LPHY Case Study: Managing Change Through VUCA Challenges Case Study

Strategic Development in Non-Profit Healthcare Management

Background of LPHY

• The case company LPHY (Love Peace Harmony) is a non-profit organization legally enacted in 2008 based in the USA.
• The organization was formed in 2006, to serve the spirit of motherhood, love, and happiness to the community and aim to let everyone live happily and healthily (Hayes, Freestone, and Day, 2019).
• The organization contributes its hospitality to other partners and non-profit organizations for sustainable global humanitarian efforts.
• The organization raises their fund by organizing musical concerts with local non-profit organizations (Chakraborty and Biswas, 2021).

Note: LPHY has a separate unit “NHS Hospice Care”, which provides Care home services, and also day care services at the Hospice premises itself (Hayes, Freestone, and Day, 2019).

VUCA Model

The VUCA model represents various qualities of situations or difficulties, which cannot be analyzed easily (Shliakhovchuk, 2021).

• Volatility–It is that kind of quality that has significant changes created rapidly in the market. The significance either shows a positive or negative relationship between one variable over another variable.
• Uncertainty– When events or outcomes of the market cannot be predicted well, leads to uncertainty.
• Complexity– Consequences have complexity to understand, which leads to multiple confusions.
• Ambiguity– It occurs due to complexity and Uncertainty between cause-and-effect relationships.

Note: The model helps to identify these qualities and tries to improve its strategic abilities which drive towards better results (Shliakhovchuk, 2021).

Strategic and Operational Importance of Change for LPHY

• Strategic change allows organizations to make changes in their operations, and to grow themselves with the changes in the business environment (Kunisch,al 2017).
• Changes and adaptability are the prime needs for business organizations (De Abreu, de Freitas, and Rebouças, 2017).
• Fluctuations in the business environment allow personnel to adapt to the new technology, which drives them in their surroundings.
• This also helps in acquiring new skills by having the desire to upgrade their skills and knowledge (Potočnik and Anderson, 2018).

Note: The organization is gripping new opportunities to make a better version of their life, that gives benefits individuals although benefits the organization to grow themselves as well as able to achieve progress in their organizational objectives.

Managing Change and Organization

• In today’s modern era, management plays a crucial role. Nowadays, Management is not only limited to organizations but it is needed everywhere.
• The role of managers has a wider scope in today's scenario; Managers need to balance between changes occurring in the business environment with timely taking corrective steps within the organization (Sörgärde, and Svenningson, 2019).

Note: Change management is a never-ending process, it comprises a good comprehensive organizational structure, and changing management will not be implemented at once.

Change Management Models Available for LPHY

Changes and adaptability are the necessities of today's world. The two models of change management for LPHY are:

• Lewin’s Change Management Model: It was propounded by Kurt Lewin, this model has mainly three categorizations.
• Unfreeze: The first step involves, unfreezing the existing rules, regulations, and Policies so that, changes can be achieved.
• Change:This is the execution of the new changes within the organization for its better development.
• Refreeze: Adopt and intact with the new changes, which are market-oriented.
• Kotter’s Change Management Theory: This theory was propounded by John Kotter, an expert professor at Harvard University, Landon.

The Theory was based on the Change management process and the psychology of the individual affects the organization's performance (Phillips, and Klein, 2023).

Note: Those organizations, that would not act as per the market needs and requirements, will be left out of the competition, the same thing happened with “Hospice Care” during the hit of Covid-19.

Evaluating Change Management Models for LPHY

• In the context of LPHY and based on the above two models of change management. Human assets are the key players in every organization (Clepper, 2018).
• Lack of manpower, no organization can achieve its predetermined target and LPHY failed to sustain its human assets.
• The reasons behind the failure of LPHY—the deficiency of enough funds, not providing a well-working infrastructure, low pay scale, more workload due to shortage of manpower, and less pay—are a few reasons for the closer of "Hospice care" during the spell of COVID-19.

Note: Hence, above mentioned two models generously fit in the case of LPHY, “NHS Hospice”. If the organization was adopted these models earlier in its Strategic management, its situation will be different today.

The Role of Organizational Development in the Future Success of LPHY

• In the evaluation of the change management model concerning LPHY, “Hospice Care” Organizational Development is the fundamental process for boosting the capacity of the organization by adopting its business environment.
• And make policies as per the changes occurring in business surroundings, and making business plans accordingly although the same execution at the right time with the right personnel is equally significant (Burke, 2022).
• Organizational Development contains improving and developing new policies, Structures, and processes as per market-driven needs and demands of the organizations and will adopt new technology as the demand of time.

Note: Hence, organizational Development in the case of LPHY comprises – Continuous improvements in its performances and enhancing the efficiency of the organizations, leading to employee development, and increasing business success.

VUCA and LPHY

• Every single organization’s growth rate had declined throughout the peak of Covid -19.
• Most of the organizations left the competition, the main reason was a lack of Fund management practices by the organization, and LPHY, “Hospice Care” is one of them.
• During the pandemic situation, LPHY was struggling to meet its appropriate fund requirements.
• Certainty about increases in the unemployment rate leads more life-threatening and hopeless situations
• Inflation would be raised, and the obvious future is unpredictable.

Note: The following key points concerning VUCA concerning the LPHY foundation are highlighted in this slide.

Conclusion

• After the deep assessment of LPHY, the study concluded that Organization wanted to fundraise from £1 million to £ 2 million per year.
• This objective can be achievable by improving its organizational structure, and by creating more professionalism in its workplace so; the complete monitoring of work can be achieved.
• It leads to more uniformity in the organizational structure and consistency in its business operations,

Note: Every organization has to courage to accept the changes and act consequently to sustain itself in the market in the long run.

Recommendations

Based on the output of the study the foundation needs to pay more attention to the following factors to achieve its sustainability and future course of action in a foreseeable manner–

• The organization should hire enough quantity of well-skilled personnel with the right pay.
• The organization should adapt to the new technology according to the changes in business atmospheres.
• The organization should improve its organizational management structure.
• The organization should provide a good and satisfying working environment.

Note: The organization should let the employees feel a sense of belongingness towards the organization by asking employees for feedback for improvement and how to achieve future growth of the businesses because employees are the ones who work on the ground level.

References

Burke, W.W., 2022. Organization development. InOxford Research Encyclopedia of Psychology.

Chakraborty, D. and Biswas, W., 2021. Think love, think peace, think harmony: Rethinking on industrial tranquility.Business Perspectives and Research,9(1), pp.92-110.

Clepper, J., 2018. Impact of preparatory leadership change management skill development in the leading sustainable lean change process. Oklahoma City University.

De Abreu, M.C.S., de Freitas, A.R.P. and Rebouças, S.M.D.P., 2017. A conceptual model for corporate climate change strategy development: Empirical evidence from the energy sector. Journal of Cleaner Production, 165, pp.382-392.

Hayes, A., Freestone, M. and Day, J., 2019. Foundations of Peace and Harmony in Families and Communities: Insights from a TRUST, LEARN and CARE (TLC) Framework.International Journal of Islamic Civilization,2, pp.119-162.

Kunisch, S., Bartunek, J.M., Mueller, J. and Huy, Q.N., 2017. Time in strategic change research. Academy of Management Annals, 11(2), pp.1005-1064.

Phillips, J. and Klein, J.D., 2023. Change management: From theory to practice.TechTrends,67(1), pp.189-197.

Potočnik, K. and Anderson, N., 2018. A constructively critical review of change and innovation-related concepts: Towards conceptual and operational clarity. Creativity and Innovation in Organizations, pp.5-18.

Shliakhovchuk, E., 2021. After cultural literacy: new models of intercultural competency for life and work in a VUCA world.Educational Review,73(2), pp.229-250.

Sörgärde, N. and Svenningson, S., 2019.Managing Change in Organizations: How, what and why? Sage.