Cafe Coral Management Current Cultural State

Current Cultural State

Analysing cultural aspects is equally essential, in order to understand the various needs of different individuals that belongs to different cultures (Hofstede 1991). With this ideology, the company has been able to give importance not only with the Chinese and market but most especially to stakeholders in the international level. In addition, Café de Coral management sees to it that they value the opinion of their employees no matter what is their nationality.  Since, this company is competing globally; it cannot be denied that they need employees from different cultures to be in the company to help in the decision making.  It is also indicated that the international managers has been able to create a positive relationship in the local managers because of the reorganization done by Café de Coral management.

 

Analysis of Issues

Since many customers of fast food chain nowadays are health conscious, different fast food industries are doing its best to become more appealing to their customers in terms of having products which are healthy friendly. However, the problem or issue facing Café de Coral is not on the product per se but on how they would let their customer know that what they have are healthy products. Hence, it can be said that it is important that Café de Coral should consider changes in terms of their campaign for public image and this can be done through the use of Integrated Marketing Communication.

 

Factors for Changes

Companies, industries and working organisations may implement a change in their management system due to the internal and external forces (Yee 1998).  Herein, the chance process may be imposed at different sectors in the structure of firms (Swenson 1997) and that transformations may be universal or restricted (Reigeluth 1994).  Internal forces that drive changes include growing business needs, organisation reform, or adjustment and modification of the corporate strategy or business objectives. On the other hand, external drivers may include the improvement of technology, the need for electronic and technical services and the economic trend and development that influence the profitability of the industry.

            In initiating changes or innovation within a business sector, there are many factors that must be considered in order to make certain that the changes will enhance business performance and adheres to the vision or goals set. One of these factors is the willingness of the management of the company to initiate innovation. Without the support of the entire management, the innovation of the company will not be possible. In line with Café de Coral it is important that the management of the company will provide its full support for the innovation plan, process and design.  Another factor that must be considered is innovation manager. Another factor is having a thriving organisational culture. Organisational culture is the "deeper level of basic assumptions and beliefs that are shared by members of an organisation, that operate unconsciously, and that define in a basic 'taken for granted' fashion an organisation's view of it and its environment." (Schein 1985) A less precise definition is that culture is the way we do things around here. Organisational culture involves symbolic actions and physical settings.

 

Scope of the Changes

            In this innovation, the critical area that must be given attention is the advertising and promotional campaign of Café De Coral.  Generally, advertising or promotional campaigns are regarded as an open sponsorship of offering products, services and any ideas through the use of any mediums of communication. In this regard, there are different kinds of media which are use for advertising and promotional campaign purposes. The major advertising media include magazines, newspapers, radio and television, billboards, business publications and circulars which are being sent through mails.  However, with the evolution of the modern technology specifically the existence of the World Wide Web had made the internet to be considered as one of the most essential advertising media.  Basically, in this new IMC theme, the focus will be heavily on advertising and sales promotion.

 

Sources of Resistance

      Although there are different factors that support innovation, there are also some aspects which inhibits or restrain innovation. The following are the possible resistance that inhibits the success of innovation; these are the perception or reaction of stakeholder, organisational culture and absence of support. One of the resistances that may occur is the reactions of the employees or the members of the working organisation. Although there are employees who will be in favour in the changes for example in advancing the technological facilities of their offices, some may not be in favour or such implementation.   Some would say that the improvement should not be done for these facilities due to the tendency that to malfunctions.  In addition, the people that implement such technological advancement might not have enough knowledge to resolve the malfunctioning of the facilities.

            Inability of the management to provide support on the implementation of the innovation will hinder the transformation in achieving the set goals. Furthermore, it is also important to note that communication skills are also a factor that must be considered. Lack of communication among management and mangers who will implement the innovation may lead to conflict which may affect the overall progress of the innovation. The cultural differences of the stakeholders may have the tendency to create inner conflicts. Due to cultural differences, the employees may not function harmoniously thus making the implementation of change be more complicated.  In addition cultural differences may lead to another conflict within the organisation due to arguments and other conflicts that might be created. When assessing the interaction between culture and empowerment, the company must be able to identify and understand those subcultures that might engender a work environment more or less empowering than the larger organisational system (Wilkins & Dyer, 1988).

 

Contingency Plan

The management should be able to develop a thriving organizational culture and a stronger organization by good management of the stakeholders, providing their needs and the things that they deserve in order for them to be motivated for their sake and for the organization’s sake as well.  In addition, Elements such as work processes, organization design, career path, performance management and a compensation program are part of human capital management strategy and a plan to ensure continuing success. The change management process imposed by the company must have been seen that they may also encounter problem with some of their stakeholders like employees, customers and others.

Also, in managing people with different culture, the human capital management should also incorporate a governance process to ensure equality among employees. Hence, even though managing people in organization is the most difficult responsibility to be taken, it is also the most challenging part that if given enough attention, focus and consideration, this would enhance the employees loyalty and hard work that may not only benefit them but as well as the organization may it be a non-profit or a profit oriented organization. In general, people can give more than what is expected if the management were able to provide them extra hand and minds and if the management give them extra time, extra information and extra people in order to do their job properly.

            One of the conflicts that may arise in the implementation of change in an organization is the absence of support in sustaining the success that can be achieved in the process.  Change is a social process that should be undertaken in a continuing phases and not just a decision event (Carlopio 1998).  Thus, those involved in the change process must undergo learning experiences in order to appreciate the objectives of the change. 

In order to solve such conflicts, the management of the working organization must be able to see to it that the objectives and the purpose of the change have been disseminated properly and that all the employees and stakeholder must know that they are important in making such change successful. Hence, the management must have the ability to foresee all the possible problems that might be encountered that would hinder the employees and other involved authorities to support the change that would be implemented.

 

Leadership

            Leadership comprises the aptitude and ability to inspire and influence the thinking, attitudes, and behavior of other people (Adler 1991). Leadership is a process of social influence in which one person is able to enlist the aid and support of other individuals in the achievement of a common task (Chemers 1997).  The current leadership style of Café de Coral is the authoritative or democratic style of leadership.  In this type of leadership, the leader and the selected subordinates are involved in the process of the decision making. Herein, the subordinates have the right to voice out their ideas and thought which they think would be helpful for the leader in making the final decision. On the other hand, in this style of leadership the leader is in control or has the authority for the final decision.  This kind of leadership style is very suitable for implementing the said change for the organization. Through this, the leader of the company may be able to know the opinion of the subordinates in order to effectively impose the changes within Café de Coral.

 

Scenario

No Change Scenario

            In this no change scenario, the company is assured that they still do not need the changes of their marketing strategy or marketing communication campaign. In this manner, Café de Coral believes that having a new campaign strategy using IMC is not yet advisable for the company because of the ongoing support of their customers to the products and services that they offer. The company also believe that changes in this aspect are not necessary because the products and services are healthy friendly.

 

Change Scenario

            The change is needed so that the customers will be aware that Café de Coral adheres to the needs and demands of the customers for having a health friendly food products and services. The change will be implemented as soon as the organization had strategically plan the changes and all the concepts needed to make the change successful. The change is needed so that the company will be able to have a more comprehensive campaign through Integrated Marketing Communication focusing on advertisement and sales.

 

Conclusion

According to Beverage (2003) the management leaders must be willing to keep their fingers on the pulse of the organization, by monitoring what is working and not working in the process of the organization change.  In order to implement the strategy of change effectively and successfully, the management must create s safe environment for changes, reassure, support, and commitment on the organization. 

Therefore, it is concluded that, changes of management is not bad as long as the changes made can really enhance the competitiveness and strength of an organisation.  It is effective, if and only if, a thorough investigation and evaluation of the organization’s performance has made. And if the study suggests that there is a need for change, then that is the only time, the organisation should imposed required changes to be done. Because, change of management system is very critical or crucial, one wrong move, the company, might faced its biggest downturn instead of strengthen and expand its business portfolio and survive to the stiff competition in the business arena.

It is recommended that Café de Coral Group must see to it that the changes are well planned and implemented carefully, because these will the basis for the success and/or failure of any organisation.