This report analyzes the roles of leadership and operational management in a business context, using Marks & Spencer as a case study. It examines different leadership theories, operational management approaches, and the impact of internal and external factors on business operations.
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MANAGEMENT AND OPERATIONS
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Table of Contents INTRODUCTION...........................................................................................................................1 TASK 1............................................................................................................................................1 P1 Different roles and characteristics of a leader and a manager...........................................1 TASK 2............................................................................................................................................3 P2 Role of a leader and the function of a manager apply in different situations...................3 P3 Different theories and models of approach.......................................................................4 TASK 3............................................................................................................................................6 P4 Key approaches to operations management and role that leaders and managers play......6 P5 Importance and value of operations management in achieving business objectives........7 TASK 4............................................................................................................................................7 P6 Factors within business environment that impact upon operational management............7 CONCLUSION................................................................................................................................7 REFERENCES................................................................................................................................8
INTRODUCTION Operation management defined as all business functions which perform organising, leading, planning and also controlling necessary resources to manufacture services and products of company. Management and operations both are two necessary components which plays necessary role for conduct business activities(What is Operations Management?,2014). In an organisation, manager perform functions for allocate the various resources of firm in an efficient manner like technological, human resource, operation, finance etc. Marks & Spencer is a multinational retailer in UK and it deals in a retail sector. It provides home products, clothing and also luxury food items to consumers. Under this mention report discuss about various management and leader ship theories to company to support the sustainable performance as well as growth. Differences of the managerial functions as well as leadership roles through effective applying range of the management theories will also be discussed in this. There is a discussion about value and importance of key approaches to operation management in attaining objectives of an organisation in successful manner. TASK 1 P1 Different roles and characteristics of a leader and a manager Superior plays important part in organisation to coordinate subordinates and make them work properly, so that adequate business activities are executed effectively. It is essential that employees have complete information about objectives and targets to make them complete activities timely. As indicated byRani and Moreira (2010), manager formulates strategies and provides duties and tasks to subordinates in according to their knowledge and skills. Apart from this, their responsibility is to conduct performance appraisal to monitor work of staff by comparing results with standards. Hence, training program that is sessions and seminars are conducted to improve abilities of manpower and make them perform activities in creative manner. According toRavindran (2016),leader plays essential part in firm to motivate and inspire members towards duties and targets. They construct and maintain friendly relations with subordinates to timely asses’ conflicts and issues faced by teammates. Thus, adequate solutions are provided to staff to sustain competent people for longer period. 1
Mintzberg's role of management:These are responsibilities which superior perform are described below:Informational role:Employees require having complete knowledge about tasks and targets to be accomplished. It is necessary that manager of M&S provide information to members about clothes, home and food products that are present in store. This help staff to provide appropriate data to customers and things, features and benefits to influence their purchase decision.Interpersonal role:Meeting and conference are conducted by manager to maintain friendly relations with subordinates and encourage to perform activities in proficient manner. Along this, superior even coordinate work of different departments to manage manpower properly (Slack, 2015). Decisionalrole:Managerinvolvessubordinatesinjudgementprocesstoselect appropriate choices and changes in tactics in respect to market conditions. In M&S different new ideas are framed for delivery of innovative and creative products in marketplace. Characteristics of Manager:These are various responsibilities that are performed by administration of M&S is as follows: Team Development:This is main duty of manager is to distribute members and make them work in team, so that funds, material and manpower are utilised efficiently. Meeting is conducted by superior of M&S to aware them about roles and responsibilities. Along this, employees are also given acknowledgement about their team members with whom they need to work. Managing performance:This is another role of manager of M&S which defines that differentperformanceappraisaltechniquesusedtoassessworkandabilitiesof subordinates. Management by objective, cost accounting and various other method are used to compare outcomes with benchmarks to anticipate dis-falls. Hence, this helps superior to conduct training sessions to improve capabilities of members(Mollenkopf, Frankel and Russo, 2011) Role of leader:These are duties which leader ofM&S execute are stated beneath: Representative of company:Leader responsibility is to provide information to members about objectives and targets that are framed by administration. Besides this, executive of 2
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M&S sometimes send them to attend meeting and events on behalf of firm. Thus, leader act as symbolic person and enhance reputation and image in marketplace. Guiding employees:This is essential duty of leader by motivating them and increases their morale to perform tasks effectively. In M&S, employees are given appropriate instruction and guidance in respect to tasks assigned by manager. Along this, leader maintains friendly and healthy bond with subordinates to retain skilled people. Characteristics of leader: Influential:In M&S, leader has good communication skills which define that they provides adequate instruction and encourage staff members to perform activities in proficient manner. Along this, they even provide direction and inspire subordinates to work effectively (Fayol, 2016). Empathetic:Leader maintains friendly relations with employees which help them to acknowledgetheiropinions,experienceandemotions.Subordinatesideasare acknowledged by superior of M&S to provide them appropriate working conditions and facilities. TASK 2 P2 Role of a leader and the function of a manager apply in different situations Each and every organisation, superior responsibility is to make system function in such manner that goal and objectives are accomplished within defined time. Administration make changes in technologies and frame strategies to direct members thereby make them perform activities in proficient manner. Along this, style used by leader and manager’s functions depends upon system abilities and market conditions. Superior uses different management concepts that are MBO and contingency theory to organise and make business operations conduct smoothly and properly. Thus, these are different situations which are stated beneath: Risk taking:This aspect defines that organisation require having adequate amount of funds, material and manpower for execution of operations properly. Management responsibility is to utilise resources efficiently and conduct activities which help them to compete with rival firms (Handschin and Petroianu, 2012). Manager duty to analyse issues and problems is conduct internal and external analysis to have complete information about system functionality and market conditions. Government, 3
technology, suppliers, investors, customers and many more are components which directly as well indirectly affect operations of M&S. For managing these factors, superior duty are to use administration requires to use different management approaches and theories to overcome risk and find appropriate solutions. Along this, modification in system and tactic are made to mitigate difficulties. New technologies that are applied in M&S influence on working of subordinates. Thus, training sessions are conducted to enhance skills and capabilities of members, thereby make them competent to perform tasks effectively. Role of leader in this situation is organising meeting to inform teammates about difficulties and risk. Members are motivated and inspired to learn new methods to work properly. Administration of M&S makes technological advancements to deliver quality and quick services to clients. Decision-making:This is another condition which specifies that administration require making appropriate judgements and selecting things which are beneficial for company. Superior and employees are involved in meeting and conferences to anticipate market situations and system abilities. M&S is retail store which require making improvements and modification in clothes, home and food products in according to market trends and demands of people. Thus, innovative and creative things are delivered in marketplace (Jørgensen and Zaccour, 2012). Manager of M&S involve staff members in decision making process so appropriate judgements are made which are beneficial for firm. Modifications in system and products are made by superior in according to demands and requirements of people. Leader of M&S inspire employees by making them feel connected and dedicated to perform activities in proficient manner. P3 Different theories and models of approach Operations management design system and implement adequate tools and equipment’s in system for development and growth of company. Manager plays essential role in organisation to manage employees and make them perform tasks in coordination. Subordinates are given complete and accurate information about targets and objectives, so that members work in proficient manner. These are leadership theories which are used by management are stated beneath (Kerzner and Kerzner, 2017): Situational leadership theory:This is efficient model which was developed by Dr. Paul Hersey which defines that companies are present in environment which is dynamic and changes 4
with time. Along this, management has different background members which vary with each other in context of gender, age, religion, caste, and so on. Leader duty is to coordinate team membersandmakethemworkingroup.Itisessentialthatemployeesgetdutiesand compensation in respect to their performance and outcomes which help superior to motivate and encourage members to perform activities effectively. Advantages:This theory helps manager to make system function and organise activities in according to situations prevailing in market. Modifications in technologies and tactics are made by superior of M&S to deliver adequate items and services to customers in respect to their demands. Disadvantages:Timely market research is need to be conducted by manager to acknowledge market situations. Apart from this, superior even require to assess abilities of system to make it function in according to requirements of people. With technological advancements and changes in strategies that are made by administration require to be communicated with subordinates to make them function accordingly(Moghaddam and et. al., 2011). Systemleadershiptheory:Thisisanothermodelwhichdefinethatmanager responsibility is to implement appropriate tools and equipment’s which help them conduct operations effectively.It is necessary that in M&S, business activities are executed effectively so that adequate variety of products and services are delivered to customers. Advantages:This theory benefits manager to make system function properly and organise activities systematically and smoothly. In M&S, superior formulate strategies and use latest technologies to provide quality and quick services to people (Pinto, 2015) Disadvantages:It is difficult for superior as this model doesn't provide information about method or knowledge to execute activities properly. Changes in technologies and strategies that are made by manager to make it function in according to market conditions. This creates problem for employees which resist working with modern techniques. Contingency leadership theory:This approach defines that leader's work and system functioning depends on their personality, nature and abilities. M&S provide variety of clothes, food and home products to people. This is retail sector firm which has large number of rival firms. For this, manager responsibility is to frame strategies and policies to handle difficulties and problems that are faced by members, thereby make them perform activities in proficient 5
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manner. Apart from this, changes in technologies are made to deliver appropriate things and services to customers. Advantages:Managermakestransformationsinorganisationstructure,equipment’sand objectives to handle complex situations properly. Different leadership styles and management concepts which are used by superior. This helps them to make system function in according to market conditions and overcome unfavourable circumstances (LaGanga, 2011). Disadvantages:Leader doesn’t use single style or pattern which impacts on their performance and outcomes. It is essential that superior have adequate skills and knowledge so that they are able to make employees work in team. TASK 3 P4 Key approaches to operations management and role that leaders and managers play Superior requires using appropriate concepts and theories to frame appropriate strategies and conduct business activities effectively. It is essential that organisation deliver adequate items and services in market in according to requirements and needs of people. Manager of M&S responsibility is to utilise resources and deliver appropriate things to customers. These are different approaches which are used by manager and leader is stated beneath: Six sigma: This aspect defines five steps which superior conducts to make system function properly and accomplish goals and objectives within defined time. DMAIC that is define measure, analyse, innovate and control activities which are conducted by manager of M&S to provide adequate things and services to customers. Administration frame targets and benchmarks to assess performance of employees (Nassiri and et. al., 2016). Performance appraisal techniques that are MBO, 360 degree, cost accounting and so on are used to compare outcomes with standards. Thus, training sessions are conducted to improve abilities of members and make them perform activities effectively. Total quality management:This is essential tactic which helps manager to make business success by providing appropriate items to people in respect to their requirements. M&S has skilled staffs which delivers quality products and quick services to customers. Along this, modern technologies which are used by firm to provide adequate facilities to public. In this, leader’s role is to encourage and motivate employees to make them perform tasks effectively. This benefits company to enhance goodwill within marketplace (Oakland, 2014). 6
Just in time:This is effective approach which defines that manager of M&S maintains relations with suppliers. This helps them to have adequate products in store in according to demands of people. Along this, superior have skilled and competent members which benefit firm to overcome wastage and excessive stock in warehouse. In this, leader responsibility is to maintain record of things with help of staff. Thus, administration utilises funds efficiently and sustain image and reputation in market. (Source:Just In Time, 2015) P5 Importance and value of operations management in achieving business objectives Operational management conducts planning, organising, directing and controlling to conduct business operations effectively and manage workforce and funds efficiently. In M&S, manager frame strategies and implement modern tools and technologies in system. This helps firm deliver quality items and services to customers which enhances reputation and image in market. Along this, leader retains skilled members which help them accomplish goals and objectives. Thus, these are various benefits that operational management have on system functionality which are stated below: Utilization of resources:Manager of M&S uses six sigma and maintains relations with suppliers to utilise funds properly. Targets and objectives which are framed by them to direct members and make them perform tasks effectively. Along this, duties and tasks are provided by superior to staff in according to their skills and abilities, so quality items and services are delivered to customers. In this leader also helps management to retain skilled people by 7 Illustration1: Just In Time
overcomeissuesandproblemsfacedbysubordinates,therebyprovidethemappropriate solutions. (Peng and Lai, 2012) Profit maximisation:Manager of M&S also uses total quality management which defines that latest technologies are implemented in system. This helps firm deliver quality items and quick services to customers. Meeting and conferences are conducted by leader to provide appropriate information to employees about market conditions. Superior conducts survey which helps them to have complete and accurate information about competitor's offering and demands of people. For this, latest technologies are used by firm to provide quality and quick services to clients. This helps leader to attract large number of people and retain skilled members for longer time. Thus, company is able to grab attention of large number of people and enhance sales volume and generate good amount of revenue from business. TASK 4 P6 Factors within business environment that impact upon operational management Business environment has internal and external factors which directly as well indirectly affect operations. It is manager’s responsibility to frame strategies and design system to make it function effectively. Along this, they even require to provide quality products and quick services to customers to satisfy them. In this, leader motivates and inspires employees to have skilled workforce which position firm higher than rival firms (Rushton, Croucher and Baker, 2014). Internal factors:These are elements which are present in business firm are as follows: Shareholders:Thisaspectdefinethat organisation haveadequatecapitalto have sufficient material, manpower and use latest technologies to deliver adequate products and services to people. For this manager of M&S even require to take care that appropriate amount of profit is generated which is provided to investors to sustain them for longer time.It is a multinational firm, for which seniors require large amount of money to manage business globally. They need to maintain relations with shareholders for sustain them for longer time by providing them interests and profit share. Otherwise, they will not give more for conduction of business and expanding in respect to market conditions. This will negative impact on production and profitability of company. Suppliers: M&S is retail store which provide different variety of clothes, home and food items to people. For this, manager maintains relations with suppliers to utilise funds and order 8
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products in according to demands of customers. If manager didn’t have good relations with suppliers, than they will not be able to arrange products in according to requirements of buyers. This results into decrement in image and reputation of company in market that is customer shift to another brand. Employees:Manager of M&S involves subordinates in decision making process so they are able to make appropriate judgements for firm. Training seminars conducted to enhance capabilities of members to make them perform tasks effectively. Along this, leader maintains friendly relations with staff to motivate them and deliver adequate items to customers. Manager and leader of M&S require skilled employees for delivery of quality products and services to buyers. Subordinates are not dedicated towards firm, than labour turnover and absenteeism increases. This results into negative impact on company that is decline in sales volume and revenue. External factors:These are components which exist in outside environment of firm are stated below: Political:Government of UK had formulated policies and legislations to regulate and control business firms.Along this, they even provide license to firms to make them function legally. M&S has registration and certification which helps manager to secure and technologies and system from rival brands.Political instability in UK and other nation require that manager reframe policies in respect to government rules. Thus, changes in tactics are not made in according to authorities’ results into execution of business in illegal manner. Economical:This factor includes exchange rate, inflation, growth and various other components which differ from one nation to another. In UK, there is inflation which defines that people have adequate money to purchase quality and standards products. This benefits M&S to have large customer base which helps manager to enhance sales volume and profitability. Change in exchange rate and interest rate effects on company to conduct business globally. M&S export item from one nation to another for which fluctuation in currency result into increment in rates of products. Social: Organisation delivers products and services in market to fulfil demands of people and generate adequate profit from business. Manager of M&S conducts market research which helps them find taste and preference of people. Along this, competitor’s offerings are also acknowledged by superior to provide creative and innovative things to customers. In this leader 9
responsibility is to inform employees about demands of public and inspire to deliver adequate things to buyers.M&S have large rival firms that are ALDI, Kingfisher and many more which offers different products. This impacts on sales volume and profit of company, as people prefer to visit store which provide large variety of items. Technological:This tactic defines that manager require to use implement appropriate tools and techniques in system so that adequate items and services are delivered in market. In M&S, superior uses latest technologies to provide quality products and quick services to customers. For this, training sessions are conducted to enhance abilities of employees and make them work effectively(Ravindran, 2016).Manager of M&S didn’t train staff which impact on their quality of work and service provided to customers. Thus, they will negative impact on firm and operations in respect to reduction in image and goodwill in respect to competitors. CONCLUSION As per above report, it has been comprehended that manager organise business operations effectively to attain objectives and goals timely. It is essential that appropriate tools and technologies are implemented in system which helps superior to utilise resources efficiently. Along this, organisation even requires to deliver adequate products and services to people to satisfy them and construct loyal customers. Leader uses theories such as system, situational and contingency to make system function effectively. Manager uses different approaches that are six sigma, total management, just in time and lean production approaches to conduct activities properly. Thus, internal and external factors are acknowledged by management to make adequate decisions by identifying its impacts on business. 10
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