Term Paper - Organizational Change School of Continuing Studies, Human Resources, University of Toronto SCS 0988 169: Organizational Behaviour December 8, 2023 Definition of Pilot Project Our company operates six restaurants and bars, each with its unique concept and customer base. However, we lack a systematic and continuous human resource strategy within our existing organizational framework. Currently, each General Manager makes operational, personnel, and financial decisions based on their subjective judgment at each location, which leads to specific challenges at each site. This approach also makes it difficult to build and maintain a strong organizational culture, particularly given the high turnover rate in the hospitality industry. It relies heavily on the individual judgment of each General Manager to determine the best course of action and disseminate necessary information to all staff. For example, we use three different POS platforms and two reservation booking systems across six locations, and tip-outs at two locations are paid digitally, while four rely on tips paid out in cash. Further complicating our organizational landscape, three sites are co-owned by four individuals, two by two partners and one by two individuals, with one partner investing in all locations. For fifteen years, we have operated as one of Toronto's most successful and celebrated independent restaurant groups. Our first restaurant, The Black Hoof, was founded in the late 2000s with an anti-establishment culture in response to stuffy and expensive dining. This outlook has now become an integral part of our company culture. However, the resistance to adopting a more corporate and structured organizational framework has resulted in inefficiencies, confusion, and undue stress among decision-makers. I recommend implementing a pilot project to foster community and efficiency within the organization to address operational inefficiencies and other issues. This project will reinforce our culture and standardize operational decision-making at the General Manager level. Each General Manager will work alongside our Operations Manager to develop an efficient program for creating company-wide best practices through collaboration, job experience, transparency, and thoughtfulness. Our organizational artifacts are primarily based on stories and legends, and this pilot project will help us create a more efficient and productive work environment. The approach will be multifaceted, utilizing various methodologies and theories to gain support from the organization's owners and staff. We will use Lewin's Force Field model to assess and manage restraining and driving forces, with the ultimate goal of unfreezing and refreezing the current management system once we have achieved standardization in necessary areas. Our upper management values autonomy and free will, and it will be critical to increase the driving forces for change, particularly at the highest levels of management. The most effective practices in this context will involve extensive communication, employee involvement, and stress management. As hospitality is a people-oriented business, the Appreciative Inquiry Approach will be the most effective and supportive course of action alongside Lewin's model. Our organization has a solid reputation for offering authentic, caring, and expert service. It is crucial to emphasize how we have differentiated ourselves in the market using this approach to hospitality. At the same time, we must highlight the potential to maintain our position as a leading force in the competitive hospitality industry by evolving. This project will rely on the continued input and participation of all General Managers throughout our organization. It will involve three stages: conducting an environmental scan and gathering information, developing best practices, and implementing and auditing those practices. Initiation of Launch Plan I have proposed a comprehensive and strategic project initiative to address the current operational challenges faced by our six distinct restaurants and bars. The project will be structured into three key stages, each designed to systematically address the existing organizational framework and foster a more cohesive and efficient operational environment. In the first stage of our project, we will conduct a thorough environmental scan, which includes interviewing our General Managers, conducting employee surveys, and benchmarking against industry best practices. The objective is to comprehensively understand our organization's current dynamics, challenges, and strengths while highlighting our strengths. This stage is crucial as it lays the groundwork for subsequent interventions and ensures a nuanced understanding of our unique operational landscape. The second stage will focus on developing standardized best practices based on the insights gained from the environmental scan. Collaborative meetings and empowering the General Manager of each location will be critical components of this stage. The objective is to create a set of practices that align with our overall organizational goals and respect and enhance each establishment's distinctive culture. We will take an inclusive approach to foster a sense of ownership and autonomy among General Managers, ensuring that the resulting best practices are practical and culturally relevant while managing the stress of change. The final stage of the project is dedicated to implementing and auditing the developed best practices. The changes will be introduced gradually, starting with pilot locations and expanding to all restaurants and bars. Training sessions will be conducted to familiarize employees with the new practices. The Operations Manager and General Managers will regularly assess adherence to the best practices, allowing continuous improvement. This stage emphasizes a commitment to ongoing refinement and optimization, ensuring that the project's impact is sustainable over the long term. To ensure the success of this project, we will consider key implementation factors. A robust communication plan will be developed to keep all stakeholders informed and engaged throughout the project. Change management strategies will be employed to address potential resistance and facilitate a smooth transition. Additionally, introducing recognition and reward systems will incentivize adherence to the new practices, creating a positive shift in organizational behaviour. The anticipated outcomes of this strategic initiative are significant. Expected results include higher employee satisfaction, a tangible reduction in turnover rates, and improved operational efficiency across all locations. Success will be measured through enhanced employee engagement and improved collaboration among General Managers across the company. Guided by our Operations Manager, this project aims to address existing inefficiencies and solidify our position as a leader in the competitive hospitality industry. Anticipated Resistance Anticipating cultural resistance from both employees and owners is crucial in implementing the change management strategy. The project will emphasize its goal of preserving and enhancing the unique cultural identity of each business establishment and involve employees in developing best practices to ensure alignment and reduce resistance. When implementing changes, fear of the unknown can lead to employee resistance. To mitigate this, transparent communication about the project's objectives, timeline, and expected outcomes is crucial, along with offering training sessions to help ease the transition and build confidence in the new practices. To counter the lack of involvement in the decision-making process, the project will foster a sense of ownership by including employees at all levels, particularly General Managers, in developing best practices. Addressing change fatigue, perceived threats to autonomy, and communication gaps are essential to a successful change management strategy. Tenured employees who are attached to established habits may also resist changes. Acknowledging their experience and contributions while highlighting the positive impacts of the changes on the overall work environment can help overcome this resistance. By proactively anticipating and addressing these potential sources of resistance, the organization can enhance the chances of successfully implementing the project strategy. Effective communication, involvement, and support are critical in navigating the complexities of organizational change. Effects on Corporate Culture The pilot project aims to improve the company's overall organizational culture and effectiveness. It focuses on inclusivity and collaboration, encouraging General Managers to participate in decision-making processes through collaborative meetings. This approach values diverse perspectives, fosters a culture of teamwork and recognizes and enhances the unique cultural identity of each establishment. The project involves General Managers in developing standardized best practices that respect and enhance the distinctive culture of each restaurant and bar. This aligns with the company's anti-establishment culture and creates a workplace where employees feel connected to and proud. Moreover, the project aims to cultivate positive organizational behaviour by implementing recognition and reward systems and using positive reinforcement to incentivize adherence to new practices aligned with the company's values of authentic and caring service. This, in turn, fosters a culture that values and recognizes positive contributions, leading to more positive and adaptive organizational behaviour. In summary, the pilot project, infused with Appreciative Inquiry principles, aims to enhance collaboration, strengthen cultural identity, and cultivate organizational effectiveness. This approach aligns with the company's values and addresses the unique challenges posed by its diverse establishments, ultimately fostering a more cohesive, efficient, and positively oriented corporate culture. References Steen., S. L. M., Kevin Tasa and Sandra L. (2021). Chapter Fourteen: Organizational Culture. In Canadian organizational behaviour. McGraw Hill. Steen., S. L. M., Kevin Tasa and Sandra L. (2021). Chapter Fifteen: Organizational Change. In Canadian organizational behaviour. McGraw Hill.