Leadership and Management Analysis

This report analyzes various theories of leadership and management and their impact on the performance metrics of Sainsbury. It explores the relationship between leadership and management in achieving organizational goals.

Personal and Professional
Development

Executive summary–
Management and leadership is an important aspect for the company to support and foster
its growth in highly challenging business dynamics as it lays down strategies to guide and
manage workforce in organisation to achieve better results. This report will analyse various
theories of leadership and management and will analyse key performance metrics of the company
and how leadership and management accounts to better performance of the company.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Analysis and comparison of leadership and management ..........................................................4
Key performance metrics of Sainsbury........................................................................................7
Leadership and management performance..................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Leadership and management skills are essential part and contributes in the success of the
company. These are the skills which are being used in the organisation to reach at a common
desired goals. Leadership skills require individual to motivate others to complete a series of
activities and tasks in regards with the following of the schedule. Effective leaders are highly
important for the company as they help up in building strong teams within the business and helps
in ensuring projects, various initiatives and other functions related to the work are being
performed successfully. Leadership is both practical skill and research area which encompasses
the ability of an organisation or group, individual to influence, lead, or guide other employees in
an organisation. These are the abilities and strengths of individuals which they reflect in the
company that helps to guide processes, guide initiatives and helps the people of the company to
achieve and thrive for common desired goals. These are the very important component in
positioning various key managerial personnel to make various valuable decisions about the
company mission and goals and effective utilisation of resources to achieve that goals and
targets. Valuable leadership skills account to the ability to inspire, delegate duties and facilitates
effective communication at all levels in the company. Management skills are being defined as
certain attributes and abilities that and executive is being required to possess in order to fulfil
specific tasks and responsibilities. Sainsbury is the second largest chain of supermarket which is
being based out of UK which provides wide variety of products and services in range of clothing,
food, home-ware, electronics and many others. Present report will address to analysis and
comparison of leadership and management, key performance metrics of organisation in industry
in which it operates and will brief on how these skills are related and contributes in the success
and growth of the company.
Analysis and comparison of leadership and management
Leadership is being defined as the art of motivating group of people or employee’s in an
organisation to reach towards achievement of the goals. It can simply be referred as the means of
directing people of the Sainsbury with the help of laid down strategy to achieve the goals of the
company.

Management can be referred as set of principles which relates to the function of planning,
controlling, directing and organising activities and tasks in the company to reach towards
achievement of common goals of Sainsbury.
This analysis and comparison can be better understood with the help of various models
and theories which are being mentioned as below
Contingency theory of leadership-
It states that there is being no one style or way of leadership which may be applicable to
all the situation in Sainsbury's. In simple words it could be understood as that there are several
variables being influencing a particular situation in a company, which states that leaders should
account to choose the right course of action which is being best fits for that situation and which
accounts to taking all variables in the consideration (Fast, Rankin, 2018). It states that
effectiveness of leader is contingent to whether or not the leadership style is being suites for that
situation. It implies that leaders in Sainsbury's can be effective to one situation and ineffective to
another. It is being required on the part of leader to adapt to that style of leadership which best
fits the situation and which accounts to fostering growth of the company.
Transformational leadership theory-
This theory of relationship is being also known as relationship theory which focuses on
the relationship between leader and its followers in the company. This theory of leadership
relates with leaders in Sainsbury who is charismatic and inspirational, which encourages its
followers to transform and derive for the better performances to achieve the goals of the
company. These leaders in the company typically motivated by their ability to show there
subordinates the significance of task and activities and the benefits and advantage involved in the
process of performing the same. These are being not only focused on how team performs but
also accounts in giving individual teams members required push to reach to individual maximum
level (Gill, 2018).
Transactional leadership theory- This theory of leadership in Sainsbury's is being also defined
as exchange theory of leadership that revolves around the role of supervision, teamwork and
organisations. It considers various punishments, rewards on the basis of various actions of
leadership. It is one of most commonly used style of leadership where individuals are being
motivated with the helps of rewards and punishments (Golensky, Hager, 2020).

There are various styles of leadership but Sainsbury's leaders adapt to Democratic and
participative style of leadership that states members in the group accounts to take more
participative role in the decision-making process whereby the leader encourages the group
members to share their own ideas, view, opinions and offers valuable insights for the company .
It is being found by the many of the researchers that it is one of the effective style of leadership
which accounts to employees satisfaction, high morale, which in turn accounts to higher
productivity at the workplace and helps in retention of valuable employees and accounts to
employment engagement. This style of leadership is being suitable in Sainsbury as it employs
highly qualified and talented employees who have the ability to showcase there talent and are
highly valuable for the company (Makina, 2016).
There are various theories of management which accounts to simplified decision-making,
increased collaboration, increased objectivity and increase in the productivity . It could be
understood better with the helps
Principles of administrative management theory – This theory is being given by Henry Fayol
who have proposed principle such as
Initiative- It states that employees in Sainsbury have freedom to carry out there responsibilities
without being ordered or forced.
Equity- it implies that every employee in the company should be treated on the fair ground and
equally and should promote environment of kindness (Mango,2018)
Remuneration- It states that company should account to both monetary and non monetary
benefits to the employees to establish a bond between management and employees of the
company.
Unity of direction- It states that there should only be one manager for one department to ensure
coordination among the team to achieve goal of the company.
Division of work- it relates with overall action of management to be divided among the team
based on there skills to achieve efficiency in business.
Subordination of individual interest with regards with general interest- It regards with there
must be the harmony between organisation and individual interest, where priority should be
given to interest of the Sainsbury as it will help in bringing rewards for the employees.

Esprit de corps it refers to the principles of unified contribution and regards with the co-
operation which is being always being higher than that of individual performance. And various
other principles being proposed for the same (Uzohue, Yaya, Akintayo, 2016).
Key performance metrics of Sainsbury
Key performance indicators are the factors through which organizations evaluate its
performance in terms of goal achievement capabilities by evaluation of which company make
sure that it is able to achieve its organizational goals or not. Following are the key performance
indicators.
Revenue Growth-
This is one of the most basic key performance indicator in which organizational sales of
Sainsbury is evaluated in terms of increment in its organizational sales and by which company
tracks its performance with the previous records, this has to be done in a pre-described scheduled
time slots (Ding, Choi and Aoyama, 2019). Thus increment in sales showcases high
organizational growth towards its goal achievement by which company can make sure that it is
able to achieve its organizational goals and with that it can analyse the effectiveness of its
developed strategy.
Income Source-
This is a deep analysis which is done by organizations sales per customer is analysed by
which company tend to evaluate the organizational sales which it is having with each customer.
Due to which Sainsbury will get a close understanding of the products which are mostly
purchased by customers due to which company can make sure that it is fulfilled these
requirements by providing products on the basis of their likes. This is important for Sainsbury
because it is a retailer and by providing majority of liked products it will have increment in its
sales.
Revenue Concentration-
This is one of the most important factor which organizations like Sainsbury has to make
sure that it is able to achieve, in this factors company tends to increase its customer count in such
a way that its economic growth is not limited to a specific sections of customers (Cho, 2017).
Thus in order to reduce the revenue concentration Sainsbury has to increase its geographic reach
in such a way it high sales can be achieved by which high sales can be achieved.

Leadership and management performance
Impact of leadership on business performance matrices
Organizational leadership is responsible for leading employees in such a way that they
are able to concentrate their working in such a way that they are able to provide high level of
working benefits to the organization. Since leadership is responsible for leading employees
therefore leader's behaviour with organizational employee’s will make a direct impact on their
working capabilities. Leadership can be of different types which is completely based of the
leader's perspective of doing organizational activities (Castillo and Hallinger, 2018). Leaders
may choose autocratic leadership in such it tends to provide instructions to employees and
employees have to the orders. This type of leadership may provide Sainsbury a high level of
working capabilities and high control but on the other hand it reduces employee’s engagement
with organization because they only have to follow the orders which will reduce their creativity
thus reduced loyalty. Therefore leadership must act in certain way by which employee’s
engagement in Sainsbury can be increased and also their productivity can also be increased. Thus
leadership must utilize participative leadership in which leadership motivate employees to
increase their engagement in organizational activities and due to which employee’s engagement
and creativity is increased. However the final decision is made by leadership only because of
which it makes sure that organizational decision-making is on the right track. Through this act
leadership will increase the working capabilities of Sainsbury because employees are motivated
that their suggestions are being listened by the organization and also it work in terms of
implementing these decisions. This will improve Sainsbury's performance on business
performance metrics resulting is higher chances for goal achievement.
Impact of management on business performance matrices
Management is responsible for managing organizational activities in such a way that
company's working capabilities can be increased in the minimum expenditures by which high
effectiveness can be achieved (Rijal, 2016). With that management is responsible for setting
organizational goals by analysing organizational working capabilities this will enable
management to develop a working capabilities in such a way that company's performance can be
increased. Since management is responsible for managing organizational management because

of which it has to make several adjustments which will increase the productivity of Sainsbury.
Therefore in order to improve the performance metric of Sainsbury management has to develop
effective organizational culture by which inter organization communication can be improved.
This improved communication will enable organization to develop its effective working strategy
in such a way that chances for goal achievement is increased and for which it has to develop
effective communication by which employees can showcase their issues with other by which
chances for goal achievement can increased. This happens because if employees are able to
communicate with others then in that case the problem solving time is reduced which will
increase the organizational productivity.
Comparison and benchmarking to best in class
Leadership styles are of different types by which leadership can choose the effective
leadership style which best suit them on the basis of organizational requirements. Participative
leadership style will be the best suitable for Sainsbury's leadership because it is one of the largest
supermarket chain of UK because of which its employees are well aware of customer
requirements due to which leadership must involve their decisions in decision-making by which
effectiveness of implementation can be increased (Thomas, Trucks and Kouns, 2019). With that
employees are also well aware of requirements and problems which customers are facing during
their interaction with the organization. Thus leadership must take the suggestions provided by
employees by which their engagement and loyalty can be increased which will be beneficial for
organization's goal achievement.
Management has to analyse company's working capabilities and thus must set
organizational goals in such a way that Sainsbury is able to achieve its organizational goals and
for which it has to make sure that the developed working strategy is empowering Sainsbury to
work as per changing market trends. This is important for organization that it is able to work as
per changing market trend because if it is not able to work as per the requirements then it will not
be able to provide products on the basis of customer requirement which will decrease customer’s
engagement in organizational activities and thus chances of brand switching is increased
(Bouranta, 2020). Therefore management has to make sure that company is capable for fulfilling
these requirements and thus it has to make changes by which productivity and goal achieving
capabilities of the company can be increased.

CONCLUSION
From the above report its is being understood that for any organisation its leadership and
management serves as vital and backbone for the company as it helps in meeting common
desired goals of the company as it accounts to formulation of policies and strategy that helps in
guiding employees to thrive for better performance and helps in accomplishing tasks and
activities with laid down objectives, guides and standards. Effective management and leadership
account to effective decision making that accounts to fostering growth of the company and
getting an edge over the competitors and winning in the marketplace. The above report has led to
the understanding of what is leadership and management and laid to the understanding of various
leadership and management theories such as contingency theory which is based upon the
situation and style which best fit, it also made to the understanding of transformational
leadership, transactional leadership theory and briefed on democratic style of leadership and
principles of Henry Fayol. From the analysis it can be concluded that leadership and
management both are responsible for increasing the productivity of the organization but also
have to make sure that they are able to concentrate their efforts in an integrated form by which
company's overall performance can be increased. Therefore leadership must make sure that
organizational developments is done in such a way that employee’s engagement can be increased
by which productivity will be increased. Whereas management has to make sure that
organizational structure is developed in such a way that working efficiency and effectiveness is
increased by which goal achievement capabilities can be increased in an minimum expenditure
which will ensure high economical background and also high level of productivity.

REFERENCES
Books and journals
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Ding, W., Choi, E. and Aoyama, A., 2019. Relational study of wise (phronetic) leadership,
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Golensky, M. and Hager, M.A., 2020. Strategic leadership and management in nonprofit
organizations: Theory and practice. Oxford University Press.
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Mango, E., 2018. Rethinking leadership theories. Open Journal of Leadership, 7(01), p.57.
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Thomas, C., Trucks, E. and Kouns, H.B., 2019. Preparing early career librarians for leadership
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