Analysis Of Management of Change At Royal Mail 2002-2005

Essay by satmosUniversity, Master's May 2006

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Management Change: Heather Rhodes

The oxford dictionary defines change simply as "make or become different". In essence change if the movement from one situation to another, whether deemed positive or not.

The way in which this change is managed and implemented especially in the work place has become more important in recent times where change is needed at almost a constant rate because of the pace of the world around us. Change management is defined as,

"The practice of administering changes with the help of tested methods and techniques in order to avoid new errors and minimize the impact of changes."

Microsoft Security Glossary, 2005

In 2002 the Royal Mail organisation was haemorrhaging losses of over £1 million a day (approx $500 million a year). These harrowing losses a well as other negative factors such as poor culture, industrial relations, etc, within the Royal Mail had been exposed since its privatisation.

Because of these losses and other negative factors the Royal Mail highlighted and decided upon a culture change programme, which they needed to invest in. So, in 2002 the Royal Mail launched their biggest programme of investment into change within the organization for 50 years.

Allan Leighton (Royal Mail's Chairman) called upon his people and organisation development director, Tony McCarthy to "make this a great place to work, to make changes to the culture to boost moral and sort out the HR department". The HR department was highlighted because of it large number of employees and admin processes which was potentially deemed unnecessary.

The change was needed because the organisation could no longer rely on subsidies by the government through the tax payers to cover their losses as they were no longer a nationalised business but a private one with had to fund itself and was expected to...