BUS599 MOD04 Strategic Management OL vs LO

BUS599: Strategic Management
MOD04_CASE_Feedback Loop and Organizational Learning
Derick Lewis Sr.
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Introduction
In system thinking, the cause-effect relationships considered in determining the interdependence and relationship of factors influencing growth and goal achievement. The system feedback loops include the balancing and reinforcing loop, and they will be analysed to assess their influence on Whole Food Market’s performance. Additionally, the feedback loops in system thinking represent the causes and effects, with the balancing loop turning the case in the opposite direction, while the reinforcing loop then provides feedback to the cause. The factors affecting the causal loops are taken into consideration in the analysis, while the reinforcing loop highlights the areas of growth, while the balancing loop explains goal behaviour. Additionally, there is an evaluation of organisational learning as applied to Whole Food Market and its link with the feedback loop.
The two critical feedback loops
Reinforcing- growth (+)


The reinforcing growth focuses on improving growth while emphasising the quality of natural and organic foods. The company will support sustainable agriculture efforts, using innovation to support the company’s growth efforts. Consumers are increasingly health conscious, and Whole Foods Market, seeks to meet the demand of this market segment. As such, there will be increased production of natural and organic foods targeting the consumers who prefer these foods. The management at Whole Foods Market will also take into consideration the consumers’ feedback, as this indicates their preference and satisfaction with the products and services. The reinforcing loop depicts the amplification of growth and improvement in the quality of natural and organic foods. The positive results are associated with the integration of different parts of the system, as Whole Foods Market focuses on the work of employees and customer perspectives to improve operations at the company.
Balancing loop –Goal/ Objectives (-)


The balancing loop focuses on moving the current state to the desired state either through increasing or decreasing the current state. On the other hand, if the current state is desirable, it is necessary to focus on the balancing feedbacks to limit the effects of reinforcing loops (Hobbs et al., 2011). The set goal for Whole Foods Market is to protect the environment while supporting sustainability efforts of the ecosystem. As there is an emphasis on protecting the environment, there are fewer and fewer changes in policies and procedures since the return on investment diminish over time. There is likely to be fewer investments to protect the environment over time, when there.
As the recycling efforts increase the company has focused on supporting recycling drives, recycling papers and even encouraging the use of shopping grocery bags, and using recycling materials where possible, but it becomes more difficult to maintain the scale of operations while increasing the use of recycled material Whole Foods Market also seeks to maximize profits, and at time there fewer regulations to determine whether the fruits and vegetables are really organic, and this is especially when they sourced from China (Blueyjay, 2013).
The theory of organisational learning
There are various contributors of the theory of organisational learning, which is a holistic approach to analysing the organisational inputs and outputs. The theory of organisational learning can either focus on the cognitive or behavioural explanation. The mental models of cognitive learning highlight the structures that allow people to understand their environments. The behavioural aspect of learning focuses on gaining insight and learning through experience. The management and leadership encourage learning top support continuous improvement while empowering the employees who are expected to show strong commitment.
The theory of organisational learning also highlights teamwork and cooperation efforts in problem-solving and supporting innovation. The workplace culture influences the employee actions and perceptions, and when they are supported and rewarded, they are better placed to integrate changes. Additionally, learning is effective when there is a transfer of knowledge internally and from external sources, where corrective actions are undertaken to address the weaknesses and take advantage of the opportunities available. The overall performance of the organisation depends on the individual performance of the employees, and their ability to effect continuous improvement. The employees also adapt to new challenges when there is organisational learning, with the management clarifying the mission and vision, so that the stakeholders know what expected of them.
Learning activities in the feedback loop
In the reinforcing loop, Whole Foods Market has focused on supporting sustainable agriculture efforts, while selling organic and natural foods. The organisation has catered to a niche market focusing on the consumers who are conscious of healthy eating and diets. The representatives and agents of Whole Foods Market are expected to be well informed about the retailer’s product listing as they can market and explain to potential customers the benefits of the products offered. Additionally, as the employees well versed on the mission and vision of the company, they are comfortable taking responsibilities in the workplace.
Since Whole Foods Market emphasises the importance of team building, the people are encouraged to participate and be more engaged at the various organisational levels. This has provided opportunities for continuous learning with a focus on improving job skills and learning about the dietary nutrition, foods and values of the company (Whole Foods, 2016). Furthermore, the workplace culture fosters open communication to support the company’s practices where the input of various stakeholders considered. The company also utilises customer feedback to inform decisions, and this communicated to the employees and the suppliers who are concerned with supporting the organic growing system.
Besides efforts to support innovation and continuous improvement empowering the customers and strengthening the supplier relationships ensures that the supply chain runs smoothly without affecting continuous improvement negatively. The company’s operating model also highlights the case for educating the consumer, since Whole Foods Market succeeds when there are efforts to reach out to the stakeholders (Denning, 2013). For the company to outperform the competitors, there is a need to emphasise the quality and sustainability, which differentiates the company’s products from the rivals (Rogers, 2015). Through creating rating systems targeting responsible growth of the organic and natural foods, Whole Foods can increase the market share and revenue.
Efforts to further engage the stakeholders should prioritise as the company’s business model enhances environmental protection. The supply chain integrates consumers, employees and suppliers, where the company markets the products directly to consumers while pointing out the sustainability efforts undertaken. The stakeholders are more receptive to changes when they convinced that there are benefits of integrating changes (Denning, 2013). Even as the consumers may be aware of the farming practices and environmental protection, when more of them are aware of this during the shopping practice they are receptive to changes to support continuous improvement of the supply chain.
In encouraging healthy eating habits, Whole Foods has raised awareness about the impact of dieting and nutrition content on health. The company’s leaders show by example through supporting initiatives to improve healthy eating choices (Johnston & Szabo, 2011). The case for a conscious leadership is that the leaders are motivated to take into consideration the interests of the various stakeholders while creating values (Denning, 2013) in empowering and motivating the employees there is a strong commitment in the workplace, while the performance improves because of enhanced synergy (Denning, 2013). Increasingly, consumers get information from the internet, which is not necessarily reliable and leaders can frame the issue to raise awareness.
Opportunities for organisational learning in the Feed improve performance
The link between organisational learning and the feedback loop is that the two closely intertwined with the cause-effect relationship. Understanding how the various components of the business system work together rather than in isolation is necessary to improve organisational learning and performance. Whole Foods Market has an opportunity to impose customer service targeting the health conscious customers, and this improves performance and is likely to improve growth into new markets. Better service associated with improved productivity and sales revenue. As such, utilising system thinking with an emphasis on feedback loops is crucial to improving overall performance at Whole Foods Market.
Whole Foods Market supports continuous improvement efforts, where the organisation culture allows the employees to learn and apply this knowledge to meet the company’s goals and objectives. Learning helps to support positive changes to transform the company into a competitive entity. For instance, the retailer allows experimentation with new strategies if they support growth in the organic and natural foods market segment. For the retailer gaining knowledge on the industry, and ways to improve internal operations is a continuous process that is integrated to support the organisation’s ability to adapt to the competition landscape.
There is increased demand for organic and natural products associated with awareness of the benefits of nutrient dense natural foods. Whole Foods Market offers food products to the special dietary needs population in the US. The retailer needs to improve its outreach to farmers to raise awareness of organic farming, while also expanding the supply base. When employees understand how to align the company’s decisions with the farmers and consumers needs, they are better placed to support changes in the workplace to improve long-term performance. This will likely increase the retailer’s market share when there is greater popularity in the stable growth potential market.
The Application of System Feedback Loop on the Need to have Advance Technology and the Labor union in the Whole Food Market Company
The feedback loop in the study of Whole Food Market organisation provides that the reinforcing loop is the use of advanced technology in communication. Communication in the organisation plays an important role in ensuring the sale of a product and marketing of that product. Technology now forms the basis for the role to transact worldwide and paperwork soon diminishes. Food industries have also developed technology used in selling product and also marketing the product ( Duff & Phelps, 2016). There is need to train employees so as to maximise the profit out the technology platform; the Whole Food Market has recently developed an online system of ordering food and paying via the use of mobile banking (Duff & Phelps, 2016).
The balancing loop provides the need for an organisation to have a trade union...