BMA701 - Leadership and Change Management by House of Fraser


  • Unit No: 17
  • Level: High school
  • Pages: 9 / Words 2177
  • Paper Type: Assignment
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  • Downloads: 933
Organization Selected : House of Fraser
Question :

This assessment will provide all questions which are like:

  • What are the issues and impact on the operation and strategy of the organisation with their significant changes in House of Fraser?
  • Provide all the effective nature with which the driver of change is managed in the House of Fraser
  • What are the barriers to leadership in decisions making?
  • Give all the approaches and the change initiative.
Answer :


Change is a process which help the organisations to reform and rebuild their strategies and operations so that they can remain competitive in the market and can ensure their survival over a long period of time. This help companies to reduce their costs and increase their efficiency with which they perform in market (Alavi and Gill, 2017). This report is based on House of Fraser which is a British department store group with its 54 stores located across the UK and Ireland. The company has been bought by the retail group of The Sports Direct boss who aims at dividing the the House of Fraser into two divisions of which Fraser stocking will deal with more designer labels whereas House of Fraser will cater to the needs of mass market. This will help the declining market of company to revive as it is loosing about £3m a week. This report give details about internal and external drivers of change and their impact on the decision-making of managers. Barriers of change are also discussed along with the leadership approaches so that such changes can be successfully installed.


1) overview of the case study

In the second case study it is discussed about House of Fraser's which is bought by the retail group The Sports Direct boss which aims at changing the way in which the business is conducted so that the losses suffered by company can be reduced. This will be done by assimilating all the retail stores of the company into a new luxury mini-chain called as Frasers. It will reduce the number of non-functional stores so that the cost of these stores can be reduced. Also the company aims at dividing the stores into two divisions with one division dealing in expensive designer products while the other one dealing with goods that focus on the mass market (Al-Haddad and Kotnour, 2015).

2) Drivers of change and their impact on organisational strategy

Changes in organisation are brought due to internal or external drivers of change so that the competitiveness of company can be maintained in marketplace. Internal drivers are the resources available with organisation, capabilities of employees, organisational culture, policies and strategies of the company etc. External drivers of change are changes in government policies and laws, changing technology, varying customer demands etc. All these factors lead to changing in company's structure, processes and the way its activities are carried out so that the sustainability and survival of company in competitive environment can be maintained (Bloxham, Ehrich and Iyer, 2015).

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3 & 4) PEST analysis and comparison of two firms along with the impact of change on company's operations and strategy

The operations and strategies of an organisation helps them to achieve their long-term goals by mapping the route which needs to be followed by them so that they can achieve their vision and mission. To understand the impact of change on organisation's strategy and operations following comparison is done :


House of Fraser

Fashion chain select


The political situations of the UK are stable which means that companies can change their strategies easily. This helps the company to easily open new luxury mini-chains and close the chains which are not profitable. The impact on its operations is that the company can operate through two divisions with one aiming at high income group of people and other aiming at mass market (Dawson and Andriopoulos, 2014).

As the political condition of UK is stable it can help the company to enter into agreement of acquisition easily. The impact of this factor on its strategy is that it can try to access all the business options so as to be beneficial to its stakeholders. The impact on its operations is that it can easily get acquired by any interested parties by the consent of its board of directors.



The company is facing high competition in market and also the consequences of economic prostration of fiscal market in 2008. The strategic impact on company is that it will change its strategy so as to be available to mass markets at lower prices while the impact on operations is that it will now operate through two divisions of its stores so that it can aim different sections of the society.

As the disposable income of people is decreasing and the rents are becoming high it has led the company to change its strategies and operations like it has entered into a company voluntary agreement so as to negotiate rent cuts of up-to 75%. Operational impact on company is that it will reduce the number of employees in its stores so as to reduce costs.


People in UK are more involved in spending their money on leisure activities or spending more on education than buying consumer products for themselves which has reduced company sales. The impact on company's strategy is that it is now closing down some non-functional stores to reduce costs and impact on its operations is that it will operate through mini-chains so that more customers can be attracted.

Customers nowadays more involved in online shopping which has reduced company's business and because of this earning that can help in paying their workers and the shop rent also is not accumulated. The operational change on company can be that it can start dealing online so that more number of customers can be reached while the strategic change can b that it can change its pricing policy from economic pricing to penetration pricing so that the company sales can be increased.


The company is facing competition from the online shopping and also from other competitors who are operating through online apps. The strategic change regarding this is that the company can attract more customers through its luxury mini-chains while impact on its operations can be to operate through online portal so as to reach large number of customers.

The company faces competition from increasing online shopping which has increased its losses. For this the company has entered into CVA so that the stores can continue to operate without getting closed. It also has an option of getting acquired so that it does not close down (Fragouli and Ibidapo, 2015).

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5) impact of change on leadership, individuals and team behaviours

  • Change in ownership: The acquisition by Sports Direct will have an impact on the leadership, individuals and team behaviours of House of Frasers. The impact of change on leadership will be that the leadership style will change according to the acquiring company and Sports Direct boss might appoint an highly skilled leader to form teams in House of Frasers. This will change the way in which job roles are assigned among team members and the way in which team members will complete their task. The senior leader might follow a different leadership style which will affect the behaviour of all the employees and might create tension and pressure among them.
  • Change in structure: As the stores will be divided into two divisions which will focus on two separate groups of people there will be a change in leadership, individual and team behaviour. The individuals and teams which will work in the division focusing on mass market will aim at increasing their sales by offering their products at low prices and the leaders will motivate them to increase sales. On the other hand in other division where more designer and expensive clothes will be sold the main focus will be on maintaining strong customers relations so as to retain customers. The teams and individuals will emphasize on selling and leaders will focus on enhancing relations with customers. As the structure of organisation will change there will also be some job losses which will increase job insecurity among workers and will also mean that leaders will have to change their leadership style so as to monitor resistance among workers.

Though both internal and external drivers of change will affect the behaviour of individual, team and leaders, the impact of external factors will be more as there will be a change in the way company operates and functions in market.

6) How the impact of change can be minimized

The company can use the Burke-Litwen model so that change can be effectively applied and the impact of change can be minimized. This model aims at enhancing the performance of the team by linking their performance with the internal and external factors which affects their performance and motivation level (Komives, 2016). Change in organisation can be due to various internal and external factors which can be applied in company by using this model as it helps in identifying the reasons of change in employee performance due to change and the ways in which their performance and motivation can be enhanced. It is a human tendency to resist change therefore it is important that communication is made effective so that change can be efficiently implemented which will help in making employees understand about the reasons of change and its benefits. Democratic leadership style must be involved along with effective communication so that negative impact of change can be minimized and employees can be included in decision-making.

From the above-stated context, it can be concluded that leadership and decisions taken are a major role played in an organisation. Leadership seems to be a definite topic but in reality, it is a vast and complicated one. With strategies, planning, creating structure and implementation all the steps require deep-rooted knowledge and practical analysis of the situations like how the decisions will work in different situations. Many students face problems when professors give them the task of writing an essay on leadership, due to lack of knowledge and practical hand exposure in the situation they often seek help for leadership essay writing. But do not worry we have a solution for all your problems, we at Instant Assignment Help Australia are a well-known company that provides 100% plagiarism-free essays with on-time delivery of the content.


Covered in PPT


From this report, it can be concluded that change is the basic requirement of the organisation so as to survive in the competitive market which helps the company in bringing strategic and operational changes so that the company can reduce its costs and increase the efficiency of performance. This helps the company in gaining a competitive advantage in the market and also its sustainability can be maintained. Also while implementing change in the organisation the company needs to change its leadership so that the change management can be efficiently done and the employees can be motivated to accommodate to the change.

You may also like to read :


Books and Journals

Alavi, S. B. and Gill, C., 2017. Leading change authentically: How authentic leaders influence follower responses to complex change. Journal of Leadership & Organizational Studies. 24(2). pp.157-171.

Al-Haddad, S. and Kotnour, T., 2015. Integrating the organizational change literature: a model for successful change. Journal of Organizational Change Management. 28(2). pp.234-262.

Bloxham, R., Ehrich, L. C. and Iyer, R., 2015. Leading or managing? Assistant regional directors, school performance, in Queensland. Journal of Educational Administration. 53(3). pp.354-373.

Dawson, P. and Andriopoulos, C., 2014. Managing change, creativity and innovation. Sage.

Fragouli, E. and Ibidapo, B., 2015. Leading in crisis: Leading organizational change & business development. International Journal of Information, Business and Management. 7(3). p.71.

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