Business Administration Assignment : Marks and Spencer (M&S)

Business Administration 70

Table of Contents
INTRODUCTION...........................................................................................................................3
1.1 Importance of defining objectives, scope and success criteria of decisions to be taken.......3
1.2 Importance of analysing potential impact of decision making.............................................3
1.3 Importance of obtaining sufficient valid information to enable effective decision making. 4
1.4 Importance of aligning decisions with business objectives, values and policies..................4
1.5 Explaining validate information used in decision making process.......................................4
1.6 Explaining address issues that hamper the achievement of targets and quality standards....5
2.1 Difference in the influence of managers and leaders on their teams....................................5
2.2 Suitability and impact of different leadership styles in different contexts............................6
2.3 Theories and models of motivation and their application in the workplace.........................6
3.1 Manager's responsibilities for planning, coordinating and controlling work........................7
3.2 Managers ensure that team objectives are met......................................................................7
3.3 Manager's role contributes to achievement of an organisation’s vision, mission and
objectives ....................................................................................................................................7
3.4 Analyse theories and models of management......................................................................8
3.5 Application of management theories guide a manager's actions..........................................8
3.6 Operational constraints imposed by budgets.........................................................................8
4.1 Relationship between business objectives and performance measures.................................9
4.2 Features of a performance measurement system..................................................................9
4.3 Setting key performance indicators (KPIs)...........................................................................9
4.4 Tools, processes and timetable for monitoring and reporting on business performance....10
4.5 Use of management accounts and management information systems in performance
management..............................................................................................................................11
4.6 Distinction between outcomes and outputs.........................................................................11
CONCLUSION..............................................................................................................................11
REFERENCES .............................................................................................................................13

INTRODUCTION
It is very necessary for organisation to follow principles of leadership and management.
The leadership is the way to lead other for work performance and management is process of
planning, organising, staffing, directing and controlling entity (Burian and et. al., 2014). Both are
important functions of organisation to run it successfully. The given assignment is based on
Marks and Spencer (M&S) founded in 1884 at London which deals in selling home products,
clothing and luxury food items. It has 979 stores in UK including 615 which only sell food
products. The report has covers objectives, scope, success criteria, impact, information required
for decision making. The leadership style which suits and impacts business along with
responsibilities of manager for team work. It has covered tools, processes and timetable of
performance measurement system along with key performance indicators.
1.1 Importance of defining objectives, scope and success criteria of decisions to be taken
Before taking any decision in organisation, they need to analyse importance of defining
objective, scope and success criteria. Here, Marks and Spencer want to change their traditional
technology to new and updated. For taking such big decision they have to analyse various
aspects. The objective set by M&S is to increase sales by 20% in next three years by using new
and updated technology. This set objective helps staff about work performance and way of
achieving target. The scope of decision to be taken lies between level, decision makers,
consideration and appropriatenesses. M&S need to take strategic decision as new technology
requires huge investment. The decision maker lies with organisation because such technology
will be use by employees working in organisation. The success criteria of decision to be taken is
based on time period of implementing such technology. It depends upon objective set and
whether decision is taken in favour of organisation (Cheng and et. al., 2012).
1.2 Importance of analysing potential impact of decision making
The importance of analysing potential impact of decision making are based on following:
Financial Implications- It is important to analyse about resources and their use. If it is
used more then cost can increase and if used less then work cannot be done perfectly (Hechanova
and Cementina-Olpoc, 2013). Here, financial implication should be appropriate for M&S in
order to achieve set goals.

Allocation of Work- M&S should allocate work to employees as per skills and
knowledge. In case if not done correctly, then work cannot be performed.
Proper Understanding- Being manager of organisation, it is important to understand
about project and task. If it is not clearly mentioned then incorrect decisions can be taken that
leads to loss to M&S.
1.3 Importance of obtaining sufficient valid information to enable effective decision making
It is very important to obtain valid information to enable effective decision making in
organisation. As it assist in avoiding wrong decisions for entity. The valid information taken
from authenticate sources leads success to organisation (Morden, 2017). Here, Marks and
Spencer want to adopt new technology for manufacturing products which leads to increase in
cost along with profit enhancement. As it also save time of employees which helps in more
productivity. If enterprise obtain wrong information which is not required to business and its
objective then loss may occurs. Thus, in order to run business successfully in competitive era, it
is necessary to do proper market research so that better decision can be made.
1.4 Importance of aligning decisions with business objectives, values and policies
Business objectives means outcomes that need to be achieved and business values is
defined as core principles, set standards and conducting activities ethically. It is very important
of aligning decisions with business objectives, values and policies for ensuring that works has
been undertaken in order to meet sales, customer requirement and productivity. It is also
necessary to ensure about tasks are performed in order to meet moral, ethical, financial,
reputation of business. The following of rules and procedures set by organisation help manager
to ensure work is up to standard.
1.5 Explaining validate information used in decision making process
The validate of information used in decision making process based on various factors
such as:
Accuracy- The information should be accurate that is required in organisation. This helps
in making effective decision in organisation without any failure (Parris and Peachey, 2013). For
example, M&S should depend on new technology for more productivity and produce.

Reliability- The information should be taken from reliable sources so that better decision
can be taken. As many organisation has adopted new technology for manufacturing so M&S can
easily rely on such technology for decision making process.
Timeliness- Whenever information is required to business should be made available. For
example, data and information should be made on requirement date so that better decisions can
be made on timely.
Fit for Purpose- The purpose of finding information should b fit as per decision making
process. Without purpose, it is useless to make any decisions.
1.6 Explaining address issues that hamper the achievement of targets and quality standards
While achieving target and maintaining quality standards, there are many issues which
may arise in organisation. The issues can be:
Financial- If proper budget is not allocated to project then target and standard can
decline. This hamper enterprise in negative way (Renz, 2016).
Resource based- It can be related with equipment, time and information. If there is
missing of any resources then it hamper organisation as well as objectives.
People- Sometimes, organisation hire unskilled workers for performing which increase
cost and not achievement of targets.
The above issues should be managed properly for achievement of targets and quality
standards. Finance should be planned effectively before setting projects so that work can be done
properly. Similarly, resources such as equipment, timely information should be there for
achievement of target and maintenance of standards.
2.1 Difference in the influence of managers and leaders on their teams
Manager is person who is responsible in order to administrate or control group of people
or staff. Leader is an individual who command or leads group or organisation (Simkins, 2012).
Both plays an important role in influencing their teams for achievement of goal and objectives
which is described below:
Influence of managers on their team Influence of managers on their teams
Manager create accountability for employees
and teams for delivering promises.
Leaders help teams to remove problems and
obstacles by expecting them to deliver their
promises.

They helps teams to provide proper direction. They assist teams by taking feedback from
them.
They influence teams by planning and
organising activities for them.
They influence teams by planning and
organising activities with help of them.
2.2 Suitability and impact of different leadership styles in different contexts
Context 1: Capable team member assigned complex and difficult task
Leadership style and evaluation of suitability- Participative – it help team to make own
decision.
Transactional leadership style- it is suitable if team members respond positively.
Leadership style and impact on these context- Participative- it provide opportunity for
responsible and decision making.
Transactional leadership style- it has negative impact as capable team does not respond
well.
Context 2: Team working with highly equipments on daily basis
Leadership styles and evaluation of suitability- Charismatic- it is good for motivating
team but not suitable in order to perform routine task which causes high risk.
Bureaucratic leadership style- it is good for team when high risk is involved.
Leadership style and impact on these context- Charismatic- it leads to negative impact
as following of routine work involves high risk and good for team motivating.
Bureaucratic leadership style- it creates positive impact for team members as they would
clear about rules and procedures to be followed.
2.3 Theories and models of motivation and their application in the workplace
The theory used by M&S is Maslow's hierarchy of Need at workplace which has five
level of needs described below:
Physiological Needs- The basic needs of people such as food, cloth, shelter and others.
M&S should focus on fulfilling basic needs of their employees (Stahl and et. al., 2012).
Safety Needs- It means protection, laws, orders, stability. Employees need safe and
healthy environment for working.

Belongingness Needs- It includes family, relationship, affection, work group. As
employees working in M&S requires groups and friends in order to perform better.
Esteem Needs- This includes achievement, status, recognition, independence. The good
perform should be provided with rewards and should be appreciated.
Self Actualisation Needs- It means to analyse self fulfilment, personal potential, peak
experiences and seeking own growth. After fulfilment of all above need, this rises. It is fulfilling
own satisfaction in order to remain happy.
Model information- low level to high level needs.
Application of model at workplace- It helps in building relationship, belongingness,
gaining experience and reputation of work.
3.1 Manager's responsibilities for planning, coordinating and controlling work
The manager's responsibilities for planning, coordinating and controlling work are
important which is required in order to manage normal work of business that are described
below:
Planning- The manager need to plan unexpected contingencies for business so that in
case of any amended it can easily changed (Stewart and et. al., 2018). Plan should be very
flexible and easily understandable by other staff.
Coordinating- The manager should involve in harmonising and bringing different work
together across business. They should ensure about work delegation to team or other staff.
Controlling- This function helps manager to identify objectives which are not going as
per plan. Thus, they make alternative adjustments in order to rectify deviations.
3.2 Managers ensure that team objectives are met
The manager need to consider smart targeting for all team and members. In order to met
objectives, manager can do close monitoring for checking progress of team and individuals. It is
important to build commitment from team and their members for meeting of set objectives. All
individuals working in organisation should be made clear about objectives so that they know
responsibility, role and work accordingly (Swanwick and McKimm, 2012). The manager should
be able to negotiate with team members as and when required. The SMART objective should be
set and work as per it.

3.3 Manager's role contributes to achievement of an organisation’s vision, mission and objectives
This is an important personality of organisation which helps in achievement of set
objectives. If organisation has clear vision, mission and objectives then manager can be aware
about culture in which they are working and achieve can be done against parameters. The
manager should check whether team works within set parameters or not. They should monitor
progress of employees against rules, ethos, procedure and culture. Also manager should
contribute their time for training and development of team against set standard (Traynor, Boyle
and Janke, 2013). Thus, superior plays an effective role and provide more contribution in
achieving goals and objectives of business. Due to this reason, M&S has achieved their goal and
earning maximum profits and sales.
3.4 Analyse theories and models of management
The theories and models of management are as follows:
Human Relations Theories- With the increase in time, system of management has
became more human centred emphasising on skills of people in order to bring their potential. It
emphasize significant of aligning needs of staff with company need for adopting policies that
aimed at mutual benefits. With help of people, organisation can perform better and achieve goal
and objectives.
System Theory- This theory includes features such as identifying overall goal of
enterprise, understanding cycles regulating input and outcomes and working with different
elements functions for goal achievements. Such theory is effective for leveraging and
recognizing specified patterns which organisation should follow or operates.
3.5 Application of management theories guide a manager's actions
The manager need to depend on theories which helps in providing information and
explanation for solving task. It helps manager to manage various feature of team behaviours,
motivation, thinking processes and commitments. Such applications assists manage to perform in
better and effective manner. Manager need to analyse risk and cost involved in business. Also
the applicability of management theories guide a manager's action in following culture and ethos
of organisation.
3.6 Operational constraints imposed by budgets
The operational constraints imposed by budgets can be following:

Staffing levels- If organisation want to adopt new technology then it should determine
requirement of staff whether to increase or decrease which directly impact budget (van Rossum
and et. al., 2016). This can leads to positive or negative effect for budgeting.
Ability to be able to forward plan effectively- The plan should be move effectively in
terms of workwise and growth wise. This can be done by making effective budget plan.
Allocation and procurement of resources and materials- By introduction of new
technology, resources and materials increases which leads to increment in cost. Thus, this
operational constraints effect budget.
4.1 Relationship between business objectives and performance measures
The relationship between business objectives and performance measures is very
important for achieving final outcomes. Firstly, business objective should be set within criteria of
outcomes. In order to achieve outcomes certain activities should be performed. In order to know
about those activities are conducted in best manner, performance measures can be used. It can be
measured in terms of qualitative and quantitative manner. When activities are operated as per
plan then organisation objectives of mission and vision is feasible. Thus, outcome against each
should be evaluated and feedback should be taken for overall objectives.
4.2 Features of a performance measurement system
Performance Management System (PMS) is collection of performance measures that is
used for quantifying effectiveness of actions and efficiency which provide guidance in order to
identify best strategies for achievement of objectives and goals (Waite and et. al., 2014). The
features of a PMS are as follows:
Result Oriented- It mainly focuses on achievement of outputs and outcomes that is linked
to goals and objectives of organisational.
Useful- PMS provide accurate and valuable information for organisation and assist in
decision making.
Reliable- The information provide by PMS is accurate where organisation can rely easily
on it. It keeps on measuring information and data from time to time.
4.3 Setting key performance indicators (KPIs)
KPIs is identify by enterprise as success factors for achieving mission and objectives
(Zhou, 2016). The setting of KPIs are described below:

Establishing organisational goals and objectives- Organisation need to set goal and
objectives and work accordingly.
Map business processes- After that map business process should be prepared so that
work can be done accordingly to plan.
Establish roles, responsibilities and key success factors- In this step, roles,
responsibilities and success criteria should be established for better work performance.
Consult with relevant stakeholders- There are many stakeholders of organisation but
who are relevant for business should be analysed and consulted for doing work.
Use historical data to identify performance trends- In order to identify current needs,
historical data can be taken into considerations for better performance of business trends.
Set KPIs most critical for business success- The KPIs should be set for success of
business and achievement of goal and objectives (Burian and et. al., 2014).
Set target and review date- In this target need to be set for goal achievement and try to
achieve within stipulated date. This can be done by reviewing those date on regular basis and
improving it.
4.4 Tools, processes and timetable for monitoring and reporting on business performance
The tools, process and timetable for monitoring and reporting on business performance
can be done through following:
Tools, Processes and Timetable
Planning and budgeting- it means monitoring against goals.
KPIs- it is crtical success factors
Balance scorecards- it has four aspects such as financial, internal process, customer,
learning and growth.
Benchmarking- it means comparing with other and better understanding of performance.
Timetable- it can be measured in terms of weekly, monthly and on basis of nature of
activities.
In order to monitor and report business performance, M&S can use Customer
Relationship Management (CRM) for maintenance relationship with consumer and using
software and technology. Also it can use performance appraisal tools such as 36o degree review,
assessment of job of individuals (Cheng and et. al., 2012).

4.5 Use of management accounts and management information systems in performance
management
Management accounts is the financial and non financial accounting data that is related
with activities and procedures. It is predictive and forward looking approach which is prepared
on basis of frequency in order to match needs of entity. There are laws made for managing
accounts such as Data Protection Act 1998 and Freedom of Information Act 2000.
Use of Management Accounts in Performance Management
Management accounts support decision making in performance management to make
work easy and simple. It helps in identifying consequences of actions and risks (Morden, 2017).
It assist in strategy development and business planning by using historical data and provide
information that is used in dashboard for performance.
Use of Management Information System (MIS) in Performance Management
It is the computerised information processing system that is designing for improving
quality, supporting and increasing efficiency of operations of business and decision making of
people (Renz, 2016). It helps performance management in turning raw data to information. It is
used for managing and storing performance data, tracking progress and evaluation through
information taken.
4.6 Distinction between outcomes and outputs
The distinction between outcomes and outputs are as follows:
Outcomes Outputs
The changes took place for carrying aims or
objectives as an entity is called outcomes.
It is not planned by organisations initially.
It can be hard as well as soft outcomes.
The products and services which are result
from organisation activities is called outputs.
It is related with objectives of organisation.
Example, accounting firm offering services of
accounts to clients which is outcome of
activity.
CONCLUSION
From above report it can be concluded that it is necessary for organisation to follow
principles of leadership and management. Marks and Spencer need to set objective, scope and

success criteria for adopting new technology in business. In order to run enterprise successfully,
it is necessary to analyse different factors such as financial, social and others. Manager and
leaders both work on influencing teams in order to achieve increase sales, enhancement of profit,
maximizing productivity and sustainability.

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Performance Management System. 2018. [Online]. Available through:
<https://www.mbaskool.com/business-concepts/human-resources-hr-terms/3552-
performance-management-system.html>.