Context of Business - Cadbury Plc Assignment

Context
of
Business-2

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
TASK 2............................................................................................................................................1
TASK 3............................................................................................................................................3
TASK 4............................................................................................................................................5
.........................................................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
This report will highlight the leadership style, management practices and the
organizational culture of the company in detail. The report will also include the impact and
influence of company's culture and management on its business and strategies. The report will
also highlight the improvements that can be made by the company for its growth and
development and change the existing culture. The report is based on the study of culture and
management of Cadbury PLC.
TASK 1
Cadbury is a British multinational confectionery company which is currently being
owned by Mondelez International. The company deals in varieties of chocolate brands and is
mostly popular for its Dairy milk chocolates all over the world. The company was founded in
1824 by John Cadbury in Birmingham, England. Consisting its headquarters in Uxbridge,
London, Cadbury operates in 200 countries all over the world and has 71,657 employees
working in it. The company has made sure that its products are available all over the world and
enhanced its huge customer base. The products of Cadbury are available in urban as well as rural
areas in different countries. Strong distribution channel have lead to generation of huge profits
for the company both in terms of customer base and the revenue as well. The company has
created a huge impact in the global market mainly due to its strong and large distribution
channel.
TASK 2
Vision- The vision statement of Cadbury says- “ Working together to create brands people
love”, which means creating a big family and customer base across the world as a part of
Cadbury. The mission statement says: “Cadbury means quality; this is our promise. Our
reputation is built upon quality; our commitment to continuous improvement will ensure that our
promise is delivered” , the statement clearly states that the company is much concerned about
the quality of its products and promises to work on it continuously in future.
Leadership Style- Cadbury follows democratic leadership style in their organization. The
employees and members takes part in the decision making of the company. Also, Everyone in
the organization expresses their ideas freely and are given opportunities to participate and place
their views and encouraged to discuss with the management(Paulraj and et.al., 2017). This style
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has given the company to initiate higher productivity and contributions from their employees and
also increased their moral to work as a part of Cadbury. This style of leadership is to fulfill and
achieve the mission statement of Cadbury of improvement in their quality. This leadership has
initiated the generation of creative ideas and in turn helped the company to make the
improvements as well as design new products for the customers. Democratic leadership by
Cadbury has also kept its employees engaged in the organization owing to provide importance
for their position and value of their contributions in the company( Yahaya and Ebrahim, 2016).
Management Practices being followed by the company
The following are the management practices being used by Cadbury to achieve its
organizational objectives-
 Reward Effort- Cadbury management provides efficient and attractive rewards to their
employees in the form of financial incentives or recognition so that they tend ton work
more efficiently for the company. Rewards make the employees feel more motivated and
engaged and also influence them to contribute more than their actual capacity as well
increase their loyalty towards the company. Also this have increased the productivity and
efficiency of Cadbury employees leading to the growth of the organization(Amanchukwu
and et.al., 2015).
 Provide feedback to the employees- Cadbury management provides regular and helpful
feedback to its employees regarding their work efficiency and the performance. This not
only make them understand their ability but also make them know about their areas of
improvement and work on it. This has also increased the communication and clarity
related to the work between employees and management. The employees are
understanding better about their performance and also improving their skills under the
guidance and the feedback provided by the managers.
 Training of the employees- Cadbury employees are well trained and efficient enough to
ensure the higher productivity and profitability of the company. This is because the
employees are been provided adequate training for their working activities to make them
more productive and familiar with their tasks. Training has also increased the employees
ability of the employees to work more for the benefits of the company(Bloom and et.al.,
2019).
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 Focus on team effort- Managers of Cadbury are mostly concerned in applying their
efforts for and make sure that the team is performing on the correct track. The managers
monitors and make sure that the employees does not get distracted from their work which
will lead them off the track and continuously motivates them to perform for the goals of
the team. The managers repeatedly reassess the targets of the team for achieving best
outcomes. The team effort has lead to the companies growth and expansion and made it
second largest confectionery brand after Mars Plc(Nawaz and Khan, 2016).
 Motivation and support to the employees- This is the main management initiative
being practiced by the Cadbury company and is mainly responsible for its growth in more
than 200 countries. The employees are well motivated and supported in their work and
also granted emotional and mental support over their non performance. This has resulted
to increase their morale which has further lead to increase in company's performance in
productivity, expansion, revenue generation and many more related to the objectives of
the company.
Organizational Culture- The culture of the organization plays an important role in the
functioning and growth of the company. Cadbury follows- The Clan Culture in their
organization. The employees and managers share all the ideas among them and consider
themselves as apart of a big family which is actively engaged in working for their objectives.
The leaders here are in the form of mentors and guide the employees regarding their work
performance and efficiency relating to the objectives of the company. It includes strong
communication and team work in this type of culture as discussed above the teamwork and
communication are primary components of Cadbury. Managers build a good relationships with
the employees in order to motivate them to perform efficiently(Alvesson and Sveningsson,
2015).
TASK 3
Impact of organizational culture and management style on the business functions and
strategies of the company
 Culture creates the brand image of the company- The identity of an organization is
mainly known by its culture. As in case of Cadbury it is popularly known for its
democratic and participative culture which have kept the employees more engaged and
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productive in the company for their performance. Also the democratic culture has lead
the employees feel their own importance in contributing their efforts for the benefits and
objectives of the organization.
 Culture has built the interaction of employees at workplace- The culture adopted by
Cadbury has built up healthy relationships among themselves and also with rthe
management . The employees of Cadbury feels motivated and satisfied due to the culture
of the organization. Also, there is a trend of healthy competition in Cadbury organziation
which have mostly benefited the company by the growth in efficiency and productivity of
the employees(Driskill, 2018).
 Clarity among the employees- Cadbury employee are more clear about their roles and
responsibilities relating to the objectives of the company and know the techniques and
ways to perform their tasks efficiently within the time. This is because the culture of the
organization has clearly determined the organization policies to the employees and
guided them as well as provided them direction at the workplace. Clarity among all the
things has made Cadbury employees into professionals that have made the company
popular world wide sticking up to its commitment and objectives.
 Culture has built up creativity in the organization- The clan culture of Cadbury which
includes participation of employees in decision making and sharing their ideas and views
among the managers has lead to the invention and innovation of various new ideologies
that has built up the creativity in the product making and company strategy and also the
improvement in quality of the products. The company has initiated a unique concept of
establishing a strong and largest distribution channel in the world to deliver its products
rather than marketing, this unique concept is the result of creativity of its management
team and its employees who contributed their individual efforts which got converted in to
a successful combined efforts and made the company successful in creating largest
customer base in the world(Winnubst, 2017).
 Management has transformed the organization into a team- The practice of
management initiated by Cadbury has converted all the employees of the company into a
team whose objectives are only to grow the company and make more revenues for it. The
inclusion of employees inn decision making and placing their views in any situation has
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made them more concerned about their contribution and considered as a vital part of
Cadbury family.
 Management has impacted on the performance of the company- The combined team
efforts and contribution of the employees have made the company to grow and expand its
business in several companies. Cadbury is deliberately known for its quality products and
is able to achieve that fame due to its efficient performance by the employees and their
contribution in productivity of the company. The reward and incentives to the employees
have made them more satisfied and more contributing to the company and keeping them
motivated for the work(Donate and et.al., 2015).
 Management has developed skills and efficiency of the employees- Cadbury
employees are well trained and skilled enough that they continuously work on the
improvement of its products and marketing to attract more and more customers. The
company has provided efficient training and developed the skills of its employees that the
the employee contribute a lot more to the objectives of the company. The employees are
well trained to manage all the situations and ensure decision making on various issues as
well as problems related to the company.
TASK 4
Recommendations- Te following are the improvements that can be made by the Cadbury
company in their leadership style, management practice as well as implement various new
strategies-
 The company must concentrate more and work on its CSR policy and contribute towards
society and environment and their well being rather than its primary objectives.
 The company must undertake development along with the training of the employees, as a
part of its management practice for the growth and betterment of its existing employees.
 Cadbury must be more focused in using recycled materials for its product packaging or
must design the packaging materials that can be recycled and used again.
 Cadbury must reduce the use of plastic materials for its packaging of chocolates.
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 The company must be working for the development of communities in the local region
and create more employment opportunities which will further raise the goodwill and
brand name of Cadbury.
 Cadbury must work with the Just-in-time approach which comprises of producing the
unites according to the demand of customers. This will help in avoiding the inventory
wastage of the unsold products.
 The company must initiate all those activities related to the social cost such as organizing
blood donation camps, healthcare facilities, educational donations and other social
activities for the well being of society and the region it operates.
CONCLUSION
From the above report it is observed and studied regarding the vision, leadership style
and management of the organization it detail. The report also observes the study of
organizational culture and the influence of culture and management practices on the business
functions and strategies of the organization. The report explains in detail as how the culture and
management has lead to the growth of the organization as well as well being of the employees.
Lastly the report concludes by stating the recommendations in the improvement of management
practice and the various strategies and measures the company must work and focus on.
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REFERENCES
Books and Journals
Yahaya, R. and Ebrahim, F., 2016. Leadership styles and organizational commitment:
literature review. Journal of Management Development.35(2). pp.190-216.
Amanchukwu and et.al., 2015. A review of leadership theories, principles and styles and their
relevance to educational management. Management. 5(1). pp.6-14.
Nawaz, Z.A.K.D.A. and Khan_ PhD, I., 2016. Leadership theories and styles: A literature
review. Leadership. 16. pp.1-7.
Alvesson, M. and Sveningsson, S., 2015. Changing organizational culture: Cultural change
work in progress. Routledge.
Driskill, G.W., 2018. Organizational culture in action: A cultural analysis workbook.
Routledge.
Winnubst, J., 2017. Organizational structure, social support, and burnout. In Professional
burnout (pp. 151-162). Routledge.
Donate and et.al., 2015. The role of knowledge-oriented leadership in knowledge
management practices and innovation. Journal of Business Research. 68(2). pp.360-
370.
Bloom and et.al., 2019. What drives differences in management practices?. American
Economic Review. 109(5). pp.1648-83.
Paulraj and et.al., 2017. Motives and performance outcomes of sustainable supply chain
management practices: A multi-theoretical perspective. Journal of Business Ethics.
145(2). pp.239-258.
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