Reference no: EM133244116

CASE STUDY "Old Mutual: Leading Culture Change"Full name:Student #:Executive SummaryThe focus of the paper was to examine the problems associated with organisational changeand leadership at Old Mutual to provide key recommendations on how the problems can beaddressed. It emerged from the analysis the managed separation of Old Mutual into OldMutual Emerging Market (OMEM), Old Mutual Wealth, Nedbank, and Old Mutual AssetManagement created disparities in the organisational culture that could potentially affect theperformance of the new business segments. There was a disconnect in the organisationalculture due to the differences in the demographic, legal and market setting of the entities. Asa result, the proposed solution by the leadership was to develop a new organisational culture.The new organisational culture spearheaded by Morule and the executive leadership teamfocused on implementing a participatory leadership approach. The leadership styleemphasized the need for inclusion and appreciation for diversity while at the same timefocusing on employee engagement in the change management process. The process of changeinvolved preparation for change, managing change in addition to reinforcing change. Thisinvolved the process of preparing the employees for the managed separation of theorganisation, adapting to the new changes following the change in addition institutionalizingthe changes within the organisational contexts. The leadership of organisation pursued a neworganisational culture defined by journey of "Anchoring in Africa" which placed moreemphasis on the African identity. Its effectiveness was largely linked to the participatoryleadership approach and the visionary outlook of the leaderships. However, to ensure that thenew strategy would be sustainable, Morule needs to focus on enhancing communication inaddition to leveraging reward systems to incentive the employees. Communication can beimproved through listening to the concerns of the employees with regards to organisationalchange while both tangible and intangible rewards can be used to promote desiredbehaviours.

Question: Why did old mutual's leaders believe they needed to change the organisational culture?