Comparison of Roles and Characteristics of a Manager and a Leader in Amazon

The report discusses the roles and characteristics of a manager and a leader in Amazon, their application within different contexts of organization, theories and models of leadership, approaches to operations management, and the importance of operations management towards achieving business objectives. It also analyzes the factors within the business environment that impact upon operational management and decision making by leaders and managers.

UNIT 4 ASSESSMENT

INTRODUCTION
Management can be defined as a body who attempts to control a group or a set of
organization in order to attain the set goals. On the other hand, leadership can be defined as an
ability of an individual to motivate and influence individuals in an organization to contribute
towards its goals and success. The present report is based on Amazon, an American MNC
operating within the technological sector and focusing on ecommerce, artificial intelligence,
cloud computing, etc. Accordingly, the discussion will be based on comparison of roles
performed by leader and manager, their application within different contexts of organization,
application of theories and models of leadership, approaches to operations management and the
role played by a manager and leader and value & importance of operations management towards
achieving business objectives. Also, the business environmental factors will be discussed
through PEST analysis that could have an impact over operational management & decisions
made by managers and leaders.
MAIN BODY
Definition and comparison of roles & characteristics of a manager and a leader
Definition
Manager: They are someone who works through and with other people in terms of establishing
coordination in the work performed by different individuals within the organization in an attempt
to achieve the higher organizational goals. The different duties and jobs performed by them are
aiming for higher profitability & greater performance. They operate at different levels within the
organization which facilitates management of tasks performed by different departments (Sahban,
2019).
Leader: They are inculcated with an ability to influence their team members to get their support
and aid towards the achievement of common goals. They create a way for people to make sure
that they contribute something extraordinary for the organizational goals.
Roles and characteristics of a manager and leader
Manager Leader
Manager works in organized and formal
manner.
Leader works in both formal and informal
way.

They performed the task of setting goals and
objectives for the whole organization (Tudor
Car, Kyaw and Atun, 2018).
They focus on and communicate the goals
and objectives set by managers.
They communicate the policies framed by
them to the leaders.
Communicate policies to the employees and
influence them to work upon it.
Provision of direction to their department. Provision of direction to their assigned team.
They primarily focuses on goals and
objectives of an organization.
Their primary focus is over the workforce.
They perform the main function as planning. They perform the role of providing inspiration
to their team to work in desired manner.
Examination of examples of leader’s role and manager’s function to be applied in different
organizational context
Planning: Within Amazon, the manager performs the function of planning and setting goals for
the whole organization in an attempt to enhance sales and revenues of the business. For instance,
managers plan the whole process of supply chain management which includes product
warehousing, pricing, inventory management and delivery times for each item ordered. For the
smoother supply chain, management attempts to ensure that these elements are optimized well.
The role of leader is to communicate these plans and policies to achieve the same to the
employees to ensure the accomplishment of organizational plans made by management.
Organizing: Management aims to ensure that the resources of the company (Amazon) should be
utilized in best and optimum way to ensure efficiency in the achievement of organizational goals.
The role performed by leader is of efficient allocation of resources along with the provision of
motivation to employees to utilize the available resources in the best possible manner for better
outcome. For instance, due to inability to hire people who are having great connectivity with
target audience, then the leader attempts to motivate them through offering better incentives.
Directing: Managers provide direction for what tasks are required to be performed while the
leaders attempts to direct their subordinates in terms of how the assigned tasks could be
accomplished in effective manner (Gümüş and et.al., 2020). Within Amazon, when employees
are not able to perform their assigned tasks on time, then leaders plunge in to provide direction
for better accomplishments.
Controlling: At the time when sales of the company fells, then management attempts to set
target for individual salesforce along with controlling their actions to ensure the achievement of

desired results within Amazon. On the other hand, the leader performs the role of controlling by
giving set of directions on how could the assigned targets could be achieved by motivating
salesforce through financial and non-financial incentives. A controlling leader generally takes
everything on them rather than trusting on their employees.
Theories and models of approach of leadership
Leadership is the ability of an individual to influence and direct the followers of the
company for accomplishing the goals and objectives of the company. Th role of the leader is
very important in the company as they have yo take various important decisions and also guide
the employees for the achievement of the organizational objectives.
Situational leadership theory: Situational leadership style means adapting the respective
management style in every unique situation or in any specific task in order to meet the needs of
the team members. With the application of this theory, the managers can adapt their working
environment easily and direct the employees in performing the required task for the achievement
of the organizational objectives(Thompson, and Glasø, 2018). Many times it is observed that
managers don't adopt itself with the changes in the environment but in order to become a
successful manager if the very important to have desired skill and should adapt itself with the
changing situations which can help in their development. With the help of this model , Amazon
considers the competency of their employees. It also understands the challenges that is faced by
the employees while performing the task and helps to provide t the direction that is required by
the employees in performing the assigned task effectively. This theory is used in case of
emergency situations where quick decisions are to be taken by the leaders.
System leadership theory: This theory is developed by Dr. Ian MacDonald who is a
organizational behavior expert. This theory enable the managers to create the situation through
which the employees can boost their productivity and with the help of their skill and
knowledge(Hasibuan, and et.al, 2020). The situation arise where there has to me made changes
in the organizational stricture due to various change on the environment then in that situation in
order to adapt the changes in the organizational structure the leaders of the Amazon company
uses this theory and creates a condition where in order to achieve the objectives of the company,
the employees are encouraged to enhance their productivity.

Contingency leadership theory: The contingency theory states about the effectiveness of the
managers decisions in case of any contingency and defines that whether suitable leadership style
fits in a particular situation or not. It depends upon the manger which leadership style can be
applied in a particular situation(Heller, 2019). Suppose, If Amazon has to make a marketing
plan, the manager can uses this theory in order to allocate the responsibilities with the help of the
application of effective leadership style in different situations.
Approaches to operations management and the role that leaders and managers play
Various approaches to operational management are : Total quality management: It is a management approach that is related to the long term
success of the company through satisfying the customers requirement. The objective of
this approach is to maximize the quality of the operational output of the Amazon to
fulfill the requirements of the customers. The company(Amazon) operational
management is associated with improvement in the e-commerce business(Pambreni, and
et,al, 2019). As the company is having diversified organizational culture , it helps to
promote new innovative ideas among the employees . The employees are free to present
their innovative ideas in order to improve the business. Lean production: It is an another approach to management that is associated with the
cutting out the unnecessary waste and ensures the quality of the product. This approach
can be applied at any level of business such as from planning to distribution(Tiwari, and
et.al, 2020). Amazon uses lean production by cutting out the extra cost that is used in
the production of the products in order to run the business more efficiently and also fulfill
the market needs by maintaining the quality of the products that is supplied in the market.
 Just in time : It is the operational approach that is associated with the various process of
production. It is an inventory system that helps to maximize the productivity and also
increase the efficiency of the company(Wankhede, and et.al, 2018). The company uses
this approach in order to achieve the desired target. Amazon uses this strategy as it helps
in manufacture the products in the demands of the customers and deliver in the market
when it is required by the customers.

Role of the managers
 Effective communication with the other departments of the company.
 The role of the manager is to recruit the candidates that have required talent and
contribute in the achievement of the organizational goals. It is also the responsibility of the managers to guide and assign the task as per the
potential of the employees .
Role of leaders:
 The role of the employees understand the need of the employees and motivate the
employees for achievement of the organization.
 They understand the potential of the employees and assign the work accordingly.
Importance and value of operations management in achieving business objectives
Operational manage is defines as the process of planning, organizing, managing ,
controlling and supervising the subordinates in the manufacturing process. It is the
responsibility of the operational manager to ensure that the products are delivered in the market
at right time and also ensure that the raw materials are converted into finished goods. It is very
important for the Amazon to have effective operation management which results into overall
productivity of the business(Peinado, and et.al, 2018). With the helps of effective operational
management, Amazon can effectively manage the overall activities of the business and also
helps that all the products of the company is aligned as per the requirements of the customers.
The importance of operational management are: Production efficiency: Production of the company is considered as the main area that
results in to cost minimization of the company. With the help of proper evaluation ,
Amazon can avoid the extra cost that is incurred in the manufacturing of the products that
will ensure high revenue and also increase the production efficiency of the company. Maximization of profit: Every company is incorporated with the motive of earning
profits and the goals can be achieved if the sales of the company is increased. If the
company has effective operational management it will help to increase the sales of the

company resulting into generating high profits for the company(Kovács, and et.al, 2020).
Amazon need to concentrate on increasing their customer base by using effective
marketing strategy to increase their market share . Fulfilling the requirement of the customers: In order to increase the profit of the
company, it is very necessary to understand the needs and requirements of the customers.
The company should not only focus on fulfilling the needs but also consider to deliver
quality products in the market(Lee, and Tang, 2018). If the company(Amazon)
implements effective and flexible operational management it will help the company to
deliver products ion the market according the requirement of the customers. Effective utilization of resources: The operational management ensures that there is
proper utilization of the resources so that the company can effectively achieve the
objectives of the company.
 Inventory management: The main purpose of the operational management is the efficient
use of inventory. Amazon uses effective inventory management strategy that results into
less wastage of the resources and ensuring quality services to its customers.
Factors within the business environment that impact upon operational management and decision
making by leaders and managers
Business environment is the set of external and internal factors which includes
employees, customers , suppliers , clients , regulations by government , social factors etc. The
changes in these factors affect the functioning of the company(Onyusheva, and
Seenalasataporn, 2018). In order to run the operations of the company effectively, it is very
necessary for the management to evaluate these factors which can effect the activities of business
and plan strategies accordingly. It is observed in many companies that employees resist the
changes then in that situation , the managers and leader communicate with the employees and
educate about the benefits of the changes and provides training which can be helpful in
successfully adopting the implemented changes withing the company.
It is necessary to identify the factors affecting the company and can be done through PEST
analysis that includes the political, economic, social and technological factors that impacts the
functioning of the company.

 Political factors: Political factors involves various rules and regulation that is imposed
by the government which hinders the trading activities of the company. Amazon wants
to expand it business in e-commerce industry but various political factors can influence
the growth of the company. The company depends upon the support of the government
and the for this the company is relies on the political stability. The managers of the
company evaluate the impact of political factors on the company and plan their strategies
accordingly which helps in minimizing the risk and exploit opportunities for long term
sustainability in the market and compete over other business. The manager can explore
the opportunity of the government support in order to ensure cyber security so that the
information of the customer is not subject to risk. Economic factors: The performance of the Amazon company depends upon the
economy whether it operates it business on online and offline stores. The economic
stability of the developed countries makes it easy to operate its business in the market. In
order to expand its business in the developing countries , the management need to focus
on the economic stability of the country and then evaluate the market trends which will
help in making strategies in order to successfully operate its business with the
application of effective management styles. Social factors:Social factors consist of changes in the behaviors of the customer. Various
changes in the social factors also affect the functioning of the company. The role of
manager is to understand the market trends and also the expectation of the customers
and make improvements in the plan and strategies of the company in order to deliver
quality services to its customer(Çitilci, and Akbalık, 2020). The manager makes sure
that the company is investing its cost on research and development process in order to
monitor the market conditions .
 Technological factors: Technological factors is the one of the factors which deeply
affect the company. In order to run its business effectively it is necessary for the
company to adopt advanced technology in its management system which will help in
analyzing the data effectively and then make strategies accordingly(Dogru, and
Keskin, 2020). In order to overcome this , the manager continuous involve in market
research and stay updated with the latest technology which the company can use which

will help in getting relevant data in order to make effective decisions for achievement of
the objectives of the company.

CONCLUSION
From the above report it can be concluded that it is very necessary for the managers and
leaders of Amazon to have required skill and knowledge in order to achieve the goals and
objectives of the company. With the help of applying various and effective leadership style will
enable the company to increase their productivity and also motivate the employees towards
achieving the goals. With the help of various external factors , the managers overcome the
problems that can affect the operations of the company and enable the company to achieve its
goals effectively.

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