Microsoft- Organizational and Management Process Change

Question: Analyze the issues and constraints faced by the organization that prompted the need for change. Explain the role of the leader in the change management process. Evaluate the implemented change as being sustainable in order to create a competitive advantage. Answer: Organizational change is a revolution which is brought to an organization. However such a change cannot be instilled automatically. Careful deliberations are to be done before implementing any change in the management process. Managers are considered to be the leaders of an organization and it is to be understood that no change is feasible until and unless there is an effective integration between the human capitals, the technologies and the other related resources of the organization (Frost, 2014). The mid of the year 2000 saw that it is a regular feature for all business houses to ensure that timely organizational changes and transformations are a must for their survival in this competitive world. The major change which is required is that of culture. The company may have hired the best possible human capital and the technology installed is also of a high level but the same may not be worthy enough for its cost if the culture of the organization is morose, dull, bureaucratic and do minating in nature (Aguirre Alpern, 2014). One such company which is facing a major challenge with regards lack of proper leadership is Microsoft Inc. The company lacks in the existence of a good corporate culture. There exists a culture wherein people do not trust each other, there are fractions between them and a feeling of animosity due to which all are working for different purpose rather than one single aim of the company as a whole. During the reign of Bill Gates as the CEO, Microsoft has always employed young budding talent who were always on the verge of innovation and were considered to be one of the best employers for 11 long years until the same fell into the hands of a bureaucrat. People were no more rewarded for their work but were highly recommended basis the internal politics. The culture within the organization had become dirty, serious and loutish in nature (Eichenwald, 2012). The culture underwent such a drastic change that instead of crippling the competitors in the external world, employees were more conce ntrated towards crippling their own co-workers since the rewards strategy was formulated like that. These internal thrifts ended up delaying of launch of innovative products which had a dramatic impact on the potential market. All this happened due to lack of leadership quality of Ballmer (Carr, 2013). He led the team by applying the policy of divide and rule within the organization thinking that this would fetch him the best possible results. However the scenario was not as expected. The company, who had not seen any downfall until 1999, started seeing its demise. A company whose stock has just portrayed an upward graph started revealing a perpetual downtrend. All this was due to lack of adequate leadership qualities. However the leadership of Ballmer soon ended after fourteen long years and was taken up by Satya Nadella.In the year 2014, the first step that Satya took to try regain the lost power and market share of Microsoft Inc. was to bring a change in the leadership team. His thinking criterion was very different from the former CEO and he clearly expresses his views to work as a cohesive team with broader viewpoint and also encouraged people to find meaning in the work they undertook to perform. The CEO tried to change the approach of the senior leadership team by emphasizing upon the concept of cohesiveness and unity in work (Yarow, 2013). Satya Nadella has redefined the entire leadership team and the same now comprises of such experienced leaders in different functional areas that he is sure to create the history again which Bill Gates had done during his tenure as a CEO. He has only impressed upon the fact that to work in one sway needs unity, optimism, honesty, commitment, reliance and trust. He describes what happens while we row and the sync that is required for the rowing to happen perfectly. This shows that all the rowers have to work in collaboration to achieve the goal. No one can work in isolation is re-defined by Satya Nadella (Microsoft News Centre 2014). He inculcated the involvement of the employees in the decision making of the company and welcomed their views by giving them opportunities of proposing ideas into various projects. Thus what Bill Gates had done and what Ballmer had destroyed, Satya Nadella is trying to re-instate the loss by carving some of the ideologies put down by Bill Gates again (Bekk er, 2014). Satya Nadella had applied the lessons that he had learnt about leadership during his school times and they seem to work well for the company as well. He knows when to boost up the confidence of the employees and his teams. If he notices any kind of a downward trend then instead of punishing or questioning people he helps them out which boosts their morale. He also concentrated his attention towards instilling the idea of innovation and implementation. He believes that if the employees are given a room to innovate and implement then growth is bound to happen. His leadership stances will lead to sustainable growth story as he focuses on productivity of not only the company but of every individual who is a part of Microsoft and views the company as a single universe with no fragments. His efforts are directed towards flattening the organization structure which was somehow changed into a vertical structure by Ballmer. This will help the flow of information to become more smooth and stead y (Dua, 2016). Although the layoffs that Nadella has to ensure will create some sort of insecurity within the organization, but once the same is complete, he will have to build up the lost confidence of the existing employee base. Nadella has a very good reputation, but the fear the employees have because of the rule of the former CEO has to be eradicated by his efforts to ensure sustainability in his ideas. Thus Satya Nadella is a leader who chooses to be clear with his ideas. He encourages the idea of learning and practices the same in reality. He narrates to its employees that work should not be the ultimate aim of life. They should make efforts to cultivate their hobbies as this will lead to higher productivity at work as well. Unlike Ballmer and like Bill Gates, Satya Nadella focussed upon one Microsoft Culture which believes in working as a single unified family (Ovide, 2014). All the teams were interconnected to each other and made dependent to each other. The goals and aims of the company w ere narrated clearly to the employees so that all are driven towards the same path. His vision is to see where Microsoft was before 1999 but at the same time his vision also entails benefiting its employees as well. This ensures sustenance in the corporate world and that the competitors should also be made aware that Microsoft is soon going to be a part of the corporate race as it used to be during the time of Bill Gates (Eurich, 2014). Therefore it is understood from the above that Microsoft had suffered a huge thunder bolt during the reign of Steve Ballmer who took away the title of the best employer across the globe. However the company under the present leadership of Satya Nadella is again seen steering towards grabbing the old title. This leadership quality of ensuring to change the fragmental culture of Microsoft into that of unity in work will help it to get back its lost customer base, productivity and dedication that the employees had. It will also help to attract better employees which are also the need of the hour. Todays world demands a good corporate culture as well along with monetary gains which can come only if the team is lead by someone who has an attitude of empathy rather than sympathy (Yakowicz, 2014) . Thus on summarizing the above analysis it is understood that to ensure an organizational change to bring revolution, leaders and their leadership qualities play a very vital role. In the modern scenario no organization can work and grow in an isolated environment. They need to ensure all the elements within an organization are integrated in such a manner that the relationship developed is closely knit and trust is imbibed within them. Microsoft had faced the brunt of disintegration under the leadership of Steve Ballmer; however the same is now expected to experience a radical change in the organizational structure, culture and management process. It may be time consuming to mend the loss done by Ballmer but the way Satya Nadella views to lead the team, his far sighted vision and the enthusiasm clearly shows a bright ray of sun which will soon bring a radical change for the benefit of the organization as a whole. References Aguirre, D. Alpern, M. (2014). 10 Principles of Leading Change Management. Retrieved from https://www.strategy-business.com/article/00255?gko=9d35b Bekker, S. (2014). Nadella Outlines Microsoft Organizational Changes. Retrieved from https://redmondmag.com/articles/2014/07/10/microsoft-organizational-changes.aspx Carr, A. (2013). Microsoft CEO Steve Ballmers Legacy: A Salesman without Product Vision. Retrieved from https://www.fastcompany.com/3016371/microsoft-ceo-steve-ballmers-legacy-a-salesman-without-product-vision Dua, K. (2016). How Satya Nadella Rebooted Microsofts Corporate Culture?. Retrieved from https://gadgets.ndtv.com/laptops/features/how-satya-nadella-rebooted-microsofts-corporate-culture-837363 Eichenwald, K. (2012). Microsofts Lost Decade. Retrieved from https://www.vanityfair.com/news/business/2012/08/microsoft-lost-mojo-steve-ballmer Eurich, T. (2014). Why Microsofts Nadella may succeed where Ballmer failed?. Retrieved from https://www.cnbc.com/2014/03/11/why-microsofts-nadella-may-succeed-where-ballmer-failedcommentary.html Frost, S. (2014). Barriers and Challenges to Change Implementation. Retrieved from https://smallbusiness.chron.com/barriers-challenges-change-implementation-30842.html Microsoft News Centre. (2014). Satya Nadella announces changes in senior leadership team. Retrieved from https://news.microsoft.com/2014/03/03/satya-nadella-announces-changes-to-senior-leadership-team/ Ovide, S. (2014). Microsoft CEO Nadella Hints at Organizational Changes. Retrieved from https://www.wsj.com/articles/microsoft-ceo-nadella-hints-at-organizational-changes-1405003356 Yakowicz, W. (2014). Leadership Lessons From Microsofts Satya Nadella. Retrieved from https://www.inc.com/will-yakowicz/leadership-lessons-from-satya-nadella.html Yarow, J. (2013). Microsoft announces its Reorg. Retrieved from https://www.businessinsider.in/MICROSOFT-ANNOUNCES-ITS-REORG/articleshow/21061314.cms