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Assignment 3 Ajax Minerals and Perrier

Assignment 3 Ajax Minerals and Perrier - Strayer University...

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Strayer University Assignment 3: Ajax Minerals and Perrier HRM560 Managing Organizational Change by Ileana M. Ramos Submitted to: Dr. Paul Jaikaran Summer 2014
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1. Identify two (2) sources of resistance to change in the Ajax Minerals exercise and describe how the organization dealt with each type of resistance. Ajax minerals exercise two sources of resistance, this were identified as: discomfort and uncertainty . The two were present before the company decided to implement new changes and they were all subject to the feeble relationship between staff and management. Change is always perceived to have a negative result and leads to a state of skepticism. Organizational life in any working place has an associated aspect that causes resistance to any change that have a direct or indirect impact on the working conditions and remuneration of employees. There exists a general feeling to respect towards the current structure of senior management in the company but past initiatives have created animosity and tensions between the management and labor. Ajax Minerals had for some time been operating at an optimal capacity. Its successful operations were however marred by poor management skills and weak employee relations. The company was then faced with an external business rivalry from Pacific Rim Mining Company that created direct and stiff competition. Initial estimates focused that in a span of three years Pacific Rim would hold a strong base in the industry and ultimately run Ajax Minerals out of business. 2. Identify two (2) sources of resistance to change in the Perrier case study and describe how the organization dealt with each type of resistance. Relations between management and workers are not good. This mainly erupted from the fact that majority of them were members of the CGT trade union. There was always stiff opposition to any attempts the company made to recuperate its financial performance. Peter Brabeck-Letmathe Nestle C.E.O attributed the actions of CGT as directed towards ensuring that Perrier remained under
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