HR vs strategic HR........................................................ 26
6 Figure 2.3: Time spending for administrative tasks and strategic tasks of a HR
leader… ...................................................................................................................... 27
7 Figure 4.1: Gender of respondents............................................................................. 33
8 Figure 4.2: Age of respondents… ..............................................................................33
9 Figure 4.3: Education background of respondents….................................................34
10 Figure 4.4: Positions of respondents… ......................................................................34
11 Figure 4.5: Service years in the current positions of respondents..............................35
12 Figure 4.6: Service time in Tetra Pak….....................................................................35
13 Figure 4.7: Awareness of employees about HR department functions..................... 39
14 Figure 4.8: Satisfaction about change in HRM system in Tetra Pak… .....................40
15 Figure 4.9: Success evaluation of HRM Strategy execution at department level…..42
16 Figure 4.10: Understanding for HRM change............................................................44
17 Figure 4.11: Clear Vision communication................................................................. 45
18 Figure 4.12: Success factors for change…..................................................................47
19 Figure 4.13: Change success factor done in company ...............................................50
20 Figure 4.14: Satisfaction rate about change management skill of superior… ...........52
21 Figure 4.15: Critical HR functions for organizational change….............................. 54
22 Figure 4.16: People management skills of superior…............................................... 56
23 Figure 4.17: Expectations to change management in people management ...............58
24 Figure 4.18: Employee’s satisfaction during change…............................................. 59
25 Figure 4.19: Critical activities from top management required during leading
change…......................................................................................................................61
26 Figure 4.20: Awareness and knowledge about change execution…...........................62
27 Figure 4.21: Feeling of employees during transition period….................................. 64
28 Figure 4.22: Success factors for transition period…...................................................66
29 Figure 4.23: Effectiveness of change in HRM........................................................... 67
30 Figure 6.1: 6 leadership Elements with Supporting Behaviours............................. 79
ABSTRACT
Purpose: This study aims at investigation the understanding from middle level
management team of Tetra Pak about change and change management in people
management function. Besides, it also seeks for the managerial implications for BOM.
Theories: Transition of HRM, Change management, John Kotter Model, ADKAR
model, how to make change stick
Design: The author uses the survey method by questionnaires collecting via email or
directly, individual interview and group interview to 25 employees at middle
management level of Tetra Pak JSC. To get primary data to investigate the
understanding about change and change management in recent change in people
management at company and from that will determine the solutions to have a repeated
and reliable organisational change.
The data will be allocated into the different category respondents:
1. Gender of respondent
2. Age of respondent
3. Education background of respondent
4. Position level of respondent
5. Service year in company of respondent
6. Service year in current position of respondent
and analysis will be performed based on the qualitative technique.
Via questions and answers, the author seeks for understanding in depth of context of
change and change management from points of view of employees. The questions are
drafted as below:
1. What did employees understand about change and change management in their
departments and within organisation?
2. What and how were employees experiences with change and change
management in their departments and within organisation?
3. What and how did employees understand about change and change
management in people management?
4. What did employees understand about their roles in change and change
management in general and in human resource management particularly?
5. What did employees understand about roles of managers, management board in
change and change management, both in general aspect and in human resource
management?
6. What and how did employees do to contribute to change and change
management?
7. What are the most success factors for an organisation initiative change and
manage change successfully, especially in people management?
Findings: Based on the findings the author will define:
1. How employees perceive change and conduct changes in daily human resource
management. The searching for perceptions of employees about change and
change management will mainly focus on:
- Change in HRM
- Reasons for change
- Success factors for change
- Expectations of staff and managers during change and change management
- Leadership during change and change management
- Challenges during change
2. From the point of views of employees about change and change management
the author define the insights about employees’ believes about change that
echoes inside the organisation and consider those echoes as initiatives for a
successful, repeated and reliable change in human resource management,
which certainly consist of the followings:
- Leadership
- Employee engagement and communication
- Project management
- How to make change repeated and reliable – A fundament for sustainability
And the results of research will be proposals for key management indicators, key
performance indicators and key activities indicators, on the other words, managerial
implications.
FOREWORDS
Working for nearly 20 years in human resources management help the author to gain a
variety of experience in working with people. And fortunately, the author has chance
to work with different types of enterprises from state-owned company to local private
limited liability, from non-governmental organisation to international global business
players. This means, an opportunity for the author to approach with many types of
human resource management system with various HR strategies such as ethnocentric,
polycentric and geocentric strategy. In the last 20 years, the employment relationship
has tendency transforming from employer has to ensure a lifetime - job for employee
into competent based employee, means employee has to self-ensure his own
competence to ensure his career path.
In the era of globalization, business organisations do not confine themselves in on area
or in one country, they always want to expand their business to far regions. This is
synonymous with challenging they are facing, the increment in change, both in
technology and also business environment. Doing foresee such challenge, almost
international companies prepare themselves ready to those changes. Change in
technology causes change in the way we communication as well as the way of
business administration. And of course, changes should start from people, the “core of
this wave”. And the question is how to manage a Human Resources Management
System in a sustainable way and ready for any changes of digital era?
The above-mentioned questions are the initiative for this dissertation and to see how
people in Tetra Pak understand about change and change management recently in their
departments and the function of people management throughout the organisation.
With the count on the fundamental research and also research results the author can
propose a practical managerial implication to improve partially the services quality of
human resource management in the organisation.
Ho Chi Minh city, 15th
November 2018
Doan Quynh Hoa
1
CHAPTER I: INTRODUCTION
1.1 Chapter introduction
This study helps researcher understand how employees perceive change and conduct
changes in daily human resource management. From the point of views of employees
about change and change management the author might define the insights about
employee’s believes about change that echoes inside the organisation and might
consider those echoes as initiatives for a successful and repeated change in human
resource management.
In this context, reference was made to employees within the Tetra Pak. Employees
were invited to express their viewpoints of change and change management and how
these had impacted upon their work environment and their lives within the Tetra Pak.
The study uses qualitative methodology, also seek for the collective voices of
employees into the central discussion of change and change management. The data
collection process was done via informal and formal interview primarily knew
employees’ viewpoints and understanding of change and change management
processes and practices within company.
The informal and formal interviews irradiated employees’ opinions, issues related to
the work environment and people management of Tetra Pak.
During the survey, the following themes emerged from the data: an understanding of
change and change management; expectations of employee about change and change
management; leading change; transition period.
The correspondence of participants will help the researcher have insights to define
experience of employee about change, their understanding about change and
leadership during change, their expectation during change, their feeling and
expectation during transition period, their expectations in term of change and change
in people management in company…
1.2 Background of the study
Change management and leading change nowadays seems to be the crucial required
skills for leaders and middle level managers. But unfortunately, many companies
2
failed with changes such as failures in changes of digital transition, business
processes, customer relation management, restructuring, reengineering etc… Many
researchers have investigated the reasons why changes dead. And the most probably
reasons are:
- At the first stage, the change might be designed not fit with the company’s
strategy, business complexity and business pressure.
- Change message is not conveyed in a transparent and effective way and that
causes shortage of in depth understanding from the employee side. This
makes employees feel angry, worry or even very bad.
- The change implementation is spontaneous without proper tools and
operating models.
- The key players of change fail to manage the resistors and impact of change
on those peoples who are most affected by change.
- Too much focus on long term wins but forget to acknowledge small and
rapid wins
And according to Dr. Linda Ackerman Anderson there are 5 common reasons cause
failure of organisational change:
- Poor planning sets up organisational change for failure
- Inadequate support from leadership
- Lack of resource
- Priority focus on systems vs people
- Inadequate change leadership skills
The booming economies have created business opportunities but also facing
challenge for organizations “change or die”. This change phenomenon urges
companies and organizations change. The above-mentioned failure reasons have
clearly proved that said easier than done. We can see one common reason of change
failure is losing focus of the leaders, they focus too much on the theories or systems
and processes but did not convey a messages of change/change initiatives to their
teams why organizations should change, what they should attempt to achieve and how
3
they should execute change. This is really not an easy task to do.
In nowadays unstable business environment, the need for change and implementing
change successfully turns into a competitive advantage. The development and change
in technology in last two decades are proven track record for this philosophy. Because
change is the perfection of existing product, of quality, of service, of process, of
systems. Other than technology, working environment is also defined by other factors
that closely impact and influence companies such as economics, politics, sociology.
Such factors show a significant role in change management, as they will define why
to change, what to change and how to change.
Throughout her career path of nearly 20 years in human resource management, the
researcher has had chance to participate in many changes from large scale change to
small scale change such as organizational wide change (restructuring, leadership
change, adding on new policies, introducing new technology), transformational
change (organizational strategy), personal change (inter-department change, hiring,
lay off or dismissal), unplanned change (change that cannot be predicted like flood,
strike or uprising) or even remedial change to correct poor performance of an
employee, department or even of business. Different types of change need different
action plan, preparation. And most of all, preparation is the key of successful
achievements in change.
The reality in work life of researcher showed that change never eases and change
implementation is hard to get right. Because change automatically impacted people,
so it is very important to get people involved in whole change process. Hence a
transparent communication, commitment and ownership of leadership are the most
important factors to get the beginning aspiration of people. Once organizations get the
aspiration from their people then the change flow will be done step by step in
different change models. Some companies can choose ADKAR model (Awareness,
Desire, Knowledge, Ability, Reinforcement), some may choose Johns Kotter model,
which includes 8 steps:
1. Create sense of urgency
2. Building a guiding team
3. Form strategic and vision initiatives
4
4. Enlist volunteer
5. Empower action by remove barriers
6. Generate short term win
7. Sustain acceleration
8. Make change stick
Every change, from wide change to small change will hit its own change curve (which
will be mentioned more detailed in next session) but somehow, the success factors
will be definitely the ownership, commitment, priority of initiative, capability and
resources.
By undertaking MBA course is a tough decision of research while she is gone to her
daily fast pace in FMCG industry and hard to find time for have work-life balance.
The researcher understood that undertaking this course is a change in her life and she
was aware of the time consumption and her life tempo in about 1.5 year. Thanks to
that awareness, she has well prepared for this change with a concrete plan to make
this change happens. Thanks to this course the researcher had chance to systemize her
knowledge in change and change management and read many literatures by many
writers about those topics. Many respected scholars propose a wide range of their
experience, researches and perspective on change in many different ways, in which
change is classified. Some change models focus on the people element of change like
ADKAR model, some theories are developed and offered valuable tools to project
management professionals as a process-driven model.
Though in modern world economic history there are many stories and
recognitions of successful change of global players such as Microsoft Research
Group merge in 2016
In September 2016, Nadella shook things up again with the merging of the
Microsoft Research Group with the Bing, Cortana, and Information Platform
Group teams to create a new AI and Research Group. With about 5,000
engineers and computer scientists, its goal is to innovate in artificial
intelligence across the Microsoft product line. Tinypulse.com
Or the story of Google split up under the Alphabet umbrella in 2000s:
5
Lary Page broke up Google into its constituent parts, making each one its own
company, with all of them owned by a new umbrella corporation called
Alphabet. Page sits atop the structure as CEO of Alphabet, with Google
cofounder Sergei Brin as president and long-time Google exec Eric Schmidt as
chairman. Each of Alphabet’s companies has its own goals and a CEO focused
solely on those goals. Tinypulse.com
Or the entire organisation restricting of British Airways in 1981
To increase profits, Lord King, new chairman decided to restructure the entire
organization by reducing its workforce from 59,000 to 39,000, eliminating
unprofitable routes, and modernizing the fleet. He repaired the airline’s image
by bringing in a new marketing expert. Within 10 years, the airline reported
the highest profits in its industry: $284 million. Tinypulse.com
Despite of those success stories, surely questions pertaining change elements and
how is change managed and executed successfully and sustainably are
challenging to administrators.
Based upon their organizations’ situation, the administration will define the change
strategies and methodologies to ensure change implemented successfully with less
impact on their employees. Because from an employee’s side, any type of change will
be able to impact directly or indirectly on their private lives and/or the nature of their
work lives. The effect can be either change in working condition, their compensation
package, engagement or future motivation. Because of this reason, it is crucial that co-
workers are empowered, involve in change and on the top, understand the whole
change process in order to be able to analyze the effectiveness of change. But in fact
of researcher’s survey in Tetra Pak indicated that some employees reacted not pro-
acted before change. This might come from communication and employees are not
aware of their roles in change at organization in generally or in their department in
particularly, even company did not limit them from involving in change and raise
their voices and views pertaining change and change management. On a later stage in
chapter 4 the author will have a specific analysis to help the readers understand in
6
depth about the perceptions of employee about change in organization and also
change in human resources management. On this basis, the insights of employees of
Tetra Pak contributed to this study and help to evaluate the effectiveness in recent
changes in Tetra Pak.
Rising from those arguments stated above, the researcher of this study tried to acquire
a comprehensive study to understand employee’s insights of change and change
management in Tetra Pak.
1.3 Methodology
The literature study for this dissertation started in November 2018 and close by March
2019. The researcher approached such theories of transition of HRM, change
management, leading change, how to make change stick, employee motivation, digital
transition, social responsibility.
The process for data gathering is conducted by interviewing and surveys sent to 25
employees of middle management level of Tetra Pak within above mentioned
timeframe by two steps: 1st
one is survey and the 2nd
one is group/individual
interviews in an formal interview and informal ways (conversations) to perceive their
insights about current changes in organization. This informal interviewing method
helps the researchers to obtain more open opinions of employees on change and in
some case the conversations came into a meaningful discussion between interviewer
and interviewees. Responding from employees are noted to enrich know-how of
researchers about understanding change and change management of participants.
As above mentioned, survey is also sent to participants with questions presented. The
participants will answer the questions based on their experience and understanding.
1.4 Research questions
Via primary questions the author seeks for understanding in depth of context of
change and change management from points of view of employees. The questions are
drafted as below:
7
1.4.1 What did employees understand about change and change management in
their departments and within organisation?
1.4.2 What and how were employee experiences with change and change
management in their departments and within organisation?
1.4.3 What and how did employees understand about change and change
management in people management?
1.4.4 What did employees understand about their roles in change and change
management in general and in human resource management particularly?
1.4.5 What did employees understand about roles of managers, management
board in change and change management, both in general aspect and in
human resource management?
1.4.6 What and how did employees do to contribute to change and change
management?
1.4.7 What are the most success factors for an organisation initiative change and
manage change successfully, especially in people management?
The secondary questions were designed to understand further about the expectations
about their roles in change and also their recommendations for a successful change.
1. Did employee want to participate in initial step right after change initiative
communicated?
2. What did employee expect to have successful changes included change
in people management?
3. What were success factors to have successful changes included change
in people management?
1.5 General objective
The answers of primary and secondary questions will help the researcher understand
in depth how employees perceive change and conduct changes in daily people/human
resource management.
From the point of views of employees about change and change management the
author might define the insights about employee’s believes about change that echoes
inside the organisation and might consider those echoes as initiatives for a successful
8
change in human resource management. From that points solutions for maintain
change and change management repeatedly and reliably in HRM will be proposed.
With regard from the findings, the study reveals the needful factors for maintain
change frequently and reliably.
1.6 Tetra Pak
Tetra Pak was founded by Ruben Rausing and built on Erik Wallenberg's innovation,
a tetrahedron-shaped plastic-coated paper carton, from which the company name was
derived. In the 1960s and 1970s the development of the Tetra Brik package and the
aseptic packaging technology made possible a cold chain supply, substantially
facilitating distribution and storage. From the beginning of the 1950s to the mid-
1990s the company was headed by the two sons of Ruben Rausing, Hans and Gad,
who took the company from a family business of six employees, in 1954, to a
multinational corporation.
Tetra Pak is a multinational food packaging and processing company of Swedish
origin with head offices in Lund, Sweden, and Lausanne, Switzerland. The company
offers packaging solutions, filling machines and processing solutions for dairy,
beverages, cheese, ice-cream and prepared food.
In Tetra Pak, the business philosophy reflects by their band promise “PROTECT
WHAT GOOD”. They bring promise to life by committing to protect food, to protect
people and to protect future.
When it comes to food, company working with customers and partners to make food
safe and available everywhere through our innovative and market-leading food
processing, packaging and service solutions.
Not only Tetra Pak’s people but also communities where it operates are also secured
and supported.
Company’s business philosophy is protecting the future of our earth and long-term
success of clients – Source https://tetrapak.com/sustainability.
In Tetra Pak Research and Development is the core competitive advantage of
company. As customers always need faster, better and cheaper development to reduce
9
their operational cost and to increase performance in order to remain competitive.
Company invests in technology and new products in response to customers, consumer
and market dynamics – Source - https://tetrapak.com/about/tetra-pak-in-brief.
In order to remain competitive in the market change and change management are core
competence of company and its people to ensure innovation, development and growth
stably. Human capital in Tetra Pak nowadays is encourage to develop themselves and
develop others to meet higher and higher expectation from customers.
Tetra Pak Binh Duong JSC. founded in 2016, and in October 2017 they organized the
groundbreaking ceremony for liquid foods packaging factory in the Industrial Zone
VSIPIIA, Binh Duong province. This factory is the forth factory of Tetra Pak group in
cluster South Asia – East Asia and Oceania. The factory is a supplementary for
company’s strategy in cluster South Asia – East Asia and Oceania, where the demand
on milk and beverage is getting higher and higher. This factory will help company to
get closer to their customers and shorten their lead time.
Pertaining human management in Tetra Pak, since 2008 company launched new HR
model named HR ONE version 1.0 that switching from administrative human resource
management to strategic human resource management. By 2016, version 2.0 was
deployed, HR work is split into 3 core functions:
- Organizational service
- Country service
- Core service
Below chart explains detailed responsibilities of each core function.
10
Figure 1.1: HR Model Version 2.0 applicable in Tetra Pak
Source: Presentation about People Process Tetra Pak’s Global HR – Internal
Document of Tetra Pak
The figure showed clearly that new HR model split into transformational work and
transactional work. Where organizational services work on transformational function
of HR practice and play differentiated and strategic roles and is centered in embedded
HR and HR centers of expertise. Then country services and core services play as
“one-stop-shop” for employee relations, compensations and benefits, training and
development, or any other HR related requisitions, ensuring prompt and accurate
support for all employment related issues. Thanks to those standardized and
centralized way many administrative tasks are done in a very effective way. Tetra Pak
also deploys a digital platform where employees can find answer for standard, routine
questions. The very technology allows service centers approach employee easier and
on the other hand enables employees’ concerns and needs to be unraveled with fewer
dedicated HR staff. One significant change in this HR model is the roles of line
manager, with facilitation from HRCS experts, they will play the key roles of people
management. Whereas, as before said, HR staff plays as facilitators.
1.7 Problem statement
Business slowed down in 2016 and 2017 was a year in which the pace of GDP growth
quickened in eight of Tetra Pak top ten markets, including Russia and Brazil, where
11
muted recoveries reversed two years of economic downturn. Three of company’s five
geographic clusters reported year-on-year improvements in net sales, with Europe’s 1
per cent growth ending the negative trend of the past four years. By contrast, for the
first time in more than a decade, Greater Middle East & Africa reported a year-on-
year fall in net sales (at comparable exchange rates), as tough market conditions in
Egypt, Pakistan and the Arabia area took a heavy toll on sales of laminated packaging
material. This is because of the packaging business climate remained harsh, with
consumption in core categories continuing to decline and the competitive environment
(especially in packaging material segment) increasingly aggressive. That reflects in
2017 the sales of packaging material dropped down. In part, this was caused by the
continued weakness of core categories, but a shift in product mix, from family packs
to portion packs, also had an impact, as did net pricing reductions in response to
aggressive competition worldwide – Source - http://www.tetralaval.com/about-tetra-
laval/comments-by-tetra-pak-ceo
Even Vietnam belongs to cluster of top ten market, but Tetra Pak Vietnam still faced
with challenging, especially with retaining people as the competitors have risen up
strongly recently. Talented and well-trained employees left Tetra Pak (turnover rate in
2017 higher than 20%, mostly came from technician and engineer level), employee
engagement low, employees’ expectation in term of career advancement opportunities
very high.
Foreseeing such change and challenging through daily operation and employee
relationship, HR team has done SWOT analysis to define “where we are” then have
an appropriate action plan. The analysis showed a very obvious truth and practical
situation:
12
Table A: Summary of SWOT analysis pertaining HRCS in Tetra Pak
Desired State Characteristic Category Current State Rationale
Localization and aligning
with the business and global
guidelines.
Being more knowledgeable
Best practice sharing across
the cluster
Partnership Good Policies and procedures
Account management Partnership
Client expectations that HR knows it
all
To be Pro-active
Delivering
Services
We are reactive
Contextualizing Communication Perceived as lack of human touch
Contextualizing the rationale
and having a pragmatic
approach
Communication Too process driven – time consuming
Drive the correct mindset and
culture that stakeholders will
be more independent
Partnership Are we doing too much of tracking
Improve collaboration within
the HR function
Partnership We are working in silo(s)
Be more involved in strategic
business stakeholder
management
Partnership
Good working relationship with
stakeholders
Timely communication to
HRCS on change
management to support better
employee experience
Communication Change management communication
Learn to blow our own
trumpet
Communication Lack in marketing HRCS
Improve understanding of
business
Partnership Lack of Business knowledge
Having backups who are able
to provide support whilst we
are away
Partnership Cannot take leave with “peace”
Being aware of challenging both from external and internal, the global management
team has defined a clear direction until 2020 to ensure sustainable profitable growth
for whole group.
One of the spotlights is making further progress in the development and deployment
of digitally-enabled products, services and applications that will fuel growth and
13
productivity for company’s customers, as well as for company itself, from codified
packages to predictive maintenance. In Tetra Pak, they have several streams of
activity now under way in this fast-moving and increasingly significant area of their
business. Source - http://www.tetralaval.com/about-tetra-laval/comments-by-tetra-
pak-ceo
Another focus is on employee engagement. The management board is understandable
the value of achieving sustainable engagement is business priority. Though in Tetra
Pak, every 2 years there will be employee engagement survey and show to global
management board and respective clusters or local operations a full picture and
statistics about employee engagement with various benchmarks such as result in the
past, result of Tetra Pak global and Global High Performance norms so that they
prepare action plan to regain engagement. In 2015, the biggest and most critical
difference of cluster South Asia – East Aisa and Oceania with Global High
Performance norm is CHANGE AND COLLABORATION. And Tetra Pak Vietnam
was not an outsider, one of hot potatoes thin Tetra Pak Vietnam needs to take
improving action is CHANGE. Bases on this fact, survey result was communicated to
team, root cause analysis was made, action plan was also made with prioritization and
consolidation with cluster level. But the fact figured out that in fast pace business,
people often decline or resist with change, that leads business outcome at risk.
This figure below is from the 2016 Global Workforce study from Willis Towers
Watson Organisations with LOW = below average traditional engagement 9.9 %
Operating Margin. HIGH = Organisations with above average traditional engagement
14.3 % .
14
Figure 1.2: 2016 global workforce study - Source - Willis Tower Watson
Because of this essence, the strategy till 2020 is made:
Figure 1.3: Strategy till 2020
Source – Internal document of Tetra Pak
15
Despite the outstanding performance and well-known reputation of Tetra Pak, this
study is done based on the need thin Tetra Pak wants their change repeatedly and
sustainably in a given amount of time, financial and human resources. Especially
change and change management in people management.
16
CHAPTER II: LITERATURE REVIEW
2.1 Chapter introduction
In this chapter the researcher provides an overview of the existing relevant literature
that characterizes the research problem and relates to research topic.
Besides, this chapters presents the connection between the theory and the research
questions and objective that stated in Chapter 1.
The chapter also outlines theoretical framework, change and change management
concept, conceptual framework and the empirical review.
2.2 Theoretical framework
This literature review outlines change and change management; discusses some
key reasons for change; sketches forms of change; presents John Kotter and
ADKAR models and approaches to change; focus on 8th
step of John Kotter model
– Make change stick; and focuses on employees as the recipients of change,
especially employee’s perceptions in change in people management and change
management skills of leadership. The issue of communication, resistance and
transitional period on the part of employees is also a particular subject and
brought into discussion, because those factors and change are intertwined.
2.2.1 Change
De Jager (2001, p. 24) stated that: Change is a simple process. At least, it’s simple to
describe. It occurs whenever we replace the old with the new. Change is about
travelling from the old to the new, leaving yesterday behind in exchange for the new
tomorrow. But implementing change is incredibly difficult. Most people are reluctant
to leave the familiar behind. We are all suspicious about the unfamiliar; we are
naturally concerned about how we get from the old to the new, especially if it involves
learning something new and risking failure.
In corporate environment change can be understandable as the switching from the
known into the unknown. As the future result of change is not certain and negatively
impact competence profile of employees and abilities to cope with new things. We can
see in many studies and reality that most employees don’t want change, unless the
17
clear visions and reasons for change are communicated transparently to them. That’s
the reason why, in order to gain successful change, all relevant factors must be
integrated such as vision, mission, communication, change management skills of
leadership, contribution and company culture. Each and every above- mentioned
factors has it own role in change. For instant:
- Vision orients the future business of company
- Mission acts like a guideline for change
- Communication and change management skills of leadership play key roles
in change preparation
- Contribution of all relevant stakeholders will help to run a smooth and
transparent process
- Company culture help people understanding the company’s way of
working, business philosophy, or on the other hand change initiative will be
influenced by company culture.
Stemming from those above factors, we all see that change is the nature of now a day
business, it is competitive advantage of organizations. The one who initiates change
and changes successfully is the person leads in the market and they are aware of the
important of an integrated approach of merging structural, technological and
behavioral apaches.
2.2.2 Change management
There are many definitions of change managements, my most favourite definitions
are:
“The coordination of a structured period of transition from situation A to situation B
in order to achieve lasting change within an organisation” BNET Business
dictionary.
“… a systematic approach to dealing with change, both from the perspective of an
organisation and on the individual level…proactively addressing adapting to change,
controlling change, and effecting change” Case Western Reserve University.
18
“Minimizing resistance to organisational change through involvement of key player
and stakeholders” BusinessDictionary.com.
”Change management is a style of management that aims to encourage organisations
and individuals to deal effectively with the changes taking place in their work”
English Collins Dictionary.
In term of execution, change management is a process with challenges when it comes
to evaluate the effectiveness of change in an organisation.
As previously mentioned, successful change is the competitive advantage to their
competitors of organization. And all change will help organization to adapt, especially
in management perspective. Organization can adapt internally or externally, within
micro or macro scope. But change has never been easy. It must be highlighted that
almost organizations managements are facing issues of resistance and communication
when it comes to change. They are key contributors and root causes change failure.
John Kotter has listed 8 common mistakes clearly in “Leading change “ (Leading
change, 2012 page 16):
1. Allowing too much complacence
2. Falling to create a sufficient guiding coalition
3. Underestimating the power of vision
4. Under communicating the vision by factor of 10
5. Permitting obstacles to block the new vision
6. Falling to create short-term win
7. Declaring victory too soon
8. Neglecting to anchor changes firmly in the corporate culture
And of course, those errors cause surely consequence:
- New strategies are not implemented well
- Acquisitions don’t achieve expected synergies
- Reengineering takes too long and costs too much
- Downsizing doesn’t get cost under control
- Quality programs don’t deliver hoped for result
To eliminate errors, Kotter (1996) suggested the follow in solutions:
19
- Change practices and strategies must be managed and well executed
- All achievements must be scheduled ahead and relevant with expected results
- Restructuring should be done as soon as possible to ensure not only change
will be effective but also cost and timing also effective and associated
closely with change
- Manpower cutting off must be done in a proper manner with cost controlling
and procedure respecting
- Quality deployment system must be carefully chosen to get the expected
result
To survive in 21st
century, organizations need to shift from traditional management
system to modern one. In order to maintain a successful and reliable switching,
organizations should equip for themselves with clear vision description, modern day
value, quality oriented mindset of all levels, internal customers (stakeholder) focus,
fast pace adaption, innovation, flat organization chart, flexibility, cross-functionality,
globalization and expanding network.
2.2.3 Transformational leadership
The key role during change implementation is leading. The leaders style will not only
focus on change but also is the key element for creating direction and commitment.
According to John Kotter (Leading change, 2012 page 28) Leadership defines what
the future should look like, align people with that vision and inspires them to make it
happens despite the obstacles. According to Kotter successful change depends on
leadership from 70 to 90 percent whereas 10 to 30 percent of management. He also
stated clearly in his book (Leading change 2012, page 29), it shows clearly the
differences between management and leadership:
20
Management Leadership
Planning and budgeting:
Establish detail steps and timetable for
achieving needed results, then allocating the
resources necessary to make it happens.
Organizing and staffing:
Establish some structure for accomplishing
plan requirements, staffing that structure
with individuals, delegating responsibility
and authority to carry out the plan,
providing policies and procedures to help
guide people and creating methods or
systems to monitor implementation.
Controlling and problem solving:
Monitoring results, identifying deviations
from plan then planning and organizing to
solve those problems.
Establishing direction:
Develop a vision of the future, often the
distant future and strategies for producing
change needed to achieve that vision
Aligning people:
Communicate vision in words and deeds to
all those who cooperation may be needed so
as to influence the creation of team and
coalitions that understand the vision and
strategies and that accept their validity.
Motivating and inspiring:
Energizing people to overcome major
political, bureaucratic and resources barriers
to change by satisfying basic but often
unfulfilled, human needs.
Produce a degree of predictability and order and
has the potential to consistently produce the
short-term results expected various steak-holders
(such as for customers, being always on time, for
stock-holder, being on budget).
Produce change, often to a dramatic degree,
and has the potential to produce extremely
useful change (such as new product that
customers want, new approach to labor
relations that helps make firm more
competitive.
Many authors presented guidelines for transformational leaders, and one of them is
Gary Yukl, has delivered comprehensive guidelines for transformational leaders in his
book Leadership in organizations and they are around the following aspect.
- Articulate appealing vision.
- Explain how the vision can be attained.
- Act confident and optimistic.
- Express confidence in followers.
- Use dramatic, symbolic actions to emphasise key values.
- Lead by example.
In the research, the author will present and analyze 6 leadership elements/skills
required in Tetra Pak. Those elements are not only base for delivery a successful
change but also help all staff levels in Tetra Pak deliver best performance. And of
course, the skill matrix for leadership elements very much depends on staff level.
21
2.2.4 John Kotter change model
Figure 2.1: 8 step process of leading change – Source https://www.kotterinc.com/8-
steps-process-for-leading-change/
According to figure D, there are 8 step process to identify the success factors for
change management. Function of each step is described as follows:
Step 1: Create a sense of urgency
In order making change happens, it is necessary that the whole organisation desires
change. This will help to enhance the sense of urgency of change. This is very
important factor, as this will create initial motivation for moving things.
During daily conversations in organisation, for instant when people talking about
competitors, or happenings in the market and people start talking about change,
that’s the very time change is initiated and nurtured. In this step, transparent
communication about current risks, opportunities, reasons for change need to be
discussed and according to Kotter, if 75% of leaders in the organisation see and
accept the change, it will be premise for executing next steps.
Step 2: Build a guiding coalition
Convincing people “change is essential” is tough job. This job needs to be supported
and lead by key players in organisation. Managing change is not enough, organisation
top level needs also leading change. And in order to lead a change, a coalition or a
leading group for change is a must. Those can be a group of persons who have
22
positive influence on other people. In this step, the sense urgency for change needs to
be continuously promoted.
The commitment of coalition members is the key element of this step, chains of
coalition needs to be linked firmly with each other. Frequent check the loose chains
within coalition helps to remove change resistance and enhance collaboration in team.
Step 3: For a strategic vision and initiatives
Wonderful ideas and solutions come up from initial thinking and initiatives about
change. Those perceptions will be connected and created an overview vision for
change. Vision should be relevant, clear and memorable. This will provide people in
the organisation reasons for change. Only when other people see why are you making
such effort to achieve the goals, then they will understand what they need to do and
how they need to achieve that vision.
You need to define the core values of change, strategies for change implementation
and communicate clearly and effectively within organisation.
Step 4: Enlist a volunteer army/Communicating vision and strategy
Change message can be discussed everywhere in organisation, that’s the reason why
change vision and strategy need to be communicated and conveyed in all small things
that leaders doing. Take every single chance to communicate about organisation’s
vision and strategy, not only in official meetings, but also in every single possible
opportunity. Integrating vision in daily problem solving will keep it in mind of people,
and people will remember it.
What you do is more important than what you say, prove to the people by your daily
activities. Besides, leaders need to eliminate the concern and worries of people in a
transparent and honest ways. Vision is the guideline for all business activities from
training and development until performance assessment.
23
Step 5: Enable action by removing barriers
People have trend to resist all change. Leaders need to be aware of where is resistance
to define suitable change mechanism and removing barriers. By empowering to your
teams, you will lead change going ahead.
Besides removing barriers and helping resistant understanding essence of change,
acknowledgement and recognition to change makers are also important, as their
change execution will be sample for other resistant.
Step 6: Generate short term wins
Success is the most inspiring motivation. Leaders need to show to people in
organisation short-term or quick wins, so that the criticizers and resistant cannot
prevent organisation from change. Being aware of strong points and weak points of
organisation and strategizing goals implementation (from easy goal to difficult goal)
also help the leaders gain short term win and motivate employees.
Step 7: Sustain acceleration
According to Kotter, short term or quick win is initial for long term and sustain win.
Successful change creates new chance and definition problems for improvement.
Lessons learnt (good points and improvement) after each achievement need to be
analysed. After success new targets will be defined based on that momentum and
admit new members to coalition to ensure sustainable change.
Step 8: Institute change
Change needs to be core part of organisation. Vision needs to be integrated in daily
business operation, this will help change spreads and inspires in company’s culture.
Continuous support from existing employees and leaders is crucial. Without
supporting from those people, organisation may start change implementation over.
24
Change, change progress communication, success story, induction new hires about
change, recognition the contribution of members, both new ones and existing ones,
succession planning are key success factors of this step to ensure change instituted.
2.2.5 ADKAR model
Different from John Kotter model, ADKAR model emphasises the importance of
vision communication in each phase of change project. By focusing on what need to
be done to achieve change project, organisation can get change successfully by
involvement and implementation of all people.
ADKAR was first time presented by Prosci by end of 1990, after a research project
about change in more than big companies. And in 2016 it is published in the book of
Jeff Hiatt “ADKAR, the model for change in business, government and our
community”. As above mentioned, the ADKAR model focus on communication with
respective partners of change project – the ones who are impacted by change.
According to this model, in order to have successful change, you need to reach 5
targets of continuous communication/sharing when executing change project. They
are:
1. Awareness about needs of change
2. Desire to contribute and support change
3. Knowledge – How to make change happens
4. Ability to change
5. Reinforcement to maintain change.
ADKAR model presents, firstly, all respective parties need to be aware of change
need. After that, this awareness must be shifted to desires to contribute and support
change. As a result, people will create a good design for change project. The
contributors of change project need to be well trained to make change happens. And
25
once change is alive, and successfully implemented, training once more time plays a
key role to ensure people skilled and able to apply new abilities to make future targets
done. And such behaviours will be reinforced again and again to make incoming
projects successful.
The basic principle of ADKAR model is every single target needs to be done before
moving to the next target.
2.2.6 Transition of Human Resource Management
The business leaders nowadays have to face with many questions on people
management: How to hire right person at the right time in a right position with right
cost? How to develop successors for leading team? How to design an organisation to
meet customers’ satisfaction? How to reward the best performance? How to lead and
manage a diversity of international workforce? How to control employment cost but
still ensure fair treatment to all people? Such those things are urging leaders to take
action to have an effective human resources management system for corresponding to
global competition pressure, change in social structure and progress of technology.
According to The Economist of May 26th
2009 - Human resources transformation
refers to the massive restructuring of corporate human resources (HR) departments
that took place in the decade or so after 1995. Before that, the staff in HR departments
had generally been seen as administrators, not as people to be involved in high-level
strategic discussions. HR staff saw themselves as lifetime career specialists with little
need for knowledge or experience of what the rest of the business was about.
But with the growing appreciation of the value of a company's human assets, and a
need to ensure that the talent that an organisation requires is not just on board but
also properly motivated, the role of HR has more and more come to be seen as
strategic. The old-style HR that dealt with strikes, bonuses and gripes was rarely
suited to this task, whereas the new-style HR deals with strategic people development
and organisation design.
26
Since beginning of 90 decade of last century, the concept Strategic HRM (SHRM)
was already introduced by scholar, and one of them was Randal S. Schuler and Susan
E. Jackson in an article in journal of management review Vol. 16, (2005), where
SHRM was simply defined SHRM means linking HR activities with business strategic
need.
Where in the past HR department focused more on administrative/tactical tasks, then
today HR consumes more time on strategic issues. This is because of technology helps
daily routines of HR practices more technologically based and HR department is able
to spend more time on strategic tasks. In other words, HR nowadays needs to
understand business in depth to be psychological and social driver.
The old-style (Administrative HRM) and new-style HRM (strategic HRM) are clearly
illustrated as in figure 1 and figure 2 below.
Figure 2.2: Administrative HR vs Strategic HR, source Author
27
Figure 2.3: Time spending for administrative tasks and strategic tasks of an HR leader
Source: 3 steps to move from administrative to strategic HR by Carol Anderson,
9. January 2017 on Cornerstone.com
2.2.7 How to make change repeatedly and reliably in people management
Making change alive, repeatedly and reliably is the target of most leaders, especially
change in people management is really challenge for almost organisation. In order to
maintain change repeatedly and reliably it requires commitment from top leaders of
organisation and dedicated resources.
In this part the author focuses on the last two steps of Kotter’s model: Anchoring new
approaches in the Culture. This component implies the leading style, talent
acquisition, rewards and recognition, training and development, which will be full
parts of a reliable and sustainable change management in organisation, or on the other
hand, they will be full function of a growth organisation.
Successful leadership will form desired behaviours and intervene to shape the
corporate culture. What leaders say is carefully listened and important but how they
do is more important. As they are the ones who demonstrate company’s culture with
their words and actions.
Establish skilled team by enabling a systematic way, from recruiting process to on
boarding and then training and development. This will help to form a mechanism to
spread change mind-set in organisation.
-
-
-
Talent management
Work force planning
Leadership development
and coaching
HRM
-
-
-
-
-
-
-
Employee relation
Benefit and planning
administration
Hiring and selection
Risk management
Pay
Technology
Admin
Strategic
Chasing recalcitrant manager
80%
20%
28
Having right person in right position at right time with right cost is the fundamental
challenge for all organisations. How to define right person to perform desired tasks,
especially when it comes to change, always the big question for leaders.
29
CHAPTER III: RESEARCH METHODOLOGY
3.1 Chapter introduction
The research design, population, survey method, data collection process, validity,
reliability and data analysis being use will be presented in this chapter.
3.2 Research design
Research design create the blue print for data collection, measurement and analysis of
data. Primary data will be collected via surveys (online, questionnaires), interview
(individual and group) then analysed by qualitative approach. Interpretation after data
analysis and define the solutions for maintain repeated and reliable change.
The design of the study was carried out within Tetra Pak Vietnam therefore the
geographical scope is small and makes the survey easier to conduct.
3.3 Population
The research targeted middle management level employees working in Tetra Pak, as
they are the key players during implementation change. There are 25 people in middle
management level of Tetra Pak, from supervisor level onwards. The findings of
research are defined and generalized by correspondence of targeted employees.
3.4 Data collection
Table 3.0: Sample size
Department Target Population Sample Size
Management board 3 3
HR & Finance 4 4
Production 7 7
Quality assurance 2 2
HSE 2 2
WCM 2 2
Engineering 3 3
Logistics 2 2
Total 25 25
30
Primary data is used for the research and obtained from Tetra Pak employees in
Vietnam. A questionnaire is sent to employees in both hard copy and electronic one to
obtain primary data. Besides questionnaire, individual and group interviews are also
conducted to get perceptions of employees on change and change management. The
questionnaire is designed in an understandable and effective way so that it can easily
reflect the study topics. The questionnaire includes both open and closed questions
and it is administered during working hours to ensure high rate of correspondence.
Individual and group interviews were conducted spontaneously during free time and
break time in company of interviewees with by author prepared list of questions. This
methodology will help the author gets open and honest feedbacks from employees
pertaining change and change management.
3.5 Data analysis
As above mentioned, data analysis was completed by using qualitative technique.
Based on data collected, the interpretive approach is made. Next to this, face to face
interview is also made to define and ascertain the perception, behaviour in
ethnography.
The qualitative statements are made to present, to explain, to interpret the
phenomenon under study but not used for verification of the study. The result of study
is analysed by collecting the perceptions and understanding of correspondents.
Using qualitative approach in this research supported the author to:
 Understanding the bigger picture of change within organisation, it includes
change management, change procedure and practices;
 Understanding staff perceptions and understanding on change, especially
change in human resource management in last 10 years in Tetra Pak;
 Observing the relationships within organisation;
 Making predictions about solutions to ensure change repeatedly and
effectively;
31
Table 3.1: The summary of data collection and analysis is stated as below:
Objectives Data Analyses
Understanding perceptions of
employees pertaining change and
change management
Primary
data
Frequency
Percentage
Interpretive approach
Evaluate the impact of employees’
understanding about change on
resistance on change
Primary
data
Frequency
Percentage
Interpretive approach
Finding the solutions for change
repeatedly and reliably. Primary
data
Frequency
Percentage
Interpretive approach
32
CHAPTER IV: RESULT AND FINDINGS
4.1 Chapter introduction
In this chapter, data analysis, findings and interpretation will be presented. Results are
shown in tables and diagrams. The analysed data was edited under subjects and that
reflect the study objectives.
4.2 Respond rate
Total questionnaires that were sent out were 25 and returned 25 with properly filled
and answered. This presented 100% success rate. According to well-know scholars,
returns rate higher than 70% is very good rate and sufficient for the research.
Table 4.0 Respond rate
Response Frequency Percent
Returned 25 100%
Unreturned 0 0%
Total 25 100%
4.3 Demographic characteristics
This section describes all about information relevant to respondents such as age,
gender, education background, service years in current position, service years in Tetra
Pak.
33
AGE OF RESPONDENTS
Above 50 years
4%
41 to 50 years
24%
20 to 30 years
40%
31 to 40 years
32%
Figure 4.1: Gender of respondents - Source: Author’s own survey
Figure 4.1 indicated that most of employees in Tetra Pak are male. The disparity is
quite big and reflects the truth of gender imbalance in high tech industry.
Figure 4.2: Age of respondents - Source: Author’s own survey
Respondents are also required to indicate their age. The results in above 4.2 figure
present that just 4% of respondents are above 50 years old. This means that most
employees in Tetra Pak are at their middle age, the most productive age which can
influent the company’s performance significantly positively.
GENDER OF RESPONDENTS
Female
36%
Male
64%
34
Figure 4.3: Education background of respondents - Source: Author’s own survey
Results in figure 4.3 show that almost employees acquired their education up to
postgraduate and only 16% had acquired education level of diploma. This clearly
indicated the employees of Tetra Pak are well educated and reflects the strategy of
management board to have their key team players with good education background to
be the fundament for a newly set up factory. This can also mean that the employees
have capability to quickly learn new things and adapt to change and well manage
change in the organization. This could be a benefit for organization’s performance.
Figure 4.4: Position of respondents - Source: Author’s own survey
CURRENT POSITION
Expert
4% Director
16%
Supervisor
36%
Manager
44%
EDUCATION BACKGROUND OF
RESPONDENTS
Diplopma Postgraduate
16% 16%
Undergraduate
68%
35
The target attendees of this research are middle management level of company.
Results in figure 4.4 show that more than 50% of respondents are manager and
supervisor level, who the main workforce to deploy and execute change in
organization.
Figure 4.5: Service years in current position - Source: Author’s own survey
The respondents were asked to indicate their service time in current position. Results
in figure 4.5 show 28% of employees working in current position less than 3 years.
This can also mean the people strategy of company to focus on succession planning
for future change in term of management workforce. This is very formative stage in
corporate environment for manpower staffing.
Figure 4.6: Service time in Tetra Pak - Source: Author’s own survey
SERVICE YEARS AT TETRA PAK
Less than 2 Over 15 years
years 16%
24%
6-10 years
8%
3-5 years
52%
SERVICE YEARS IN CURRENT POSITION
Less than 3
years
28%
Over 7 years
24%
3 to 5 years
24%
5 t0 7 years
24%
36
The figure 4.6 shows the service years of respondents in Tetra Pak. 24% of
respondents have work in Tetra Pak for less than 2 years and 16% have work in Tetra
Pak for more than 15 years. This indicated the number of experienced people working
in company. Results in figure 4.6 can be interpreted that the learning flow of
knowledge will be continued as the very experience people will pass over company’s
knowledge and values to their new hired co-workers. This will help to improve the
performance of company.
4.4 Employees’ perception on change in human resource management
Questionnaire of this section focused on the awareness of employees about change in
human resources management. Besides, reasons for change, communication when
change, success factors for change, change management project, change management
skills of line manager, functions of human resources department required for change
will be asked and integrated in this section.
The table 4.1 below shows the feedbacks from respondents about roles and
responsibilities of Human Resource Management in company.
Almost respondents who had worked for Tetra Pak for more than 5 years understand
correctly the roles and responsibilities of HR departments. Some of them were
experienced in more than one role in last 10 year working in Tetra Pak and acted as
human resource change executive in organization.
Results show that employees still confuse the roles of HRM in company with daily
routine administration and solving daily administrative problem, whereas the roles
and responsibilities of HRM department in Tetra Pak present broader organizational
aspects such as changes and change management in structure and culture to ensure
human resource matching human resource with future requirements. The confusion
mainly comes from group of respondents working in company less than 2 years.
In addition, respondents still confuse roles of human resources manager in company.
24% of respondents (6 people) are very firm that Human Resources Manager of
company is the person in charge of managing all functions of HR Departments.
There is belief that HR Department controls people strictly with policies, this comes
from 24% of respondents. Possible reason might be come from people have not been
inducted properly by the time of joining.
37
Findings from this question are very important for researcher to identify implications
on a later stage.
38
4.5 PART A: CHANGE UNDERSTANDING
Table 4.1: Breakdown of awareness of employees about functions and responsibilities of Human resource department
How do you understand about functions and responsibilities of Human Resource department in company?
Answer options Right
Don’t
know Wrong
Response
count
HR Department manages people by policies 20 5 25
HR Department is responsible for proactively deploying Global HR strategy through direction for employee to implement their tasks to reach company's strategy 22 3 25
HR Department is responsible for solving problems related to people through expertise of its staff 25 25
Respective line manager is the person in charge of solving problems related to people with expertise support from HR Department. 18 7 25
HRM is the person in charge of managing all function of HR Department 6 19 25
HRM is the strategic partner of other cross function department and support, advise other departments all aspects related to people and acts as coordinator to ensure
service quality of other functions of HR Department provided to other departments
14 11 25
HR Department in charge of internal matters 25 25
HR Department in charge of both internal and external matters 25 25
HR Department focuses on short term requirements such as cost reducing or improving product quality of company 10 15 25
HR Department focuses on long term strategies such as investment effectiveness or sustainability of company's knowledge 17 8 25
HR Department is the change follower 9 16 25
HR Department is the change initiator and facilitator 10 15 25
HR Department controls employees strictly 17 8 25
HR Department control employees by giving them freedom to execute their jobs with responsibility 18 1 6 25
Answered questions 25
Skipped questions 0
39
Figure 4.7: Awareness of employees about HR Departments functions - Source:
Author’s own survey
The questions were made to see the awareness of employees about functions of HR
department in Tetra Pak. The figure 4.7 reflects the answers from employees.
Overall, managers level understood correctly the functions of HR department. 88%
(22) responders are aware of that HR Department is responsible for proactively
deploying Global HR strategy through direction for employee to implement their
tasks to reach company's strategy. 72% (18) responders understand key role of line
managers is solving problem related to people with the expertise support from HR
experts. One more important factor pertaining to change showed that 40% (10)
responders understand that HR department is the change initiator and facilitators
not the change follower.
Besides understandable feedbacks about HR departments functions, there are still
many confusions from employees. Such confusions come from almost new hires
and supervisor level. 24% (6) responders confused that HR Manager is in charge of
managing all functions of HR Department. This feedback reflects the familiarity of
employee with old HR model, administrative HR management. Or there are still
Right
Don’t
know
Wrong
AWARENESS ABOUT HR
DEPARTMENT'S FUNCTIONS
H R DE P A RT ME NT C ONT ROL …
H R D E P A R T M E N T C O N T R O L S …
H R D E P A RT M E N T I S T H E C H A N G E …
H R D E P A R T M E N T I S T H E C H A N G E …
H R DE P A RT ME NT F OC US E S ON LONG …
H R DE PA RT ME NT F OC US E S ON …
H R D E P A R T ME N T I N C H A R G E O F …
H R DE P A RT ME NT I N CH A RGE OF …
0%
H RM I S T H E ST RA TE GIC P A RT NE R OF …
H RM I S T H E P E RS ON I N C H A RGE OF …
RE S P E CT I VE L I NE MA NA GE R IS T HE …
H R DE P A RT ME NT I S RE SP ON S I BLE …
H R D E P A RT M E N T I S R E S P O N S I BL E …
H R DE PA RT ME NT MA NA GE S P E OP LE …
72%
68%
40% 0%
36% 0%
68%
40% 0%
100%
100%
0%
4% 24%
0% 32%
60%
64%
0% 32%
60%
0%
56%
24% 0%
44%
76%
72% 0% 28%
100%
88%
80%
0%
0%
12%
0% 20%
40
44% (11) responders thought that HR Manager is not the strategic partner of other
cross function department and support, advise other departments all aspects related
to people and acts as coordinator to ensure service quality of other functions of HR
Department provided to other departments. One more critical finding is 32% (8)
responders thought it was not correct that HR Department focuses on long term
strategies such as investment effectiveness or sustainability of company's
knowledge. And 60% (15) responders understood that HR Department just focuses
on short term requirements such as cost reducing or improving product quality of
company. 24% (6) of responders did not think that they have freedom to execute
the jobs with responsibility. Again, such wrong perceptions come from newly
employed staff.
Table 4.2: Breakdown satisfaction of employees about recent change in HRM
System in company
Are you satisfied with recent change in HRM system of company?
Answer options Response count Response percent
Yes 12 48.00%
No 13 52.00%
Answered questions 25 100%
Skipped questions 0
SATISFACTION ABOUT CHANGE IN HRM
Yes
No 48%
52%
41
Figure 4.8: Satisfaction about change in HRM System in Tetra Pak - Source:
Author’s own survey
The results in table 4.2 show that 52% (13) of respondents are not satisfied with
recent change in HRM system in company. This result mainly comes from the
group of people had worked in company from 3-5 years. 5 out of 13 unsatisfied
respondents are at manager level, remaining are supervisor level. This result an alert
to management team and forces them analyzing the root causes prepare the action
plan for improvement the satisfaction rate. This will be clearly revealed in expert
interview and implication part.
Table 4.3: Success evaluation of HRM strategy execution at department level
Is deployment HRM strategy in your departments executed
successfully?
Answer option
Response
count
Response
percent
Strongly agree 0 0%
Agree 8 32 %
Neither agree nor disagree 4 16%
Disagree 12 48%
Strongly disagree 1 4%
Answered questions 25 100%
Skipped questions 0
42
Figure 4.9: Success evaluation of HRM Strategy execution at department level -
Source: Author’s own survey
This question is designed to understand in depth about HR Strategy execution in
department level. Results in table 4.3 showed just 32% (8) responders agreed that
HRM strategy executed successfully in their departments. 16% (4) responders did
not know if it is executed successfully or not. And there are 48% (12) person
disagreed that HRM strategy is not successfully deployed in their departments.
Among disagreed responders there are both managers and supervisors. Even the
people working in HR department also expressed their disagreement about the
statement that HRM strategy executed successfully in their department.
Success evaluation of HRM strategy
execution
40
%
%
32%
48%
16%
Strongly agree
Agree
Neither agree nor disagree
Disagree
Strongly disagree
43
Table 4.4: Understanding reasons for HRM change
Do you understand reasons for change in HRM?
Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5
is the most important).
Answer option
Not
important
Less
important
Important
Very
important
Extremely
important
Response
count
1 2 3 4 5
Cost cutting
1
1 1 4 8 1 25
Increasing Operational Efficiency/Standardization 1 5 6 5 8 25
Better knowledge & processes management Shared Services
of HRM 1
1
2 3 4 5 25
Enhancing people management skills of middle level
manager 3 3 5 7 7 25
Increasing Brand Awareness and competitive advantage of
company 2 7
1
0 4 2 25
Improvement of the quality of product and service 2 7 8 6 2 25
Creating "buy in" of employees into organizational change in
4.0 industry 3 5 8 5 4 25
Requirement on improvement of the quality of service
2 7
1
0 4 2 25
Globalization
3 2
1
5 3 2 25
Standardizing competence profile for all positions as of
global standard 2 2 7 6 8 25
Answered questions 250
Skipped questions 0
44
REASONS FOR HRM CHANGE
S T A NDA RDI ZI NG C OMP E T E NC E … 8%8% 28% 24% 32%
GLOBA LI S AT I ON 12%8% 60% 12%8%
RE QUI RE ME NT ON I MP ROVEME NT … 8% 28% 40% 16% 8%
C RE A T ING " BUY I N" OF … 12% 20% 32% 20% 16%
I MP ROVE ME NT OF T H E QUA LI T Y … 8% 28% 32% 24% 8%I
NC REA S I NG BRA ND A W A RE NE S S … 8% 28% 40% 16% 8%
E NH A NC ING PE OP LE … 12%12% 20% 28% 28%
BET TE R K NOW LE DGE & P ROCE S S ES …4% 48% 12% 16% 20%
I NC REAS ING OP ERA T IONA L…4% 20% 24% 20% 32%
C OS T C UT T I NG 44% 4%16% 32% 4%
Not important
Less important
Important
Very
important
Extremely
important
Figure 4.10: Understanding reasons for HRM change - Source: Author’s own
survey
The responders were asked to provide at least 5 reasons for HRM change that they
might think that the most important ones. And the results in table 4.4 stated top 5
selected reasons for change in HRM are:
1. Standardizing competence profile for all positions as of global standard
(32%)
2. Increasing Operational Efficiency/Standardization (32%)
3. Enhancing people management skills of middle level manager (28%)
4. Better knowledge & processes management Shared Services of HRM (20%)
5. Creating "buy in" of employees into organizational change in 4.0 industry
(16%)
Besides such top 5 above mentioned reasons, many responders still bear in mind
that the current restructuring in HRM at Tetra Pak is for cost cutting, 32% of
responders thought this is very important reason, or improvement of quality and
service, 24% thought this reason is very important.
45
Extreamly clearly
Not so clearly
Very clearly A little bit clearly
Absolutely unclearly
Change reasons comunication
8% 0%
24%
32%
36%
Table 4.5: Clear reasons communication
Are the above mentioned reasons communicated to you clearly
Answer option Response count Response percent
Extremely clearly 0 0%
Very clearly 6 24%
A little bit clearly 9 36%
Not so clearly 8 32%
Absolutely unclearly 2 8%
Answered questions 25 100%
Skipped questions 0
Figure 4.11: Clear reasons communication - Source: Author’s own survey
Result in table 4.5 showed that 24% (6) of responders thought that reasons for
change communicated to them clearly. 68% responders’ feedbacks mentioned
clearly that the reasons for change did not communicated to them clearly (32%) or a
little bit clearly (36%). This came almost from new hired employees and supervisor
level.
46
Table 4.6: Success factor for change
Which factors do you think leading success change in company?
Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5 is the
most important).
Answer option
Not
important
Less
important
Important
Very
important
Extremely
important
Response
count
1 2 3 4 5
Integrating changing plan (short term, middle term and long term
plans)
1 4 9 8 3 25
Clear vision and communicated transparently 3 5 17 25
Strong commitment from top management 7
1
0
8 25
Effective leadership skills from top management 3 8 8 6 25
Change management skills from middle level management 2 7 7 9 25
Transparent and sufficient communication 6
1
2
7 25
Management from executive officers 6 8 7 2 2 25
Buy in motivation from employees 3 3 4 15 25
Project management skills 6 8 5 2 4 25
Creating urgency of change 1 8 9 7 25
Strong coalition to lead change 4 4 17 25
Leading factor is company's culture: Understanding company's
culture before leading change
1 3 6
1
0
5 25
Clear action plan and communicated effectively and specifically to
respective parties
2 9 7 7 25
Clearly mentioning the roles of HR department with training middle
level managers about change management skills and other functions
of HR department
1
0
7 4 2 2 25
Answered questions 250
Skipped questions 0
47
Figure 4.12: Success factor for change
- Source: Author’s own survey
Result in table 4.6 presented top 5 success factor for change:
1. Strong coalition to lead change (68%)
2. Clear vision and communicated transparently (68%)
3. Buy in motivation from employees (60%)
4. Change management skills from middle level manager (36%)
5. Strong commitment from top management (32%)
SUCCESS FACTORS FOR CHANGE
Clearly mentioning the roles of HR department with… 40%
Clear action plan and communicated effectively and…
0%
8% 36%
Leading factor is company's culture: Understanding…4%12% 24%
Strong coalition to lead change 0%16% 16%
Creating urgency of change 04%% 32%
28% 16% 8% 8%
28% 28%
40% 20%
68%
36%
20%
Project management skills 24%
28%
8% 16%
Buy in motivation from employees 0%12% 12%
Management from executive officers 24%
Transparent and sufficient communication 0% 24%
32%
16%
32%
60%
28%
0%
8%
Effective leadership skills from top management 0%12%
28%
32%
48%
28%
32%
Strong commitment from top management 0% 28% 40%
8% 8%
28%
36%
24%
32%
Clear vision and communicated transparently 0%12% 20% 68%
Integrating changing plan (short term, middle term…4% 16% 36% 32% 12%
0% 20% 40% 60% 80% 100% 120%
Not important
Less important
Important
Very important
Extremely
important
48
Manager level is convinced by top 3 success factors:
- Clear vision and transparent communication
- Buy in motivation from employees
- Change management skills from middle level manager
Besides top 5 extremely important success factor for change, responders also
mentioned about very important success factors for change as stated below:
1. Transparent and sufficient communication (48%)
2. Strong commitment from top management (40%)
3. Leading factor is company's culture: Understanding company's culture
before leading change (40%)
4. Creating urgency of change (36%)
5. Effective leadership skills from top management (32%)
6. Integrating changing plan (short term, middle term and long term plans
(32%)
There are some responders thought that project management skill (32%) and
management from executive officer (32%) are not important.
49
Table 4.7: Change success factors done in company
Which factors do you think being done in company during change?
Please tick in appropriate box (from 1 is less frequency to 5 is the highest frequency).
Answer option
Frequency (1 = less,
5 = Highest)
Response
count
1 2 3 4 5
Integrating changing plan (short term, middle term and long term
plans)
1
0
5 5 3 2 25
Clear vision and communicated transparently 1 6 2 7 9 25
Strong commitment from top management 5 7 3 4 6 25
Effective leadership skills from top management 8 3 4 5 5 25
Change management skills from middle level management 8 9 3 2 3 25
Transparent and sufficient communication 8 9 6 1 1 25
Management from executive officers 7 7 4 5 2 25
Buy in motivation from employees 9 8 5 2 1 25
Project management skills 2 3 5 8 7 25
Creating urgency of change 2 5 4 6 8 25
Strong coalition to lead change 3
5
3 8 6 25
Leading factor is company's culture: Understanding company's culture
before leading change
8 8 9 25
Clear action plan and communicated effectively and specifically to
respective parties
4 3 6 8 4 25
Clearly mentioning the roles of HR department with training middle
level managers about change management skills and other functions of
HR department
9 8 4 3 1 25
Answered questions 250
Skipped questions 0
50
Figure 4.13: Change success factors done in company - Source: Author’s own
survey
When asking this question, the author wanted to understand about the awareness of
responders about change execution in company. As many of responders (especially
the ones who have been working with company for more than 5 years) are trained
from initial steps of change. The result in table 4.7 reflected the leading factors
during change in company:
1. Clear vision and communicated transparently (36%)
2. Leading factor is company's culture: Understanding company's culture
before leading change (36%)
3. Creating urgency of change (32%)
4. Project management skills (28%)
5. Strong coalition to lead change (24%)
6. Strong commitment from top management (24%)
This result revealed the strategy of management team during change. At the first
stage the management team wanted to convey clear message about vision of
company and then strategy is made. Throughout the change, company culture is
integrated in change so that all employees will not only understand and conduct
1
2
3
4
5
FACTORS DONE DURING CHANGE
C LE A RLY ME NT IONI NG TH E ROLE S OF … 36% 32% 16% 12%4%
C L E A R A C T I O N P L A N A N D … 16% 12%
LE A DI NG F AC T OR I S C OMP ANY ' S …
0% 32%
S T R O N G C O A L I T I O N T O L E A D C H A N G E
C RE A T I N G U R G E N C Y O F C H A N G E
P ROJE C T MA NA GE ME NT S K I LLS
BUY I N MOT I VA T I ON F ROM E MP LOY E E S
MA NA GE ME NT F ROM EX E C UTI VE …
T RA NS P A RE NT A ND S UF F I CI ENT …
12% 20%
8% 20%
24%
32%
12%
32%
32%
16%
8% 12% 20%
36%
28%
32%
32%
24%
32%
32%
16%
36%
24%
32%
28%
28%
36%
36%
16%
20% 8%4%
20% 8%
24% 4%
4%
32%
20%
12% 16%
12% 8% 12%
20% 20%
S T RONG C OMMI T ME NT F ROM T OP …
C L E A R V I S I O N A N D C O MM U N I C A T E D …4%
I N T E G R A T I N G C H A N G I N G P L A N …
24%
40%
28%
8%
12% 16% 24%
28%
20%
36%
20% 12% 8%
0% 20% 40% 60% 80% 100% 120%
51
business activities as company culture but also equipped with change/project
management skills. Management team always understood that collaboration is the
key factor for every success, and for change success is not an exception. Member in
coalition must be the person understand the urgency for change, speak the voice of
company and support the resistant person for change understood the needs of
change and overcome their comfort zone.
Table 4.8: Satisfaction rate about change management skill of superior
Are you satisfied with change management skills that your superiors done in your
departments/company?
Please tick in appropriate box (from 1 is not satisfied to 5 is extremely satisfied).
Answer option
Not
satisfied
A
bit
satisfied
Satisfied
Very
satisfied
Extremely
satisfied
Response
count
1 2 3 4 5
Inspiring subordinate 3 2 6 7 7 25
Taking actions with vision of company 4 6 5 4 6 25
Strong and peremptory 3 6 7 5 4 25
Decisive 8 6 7 4 25
Durable 2 6 5 6 6 25
Empowering subordinate 2 3 7 5 8 25
Understanding and sympathy to subordinate and durable 6 4 6 7 2 25
Humorous 8 9 3 3 2 25
Open minded 8 7 4 3 3 25
Answered questions 125
Skipped questions 0
52
CHANGE MANAGEMENT OF
SUPERIOR
OPE N MI NDE D
HUMOROUS
UNDE RS T A NDI NG A ND SY MPA T H I NG…
E MP OW E RI NG S UBORDI NA T E
DURA BLE
DECISIVE
S T RONG A ND P E RE MT ORY
T A K I NG A C TI ONS W IT H VIS ION OF …
I NSP I RI NG S UBORDI NA T E
Figure 4.14: Satisfaction rate about change management skill of superior - Source:
Author’s own survey
This question is made to dig the satisfaction rate of supervisor and manager level to
change management skills of their superiors. And top 5 change management skills
that responders mentioned are:
1. Empowering subordinate (32%)
2. Inspiring subordinate (28%)
3. Durable (24%)
4. Taking action with vision of company (24%)
5. Strong and peremptory (16%)
Responders at manager level agreed that they are fully empowered during change
and acted freely with responsibility. Whereas almost supervisor level agreed that
they are inspired a lot during change, from day one they are inspired by company’s
culture and visions. During their service time at company, such culture fascinated
them to behave professionally and in a proper manner.
And top 3 skills that responders are not satisfied are:
1. Open minded (32%)
Not satisfied
A bit satisfied
Satisfied
Very satisfied
Extremely
satisfied
32% 28% 16% 12% 12%
32% 36% 12% 12% 8%
24% 16% 24% 28% 8%
8% 12% 28% 20% 32%
8% 24% 20% 24% 24%
32% 24% 28% 16%0%
12% 24% 28% 20% 16%
16% 24% 20% 16% 24%
12% 8% 24% 28% 28%
53
2. Humorous (32%)
3. Decisive (32%)
Result showed that employees expected their superior more open to them and on
the other hand more decisive in making their decisions related to change.
Table 4.9: Critical HR functions for organisational change
Which functions of HR department is critical for organizational change? Please
kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important
to 5 is the most important).
Answer option
Not
important
Less
important
Important
Very
important
Extremely
important
Response
count
1 2 3 4 5
Organizational design and manning plan 11 1 4 8 1 25
Talent acquisition inside and outside the
organization 1 5 6 5 8 25
Detailed induction for new hires 1 12 3 4 5 25
Build up competence profile and skills for
each position equivalent to the standards
of industry and globe 3 3 5 7 7 25
Enhance professional and soft skills
training by e-learning 2 7 10 4 2 25
Training effectiveness evaluation 2 7 8 6 2 25
Performance evaluation 3 5 8 5 4 25
Succession planning 2 7 4 4 8 25
Employee engagement survey and
appropriate action plan to improve
engagement rate 3 2 15 3 2 25
Answered questions 225
Skipped questions 0
54
CRITICAL HR FUNCTIONS FOR
ORGANISATIONAL CHANGE
E MP LOY E E E NGA GE ME NT S URVE Y … 12%8% 60% 12%8%
S UC CE S S I ON P LA NNI NG 8% 28% 16% 16% 32%
8% 28% 40%
BUI LD UP C OMPE TE NCE P ROF I LE A ND … 12%12% 20% 28%
16% 8%
28%
DE TA I LE D I NDU CT I ON F OR NE W H I RES 4%
TA LENT AC QUI S IT ION I NSI DE A ND …4% 20%
48%
24%
12% 16% 20%
Not important
Less important
Important
Very important
Extremely
important
ORGA NI S A T I ONA L DE S I GN AND … 44%
20% 32%
4%16% 32% 4%
P E RF ORMA NC E E VA LUA T I ON 12% 20% 32% 20% 16%
T RA I NI NG EF F E C T IVE NES S E VA LUAT I ON 8% 28% 32% 24% 8%
Figure 4.15: Critical HR functions for organisational change - Source: Author’s own
survey
This question helps the author to analyse the states of responders about critical
functions of HR department during organisational change. Responders would rate
their answer from 1 to 5 (not important to extremely important).
As per result showed in table 4.9 we can see that the top 5 critical functions for
organisational change of HR department are:
1. Succession planning (32%)
2. Talent acquisition inside and outside the organisation (32%)
3. Build up competence profile and skills for each position equivalent to the
standards of industry and globe (28%)
4. Detailed induction for new hires (20%)
5. Performance evaluation (16%)
This result reflected the expectations of supervisor and manager levels for core HR
services inside the organisation such as:
- Resourcing
- Develop and manage people
55
- Learning management
- Rewards
- Compensation
Other than that responders also stated that Organisational design and manning plan
is a very important function of HR department (32%). 24% of responders agreed
that training effectiveness evaluation is also very important function that HR
department of Tetra Pak should focus on.
Table 4.10: People management skills of superior
Which of the following knowledge related to people management skills of your
superiors for change management in the company? Please kindly give at least 5
reasons by ticking in appropriate box (from 1 is not important to 5 is the most
important).
Answer option
Not
important
Less
important
Important
Very
important
Extremely
important
Response
count
1 2 3 4 5
Organizational design and manning plan
5 6 4 7 3 25
Talent acquisition inside and outside the organization
7
1
0 2 3 3 25
Detailed induction for new hires 3 3 8 9 2 25
Build up competence profile and skills for each position
equivalent to the standards of industry and globe
1 3 4 8 9 25
Training effectiveness evaluation 3 7 4 8 3 25
Performance evaluation 2 8 9 6 25
Succession planning 3 7 6 9 25
Answered questions 175
Skipped questions 0
56
PEOPLE MANAGEMENT SKILLS OF
SUPERIORS
S UCC E S S I ON P LA NNING 0
P E RF ORMA NC E E VA LUA T I ON 0
T RA I NI NG EF F E C T IVE NES S E VA LUAT I ON
%
12% 28% 24% 36%
Not important
%
8% 32% 36% 24%
12% Less important
28% 16% 32% 12%
BUI LD UP C OMP E TE NC E P ROF I LE A ND
4
S K I LLS F OR E AC H P OS I TI ON … %
12% 16% 32% 36% Important
DE TA I LE D I NDUC T I ON F OR NE W H I RE S
T A LE NT AC QUI S IT I ON I NS I DE A ND
OUT S I DE T H E ORGA NIS A T I ON
ORGA NI S A T I ONA L DE S I GN A ND
MA NNI NG P LA N
12%12% 32% 36% 8% Very important
28% 40% 8%12%12%
Extremely
important
20% 24% 16% 28% 12%
Figure 4.16: People management skills of superior - Source: Author’s own survey
This question enabled the author investigate the importance of people management
skills for line managers. The result in table 4.10 presented top 5 important skills
required for a line manager:
1. Succession planning (36%)
2. Build up competence profile and skills for each position equivalent to the
standards of industry and globe (36%)
3. Performance evaluation (24%)
4. Talent acquisition inside and outside the organisation (12%)
5. Training effectiveness evaluation (12%)
This result presented the true role of line managers in Tetra Pak, they are not
only work manager but also people manager. In order to achieve this goal, the
line managers need to be trained to be competent with people management. Of
course with support from expertise HR partners.
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak
Maintaining Change in Human Resources Management at Tetra Pak

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Maintaining Change in Human Resources Management at Tetra Pak

  • 1. MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY DOAN QUYNH HOA MAINTAIN CHANGE IN HUMAN RESOURCES MANAGEMENT OF TETRA PAK COMPANY MAJOR: BUSINESS ADMINISTRATION EXECUTIVE MASTER OF BUSINESS ADMINISTRATION CODE: 8340101 Tham Khảo Thêm Tài Liệu Tại Luanvanpanda Dịch Vụ Hỗ Trợ Viết Thuê Tiểu Luận, Báo Cáo, Khoá Luận, Luận Văn Zalo/Telegram Hỗ Trợ : 0932.091.562 DISSERTATION OF MASTER OF BUSINESS ADMINISTRATION Moderator: Prof., Dr. Nguyen Dong Phong Ho Chi Minh City, 2022
  • 2. DECLARATION It is to declare that this is my own original work and has not been presented for a degree in any other universities. Signature …………………. Date …………………………..
  • 3. ACKNOWLEDGEMENTS First of all, I would like to express my big thanks to my beloved co-workers at Tetra Pak for spending your valued time in participating in my survey and interviews and for giving me your feedbacks and ideas of my study. My sincere thanks also go to management team of Tetra Pak, who does their best to grant a professional and world class working environment, especially their granting progressive learning opportunities to their co-workers. Above all, my big thanks to Prof Dr. Nguyen Dong Phuong and Dr. Tu Van Binh, who supported me with guidance and sharing their expertised inputs to make this study successfully. Last but not least, I want to send my heartfelt thanks to classmates of EMBA4 and my loved ones in family, who stand by me during whole course and support me during busy time of preparing dissertation. Once again, my big thanks to all of you!
  • 4. TABLE OF CONTENT Sub-cover Declaration Acknowledgement Table of content Abbreviation List of tables List of figures Abstract Forewords Chapter I Introduction ..............................................................................................1 1.1 Chapter introduction…............................................................................... 1 1.2 Background of the study..............................................................................1 1.3 Methodology................................................................................................6 1.4 Research questions ......................................................................................6 1.5 General objective….................................................................................... 7 1.6 Tetra Pak…..................................................................................................8 1.7 Problem statement .....................................................................................10 Chapter II Literature review…....................................................................................16 2.1 Chapter introduction…............................................................................. 16 2.2 Theoretical framework ..............................................................................16 2.2.1 Change…................................................................................................... 16
  • 5. 2.2.2 Change management… .............................................................................17 2.2.3 Transformational leadership….................................................................. 19 2.2.4 John Kotter change model…..................................................................... 21 2.2.5 ADKAR model…...................................................................................... 24 2.2.6 Transition of Human Resource Management........................................... 25 2.2.7 How to make change repeatedly and reliably in people management…..27 Chapter III Research methodology ............................................................................29 3.1 Chapter introduction….............................................................................. 29 3.2 Research design…..................................................................................... 29 3.3 Population................................................................................................. 29 3.4 Data collection…....................................................................................... 29 3.5 Data analysis…............................................................................................30 Chapter IV Result and finding........................................................................................32 4.1 Chapter introduction….............................................................................. 32 4.2 Respond rate… ..........................................................................................32 4.3 Demographic characteristics… .................................................................32 4.4 Employees’ perceptions on change in human resource management…..36 4.5 Part A: Change understanding….............................................................. 38 4.6 Part B: Expectations… ..............................................................................57 4.7 Part C: Leading change..............................................................................60 4.8 Part D: Transition period…....................................................................... 62 4.9 Solutions and recommendations for maintain change in HRM.................68
  • 6. Chapter V Research summary discussion and conclusion............................................71 5.1 Chapter introduction…............................................................................... 71 5.2 Research objective achieved…....................................................................71 5.2.1 HRM change…............................................................................................71 5.2.2 Reasons for change..................................................................................... 71 5.2.3 Success factors for change…......................................................................72 5.2.4 Expectations of staff and managers…........................................................ 73 5.2.5 Leadership during change in people management… .................................74 5.2.6 Challenges during transition…................................................................... 75 5.2.7 Effectiveness of change in people management…......................................76 Chapter VI Recommendation....................................................................................... 77 6.1 Chapter introduction…............................................................................... 77 6.2 Leadership ...................................................................................................77 6.3 Employee engagement and communication............................................... 82 6.4 Project management ....................................................................................83 6.5 Make change repeated and reliable, a fundament of sustainability………83 Reference…………………………………………………………………. Annex…………………………………………………………………….. 1 Questionnaire…………………………………………………………….. 2 Letter to respondent……………………………………………………...
  • 7. ABBREVIATION HRM - Human resources management HRMS – Human resources management system HRBP – Human resources business partner WCM – World class manufacturing CM – Change management ESS – Employee self-service MNC – Multinational companies GM – General Manager LM – Line manager BOM – Board of management HRCS – Human resources core services Definitions - WCM: In https://www.managementstudyguide.com stated: World class manufacturing is a collection of concepts, which set standard for production and manufacturing for another organization to follow. Japanese manufacturing is credited with pioneer in concept of world-class manufacturing. World class manufacturing was introduced in the automobile, electronic and steel industry. For further information, please find in below link: World Class Manufacturing - Meaning and its Principles - Buddy: In Tetra Pak a buddy has a key role in on boarding the new employee. They make the new hire feel welcome, they connect them with new colleagues and they are mainly the one point of contact to understand how things are done here.
  • 8. It is someone based in the same location as the new hire and can introduce them to the site and facilities. Most importantly, it is someone who lives the Tetra Pak values and culture.
  • 9. LIST OF TABLE No. Name of table Page 1 Table A: Summary of SWOT analysis pertaining HRSC in Tetra Pak .....................12 2 Table 3.0: Sample size ...............................................................................................29 3 Table 3.1: The summary of data collection and analysis ..........................................31 4 Table 4.0: Respond rate…..........................................................................................32 5 Table 4.1: Breakdown of awareness of employees about functions and responsibilities of HR Department............................................................................. 38 6 Table 4.2: Breakdown satisfaction of employees about recent change in HRM systems in company ...................................................................................................40 7 Table 4.3: Success evaluation of HRM strategy execution at department level…….41 8 Table 4.4: Understanding reasons for HRM change….............................................. 43 9 Table 4.5: Clear reasons communication................................................................... 45 10 Table 4.6: Success factors for change….................................................................... 46 11 Table 4.7: Change success factors done in company................................................. 49 12 Table 4.8: Satisfaction rate about change management skills of superior .................51 13 Table 4.9: Critical HR functions for organizational change ......................................53 14 Table 4.10: People management skills of superior… ...............................................55 15 Table 4.11: Expectations to change management in people management…............. 57 16 Table 4.12: Employee’s satisfaction during change… ...............................................59 17 Table 4.13: Critical activities from top management required during leading change…......................................................................................................................60 18 Table 4.14: Awareness and knowledge about change execution……………. …..62
  • 10. 19 Table 4.15: Feeling of employees during transition period…………………. ….63 20 Table 4.16: Success factors for transition period……………………………. ….65 21 Table 4.17: Effectiveness of change in HRM……………………………… …..67
  • 11. LIST OF FIGURE No. Name of figure Page 1 Figure 1.1: HR Model version 2.0 applicable in Tetra Pak .......................................10 2 Figure 1.2: Global workforce study 2016 – Willis Tower Watson........................... 14 3 Figure 1.3: Strategy till 2020 in Tetra Pak................................................................. 14 4 Figure 2.1: 8 steps of leading change….................................................................... 21 5 Figure 2.2: Administrative HR vs strategic HR........................................................ 26 6 Figure 2.3: Time spending for administrative tasks and strategic tasks of a HR leader… ...................................................................................................................... 27 7 Figure 4.1: Gender of respondents............................................................................. 33 8 Figure 4.2: Age of respondents… ..............................................................................33 9 Figure 4.3: Education background of respondents….................................................34 10 Figure 4.4: Positions of respondents… ......................................................................34 11 Figure 4.5: Service years in the current positions of respondents..............................35 12 Figure 4.6: Service time in Tetra Pak….....................................................................35 13 Figure 4.7: Awareness of employees about HR department functions..................... 39 14 Figure 4.8: Satisfaction about change in HRM system in Tetra Pak… .....................40 15 Figure 4.9: Success evaluation of HRM Strategy execution at department level…..42 16 Figure 4.10: Understanding for HRM change............................................................44 17 Figure 4.11: Clear Vision communication................................................................. 45 18 Figure 4.12: Success factors for change…..................................................................47 19 Figure 4.13: Change success factor done in company ...............................................50 20 Figure 4.14: Satisfaction rate about change management skill of superior… ...........52
  • 12. 21 Figure 4.15: Critical HR functions for organizational change….............................. 54 22 Figure 4.16: People management skills of superior…............................................... 56 23 Figure 4.17: Expectations to change management in people management ...............58 24 Figure 4.18: Employee’s satisfaction during change…............................................. 59 25 Figure 4.19: Critical activities from top management required during leading change…......................................................................................................................61 26 Figure 4.20: Awareness and knowledge about change execution…...........................62 27 Figure 4.21: Feeling of employees during transition period….................................. 64 28 Figure 4.22: Success factors for transition period…...................................................66 29 Figure 4.23: Effectiveness of change in HRM........................................................... 67 30 Figure 6.1: 6 leadership Elements with Supporting Behaviours............................. 79
  • 13. ABSTRACT Purpose: This study aims at investigation the understanding from middle level management team of Tetra Pak about change and change management in people management function. Besides, it also seeks for the managerial implications for BOM. Theories: Transition of HRM, Change management, John Kotter Model, ADKAR model, how to make change stick Design: The author uses the survey method by questionnaires collecting via email or directly, individual interview and group interview to 25 employees at middle management level of Tetra Pak JSC. To get primary data to investigate the understanding about change and change management in recent change in people management at company and from that will determine the solutions to have a repeated and reliable organisational change. The data will be allocated into the different category respondents: 1. Gender of respondent 2. Age of respondent 3. Education background of respondent 4. Position level of respondent 5. Service year in company of respondent 6. Service year in current position of respondent and analysis will be performed based on the qualitative technique. Via questions and answers, the author seeks for understanding in depth of context of change and change management from points of view of employees. The questions are drafted as below: 1. What did employees understand about change and change management in their departments and within organisation? 2. What and how were employees experiences with change and change management in their departments and within organisation?
  • 14. 3. What and how did employees understand about change and change management in people management? 4. What did employees understand about their roles in change and change management in general and in human resource management particularly? 5. What did employees understand about roles of managers, management board in change and change management, both in general aspect and in human resource management? 6. What and how did employees do to contribute to change and change management? 7. What are the most success factors for an organisation initiative change and manage change successfully, especially in people management? Findings: Based on the findings the author will define: 1. How employees perceive change and conduct changes in daily human resource management. The searching for perceptions of employees about change and change management will mainly focus on: - Change in HRM - Reasons for change - Success factors for change - Expectations of staff and managers during change and change management - Leadership during change and change management - Challenges during change 2. From the point of views of employees about change and change management the author define the insights about employees’ believes about change that echoes inside the organisation and consider those echoes as initiatives for a successful, repeated and reliable change in human resource management, which certainly consist of the followings: - Leadership - Employee engagement and communication - Project management - How to make change repeated and reliable – A fundament for sustainability
  • 15. And the results of research will be proposals for key management indicators, key performance indicators and key activities indicators, on the other words, managerial implications.
  • 16. FOREWORDS Working for nearly 20 years in human resources management help the author to gain a variety of experience in working with people. And fortunately, the author has chance to work with different types of enterprises from state-owned company to local private limited liability, from non-governmental organisation to international global business players. This means, an opportunity for the author to approach with many types of human resource management system with various HR strategies such as ethnocentric, polycentric and geocentric strategy. In the last 20 years, the employment relationship has tendency transforming from employer has to ensure a lifetime - job for employee into competent based employee, means employee has to self-ensure his own competence to ensure his career path. In the era of globalization, business organisations do not confine themselves in on area or in one country, they always want to expand their business to far regions. This is synonymous with challenging they are facing, the increment in change, both in technology and also business environment. Doing foresee such challenge, almost international companies prepare themselves ready to those changes. Change in technology causes change in the way we communication as well as the way of business administration. And of course, changes should start from people, the “core of this wave”. And the question is how to manage a Human Resources Management System in a sustainable way and ready for any changes of digital era? The above-mentioned questions are the initiative for this dissertation and to see how people in Tetra Pak understand about change and change management recently in their departments and the function of people management throughout the organisation. With the count on the fundamental research and also research results the author can propose a practical managerial implication to improve partially the services quality of human resource management in the organisation. Ho Chi Minh city, 15th November 2018 Doan Quynh Hoa
  • 17. 1 CHAPTER I: INTRODUCTION 1.1 Chapter introduction This study helps researcher understand how employees perceive change and conduct changes in daily human resource management. From the point of views of employees about change and change management the author might define the insights about employee’s believes about change that echoes inside the organisation and might consider those echoes as initiatives for a successful and repeated change in human resource management. In this context, reference was made to employees within the Tetra Pak. Employees were invited to express their viewpoints of change and change management and how these had impacted upon their work environment and their lives within the Tetra Pak. The study uses qualitative methodology, also seek for the collective voices of employees into the central discussion of change and change management. The data collection process was done via informal and formal interview primarily knew employees’ viewpoints and understanding of change and change management processes and practices within company. The informal and formal interviews irradiated employees’ opinions, issues related to the work environment and people management of Tetra Pak. During the survey, the following themes emerged from the data: an understanding of change and change management; expectations of employee about change and change management; leading change; transition period. The correspondence of participants will help the researcher have insights to define experience of employee about change, their understanding about change and leadership during change, their expectation during change, their feeling and expectation during transition period, their expectations in term of change and change in people management in company… 1.2 Background of the study Change management and leading change nowadays seems to be the crucial required skills for leaders and middle level managers. But unfortunately, many companies
  • 18. 2 failed with changes such as failures in changes of digital transition, business processes, customer relation management, restructuring, reengineering etc… Many researchers have investigated the reasons why changes dead. And the most probably reasons are: - At the first stage, the change might be designed not fit with the company’s strategy, business complexity and business pressure. - Change message is not conveyed in a transparent and effective way and that causes shortage of in depth understanding from the employee side. This makes employees feel angry, worry or even very bad. - The change implementation is spontaneous without proper tools and operating models. - The key players of change fail to manage the resistors and impact of change on those peoples who are most affected by change. - Too much focus on long term wins but forget to acknowledge small and rapid wins And according to Dr. Linda Ackerman Anderson there are 5 common reasons cause failure of organisational change: - Poor planning sets up organisational change for failure - Inadequate support from leadership - Lack of resource - Priority focus on systems vs people - Inadequate change leadership skills The booming economies have created business opportunities but also facing challenge for organizations “change or die”. This change phenomenon urges companies and organizations change. The above-mentioned failure reasons have clearly proved that said easier than done. We can see one common reason of change failure is losing focus of the leaders, they focus too much on the theories or systems and processes but did not convey a messages of change/change initiatives to their teams why organizations should change, what they should attempt to achieve and how
  • 19. 3 they should execute change. This is really not an easy task to do. In nowadays unstable business environment, the need for change and implementing change successfully turns into a competitive advantage. The development and change in technology in last two decades are proven track record for this philosophy. Because change is the perfection of existing product, of quality, of service, of process, of systems. Other than technology, working environment is also defined by other factors that closely impact and influence companies such as economics, politics, sociology. Such factors show a significant role in change management, as they will define why to change, what to change and how to change. Throughout her career path of nearly 20 years in human resource management, the researcher has had chance to participate in many changes from large scale change to small scale change such as organizational wide change (restructuring, leadership change, adding on new policies, introducing new technology), transformational change (organizational strategy), personal change (inter-department change, hiring, lay off or dismissal), unplanned change (change that cannot be predicted like flood, strike or uprising) or even remedial change to correct poor performance of an employee, department or even of business. Different types of change need different action plan, preparation. And most of all, preparation is the key of successful achievements in change. The reality in work life of researcher showed that change never eases and change implementation is hard to get right. Because change automatically impacted people, so it is very important to get people involved in whole change process. Hence a transparent communication, commitment and ownership of leadership are the most important factors to get the beginning aspiration of people. Once organizations get the aspiration from their people then the change flow will be done step by step in different change models. Some companies can choose ADKAR model (Awareness, Desire, Knowledge, Ability, Reinforcement), some may choose Johns Kotter model, which includes 8 steps: 1. Create sense of urgency 2. Building a guiding team 3. Form strategic and vision initiatives
  • 20. 4 4. Enlist volunteer 5. Empower action by remove barriers 6. Generate short term win 7. Sustain acceleration 8. Make change stick Every change, from wide change to small change will hit its own change curve (which will be mentioned more detailed in next session) but somehow, the success factors will be definitely the ownership, commitment, priority of initiative, capability and resources. By undertaking MBA course is a tough decision of research while she is gone to her daily fast pace in FMCG industry and hard to find time for have work-life balance. The researcher understood that undertaking this course is a change in her life and she was aware of the time consumption and her life tempo in about 1.5 year. Thanks to that awareness, she has well prepared for this change with a concrete plan to make this change happens. Thanks to this course the researcher had chance to systemize her knowledge in change and change management and read many literatures by many writers about those topics. Many respected scholars propose a wide range of their experience, researches and perspective on change in many different ways, in which change is classified. Some change models focus on the people element of change like ADKAR model, some theories are developed and offered valuable tools to project management professionals as a process-driven model. Though in modern world economic history there are many stories and recognitions of successful change of global players such as Microsoft Research Group merge in 2016 In September 2016, Nadella shook things up again with the merging of the Microsoft Research Group with the Bing, Cortana, and Information Platform Group teams to create a new AI and Research Group. With about 5,000 engineers and computer scientists, its goal is to innovate in artificial intelligence across the Microsoft product line. Tinypulse.com Or the story of Google split up under the Alphabet umbrella in 2000s:
  • 21. 5 Lary Page broke up Google into its constituent parts, making each one its own company, with all of them owned by a new umbrella corporation called Alphabet. Page sits atop the structure as CEO of Alphabet, with Google cofounder Sergei Brin as president and long-time Google exec Eric Schmidt as chairman. Each of Alphabet’s companies has its own goals and a CEO focused solely on those goals. Tinypulse.com Or the entire organisation restricting of British Airways in 1981 To increase profits, Lord King, new chairman decided to restructure the entire organization by reducing its workforce from 59,000 to 39,000, eliminating unprofitable routes, and modernizing the fleet. He repaired the airline’s image by bringing in a new marketing expert. Within 10 years, the airline reported the highest profits in its industry: $284 million. Tinypulse.com Despite of those success stories, surely questions pertaining change elements and how is change managed and executed successfully and sustainably are challenging to administrators. Based upon their organizations’ situation, the administration will define the change strategies and methodologies to ensure change implemented successfully with less impact on their employees. Because from an employee’s side, any type of change will be able to impact directly or indirectly on their private lives and/or the nature of their work lives. The effect can be either change in working condition, their compensation package, engagement or future motivation. Because of this reason, it is crucial that co- workers are empowered, involve in change and on the top, understand the whole change process in order to be able to analyze the effectiveness of change. But in fact of researcher’s survey in Tetra Pak indicated that some employees reacted not pro- acted before change. This might come from communication and employees are not aware of their roles in change at organization in generally or in their department in particularly, even company did not limit them from involving in change and raise their voices and views pertaining change and change management. On a later stage in chapter 4 the author will have a specific analysis to help the readers understand in
  • 22. 6 depth about the perceptions of employee about change in organization and also change in human resources management. On this basis, the insights of employees of Tetra Pak contributed to this study and help to evaluate the effectiveness in recent changes in Tetra Pak. Rising from those arguments stated above, the researcher of this study tried to acquire a comprehensive study to understand employee’s insights of change and change management in Tetra Pak. 1.3 Methodology The literature study for this dissertation started in November 2018 and close by March 2019. The researcher approached such theories of transition of HRM, change management, leading change, how to make change stick, employee motivation, digital transition, social responsibility. The process for data gathering is conducted by interviewing and surveys sent to 25 employees of middle management level of Tetra Pak within above mentioned timeframe by two steps: 1st one is survey and the 2nd one is group/individual interviews in an formal interview and informal ways (conversations) to perceive their insights about current changes in organization. This informal interviewing method helps the researchers to obtain more open opinions of employees on change and in some case the conversations came into a meaningful discussion between interviewer and interviewees. Responding from employees are noted to enrich know-how of researchers about understanding change and change management of participants. As above mentioned, survey is also sent to participants with questions presented. The participants will answer the questions based on their experience and understanding. 1.4 Research questions Via primary questions the author seeks for understanding in depth of context of change and change management from points of view of employees. The questions are drafted as below:
  • 23. 7 1.4.1 What did employees understand about change and change management in their departments and within organisation? 1.4.2 What and how were employee experiences with change and change management in their departments and within organisation? 1.4.3 What and how did employees understand about change and change management in people management? 1.4.4 What did employees understand about their roles in change and change management in general and in human resource management particularly? 1.4.5 What did employees understand about roles of managers, management board in change and change management, both in general aspect and in human resource management? 1.4.6 What and how did employees do to contribute to change and change management? 1.4.7 What are the most success factors for an organisation initiative change and manage change successfully, especially in people management? The secondary questions were designed to understand further about the expectations about their roles in change and also their recommendations for a successful change. 1. Did employee want to participate in initial step right after change initiative communicated? 2. What did employee expect to have successful changes included change in people management? 3. What were success factors to have successful changes included change in people management? 1.5 General objective The answers of primary and secondary questions will help the researcher understand in depth how employees perceive change and conduct changes in daily people/human resource management. From the point of views of employees about change and change management the author might define the insights about employee’s believes about change that echoes inside the organisation and might consider those echoes as initiatives for a successful
  • 24. 8 change in human resource management. From that points solutions for maintain change and change management repeatedly and reliably in HRM will be proposed. With regard from the findings, the study reveals the needful factors for maintain change frequently and reliably. 1.6 Tetra Pak Tetra Pak was founded by Ruben Rausing and built on Erik Wallenberg's innovation, a tetrahedron-shaped plastic-coated paper carton, from which the company name was derived. In the 1960s and 1970s the development of the Tetra Brik package and the aseptic packaging technology made possible a cold chain supply, substantially facilitating distribution and storage. From the beginning of the 1950s to the mid- 1990s the company was headed by the two sons of Ruben Rausing, Hans and Gad, who took the company from a family business of six employees, in 1954, to a multinational corporation. Tetra Pak is a multinational food packaging and processing company of Swedish origin with head offices in Lund, Sweden, and Lausanne, Switzerland. The company offers packaging solutions, filling machines and processing solutions for dairy, beverages, cheese, ice-cream and prepared food. In Tetra Pak, the business philosophy reflects by their band promise “PROTECT WHAT GOOD”. They bring promise to life by committing to protect food, to protect people and to protect future. When it comes to food, company working with customers and partners to make food safe and available everywhere through our innovative and market-leading food processing, packaging and service solutions. Not only Tetra Pak’s people but also communities where it operates are also secured and supported. Company’s business philosophy is protecting the future of our earth and long-term success of clients – Source https://tetrapak.com/sustainability. In Tetra Pak Research and Development is the core competitive advantage of company. As customers always need faster, better and cheaper development to reduce
  • 25. 9 their operational cost and to increase performance in order to remain competitive. Company invests in technology and new products in response to customers, consumer and market dynamics – Source - https://tetrapak.com/about/tetra-pak-in-brief. In order to remain competitive in the market change and change management are core competence of company and its people to ensure innovation, development and growth stably. Human capital in Tetra Pak nowadays is encourage to develop themselves and develop others to meet higher and higher expectation from customers. Tetra Pak Binh Duong JSC. founded in 2016, and in October 2017 they organized the groundbreaking ceremony for liquid foods packaging factory in the Industrial Zone VSIPIIA, Binh Duong province. This factory is the forth factory of Tetra Pak group in cluster South Asia – East Asia and Oceania. The factory is a supplementary for company’s strategy in cluster South Asia – East Asia and Oceania, where the demand on milk and beverage is getting higher and higher. This factory will help company to get closer to their customers and shorten their lead time. Pertaining human management in Tetra Pak, since 2008 company launched new HR model named HR ONE version 1.0 that switching from administrative human resource management to strategic human resource management. By 2016, version 2.0 was deployed, HR work is split into 3 core functions: - Organizational service - Country service - Core service Below chart explains detailed responsibilities of each core function.
  • 26. 10 Figure 1.1: HR Model Version 2.0 applicable in Tetra Pak Source: Presentation about People Process Tetra Pak’s Global HR – Internal Document of Tetra Pak The figure showed clearly that new HR model split into transformational work and transactional work. Where organizational services work on transformational function of HR practice and play differentiated and strategic roles and is centered in embedded HR and HR centers of expertise. Then country services and core services play as “one-stop-shop” for employee relations, compensations and benefits, training and development, or any other HR related requisitions, ensuring prompt and accurate support for all employment related issues. Thanks to those standardized and centralized way many administrative tasks are done in a very effective way. Tetra Pak also deploys a digital platform where employees can find answer for standard, routine questions. The very technology allows service centers approach employee easier and on the other hand enables employees’ concerns and needs to be unraveled with fewer dedicated HR staff. One significant change in this HR model is the roles of line manager, with facilitation from HRCS experts, they will play the key roles of people management. Whereas, as before said, HR staff plays as facilitators. 1.7 Problem statement Business slowed down in 2016 and 2017 was a year in which the pace of GDP growth quickened in eight of Tetra Pak top ten markets, including Russia and Brazil, where
  • 27. 11 muted recoveries reversed two years of economic downturn. Three of company’s five geographic clusters reported year-on-year improvements in net sales, with Europe’s 1 per cent growth ending the negative trend of the past four years. By contrast, for the first time in more than a decade, Greater Middle East & Africa reported a year-on- year fall in net sales (at comparable exchange rates), as tough market conditions in Egypt, Pakistan and the Arabia area took a heavy toll on sales of laminated packaging material. This is because of the packaging business climate remained harsh, with consumption in core categories continuing to decline and the competitive environment (especially in packaging material segment) increasingly aggressive. That reflects in 2017 the sales of packaging material dropped down. In part, this was caused by the continued weakness of core categories, but a shift in product mix, from family packs to portion packs, also had an impact, as did net pricing reductions in response to aggressive competition worldwide – Source - http://www.tetralaval.com/about-tetra- laval/comments-by-tetra-pak-ceo Even Vietnam belongs to cluster of top ten market, but Tetra Pak Vietnam still faced with challenging, especially with retaining people as the competitors have risen up strongly recently. Talented and well-trained employees left Tetra Pak (turnover rate in 2017 higher than 20%, mostly came from technician and engineer level), employee engagement low, employees’ expectation in term of career advancement opportunities very high. Foreseeing such change and challenging through daily operation and employee relationship, HR team has done SWOT analysis to define “where we are” then have an appropriate action plan. The analysis showed a very obvious truth and practical situation:
  • 28. 12 Table A: Summary of SWOT analysis pertaining HRCS in Tetra Pak Desired State Characteristic Category Current State Rationale Localization and aligning with the business and global guidelines. Being more knowledgeable Best practice sharing across the cluster Partnership Good Policies and procedures Account management Partnership Client expectations that HR knows it all To be Pro-active Delivering Services We are reactive Contextualizing Communication Perceived as lack of human touch Contextualizing the rationale and having a pragmatic approach Communication Too process driven – time consuming Drive the correct mindset and culture that stakeholders will be more independent Partnership Are we doing too much of tracking Improve collaboration within the HR function Partnership We are working in silo(s) Be more involved in strategic business stakeholder management Partnership Good working relationship with stakeholders Timely communication to HRCS on change management to support better employee experience Communication Change management communication Learn to blow our own trumpet Communication Lack in marketing HRCS Improve understanding of business Partnership Lack of Business knowledge Having backups who are able to provide support whilst we are away Partnership Cannot take leave with “peace” Being aware of challenging both from external and internal, the global management team has defined a clear direction until 2020 to ensure sustainable profitable growth for whole group. One of the spotlights is making further progress in the development and deployment of digitally-enabled products, services and applications that will fuel growth and
  • 29. 13 productivity for company’s customers, as well as for company itself, from codified packages to predictive maintenance. In Tetra Pak, they have several streams of activity now under way in this fast-moving and increasingly significant area of their business. Source - http://www.tetralaval.com/about-tetra-laval/comments-by-tetra- pak-ceo Another focus is on employee engagement. The management board is understandable the value of achieving sustainable engagement is business priority. Though in Tetra Pak, every 2 years there will be employee engagement survey and show to global management board and respective clusters or local operations a full picture and statistics about employee engagement with various benchmarks such as result in the past, result of Tetra Pak global and Global High Performance norms so that they prepare action plan to regain engagement. In 2015, the biggest and most critical difference of cluster South Asia – East Aisa and Oceania with Global High Performance norm is CHANGE AND COLLABORATION. And Tetra Pak Vietnam was not an outsider, one of hot potatoes thin Tetra Pak Vietnam needs to take improving action is CHANGE. Bases on this fact, survey result was communicated to team, root cause analysis was made, action plan was also made with prioritization and consolidation with cluster level. But the fact figured out that in fast pace business, people often decline or resist with change, that leads business outcome at risk. This figure below is from the 2016 Global Workforce study from Willis Towers Watson Organisations with LOW = below average traditional engagement 9.9 % Operating Margin. HIGH = Organisations with above average traditional engagement 14.3 % .
  • 30. 14 Figure 1.2: 2016 global workforce study - Source - Willis Tower Watson Because of this essence, the strategy till 2020 is made: Figure 1.3: Strategy till 2020 Source – Internal document of Tetra Pak
  • 31. 15 Despite the outstanding performance and well-known reputation of Tetra Pak, this study is done based on the need thin Tetra Pak wants their change repeatedly and sustainably in a given amount of time, financial and human resources. Especially change and change management in people management.
  • 32. 16 CHAPTER II: LITERATURE REVIEW 2.1 Chapter introduction In this chapter the researcher provides an overview of the existing relevant literature that characterizes the research problem and relates to research topic. Besides, this chapters presents the connection between the theory and the research questions and objective that stated in Chapter 1. The chapter also outlines theoretical framework, change and change management concept, conceptual framework and the empirical review. 2.2 Theoretical framework This literature review outlines change and change management; discusses some key reasons for change; sketches forms of change; presents John Kotter and ADKAR models and approaches to change; focus on 8th step of John Kotter model – Make change stick; and focuses on employees as the recipients of change, especially employee’s perceptions in change in people management and change management skills of leadership. The issue of communication, resistance and transitional period on the part of employees is also a particular subject and brought into discussion, because those factors and change are intertwined. 2.2.1 Change De Jager (2001, p. 24) stated that: Change is a simple process. At least, it’s simple to describe. It occurs whenever we replace the old with the new. Change is about travelling from the old to the new, leaving yesterday behind in exchange for the new tomorrow. But implementing change is incredibly difficult. Most people are reluctant to leave the familiar behind. We are all suspicious about the unfamiliar; we are naturally concerned about how we get from the old to the new, especially if it involves learning something new and risking failure. In corporate environment change can be understandable as the switching from the known into the unknown. As the future result of change is not certain and negatively impact competence profile of employees and abilities to cope with new things. We can see in many studies and reality that most employees don’t want change, unless the
  • 33. 17 clear visions and reasons for change are communicated transparently to them. That’s the reason why, in order to gain successful change, all relevant factors must be integrated such as vision, mission, communication, change management skills of leadership, contribution and company culture. Each and every above- mentioned factors has it own role in change. For instant: - Vision orients the future business of company - Mission acts like a guideline for change - Communication and change management skills of leadership play key roles in change preparation - Contribution of all relevant stakeholders will help to run a smooth and transparent process - Company culture help people understanding the company’s way of working, business philosophy, or on the other hand change initiative will be influenced by company culture. Stemming from those above factors, we all see that change is the nature of now a day business, it is competitive advantage of organizations. The one who initiates change and changes successfully is the person leads in the market and they are aware of the important of an integrated approach of merging structural, technological and behavioral apaches. 2.2.2 Change management There are many definitions of change managements, my most favourite definitions are: “The coordination of a structured period of transition from situation A to situation B in order to achieve lasting change within an organisation” BNET Business dictionary. “… a systematic approach to dealing with change, both from the perspective of an organisation and on the individual level…proactively addressing adapting to change, controlling change, and effecting change” Case Western Reserve University.
  • 34. 18 “Minimizing resistance to organisational change through involvement of key player and stakeholders” BusinessDictionary.com. ”Change management is a style of management that aims to encourage organisations and individuals to deal effectively with the changes taking place in their work” English Collins Dictionary. In term of execution, change management is a process with challenges when it comes to evaluate the effectiveness of change in an organisation. As previously mentioned, successful change is the competitive advantage to their competitors of organization. And all change will help organization to adapt, especially in management perspective. Organization can adapt internally or externally, within micro or macro scope. But change has never been easy. It must be highlighted that almost organizations managements are facing issues of resistance and communication when it comes to change. They are key contributors and root causes change failure. John Kotter has listed 8 common mistakes clearly in “Leading change “ (Leading change, 2012 page 16): 1. Allowing too much complacence 2. Falling to create a sufficient guiding coalition 3. Underestimating the power of vision 4. Under communicating the vision by factor of 10 5. Permitting obstacles to block the new vision 6. Falling to create short-term win 7. Declaring victory too soon 8. Neglecting to anchor changes firmly in the corporate culture And of course, those errors cause surely consequence: - New strategies are not implemented well - Acquisitions don’t achieve expected synergies - Reengineering takes too long and costs too much - Downsizing doesn’t get cost under control - Quality programs don’t deliver hoped for result To eliminate errors, Kotter (1996) suggested the follow in solutions:
  • 35. 19 - Change practices and strategies must be managed and well executed - All achievements must be scheduled ahead and relevant with expected results - Restructuring should be done as soon as possible to ensure not only change will be effective but also cost and timing also effective and associated closely with change - Manpower cutting off must be done in a proper manner with cost controlling and procedure respecting - Quality deployment system must be carefully chosen to get the expected result To survive in 21st century, organizations need to shift from traditional management system to modern one. In order to maintain a successful and reliable switching, organizations should equip for themselves with clear vision description, modern day value, quality oriented mindset of all levels, internal customers (stakeholder) focus, fast pace adaption, innovation, flat organization chart, flexibility, cross-functionality, globalization and expanding network. 2.2.3 Transformational leadership The key role during change implementation is leading. The leaders style will not only focus on change but also is the key element for creating direction and commitment. According to John Kotter (Leading change, 2012 page 28) Leadership defines what the future should look like, align people with that vision and inspires them to make it happens despite the obstacles. According to Kotter successful change depends on leadership from 70 to 90 percent whereas 10 to 30 percent of management. He also stated clearly in his book (Leading change 2012, page 29), it shows clearly the differences between management and leadership:
  • 36. 20 Management Leadership Planning and budgeting: Establish detail steps and timetable for achieving needed results, then allocating the resources necessary to make it happens. Organizing and staffing: Establish some structure for accomplishing plan requirements, staffing that structure with individuals, delegating responsibility and authority to carry out the plan, providing policies and procedures to help guide people and creating methods or systems to monitor implementation. Controlling and problem solving: Monitoring results, identifying deviations from plan then planning and organizing to solve those problems. Establishing direction: Develop a vision of the future, often the distant future and strategies for producing change needed to achieve that vision Aligning people: Communicate vision in words and deeds to all those who cooperation may be needed so as to influence the creation of team and coalitions that understand the vision and strategies and that accept their validity. Motivating and inspiring: Energizing people to overcome major political, bureaucratic and resources barriers to change by satisfying basic but often unfulfilled, human needs. Produce a degree of predictability and order and has the potential to consistently produce the short-term results expected various steak-holders (such as for customers, being always on time, for stock-holder, being on budget). Produce change, often to a dramatic degree, and has the potential to produce extremely useful change (such as new product that customers want, new approach to labor relations that helps make firm more competitive. Many authors presented guidelines for transformational leaders, and one of them is Gary Yukl, has delivered comprehensive guidelines for transformational leaders in his book Leadership in organizations and they are around the following aspect. - Articulate appealing vision. - Explain how the vision can be attained. - Act confident and optimistic. - Express confidence in followers. - Use dramatic, symbolic actions to emphasise key values. - Lead by example. In the research, the author will present and analyze 6 leadership elements/skills required in Tetra Pak. Those elements are not only base for delivery a successful change but also help all staff levels in Tetra Pak deliver best performance. And of course, the skill matrix for leadership elements very much depends on staff level.
  • 37. 21 2.2.4 John Kotter change model Figure 2.1: 8 step process of leading change – Source https://www.kotterinc.com/8- steps-process-for-leading-change/ According to figure D, there are 8 step process to identify the success factors for change management. Function of each step is described as follows: Step 1: Create a sense of urgency In order making change happens, it is necessary that the whole organisation desires change. This will help to enhance the sense of urgency of change. This is very important factor, as this will create initial motivation for moving things. During daily conversations in organisation, for instant when people talking about competitors, or happenings in the market and people start talking about change, that’s the very time change is initiated and nurtured. In this step, transparent communication about current risks, opportunities, reasons for change need to be discussed and according to Kotter, if 75% of leaders in the organisation see and accept the change, it will be premise for executing next steps. Step 2: Build a guiding coalition Convincing people “change is essential” is tough job. This job needs to be supported and lead by key players in organisation. Managing change is not enough, organisation top level needs also leading change. And in order to lead a change, a coalition or a leading group for change is a must. Those can be a group of persons who have
  • 38. 22 positive influence on other people. In this step, the sense urgency for change needs to be continuously promoted. The commitment of coalition members is the key element of this step, chains of coalition needs to be linked firmly with each other. Frequent check the loose chains within coalition helps to remove change resistance and enhance collaboration in team. Step 3: For a strategic vision and initiatives Wonderful ideas and solutions come up from initial thinking and initiatives about change. Those perceptions will be connected and created an overview vision for change. Vision should be relevant, clear and memorable. This will provide people in the organisation reasons for change. Only when other people see why are you making such effort to achieve the goals, then they will understand what they need to do and how they need to achieve that vision. You need to define the core values of change, strategies for change implementation and communicate clearly and effectively within organisation. Step 4: Enlist a volunteer army/Communicating vision and strategy Change message can be discussed everywhere in organisation, that’s the reason why change vision and strategy need to be communicated and conveyed in all small things that leaders doing. Take every single chance to communicate about organisation’s vision and strategy, not only in official meetings, but also in every single possible opportunity. Integrating vision in daily problem solving will keep it in mind of people, and people will remember it. What you do is more important than what you say, prove to the people by your daily activities. Besides, leaders need to eliminate the concern and worries of people in a transparent and honest ways. Vision is the guideline for all business activities from training and development until performance assessment.
  • 39. 23 Step 5: Enable action by removing barriers People have trend to resist all change. Leaders need to be aware of where is resistance to define suitable change mechanism and removing barriers. By empowering to your teams, you will lead change going ahead. Besides removing barriers and helping resistant understanding essence of change, acknowledgement and recognition to change makers are also important, as their change execution will be sample for other resistant. Step 6: Generate short term wins Success is the most inspiring motivation. Leaders need to show to people in organisation short-term or quick wins, so that the criticizers and resistant cannot prevent organisation from change. Being aware of strong points and weak points of organisation and strategizing goals implementation (from easy goal to difficult goal) also help the leaders gain short term win and motivate employees. Step 7: Sustain acceleration According to Kotter, short term or quick win is initial for long term and sustain win. Successful change creates new chance and definition problems for improvement. Lessons learnt (good points and improvement) after each achievement need to be analysed. After success new targets will be defined based on that momentum and admit new members to coalition to ensure sustainable change. Step 8: Institute change Change needs to be core part of organisation. Vision needs to be integrated in daily business operation, this will help change spreads and inspires in company’s culture. Continuous support from existing employees and leaders is crucial. Without supporting from those people, organisation may start change implementation over.
  • 40. 24 Change, change progress communication, success story, induction new hires about change, recognition the contribution of members, both new ones and existing ones, succession planning are key success factors of this step to ensure change instituted. 2.2.5 ADKAR model Different from John Kotter model, ADKAR model emphasises the importance of vision communication in each phase of change project. By focusing on what need to be done to achieve change project, organisation can get change successfully by involvement and implementation of all people. ADKAR was first time presented by Prosci by end of 1990, after a research project about change in more than big companies. And in 2016 it is published in the book of Jeff Hiatt “ADKAR, the model for change in business, government and our community”. As above mentioned, the ADKAR model focus on communication with respective partners of change project – the ones who are impacted by change. According to this model, in order to have successful change, you need to reach 5 targets of continuous communication/sharing when executing change project. They are: 1. Awareness about needs of change 2. Desire to contribute and support change 3. Knowledge – How to make change happens 4. Ability to change 5. Reinforcement to maintain change. ADKAR model presents, firstly, all respective parties need to be aware of change need. After that, this awareness must be shifted to desires to contribute and support change. As a result, people will create a good design for change project. The contributors of change project need to be well trained to make change happens. And
  • 41. 25 once change is alive, and successfully implemented, training once more time plays a key role to ensure people skilled and able to apply new abilities to make future targets done. And such behaviours will be reinforced again and again to make incoming projects successful. The basic principle of ADKAR model is every single target needs to be done before moving to the next target. 2.2.6 Transition of Human Resource Management The business leaders nowadays have to face with many questions on people management: How to hire right person at the right time in a right position with right cost? How to develop successors for leading team? How to design an organisation to meet customers’ satisfaction? How to reward the best performance? How to lead and manage a diversity of international workforce? How to control employment cost but still ensure fair treatment to all people? Such those things are urging leaders to take action to have an effective human resources management system for corresponding to global competition pressure, change in social structure and progress of technology. According to The Economist of May 26th 2009 - Human resources transformation refers to the massive restructuring of corporate human resources (HR) departments that took place in the decade or so after 1995. Before that, the staff in HR departments had generally been seen as administrators, not as people to be involved in high-level strategic discussions. HR staff saw themselves as lifetime career specialists with little need for knowledge or experience of what the rest of the business was about. But with the growing appreciation of the value of a company's human assets, and a need to ensure that the talent that an organisation requires is not just on board but also properly motivated, the role of HR has more and more come to be seen as strategic. The old-style HR that dealt with strikes, bonuses and gripes was rarely suited to this task, whereas the new-style HR deals with strategic people development and organisation design.
  • 42. 26 Since beginning of 90 decade of last century, the concept Strategic HRM (SHRM) was already introduced by scholar, and one of them was Randal S. Schuler and Susan E. Jackson in an article in journal of management review Vol. 16, (2005), where SHRM was simply defined SHRM means linking HR activities with business strategic need. Where in the past HR department focused more on administrative/tactical tasks, then today HR consumes more time on strategic issues. This is because of technology helps daily routines of HR practices more technologically based and HR department is able to spend more time on strategic tasks. In other words, HR nowadays needs to understand business in depth to be psychological and social driver. The old-style (Administrative HRM) and new-style HRM (strategic HRM) are clearly illustrated as in figure 1 and figure 2 below. Figure 2.2: Administrative HR vs Strategic HR, source Author
  • 43. 27 Figure 2.3: Time spending for administrative tasks and strategic tasks of an HR leader Source: 3 steps to move from administrative to strategic HR by Carol Anderson, 9. January 2017 on Cornerstone.com 2.2.7 How to make change repeatedly and reliably in people management Making change alive, repeatedly and reliably is the target of most leaders, especially change in people management is really challenge for almost organisation. In order to maintain change repeatedly and reliably it requires commitment from top leaders of organisation and dedicated resources. In this part the author focuses on the last two steps of Kotter’s model: Anchoring new approaches in the Culture. This component implies the leading style, talent acquisition, rewards and recognition, training and development, which will be full parts of a reliable and sustainable change management in organisation, or on the other hand, they will be full function of a growth organisation. Successful leadership will form desired behaviours and intervene to shape the corporate culture. What leaders say is carefully listened and important but how they do is more important. As they are the ones who demonstrate company’s culture with their words and actions. Establish skilled team by enabling a systematic way, from recruiting process to on boarding and then training and development. This will help to form a mechanism to spread change mind-set in organisation. - - - Talent management Work force planning Leadership development and coaching HRM - - - - - - - Employee relation Benefit and planning administration Hiring and selection Risk management Pay Technology Admin Strategic Chasing recalcitrant manager 80% 20%
  • 44. 28 Having right person in right position at right time with right cost is the fundamental challenge for all organisations. How to define right person to perform desired tasks, especially when it comes to change, always the big question for leaders.
  • 45. 29 CHAPTER III: RESEARCH METHODOLOGY 3.1 Chapter introduction The research design, population, survey method, data collection process, validity, reliability and data analysis being use will be presented in this chapter. 3.2 Research design Research design create the blue print for data collection, measurement and analysis of data. Primary data will be collected via surveys (online, questionnaires), interview (individual and group) then analysed by qualitative approach. Interpretation after data analysis and define the solutions for maintain repeated and reliable change. The design of the study was carried out within Tetra Pak Vietnam therefore the geographical scope is small and makes the survey easier to conduct. 3.3 Population The research targeted middle management level employees working in Tetra Pak, as they are the key players during implementation change. There are 25 people in middle management level of Tetra Pak, from supervisor level onwards. The findings of research are defined and generalized by correspondence of targeted employees. 3.4 Data collection Table 3.0: Sample size Department Target Population Sample Size Management board 3 3 HR & Finance 4 4 Production 7 7 Quality assurance 2 2 HSE 2 2 WCM 2 2 Engineering 3 3 Logistics 2 2 Total 25 25
  • 46. 30 Primary data is used for the research and obtained from Tetra Pak employees in Vietnam. A questionnaire is sent to employees in both hard copy and electronic one to obtain primary data. Besides questionnaire, individual and group interviews are also conducted to get perceptions of employees on change and change management. The questionnaire is designed in an understandable and effective way so that it can easily reflect the study topics. The questionnaire includes both open and closed questions and it is administered during working hours to ensure high rate of correspondence. Individual and group interviews were conducted spontaneously during free time and break time in company of interviewees with by author prepared list of questions. This methodology will help the author gets open and honest feedbacks from employees pertaining change and change management. 3.5 Data analysis As above mentioned, data analysis was completed by using qualitative technique. Based on data collected, the interpretive approach is made. Next to this, face to face interview is also made to define and ascertain the perception, behaviour in ethnography. The qualitative statements are made to present, to explain, to interpret the phenomenon under study but not used for verification of the study. The result of study is analysed by collecting the perceptions and understanding of correspondents. Using qualitative approach in this research supported the author to:  Understanding the bigger picture of change within organisation, it includes change management, change procedure and practices;  Understanding staff perceptions and understanding on change, especially change in human resource management in last 10 years in Tetra Pak;  Observing the relationships within organisation;  Making predictions about solutions to ensure change repeatedly and effectively;
  • 47. 31 Table 3.1: The summary of data collection and analysis is stated as below: Objectives Data Analyses Understanding perceptions of employees pertaining change and change management Primary data Frequency Percentage Interpretive approach Evaluate the impact of employees’ understanding about change on resistance on change Primary data Frequency Percentage Interpretive approach Finding the solutions for change repeatedly and reliably. Primary data Frequency Percentage Interpretive approach
  • 48. 32 CHAPTER IV: RESULT AND FINDINGS 4.1 Chapter introduction In this chapter, data analysis, findings and interpretation will be presented. Results are shown in tables and diagrams. The analysed data was edited under subjects and that reflect the study objectives. 4.2 Respond rate Total questionnaires that were sent out were 25 and returned 25 with properly filled and answered. This presented 100% success rate. According to well-know scholars, returns rate higher than 70% is very good rate and sufficient for the research. Table 4.0 Respond rate Response Frequency Percent Returned 25 100% Unreturned 0 0% Total 25 100% 4.3 Demographic characteristics This section describes all about information relevant to respondents such as age, gender, education background, service years in current position, service years in Tetra Pak.
  • 49. 33 AGE OF RESPONDENTS Above 50 years 4% 41 to 50 years 24% 20 to 30 years 40% 31 to 40 years 32% Figure 4.1: Gender of respondents - Source: Author’s own survey Figure 4.1 indicated that most of employees in Tetra Pak are male. The disparity is quite big and reflects the truth of gender imbalance in high tech industry. Figure 4.2: Age of respondents - Source: Author’s own survey Respondents are also required to indicate their age. The results in above 4.2 figure present that just 4% of respondents are above 50 years old. This means that most employees in Tetra Pak are at their middle age, the most productive age which can influent the company’s performance significantly positively. GENDER OF RESPONDENTS Female 36% Male 64%
  • 50. 34 Figure 4.3: Education background of respondents - Source: Author’s own survey Results in figure 4.3 show that almost employees acquired their education up to postgraduate and only 16% had acquired education level of diploma. This clearly indicated the employees of Tetra Pak are well educated and reflects the strategy of management board to have their key team players with good education background to be the fundament for a newly set up factory. This can also mean that the employees have capability to quickly learn new things and adapt to change and well manage change in the organization. This could be a benefit for organization’s performance. Figure 4.4: Position of respondents - Source: Author’s own survey CURRENT POSITION Expert 4% Director 16% Supervisor 36% Manager 44% EDUCATION BACKGROUND OF RESPONDENTS Diplopma Postgraduate 16% 16% Undergraduate 68%
  • 51. 35 The target attendees of this research are middle management level of company. Results in figure 4.4 show that more than 50% of respondents are manager and supervisor level, who the main workforce to deploy and execute change in organization. Figure 4.5: Service years in current position - Source: Author’s own survey The respondents were asked to indicate their service time in current position. Results in figure 4.5 show 28% of employees working in current position less than 3 years. This can also mean the people strategy of company to focus on succession planning for future change in term of management workforce. This is very formative stage in corporate environment for manpower staffing. Figure 4.6: Service time in Tetra Pak - Source: Author’s own survey SERVICE YEARS AT TETRA PAK Less than 2 Over 15 years years 16% 24% 6-10 years 8% 3-5 years 52% SERVICE YEARS IN CURRENT POSITION Less than 3 years 28% Over 7 years 24% 3 to 5 years 24% 5 t0 7 years 24%
  • 52. 36 The figure 4.6 shows the service years of respondents in Tetra Pak. 24% of respondents have work in Tetra Pak for less than 2 years and 16% have work in Tetra Pak for more than 15 years. This indicated the number of experienced people working in company. Results in figure 4.6 can be interpreted that the learning flow of knowledge will be continued as the very experience people will pass over company’s knowledge and values to their new hired co-workers. This will help to improve the performance of company. 4.4 Employees’ perception on change in human resource management Questionnaire of this section focused on the awareness of employees about change in human resources management. Besides, reasons for change, communication when change, success factors for change, change management project, change management skills of line manager, functions of human resources department required for change will be asked and integrated in this section. The table 4.1 below shows the feedbacks from respondents about roles and responsibilities of Human Resource Management in company. Almost respondents who had worked for Tetra Pak for more than 5 years understand correctly the roles and responsibilities of HR departments. Some of them were experienced in more than one role in last 10 year working in Tetra Pak and acted as human resource change executive in organization. Results show that employees still confuse the roles of HRM in company with daily routine administration and solving daily administrative problem, whereas the roles and responsibilities of HRM department in Tetra Pak present broader organizational aspects such as changes and change management in structure and culture to ensure human resource matching human resource with future requirements. The confusion mainly comes from group of respondents working in company less than 2 years. In addition, respondents still confuse roles of human resources manager in company. 24% of respondents (6 people) are very firm that Human Resources Manager of company is the person in charge of managing all functions of HR Departments. There is belief that HR Department controls people strictly with policies, this comes from 24% of respondents. Possible reason might be come from people have not been inducted properly by the time of joining.
  • 53. 37 Findings from this question are very important for researcher to identify implications on a later stage.
  • 54. 38 4.5 PART A: CHANGE UNDERSTANDING Table 4.1: Breakdown of awareness of employees about functions and responsibilities of Human resource department How do you understand about functions and responsibilities of Human Resource department in company? Answer options Right Don’t know Wrong Response count HR Department manages people by policies 20 5 25 HR Department is responsible for proactively deploying Global HR strategy through direction for employee to implement their tasks to reach company's strategy 22 3 25 HR Department is responsible for solving problems related to people through expertise of its staff 25 25 Respective line manager is the person in charge of solving problems related to people with expertise support from HR Department. 18 7 25 HRM is the person in charge of managing all function of HR Department 6 19 25 HRM is the strategic partner of other cross function department and support, advise other departments all aspects related to people and acts as coordinator to ensure service quality of other functions of HR Department provided to other departments 14 11 25 HR Department in charge of internal matters 25 25 HR Department in charge of both internal and external matters 25 25 HR Department focuses on short term requirements such as cost reducing or improving product quality of company 10 15 25 HR Department focuses on long term strategies such as investment effectiveness or sustainability of company's knowledge 17 8 25 HR Department is the change follower 9 16 25 HR Department is the change initiator and facilitator 10 15 25 HR Department controls employees strictly 17 8 25 HR Department control employees by giving them freedom to execute their jobs with responsibility 18 1 6 25 Answered questions 25 Skipped questions 0
  • 55. 39 Figure 4.7: Awareness of employees about HR Departments functions - Source: Author’s own survey The questions were made to see the awareness of employees about functions of HR department in Tetra Pak. The figure 4.7 reflects the answers from employees. Overall, managers level understood correctly the functions of HR department. 88% (22) responders are aware of that HR Department is responsible for proactively deploying Global HR strategy through direction for employee to implement their tasks to reach company's strategy. 72% (18) responders understand key role of line managers is solving problem related to people with the expertise support from HR experts. One more important factor pertaining to change showed that 40% (10) responders understand that HR department is the change initiator and facilitators not the change follower. Besides understandable feedbacks about HR departments functions, there are still many confusions from employees. Such confusions come from almost new hires and supervisor level. 24% (6) responders confused that HR Manager is in charge of managing all functions of HR Department. This feedback reflects the familiarity of employee with old HR model, administrative HR management. Or there are still Right Don’t know Wrong AWARENESS ABOUT HR DEPARTMENT'S FUNCTIONS H R DE P A RT ME NT C ONT ROL … H R D E P A R T M E N T C O N T R O L S … H R D E P A RT M E N T I S T H E C H A N G E … H R D E P A R T M E N T I S T H E C H A N G E … H R DE P A RT ME NT F OC US E S ON LONG … H R DE PA RT ME NT F OC US E S ON … H R D E P A R T ME N T I N C H A R G E O F … H R DE P A RT ME NT I N CH A RGE OF … 0% H RM I S T H E ST RA TE GIC P A RT NE R OF … H RM I S T H E P E RS ON I N C H A RGE OF … RE S P E CT I VE L I NE MA NA GE R IS T HE … H R DE P A RT ME NT I S RE SP ON S I BLE … H R D E P A RT M E N T I S R E S P O N S I BL E … H R DE PA RT ME NT MA NA GE S P E OP LE … 72% 68% 40% 0% 36% 0% 68% 40% 0% 100% 100% 0% 4% 24% 0% 32% 60% 64% 0% 32% 60% 0% 56% 24% 0% 44% 76% 72% 0% 28% 100% 88% 80% 0% 0% 12% 0% 20%
  • 56. 40 44% (11) responders thought that HR Manager is not the strategic partner of other cross function department and support, advise other departments all aspects related to people and acts as coordinator to ensure service quality of other functions of HR Department provided to other departments. One more critical finding is 32% (8) responders thought it was not correct that HR Department focuses on long term strategies such as investment effectiveness or sustainability of company's knowledge. And 60% (15) responders understood that HR Department just focuses on short term requirements such as cost reducing or improving product quality of company. 24% (6) of responders did not think that they have freedom to execute the jobs with responsibility. Again, such wrong perceptions come from newly employed staff. Table 4.2: Breakdown satisfaction of employees about recent change in HRM System in company Are you satisfied with recent change in HRM system of company? Answer options Response count Response percent Yes 12 48.00% No 13 52.00% Answered questions 25 100% Skipped questions 0 SATISFACTION ABOUT CHANGE IN HRM Yes No 48% 52%
  • 57. 41 Figure 4.8: Satisfaction about change in HRM System in Tetra Pak - Source: Author’s own survey The results in table 4.2 show that 52% (13) of respondents are not satisfied with recent change in HRM system in company. This result mainly comes from the group of people had worked in company from 3-5 years. 5 out of 13 unsatisfied respondents are at manager level, remaining are supervisor level. This result an alert to management team and forces them analyzing the root causes prepare the action plan for improvement the satisfaction rate. This will be clearly revealed in expert interview and implication part. Table 4.3: Success evaluation of HRM strategy execution at department level Is deployment HRM strategy in your departments executed successfully? Answer option Response count Response percent Strongly agree 0 0% Agree 8 32 % Neither agree nor disagree 4 16% Disagree 12 48% Strongly disagree 1 4% Answered questions 25 100% Skipped questions 0
  • 58. 42 Figure 4.9: Success evaluation of HRM Strategy execution at department level - Source: Author’s own survey This question is designed to understand in depth about HR Strategy execution in department level. Results in table 4.3 showed just 32% (8) responders agreed that HRM strategy executed successfully in their departments. 16% (4) responders did not know if it is executed successfully or not. And there are 48% (12) person disagreed that HRM strategy is not successfully deployed in their departments. Among disagreed responders there are both managers and supervisors. Even the people working in HR department also expressed their disagreement about the statement that HRM strategy executed successfully in their department. Success evaluation of HRM strategy execution 40 % % 32% 48% 16% Strongly agree Agree Neither agree nor disagree Disagree Strongly disagree
  • 59. 43 Table 4.4: Understanding reasons for HRM change Do you understand reasons for change in HRM? Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5 is the most important). Answer option Not important Less important Important Very important Extremely important Response count 1 2 3 4 5 Cost cutting 1 1 1 4 8 1 25 Increasing Operational Efficiency/Standardization 1 5 6 5 8 25 Better knowledge & processes management Shared Services of HRM 1 1 2 3 4 5 25 Enhancing people management skills of middle level manager 3 3 5 7 7 25 Increasing Brand Awareness and competitive advantage of company 2 7 1 0 4 2 25 Improvement of the quality of product and service 2 7 8 6 2 25 Creating "buy in" of employees into organizational change in 4.0 industry 3 5 8 5 4 25 Requirement on improvement of the quality of service 2 7 1 0 4 2 25 Globalization 3 2 1 5 3 2 25 Standardizing competence profile for all positions as of global standard 2 2 7 6 8 25 Answered questions 250 Skipped questions 0
  • 60. 44 REASONS FOR HRM CHANGE S T A NDA RDI ZI NG C OMP E T E NC E … 8%8% 28% 24% 32% GLOBA LI S AT I ON 12%8% 60% 12%8% RE QUI RE ME NT ON I MP ROVEME NT … 8% 28% 40% 16% 8% C RE A T ING " BUY I N" OF … 12% 20% 32% 20% 16% I MP ROVE ME NT OF T H E QUA LI T Y … 8% 28% 32% 24% 8%I NC REA S I NG BRA ND A W A RE NE S S … 8% 28% 40% 16% 8% E NH A NC ING PE OP LE … 12%12% 20% 28% 28% BET TE R K NOW LE DGE & P ROCE S S ES …4% 48% 12% 16% 20% I NC REAS ING OP ERA T IONA L…4% 20% 24% 20% 32% C OS T C UT T I NG 44% 4%16% 32% 4% Not important Less important Important Very important Extremely important Figure 4.10: Understanding reasons for HRM change - Source: Author’s own survey The responders were asked to provide at least 5 reasons for HRM change that they might think that the most important ones. And the results in table 4.4 stated top 5 selected reasons for change in HRM are: 1. Standardizing competence profile for all positions as of global standard (32%) 2. Increasing Operational Efficiency/Standardization (32%) 3. Enhancing people management skills of middle level manager (28%) 4. Better knowledge & processes management Shared Services of HRM (20%) 5. Creating "buy in" of employees into organizational change in 4.0 industry (16%) Besides such top 5 above mentioned reasons, many responders still bear in mind that the current restructuring in HRM at Tetra Pak is for cost cutting, 32% of responders thought this is very important reason, or improvement of quality and service, 24% thought this reason is very important.
  • 61. 45 Extreamly clearly Not so clearly Very clearly A little bit clearly Absolutely unclearly Change reasons comunication 8% 0% 24% 32% 36% Table 4.5: Clear reasons communication Are the above mentioned reasons communicated to you clearly Answer option Response count Response percent Extremely clearly 0 0% Very clearly 6 24% A little bit clearly 9 36% Not so clearly 8 32% Absolutely unclearly 2 8% Answered questions 25 100% Skipped questions 0 Figure 4.11: Clear reasons communication - Source: Author’s own survey Result in table 4.5 showed that 24% (6) of responders thought that reasons for change communicated to them clearly. 68% responders’ feedbacks mentioned clearly that the reasons for change did not communicated to them clearly (32%) or a little bit clearly (36%). This came almost from new hired employees and supervisor level.
  • 62. 46 Table 4.6: Success factor for change Which factors do you think leading success change in company? Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5 is the most important). Answer option Not important Less important Important Very important Extremely important Response count 1 2 3 4 5 Integrating changing plan (short term, middle term and long term plans) 1 4 9 8 3 25 Clear vision and communicated transparently 3 5 17 25 Strong commitment from top management 7 1 0 8 25 Effective leadership skills from top management 3 8 8 6 25 Change management skills from middle level management 2 7 7 9 25 Transparent and sufficient communication 6 1 2 7 25 Management from executive officers 6 8 7 2 2 25 Buy in motivation from employees 3 3 4 15 25 Project management skills 6 8 5 2 4 25 Creating urgency of change 1 8 9 7 25 Strong coalition to lead change 4 4 17 25 Leading factor is company's culture: Understanding company's culture before leading change 1 3 6 1 0 5 25 Clear action plan and communicated effectively and specifically to respective parties 2 9 7 7 25 Clearly mentioning the roles of HR department with training middle level managers about change management skills and other functions of HR department 1 0 7 4 2 2 25 Answered questions 250 Skipped questions 0
  • 63. 47 Figure 4.12: Success factor for change - Source: Author’s own survey Result in table 4.6 presented top 5 success factor for change: 1. Strong coalition to lead change (68%) 2. Clear vision and communicated transparently (68%) 3. Buy in motivation from employees (60%) 4. Change management skills from middle level manager (36%) 5. Strong commitment from top management (32%) SUCCESS FACTORS FOR CHANGE Clearly mentioning the roles of HR department with… 40% Clear action plan and communicated effectively and… 0% 8% 36% Leading factor is company's culture: Understanding…4%12% 24% Strong coalition to lead change 0%16% 16% Creating urgency of change 04%% 32% 28% 16% 8% 8% 28% 28% 40% 20% 68% 36% 20% Project management skills 24% 28% 8% 16% Buy in motivation from employees 0%12% 12% Management from executive officers 24% Transparent and sufficient communication 0% 24% 32% 16% 32% 60% 28% 0% 8% Effective leadership skills from top management 0%12% 28% 32% 48% 28% 32% Strong commitment from top management 0% 28% 40% 8% 8% 28% 36% 24% 32% Clear vision and communicated transparently 0%12% 20% 68% Integrating changing plan (short term, middle term…4% 16% 36% 32% 12% 0% 20% 40% 60% 80% 100% 120% Not important Less important Important Very important Extremely important
  • 64. 48 Manager level is convinced by top 3 success factors: - Clear vision and transparent communication - Buy in motivation from employees - Change management skills from middle level manager Besides top 5 extremely important success factor for change, responders also mentioned about very important success factors for change as stated below: 1. Transparent and sufficient communication (48%) 2. Strong commitment from top management (40%) 3. Leading factor is company's culture: Understanding company's culture before leading change (40%) 4. Creating urgency of change (36%) 5. Effective leadership skills from top management (32%) 6. Integrating changing plan (short term, middle term and long term plans (32%) There are some responders thought that project management skill (32%) and management from executive officer (32%) are not important.
  • 65. 49 Table 4.7: Change success factors done in company Which factors do you think being done in company during change? Please tick in appropriate box (from 1 is less frequency to 5 is the highest frequency). Answer option Frequency (1 = less, 5 = Highest) Response count 1 2 3 4 5 Integrating changing plan (short term, middle term and long term plans) 1 0 5 5 3 2 25 Clear vision and communicated transparently 1 6 2 7 9 25 Strong commitment from top management 5 7 3 4 6 25 Effective leadership skills from top management 8 3 4 5 5 25 Change management skills from middle level management 8 9 3 2 3 25 Transparent and sufficient communication 8 9 6 1 1 25 Management from executive officers 7 7 4 5 2 25 Buy in motivation from employees 9 8 5 2 1 25 Project management skills 2 3 5 8 7 25 Creating urgency of change 2 5 4 6 8 25 Strong coalition to lead change 3 5 3 8 6 25 Leading factor is company's culture: Understanding company's culture before leading change 8 8 9 25 Clear action plan and communicated effectively and specifically to respective parties 4 3 6 8 4 25 Clearly mentioning the roles of HR department with training middle level managers about change management skills and other functions of HR department 9 8 4 3 1 25 Answered questions 250 Skipped questions 0
  • 66. 50 Figure 4.13: Change success factors done in company - Source: Author’s own survey When asking this question, the author wanted to understand about the awareness of responders about change execution in company. As many of responders (especially the ones who have been working with company for more than 5 years) are trained from initial steps of change. The result in table 4.7 reflected the leading factors during change in company: 1. Clear vision and communicated transparently (36%) 2. Leading factor is company's culture: Understanding company's culture before leading change (36%) 3. Creating urgency of change (32%) 4. Project management skills (28%) 5. Strong coalition to lead change (24%) 6. Strong commitment from top management (24%) This result revealed the strategy of management team during change. At the first stage the management team wanted to convey clear message about vision of company and then strategy is made. Throughout the change, company culture is integrated in change so that all employees will not only understand and conduct 1 2 3 4 5 FACTORS DONE DURING CHANGE C LE A RLY ME NT IONI NG TH E ROLE S OF … 36% 32% 16% 12%4% C L E A R A C T I O N P L A N A N D … 16% 12% LE A DI NG F AC T OR I S C OMP ANY ' S … 0% 32% S T R O N G C O A L I T I O N T O L E A D C H A N G E C RE A T I N G U R G E N C Y O F C H A N G E P ROJE C T MA NA GE ME NT S K I LLS BUY I N MOT I VA T I ON F ROM E MP LOY E E S MA NA GE ME NT F ROM EX E C UTI VE … T RA NS P A RE NT A ND S UF F I CI ENT … 12% 20% 8% 20% 24% 32% 12% 32% 32% 16% 8% 12% 20% 36% 28% 32% 32% 24% 32% 32% 16% 36% 24% 32% 28% 28% 36% 36% 16% 20% 8%4% 20% 8% 24% 4% 4% 32% 20% 12% 16% 12% 8% 12% 20% 20% S T RONG C OMMI T ME NT F ROM T OP … C L E A R V I S I O N A N D C O MM U N I C A T E D …4% I N T E G R A T I N G C H A N G I N G P L A N … 24% 40% 28% 8% 12% 16% 24% 28% 20% 36% 20% 12% 8% 0% 20% 40% 60% 80% 100% 120%
  • 67. 51 business activities as company culture but also equipped with change/project management skills. Management team always understood that collaboration is the key factor for every success, and for change success is not an exception. Member in coalition must be the person understand the urgency for change, speak the voice of company and support the resistant person for change understood the needs of change and overcome their comfort zone. Table 4.8: Satisfaction rate about change management skill of superior Are you satisfied with change management skills that your superiors done in your departments/company? Please tick in appropriate box (from 1 is not satisfied to 5 is extremely satisfied). Answer option Not satisfied A bit satisfied Satisfied Very satisfied Extremely satisfied Response count 1 2 3 4 5 Inspiring subordinate 3 2 6 7 7 25 Taking actions with vision of company 4 6 5 4 6 25 Strong and peremptory 3 6 7 5 4 25 Decisive 8 6 7 4 25 Durable 2 6 5 6 6 25 Empowering subordinate 2 3 7 5 8 25 Understanding and sympathy to subordinate and durable 6 4 6 7 2 25 Humorous 8 9 3 3 2 25 Open minded 8 7 4 3 3 25 Answered questions 125 Skipped questions 0
  • 68. 52 CHANGE MANAGEMENT OF SUPERIOR OPE N MI NDE D HUMOROUS UNDE RS T A NDI NG A ND SY MPA T H I NG… E MP OW E RI NG S UBORDI NA T E DURA BLE DECISIVE S T RONG A ND P E RE MT ORY T A K I NG A C TI ONS W IT H VIS ION OF … I NSP I RI NG S UBORDI NA T E Figure 4.14: Satisfaction rate about change management skill of superior - Source: Author’s own survey This question is made to dig the satisfaction rate of supervisor and manager level to change management skills of their superiors. And top 5 change management skills that responders mentioned are: 1. Empowering subordinate (32%) 2. Inspiring subordinate (28%) 3. Durable (24%) 4. Taking action with vision of company (24%) 5. Strong and peremptory (16%) Responders at manager level agreed that they are fully empowered during change and acted freely with responsibility. Whereas almost supervisor level agreed that they are inspired a lot during change, from day one they are inspired by company’s culture and visions. During their service time at company, such culture fascinated them to behave professionally and in a proper manner. And top 3 skills that responders are not satisfied are: 1. Open minded (32%) Not satisfied A bit satisfied Satisfied Very satisfied Extremely satisfied 32% 28% 16% 12% 12% 32% 36% 12% 12% 8% 24% 16% 24% 28% 8% 8% 12% 28% 20% 32% 8% 24% 20% 24% 24% 32% 24% 28% 16%0% 12% 24% 28% 20% 16% 16% 24% 20% 16% 24% 12% 8% 24% 28% 28%
  • 69. 53 2. Humorous (32%) 3. Decisive (32%) Result showed that employees expected their superior more open to them and on the other hand more decisive in making their decisions related to change. Table 4.9: Critical HR functions for organisational change Which functions of HR department is critical for organizational change? Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5 is the most important). Answer option Not important Less important Important Very important Extremely important Response count 1 2 3 4 5 Organizational design and manning plan 11 1 4 8 1 25 Talent acquisition inside and outside the organization 1 5 6 5 8 25 Detailed induction for new hires 1 12 3 4 5 25 Build up competence profile and skills for each position equivalent to the standards of industry and globe 3 3 5 7 7 25 Enhance professional and soft skills training by e-learning 2 7 10 4 2 25 Training effectiveness evaluation 2 7 8 6 2 25 Performance evaluation 3 5 8 5 4 25 Succession planning 2 7 4 4 8 25 Employee engagement survey and appropriate action plan to improve engagement rate 3 2 15 3 2 25 Answered questions 225 Skipped questions 0
  • 70. 54 CRITICAL HR FUNCTIONS FOR ORGANISATIONAL CHANGE E MP LOY E E E NGA GE ME NT S URVE Y … 12%8% 60% 12%8% S UC CE S S I ON P LA NNI NG 8% 28% 16% 16% 32% 8% 28% 40% BUI LD UP C OMPE TE NCE P ROF I LE A ND … 12%12% 20% 28% 16% 8% 28% DE TA I LE D I NDU CT I ON F OR NE W H I RES 4% TA LENT AC QUI S IT ION I NSI DE A ND …4% 20% 48% 24% 12% 16% 20% Not important Less important Important Very important Extremely important ORGA NI S A T I ONA L DE S I GN AND … 44% 20% 32% 4%16% 32% 4% P E RF ORMA NC E E VA LUA T I ON 12% 20% 32% 20% 16% T RA I NI NG EF F E C T IVE NES S E VA LUAT I ON 8% 28% 32% 24% 8% Figure 4.15: Critical HR functions for organisational change - Source: Author’s own survey This question helps the author to analyse the states of responders about critical functions of HR department during organisational change. Responders would rate their answer from 1 to 5 (not important to extremely important). As per result showed in table 4.9 we can see that the top 5 critical functions for organisational change of HR department are: 1. Succession planning (32%) 2. Talent acquisition inside and outside the organisation (32%) 3. Build up competence profile and skills for each position equivalent to the standards of industry and globe (28%) 4. Detailed induction for new hires (20%) 5. Performance evaluation (16%) This result reflected the expectations of supervisor and manager levels for core HR services inside the organisation such as: - Resourcing - Develop and manage people
  • 71. 55 - Learning management - Rewards - Compensation Other than that responders also stated that Organisational design and manning plan is a very important function of HR department (32%). 24% of responders agreed that training effectiveness evaluation is also very important function that HR department of Tetra Pak should focus on. Table 4.10: People management skills of superior Which of the following knowledge related to people management skills of your superiors for change management in the company? Please kindly give at least 5 reasons by ticking in appropriate box (from 1 is not important to 5 is the most important). Answer option Not important Less important Important Very important Extremely important Response count 1 2 3 4 5 Organizational design and manning plan 5 6 4 7 3 25 Talent acquisition inside and outside the organization 7 1 0 2 3 3 25 Detailed induction for new hires 3 3 8 9 2 25 Build up competence profile and skills for each position equivalent to the standards of industry and globe 1 3 4 8 9 25 Training effectiveness evaluation 3 7 4 8 3 25 Performance evaluation 2 8 9 6 25 Succession planning 3 7 6 9 25 Answered questions 175 Skipped questions 0
  • 72. 56 PEOPLE MANAGEMENT SKILLS OF SUPERIORS S UCC E S S I ON P LA NNING 0 P E RF ORMA NC E E VA LUA T I ON 0 T RA I NI NG EF F E C T IVE NES S E VA LUAT I ON % 12% 28% 24% 36% Not important % 8% 32% 36% 24% 12% Less important 28% 16% 32% 12% BUI LD UP C OMP E TE NC E P ROF I LE A ND 4 S K I LLS F OR E AC H P OS I TI ON … % 12% 16% 32% 36% Important DE TA I LE D I NDUC T I ON F OR NE W H I RE S T A LE NT AC QUI S IT I ON I NS I DE A ND OUT S I DE T H E ORGA NIS A T I ON ORGA NI S A T I ONA L DE S I GN A ND MA NNI NG P LA N 12%12% 32% 36% 8% Very important 28% 40% 8%12%12% Extremely important 20% 24% 16% 28% 12% Figure 4.16: People management skills of superior - Source: Author’s own survey This question enabled the author investigate the importance of people management skills for line managers. The result in table 4.10 presented top 5 important skills required for a line manager: 1. Succession planning (36%) 2. Build up competence profile and skills for each position equivalent to the standards of industry and globe (36%) 3. Performance evaluation (24%) 4. Talent acquisition inside and outside the organisation (12%) 5. Training effectiveness evaluation (12%) This result presented the true role of line managers in Tetra Pak, they are not only work manager but also people manager. In order to achieve this goal, the line managers need to be trained to be competent with people management. Of course with support from expertise HR partners.