Edsml Assignment SCM 2 - Velux Group

International School of Management Studies
Pune Maharashtra - India
Customer Dissatisfaction Leads to Change: A VELUX Case Study
06-01-2017
MD SAMSUDDIN
Statement of Authenticity
I certify that the work submitted in regard to this assignment is my own and wherever the works of others have been
used to support my work, the credit has been duly acknowledged.
Student Email : mohammadsamsuddin.isms@gmail.com Date: 13-12-2016
UNIT 3: STRATEGIC CHANGE MANAGEMENT

Extended Diploma in Strategic Management & Leadership
International School of Management Studies, Pune Maharashtra - India
Table of Contents
Sl. Page
Particulars
No No
1 Executive Summary --- 3
2 Introduction --- 4
3 Task 1: --- 5-10
4 Task 2: --- 11-13
5 Task 3: --- 14-18
6 Conclusion 19
7 Bibliography 20
Page 2 of 20
Executive Summary:
This assignment deals with the case study of The VELUX Group in the UK , head office is based in Horsholm , north of
Copenhagen but the UK headquarters and customer contact centre are in Glenrothes, Scotland . Basically, this
assignment consists of three tasks.
In the first task, the problems which are being faced by the company; has been explained. Here, the stakeholders who are
involving in the change have been mentioned and an efficient system has been developed which will be effective for the
company.
In the second task, a change management strategy for the company involving the stakeholders essential for the change
has been described. Here, various types of resistances towards the change and how a company can get rid off from these
resistances have been also elaborated.
In the third task, a model of change to handle the problems has been developed and also shown the steps for its
implementation. Here, it is also elaborated a detail as to how the progress of the change model will be monitored.
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Introduction/Background of the Case:

The VELUX Group was founded in 1954 and its head office is based in Horsholm, north of Copenhagen but the UK
headquarters and customer contact centre are in Glenrothes, Scotland. VELUX is a Danish company that specializes
in roof windows and skylights. The first VELUX roof window was installed in a Danish school over 75 years ago by the
founder of the company, Villum Kann Rasmussen. The company has been steadily growing since, entering the German
market in 1952 in a partnership with Ernst Gnter Albers and then later between the sons, Lars Kann-Rasmussen and
Peter Albers
(VELUX, 1954's)
A pair of VELUX skylights, GGL-7 center-pivot roof window (forward) and FS2 fixed Skylight (above) installed in a cathedral
ceiling
In addition, VELUX offers many types of decoration and sun screening, roller shutters, installation products, products for
remote control and thermal solar panels for installation in roofs. VELUX has manufacturing companies in 10 countries and
sales companies in just under 40 countries.
The VELUX Group has around 10,000 employees and is run by VKR Holding A/S, a limited company wholly owned by
foundations and family.
The company currently sponsors the VELUX 5 Oceans Race and the EHF Champions League.
In 2005, VELUX was selected as the top brand in the Windows: Skylights/Roof category by the Builder magazine
Product of the VELUX

Skylights
Roof Windows
Sun Tunnel Skylights
Modular Skylights
Commercial Skylights
Blinds (VELUX, 1954's)
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Task : 01
Problems
The most significance problems faced by the company The VELUX Group are mentioned below
Customer Satisfaction
Proper marketing Strategy
Lack of Employee Training
Poor Quality Service
Marketing Myopia
Problem with Incentive Scheme
Customer Satisfaction
The company VELUX Group has been suffering from a chronic problem of customer dissatisfaction. Since the customer
satisfaction is the prime goal of every company. So if a company is unable to provide proper customer satisfaction then it
will be unable to be a market leader and its market share will also be low.
Proper marketing Strategy
Among the problems faced by the company VELUX Group; proper marketing strategy is the key problem of the company
because if a company is fail to market it product in an efficient way then it will not be able to attract sufficient customers
as much as is needed.
Lack of Employee Training
Lack of proper training is another significance problem of the company VELUX Group in the UK. Proper training is the
most efficient strategy which increases the capacity of productivity of the company. If a company provides proper
training strategy to its employees then it will be easy for the company to achieve its goal.
Poor Quality Service
Customer dissatisfaction arises from the poor quality of services provided by the company VELUX Group in the UK.
Quality of service is regarded as the backbone of every company which make a company world famous or it can also
make a company looser.
Marketing Myopia
Marketing Myopia is the most dangerous situation for every company. A company is said to be suffered from marketing
myopia when it focused on short term goal & not the long term goal. The company VELUX Group was also suffering
from marketing myopia for which customer dissatisfaction was arisen.
Problem with Incentive Scheme
Due to get rid off from the customer dissatisfaction, the company VELUX Group took a new idea to provide incentive to
the operators which makes the situation exacerbate. Due to get incentive the operators put important on those
customers who were ready to buy the product. (Taken From the Case)
Changes in Organizations
Most organizations have to change as part of keeping up with the competition or adjusting to new market trends or
technologies. Things such as mergers, restructuring, technological advancements, process enhancements, changing
customer demands and new product lines are fairly common in today's business environments. If you recall, reasons for
change can be attributed to an organization's external environment as well as their internal environment.
A CEO may see change in terms of organizational structure & strategy. A manager in operations may see
change in terms of processes. A manager in technology may see change in terms of systems & tools. In some cases a
change is so complex that no one person has a true end-to-end view of it. It can be a significant challenge to align the
different types of change across an organization. The following ten types of organizational change endlessly overlap. It's
rare to have a change that impacts just one area.
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Kinds of Changes
Mission & Strategy
Organizational Structure
People
Culture
Knowledge
Policies & Legal Agreements
Processes
Technology
Products, Marketing & Customer Relationships
Integration
1.Mission & Strategy
In theory, all changes in an organization are aligned to the organization's mission and strategy. In reality, changes may be
difficult to map to strategy or may even contradict it. When mission & strategy change the impact may reverberate
throughout the organization.
2. Organizational Structure
Organizational structure refers to the objectives, roles and responsibilities of departments, teams and individuals.
Major changes such as mergers & acquisitions are considered structural changes. However, structural changes may also
be relatively minor (e.g. establishment of a small new team).
3. People
Hiring, turnover, roles & responsibilities, training and other individual changes. People changes may seem minor but
taken as a whole they represent a critical focus for change management. For example, training is critical to the
acceptance of change.
4. Culture
Changes to the principles, expectations, norms, working habits and symbols of an organization. Culture is important to
strategic objectives such as productivity, innovation and compliance.
5. Knowledge
Changes to the knowledge assets of an organization. Knowledge supports every program, project, initiative, process and
product. Organizations increasingly identify knowledge as an important asset and target for change.
6. Policies & Legal Agreements
A change as minor as a new rule or policy can have a big impact on an organization. New rules (or changes to legal
agreements) aren't always popular with employees and customers implementation and acceptance can be a change
management challenge.
7. Processes
Changes to business process and tasks represent amongst the most common type of change. Many organizations have
implemented continuous improvement programs that change processes on a regular basis. Processes also need to
change to support new strategies or to leverage new technologies.
8. Technology
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Changes to technology infrastructure, systems, automations and tools. Some firms focus on technology change letting
it drive other change within the organization. It's common for change management to be highly focused on technology
changes.
9. Products, Marketing & Customer Relationships
Changes to products, marketing and sales are a critical focus for many organizations. For example, new product
development is often key to strategy execution.
10. Integration
Processes need to work with technology. People need to work with processes. Rules apply to processes. Rules align with
cultures. Most changes require integration. Integration is aligning things so that they support, compliment and add value
to each other. It's often the most complex type of change.
Changes Required for the Company The VELUX Group

After going through the case, it has been realised that the company The VELUX Group requires those changes that
occur in a company's internal environment, including the followings-
Strategic Changes
people changes
Structural Changes
Strategic Changes
Strategic change involves making changes to the overall goals, purpose, strategy or mission of an organization. It is a
major upheaval to how the organization conducts business. The external environment of an organization can, at times,
place significant demands on an organization that it must rethink its fundamental approach to business. Changes to
things such as what products or services it offers, the target customer segments or markets it tries to reach, how the
company distributes its products or services, its position in the global economy and who it will partner with for
manufacturers, distributors and other logistical needs are just some examples of strategic changes.
people changes
People changes are directed towards improving employee performance, skills, attitudes, behavior and loyalty to the
organization, as well as to enhance manager-subordinate relationships, group cohesion and employee sense of
achievement. Changes to people can be large-scale, such as replacing all of the top-level managers in hopes of creating a
new organizational culture, or small-scale, such as working to change employee attitudes through things such as team
building or other behavioral activities.
Structural Changes
Structural changes are those changes made to the organization's structure that might stem from internal or external
factors and typically affect how the company is run. Structural changes include things such as the organization's
hierarchy, chain of command, management systems, job structure and administrative procedures. Circumstances that
usually create the need for structural change include mergers and acquisitions, job duplication, changes in the market
and process or policy changes. (Study.com, 2013)
Stakeholders:
A stakeholder is anyone with an interest in a business. Stakeholders
are individuals, groups or organisations that are affected by the activity of the business. They include: The CEO and his or
her executive team have to satisfy and balance the demands of various parties. Sometimes these demands are in conflict
and one has to be prioritized over another. So what is the pecking order among the companys stakeholders? When it
comes to the crunch whose needs should be met first? Here is a suggested order of preference.
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Various types of Stakeholders are mentioned below-
Customers.
Employees
Shareholders
Suppliers, distributors and other business partners
The local community
National Government and regulatory authorities
Customers
Peter Drucker defined the purpose of a company as this; to create customers. Without customers the company cannot
survive so in almost all situations the customer needs have to come first. The customer can always to choose to take his
business to a competitor so it is essential that we continue to innovate, to offer good products and good value for money.
Employees
The employees are the ones who create and deliver the products or services that the customers consume. If we lose or
antagonize our best employees then customer service will suffer so we need to look after them. If we want to attract and
retain top talent at all levels then we have to offer terms and conditions that are attractive.
Shareholders
The shareholders own the company. They might well have put forward the seed capital which we need to get started so
their needs are important. Ultimately the board, acting on behalf of the shareholders, can replace the CEO and the
executive team. However, provided we are broadly on plan in terms of revenues and profit the shareholders are
generally satisfied and will leave us alone. They will only take action when things are going badly wrong so we do not
need to always act to please them.
Suppliers, distributors and other business partners

We need to collaborate with our partners to run the business. Many have essential skills that we lack. It is best to build
good long-term relationships. However, the partners also have their own agendas and most can be replaced if they
underperform or a better partner appears.
The local community
We want to be a good citizen with healthy links to the local community. We want to be seen as a responsible employer
who is providing a good place to work. This is important but is clearly a lower priority than those above.
National Government and regulatory authorities
These are less important stakeholders but we want to keep on the right side of them. We want to be compliant with
regulations and avoid disputes and prosecutions. This order of priority will help us to resolve conflicts. E.g.
Should we hire cheaper staff to maximize profit even it if means poorer customer service? No; we should hire
the best people we can afford in order to deliver better customer service. It might hurt profit in the short term
but should deliver better growth and profits long term.
Should we arrange things so as to minimize corporation tax and thereby increase profit? The answer clearly is
yes. The shareholders outrank the national government in priority.
Should we lay off staff if we are in serious financial difficulty? If it is necessary for survival then we have to take
the difficult step of making employees redundant. We cannot serve the customers if we cannot survive.
(Destination Innovation, 2016)
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Stakeholders Involved in the in the Change of the Company The VELUX Group
The most crucial stakeholders who are involved in the change of the company the VELUX Group are mentioned below-
Shareholders
Employees
Customers.
Suppliers & distributors
Shareholders
Shareholders are the persons who hold the share of the company. Therefore shareholders are also involved in the change
of the company. In case of the company VELUX Group also shareholders play the most significance role. The shareholders
own the company. They might well have put forward the seed capital which we need to get started so their needs are
important. Ultimately the board, acting on behalf of the shareholders, can replace the CEO and the executive team.
However, provided we are broadly on plan in terms of revenues and profit the shareholders are generally satisfied and
will leave us alone. They will only take action when things are going badly wrong so we do not need to always act to
please them
Employees
Employees are the undividable part of the company; without employee a company is meaningless. Therefore employees
are also involved in the change of the company VELUX Group in the UK. The employees are the ones who create and
deliver the products or services that the customers consume. If we lose or antagonize our best employees then customer
service will suffer so we need to look after them. If we want to attract and retain top talent at all levels then we have to
offer terms and conditions that are attractive.
Customers
A company should change according to the customer needs and wants if it wants to be a successful company. The
company VELUX Group also wants to change according to the customer needs & wants. Therefore it is clear that the
customers are also involved in the change of the company.
Suppliers & distributors
Suppliers & distributors are that part of the company without which a company can never spread. In the enlargement of
the company, suppliers & distributors play an important role for which a company is able to survive within the world. In
case of the company VELUX Group in the UK, the suppliers & distributor are also involved in the change of the company.
(Taken From the Case)
A System is Developed to Involve the stakeholders in the Planning of Change

Prior to implementing a companywide change, it is important to get stakeholders on board. Organizations take
their stakeholders into confidence, just to ensure the smooth transition, since they are the one who will be
affected by the change. For an organization stakeholder can be its employees, customers, suppliers,
shareholders, managers, government, local community, creditors etc. an order to achieve this goal, stakeholder
analyses are carried out.
Stakeholder Analysis
The process of identifying those who will be affected by the actions of organisation.It also enables the managers to
analyze the attitudes of stakeholders towards the change. In order to carry out this analysis, following steps are taken:
Identify the stakeholders - in stakeholder analysis the first step is to come up with the list of any who will be affected by
the organizational actions, this can include an individual, a group or an organization.
The possible stakeholders for Gill Construction can be: new Managing Director, previous MD, senior managers, suppliers,
lenders / banks, customers, public, future recruits, environment protection groups, and regulatory bodies
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Prioritize your stakeholders - For organizations the list of stakeholders can be very long, in one case of university 20,000
stakeholders were identified. This doesn't mean that everyone is very important to the organization. Hence the next step
in stakeholder analysis is to prioritize stakeholders. This can be done using Power / Interest Grid. Using this grid, Gill
construction can identify their key stakeholders, which can be: new Managing Director, senior managers, suppliers,
lenders / banks, customers, public, environment protection groups and regulatory bodies
Existing workforce
Understand Your Key Stakeholders - this is the last step in stakeholder analysis. It focuses on understanding the key
stakeholders, and defines the way they will be affected. It also highlights the interests stakeholders have with the
organization. It answers the following question:
What financial or emotional interest do they have in the outcome of change? Is it positive or negative?
What motivates them?
What information do they want?
How do they want to receive information? What is the best way of communicating with them?
What is their current opinion? Is it based on good information?
Who influences their opinions generally? Do some of these influencers therefore become important stakeholders in their
own right?
If they are not likely to be positive, what will win them around to support change?
How to manage their opposition
How they can influence others by their opinion? (UK ESSAY, 2015)
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Task: 02
A Change Management Strategy has been Developed with stakeholders for the Company VELUX
A strategy will be formed which will help management at Gill Construction to gain commitment from their stakeholders.
A general change management strategy involves three steps:
Situational awareness - before a companywide change is implemented, everyone will be made aware of the change and
what is going to happen in result of this change. A vision will be created Stakeholders will be informed that how this will
effect. Suppliers will be notified about what will be expected of them. Employees will be taken into confidence to avoid
panic.
Supporting structures - second step is to structure teams and sponsor coalition. They will be debriefed about who is
going to do what. If they will be let go off, they will be informed at this stage. They will be informed that they need to
train to operate the new machinery. Bank or Lender will be informed about new purchases and equipment. New policy
about H & S will be sent to HSE and they will be informed about it. Suppliers will be contacted and new terms regarding
JIT will be set, also material price will be revisited.
Strategy analysis - this stage involves risk analysis to be carried out. What degree of risk is involved in this change? What
will happen if this strategy fails? In case there is no progress even after this change, what will we do, what if lenders
refuse to pass a load. In case of resistance from stakeholders a resistance to change strategy will be required.
Management will give their best to negotiate on good terms with the suppliers and use the bargaining power.
Management also needs to convince the bank and lenders to pass the load and take them into confidence.
Resistance to Change
It is in human nature that whenever they are asked to move out of their comfort zone or change, they resist it. When
organizations go under change it is very obvious that stakeholders will be afraid of its outcome. Hence it is very important
to manage this resistance because this resistance can raise the risk factor during the change or transition process.
Types of Resistance to Change
Three types of resistance are - 1) Logical & Rational
2) Psychological & Emotional
3) Sociological Resistance
1) Logical & Rational Resistance

These resistances are the outcomes of disagreement with rational facts, rational reasoning, logic & science. These
arise from the actual time & effort required to adjust to change including new job duties that must be learned. They
are too costly which might be borne by the common employees & managers. Even though change may be beneficial
for the employees in the long run. But the short run cost for change must be paid first. These include the following-
Time require to adjust
Extra effort to relearn
Possibility of less desirable condition
Economic costs of change
Questionable technical feasibility of change
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2) Psychological & Emotional Resistance

These types of resistances are typically based on emotions & attitude. It is internally logical from the perspective of
the employee attitude and feelings about change. Employees may fear the unknown, mistrust management or feel
that their security & ego needs are threatened. These include the following-
Fear of unknown
Low tolerance of change
Dislike of Management/change agent
Lack of trust in other
Need for security
Desire for status quo
3) Sociological Resistance
Sociological resistance may sometimes be logical. This happens when it is seen as a product of challenge to group
interests, norms, & values. Since social values are powerful force in the environment, they must be carefully
considered. On a small group level, there is work friendship & relationships that may disrupt buy change. Then
resistance occurs. However sociological resistance includes the following:
1. Political Coalitions
2. Opposing Group Value
3. Parochial/Narrow outlook
4. Vested Interest
5. Desire to retain existing friendships (Resistance to Change, 2002)
Logical & Rational Resistance is Expected towards the Change

When an organization or a company is going to change, it is forbidden by various resistances such as logical &
rational resistance, psychological & emotional resistance & sociological resistance. Among these three types of
resistances, logical & rational resistance is faced by the company VELUX Group.
These resistances are the outcomes of disagreement with rational facts, rational reasoning, logic & science.
These arise from the actual time & effort required to adjust to change including new job duties that must be learned.
They are too costly which might be borne by the common employees & managers. Even though change may be
beneficial for the employees in the long run. But the short run cost for change must be paid first. These include the
following-
Time require to adjust
Extra effort to relearn
Possibility of less desirable condition
Economic costs of change
Questionable technical feasibility of change
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Logical & Rational Resistance can be planned to Resist the Following Ways
Provide Logical Argument
Facts & Figures
Show the Benefit of Change
Provide Logical Argument

The company or the top management can resist the logical & rational resistance by proving some logical argument. If the
company is able to provide valid argue then the people who were resisting will never forbid to go ahead the company
VELUX Group.
Facts & Figures
Facts & figures are the easiest things by which the resisters are easily convenience. If the company VELUX Group shows
the proper facts & figures of the companys future planning, then the employees will be so happy & they accept the
change happily & therefore there will be no resistances.
Show the Benefit of Change
If the company shows the benefit of change to the people who were resisting, then they will compel to think about the
benefit of change and thus there will be no resistances. (Taken From the Case)
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Task: 03
Model of Change
The most significance models of change are described below-
ADKAR model
Kurt Lewins Three Steps Models
Mc Kinseys 7s Model
Kotters Eight Step Model
ADKAR model
The Prosci ADKAR Model is a goal-oriented change management model to guide individual and organizational change.
Created by Prosci founder Jeff Hiatt, ADKAR is an acronym that represents the five outcomes an individual must achieve
for change to be successful: awareness, desire, knowledge, ability, reinforcement.
(ADKAR Change Management Model Overview, 1994's)
When applied to organizational change, this model allows leaders and change management teams to focus their activities
on what will drive individual change and therefore achieve organizational results. ADKAR provides clear goals and
outcomes for change management activities. It also provides a simple, easy-to-use framework for everyone in the
organization to think about change. Employees, managers and senior leaders alike can all use ADKAR to describe and
discuss change together
Change is often a complex and difficult process, and - what's more - it is inevitable. Managing change on the personal and
organizational level requires new thinking, new models for change and new frameworks and tools to enable the smooth
implementation of the desired change. ADKAR can be applied to a wide variety of changes to drive change success.
(Prosci, 1994's)
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Kurt Lewins Three Steps Models
This three step model gives a manager or change agent an idea of what implementing change means when dealing with
people. The 3 phases of the Kurt Lewin model provide guidance on how to go about getting people to change: a manager
will implement new processes and re-assign tasks, but change will only be effective if the people involved embrace it and
help putting it into practice it.
Unfreezing
This first stage of change involves preparing the organization to accept that change is
Necessary, which involves break down the existing status quo before you can build up a new
Way of operating.
Changing/Moving
After the uncertainty created in the unfreeze stage, the change stage is where people begin
To resolve their uncertainty and look for new ways to do things. People start to believe and
Act in ways that support the new direction.
Refreezing
When the changes are taking shape and people have embraced the new ways of working,
The organization is ready to refreeze. The outward signs of the refreeze are a stable
Organization chart, consistent job descriptions, and so on. The refreeze stage also needs to
Help people and the organization internalize or institutionalize the changes.
(Mind Tools, 1940's)
Mc Kinseys 7s Model
The McKinsey 7S Framework is a management model developed by well-known business consultants Robert H.
Waterman, Jr. and Tom Peters (who also developed the MBWA-- "Management by Walking Around" motif, and
authored In Search of Excellence) in the 1980s. This was a strategic vision for groups, to include businesses, business
units, and teams. The 7 Ss are structure, strategy, systems, skills, style, staff and shared values.
The model is most often used as an organizational analysis tool to assess and monitor changes in the internal situation of
an organization.
The model is based on the theory that, for an organization to perform well, these seven elements need to be aligned and
mutually reinforcing. So, the model can be used to help identify what needs to be realigned to improve performance, or
to maintain alignment (and performance) during other types of change.
Whatever the type of change restructuring, new processes, organizational merger, new systems, change of leadership,
and so on the model can be used to understand how the organizational elements are interrelated, and so ensure that
the wider impact of changes made in one area is taken into consideration.
inconsequential offshoot project nested in McKinsey's rather offbeat San Francisco office." While Daniel's first project
was focused on Business Strategy, this second project was concerned with Organization, which Peters defined as
involving "the structure-and-people side." This "Organization" project was seen as less important, according to Peters in
a Fast Company interview.
Despite being described as "marginal," the project "had an infinite travel budget that allowed [Peters] to fly first class and
stay at top-notch hotels and a license from McKinsey to talk to as many cool people as [he] could all around the United
States and the world." Peters admits that "There was no carefully designed work plan. There was no theory that I was out
to prove. I went out and talked to genuinely smart, remarkably interesting, first-rate people." In addition to Karl Weick
and Einar Thorsrud, Peters notes that Douglas McGregor's theory of motivation known as Theory X and Theory Y was
directly influential on the direction of the project.
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In a 1978 article, "Symbols, Patterns and Settings," Peters argued that "shifting organizational structure" and "inventing
new processes" - structure and system, respectively - were only two tools of organizational change. Peters then outlines
eight "mundane" tools that every manager has at their fingertips. He described this article as a "tentative presentation"
and "the first public expression of these ideas."
(Ovidijus Jurevicius, 2013)
Kotters Eight Step Model
Katters 8-Step Process for Leading Change
Founded on tenets of the 8-Step Process, Katter International equips businesses with the means and method to
transform themselves quickly, continuously and with powerful results. Organizations that do not or cannot evolve will not
last; our Advisory Services and Center for Leaders are designed to help your organization develop the mindsets and skill
sets necessary to lead change.
Step 1: Create Urgency
For change to happen, it helps if the whole company really wants it. Develop a sense of urgency around the need for
change. This may help you spark the initial motivation to get things moving.
Step 2: Form a Powerful Coalition
Convince people that change is necessary. This often takes strong leadership and visible support from key people within
your organization. Managing change isn't enough you have to lead it.
Step 3: Create a Vision for Change
When you first start thinking about change, there will probably be many great ideas and solutions floating around. Link
these concepts to an overall vision that people can grasp easily and remember.
Step 4: Communicate the Vision
What you do with your vision after you create it will determine your success. Your message will probably have strong
competition from other day-to-day communications within the company, so you need to communicate it frequently and
powerfully, and embed it within everything that you do.
Step 5: Remove Obstacles

If you follow these steps and reach this point in the change process, you've been talking about your vision and building
buy-in from all levels of the organization. Hopefully, your staff wants to get busy and achieve the benefits that you've
been promoting.
Step 6: Create Short-Term Wins
Nothing motivates more than success. Give your company a taste of victory early in the change process. Within a short
time frame (this could be a month or a year, depending on the type of change), you'll want to have some "quick wins "
that your staff can see.
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Step 7: Build on the Change

Katter argues that many change projects fail because victory is declared too early. Real change runs deep. Quick wins are
only the beginning of what needs to be done to achieve long-term change.
Step 8: Anchor the Changes in Corporate Culture
Finally, to make any change stick, it should become part of the core of your organization. Your corporate culture often
determines what gets done, so the values behind your vision must show in day-to-day work. (Mind Tools, 1940's)
Kurt Lewins Three Steps Model has been Selected and Developed to Handle the Problem Faced by the VELUX Group
Kurt Lewins Three Steps Model has been selected because the company VELUX Group has been suffering from
a chronic problem of customer dissatisfaction for many years. Therefore, sudden change would not be possible; if the
company VELUX Group wants to make a sudden change it will be forbidden by various resistances as mentioned above.
So if the company wants to get rid off from this type of chronic problem, then the company has need to follow the Kurt
Lewins Three steps Model eg- Unfreezing , Moving or Change & Refrezing
1st Step: Unfreezing

Among the three steps of Kurt Lewins Model, the 1st step is unfreezing which means normalize the problem or
situation. Before making change, the company VELUX Group has needed to normalize the situation by consulting
with their employees. Once if the employees realize about change, then there is no difficulty to make the change
for the company VELUX Group.
nd
2 Step: Moving/Changing
Kurt lewins 2nd step is Moving/Changing which is most important for change. It means moving from uncertainty
to certain stage. If the company VELUX Group is able to remove the uncertainty, then it will be free to move the
succeeding way. After the uncertainty created in the unfreeze stage, the change stage is where people begin
To resolve their uncertainty and look for new ways to do things. People start to believe and
Act in ways that support the new direction.
3rd Step: Refreezing

The 3rd step of Kurt Lewins model is refreezing which means continue the prevailing situation(which is carried
from unfreeze to move and then to refreeze & continue the refreeze stage) so that the existing situation cant
be come back. The company VELUX Group should be stayed in the determine mind so that the previous stage
would never occur again.
When the changes are taking shape and people have embraced the new ways of working,
The organization is ready to refreeze. The outward signs of the refreeze are a stable
Organization chart, consistent job descriptions, and so on. The refreeze stage also needs to
Help people and the organization internalize or institutionalize the changes.
A Detail Process of the Change Model is elaborated below
Once the change implementation strategy is planned, the next step is to put appropriate measures in place which will
monitor the performance. This can be achieved with the use of following:
Goal-based evaluation - the aim of this evaluation is to monitor the performance of change and see if the desired goals
have been achieved, this involves:
Page 17 of 20
Formulating clear goals, what we wanted to achieve. The goal was to improve the operational quality and supply chain.
The next step is to align the organizational goals with the change goals. Gill Construction aim is to provide quality service
to the client and gaining customer satisfaction that will be aligned with the goals for change, the change was required to
improve supply chain, and also service quality by using new equipment.
Next step is to recognize if we have achieved our goals. The effectiveness of supply chain can be checked by measuring
waste levels. Also work force commitment can be seen by appraisals and the percentage of accidents at work place.
Process-based evaluation - it is another tool which measures the effectiveness on the basis of process performance. This
checks if the process redesigning has improved the service quality. It will focus on the supply chain process and see if the
process has shown its effectiveness. Are the stakeholders happy with the process? The new process for customers to be
in direct contact with project manager and not with head office is it really helping customers or not. Feedback can be
taken at this point, which can assist the managers in monitoring the situation. (UK ESSAY, 2003)
Page 18 of 20
Conclusion:
From this assignment the understanding is made that the customer dissatisfaction is the most dangerous situation for the
company like VELUX Group because customer satisfaction is the prime goal for every company. The company VELUX
group has been suffering from a chronic problem of customer dissatisfaction for many years. To solve this problem the
company provide an incentive to the operators which makes the situation exacerbate. Finally, the company (the top
management of the company) realized the fact & the vanguard Scotland was called in to investigate the situation.
From this assignment it is also realized that if a company wants to be a market leader, then the top
management of the company should always focused on customer satisfaction & feedback also; otherwise it may be faced
the most dangerous situation of losing its position as market leader .
Page 19 of 20
Bibliography
ADKAR Change Management Model Overview. (1994's). Retrieved December 12, 2016, from Prosci:
http://www.prosci.com/
Destination Innovation. (2016, September 16). Retrieved December 13, 2016, from Destination Innovation:
https://artsalliancegw.org/destination-innovation/
Mind Tools. (1940's). Retrieved October 20, 2016, from Kotter's 8Step:
https://www.mindtools.com/pages/article/newPPM_94.htm
Ovidijus Jurevicius. (2013, December 20). Retrieved October 24, 2016, from
https://www.strategicmanagementinsight.com/about.html
Prosci. (1994's). Retrieved December 12, 2016, from Prosci: http://www.prosci.com/adkar
Resistance to Change. (2002). Retrieved from Changing Minds.org: resistance_change/resistance_change.html
Study.com. (2013, september 12). Retrieved Deceber 13, 2016, from Study.com:
http://study.com/academy/lesson/organizational-change-causes-types-challenges-for-managers.html
UK ESSAY. (2003). Retrieved December 13, 2016, from Management Essay:

https://www.ukessays.com/essays/management/systems-to-involve-stakeholders-in-planning-of-change-management-
essay.php
UK ESSAY. (2015, March 23). Retrieved December 13, 2016, from Management Essay:
https://www.ukessays.com/essays/management/systems-to-involve-stakeholders-in-planning-of-change-management-
essay.php
VELUX. (1954's). Retrieved December 13, 2016, from Our Products: http://www.veluxusa.com/
VELUX. (2016, September 20). Retrieved December 13, 2016, from Press Centre: http://press.velux.com/
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International School of Management Studies

Pune Maharashtra - India

Customer Dissatisfaction Leads to Change: A VELUX Case Study

Student Email : mohammadsamsuddin.isms@gmail.com Date: 13-12-2016

UNIT 3: STRATEGIC CHANGE MANAGEMENT

3 Task 1: --- 5-10

4 Task 2: --- 11-13

5 Task 3: --- 14-18

Introduction/Background of the Case:

Product of the VELUX

Changes Required for the Company The VELUX Group

Various types of Stakeholders are mentioned below-

Suppliers, distributors and other business partners

A System is Developed to Involve the stakeholders in the Planning of Change

1) Logical & Rational Resistance

2) Psychological & Emotional Resistance

Logical & Rational Resistance is Expected towards the Change

Provide Logical Argument

(ADKAR Change Management Model Overview, 1994's)

Kurt Lewins Three Steps Models

(Mind Tools, 1940's)

Kotters Eight Step Model

Katters 8-Step Process for Leading Change

Step 1: Create Urgency

Step 2: Form a Powerful Coalition

Step 3: Create a Vision for Change

Step 4: Communicate the Vision

Step 5: Remove Obstacles

Step 6: Create Short-Term Wins

Step 7: Build on the Change

Step 8: Anchor the Changes in Corporate Culture

1st Step: Unfreezing

3rd Step: Refreezing

A Detail Process of the Change Model is elaborated below

Prosci. (1994's). Retrieved December 12, 2016, from Prosci: http://www.prosci.com/adkar

Resistance to Change. (2002). Retrieved from Changing Minds.org: resistance_change/resistance_change.html

UK ESSAY. (2003). Retrieved December 13, 2016, from Management Essay:

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