ASSIGNMENT 01
PART 1
CASE STUDY: (40 marks) Malmesbury Winery
Malmesbury Winery (MW) has a rich winemaking history as South African wineries have. Markus Daniels Senior was the owner and founder of MW in 1930. He had one son, also Markus (Junior), who studied at Stellenbosch University and was trained in winemaking. He spends a few years in France and Italy to get to know “their tricks of the trade.MW has been family managed and owned. For decades, since its formation, it employed persons mainly of racial, cultural, and gender backgrounds. It started to grow at such a pace over the last 20 years that Markus Junior had to employ more people and even formed a management structure, including an HR manager. Policies and procedures were changed by the HR Manager to comply with the new labour legislation that was promulgated in 1995.The marketing department was also improved significantly to help with the domestic as well as the international demands.
It remained a wholly owned family business although it expanded and experienced the most prosperous years ever. With the implementation of more labour legislation in SA, change was catching up with them and they had to find a way to change incrementally or to transform completely. The major turning points were the labour legislation and policy changes by the government. New regulatory policies also affected the wine industry in SA, increasing the speed of change. Although Markus was aware that all wineries were basically in the same position as they were, this served to breed frustration among the wineries as they realised they only had a few options open to them other than to sell a family business.
The fact that some legislation required Markus to share his family business with an “outsider” was of great concern for him, as he feared losing control over a multi‐million‐rand business that he builds up over the years since taking over from his father. Although many changes were made over the years, he was now forced to share control of his business. Even the thought of having an outsider as part of management took a bit getting used to. Markus Junior, as a good change agent would do, started to investigate his options. He also knew that he should seek advice from experts in the field. With the help of a Labour Consultant and his HR manager he had to create new positions on managerial level to comply with the relevant Acts. The opportunity also arose of a merger with the neighbouring winery and Markus had to explore this end as well. To sell out was never an option for Markus and his family, but a merger sounds good. Two major changes
ORGANISATIONAL DEVELOPMENT & CHANGE ODC711S
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TUTORIAL LETTER SEMESTER 1/2023
await him and MW, and with the assistance of the experts, he was actually looking forward to renewal of his business on several levels.
Questions
1. In your opinion how successful was the renewal strategy if they merged? (10)
2. Was a renewal strategy necessary for MW? If yes, explain, if not, explain why not. (10)
3. Explain how HRM is part of organisational renewal in MW (10)
4. Was it necessary to have a new marketing strategy? Motivate your answer. (10)
PART 2
INDUSTRY BASES EXERCISE (60 marks)
Students will choose a local company that has gone through a major recent change, turnaround, renewal or transformation. Give a detailed background of the company and the change process.
a) Was the change needed and why? What type of change was it , and was it planned or unplanned? Motivate you answer ((20)
b) Students will perform research and analysis to evaluate the effectiveness of the interventions chosen for organisational development. (20)
c) Students will also make recommendations as if they are in the role of an external organisational development consultant. (20)
ORGANISATIONAL DEVELOPMENT & CHANGE ODC711S
Total Marks for the assignment: 100
End of Assignment