Leadership Styles and Management Practices of Marks & Spencer

This report analyzes the different leadership styles, management practices, and various strategies adopted by Marks & Spencer to conduct business operations at domestic and international levels.

Individual Report

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY .................................................................................................................................1
1. Overview of the company.......................................................................................................1
2.Vision, Leadership styles and management practices of Marks & Spencer............................2
3.Implementation of leadership and management theories.........................................................4
4.Recommendations ...................................................................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
A business has leadership styles which refers to behavioural patterns used by leaders to
influence the behaviour of followers or subordinates ( Łukowski, 2017). The concept of
leadership style was given by Kurt Lewin in 1930. Effective leadership motivates and
encourages people to identify their potential and harness their potentials to accomplish common
goals of organisation. Every business organisation uses many management theories and
strategies to manage the business operations and attain goals effectively. Management practices
are known as methods and innovations adopted by managers to improve the effectiveness of
structure and work systems. Whereas, business strategies are set of actions which are taken into
consideration to achieve the business objectives and build the organisations reputation in the
marketplace for high quality services (Berry, 2016). In this report Marks&Spencer is considered
to analysis the different leadership styles, management practices and various strategies adopted
to conduct business operation at domestic as well as international level.
MAIN BODY
1. Overview of the company
Marks & Spencer is British Multinational Retail Company which is specialised in selling
clothing, household products and luxury food products all over the world. It is also known as
M&S because it's founded by Michael Marks and Thomas Spencer in 1884 which is based in
Westminster, London. The company M&S currently has 1010 stores all over the world. The
CEO of Marks& Spencer is Steve Rowe and Managing Director is Stuart Machin. Marks &
Spencer is a company with long term success history. The company have opportunity for global
expansion so, to succeed the company must expand its market share by penetrating new markets
or new product lines. The Company operates within two specific areas which comprises of UK
and International. The UK segment comprises of the United Kingdom retail business and the
United Kingdom franchise operations whereas, International segment comprises of Marks &
Spencer controlled businesses in Ireland, Europe and Asia. The Company deals in delivering
brand food products, clothing and home products in its stores and online at both United
Kingdom and at international level. The target market of Marks & Spencer captures high-class
and middle- class consumers in major cities. The organisation captures the large market share by
offering products and services in almost every sector which includes clothing for men, women,
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children and household products and also deal in food products. Marks & Spencer to maintain its
sustainability uses plan A to build the business that enables the customers to have positive
impact on well-being, communities and society through what the company offers. The company
have merged with Ocado, Tesco, Sainsbury, Carrefour and Amazon. These mergers have
occurred to increase market share at domestic as well as international level and increase its
profitability (Amanchukwu, 2015). The subsidiary companies of Marks & Spencer involves
Amethyst Leasing Ltd., Andis SARL, Busyexport Ltd., Marks & Sparks Ltd, Ignazia Ltd, and
many more. M & S also offers financial services including loans, credit cards, insurance for car
and holiday through its financial services department. The products of M&S are also available
online with delivery services for expanding the business into niche market. The management
style of Marks & Spencer adopted Consultative style in which leader consults and motivates its
subordinates to take active participation in decision-making process. Leaders of Marks &
Spencer adopts various types of leadership style to keep employees always motivated and
empowered.
2.Vision, Leadership styles and management practices of Marks & Spencer
Vision- The vision statement is road map for company which indicates the future goals
of company and provides direction towards company's growth. The vision of Marks & Spencer
is to set the benchmark and standard for competitors at domestic as well as international level
and to provide good quality products and services.
Leadership style and management practices- It is leaders method of influencing,
providing direction, implementing plans and motivating people to attain the organisations goals
and objectives (Yahaya, 2016). Various leadership styles and practices followed by leaders in
Marks & Spencer are described below:-
Autocratic leadership style- Autocratic leadership is known as management style where
leader decision-making is made on behalf of company. These leaders decisions are based on only
their judgements and they rarely accept advice from followers. They are used to keep power with
themselves and are not aware of 'empowerment' process. The outcome of this style is that group
members often remain dissatisfied with the leader. The managers and leaders of Marks &
Spencer adopts this style when leader wants full control over its followers. Also, this style helps
leader of Marks & Spencer to take decisions without wasting any time.
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Consultative leadership style- This style is concerned with consulting all team members
before decision-making. This style focuses on ideas, opinions, and experiences of other people.
Consulting leaders lays emphasis on important activities, proper recognition, team building and
effective delegation (Saleem, 2015). The management and leadership style of Marks & Spencer is
consultative because leaders decision-making is done after consulting their followers. Also,
leaders of Marks & Spencer focuses on giving proper recognition according to the work done by
them efficiently.
Democratic leadership style- The another type of leadership management style is
consist of democratic style. This also refers to participative or shared leadership because in this
followers and subordinates take active participation in decision-making process. This process
focuses on group equality and free flow of ideas in the organisation(Khorasani, 2017). This is
most effective leadership style as it leads to higher productivity and increased morale and
commitment of followers. The managers and leaders of Marks & Spencer adopts this leadership
style to motivate and encourage its employees for their creativity and innovations. This style will
also help Marks & Spencer to achieve long term growth and survival by giving fair and equal
treatment to its employees.
Leadership theories- Leadership theories refers to schools of thought which explains
how and why individual become leaders. These theories are based on leaders traits,
characteristics, behaviour and how they behave in certain situations. Effective leadership skills
and traits helps subordinates to commit themselves towards achieving the goals and objectives.
The leadership theory applied at Marks & Spencer is defined below:-
Trait theory- This explanation is supported on the assumption that leaders are either
hatched or possess with certain characteristics and traits that will help in excel in leadership
roles. Leaders possess certain traits which consist of intelligence, creativity and influencing
ability. Leaders of Marks & Spencer uses trait theory in managing their subordinates.
Management theories- These theories are concepts surrounded by management strategies,
which comprises of tools and techniques that can be implemented in organisations. The
management theory applies by Marks & Spencer is explained below:-
Human relations theory- According to this theory human resources are considered as
social entity for organisation. This theory recognizes that only money is not enough for
employee satisfaction (Heifer, 2017). Morale and satisfaction are considered to be integral part of
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employee performance. Managers of Marks & Spencer applies this theory because it helps in
increasing the morale of employees by providing them with recognition and rewards.
3.Implementation of leadership and management theories
Leadership refers to the ability of a person to influence and direct the followers towards
attainment of goals effectively and efficiently for an organisation. Whereas, management refers
to organization and coordination of the activities of a business in order to accomplish with
defined goals and objectives. Management consists of various functions planning, organising,
controlling and directing towards accomplishment of objectives in an organisation. Leadership
and management plays crucial role in the growth and survival of business organisation in
effective manner (Lawter, 2016). Leadership performs leading function in the spurting procedure
of the organisation, and the management assist in large evolution which gave rise to relations
with human and systematic work culture. Leadership theories is based on multiple factors
consisting of culture, social background, experience, character and ethical values. Except these
factors leadership approaches are differentiated as relationship oriented and task oriented. In
relationship oriented leaders emphasis on people and try to interact the vision based on kinship,
values and personalities whereas, the leaders in task oriented attempt to build coordination
among people to accomplish the goals efficiently and effectively. The management theories are
numerous which follow principles of scientific management theory and human relations theory.
Different theories and styles of leadership have been implemented in Marks & Spencer and
achieved as follows :-
Leadership theories- The modern corporate culture and workforce diversity is also
shared by leaders. Leaders influence and inspire it followers to achieve their vision. The strength
of leadership theory is attributes which includes dominance, assertiveness, decisiveness and
accepting the change. Leaders of Marks & Spencer applied trait theory to overcome the problem
of survival and growth which was declined due to certain changes and situations.
Management theory- Managers of Marks & Spencer applied human relations theory to
maintain and build harmonious relationship with employees in the organisation. As,
relationships between employees and management are of substantial important at workplace.
Their are certain factors which decreases the productivity of Marks & Spencer so, human
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relations theory helps to impart training among employees which will help to increase the
productivity in efficient and effective manner.
Leadership styles- Leadership styles includes autocratic, democratic and consultative
styles (Slack, 2016). For example when Marks & Spencer wants to increase the morale of
employees and want active participation of employees in the organisation it adopts democratic
leadership style. When decisions are to be taken after consulting the followers than leaders
adopts consultative leadership style.
4.Recommendations
 As per the above report it can be highly recommended that Marks & Spencer should
adopt effective leadership styles, management practices and various management
theories for survival and growth of company.
 On the basis of case study of Marks & Spencer there are some specific recommendations
through which improvements related to management theories and leadership theories
can be made in effective manner.
1. The managers of Marks & Spencer can adopt combination of various management
theories which can consist of behavioural management theory, system theory and
contingency theory. As, the managers are using Human relations theory so, mainly
they should focus on making improvements according to changing environment and
conflicts arising in Marks & Spencer.
2. The leaders of Marks & Spencer can also adopt democratic leadership style as it
mainly focuses on employees and their objectives. The CEO of Marks & Spencer
admits that modification in culture of organisation should be accepted by everyone in
the organisation (Zokaei, 2016). The CEO and leaders of Marks & Spencer should
believe in empowering employees to take decisions and should deal with
subordinates effectively.
3. The managers of Marks & Spencer is using trait theory but all the problems can't be
solved with the help of this theory. The managers can adopt McGregor's theory X and
theory Y which shows two aspects of human behaviour in negative aspect i.e theory
X and positive aspect i.e. theory Y. it describes different attitudes of workers or
employees towards work (Purvis, 2015). The managers of retail sector company are
recommended to presume that all workers exercise self- control and also, perform
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their mental, physical and moral duties. And the advantage of this hypothesis is that it
is easily understandable so, this help managers to emphasis on their perceptions by
various ways in which single person can perform effectively.
CONCLUSION
As per the above study it has been concluded that management practices and leadership
styles show very crucial function in every organisation. Also, it has been analysed that leaders
possess certain traits and characteristics which help to overcome any leadership problems. It has
been evaluated that management theories comprising of human relations theory helps in building
harmonious relations with employees and increase their work commitment.
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REFERENCES
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