Impact of Leadership Theories on Organizational Performance

This assignment discusses the importance of various leadership theories in achieving an organization's goals. It highlights the benefits of democratic leadership style in meeting customer expectations and the negative impact of autocratic leadership on employee motivation. The ASDA vision is used as a case study to demonstrate how different leadership styles can affect organizational performance.

Context of Business
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Abstract
Leadership is describe as the capacity of organisations manager to set and achieve
goals and objectives. This is define as the art of motivating a group of people in the
organisation. The various roles that play by leadership in function of organisation are
establish of clear goals and objectives. Objective should be share to subordinate , sharing of
vision and providing them various method which help in achieve the target of organisation.
There is a different kind of leadership and management style that are used in organisation.
Management and leadership that are used in organisation are bureaucratic, task oriented and
laissez -fair leadership. In this report discuss vision and leadership and management style in
context of UK based company ASDA. This company is British supermarket retailer, ASDA
founded in 1949.
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Table of Contents
Abstract.................................................................................................................................................2
INTRODUCTION:....................................................................................................................................4
1.1 History and summary of organisation and rational for choice:....................................................4
2. Literature Review:..............................................................................................................................5
2.1 Discuss their vision , leadership style and management practices and the various strategies
making use various theory:................................................................................................................5
2.2 Implementation of this strategy in ASDA with specific example:...............................................7
3.Recommendations:.............................................................................................................................8
4.Conclusion:.........................................................................................................................................8
References:............................................................................................................................................9
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INTRODUCTION:
1.1 History and summary of organisation and rational for choice:
ASDA store Ltd trading ASDA . This company is a British supermarket retailer.
Headquarter of ASDA is in Leeds , west Yorkshire. The company was founded in 1949 when
the super market owing Asquith family merged with the associate dairies of Yorkshire.
History:
The Asquith family ran a butchers shop in knot tingly , west Yorkshire, which was
eventually expanded to seven shops. The two sons of W. R Asquith , peter and Fred were
actively involved in the family business and were later to become co- founder of ASDA. In
1981 peter firm son -williams left the business and John fletcher became asd fasne managing
director. In new century of 2000 ASDA lunched the grocery home shopping business . ASDA
was named as the top company to work for by the Sunday times and best value retailer. In
2010 ASDA expand online shopping where they meet many challenges . After that ASDA
still opening new stores and saving customers money. At present ASDA rolls out number of
new technology to help make shopping easier for its customer (Clarke 2013.).
Summary of business:
ASDA operates as one of the largest food retailer in united kingdom. The company's
stores sell a wide variety of merchandise which includes food and appeal. ASDA has
approximately 259 stores in its arsenal each stores nearly 42000 square feet. This company
manage the cultural behaviour of customer to become the largest food industry in UK. To
provide a new range of product to0 its customer ASDA provides online services to their
customer . Services which provides by ASDA such as financial services. Photo processing
and travel. Main aim of ASDA company is provide the best services to its customer to
r3egular returning and new customer to the store is its self.
1.2 Rational of this study:
ASDA define ads one of the most largest food retailer in united kingdom. ASDA has
the roots , food and farming which is the heart of ASDA . This company provide the high
values to the needs of the customer to stand at top level. ASDA provide the good and services
to its customer with affordable price. In 2014 ASDA awarded as the “ community retailer of
the year”. In ASDA there is 18 million who shop from ASDA every week.
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2. Literature Review:
2.1 Discuss their vision , leadership style and management practices and the various
strategies making use various theory:
Vision of ASDA:
ASDA want to open to innovations and future insight to successfully represent our
country overseas. Able to meet the needs of wide based expectations. To own the production
target as a principle and aim to contentiously grow. Add value to our country's economy and
provide employment. (Giltinane, 2013) Manager of ASDA take decision on the basis of input
of each team member. In ASDA this style is play an effective role. Its create great
productivity. With this employee feel the exercise authority.
Leadership style:
This is the style the approach of providing direction and motivating people in the
organization. There is different type of style of leadership that is autocratic ,laissez fair,
coaching and demography. For ASDA company demographic leadership style is best.
Democratic style of leadership style is given below;
Democratic leadership style:
This style is the best style of the organisation. In this style of leadership leader discuss
with its team member and after that take decision. For large company like ASDA they
manager should consider this style in there organization. In this when leader discuss with its
team member then they get great ideas. Its work well for ASDA because the team member of
this organisation are highly killed and experienced. In ASDA subordinate should interact
with its superior from which subordinate feel valued in organisation and perform well in the
organisation. In ASDA leader should be intelligent ,creative , considerate and competent
Management practices:
Autocratic leadership theory:
In this leader known as the individual power control over all the decision of
organisation. In this leader set goal and objective of the organisation by its own they don't
discuss with another member of team (Du and et. al., 2013). In the leader typically make a
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choice based on there own ideas and judgement are rarely accept advice are rarely accept by
leader. For ASDA this style can be positive and can be negative. They have good control on
there team member which help in achieving the goals of organisation. Negatively employee
don't feel valued in this they cant perform happily.
Various strategy of ASDA: Various strategy is explain below:
 Motivation and reward: this help in perform well in the organisation. This strategy
can be understand by X and Y theory:
X theory:
This theory define as the theory in which employee are lazy they don't want to work
in this organization. Manager of ASDA should provide reward and incentive to motivate
employee in there organisation. This help in motivate employee towards there work.
Y theory:
In this employee are hard working and dedicated toward its work. This help in growth
and development of ASDA. Manger of ASDA should provide training to them.
 Group and team:
This help in build good team structure in the organisation. This help in solve the
problem in teams. This can be define with help of Bellbins theory which is explain below:
Bellbins theory:
In this theory Bellbins create the list of nine roles that every team should have . These
nine roles are plant,resources investigator, coordinator, shaper , monitor evaluator ,team
worker, implementer, complete finisher and specialist (Vitale, 2013).
Structure : structure define as the function for building theory that sees society as a
complex system who's part work together to promote stability. In this theory there are four
basic assumption that is rational organization behaviour which make formal rules and
hierarchy. In this there i9s the best structure which is determine by the many factor. In this
division of labour increasing the productivity. In structure theory most problem are come
from structural flaws.
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2.2 Implementation of this strategy in ASDA with specific example:
This above strategy and management practices helps in ASDA in various ways. This
help in growth and development of the ASDA. Implementation of this strategy and
management practices on ASDA give positive impact to the organisation. Manager of ASDA
implement the democratic leadership theory. At the time of any decision making in ASDA
the manger of this company interact with its employee and after that take the right decision.
For example if ASDA wants to produce new product in their company then should interact
with its employee about this. Advantage of discussing them that they gives new ideas they
tell about the negative and positive point to the company (Kaplowitz and Lupi, 2012).
Employee share there view on that which help the manager of ASDA to take right decision.
This theory of leadership create positive impact in the mind of employee they feel valued in
the organisation.
Management practices which describe as the autocratic in this leader have the power
of take decision for organisation. If ASDA use this practice then its give both positive and
negative impact on employee but its give more negative impact. When ASDA use this theory
then all the decision are taken by the manger of the ASDA. For example when manager
take decision regarding lunching the product in the market without discussing with employee
and directly manager give order to them then employee get demotivated. This give negative
impact but for ASDA employee do there work on time because the manager don't discuss
with them they give order to them. In this various type of strategy which is used for
motivating the employee and implement by the ASDA in there organization.
Motivational and reward strategy in context of X and Y theory implement by the
manager of ASDA. When ASDA apply this theory in the organization they find two type of
employee in the organization that define x and y theory . In X theory ASDA find lazy
employee in the organisation for motivating them in the organization manager of ASDA
promote reward and incentive which works as motivating employee in the organisation.
Implementation of theory in this ASDA found employee who are experienced and well skill
which play important role in the growth and development of ASDA. For that ASDA should
provide some training programmes. This theory also create great competition between
employee which works positive for the ASDA. It is very important in any organisation team
and group should be effectively works (Drago-Severson, 2012). In ASDA for build effective
group and team for this company use bellbins theory in which ASDA should follow nine task
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that is plant, resources investigator, shaper, monitor evaluate, team worker, implementer,
complete finisher and specialist.
Structural theory which promote division of organisation. For ASDA it is effective in
improve its process in order to improve the good or better services to customer. This is
effective in order to increased the profit . ASDA efficiency is the essence of rationality and
the goal of rationality for increasing the product and wealth in term of good and services
3.Recommendations:
It has been recommended that for achieving the vision of the ASDA this company
should use different management practices and theories, strategies. Vision of ASDA is to
able to meet the need of wide based expectation and aim to continue grow. For achieving this
vision of ASDA , manager have to use different theories for improving the performance of
employee. Use different practices for growth and development of the company. Democratic
theory give a great impact on this organization. This help in achieving the goal of the
organization of meet wide based expectation of customer. When manager of ASDA discuss
about product with employee and subordinate then they give different ideas , different
opinion which help ASDA to grow. In autocratic employee have lack of focus because they
don't feel valued in organization. X and Y theory help in motivating the employee if the
ASDA. They motivate employee by providing them incentives. Bellbins theory help in focus
on the nine aspect to build great team and group.
4.Conclusion:
It has been concluded that for achieving the goals and objectives of the organization.
Company should focus on theory and strategies which help in achieving the goals. By using
different type of theory that is X and Y theory helps in motivating employee for better
performance in the organization. Understand leadership style in which leader should discuss
with its employee knowing there ideas and point of view and consider all that after that take
the right decision. This help organization to understand various option which help in taking
right decision. Autocratic leadership style give both impact that positive and negative impact
on organization. In this leader never discuss with anyone and take decision and give order
which result comes as employee perform on time . Negative impact as they feel less valued in
the organization which demotivate them.
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References:
Books and Journals
Clarke, S., 2013. Safety leadership: A meta‐analytic review of transformational and
transactional leadership styles as antecedents of safety behaviours. Journal of
Occupational and Organizational Psychology. 86(1). pp.22-49.
Giltinane, C. L., 2013. Leadership styles and theories.Nursing Standard, 27(41).
Du, S. and et. al., 2013. The roles of leadership styles in corporate social
responsibility.Journal of business ethics.114(1). pp.155-169.
Vitale, P. P., 2013.Managment Practices and Efficiency of Farms in the Western Great
Plains (Doctoral dissertation, Oklahoma State University).
Kaplowitz, M. D. and Lupi, F., 2012. Stakeholder preferences for best management practices
for non-point source pollution and stormwater control.Landscape and Urban
Planning, 104(3-4). pp.364-372.
Drago-Severson, E., 2012. New Opportunities for Principal Leadership: Shaping School
Climates for Enhanced Teacher Development.Teachers college record. 114(3). p.n3.
Online
vision of ASDA?. 2019. [Online]. Available through:
<http://www.nms-ASDA.com/ASDA/main/ASDA-vision-mission-values/index.html
>.
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