Running Head: CHANGE IN DELIOTTE 1
CHANGE IN DELOITTE
Change in Deloitte
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Project overview
Deloitte’s change in management is a process that is very critical, helping transition in an organization of firm to level that is new efficiency and the quality of the operation, hence driving development and the development of the firm. Change management in the Deloitte is aimed at assisting the stakeholders to embrace and accept changing that is present in the surrounding of where they are operating (Wu, Chen, & Lee, 2016). It all involves the application in a high magnitude of the tools that are set, processes that are involved, the skills that are acquired and the principles that are used during managing the people who are involved in the side of the change. This is done with an aim of achieving the outcomes that are desired of an initiative or a project (Grillo, 2015).
Deloitte is supposed to involve all the principles that are related to change management in to all initiatives of the organization with the aim of producing a competence, effective sustainable change that is long lasting. Over the 22 years that have past, the research that has been carried out has been demonstrating that almost 65 percent of the efforts towards the change, are found within the organization as a result if its fail (Wu et al, 2016). However, a threat that is major to the implementation of a change that is successful does not focus much on the competence of the people in the change itself. In fields where success has been achieved, a leadership that is very prominent and experts of the change notes that the process of change is comprised of a series of careful steps and requires a time that is considerable in order to be in a position to produce results which are fully satisfying (Grillo, 2015). Ultimately, change management success involves looking for and getting people who are committed to own a change that is experienced (Wu et al, 2016). Data collection methods and analysis will be applied in order to give reliable information that can be generalized in this industry. The findings that will be drawn from this project will be applied in the conclusion and give further recommendations that are appropriate as per the subject of the paper.
Thesis statement
This paper mainly focuses on change in management that is taking place in Deloitte. This firm has experienced a lot of changes just as it normally happen to any other large sized farm. This change has hit many fields such as social, economical, cultural and cultural (Westhead & Storey, 2014). The management structures have been greatly affected the management structure in Deloitte. This has led to the dynamics inn some of the aspects of the firm such as acquisition of products, leadership of the firm, implementation of programme, technology among other key factors in the management of Deloitte.
This paper draws to attention that these changes in this firm are considered as very crucial anything that is supposed to be done in order to promote the change is supposed to be done efficiently and done by persons who are very competent in their work. These changes has driven this firm into a situation whereby it is obliged to employ some new measures that are formulated in collaboration with programs that are efficient. Significantly, this is in order to appropriately address the changes in the management of the Firm from incurring losses and gain maximum profits (Benn et al, 2014).
1. Overview of the Deloitte Firm
The Deloitte firm, which is firm offering financial consultancy whose head offices, are located in the United States of America, New York city. It is a multinational company offering its services in many countries all over the world. It has recorded a high increment in its profitability for the past few years. The growth of any firm comes with challenges in its management of which if not looked at and addressed accordingly, these great losses and even greater challenges which can lead to failure and total closure of the firm (Benn, Dunph & Griffiths, 2014). To help fight these challenges and avoid the possibilities of a failure, the Deloitte firm has to employ the right mechanisms for this not to happen. According to Benn et al (2014), Deloitte firm has to consider changes in its management structure for it to be able to efficiently manage its growing productivity, increased number of employees and its growing infrastructure. With the right changes in management structure being put into place the firm can be assured of its sustainability and even more profitability (Benn et al, 2014).
Deloitte firm need to consider in the management structure changes is the firm understands of its market which of course must have grown (Davila, Epstein, & Shelton, 2012). The growth of Deloitte firm is a lesson to its competitors firms in the financial consultancy. This means that the competitors will work harder to sustain its royal clients and try to win the potential clients who are probably for the Deloitte, by offering better services, all these in the trial to get its share of the big market enjoyed by Deloitte. For Deloitte firm to avoid this loss of clients and its possible potential clients to competitors, it has to employ methods of bettering their services rather than getting into comfort zone of business, Kitschelt & Wilkinson, (2007). This may be done by changing and improvement of the customer service by increasing the staff and bringing on board more younger, innovative and enthusiastic employees in the sector.
Strategies employed for the change
The firm has employed some soft strategies for change in the management that will enable the firm to cop up with the upcoming challenges that can cause the down fall of the firm. This has been done much on leadership and intervention towards reducing the cost of production in order to obtain maximum output. The growth of Deloitte calls for improvement of the employee management practices which will make sure the employee performance is kept at the right level growth of the company and make the employee understand the changes that may come with the growth and its challenges, Hitt, Ireland, & Hoskisson, (2012). The company should provide an improved communication and feedback channels within the company and among the employees. This encourages every member of staff whether at the management or non-management level. This comes along with respect of employees as a motivator to their jobs. The company should also engage the employees in leadership training other than their core professions. All these are measures that should be taken to achieve effective management of the employees which translate to effective management of the company (Hitt et al, 2012).
A fast growing company will always face the challenge of increased capacity of its productivity. This would be the case with the Deloitte firm for this time it is experiencing high productivity. The growth comes with a higher demand of the company’s products. This requires the right people to focus and work on the high demand (Davila et al, 2012). The Deloitte firm will require doing some management changes for it to be able to work meet the demand. Deloitte is a financial consultant firm and its market extents to many countries. It will need to employ new people who are more trained on the international financial consultancy who are experts and also train the existing staff in order for it to move quickly, effectively and keep its productivity high. According to Gopi Mandela, the CEO of Remote tiger said that when founders of companies are experiencing fast growth, it is easy to get entrenched in the daily grind and this makes it easy to lose track of the big picture and the goal of the company. He argued that the challenge lies in building the right management team to make things move on the right path of achieving continued profitability (Davila et al, 2012).
Deloitte’s stakeholders
Deloitte will have to do a lot with the management team such as relevant stakeholders who are very active and greatly contributing in bringing about an environment of change and making sure that the employees will implement the change. This will create a forum whereby they will not relax and remain at comfort zone taking the business as usual, forgetting the goals of the company to expand its market and make more profits. For the change to be accommodated the stakeholders have made sure that appropriate measures have been taken by the board of management and the working staff. This can be done by training and letting the employees know that the company’s goals remains and the hard work continues. If bringing new people to the management would help achieve this then let it be so (Davila et al, 2012). The growth of the company do not mean a time of celebration in offices but a time to make more profits.
According to Todd Palmer who is the president and owner of Diversified Industrial Staffing, a fast growing company needs employees with skill which are basically needed to continue with the revenue drive, Hitt, Ireland, & Hoskisson, (2012). Every company needs to increase its profits despite the growth rate in its productivity. One major issue to be considered for more profits realization is to cut on the cost of production. The managerial team of Deloitte firm can deal with cutting of the cost of production by looking into some areas such as, shifting responsibility of some business practices to other consultants. These will relief the managerial pressure on the company and hence effective management (Dowdell & Krishnan, 2012).
Programs and policies formulated
The firm has some policies and programs that are formulated. This was a result of changes that were experienced in change in market. The policies before being formulated, it is supposed they are favorable to variation in technology and market change and skills. Deloitte can cost by embracing telecommunication. This will help coordinate with employees from different countries without necessarily travelling hence saves on travel expenses. Deloitte management should at all time avoid inefficiencies. With the company’s growth inefficiencies may come by especially with challenges of supervisions (Hill et al, 2012). These inefficiencies may cause a lot of money and time wastage.
Another way to cut on operation cost would be to cancel of unused services. With a big company it’s quite easy to find a service which was left on auto-pay while the service is no longer in use anymore. The management should cancel such services to save money. Deloitte can cut the cost of operation by going green in their office spaces. They should consider the use energy-saving bulbs use cheaper power sources where available and applicable and reducing the cost of communication by embracing communications via email. With the right management team to oversee and execute the processes of cutting the cost of production, the company will always thrive because the firm can refocus on the budgeted resources on expansion of its operations and increase its market share (Hill et al, 2012).
Managing cash flow in Deloitte Firm is very key for the prosperity. For any type of a business cash can be best referred as the king of business. Cash plays a particular important role that is important in an enterprise where a growth that is rapid is a required. There has been misguides in the assumption why a business that has been growing rapidly has cash that is adequate for its operations (Dowdell & Krishnan, 2012). Firm of this type are supposed to reinvest constantly in their businesses. This will significantly help the business fuel their growth that is rapid. Therefore it is most likely that Deloitte firm; in its businesses operate in a cash crunch that is perpetual (Wu et al, 2016). Planning of a Deloitte is under the guideline of some of the principles of an enterprise that is experiencing growth that is rapid out of change in its management. This kind of approach needs that the managers are supposed to remain very flexible. This requires that the view that is realistic on the life cycle that deals with information management (Nobre &silva, 2015). For instance we may consider a case where the managers are wish to do leasing of the firms equipment with the aim of making the cash requirements of the firm to get reduced.
Some of the contractors can be included such as the Deloitte clauses in order to stipulate with the will of the supplier and replace the equipments which are outdated and are used in the firm with the latest technology equipments (Grillo, 2015). This will create a forum where by the resources that are normally required to maintain a property is reduced and ensures that the information technology that is important and appropriate is available always when required and cases of delay is never thought of. Future purchasing decisions are made easier by an analysis that is careful at this point which can lead to emergence of partnerships that are able to produce benefits that are inform of supplier contacts that are significance. (Nobre &sieva, 2015).
The senior managers should be fully concerned because of the potential of IT to limit the positioning of the firm that is strategic or get locked into a particular process of a business. With certain decisions like the introduction to wide applications of enterprise or legacy systems of maintenance which have adequate potential to undermine the survival of the firm. Developing skills of management in the Deloitte executives has been favored by the policies of Information technology in the firm has not only facilitated to training that is executive but also development of management skills that are specialized. In this section the first significance step involves delivering and designing of training that is technologically supported (Nobre &silva, 2015). This can be presented in the form of interactive CD-ROMs that are self placed courses, web based videos and conference seminars. The program of training can be adjusted according to the wishes and aligned with the organizations’ requirements that are changing (Schwalbe, 2015).This program which mostly applies to the executives is created based on the requirements of the company on the future and son the executives receive the trainings earlier on or as soon as they need it. This has led to production of very competent executives who work in the management of the firm and hence resulted to success where the business is making huge profits.
Conclusion
When a business experiences growth in its productivity and in all aspects of business operation it is likely that this growth bring about managerial challenges. These can make a company drastically drop in its profits if they are not addressed in time and the necessary mechanisms put in place. The managerial challenges arise because the business becomes so broad and diverse than before. Its employee’s numbers become so large and difficult to manage things like payroll, supervision and other logistics. The infrastructure of the company becomes large and this requires more management skills and especially maintenance practices such as repairs are required.
The number of clients increase with the rate of the of the company’s grown. This poses a challenge of meeting and satisfying the big number of the clients. Considering the above given challenges arising from the growth of a business, the management of the business will need to be adjusted for the challenges to be fixed before getting out of hand and let losses come in. For the case of Deloitte firm the managerial challenges which have been brought about by its consistence grown of the firm over the years, have been tackled with the best mechanisms be put in place, giving the firm more chances to continues flourishing in the financial consultancy and exploring new markets.
References
Benn, S., Dunphy, D., & Griffiths, A. (2014). Organizational change for corporate sustainability. Routledge.
Davila, T., Epstein, M., & Shelton, R. (2012). Making innovation work: How to manage it, measure it, and profit from it. FT press.
Dowdell, T. D., & Krishnan, J. (2012). CAP forum on Enron: Former audit firm personnel as CFOs: Effect on earnings management. Canadian Accounting Perspectives, 3(1), 117- 142.
Grillo, M. (2015). What are Practical, Meaningful, and Actionable Ways for HR Professionals to Gain Business Experience and Acumen so that they can Truly Make an Impact as Business Partners?.
Hill, A., & Hill, T. (2012). Operations management. Palgrave Macmillan.
Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2012). Strategic management cases: competitiveness and globalization. Cengage Learning.
Kitschelt, H., & Wilkinson, S. I. (2007). Patrons, clients and policies: Patterns of democratic accountability and political competition. Cambridge University Press.
Nobre, H., & Silva, D. (2014). Social network marketing strategy and SME strategy benefits. Journal of Transnational Management, 19(2), 138-151.
Schwalbe, K. (2015). Information technology project management. Cengage Learning.
Wu, S., Chen, C. M., & Lee, P. C. (2016). Independent directors and earnings management: The moderating effects of controlling shareholders and the divergence of cash-flow and control rights. The North American Journal of Economics and Finance, 35, 153- 165.
