In the complex business environment it is very essential for the organisations to understand the need of changes in the firm and adopt strategies accordingly. Change is an inevitable part of organisations. It is essential to analyse issues in the firm and adopt certain changes which helps them to succeed in future time period. The chosen organisation in the report is AEGON. It is a life insurance, pensions and asset management company which is headquartered in Hague, Netherlands. The project will discuss about the different organisational examples where there has been impact of change on organisation's strategy and operations, internal and external drivers of change which affects leadership as well it also covers steps to minimise negative effects of change. It also determines various leadership approaches which the company may use in dealing with change effectively.
P5 Apply different leadership approaches to deal with change
Leadership is an art of motivating individual or a group of persons who influences or guide other members within the workplace for achieving goals and objectives of organisation. Leader perform various functions such as communicating clear mission and vision within the employees and provide proper information and knowledge which help to perform business activities efficiently. There are various leadership approaches used by AEGON to deal with changes effectively which are described below-
Situational Leadership- It is an adaptive leadership style in which leader of the organisation adjust their style in order to influence the followers to behave and work accordingly . In this, style of leadership may change continuously in order to meet the needs of organisation based on situation. In context to AEGON, management use situational approach to deal with change effectively. Such as in case of conflict between the employees within the organisation regarding change in business operation. Leaders behave according to the situation and develop strategies to resolve issue at the earliest. In such issue, leaders and managers analyse the cause for the problem and develops various rules and regulations and implement them which leads to reduction of conflicts.
Democratic Leadership- In this type of leadership style, leader involves their followers in decision making process. This makes the followers feel as an important part of the organisation and it also helps the leaders in successfully implementing the change. When employees are involved in taking decision regarding change in AEGON, it makes them analyse the importance of change which helps in successful implementation.
With the help of Lewin's change model, AEGON can implement the change ef