SECTION 1: INTRODUCTION
1.1 Background of Sentosa Development Corporation
Sentosa Development Corporation (SDC) is a Singapore corporation. It was founded on 1 September 1972 as a Statutory Board under the Ministry of Trade and Industry and develops services, facilities and amenities on Sentosa for visitors. In 1974, Singapore cable car system was built for linking Sentosa to Mount Faber and starts operations. Fort Siloso, Kusu Island, Surrender Chambers wax museum and St John’s Island was opened to public as a holiday and recreational purpose in the following years. In 1982, monorail system of Sentosa Island began operations and Musical Fountain open to the public. In 1992, a causeway-bridge length at 710-metre long was built and linking Sentosa to the Singapore mainland, it is more convenience for public who want to travel to Sentosa. In 1996, one of the landmarks of Sentosa, The Merlion opens. In 1998, visitor cars are allowed to enter the island under the newly-introduced Drive-In scheme. In 2002, Sentosa Development Corporation and its subsidiaries are known as the Sentosa Leisure Group (SLG). In 2006, Palawan Beach reopens to public after renovation. The Sentosa integrated resort project with Genting International and Star Cruises was awarded by the Singapore Government. In 2007, the Sentosa Monorail was replaced by the Sentosa Express to enhance the transportation links between Singapore mainland and Sentosa. In 2010, Universal Studios theme park, and Resorts World Sentosa was opened. In 2011, iFly Singapore was opened and it is the world largest and Singapore’s only indoor skydiving simulator.

1.2 Nature of Business
Sentosa Development Corporation is a service development company; their mission is to create The Sentosa Experience through outstanding service and the best-in-class offerings. Vision of Sentosa Development Corporation is to be the world’s favorite leisure and lifestyle resort destination. The main purpose of Sentosa Development Corporation is to develop, manage and promote the Sentosa Island. The range of business of Sentosa Development Corporation is wide; they cater the needs and desires from business conventions to beach parties. It shows us Sentosa Development Corporation’s managing change from the past until now and always be innovative.
1.3 The Reasons for Choosing Managing Change and Innovation to Focus on Sentosa Development Corporation
Sentosa Development Corporation is a successful business as they not only reacting to their existing customer or organizational needs, but always foresees future trends and develops something that helps them to meet the future demand effectively and efficiency. Furthermore, customer will always have new demands and making changes is the reality that must be faced by organization. So, a corporation that can be well-known and good establish for 42 years must have experienced some managing change and innovation during this period. Besides, Sentosa Development Corporation also awarded as Singapore’s “boldest and most innovative” employers in people management in year 2013. This shows us that Sentosa Development Corporation is innovative and also good in management.

1.4 Principles and Concepts of Management are applied by Sentosa Development Corporation
What principles and concepts relevant to our topic are used by Sentosa Development Corporation?
The first concept that used by Sentosa Development Corporation is “Calm water” metaphor, it is a description of organizational change likens that change a large ship making a predictable trip across a calm sea and experiencing an occasional storm (Robbins, 2012 ). The best description of the “Calm water” metaphor is a model which called Kurt Lewin’s three step process. According to Lewin, unfreezing the existing situation, changing to a new status, and refreezing to make a change everlasting are required in terms to make a successful change.
Initially the status quo must be unfreezing because it is as preparing for the needed change. When unfreezing, Sentosa Development Corporation implemented a theory which named organizational change. The organizational change is important for every business and should always keep in mind that organizational change has ‘always been here’. Whether it was the agricultural, industrial or information revolution, a new type of leadership has always been required to solve new problems and take advantage of new opportunities (Hoenig, 2000; Prastacos, Soderquist, Spanos& Wassenhove, 2002). The three types of organizational changes are changing structure, changing technology and changing people.
It is time to implement the change and shifts the organization’s condition to a new stage, when unfreezing is completed. The cognitive of a business should be restructuring in this step and they will have a different and new point of view in judging things. What an organization needs to do is apply the organizational development theory. It is any activity designed to assist the implementation of change. It will improve the effectiveness, achieve goals and build capacity by organizational development. There are several typical organizational development techniques included survey feedback, process consultation, team building and intergroup development.
The last step of Lewin’s model is refreezing means to stabilize the organization at a new condition and make the change permanent. In other words, the change will not be everlasting and organization will back to previous status if refreezing is not been done.
When an organization’s managing change, there will have some people who resist organizational change. The reasons they resist of changing may include change replaces the known with uncertainty and will also change their habit and need to face unfamiliar things. So, the organization must use some techniques to reduce the resistance of change. Techniques that used by Sentosa Development Corporation included participation, negotiation, and facilities and support.
Sentosa Development Corporation creates innovation through the systems model called (inputs → transformation process → outputs). The inputs in this systems model refers to creative people and teams that can help to stimulate innovation. The right environmental is required in the transformation process in order to convert those inputs. The innovation variables used in the transformation process are structural variables, human resource variables, and cultural variables. The outputs will be generated in the end; outputs refer to featuring new work methods and innovative products and services.

SECTION 2: CONTENTS
Every corporation, organization, company need a very systematic and efficient management team to support their operation. They have to keep on changing and innovating to achieve organization goals and reputation. Strategic planning is needed as change and innovation cannot be done overnight. It needs a period of time to develop and implement. Just like any other companies, Sentosa Development Corporation also needs to implement change and innovation to improve their business. Under Sentosa Development Corporation, Universal Studios Singapore is one of the famous theme parks in the world.
In order to improve the current situation of the organization, they should undergo change. There are three components in organization change: structure, technology and people. Firstly, the changing in structure means that there are restructuring in job design, work specialization or team-building. Universal Studios Singapore has already improved their human resource and management to face more challenging problems in the future. Cross-functional work teams are very effective in problem solving. That’s why Universal Studios Singapore come up with a team consists of business experts, scientists and other professionals in their project. Besides, on-the-job-training such as internships, assistantships, job rotation and coaching are delivered to employees while they perform their regular jobs. In this way, they do not lose time while they are learning.
In this era of advanced technology, changing in technology encompasses modifications in the ways work is done or the methods and equipment used. Organizations must adapt new technologies for continuous improvements and constantly looking for problems to fix. In this case, Universal Studios Singapore improved their Customer Relationship Management (CRM) project by introducing new CRM tools to the company. To let the project goes smoothly, they made sure that every employee is exposed to the project. They need to train their employees to let them understand what CRM is and introduce them to the new technology. In order to have the CRM tools work in high efficiency, a specific level of skill and training is required. Universal Studios Singapore needs their employees to manage customer database as it is the key to the understanding of customers. (Shetty, N. 2011)
Thirdly, changes in people refer to changes in employee attitudes, expectation, perceptions and behaviour. Again, employee training and education are needed as a performance evaluation and reward system that support and encourage the improvements. For example, Universal Studios Singapore develop bonus plans to encourage their employees. They have sent their talented employees overseas for training so that they can learn some new techniques. Furthermore, they also recruited experienced teams from overseas and to put in place a structured training systems and processes to facilitate the transfer of skills and knowledge from the foreign talent to the local hires. Universal Studios Singapore achieved their goals because they exchange their idea with overseas branches. As a result, their employees can deliver high quality jobs and will also increase their job satisfaction.
As we know, innovation is the key to continued success. Innovation has to work with creativity so that everything will be simple and easy. There are three variables in terms of innovation such as structural, human resource and cultural. Firstly, we would like to discuss about the structural variable. The new attraction of Universal Studios Singapore is the example of innovation. In year 2012 April, they successfully launched the “Port of Lost Wonder” on the island’s farmed Palawan Beach stretch. It is specially designed for kids to have fun. This project achieved their expected results. Because many young families are attracted by this playground and with indoor and outdoor restaurants, customers are provided convenient. This is what we call a win-win situation. Another example, they also launched the “Fire Away at Combat Skirmish” in year 2013 March. It was originated from Australia. They modified it to be safety, so that anyone at any age can play.
Apart from that, human resource is very important to a company. Universal Studios Singapore may improve their employees’ performance because employees play an important role in the organization. The Senior Vice President of Human Resource and Training, Resorts World Sentosa said that staff have certainly benefited from their transfer of knowledge and skills. The employees are given a training program to improve their skill and knowledge. They also sent more than 200 staff to the Universal Orlando Resort (overseas) for several months training. In less than a year into its permanent operations, Universal Studios Singapore is already looking towards retaining, refreshing and retraining its staff. Besides, employees with outstanding performance and talents will be promoted to supervisory positions for them to perform their leadership skills. (Shukla,S. 2010)
Lastly, for cultural differences, Universal Studios Singapore is the only theme park that has the “Ride The Movie” which features Hollywood movie theme park. Especially their 4D rides which attract most of the visitors. This gives the other theme parks a deadly impact because they have the unique attractions. They also offer the best rides other than the branches in United States could offer. Furthermore, “Trick Eye Museum Singapore” was introduced by Universal Studios Singapore. It was brought in from Korea and then became the attraction for people of all ages. (Sentosa, 2011)There are differences between the western culture and the Asian culture. Universal Studios Singapore was built on the island of Sentosa, surrounded by Casino, hotels, aquarium and butterfly atrium. They undergo cultural interchange by carry out this project.

SECTION 3: FINDING
Sentosa Development Corporation has come out with one main purpose which is make sure all the consumer have spent a wonderful time and make sure the customer want to return again and again. As they need all the consumer have satisfy with their place, they need to keep attract and innovate their facilities. The limitation on the available land space is one of the problem that faced by Sentosa Development Corporation to innovate. Therefore, the future development will be restricted due to the limited space and land at Singapore and the customer is no incentive for a second-time visit.
The price ticket of the Sentosa Development Corporation was set at higher rate. For the Sentosa Day Play Pass; adult which cost 69.90 SGD (RM 179.10) and children which cost 53.90 SGD (RM 138.10). Sentosa have divided different package to attract different people. The price is actually expensive to those are not Singaporean. For example, Malaysian will feel very expensive and there are need a lot of expensively expenses. It is because the currency for Singapore is different from Malaysia. Every one Singapore Dollar is equal to RM 2.56.
Furthermore, Sentosa Development Corporation also has facing other strong competitors which place as neighboring countries in South East Asia. There are strongly promoting their company as tourist attraction and can discourage the inflow of international tourist into Singapore. The strong competitors such as Genting Highlands which place at Malaysia, Jurong Bird Park which place at Singapore and Disneyland which place at Hong Kong. These competitors ware operate similar with the Sentosa Development Corporation. Sentosa Development Corporation does not have an imploded the theme as compare to others competitors like the Jurong Bird Park has come out with the theme- The Night Safari.
Moreover, Sentosa Development Corporation having its first legal casino at Singapore. It may cause a problem to Sentosa Development Corporation because gambling is considered as an unhealthy activity. Gambling may lead to a serious problem such as crime, bankruptcy, excessive debt burden, higher suicide rates and family violence. Gambling inside the casino need a huge number of money and it does contain a high risk. When gambling in casino, it has a minimum bet of 25 SGD (RM 64.05). Gambling might help to growth up the underground activities because all gambler will turn to illegal gambling in order to satisfy their needs.
However, gambling also be an addictive in a way that customer may lose control of awareness in cash which make surely your life horrible and terrible. Although the customer have lost all of their money, but there still have some people will lend you some money to let you continue gambling. The interest that charged by the people at the high rate which compare with the bank. When the people was no ability to return the money, the lender may hurt the people and it will lead to the people commit suicide and the breakdown relationship with family.

SECTION 4: RECOMMENDATIONS
The Universal Studios Singapore located on Sentosa Island always needs to have a strategic planning and willingness to change. Currently, the corporation facing some challenges such as strong competitors, high rate of food and ticket price, choices of the food, and having casino at their theme park. They need to always be aware of these kinds of problems faced and overcome it to develop their organization over a period of time.
Sentosa Development Corporation faces strong competitors from all around the countries located within Southeast Asia. The competitors include Legoland and Genting Highlands at Malaysia, Jurong Bird Park at Singapore and Disneyland at Hong Kong. These corporations are becoming the main attraction among the tourists. Sentosa Development Corporation needs to advertise their theme park in order to compete with the other famous corporations. They should advertise through mass media such as television, radio, and newspapers to reach out to the consumers. Nowadays, we can find at least a television and radio available in each of our home. This will be easier to deliver the message to the consumers while they are watching a television programme during their rest day at home. In terms of advertising, Sentosa Development Corporation as a tourism marketer needs to understand how behavioural scripting in television advertisement influences older consumers’ perceptions of products and services. Consumers do tune to their favourite radio stations while they are travelling to work or somewhere else. Internet is the fastest technology ever in our 20th century and this is the easiest way to attract more tourists around the world. Sentosa Development Corporation can introduce online travel packages especially during holiday seasons at random holiday webpages instead of at their home page. The most of the consumer would like to buy online travel package because of the benefit of buy one free one as it is much cheaper.
The tourists visiting from around the world will practice different culture and religion background. They can be non-vegetarian or vegetarian. However, the choices of vegetarian food at Sentosa theme park are very limited compared to the non-vegetarian food. We can mainly observe Italian, Japanese, Chinese, and Asian food at the dining restaurants around Sentosa theme park. Each of these restaurants do serves a small portion of vegetarian food as a side dish to the main course. However, the walking distance can be a bit far for the tourists to look for a satisfying vegetarian meal. It is recommended to have a few fully vegetarian main course restaurants around the theme park. In addition, opening up more Indian restaurant would be an advantage as there are quite a number of visitors coming from India throughout the year. A tourist from India said that there is only an Indian restaurant at Ancient Egypt area that serves a number of vegan choices. It will be difficult for older people to adapt to the western food as they are not comfortable with the taste. Other than that, it is advisable to have a few more halal food outlets around the theme park as they should be expecting more Muslim tourists from around the world.
Goods and services in Singapore usually are much expensive compared to other Asian countries and Universal Studio is more than double the prices of Singapore. A few tourists have stated that the exit of each ride is through souvenir shops which are very expensive. Their children tend to be stubborn and ask for their parents to buy the attractive souvenirs. This set the parents back by a substantial amount of cash. Moreover, food and beverage at around the Universal Studios Singapore is also very expensive. A Hawaiian pizza cost of 20 SGD while 10 SGD for a serving of freshly squeezed orange juice. A normal Asian fried rice cost about 14 SGD. Meanwhile, children’s set menu costing 10 SGD for a plate of chicken nuggets, fish fingers, and potato wedges. Besides that, there are some pastries and coffee shops around the theme park and it costs around 6 SGD for a regular cup of black coffee. The price of the entrance tickets, souvenirs, and food and beverages should be lowered down to a bit cheaper since the currency of Singapore is higher than other countries within Southeast Asia. For an example, visitors from Malaysia should find the price affordable since they are the nearest neighbouring country that has lower money exchange currency.
Sentosa Development Corporation built its’ first legal casino at the theme park. Visitors can be addicted to gambling even though it is legal in Sentosa theme park. Gambling lowers taxes and create jobs, but it also causes addicts to lose money and therefore creates a higher crime rate. Gamblers tend to face depression, suicidal thoughts, loss of sleep and appetite, anxiety in addition to marriage breakdown, problems at work, and bankruptcy. Instead of having casino, they could have built more fun and adventurous activities such as archery, paintball, or roller skate as the alternative.
Moreover, getting a survey feedback from tourist is very important as it is a method of assessing their perceptions of the services provided at the theme park. However, consumer usually will be stereotypes towards filling up a feedback form as it will consume their valuable time. So, the workers at each of the attraction booth can give out some goodie bags to attract the tourist to fill up a short and simple survey form. The giving off of goodie bags will change the attitude or perceptions against the filling up of feedback form.
Sentosa Development Corporation needs to change for them to develop and grab the top marketplace of theme park around Southeast Asia. It is strongly recommended to follow the Lewin’s 3 steps model that apply the “calm waters” metaphor of change. According to Lewin, the organization should be aware of problems, create a new workplace behaviours or environment, and reinforce the changes to achieve organization goals and reputation.

SECTION 5: CONCLUSION
In conclusion, we found out that to prolong and improve a business should undergo change and conduct innovation. Sentosa Development Corporation (SDC) is a successful business because it not only focuses on existing situation. Sentosa Development Corporation have changed and innovated for future efficiency and effectively.
In order to be an efficiency and effectively business, Sentosa Development Corporation makes change in structure, technology and people. If business fears failure or loss cost, it will be an eternal loser. Making change is inevitable by a success business.
Next, Sentosa Development Corporation focuses on three variables of innovation such as structural, human resource and cultural. Innovation can generate new ideas which can be critical to differentiator between market leaders and their rivals and business's success. Used properly, innovation can bring a commercial advantage.
To solve a business from weak point, business should make change and innovation. It will let business become better and better and become market leader. Innovations and change are always keys for a business to be succeed.
Throughout the studies, we have learned that business remain current position will be a loser. To become a successful company should have a good leader who always be alert on the market revolution and be the first mover to take action before other company to lead the trend.

References
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