Importance of Operation Management in Achieving Business Objectives

Management and
Operations

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Roles and characteristics of a leader and manager................................................................1
TASK 2............................................................................................................................................1
P2 Examine roles of leaders and functions of managers in different situations.........................1
P3 Applying different management and leadership theories to support growth and sustainable
performance in Marks & Spencers..............................................................................................2
TASK 3............................................................................................................................................4
P4. Key approaches of operation management and roles of leaders and management:..............4
P5. Importance of Operation Management in Achieving Business Objectives..........................6
TASK 4............................................................................................................................................1
P6 Factors within the business environment and their impact on management operations........1
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................3

INTRODUCTION
Management operations concentrates on producing products and services effectively and
efficiently. It refers to performing, design and conversion of resources into products and services.
It involves inventory management, value chain analysis, scheduling, process analysis and control
(Accomazzi and et. al., 2012). Leaders and managers roles and responsibilities are mentioned in
this report along with their characteristics comparison. Managers and leaders are essential and
play an important role in different situations. Different theories and approaches of leadership are
also mentioned above. Different key approaches to management helps to make production
systematic are also explained in this report. Management operations helps in different ways in
achieving organisational objectives. Various factors to business environment and their impact on
its operations are all explained under. This report contains all the relevant information related to
the management operations.
TASK 1
P1 Roles and characteristics of a leader and manager
Organisation structure of Marks and Spencer:- Marks and Spencer is a British multinational
company and its Head Office is in London. Around 3000 employees are working there. In the
organisation all people have specific roles and responsibilities. People performs different
operations within the organisation like – stock management, its layout, marketing, to maintain
accounts and many other functions. In Marks and Spencer stores more than 60,000 employees
are working.
Manager:- A person who manages a company or its several responsibilities is said to be
manager. They can be department's in charge working with many people. Person who performs
managerial functions on primary level is called manager. They manages a section of company
and its employees (Ageron, Gunasekaran and Spalanzani, 2012).
Role of manager
Interpersonal roles:- Managers have some interpersonal roles like – signing legal
documents or performing duties which are in daily routine. As a leader they have to perform
many duties like – staffing, training, motivating employees, performing responsibilities related to
activities of subordinates and maintaining relations with outsiders. In Marks and Spencer the
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manager should perform interpersonal roles to manage their daily operations such as maintaining
legal documents, or managing daily operations.
Decisional rules:- A manager has to perform various decisional roles like initiating new
projects to improve organisational execution. They make optimum utilisation of monetary,
physical, and human resources. They handles critical situations and take appropriate decisions to
overcome them. In Marks and Spencer the manager should perform decisional roles such as
proper use of physical, human and financial resources to achieve desired goals (Benjaafar and
Daskin, 2013).
Characteristics of manager
Communication:- A manager should have effective communication with the team. It
includes communicating employees responsibilities, demands proper listening and cooperating
them to achieve organisational objectives. In Marks and Spencer the manager should be able to
communicate effectively with the employees. They should communicate all information with
employees regarding organisation operations. For example facial expressions, voice tone, eye
contact, etc.
Delegation:- A manager should know very well how to assign tasks and projects between
employees, otherwise it will be difficult to play a manager's role. They should delegate roles and
responsibilities to individuals according to their qualifications and interests. In Marks and
Spencer delegating tasks to employees according to their specialisation will help in achieving
goals easily. For example – by identifying their skills, education and qualifications.
Leader:- Leader is a person who encourages a group or team to achieve organisational
goals. A leader inspires people to move in a direction, in order to achieve desired goals. A person
who has superior position and have a lot of influence on group of people.
Role of leader
Essential at all levels:- Leaders are required at every level of organisation. It cooperates
in formulating policies and plans at top level, execute the programmes and plans formulated at
lower and middle level. In Marks and Spencer leader is essential to perform organisational tasks
at top, lower and middle levels of management (Childe, 2011).
Integrates personal goals:- Along with the organisational objectives a leader integrates
the personal objectives of individuals through different traits of leadership. Efforts made by
people are coordinated by leader to achieve common objectives. In Marks and Spencer having
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efficient leader will help in integrating personal objectives such as confidence, motivation
increasing morale, etc. and also assist in attaining organisational objectives within the company.
Characteristics of leader
Honesty:- A leader should have ability to maintain honest relation with the team or
group. A trust based relationship makes employees feel good and inspires them to cooperate with
leader. In Marks and Spencer having honest leader will be beneficial for the organisation.
Sense of humour:- A good leader should have ability to solve problems in negative
situations arise d. They must posses sense of humour to inspire their team and achieve goals in
critical situations. In Marks and Spencer a leader having good sense of humour will help in
handling negative situations easily (Drake and Spinler, 2013).
Comparison between leader and manager
Leader Manager
Leaders concentrates on people and builds
relationship with them because they have to
influence them to clear their vision.
Managers concentrates on structure which are
essential to achieve objectives and works with
employees and their objectives.
Leaders have fans who follow and help them to
build value and accomplish their goals.
Managers have individuals who work for them
according to the directions given.
Leaders always try to do new things or they are
interesting in taking risk.
While managers works to control risk and
avoid problems instead of embracing them.
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As a management consultant in Marks and Spencer the leader and manager have different
roles and functions. The leaders influence people in the organisation and improve individuals
performance. Whereas, the managers perform all functions related to organisational planning,
organising, controlling, directing, etc.
TASK 2
P2 Examine roles of leaders and functions of managers in different situations
Leaders and managers are integral part of a organisation. They are necessary for decision
making process. These both give their maximum efforts in order to achieve desired goals of
themselves and organisation (Gimenez, Sierra and Rodon, 2012). In Marks & Spencers,
managers and leaders perform various roles and responsibilities in order to achieve their goal.
Because of the different situations arise in workplace, It is necessary for both leader and manager
to handle and manage the situation in an efficient way. They are required to convert
opportunities into strengths to give an competitive upper edge to organisation. The different
situations for leaders and managers are described below:
Fast change- These changes occurs at a fast pace in which it is impossible for an leader or
manager to take and consider the opinions of the employees due to less time. Taking example of
technological advancements, managers of Marks & Spencers are required to motivate the
employees to adapt to new technological trends such as automatic billing, online fund transfer
and self service kiosk for customers. Managers and leaders should regularly check for such
changes and in case the employees are not adapting themselves, Managers should tell about the
importance of staying updated with these technological advancements. Managers should
communicate with employees so that employees stay aware of the changes.
Moderate change- These changes happened at a steady pace. Latest trends of the
customers in the clothing segment can be reasoned as slow change for the organisation. For this,
leaders of Marks & Spencers should undertake important decisions regarding pricing, brand,
fashion style which should need to be implemented by managers at high level (Griffin, 2013).
When these changes were observed and analysed properly by the managers, then they can take
important decisions for overcoming these changes. Through this, the managers can take
appropriate decisions based on the type of change for the betterment of the organisation.

Stable change- These changes occurs at a slow pace like policies change, structural
change etc. where the possibility of considering opinions of employees is likely to happen. In
this, managers analyse the market in every 8 to 10 months to make sure whether the change is
required or not. Managers of Marks and Spencer should motivate their employees so that they
can work under these changed situations and be prepared in accepting these changes. When the
employees are capable of adapting to these changes, then they can work with the required
efficiency to achieve the desired organisational goals. Also these change happens slowly, so
managers must analyse the changes on regular basis.

P3 Applying different management and leadership theories to support growth and sustainable
performance in Marks & Spencer
Leadership theories basically states about the characteristics and styles of leaders. Leadership
theories states that leaders often have specific characteristics that allows them to become leaders.
Marks & Spencers is a very big brand having good image in business. Performance of employees
will get affected due to change in working style (Ham, Hitomi and Yoshida, 2012). Managers
need to motivate employees so that they can work effectively and efficiently for the organisation.
There are various theories implemented in Marks & Spencers. Out of these several theories, the
theories considered for this assignment are situational leadership, system leadership and
contingency theory, which are described below:
Situational leadership: This style has been developed by Kenneth Blanchard and Paul
Hersey. It states that the style of leaders and managers must be adjusted according to the
development of the employees, which are influenced by them. In this theory, The style of leaders
are changed based on the need of situation to achieve the goal. It depends upon the leader
whether to change the style or not. This strategy support leaders to know the team style through
various variables and then adopt the most suitable style that fits the goals. Situational leadership
states that leadership is divided into two behaviour:
 Directive- It tells what need to be done and how it should be done and who does it.
Examples include, setting deadline, assigning roles, providing direction in achieving
goals. It can be done by one way communication.
 Supportive- It includes two way communication and responses that are showing
emotional and social support to the employees. Praising, asking for inputs and providing
solution of problems are supportive behaviour (Kerzner, 2013).
Further the situational leadership is divided into 4 types of styles which are discussed
below: Telling- In this tasks are carried out by specified peoples. In this process, the information
flows from leader to group. Selling- In this approach, managers invent ideas and later provide them to employees so
that employees can apply these ideas.
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 Participating- In this, leaders of Marks and Spencer take opinions from the employees in
decision making process. By this, leaders tries to undertake democratic approach of
leadership and management.
 Delegating- In this approach, Leader involves very less with employees. Employees are
responsible for their tasks and directions that they took for the completion of project.
Leader gives them feedback of their work. Through this style, employees know their
tasks and execute them with little supervision from leader (Kusluvan and et. al., 2010).
Strength and weakness
Strengths Weakness
Practical, easy to understand and can be
applied in different contexts.
Criticised for lack of understanding of
demographic variations in leadership styles.
Frequently used for training of leaders. Criticised for creating confusion in the team
Systems leadership: It helps the leaders to create the situations in which all level of
employees can work according to the potential in order to increase their productivity. It helps
leaders to understand the behaviour of employees by using some tools . It helps in building
effective systems which drives the employees behaviour leading to a effective execution of
purpose of organisation. This theory is developed by Dr. Ian Macdonald. In marks & spencers,
leader is responsible for providing the solutions of issues arisen in work place. So a leader should
identify certain elements which are responsible for such issues and implement solution so tha
these issues wont arise again. It will help leaders in maintaining culture and healthy environment
in the organisation (Laudon and Laudon, 2016).
Strength and weakness
Strengths Weakness
Increases adaptability to environment's change
in an organisation.
May not be practical which results in delays in
decision making.
Focused of achieving individuals as well as
organisational goals.
Not applicable to small business.
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Contingency theory: This theory is developed by Fred Fielder in 1958.It states that the
best course of actions depends upon the internal and external situations. A leader must know
about which style needs to be implemented based on the need of situation. It states that a leader
is most effective when the attributes and style of leadership are matched with the environment
and situation of organisation. For finding the style of leader, Least Preferred Co-worker Scale is
used to measure the characteristics and traits of leaders (Lewis and Brown, 2012).
Strength and weakness
Strengths Weakness
It doesn't require leader to become effective in
any situation.
Doesn't tell about why employees are effective
in a particular situation and not in other
situations.
Provides information of leadership style that
can be useful for development of leader.
Does not address about how to teach leaders on
how to adopt according to the situation.
How managers and leaders make impacts on the organisation.
Leaders and managers of Marks & spencers are very helpful in achieving desired goals of
themselves as well as of organisation. The task of managing effectively depends upon the ability
of a manager to adopt different leadership styles based on situations. These theories helps leaders
of Marks & Spencers to treat every employee different based on their work and provide
necessary skills to become more confident in the company (Moutinho, 2011). Leaders of Marks
& spencers can modify their working style according to the need of task allotted to them. For
better performance of employees it is necessary for leaders to understand their skills so that they
can work more efficiently in achieving the desired goals of organisation. As recommendation,
Motivation among employees plays a important part in bringing growth and success to the
organisation. In order to make good brand image of Marks and Spencer, Managers should install
latest machinery and adequate training should be provided to employees so that they can perform
better and efficient. All these will improve the organisational as well as employees productivity
and performance which will strengthen the market share of the M&S. These will also improve
the quality of services and products which are offered by M&S.
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TASK 3
P4. Key approaches of operation management and roles of leaders and management:
Key approaches of operation management:
It involves the duties of assuring that maximum utilisation in minimum resources and
effectively meet with customers needs and demands. It is controlling and designing the activity
of production or redesigning operations of business (Nagurney, Masoumi and Yu, 2012). In this
includes various types of approaches which are as follows:
Total Quality Management: It is a systematic approach through which an organisation
can improve the quality of their products and services in addition with this, this approach is used
for eliminating the inefficiencies of the workplace and improve them in a given time period. It is
the continual activity of eliminating, detecting and reducing errors in production, assuring that
proper training is provided to the employees and improving the consumers experience. Total
Quality Management hold the quality when till the final product is ready. It is a approach of
operation management which is provide long-term success via consumer satisfaction. In this,
operation team of M&S company participate in improving product, processes and services of
their company to maximise profits. In this company, TQM uses effective communication, data
and strategy to compound the quality discipline into the activities and culture of the company. In
this include various principle to success of TQM such as, involvement of total employee,
integrated system, customer-focused, continual improvement, process-cantered, communication,
systematic and strategic approach, fact-based decisions.
Six sigma: Six sigma is a set of tools and techniques for improvement of activities. This
approach is founded in 1980 by bill smith. This is a disciplined or data driven approach which is
used for eliminating defects from products and services In addition with this, it is a strategy
which is used for modifying the quality of the product by removing and identifying the reason of
default and minimising variability in business and manufacturing process. The management of
M&S uses various methods of six sigma such as statical method, quality management method
and empirical method and create a specific group of employees who are experts in these
techniques. This company's six sigma project follows a characterised sequence such as reduce
pollution, reduce process time, reduce costs and increase profit and customer satisfaction
(Paryani, 2011).
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Just-in-time: In this system, production is create according to the demand at a specific
moment. There is no prior manufacturing for any awaited demand. This system is also called as
Toyota production system which is used for reducing time of manufacturing a product. It also
helps in minimizing and eliminating the several wasteful process such as loading, stocking,
carrying, unloading, storing, moving work around etc. and allows the employees to keep a look
on the several activities and process that provide value to the organisation. It is a methodology
which is used by the managers for eliminating the time of production system so that the
productivity can be increased in near future. M&S company can use this approach to reducing
wastage and increasing efficiency in the production process.
Lean production: This approach is a systematic method and focused on minimising the
wastage without sacrificing the quality of product. This method is applied in all aspects- from
design, and production to distribution. It is used by the managers for maintaining the quality with
reducing waste from the manufacturing system. With the help of it, firm can increase their
profitability and productivity. M&S company use this approach in their operation management
to reduce wastage from manufacturing and increase value of the product (Rosemann and vom
Brocke, 2015).
Roles of leader in different approaches of operation and management:
Leaders are the important part of every firm as they have to play various roles in the
organisation. They have to build a plan for taking effective contribution from their staff
members. Leaders are the bridge between managers and employees because they have to perform
the duties which are assigned to them for this, they encourage their staff members for completing
the given task in effective manner. Leaders have to measure the performance level of their
employees so that, they can provide training programmes to the employees who are not
performing well on given task. During the difficult task, they have to support their employees so
that, they provide maximum contribution for completing the task.
Roles of manager in different approaches of operation and management:
Without managers an organisation can't achieve their goals and objectives. As they have
various roles and responsibilities so they have to maintain an effective relations with their
superiors and juniors. Managers have to treat their suppliers as business partners because without
suppliers firm can not provide the products and services to their customers. They have to
examine the manufacturing process and make changes if there are any requirements. They should
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determine the needs and preferences of customers so that they can make products as per their
requirements and provide better quality of products in the marketplace.
P5. Importance of Operation Management in Achieving Business Objectives
Operation management is the direction of business concern to create maximum level of
efficiency achievable in an organization. It concerned with converting raw materials into goods
and services to earn maximum profit in a firm. Mark and Spencer use this area of management to
design and control the process of production of goods and services which helps to achieve
organisational objectives (Stevenson and Sum, 2015). It uses different approaches, in order to
attain business objectives in the organisation. All those approaches have vital role which is
described under.
Importance and values of key approaches to Operation Management
Key approaches of operation management is essentially required to achieve
organisational objectives. Importance of approaches are discuss as below:-
Total Quality Management (TQM)
Continuous Improvement- TQM is a continuous process and it is very important for
improvement in efficiency and productivity of an organisation. In this approach there overall
improvement in quality of M&S including technology, structure, environment, products and
services etc.
Focus on Customer demands- TQM is essential for every company to focus on needs of
customers and make quality product as per their requirements. When M&S use this approach
then they can satisfy customers needs and gain competitive advantage.
Six Sigma
Reduce Defects- Six sigma is an important approach to reduce defects. By using this
technique, employees of M&S are able to determine problems and find out solution to reduce
those defects which affect on overall quality of goods and services of an organisation from the
view point of consumer.
Elimination of waste- Six Sigma technique is important for eliminating wastages and
focus on optimum utilisation of available resources. It helps to reduce cost of production and
helps in achieving organisational objectives. In context of M&S, waste means anything which
does not helps in production of goods. So, company has to eliminate these wastage (Tummala
and Schoenherr, 2011).
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Just In Time
Smaller Investments- JIT is important for all those small firms that don't have more
funds to purchase large amount of stock at a time. Although, M&S is not a small firm but it is
important for company to invest small amount in different sectors.
Less space needed- Just in time is essential for an organisation because it reduce the
amount of storage by which company don't need to buy or give rent for a warehouse. M&S can
use this fund in other kinds of investment where they get maximum return. It helps to gain extra
profit and achieve organisation's objectives (Stevenson and Sum, 2015).
Lean Production
Line production- Line manufacturing is ensure that in the process of production, every
employee is work in effective and efficient manner in M&S. It helps in improving work standard
as well as quality of goods.
Manpower Reduction- One of the most important factor of this approach is to increase
production with less manpower. It increase efficiency and standard of work and ability to do job
with less employees. Manager of M&S give training to employees and improve their skills which
helps to achieve goal of the firm.
Importance of Managers and Leaders
Managers and leaders of Mark and Spencer are play an important role in improving
operational efficiencies of employees by which business can successfully meet their objectives.
Importance of managers and leaders are as follows:-
Provide Training- It is a very effective tool to improve operational efficiency. In this
factor, managers and leaders provide training to their employees regarding technology, working
environment and policies of an organisation. This helps to increase efficiency of employees and
helps to M&S in achieving goals (Tummala and Schoenherr, 2011).
Performance Appraisal- Managers and leaders have responsibility to judge the
performance of employees and guide them for better performance. It helps in improving
efficiency and organisation success.
Monetary benefits- Employees are motivated by getting monetary benefits like rewards,
bonus, compensation etc. so managers and leaders of M&S have to identify best performer and
give them rewards. It give motivation to employees which increase their efficiency and helps the
organisation to achieve their objectives successfully.
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Recommendation – For future improvement, M&S have to provide appropriate training
to those employees who are not performing well on their tasks. With the help of this, the
efficiencies and strengths will be increased and they will perform better on the given tasks. As
the firm has a good market presence and huge customer base across the world therefore they
have to adopt latest technology systems due to which they will gain competitive advantage in the
marketplace. Company have to provide rewards to those employees who are performing well on
the given projects through which their loyalty will be increased and they will motivated towards
organisational goals.
TASK 4
P6 Factors within the business environment and their impact on management operations
Economic factors:- Economic factors involves economic policies and conditions which
constitutes the environment together. It includes economy trends, inflation, interest rates,
industry growth, etc. It has considerable influence on business operations. Economic factors
which affects management operations are interest rates, consumer confidence, inflation and
employment. Confident customers spend more on purchasing instead of low confident
customers. It means that Marks and Spencer have great opportunities to enter into market. Low
unemployment leads to high customer spending which helps businesses to grow while, high
unemployment leads to low spending which is not good for business. Due to inflation business
expenses will be increased (PESTLE Analysis. 2017).
Social factors:- Social factors involves society, its preferences, tastes, consumption,
buying behaviour, education, beliefs and all information related to consumers. These factors play
a vital role in targeting customer and their needs. It facilitates their working conditions and
purchasing power. Considering social factors will help in effective long time strategic planning.
On the other hand these factors helps to identify future threats, dangers and provide great
opportunities. It is essential for an organisation to utilise to social environment otherwise, it can't
grow. In Marks and Spencer the manager should be aware about the society's preferences that
what they wants. If an organisation refuses to accept the changing customer needs their sales will
be less and can't survive in the market. Society with high education level provide better
personnel which leads to high productivity.
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Political factors:- These factors are affiliated to the government and their influence on
business operations. Having political stability is essential to maintain business stability. These
factors involves government policies, tax policy, trade policies, employment law, tariffs,
corruption, etc. It is essential to capture business environment because it influences operations
within the organisation. Political factors impacts economic background and economic
environment affects business performance. Changing rules and regulations of government
directly influences business. In Marks and Spencer it is necessary to observe political factors, as
they affects company's performance (Stevenson and Sum, 2015). Lack of political stability will
affect company's operations, as it is an international company. They can use political risk
insurance to overcome the risk which saves from political instability.
Technological factors:- Technological factors includes technological improvement,
incentives, technical innovations, barriers, etc. New technologies helps to improve products
marketability and makes them customer friendly. It is essential for a business to improve
technologies with the time for success and expansion of business. In Marks and Spencer
integrating new technology will help in determining business requirements and analyse its
systems according to their goals. There are various traditional models and their benefits can be
taken by making investment in new technology. Through innovative technology accuracy,
productivity can be increased by reducing labour and manual cost. The company should also
consider the information security and must have emergency plans to secure their valuable data or
information (Stevenson and Sum, 2015).
Legal factors:- Legal factors affects a company's performance both internally and
externally. An organisation should consider all information related to the legislation changes and
their impact on it. These factors involves current laws, tax regulations, future laws, consumer
protection, international laws, industrial laws, etc. Legal factors like employment law determines
how individuals should be treated in an organisation. Different laws are introduced to protect
businesses from dynamic production prices. In Marks and Spencer determining legal factors will
help in performing business operation legally.
The business environment gets impacted by different number of external factors which
also affects the business operations and also in making effective decision. Thus, it is more
essential and important for an enterprise to overcome the effects of external factor in their
operations.
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CSR: It is identified as a business approach that highly bring to the sustainable
development and growth by delivering environmental, social and economic advantages to all its
stakeholders. The management and leadership in an enterprise have an effective role to play in
regards of CSR. Company must attain short term goals and objectives which should be more
beneficial and essential for them in long run.
Culture: It is defined as custom, ideas and social behaviour of large number of person of
a specific location. It impacts the business environment directly as the M&S identifies culture of
place and plans their products as per the culture of that location. As it is essential in operation
management and maximise effectiveness of employees of a specific culture.
Values: It is defined as a standards or principles of an individual's behaviour. It is
considered as essential factor in M&S as the services and products of an enterprise is
implemented and changed after analysing values of customers at specific place. Along with this,
in decision making process, vales are also important and assist an enterprise to plan accurate
decision making process and also developed it. In this, business leader and manager mus
emphasis on implementing an accurate culture in order to give a correct platform to workers of
the M&S to show their talent and skills.
Ethics: In order to follow accurate CSR, an enterprise must practices ethical business as
well as ensure that activities of company do not impact the stakeholders as well as business
environment also. Ethical business is identified as an organisation which is dome by applying
ethics and it motives to benefit entire its stakeholders via its activities.
Sustainability: It is identified as an effective approach which emphasis on to achieve the
demands of the actual customers without compromising the requirements of the future
generation. Thus, it is essential aspect for each organisation to accomplish better results and
outputs within given period of time.
Meeting stakeholders expectation: Stakeholders are identified as those individuals,
bodies or entity who keep stake in the company and whose activities get impacted by the
business activities. In M&S, customers, employees, government are known as main stakeholders
which play vital role in helping and organisation to improve their growth and success at
marketplace.
Encouraging, developing and sustaining entrepreneurship: Manager and leader must
apply all policies of intrapreneurship in order to develop innovative policies in the company by
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implementing unique approaches towards organisation or by modifying business structure. Thus,
it support in promoting growth and success of the M&S, assist in developing different innovative
ideas to make maximum profit from the enterprise by accurately investing in it. Thus, in this
manager and leader play vital role by implementing reward system for the workers for
accomplishing their goals and objectives.
CONCLUSION
From the above project report it is concluded that managers are important in an
organisation to perform different operations and leaders to motivate employees. Both have
different roles and responsibilities. The role and functions of a leader are essential in different
situations, in order to improve business performance and to achieve organisational goals.
Different leadership theories and approaches are essential to encourage individuals to move into
a direction to achieve the desired goals in different ways. Further, key approaches to
management helps in systematic production and makes proper utilisation of resources.
Operations management is essential to solve issues related to operations, designs of system and
to maintain business productivity. Further, different factors in business environment influences
business in several ways. All factors have their own impact on organisation, it can be negative or
positive.
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