Nestle and Organizational Change Nestle Essay

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This certainly implies that change management is foremost in Brabeck-Letmathe's thinking, but it is change at an ordered pace -- never frenetic nor reactionary; but planned change.

Part 3 -- Because Nestle is such a prestegious and conservative company, the primary implications for change management revolve around cultural implications. Nestle was quite comfortable doing business its own way -- very European, in a sense, somewhat ethnocentric to the Continental geo-political sphere. Now, they faced challenges operating in the second and thrid world in which societies can be disparate, multi-lingual (not European langauges), a different view on doing business, and the reluctance towards change. However, by moving into the direction of a global business that saw globalism as an economic reality -- unncessary change was mitigated into strategic direction (See: Change Management Implications, 2002). Change is never easy, though, so it is likely that some in the management team embraced change, while others feared their authority and group dynamics would no longer be comfortable or workable for them. Still, as a group it is likely that the processes of globalization and emerging markets, coupled with the need to revitalize the EU portion of the operation and move into emerging markets changed the views of many in the change management paradigm.

Part 4 -- Even multinational companies like Nestle, though, undergo growth and change issues that require discipline and sometimes "growing pains." Several examples exist of front line lessons: 1) The 1974 diversification outside the comfort zone of the food industry; 2) Further acquisition of an untried pharmaceutical market (Alcon Labs); 3) 1984 restructuring after acquisition of Carnation.

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All three of these front line lessons have a common theme -- flexibility and adaptation. Nestle had to undergo individual cultural change, had to remake itself and reunderstand its own position within the marketplace. It had to, for the first time, rely on others who had more expertise in certain technical areas, and had to facilitate a system in which its various subsidies and offices were effectively communicating with one another. The idea, which seemes successful in the long-term was to focus the change withint the planning process by reinforcing what was good and positive about the company instead of simply trying a new paradigm.

REFERENCES

Case Study. Nestle -- Chapter 4, What Changes in Organiztions. (n.d.). PDF version.

Change Management Implications. (2002). Cited in:

152.106.6.200:8080/dspace/bitstream/10210/324/2/CHAPTERFIVE.pdf

Leadership and Institutional Change. (2010). The National Academy for Academic

Leadership. Cited in: http://www.thenationalacademy.org/ready/change.html

Peter Brabeck-Letmathe. (2009, September). Cited in: Reference for Business: http://www.referenceforbusiness.com/biography/A-E/Brabeck-Letmathe-Peter-1944.html

Brabeck-Letmathe and Bulcke. (2010, June). The Nestle Corporate Business Principles. Cited from Nestle Corporation: http://www.nestle.com/Resource.axd?Id=70014B84-A4FC-4F82-BFA0-23939DC52E9D

Marzano, Waters and McNulty. (2005). School Leadership That Works. Alexandria, VA: Association for Student Curriculum Development.....

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