Problem Solution: Intersect Investment Services
Intersect Investment Services (IIS) is a financial services industry company which has been struggling to survive in a market which has been in constant state of flux, never certain and always chaotic (University of Phoenix, 2008). IIS has “barely managed to survive, but resisted making a drastic, strategic shift” (University of Phoenix, 2008, p. 1). The changed market conditions have led to the changed vision of IIS which is: “Provide a broad set of products and services to consumer and small business customers using a model of customer intimacy that will build long-term relationships based on trust and value to the customer” (University of Phoenix, 2008, p. 1). This new vision has not been realized yet and therefore, the Executive Vice President of Marketing and Sales has been released of his duties and was replaced by Janet Angelo as new Executive VP of Marketing and Sales.
A number of reasons contribute to the fact that why the transformation of IIS was not successful and these reasons are (1) no clear communication about how the change should take place, (2) no explaining and reinforcing on why the change should take place, (3) resistance to the change of key personnel, and (4) the goals to achieve were not aligned with the new strategy.
No clear communication has been identified by Kreitner and Kinicki (2004) as one of the main reasons why organizational change initiatives fail. The communication of organizational change and no explaining and reinforcing on why the change should take place are critical success factors for organizational change (University of Phoenix, 2008).
The resistance to change of key personnel is the result of the different expectations the key personnel has about the outcome of the customer-intimacy model. The urgency of the change has not been communicated clearly and effectively. The different expectation is a non-technological catalyst for change (Univesity of Phoenix, 2008).
The newly appointed Executive Vice President of Marketing and Sales, Janet Angelo, has to overcome these challenges by identifying the critical success factor for organizational change, identifying non-technological catalysts for change, applying the skills and competencies of an effective leader, applying theories of leadership, and by applying the theories of change. When Janet is able to align the organization, and its personnel, with the chosen strategy IIS will be able to transform the Marketing and Sales department and become a top 3 player in the financial services industry.
Situation Analysis
Issue and Opportunity Identification
The CEO of IIS has created a new vision which is based on customer-intimacy but has not been able yet to implement this new vision and therefore, Janet Angelo has been introduced to IIS in order to overcome the challenges that are blocking the successful implementation of the vision. The current situation at IIS is indicates that no cohesion is found in the process of changing the organization because of the fact that the reasons for changing have not been communicated clearly and repeatedly. Furthermore, quite some resistance is coming from the sales departments and the sales personnel are not actively selling the new products which support the new vision.
The following issues have been found at IIS and require the attention from Janet to enable IIS to become a top 3 player once more. (1) Organizational Justice, (2) motivation through goal setting, (3) forces of change, (4) resistance to change, (5) contingent consequences, (6) the feedback process, and (7) Vroom’s expectancy theory.
Organizational justice (1) and motivation through goal setting (2) are both a part of the concept of identifying models and theories of change. Organizational justice is indicating whether employees perceive the change as fair or not is having an effect on the motivation of the employees. “Organizational justice reflects the extent to which people perceive that they are treated fairly at work” (Kreitner & Kinicki, 2004, p. 294). The VP of Sales is not accepting the desired change because she perceives the change as unfair as indicated in table 1. No goals were set in order to achieve the desired change and this didn’t result in a motivational impulse through goal setting. “Regardless of the nature of their achievement, successful people tend to have one thing in common. Their lives are goal orientated” (Kreitner & Kinicki, 2004, p. 305). The opportunities are that IIS should implement the organizational change by gaining acceptance from the organization through intense communication with the opposing parties and by setting clear goals IIS emphasizes on how it wishes to achieve the desired change.
Forces of change (3) and resistance to change (4) are both a part of the concept of critical success factors for organizational change. Being aware that the market has changed its attitude towards the financial services industry IIS should be considered a warning to IIS in order to start changing. “The emergence of a global economy is forcing companies to change the way they do business“ (Kreitner & Kinicki, 2004, p. 674). One of the main reasons why the change to the customer-intimacy model has not been realized is because of the resistance that exists with the VP of Sales. “Resistance to change is an emotional/behavorial response to real or imagined threats to an established work routine” (Kreitner & Kinicki, 2004, p. 685). The opportunities for IIS are that the changed market conditions to should be an enabler of change within IIS and that the IIS needs to implement strategies to overcome the resistance. Additional info can be found in table 1.
No positive reinforcement (5) has been given to the personnel of IIS in order to show that the change is an effective way to conduct business. The success story of Nance Falkins is an indicator that implementation of the customer-intimacy model has a positive effect on achieving the desired goal. “Positive reinforcement is the process of strengthening a behavior by contingently presenting something pleasing” (Kreitner & Kinicki, 2004, p. 346). Additional info can be found in table 1. IIS should create an opportunity out of this by making use of positive reinforcement to canalize the behavior of the personnel towards the goal of becoming an organization which uses customer-intimacy to retain its clients. Since hardly any feedback (6) has been given it was not clear for the personnel why the changes are required and therefore, there has been a lack of motivation in order to achieve the goal.“Feedback instructs when it clarifies roles or teaches new behavior and feedback motivates when it serves as a reward or promises a reward” (Kreitner & Kinicki, 2004, p. 326). Explaining the reasons for changing the organization will give IIS the opportunity to motivate the personnel in order to achieve the desired goal.
Currently the VP of Sales, Lyn Chen, is not convinced that the efforts put in the new strategy will lead to the desired goals. Her expectancy (7) that the change will contribute to the new goals is low. “An expectancy, according to Vroom´s terminology, represents an individual´s belief that a particular degree of effort will be followed by a particular level of performance” (Kreitner & Kinicki, 2004, p. 299). The already obtained success by some of the employees should be used as an opportunity to implement the customer-intimacy strategy and use this to convince the more resistant personnel, and in particular Lyn Chen.
Stakeholder Perspectives/Ethical Dilemmas
A number of stakeholders/stakeholder groups are involved at IIS and every one of them is important to IIS because of different reasons. Occasionally the perspectives from different stakeholders are on a collision course and sometimes they are aligned quite perfectly. The following section gives an overview of these stakeholders and their different and aligned perspectives. The stakeholders are (1) CEO Frank Jeffers, (2) Executive Vice President of Marketing and Sales Janet Angelo, (3) the employees of IIS, and (4) the customers of IIS.
The CEO is aiming for IIS to become, and remain, a top 3 player in the financial services industry. This goal should be achieved by creating value for the customer based on trust through the customer-intimacy model and this goal is being shared with the Janet Angelo. The implementation of the customer-intimacy model is a goal that the CEO has in common with Janet Angelo but is currently opposing to the interest of the employees in general and Lyn Chen in particular.
The Executive Vice President of Marketing and Sales, Janet Angelo, is interested in gaining the trust from her team because she needs the team’s commitment in trying to implement the customer-intimacy model. The VP of Sales is currently opposing this interest and shows this by being vocal about her opposition (University of Phoenix, 2008).
The employees want to be involved in the change process and would like to know why this change is required for IIS. These needs from the personnel are not in conflict with the interests of the CEO and Janet Angelo because the gain of commitment from the personnel is important to be able to implement the customer-intimacy model.
Changing market conditions have created a different opinion of customers on how they want to be treated. “Long-term relationships based on trust and value to the customer” (Kreitner & Kinicki, 2004, p. 1) are the part of the new identified vision and are very important to the customers. Therefore, these interests are shared with the CEO and Janet Angelo.
For a full list of the stakeholders and their interest please take a look at table 2.
Problem Statement
Intersect Investment Services will implement a customer-intimacy model in the Sales and Marketing organization by developing goals for their employees which aligns their performance objectives and by motivating employees to achieve these goals. End-State Vision
The desired future state for IIS is that the Sales and Marketing organization has adapted and is executing the new vision of customer intimacy. In order to achieve this end-state vision IIS has to face a number of challenges which have been blocking the implementation of the customer-intimacy model. These changes are (1) overcome the resistance to change, (2) motivate the employees, (3) retain the employees, and (4) retain the customers. The metrics and the targets of the above mentioned goals can be found in table 6.
Alternative Solutions
Achieving the end-state goals is a challenge for IIS which it has to overcome by selecting a number of alternative solutions. These alternative solutions relate to the end state goals in a varied way because not all the alternative solutions will have the same impact on each end state goal. In the following section the alternative solutions for IIS will be discussed and these alternative solutions are (1) communication the vision to the stakeholders through a communication plan, (2) implementing a goal setting strategy to motivate the employees, (3) implement a continuous feedback process to remain focused on the vision, (4) show charismatic leadership behavior, and (5) creating a customer panel for continuous feedback from the customers.
Communicating the vision to the stakeholders through a communication plan (1) will aid IIS in reducing the level of resistance. In the communication plan the reason why the change is required should be explained to all the employees because currently the lack of communication is one of the top 3 reasons for employees to leave IIS (University of Phoenix, 2008). Furthermore, Kreitner and Kinicki (2004) have stated that, by making use of Kotter’s Eight Steps model, failing to establish a sense of urgency about the need of change is an important reason why organizational changes fail. Since the former EVP was not a believer in the new customer-intimacy model there was not a single, clear directive sent into the organization (University of Phoenix, 2008). IIS should use the letter of the President of Innovative Building Solutions to make clear that the current approach is not working anymore, because profitable clients are leaving the company (University of Phoenix, 2008).
Implementing a goal setting strategy to motivate the employees (2) will help IIS to improve the motivation of the employees. “In 2005, DHL began to rebrand itself as a more customer-focused shipping company in order to differentiate the company in a highly competitive market” (Palmer, 2008, p. 22). “Particularly in the pickup and delivery functions, the employees would have to be motivated to take a proactive approach to meeting and exceeding customer needs”(Palmer, 2008, p. 22). In order to receive the desired participation from the employees, DHL started initiatives which were based in providing recognition to the employees. “We embed recognition into a lot of our internal communication tools as well as all of our town halls,” says Tony Treglia, vice president of talent management. “We want recognition to be seen as a part of everyday life” (Palmer, 2008, p. 22). Employees receive a reward for the action taken, as a part of a recognition program, to maximize the motivation.
Kreitner and Kinicki (2004) state that goal setting works motivational by regulating effort. “Not only do goals make us selectively perceptive, they also motivate us to act” (Kreitner & Kinicki, 2004, p. 306). IIS should adapt a similar kind of strategy, motivating though goal setting and recognizing positive actions through a designed program. The goal setting part should be focusing on the customer-intimacy model in order to canalize all the employee’s actions towards the goal of implementing the customer-intimacy model. Furthermore, IIS should emphasize on the already achieve success of Nancy Falkin. This is confirmed by Pascale and Sterning (2005) who advocate that organization should seek for positive deviants and bring these isolated cases into the mainstream. Since Nancy Falkin, and her team, are such a positive deviant, IIS should make use of that by showing that the vision is actually working.
Implementing a continuous feedback system (3) will help IIS to remain focused on the vision. This is an important issue to IIS because the customer-intimacy model will build a long-term relationships based on trust and value to the customer (University of Phoenix, 2008). For those who receive feedback it has two functions, “one is instructional and the other is motivational” (Kreitner & Kinicki, 2004, p. 326). When the management of IIS receives the feedback from its employees, the received feedback will mainly be instructional of nature. The feedback received from the employees should be taken into account when further developing the organization in relation to the overall vision of customer-intimacy.
Showing charismatic leadership to the organization (4) will aid IIS when moving away from the current ruling opinion of measuring on metrics which are based on the quantity of sales and less on the quality of sales. The quality of sales should mean that IIS will be adding value to the customer based on a relationship of trust (University of Phoenix, 2008). Charismatic leadership within IIS should be focusing on achieving the goals by making sure that the employees are in pursued of these goals. “Charismatic leadership can produce significant organizational change and results because it transforms employees to pursue organizational goals in lieu of self-interests” (Kreitner & Kinicki, 2004, p. 613). MasterCard has implemented the Eight Step Model of Kotter in order to achieve sustainable organizational change (Case Study, 2008) and the management has empowered action by providing all MasterCard employees access to the concepts through a variety of means. Furthermore, the team guiding the change is “willing and able to assist each business unit with its change initiative as needs arise” (Case Study, 2008, p. 3). For IIS this means that initiatives coming from the employees should be welcomed and taken into account when implementing the changes within IIS.
Creating a customer panel for continuous feedback from the customers (5) should provide IIS with additional information about the perceived performance from the perspective of the customer. This way IIS will be able to discover the real needs of their customers and by responding to these needs IIS will be able to provide the added value to the customers which is a part of the customer-intimacy model.
Analysis of Alternative Solutions
The new vision of customer intimacy requires a number of changes to materialize within the Marketing and Sales departments within IIS and These changes have to contribute in reaching the desired end-state goals. The analysis of the alternative solutions will give the reader a more detailed view on how the weighing of the end-state goals and alternative solutions took place and how much they will contribute to the given problem statement. End-state goal: Overcome the resistance to change, relative importance 5. The best alternative solution for this end-state goal is communicating the vision to the stakeholders through a communication plan and has been rated with a 5. The level of communication has been low within IIS and therefore, the employees perceived the new vision as a not clearly communicated vision. This has helped the new vision to be implemented and the lack of communication has been a top 3 reason why employees leave the company.
End-state goal: Motivate the employees, relative importance 4. The best alternative solution for this end-state goal is to implement a goal setting strategy to motivate the employees and has been rated with a 5. Goal setting has not been a part of the change initiatives of the former EVP because he was not supporting the new philosophy and therefore, the change initiative of Frank Jeffers never had a real chance to succeed. Clear goal setting will make sure that the employees efforts are targeted towards reaching the new chosen vision.
End-state goal: Retain the employees, relative importance 3. The best alternative solution for this end-state goal is to implement a continuous feedback process to remain focused on the vision and has been rated with a 5. This alternative solution has been rated the highest because when the feedback of the employees is used as input for any further change initiatives this will increase the participation of the employees, which is useful to overcome resistance to change.
End-state goal: Retain the customer, relative importance 5. The best alternative solution for this end-state goal is to implement a continuous feedback process to remain focused on the vision and creating a customer panel for continuous feedback. Both these alternatives have been rated with a 5. The implementation of a continuous feedback process is primarily focusing on the internal processes of IIS. Customer information, which is collected by the employees of IIS, which is used for feedback purposes gives an insight on how the customers perceive the organization. A customer feedback panel is used to collect information about how customers are judging the performance of IIS and is a strong indicator on how the customer-intimacy model has been implemented at IIS.
Risk Assessment and Mitigation Techniques
Using the alternative solutions will provide IIS the opportunity to solve the problem statement, but some risks might be introduced when implementing these solutions. These risks should be identified and mitigated as described in the following paragraph.
The first alternative solution is communicating the vision to the stakeholders through a communication plan and is important to IIS because a clearly communicated vision will increase the acceptance of the change from the stakeholders. Kreitner and Kinicki (2004) have stated that failing to effectively communicate the vision is one of the reasons why organizational change initiatives fail and therefore, creating and communicating “a communication strategy that consistently communicates the new vision and strategic plan” is important to an organization (Kreitner & Kinicki, 2004, p. 683). IIS should make sure that its communication plan is received well with the stakeholders to keep resistance to a minimum. However, should resistance still come from key players, like Lyn Chen, then letting Lyn go may look a valid option.
The second alternative is implementing a continuous feedback process to remain focused on the vision, which is important to IIS because remaining focused on the customer-intimacy model the determined course that IIS has to take (University of Phoenix, 2008). The probability that the received feedback is not used is medium because the leadership team should use the feedback to improve the organizational performance to remain focused on the vision. The potential risk can be mitigated by having a number of meetings with the receivers of the feedback to make sure that action is taken, when necessary, based on the provided feedback from the employees.
Optimal Solution
IIS has to make sure that the Marketing and Sales departments are adapting the new strategy of customer-intimacy. Janet has been hired to implement these changes within the next 12 months so that the trust of the customers in IIS is restored. The change within IIS has to be reached by setting clear goals for its employees and by motivating the employees to achieve these goals.
IIS could use the benchmark of MasterCard in order to show the desired leadership skills which are required to facilitate the change towards a model of customer-intimacy. The supportive attitude of the management of MasterCard has increased the participation grade of the employees (Palmer, 2008) which is a good example for the leadership team of IIS. Janet has to make sure that the resistant Vice President of Sales, Lyn Chen, is complying with the chosen strategy. It has to be made clear to her that the already gained success of Nancy Falkins is a proof that the chosen strategy will lead to success. However, when failing to comply Janet has to make sure that Lyn is let go and she has to make sure that it is communicated that failing to comply is not accepted.
Creating a communication plan is important to IIS because of the impact it has on the end-state goals of overcoming the resistance, motivate and retain the employees. Because of the relative great impact on a number of end-state goals, Janet has to make sure that the communication is executed well and according to plan. The lack of communication has been a factor to the resistance to the change and the factor which decreased the motivation of the employees (University of Phoenix, 2008).
The goal setting strategy is important to increase the motivation of the employees. “Regardless of the nature of their achievement, successful people tend to have one thing in common. Their lives are goal orientated” (Kreitner & Kinicki, 2004, p. 305). IIS has been suffering from the lack of goal which has contributed to the fact that currently the customer-intimacy model has not been implemented yet within the Marketing and Sales departments.
The continuous feedback process for remaining focused on the vision has a high impact on two end-state goals and therefore, it is an important solution to IIS. IIS should look at DHL and how they have implemented the recognition program by presenting awards to its personnel (Palmer, 2008). Awards have been granted to employees who have acted in the spirit of the customer-intimacy model, which is the model that IIS is trying to implement.
Implementation Plan
IIS will have to make an implementation plan which will enable IIS to reach the end-state goals. This implementation plan will give the reader an insight on the deliverables that should be realized at IIS. The following deliverables have been identified (1) communication plan, (2) goal setting strategy plan, (3) CRM application, and (4) a customer feedback panel.
The communication plan (1) has to be delivered as soon as possible because this will help IIS to overcome the main roadblock, the resistance towards the change initiatives. Janet has to make sure herself that the plan is delivered as soon as possible because of the high influence it has in reducing the resistance.
The goals setting strategy plan (2) is the next step after the communication plan to be completed. The time reserved before delivering this is set to 3 months because the leadership team has to determine how this will affect the employees and participation of the employees is required to improve the acceptance of the plan.
Implementing a CRM application (3) is supportive to both the retaining of the customer and retaining the employees, but the greatest impact it will have on the retaining of the customer. A CRM application is defined as “an information industry term for methodologies, software, and usually Internet capabilities that help an enterprise manage customer relationships in an organized and efficient manner” (Salexandrou, 2008). Managing the relationship is aligned with the model of customer intimacy and therefore, an implementation of a CRM application will be helpful in achieving the desired end-state goals. The implementation should take place within 1 year but preferably sooner so that it can be supportive to the customer panel solution as soon as possible.
Creating a customer panel (4) is a solution that effectuated by making user of the CRM application because the organizing of the relationship with the customer can be arranged from that system and therefore, this CRM is beneficial to two solutions.
Evaluation of Results
The evaluation of the results should indicate if the alternative solutions have been successfully for IIS. The communication plan should be created so that the resistance to the chance can be overcome. This should lead to zero resistant employees within 2 months time.
Motivate the employees by implementing an employee award system should be realized after a goal setting strategy. The improved motivation of the employees should be noticeable within 12 months time. The metrics to be used is the number of awards granted to the employees which should be 50 within 12 months and be doubled within 24 months.
Retaining the employees should be improved by implementing a solution for continuous feedback. This feedback can be stored in the CRM application and the employee turnover should drop to 15% within 12 months and to 7% within 24 months.
Retaining the customers should be improved by implementing the customer panel and the customer satisfaction needs to improve to a satisfaction rate of 4.4 within 12 months time.
Conclusion
IIS has to overcome a number of challenges to be able to successfully implement the customer-intimacy model within the Marketing and Sales departments. The desired change has not been implemented by the former EVP and has to be let go after which Janet Angelo has been introduced to IIS. It is her job to implement the customer intimacy model within the Marketing and Sales departments. Janet has to show her leadership skills to implement these changes by overcoming the present resistance within the Sales department what should clear the way for organizational change and head IIS toward the desired customer-intimacy model so that it can start providing value to the customer based on relationships of trust. References
Case Study: MasterCard worldwide takes charge of change (2008, July). Training. Retrieved October 4, 2008, from Business Source Complete database.
Kreitner, R., & Kinicki, A. (2004). Organizational behavior (6th ed.). New York: The McGraw-Hill Companies.
Palmer, A. (2008, January). Personal delivery. Incentive, 182(1), 22-23. Retrieved October 4, 2008, from Business Source Complete database.
Pascale, R., & Sternin, J. (2005, May). Your company's secret change agents. Harvard Business Review, 83(5), 72-81. Retrieved October 1, 2008, from Business Source Complete database.
Salexandrou, M. (2008). CRM definition. Retrieved October 10, 2008, from http://www.mariosalexandrou.com/definition/crm.asp
University of Phoenix (2008). Intersect Investment Services [scenario]. Retrieved September 22, 2008, from University of Phoenix, rEsource, MBA520.
University of Phoenix (2008). MBA520 mindmap week 4. Retrieved August 27, 2008, from University of Phoenix, rEsource, MBA520.
University of Phoenix (2008). MBA520 mindmap week 5. Retrieved August 27, 2008, from Univesity of Phoenix, rEsource, MBA520. Table 1
Issue and Opportunity Identification
Issue Opportunity Reference to Specific
Course Concept
(Include citation) Concept
The sales department of IIS has not accepted the required change as the department feels that the required change is unfavorable to them. In the Boardroom meeting Lyn expressed her feeling by stating that she has had “a 14 percent increase in my sales goals and only a five percent increase in my sales headcount” (University of Phoenix, 2008, p. 6).

No clear goals have been set at IIS in order to adapt to the customer-intimacy model. The metrics that the sales departments are using are still aiming on improving productivity, the number of calls. IIS should implement the organizational change by gaining acceptance from the organization through intense communication with the opposing parties.

IIS has to set clear goals on how it wishes to achieve the desired change by setting clear goals for the organization. “Organizational justice reflects the extent to which people perceive that they are treated fairly at work” (Kreitner & Kinicki, 2004, p. 294).

“Regardless of the nature of their achievement, successful people tend to have one thing in common. Their lives are goal orientated” (Kreitner & Kinicki, 2004, p. 305). Models and Theories of Change
The changing of the market is an external force of change which makes it necessary for IIS to adjust the organization into a customer-intimacy organization. Currently customers of IIS are looking at IIS as a trusted advisor, but they are unable to deliver what they advertise (University of Phoenix, 2008). The inability to deliver what has been promoted by the marketing department is making customers leave IIS.

One of the reasons why the initiated change process within IIS has not succeeded yet is the resistance of key personnel. The VP of Sales has not yet embraced the values of the customer-intimacy model and she has been “vocal about her opposition to a change to a “customer intimacy” model” (University of Phoenix, 2008, p. 1). The changed market conditions provide IIS with an opportunity to realize the desired change by emphasizing on the fact that they are not perceived by customers as trusted, value adding advisors anymore.

IIS has to figure out the reasons for the resistance and implement strategies to overcome the resistance. “Organizations encounter many different forces for change. These forces come from external sources outside the organization and from internal sources” (Kreitner & Kinicki, 2004, p. 673). “The emergence of a global economy is forcing companies to change the way they do business“ (Kreitner & Kinicki, 2004, p. 674).

“Resistance to change is an emotional/behavorial response to real or imagined threats to an established work routine” (Kreitner & Kinicki, 2004, p. 685). Critical Success Factors for Organizational Change
Due to the fact that hardly any feedback is given while striving for the new customer-intimacy goal, the personnel of IIS have received no positive reinforcement.

Nance Falkins explained that she has increased customer satisfaction and revenues by reinforcing it with her group for the past two months (University of Phoenix, 2008). Through making effective use of positive reinforcement IIS will be able to canalize the behavior of the personnel towards the goal of becoming an organization which favors the customer-intimacy model. “Positive reinforcement is the process of strengthening a behavior by contingently presenting something pleasing” (Kreitner & Kinicki, 2004, p. 346). Theories of Leadership
The personnel has been instructed about the new customer-intimacy model but there has been little to none feedback on the reasons why the changes are required. Providing insufficient feedback to the personnel has not created enough understanding why the change to the customer-intimacy model is required.

Through providing feedback to the organization IIS will be given the opportunity to motivate the personnel in order to comply with the desired change. Experts say the feedback serves two functions, instructional and motivational (Kreitner & Kinicki, 2004). “Feedback instructs when it clarifies roles or teaches new behavior and feedback motivates when it serves as a reward or promises a reward” (Kreitner & Kinicki, 2004, p. 326). Skills and Competencies of an Effective Leader – Understanding the feedback process
The expectancy of Lyn Chen that an adjusted behavior will lead to the desired goal is not very high. This results in non-compliant behavior of Lyn and therefore, the likeliness to achieve the desired goal is diminished.

IIS has to make sure that the achieved success of Nancy Falkins is set as an example to all personnel in order to convince everyone that change will lead to a higher level of performance. “An expectancy, according to Vroom´s terminology, represents an individual´s belief that a particular degree of effort will be followed by a particular level of performance” (Kreitner & Kinicki, 2004, p. 299). Non-Technical Catalysts for Change

Table 2
Stakeholder Perspectives
Stakeholder Perspectives

Stakeholder Groups
The Interests, Rights, and
Values of Each Group

CEO, Frank Jeffers Become, and remain, a top 3 player, implement customer-intimacy model, and retain customers.
Executive Vice President of Marketing and Sales, Janet Angelo Implement customer-intimacy model, gain commitment from her team, retain personnel, and remain employed.
Employees Involvement in the change process, explanation about the reasons why the change is necessary, and remain employed.
Customers Regarded as valued customers and receive added value from IIS.

Table 3

Analysis of Alternative Solutions

Table 4
Risk Assessment and Mitigation Techniques
Risk Assessment and Mitigation Techniques
Alternative Solution Risks and Probability Consequence and Severity Mitigation Techniques
Communicate the vision to the stakeholders through a communication plan • No acceptance from the most important stakeholders (Leadership team, employees). Probability is high
• Difficult to keep everyone satisfied when implementing the new vision. Probability is high • IIS will not be able to implement the new vision within 12 months. Severity is high.

• Letting go the remaining resistant employees.
• Communicate vision repeatedly, by Frank and Janet.

Implement a continuous feedback process to maintain focused on the vision. • Not using the feedback in a way supportive to the new vision. Probability is medium. • IIS will not be using the feedback in the right way to implement the new vision. Severity is high. • Have a number of meetings in which the emphasis has to be put on transforming the feedback into action, which is supportive to the customer-intimacy model.

Table 5
Optimal Solution Implementation Plan
Deliverable Timeline Who is Responsible
Communication plan 1 month Janet
Goal setting strategy plan 3 months Janet
CRM application 12 months Janet, Lyn, Leadership Team
Customer feedback panel 6 months Sales Department

Table 6
Evaluation of Results
End-State Goals Metrics Target
Overcome the resistance to change The number of resistant people at the focus group/all-employees meeting and at the leadership team meetings Zero resistant employees within 2 months.
Motivate the employees Employee award system The number of awards given to the employees should be 50 in 12 months and increase within 24 months
Retain the employees Employee Turnover Realize a employee turnover rate of 15% within 12 months and 7% (company average) within 24 months
Retain the customers Customer Satisfaction Realize a customer satisfaction rate of 4.4 within 12 months