Operational Management and Decision Making

The provided document focuses on operational management as a key brand of organization. It emphasizes the significance of producing high-quality products and services to satisfy customers and maintain market position. The document highlights the influence of internal and external business environments on management decision-making. It also mentions the importance of taking proper decisions that are beneficial for the organization.

Management
and
operation

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 leader and function of manager in different situations.............................................3
P3 Several different kind of theories and model of leadership...................................................4
TASK 3............................................................................................................................................5
P4 Approaches of operation management and role of manager as well as leaders in it.............5
P5 Importance and value of operations management in achieving business objectives.............6
TASK 4............................................................................................................................................7
P6 Factor of business environment which create influence upon decision-making by managers
and leaders...................................................................................................................................7
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Operation management can be define as controlling and designing the process of
manufacturing as well as redesigning enterprise operational work with an organisation. Some
operational task are manage inflow or outflow of inventory, maintain machineries, manage
workforces, increase quality of product, design machine and many more. In this report select M
& S. It is British international retail organisation that operate their business activities approx 979
store in the whole world. M & S has established in the year of 1884 by Thomas Spencer and Sir
Michael Marks. Around 84939 workers are working here and earn £10.622 billion in the year
2017. M &S is a public limited company and their share are traded at different stock market like
FTSE 100 index and London stock exchange etc. (Bahmani-Firouzi and Azizipanah-
Abarghooee, 2014). Company has offer luxury food product and selling clothes, home product.
In this assignment cover role of leaders and function of manager and its applicability of work
place. Also cover key approaches of leadership, manager which are work in operational
department of the company. In this report cover relationship between management and
relationship.
TASK 1
P1 Different roles and characteristics of a leader and a manager
Manager as well as leaders both have play very important role with in an organisation
through this firm are able to achieve target in limited period of time. Both have different
characteristics and role at work place that has explain as follows:
Leader: It can be define as person those have some vision, power, skills, direction,
persuading, manage and many more. They are capabilities to influence staff members behaviour,
thinking and achieve common goals in limited period of time (DeAnna and et. al., 2010).
Characteristic of leader: Honest: One of most important personality trait of leaders has honesty and credibility
because entire group or team are depended on leaders. Those how are loyal with their
members are good leaders and able to influence behaviour of individual effectively. Flexible: Leaders are always flexible in their working style and nature so that easily
change according to situation. They are able for alter as well as maintain according to
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distinct condition. Leaders are creative in their nature so that easily find out solution of
given problem and share new ideas with other employees to achieve target effectively.
 Optimistic: Leadership style which are optimistic in their nature thus help to achieve
target effectively and reduce stress as well as difficulties of team. Leaders are optimistic
when they lead a team at work place.
Role of leaders
 Innovative and creative: Leaders are always innovative as well as create in their nature
through this they are able to achieve target with less efforts as well as effectively. It is a
management responsibility to provide training to leader on time to time basis thus help to
build innovative thoughts and ideas (Eyal and Haim, Clarizen Ltd., 2014).
 Plan and direct: It is a one of the most important function of leader through this they are
able develop plan and implemented it among team members in order to achieve
predetermine goals in given time frame. Align and organise: They are organise as well as align in their nature which help them to
compete task effectively. Leaders are manage all team members it they are not organise
them they can not able to work in organised manner.
Manager: It is person those are managing, controlling, organising, planing etc. at work
place in order to achieve goals, vision and mission effectively. It is a management
responsibilities to develop strategies and implemented it at work place in order to run whole
business activities effectively.
Characteristic of manager Goal oriented: Manager of the M &S has focus toward their goals and work accordingly
to achieve them effectively. It is a one of major function of management that are meet
with certain aim in limited period of time. Persuasive: They are more persuasive in their nature in order to lead all employees
effectively for meet target in given time frame appropriately. Multidimensional procedure: Manager are versatile in their work as well as personality
so that they are capable to manage all activities and operational work appropriately to run
entire business task effectively (Hammill and Tanner, 2011).
 Patience: This is a one of important traits in which manager are more patient for
monitoring as well as controlling whole enterprise activities as per given requirement.
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Mintzberg's role of management:
 Interpersonal role: Manager play important role at work place and one of best
role of management is interpersonal through this they are able to build strong
relationship between manager and staff members. Thus help to achieve goals
when all employees work together effectively.
 Informational role: Monitoring, dissemination and spokesperson etc. is a
manager role which help manage all workers in an effective ways (Heizer and
Barry, 2013). Through this they identify each one individual performance and
provide them information to get target in limited time period.
 Decisional role: Manager has take different kind of decision like entrepreneur,
disturbance handler, resources allocation, negotiator etc. thus help operate
business appropriately.
Difference between manager and leader
Manager Leader
Manager are develop objectives of the
company.
Leaders are liable for implementing aim and
objectives among members to achieve them in
given time frame.
They are utilise all policies as well as
regulation to leaders.
Leaders are reduce negatively of policies on
employees mind.
Manager are coordinating all staff members
with in an organisation in order to manage
them effectively.
They are capable to develop motivation as well
as influence workers behaviour effectively to
attain organisation goals.
TASK 2
P2 Role of leader and function of manager in different situations
Leaders and manager has different role and responsibilities at work place, it has change
with situation. So that, management of the company has assigning task to both leader and
manager accordingly to given condition like restructure of organisation, planning, controlling
and many more (Lind, 2013). In order to achieve common goals and objectives, human resources
executive has organising training program so that leaders know how it react in particular
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situation and find out appropriate solution in given time frame. Manager has also take advantage
of training event and build confidence to face all kind of situations easily. Here are explain some
condition and manager as well as leaders role, responsibilities in this which are explain as
follows: Planning and coordinating: Manager of M &S has develop plan to run business activity
effectively and leaders are implemented it at work place by coordinating with staff
members. Both manager as well as leaders has their own different role in given situations
and work together in order to achieve goals in limited period of time. Organising: Management of M & S has develop strategies in order to restructure
organisation work thus help to operate business effectively. In given situation, leaders are
organising all staff members appropriately in order to achieve their target in given time
frame (López and et. al., 2015). They are recruiting candidates and providing them
induction training so that they are easily familiar with firm working environment resulted
work effectively. Leading and Socialising & commanding: It is a one of the another situation in which
leaders of M & S has lead a team and commanding all members effectively to gain given
target appropriately. It is a leaders liabilities to provide guidance to manager in order to
lead workforces toward mission and vision of the company. Manager of M & S has
motivating employees by develop strategies and leader implemented it at work place.
 Controlling and conceptualisation: Administrate of M & S has develop plan with
conceptualise theories and methods resulted enhance staff members performance as well
as productivity in long run. M & S has track action of plan effectively in order to get
desire outcome of their efforts (Mendis, Muttaqi and Perera, 2014).
So that, each one situations has different from each other and management of M &S has
develop strategies to operate business activities effectively in each one condition. Both manager
as well as leaders has their own role and responsibilities to work and achieve predetermine target
effectively.
P3 Several different kind of theories and model of leadership
In present business environment there are various different type of model as well as
theories has develop performance of leaders it is a management responsibilities to make healthy
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relationship between employees and employer so that entire business activities has run
effectively. Some important theory of leadership are detail as follows: Situational leadership: This theory was established in the year of 1969 by Paul Hersey as
well as Kenneth Blanchard. According to that, each one situation has different from other
and no one signal leadership style has suitable for all condition. It is a one of most
important model of leadership which are used by several organisation at their work place.
According to this, leaders are has change their working style according to given situations
as well as condition (Mohammadi, and et. al., 2013). For example, leader of M &S store
has see floor worker are not able to sever quality of services to clients and they want
training for that, in this situation leader organise training event and get higher
performance of each one staff members. System theory: This model has developed in the year of 1954 by Ludwid Von Bertalanffy
and its modifying by Peter Senge in the year of 1990. It is based on principles and
policies of the company those are help in dealing with numerous condition at work place.
For example, M & S has implemented are government legislation at their work place in
order to attain aim in given time frame through this they are play several different role
like controlling, leading, planing and coordinating etc. in a more effective ways.
 Contingency theory of leadership: This model are developed by Lorsch and Lawrence in
the year 1967. It says optimal works are contingent in their nature and that depend on
different various external elements as well as leaders. Thus claimed that leaders those are
contingent in their nature that should be apply according to given condition (Nakayama
and Bucks Eds., 2012). For example, M &S has develop contingency in their leaders so
that they are capable to develop chance of improvement as well as achievement and
capture it effectively thus help leaders to attain aim in limited period of time.
TASK 3
P4 Approaches of operation management and role of manager as well as leaders in it
Operational management has important department of each one business organisation and
they have their work of product development through this firm are able to sell high quality goods
and services to their clients and get profitability. Some approaches which create positive impact
on operation process are detail as follows:
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 Just in time: It is a operation manager responsibility to order raw material when it
required so that it save time and other resources of the company. It is a one of most
important strategies to manage all inventory at work place. Total quality management: TQM strategies help to develop high quality product and
services thus enhance customer's satisfaction as well as brand value of the company at
market place. For example, M &S has implemented TQM at their work place and provide
quality of clothe etc. to their consumer resulted build positive brand image in clients eye. Six sigma: Six sigma strategies help production unit to reduce defect from their
manufacture product through this they are able to develop or maintain quality of goods.
Through this, they save time and resources which should be wast due to produce
defective commodities (Neck and Manz, 2010).
 Lean production: It is approach that help company to reduce waste in their
manufacturing process of through this they are able to achieve goals with minimum
utilisation of available resources.
Role of leaders and manager Formulation of policies: Manager and leaders both have play important role at work
place. They are develop rule, policies and regulation in order to run whole business
activities effectively. Planning: It is most important work of manager in which they have plan related to role
of staff members, selling strategies, operational work and many other through this M &S
has capable to achieve aim in limited time period.
 Decision making: They have take decision for run entire business task effectively and all
staff members has follow it to completing their work appropriately.
P5 Importance and value of operations management in achieving business objectives
Operation management is paramount for a working organisation to attain their business
objectives as this optimise minimal imputes such as energy, resources, raw material to
accomplish the standard outcome carried while planning the resources efficiently which reduce
the commodity cost. This is automatically increase the organisational benefits (Pinkerton ed.,
2011). M & S utilise this techniques to carry out more quality commodities aiming over the
distinct consumer requirement. They have planned the procedure of product cost as well as time
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with it. Here are discussed few of those key importance of operation management described as
below:
 Resources Utilisation: It is one of basic and core organisational part where the company
opt numerous limited resources as this carries out certain product with specific period of
time. If a company disable in managing tier activities, this can direct toward numerous
problems such as cost increment, consumer dissatisfaction and delay in the schedule etc.
(Leadership Theories, 2017). Henceforth, this can be claimed that resource can be opted
through managing operation management in more significant manner.
 Reduction of the Wastage: The reduction procedure which include the material which
can be utilise to manufacture their produced production of cost which can aid the
environment protection as well. Reusing and recycling of distinct resources and through
opting the lean management procedure within Marks and Spencer, company can achieve
their objectives and significant outcomes efficiently.
 Profit maximization: Operation management can refer to the short or long term produce
which is often pulled to output and product cost that present the maximum revenues and
benefits amount of company (Hammill and Tanner, 2011). It can distinguished into
numerous parts i.e. variable and fixed cost. The fixed cost is set according to the short
term objectives whereas variable is managed for the long term goals.
TASK 4
P6 Factor of business environment which create influence upon decision-making by managers
and leaders
In an company, operation manager use resources in an proper way to meet objectives and
targets within a limited period of time. Their are some of main factors of business environment
are given below:
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(Sources: Business environment, 2016)
Factors of internal environment: Plan and policies: Management of company is developing a policies as well as plan to
operate enterprise functions properly. By implementing various plans and policies within
business functions is help in proper working of business activities. Human resource: Department of human resource hire a skilled as well as talented
workers for organisation which decline the cost of training. Marks and Spencer are using
various techniques in their working environment as well as free form of training sessions
price. Employees is having an ability to impact on the management process of decision
making (Eyal, P.O.S.T and Haim, Clarizen Ltd., 2014). So, it is an responsibility of
human resource manager to include workers at a time of taking companies decisions. Financial resource: Manager of finance all liability as well as expensive for getting
higher level of profits as compare to rivals of the firms. Operational management is using
higher numbers of finance for other divisions which will impact on the process of
decision-making. Therefore, management control as well as manage all activities of
finance within a working environment. Companies image: Marks and Spencer manufacturer quality of services as well as
product which help in improving their image within the minds of customers in an positive
manner as well as entire market.
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 Plant and machinery: Manager of operational have to keep their machinery as well as
plants for declining the cost of maintenance (DeAnna and et. al., 2010). Hence, it will aid
in improving overall profitability as well as productivity of the organisation.
 Employee's relationship management: It is an responsibility of management to maintain
a strong relations in an positive way within the employees. By these functions of
organisation will aid in declining disputes.
Factors of external environment:
Macro environment: Economic: Nation economic situation is affected directly in the process of management
decision making. Therefore, it is very essential for an company to examine their
situations of economical as well as their influence on operational functions. Technological: Advanced technology give competitive advantage to organisation within
a working environment. Marks and Spencer are adopting a latest strategies within their
working environment as well as manufacture innovative and quality of their buyers. This
will help in raising their overall profitability and market share. Political: In United Kingdom, government is not stable so that modifications are done on
limited span of time which gave a negative influence on management decisions. Policies
of trade is a classical e.g. of Marks and Spencer buy petrol from other nations as well as
follow all rule and regulation of trade (Bahmani-Firouzi and Azizipanah-Abarghooee,
2014). When government modify their rule along with that they create some barriers then
the organisation will affect on plan as well as decision.
 Cultural: It is impacted on customers behaviour of buying decisions. It is an
responsibility of an management to examine culture as well as manufacture a services
and goods accordingly.
Micro environment: The customers: In present times, buyers require to changed very rapidly so that
organisation can produce goods accordingly within a marketplace for achieving customer
needs.
 The competitors: Rivals are also impact on decisions of organisations management.
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CONCLUSION
From the above report it is concluded that operational management is a key brand of
organisation through this firm produce high quality product and services thus help to rise
customer's satisfaction as well as market position as compare to their competitors in long run.
They take a proper decision which are better for organisation. Internal and external environment
of business will create a influence on the process of management decision making.
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REFERENCES
Books and Journals
Bahmani-Firouzi, B and Azizipanah-Abarghooee, R., 2014. Optimal sizing of battery energy
storage for micro-grid operation management using a new improved bat algorithm.
International Journal of Electrical Power & Energy Systems. 56. pp.42-54.
DeAnna, R and et. al., 2010. System for development, management and operation of distributed
clients and servers. U.S. Patent 7,730,111.
Eyal, P.O.S.T and Haim, R., Clarizen Ltd., 2014. System and method for project management
system operation using electronic messaging. U.S. Patent 8,856,246.
Hammill, A and Tanner, T., 2011. Harmonising climate risk management: Adaptation screening
and assessment tools for development co-operation (No. 36). OECD Publishing.
Heizer, R and Barry, R., 2013. Operation Management, Sustainability and Supply Chain
management (Vol. 11). Pearson, UK.
Lind, A.O., 2013, June. Pipeline integrity management–from design to operation. In The Twenty-
third International Offshore and Polar Engineering Conference. International Society
of Offshore and Polar Engineers.
López, M.A and et. al., 2015. Demand-side management in smart grid operation considering
electric vehicles load shifting and vehicle-to-grid support. International Journal of
Electrical Power & Energy Systems.64. pp.689-698.
Mendis, N., Muttaqi, K.M and Perera, S., 2014. Management of battery-supercapacitor hybrid
energy storage and synchronous condenser for isolated operation of PMSG based
variable-speed wind turbine generating systems. IEEE Transactions on smart grid.5(2).
pp.944-953.
Mohammadi, S and et. al., 2013. An Adaptive Modified Firefly Optimisation Algorithm based on
Hong's Point Estimate Method to optimal operation management in a microgrid with
consideration of uncertainties. Energy.51.pp.339-348.
Nakayama, F.S and Bucks, D.A. Eds., 2012. Trickle irrigation for crop production: design,
operation and management (Vol. 9). Elsevier.
Neck, C.P and Manz, C.C., 2010. Mastering self-leadership: Empowering yourself for personal
excellence. Pearson.
Pinkerton, E. ed., 2011. Co-operative management of local fisheries: new directions for
improved management and community development. UBC Press.
Online
Leadership Theories. 2017. [Online]. Available through:
<http://www.leadership-central.com/leadership-theories.html#axzz4cuENJXqH>.
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