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Lessons in change management

by Asuka

INTRODUCTION
Change is an inevitable law of nature. People and institutions they create must adapt to the ever changing environment for survival and growth. Kung Wo Salted Bean-curd Factory (as known as KW or Kung Wo in the following paragraphs) has been in the soy-bean manufacturing, wholesale, and retailing for over a century. Its brand is well-known in Hong Kong, PRC, and overseas Chinese communities for its well-preserved traditional manufacturing process. From stone-grinding of the soy-bean to the stove-boiling of soy-milk, the whole system is almost manual, as it was first utilized in China two thousand years ago. The traditional methodology, and the culture and system it has nurtured, are embedded solidly into the minds of all employees, other work processes, and the management. It is undeniable that the company has achieved a great success for the last century. Yet, as present market and environments become more volatile and competitive, it would be suicidal for Kung Wo to remain as it was. Change must be implemented not only for survival, but also for market share expansion, and customer satisfaction. Despite the fact that the company requires a seismic change in management style and process to catch up with modern trend and management level, given its strong traditional value, a rapid corporate transformation is practically impossible and destructive. So, our group has decided to take a more incremental approach and prove the need for change with concrete data on improvement and increase in efficiency from gradual change in process. The following change project emphasizes on the internal flow of information-computerization of order-taking and data output.

PROBLEMS
Kung Wo, a tradition Chinese bean factory in Hong Kong, established more than hundred years, evolution from a family-owned store. In recent years, Kung Wo faces much more pressure than ever; due to rapid development of computerization in external business environment, the business practices and customer behaviour are changing. Kung Wo's operation process remains in a manual system processes stage which is an out dated application. Given that the business volume has been increasing where the issues and problem may raise and affect sustainability to the daily operation and competitive advantage consequently.

Information systems-related business problems that have affected its capabilities to maintain daily operation are listed out as follow:

1.Deficient to maintain customer


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