Impact of Macro Environment on Debenhams

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This report discusses the impact of macro environment on Debenhams and its current situations. It also explores the leadership style of Debenhams and its connection to the current situation. Additionally, it suggests a motivation theory for encouraging work practices for employees of Debenhams and provides recommendations for improvement practices for the firm.

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CONTEXT OF BUSINESS

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Table of Contents
INTRODUCTION...........................................................................................................................1
Task .................................................................................................................................................2
1. Impact of macro environment on situations faced by the company........................................2
2. Leadership style of Debenhams along with their connection to current situation...................3
3. Motivation theory for encouraging work practices for employees of Debenhams..................3
4. Recommendations upon improvement practices for the firm..................................................4
5. Reflection upon learnings........................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES ...............................................................................................................................6
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INTRODUCTION
Business context focus on understanding factors affecting business from various
perspective like implementation of decisions along with ultimate objective they are trying to
achieve. The purpose is used by business to justify key implications to executive strategic
initiatives. Debenhams is British retailer multinational store in United Kingdom and Ireland
established in 1993 dealing in range of fashion clothing, accessories, shoes, home and furniture,
cosmetic, gifts, toys and electricals. The report will discuss impact of macro environment on
organization's currently faced problems and difficulties. The report will also develop practices of
research on present style of leadership for Debenhams along with its implication to current
situation. Further the report will suggest and justify motivation theory for aiding and supporting
employees of the company. Finally, the study will reflect recommendations on improvements in
management practices, leadership styles and strategies implemented by the company based on
their research.
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Task
1. Impact of macro environment on situations faced by the company.
Macro environment of Debenhams are conditions existing economy as whole, rather than
particular region and sector. The factors in company will include employment, spensing,
inflation, gross domestic product and monetary and fiscal policy. These practices affected the
situations of company in following ways -
Political
Plans of expansion of the company in different places and geographical areas has lead to
involvement of practices of stability of government, fluctuation in tax satin rates, agreements of
trade along with support of funding practices from the government has lead to unstable business
practices for Debenhams and further leaded them through tough times for operating their
business practices to run and operate their business as they are working in various geographic
areas and need to follow different practices in every different location (Cashman, 2017).
Economic
The impact of continuous discounts on products of Debenhams has lead to the practice of
their customers on purchasing their articles on low prices affecting the situation and state of the
company they are currently facing, along with the cost of their expansion activities has led to
involvement of enormous costing without generating effective outcomes has lead to troubling
Debenhams which lead to push them in debt along with the cost that was involved in paying
lease without being able to earn effectively (Grint and et.al., 2016).
Social
The change in trends and requirements of consumers call for better and updated products
and services as per the requirement and desires of consumers. Fail to update their trends and
products Debenhams lead to out dated in market along with losing their pace with frequent
change in market as they are unable to cope due to un availability of finding to cope up with
change (Hattie, 2015).
Technological
Unable to cope up with the requirements and update from the market Debenhams has
lead to increase cost of their expansion which lead to requirement of their staffing needs has lead
to increase the operational cost along with resulted in effective practices in their business
conditions has lead to difficult times faced by the organizations (Hawkins, 2017).
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2. Leadership style of Debenhams along with their connection to current situation.
Debenhams developed practice of keeping health environment with their employees in
the workplace where the staff is welcomes and treated effectively for their workplace practices.
The employees are also allowed to share their knowledge and learnings in various field along
with suggestions are accepted for practices for effective business (Herman, 2016). Further it is
noted by the financial reports of the organization that their style of leadership are directed
towards losses and un necessary operational cost by following factors -
Debenhams with the implication of participative style of leadership have welcomed the
ideas of their employees and sub ordinates for activities of business I which employees
are no expertise. Such type of practice by the firm has led to acceptance of un expertise
ideas along with lost a level of control to their employees affecting business conditions
for Debenhams. The type of practice in the company may also develop chances of
development of cinflict and other mis management as each and every employee has their
preference and management can imply practices of every employee for the operational
activities (Herman, 2016).
The current practices of leadership style also state that employees in Debenhams are in
sufficient for performance of business activities and management of their stores as
customers at times are mostly un satisfied with their practices and fail to attract customers
because their current practices led to staff retention and develop needs of staffing on
continuous basis. The continuous needs of staff despite them being in loss justify un
satisfaction of their current staff due to un effective leadership practices result in
affecting business conditions of Debenhams (Komives, 2016).
The current practice of leadership for employees of Debenhams justifies their practice as
caring, daring, enabling and encourage sharing which provided lot of autonomy to the
employees of the company that may be stated in effective position for them as at times
giving rights to employees state losing control over them and making employees in
effective and unproductive (Mendenhall and et.al., 2017).
3. Motivation theory for encouraging work practices for employees of Debenhams.
The type of situation and working condition in Debenhams require for Two Factor
Theory by Frederick Herzberg that include factors of hygiene and motivation for development of
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effective practices for their working condition in the organization. The applicability of such
factor in Debenhams will include hygiene factors and motivators (Northouse, 2017).
Hygiene factors
These factors in Debenhams will include factors of effective working conditions, security
of their job, developing effective policies protecting right of employees by developing effective
working conditions along with compensating them for their effort in work (Priest and Gass,
2017).
Such a practice in Debenhams will result in formation of effective practices by
initializing effective working conditions where superiors guide their employees for several
practices where they ensure that staff is encourages with healthy and effective work environment
and conditions ensuring they are welcomed and effectively tackled for work practice in
Debenhams along where satisfaction of employees are kept in peek and their development is
being looked upon and valued (Komives, 2016).
Motivation factors
These factors are intrinsic to the profile of the job for recognition, achievement, increased
responsibilities, interesting work, advancement, recognition and further growth opportunities are
developed for the betterment of employees in workplace (Rosenbach, 2018).
The type of factor in Debenhams will result in effective practices for the employees
ensuring they develop environment where interest of individuals stay on work where in
Debenhams the try to attain more than desired and develop their responsibilities for growth and
advancements (Wildavsky, 2018). The type will assure that practices of working conditions will
be modified for effective conditions along with employees will develop recognition in the
organization for the motive to attain control of leaders and management in the working
conditions and with making relation with employees ensuring activities of market that they stay
in market trend maintaining their culture along with develop plans to accept change in culture
and retain image of brand. For which they further will take practices for reducing of cost of
operations for rent, employees and other working strategies (Mendenhall and et.al., 2017).
4. Recommendations upon improvement practices for the firm.
Debenhams for improvement of their leadership styles, practices of management along
with strategics for development of practice for effective working conditions of employees along
with their practices leading to effectiveness in the organization will be as follows -
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Debenhams to ensure effective working conditions in the organization must ensure they
imply the practices of autocratic leadership styles where the leader who is experienced
person in the organization is the only one responsible for effective working conditions' ad
work practices. These activities include the involvement of type where leaders ensure that
the practices of leadership must ensure they serve effective rights t their employees but
are the only ones who are responsible for occurrence of their activities and practices as
well (Smith, Lewis and Tushman, 2016).
Practices of management and employees of Debenhams must ensure they serve and
contribute their best efforts and practices for the employees in terms of minimising their
cost such as make plans for reducing cost of operation, rent and other liabilities where
they face terrible loses in working operations of the working conditions of the
Debenharms (Storey, 2016).
Elimination of practice of continuous discounts by the firm for selling their articles and
justifying in effective sales figure must also be reduced and minimised to ensure that they
maintain good and reputable image in market as they to have certain amount of respect
and loyalty towards their agencies and franchises (Smith, Lewis and Tushman, 2016).
The company at time developed large staffing needs where the management of staff is
imbalanced where the firm can manage effective practices and further manage flow of
human aspect in the organization for activities for effective working and functioning
(Herman, 2016).
Along with the above practices' management team of Debenharns must ensure
applicability of training her employees can effectively mange and accept the changing
environment that lead to acceptance of over pressure of work, change in market
conditions that can be further assessed for the development and acceptance of such
organizational conditions (Wildavsky, 2018).
5. Reflection upon learnings.
The above file has concluded and developed my leaning in following ways and
techniques that has been reflected in below mentioned essay.
I have developed my learnings from the study that organizations such as Debenharms
need to ensure that practices of norms, values and practices in the organization have developed
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effective and friendly working conditions in the organization when they aim on attainment of
their desired goals and levels of expected outcomes and efficiencies (Northouse, 2017).
Further I have learned from the report for situations in working conditions of Deberharms
whee they assure that employees in the organizations are directed towards effective practices and
further implementation for effective working conditions in th organization (Storey, 2016). The
type of practice I the organization will lead to effective working conditions for the effectiveness
working conditions where they are responsible for effective working conditions and practices for
effective and attainment of ruining activities and invite effective and efficient footfall for the
customers and their practices in gaining competitive advantage among their rivals and further
development and betterment (Priest and Gass, 2017).
I have learned from this study that effective practices in the organization lead to effective
working culture where they ensure their employees work and perform effectively and enhance
[practices for further development and betterment for their working practices and conditions
where interest of employees is being maintained in the organization along with practices where
business try to gain effective practices and earn competitive advantage among their rivals
(Rosenbach, 2018).
CONCLUSION
The above study concluded the impact of macro environment on the organization where
the involvement of political, economic, social, technological, environmental and legal factors
affect the working condition of Deberhans. Further the report has suggested and briefed the style
of leader in such situations and condition for effectively tackling the condition of the
organization such as welcome of ideas from employees and try to implement them on real
situations and practices. Further the implication of two factor theory of motivation is applicable
for boosting up activities of employees by identifying their needs based on hygiene and
motivation factors and working effectively for the attainment of those practices.
REFERENCES
Books and Journals
Cashman, K., 2017. Leadership from the inside out: Becoming a leader for life. Berrett-Koehler
Publishers.
Grint, K. and et.al., 2016. What is leadership. The Routledge companion to leadership. p.3.
Hattie, J., 2015. High-Impact Leadership. Educational Leadership. 72(5). pp.36-40.
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Hawkins, P., 2017. Leadership team coaching: Developing collective transformational
leadership. Kogan Page Publishers.
Herman, R.D., 2016. Executive leadership. The Jossey-Bass handbook of nonprofit leadership
and management. p.167.
Komives, S.R., 2016. Leadership for a better world: Understanding the social change model of
leadership development. John Wiley & Sons.
Mendenhall, M.E. and et.al., 2017. Global leadership: Research, practice, and development.
Routledge.
Northouse, P.G., 2017. Introduction to leadership: Concepts and practice. Sage Publications.
Priest, S. and Gass, M., 2017. Effective Leadership in Adventure Programming. 3E. Human
Kinetics.
Rosenbach, W.E., 2018. Contemporary issues in leadership. Routledge.
Smith, W.K., Lewis, M.W. and Tushman, M.L., 2016. Both/and” leadership. Harvard Business
Review. 94(5). pp.62-70.
Storey, J., 2016. Changing theories of leadership and leadership development. In Leadership in
Organizations (pp. 17-41). Routledge.
Wildavsky, A., 2018. A cultural theory of leadership. In Cultural Analysis (pp. 253-282).
Routledge.
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