Managing Organizational Change
Leroy Banks is the Director of Change Management for Red Carpet, a national hospitality and entertainment company. He has contracted you to be an OD Consultant because Red Carpet has recently acquired a movie theater company and needs to manage the change process. External forces for change are those that come from an organization’s outside environment. Internal forces for change are those that arise from employees within the organization. Leroy has asked you to begin by assessing forces for change.
Review the Red Carpet scenario for this course and with your classmates; discuss the following in 400–600 words :
Identify and describe an example of an external force for change.
Identify and describe an example of an internal force for change.
In your opinion, what are the biggest challenges of being in the role of an OD Consultant at Red Carpet?
Sample Answer
Assessing Forces for Change at Red Carpet
Red Carpet, a national hospitality and entertainment company, is facing a significant organizational change due to its recent acquisition of a movie theater company. This merger presents both opportunities and challenges, requiring careful management of the change process. As an OD consultant brought in to assist with this transition, my initial task is to assess the forces for change, both external and internal, that are impacting Red Carpet.
External Force for Change: Shifting Consumer Preferences
One significant external force driving change at Red Carpet is the evolving landscape of consumer entertainment preferences. The rise of streaming services, on-demand content, and interactive entertainment experiences has dramatically altered how people consume media. Movie theaters, while still relevant, face increasing competition for consumers’ time and disposable income. This external pressure necessitates that Red Carpet adapt its business model to remain competitive. The acquisition of the movie theater company can be seen as a strategic move to diversify Red Carpet’s offerings and capture a wider segment of the entertainment market. However, simply acquiring the theaters is not enough. Red Carpet must understand how these changing preferences are impacting the movie-going experience and innovate to attract and retain customers. This might involve incorporating new technologies (e.g., interactive seating, virtual reality experiences), offering bundled entertainment packages (e.g., dinner and a movie), or creating a more personalized and engaging customer experience. Failure to adapt to these shifting preferences could lead to declining revenue and market share for Red Carpet.