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Change Management Concept

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Submitted By Rambus5508
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Executive Summary
The Smart car has been around for over 10 years; it is currently being manufactured by Mercedes-Benz. The car is incredibly small; the two-person model is only 2.5 meters long from front to back (half a meter shorter than a Mini Cooper). The doors make up three quarters of the car's length. It's almost as wide as it is tall.
The Smart car is obviously very easy to park. The plastic body panels on the car are replaceable. You can change them after an accident, or whenever you want, even with a different colour. The seats apparently are quite comfortable, with sufficient legroom, and headroom is adequate for most passengers thanks to the car's tall stance.

Assessment and Diagnosis
In the late 1980s, SMH (makers of the Swatch brand of watches) CEO Nicolas Hayek began developing an idea for a new car using the same type of manufacturing strategies and personalization features used to popularize Swatch watches. He believed that the automotive industry had ignored a sector of potential customers who wanted a small and stylish city car. This idea soon became known as the "Swatchmobile". Hayek's private company Hayek Engineering AG began designing the new car for SMH, with seating for two and a hybrid drive train.

Analysis of Change Strategy:
Nicolas Hayek, the CEO used a transformational Change strategy which involves radically rethinking and redesigning a major business process with the objective of achieving large-scale improvements in overall business performance quickly - and the product development process is a prime target. He also used merger with another company as a change strategy for his company and product. While design of the car was proceeding, Hayek feared existing manufacturers would feel threatened by the Swatchmobile. Thus, rather than directly competing, he preferred to cooperate with another company in the automotive...

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