Change Management

...

Due to down of market shares for the past years before announcement on 11th Feb, the disappointment was within the shareholders but soon after the announcement the market share price of the Nokia went completely down of 10% as of March 2013 (Weisenthal February 11, 2011).

Customers: The customers who are willed towards the products of Nokia were even disappointed at the announcement. They are customers who don’t feel to handle Microsoft products instead fall towards Nokia (Nokia Corporation February 11, 2011ba).

Network Operators: Most of the network operators who are dependent on Nokia for the sub projects are even came to a shutdown position for no lead in future (Yarow May 4, 2012).

Intel: Since most of the Microprocessors from Nokia were supplied to Intel, soon after the announcement it even lost its major part of deal in manufacturing (Shilov May 19, 2011).

Software developers: Before Nokia merged with Microsoft, there are software developers who are relayed on MeeGo and Symbian software’s in the market. They are the developers for application software’s and now lost their employability (SamatJain February 10, 2011).

As to the definition of Management of Change it is a method to manage people with respect to change to achieve the desired result. It has tools that can be utilized to make successful transactions and adoptions to gain the objectives of company. But here with Nokia that didn’t happen, instead the resistance from various sectors is high. Even to the demands and needs of people were not considered during the change. This is completely towards the Objective mode of change and went wrong during the decisions and implementations of change.

SWOT (Strengths, Weakness, Opportunities, Threats) is a model used to analysis the current status of an organization to lead further for growth. It can even been applied for getting a change based on the threats and weakness.

Strengths

1. 142 years of History to Nokia

2. Mobile phones are user friendly

3. Strong financial support of 1.4 billion USD for R&D

4. Wide network in marketing

5. Relation with customer is strong

6. Diverse products for choice.

7. Compared to competitors the resale value was high.

8. Durability in product hardware

9. Long last battery life

10. User friendly Symbian operating system.

11. Global Expansion of market. Weakness

1. More Freezing time due to management structure

2. The new E series is a flop

3. Low audio quality for calls

4. Low end fashioned products

5. Weights more compared to others

6. Price fluctuation is high

Opportunities

1. Wide area of market

2. Other hardware devices and peripherals

3. High end designed models

4. Lead to technology 4G & 5G in market

5. Improvise on Megapixel of camera

6. Mini notebooks Threats

1. Samsung, Iphone and china models came more in to the market and driven out Nokia in 2014.

2. Made in China – These mobiles made same replica of models to Nokia and damaged Nokia in terms of economical.

3. Current market contains many models with different specifications and requirements which made Nokia to far from competition.

The biggest strength that Nokia has is brand name and history of 142 years. It is even the first mobile phone launched for user friendly earlier. It has the largest sales and distribution in the market during 1990 to 2008. Customers are more attracted due to its durability and also the long battery life. Nokia has a big R&D team investing of 1.4 billion USD and finding innovation. With its opportunities it can move to the advancement of technology and increasing the quality of camera in Mobile. They can even come up with notebooks and handy electronic devices because of high end R&D team. Most drawbacks that Nokia has is its structure. Since there is more number of officials and hierarchy in the management level, to introduce or to bring a new product in to them market, there is necessity of getting approvals from everyone in the management team.

According to Lewin’s field Theory to unfreeze the situation to get a change, there exists two factors that need to be balanced they are Increase promoting forces and reduce the resisting forces. Nokia couldn’t do in reducing the resisting forces instead it went to promoting the forces. The threats and weakness turned more towards Nokia rather than the strengths and opportunities because they are freeze for long time without coming up with innovative and technology up gradation.

There exist several factors for bringing the change in 2010 in to Nokia after it is been in freezing state for long time. In order to know about bringing a change, first need to know the factors which influenced to get a change. Below are the factors by which Nokia intend to get a change:

• Dopod(HTC), Sony, Palm and HP are the companies who brought change in to the market with introduction of touch based smart phones with Microsoft windows around 2000 (Angel March 21, 2011).

• Later after 8 years of market demand for smart phones with touch based Nokia released smartphone based on touch 5800 XpressMucic in Oct 2008 (Nokia Corporation October 2, 2008).

• Introducing with software quality issues for the mobiles but Nokia and also due to over production of button system mobiles it lead to huge loss (Blandford February 23, 2010).

• At the same time Samsung came up with Galaxy S in Oct 2010 (Samsung Electronics Co. October 22, 2010), with its low screen resolution models and button based, Nokia released same in to the market which got flop.

Objectivist perspective of SWOT:

There are