Allstate Insurance Synopsis

Allstate Insurance

With the number of instabilities faced by Wall Street firms, Intersect Investments has scrambled to satisfy the needs of its employees and clients. The company has barely survived the harsh blows faced in the financial industry. In a desperate attempt to revamp the image of the company the CEO, Frank Jeffers, has decided to implement a new vision, which focuses on a customer intimacy approach. The new concept of success has caused disarray among employees and leadership members resulting in resistance to change. “Resistance to change is an emotional/behavioral response to real or imagined threats to an established work routine,” (Kreitner & Kinicki, 2003, p. 685).

In a consistently changing business environment companies must be able to adapt. Being the largest public insurer in the nation has forced Allstate to implement multiple change approaches. During a period of massive change the company found it necessary to change their leadership approach to make their changes successful. “The traditional usage of top-down communication would not be enough to implement and sustain change. Involvement of a diverse mix of employees at all levels was needed to overcome employee resistance and increase awareness and understanding of the impending changes. Employee participation in change efforts not only helps move the organization through change, it also engages employees in their jobs,” (Vales, 2007, p. 28).

Changing the company’s approach allowed management to ensure all of the right people were involved and supported the change. The participants were used as catalysts of change that served as a leadership source within their divisions to advocate the changes to their counterparts. “Leadership is the ability to influence, motivate, and enable others to contribute to the effectiveness and success of the organizations of which they are members,” (McShane & Glinow, 2005, p. 416). This network became known as the Change Agent Network. “The...