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Change, re-branding, and communications: The fluctuating identity of a major UK organization
Unformatted Document Text:  Tracking Number: ICA-7-10798 13 Most of the communications are in the form of written words and electronic transmission rather than face-to-face communication from the leaders. Such communications help people to understand the issue only, but the commitment to change, more importantly, is not intrinsic to the messages conveyed. The scale of the changes, and the fundamental change of organizational identity brought resistance from the majority of employees, who were unused to change and who were skeptical of the new name: The organizational culture in Avonia is very stressful. It is much like civil service, bureaucratic, over-engineering, which does not serve any challenges of competition. People generally fail to believe that we are in the situation for change since some of them have been in the company for years. And there is no platform of change and commitment to change put in place. That is why we need to acculturate them with new cultures. The Impact of the Change Process The re-branding exercise cost £2 million. Approximately two years after the scheme of corporate re-branding was adopted, the firm has been hard hit by increasing competition and radical corporate restructuring. Avonia restructured to cut costs by £1 billion at the end of the year. The company has already signaled its intention to lay off as many as 10,000 jobs by mid- 2003, and also aims to close down hundreds of its offices in a year to come. These developments threw the corporate re-branding into strong relief. The following themes emerged to reveal the key factors that contribute to such problems in action.

Authors: Kulvisaechana, Somboon. and Stiles, Philip.
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Tracking Number: ICA-7-10798
13
Most of the communications are in the form of written words and electronic
transmission rather than face-to-face communication from the leaders. Such
communications help people to understand the issue only, but the commitment to
change, more importantly, is not intrinsic to the messages conveyed.
The scale of the changes, and the fundamental change of organizational identity brought
resistance from the majority of employees, who were unused to change and who were skeptical
of the new name:
The organizational culture in Avonia is very stressful. It is much like civil service,
bureaucratic, over-engineering, which does not serve any challenges of competition.
People generally fail to believe that we are in the situation for change since some of
them have been in the company for years. And there is no platform of change and
commitment to change put in place. That is why we need to acculturate them with new
cultures.
The Impact of the Change Process
The re-branding exercise cost £2 million. Approximately two years after the scheme of
corporate re-branding was adopted, the firm has been hard hit by increasing competition and
radical corporate restructuring. Avonia restructured to cut costs by £1 billion at the end of the
year. The company has already signaled its intention to lay off as many as 10,000 jobs by mid-
2003, and also aims to close down hundreds of its offices in a year to come.
These developments threw the corporate re-branding into strong relief. The following themes
emerged to reveal the key factors that contribute to such problems in action.


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