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Operational Management at Marks & Spencer

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Added on  2020/06/05

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This assignment examines the operational management strategies employed by Marks & Spencer, focusing on their effectiveness in enhancing productivity while minimizing costs. It analyzes the roles of leaders and managers within the firm, emphasizing the importance of transformational leadership and ethical business practices. The analysis also explores the impact of Corporate Social Responsibility (CSR) initiatives on M&S's operational performance and overall success.

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MANAGEMENT AND
OPERATION

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Table of Contents
Contents
INTRODUCTION...........................................................................................................................1
P1 Different role and characteristics of leader and manger...................................................1
P2 Role of leader and manger in different situational context...............................................2
P3 Different theories and approaches of leadership...............................................................3
P4 Key approaches of organizational management and role of leader and manger...............4
P5 Importance of operational management in achieving goals and objectives......................6
P6 Factors affecting operational management and decision making.....................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
Operational management is one of the important function of management. It is
responsible for the proper allocation of resources and funds so that quality product can be
produced by firm. In current time it has become one of the important function of organisation as
it not only help in improving the efficiency of firm but its many approaches help in reducing
wastage and assist in enhancing the productivity of firm in current report M&S Ltd has been
taken into consideration its one of the leading retail chain in UK. It known for its luxurious
clothing along with food and home decorating product. The firm has more than 900 stores spread
all over the country that help them in providing their services to customer. The current report
will discuss the importance of operational management. It will divulge in the role of leader and
manger and how they act in different organisational situation. Different key approaches along
with different type of leadership are also mentioned.
P1 Different role and characteristics of leader and manger.
Mark and Spencer is one of the leading firm that own its existence for more than 100
years. The firm was successful in establishing themselves as one of the biggest brand and
achieving worldwide recognition. To meet the latest trend the firm is continuously implementing
changes in their working which has helped them in finding stability in market. The firm has
made changes in their organisational structure and has adopted flat structure that help them in
making better connection with their employee and was also helpful in reducing the time of
decision making. In Mark and Spencer it's the job of leader and manger to see that all employees
are satisfied with their working environment and are contributing in the working of firm.
Manager: Manager has formal authority in the firm who is responsible for the delegation of work
among subordinates. He work as business organiser.
Leader: Leader in the firm has informal authority to lead and direct people. He provides
employees with the vision and direction so that they can complete their work on the time and can
contribute in the success of firm (Mossalam and Arafa, 2016).
Manager: Manager has official authority to take decision regarding the employees. They are
responsible to delegate the power and job among the staff. They work as business organiser.
Leader Manager
Provide vision and direction to staff Use organizational structure to direct the staff
Informal authority, employees follow him on Formal authority have power to take decision
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their own free will for employees.
Work for the long term of benefits of firm. It
make sure that employees remain loyal to
firm
Work for short termed benefits so that profit
can earned in the firm.
Use motivation and assessment as the tool so
that productivity and performance could be
enhanced.
Manager make available all resources so that
staff can carry out their function efficiently.
Function of management
Planner: Manager act as planner and is responsible to design a plan so that development can be
implement in the firm. He is also accountable to come up with an action plane that can help in
the implementation of this plan
Organizer: manger is responsible for organizing all resource that is financial as well human
before the y put the plan in action, They are responsible for the delegation of power and job.
Directing: It includes the implementation of plan by motivating, communicating and supervising
the employee so that efforts can be directed toward the goal of firm (Aga, Noorderhaven and
Vallejo, 2016).
Controlling: In this process manger is responsible to evaluate ongoing activities and ensure that
they are working well so that established plan can get desired goal.
Role of leaderï‚· Interpersonal: He responsible for all interpersonal relationship of firm. He represent the
firm formally not only within the organization but also outside. They also act as link
between higher management and lower employees.ï‚· Informational: As a ,monitor the leader receive and collect information. He is also
responsible to disseminated this information to its environment (Burke, and Noumair,
2015)
ï‚· Decisional role: there are many role play by leader, it initiate necessary changes for the
group. As a negotiator he negotiates on the behalf of both organization as well as
employees.
Above some difference between the role of manager and leader is present. It shows that
how both leader and manger are necessary for the smoother working of Mark and Spencer.
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P2 Role of leader and manger in different situational context
Manger and leader are two separate entities with their own role and responsibility in the
firm. Both manger and leader role different role according to the situation presented them. In
current time mark and Spencer is suffering from high turnover which has start affecting it
performance. The problem has lead to such an extent that its also affecting their customer. The
higher authority has asked manger and leader to look in the matter and solve this problem as
soon as possible.
Manger in such case is responsible to find out the major reason behind this problem and
take necessary measures. Through proper analysis it has come forward that workers are not
happy with their working environment. High working hour along with no benefits and incentives
has make employees demotivated leading them to leaving the firm (Strizhakova, and Coulter,
2015). In such condition manger is responsible to find alternative way through which the
working hours can be reduced without affecting the performance of organization. He is also
responsible to provide their employees with some benefits and incentives that can help them in
intriguing the interest of employees. It will also help them in retaining them for longer time in
the firm. These incentives also work as the motivation for employee. Who start putting more
effort in their work for extra benefits, They are responsible to arrange plan so that new recruits
can be hire so that load on remaining employees can get decreased. Furthermore, they are also
responsible to arrange training and development program so that new employees can become
aware about their job and carry out their roles in efficient manner (Dentchev, Balen,. and
Haezendonck, 2015). It will help Mark and Spencer in enhancing the overall performance of
firm and will also help in reducing the problem of employee turnover.
Leader in this condition have totally different role, a leader is responsible to listen the
problem of employees and ensure that this problem are reached to higher level. It works together
with manger so that they can come up with the best solution that can help them in retaining
employees without compromising the profit capability of firm. In such scenario leader can adopt
supportive role of leader as mentioned in path goal theory. This will help him in maintaining
better relationship with their employees and will also help them in motivating them so that they
can perform well. For recruit it can adopt directive method and can direct the effort of employees
toward their task and success of firm (Kroll, 2015). Its necessary of leader to remain authorities
toward the employee so that they do not start taking liberties in their work.
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P3 Different theories and approaches of leadership
An effective leader is consisted of many characteristics that help him in leading the
people in right direction and gaining the trust and loyalty of people, From very early time many
theory on leadership has been formed that has helped leader in performing their task in efficient
manner. Following are some theory from traditional to modern
Situational leadership
According to this theory a leader make positive change in its style of leadership so that it
can be task relevant and can help him in leading its team to their full potential. It also quite
effective in enhancing the performance. This theory stated that a leader should change its style of
leadership so that it could met with the situation and best result can be obtained. The theory has
provided with four basic type of leadership that an leader can adapt in different situation.
Telling, selling, participative and delegating (Zhang and et. al., 2017). In current condition of
M&S Ltd. It will be best for them to adopt participative style in their working. This style will
help them in enhancing their relationship as well as their performance.
Illustration 1: Situational leadership
(Source: Situational Theory of Leadership 2017)
System theory
According to this theory sustainable development can be brought in the organization with
the help of proper leadership. This theory work on understanding the organizational structure
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and uses OD approach so that both leadership and organizational performance can be enhanced.
It focuses on the way leadership is applied, develop and managed in the firm. This approach
provide leader with proper framework that help them understand how their energy, idea, and
skills can help in the growth of organization. This idea of leadership is quite different from the
traditional idea of individual focused leadership.
Contingency theory
This theory state that it’s not only leadership style that make it effective but also the
control leader have on the situation. For being a good leader its necessary to have good
relationship with the employees, should have proper goals that are related to the present goal and
it also require leader ability to provide their subordinates with reward and punishment. If this
three are not used in right way than the failure of leadership increases (Slack, 2015). This theory
put emphasis on leader personality and situation present to them.
In such situation it will be best for Mark and Spencer to adopt contingency theory in their
working, so that leader can adapt the best quality in its working that can help him in maintaining
the situation and also helping in making better relationship with the employees.
P4 Key approaches of organizational management and role of leader and manger
Operational management is one of the important functions of organization that help in
proper allocation of resources and its management so that efficiency and performance of firm
can be enhanced. It helps in the smooth functioning of firm. Operational management looks after
all the factors of firm and come up with the best strategy that help them in enhancing the
productivity of firm. Below are some key approaches of organisational management are
mentioned
Six sigma approach:
Six sigma is important approach that help in maintaining the quality of product and
producing near perfect product. This play major role in enhancing the performance of Mark and
Spencer and also help in attaining the satisfaction of customer. Its most effective approach that
help in eliminating defects from the product, What make this process effective is that this
approach work on the data and proper methodology (Heizer, 2016). It work on bringing six basic
standard in product throughout the process that is from manufacturing to transactional and from
product to service.
Total quality management:
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Total quality management help in making better working environment that can help in
the continuous growth of firm. Its help firm in improving their ability to produce high quality to
product and services to their customers. It’s aim for long term success through customer
satisfaction. It works on seven things that help them in performing better that is leadership,
strategy, customer, measurement, analysis, workforce, operation and result. By focusing on this
element and making necessary changes it works on bringing improvement in the firm (Khanna,
2015). Mark and Spencer can also adopt this method in their working so that positive changes
that can enhance their performance can be adopted by firm.
Lean production
This method focuses on reducing the wastage produce at the time of manufacturing. . It
helps in reducing the wastage at the time of workload. It helps in increasing the production of
company by reducing waste leading to reduction in production cost, increasing productivity and
sales of firm.
Just in time:
This method help in reducing flow time at the time of production by ensuring that
resources are available to team at the right time. It also help in reducing the time between
suppliers to customer. It help firm in producing product at right time leading to customer
satisfaction.
It will be in the favour of M&S Ltd to adopt these methods in their working. This will
help firm in bringing efficiency in their working along with enhancing their performance
Role of manger
Manager is responsible to provide all the resources necessary to carry out these
approaches. He is also responsible to arrange various training program so that people can
become aware about the working of these approaches and can work accordingly.
Role of leader
Leader act as monitor and provide proper guidance and learning so that employee can
perform their duty well. They are also responsible for assessing their performance and providing
feedback so that they can improve their performance.
P5 Importance of operational management in achieving goals and objectives.
Operational management is important for enhancing the performance of the firm. It plays
major role in enhancing the productivity and development of firm. It also helps firm in achieving
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their goals and objectives. Below are some given goals and objectives that anu firm want to
achieve:
ï‚· To find stability in market
ï‚· Global expansion
ï‚· Customer satisfaction
ï‚· Profit Maximization
ï‚· Enhancing the sale
By conducting its various function the organisational behaviour help in achieving the above
mention goals
Quality management:
Operational management of the firm is responsible for the managing the quality of the
firm. It helps in reducing the waste produce at the time of production and help firm in producing
quality product. This help in increasing the productivity of the firm and they are able to meet the
demand of market, which help them to attain customer satisfaction. Increase productivity also
lead to increase in the sale (Qu, Janssen and Shi, 2015). Quality is one of the important
characteristics that help in increasing the customer base of the firm along with this it also helps
firm in sustaining longer in diverse market.
Proper utilization of resources and Funds
The main objective of this management is to make sure that each resources of the firm
are being used in proper sustainable manner along with proper allocation of the fund. By proper
utilization of the resources it can maintain proper balance between the production and
distribution process that help firm in smoother running and it doesn't effect any other activity of
the firm. It plays major role in increasing the productivity of the firm. Along with it also play
major role in providing firm with the competitive advantage that help in their market expansion.
Cost reduction:
Operation management pays close attention on the manufacturing and production
process, so that it can identify any area or a loophole that can have its effect on the working of
the firm. It tries to make sure that no problem that can cause hindrance or can affect the quality
of work occurs. This play major role in detecting any defect that can reduce the quality of
product. By making sure that it does not have any defect it helps firm in gaining the customer
satisfaction (Ferrell and Fraedrich, 2015). By identifying the problem at right time it helps the
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entity in reducing the extra cost that are spent on compensating and managing the defect. It
plays major role in maximising the profit of M&S Ltd.
Planning:
The management is responsible to come up with various strategies and plan that can help
firm in achieving its goal and objectives. It is responsible to conduct a proper analysis on the
corporate different activity and try to find the best strategy that can help the firm in its
development and growth (Aga, Noorderhaven and Vallejo, 2016).
P6 Factors affecting operational management and decision making
Business environment can be describe as all that factor that have its direct or indirect
impact on the working of the firm. It can include both internal and external environment. In
order to survive its necessary of the firm to understand the business environment in which its
working and pay attention to the changes that are occurring for smoother working.
Corporate social Responsibilities: CSR is one of the important approach that is adopted by
corporate in order to integrate company's social responsibility with their business operation. It
ensures that while operating their business the firm is behaving ethically which can bring benefit
not only towards the firm but also toward the society. It helps M&S Ltd. in creating positive
image in front of the society. Manager and leader play important role in unlocking the values of
CSR and corpora ting them in all the operational activity. They can align the employees' goal
with the goal of CSR (Wachs, 2017). For e.g. The goal of employee is to reduce the waste so
that productivity can be enhanced. In such type leader can promote their employees in reducing
the use of paper, electricity etc., that can contribute toward the environment of the nation. This
factor has direct and major impact on the stability of firm and business performance. It also has
direct effect on the brand reputation of company.
Business ethics: Business ethics can be describe as the set of values and principle on which the
decision and action of the companies are made. It helps in setting the standard in the firm and
distinguishing between good and bad decision making and behaviour. Its necessary of the Mark
and Spencer to follow a code of ethics as any decision made by them have its impact on the
whole culture of the firm (Mossalam and Arafa, 2016). They are also required to uphold ethical
standard in their own working and while making decision. As manager and leader they may
different codes of ethics but they are required to make sure that they follow all them. Manager in
the firm are needed to make this code of ethics so that they can maintain the standard and moral
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in the firm. Leader on other hand are support employees so that they can follow this codes
accordingly. Business ethics has direct impact on the working environment and business
culture. It has significant effect on motivational level and performance of employees at within an
enterprise.
Stakeholders: The internal and external stakeholders have high power to influence the plans and
policies developed by manager or leaders in an organisation. Among internal and external
stakeholders' customer are the important people those who have high potential to effect business
decisions and business operations. It is very essential for organisation to consider taste,
preferences, needs as well as demand of the customers in the market. These factors are also to be
considered or focused by manager and leader making the decision of the prices, features, taste
etc. of the product and services when planning to develop new product or facilitating
modification in existing items.
CONCLUSION
From above report it can be concluded that in order to attain the main objective its
necessary of the firm to have great operational management that can help them in their working.
Other than this it can also be said that both the leaders and manger are important part of the firm
with different job that are required for proper functioning of the firm. There are many
approaches of operational management that help in increasing the productivity of firm while
reducing the rest. In order to gain success its necessary of Mark and Spencer to improve their
operational management and pay attention to activities like CSR and business ethics.
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REFERENCES
Books and Journals
Aga, D. A., Noorderhaven, N. and Vallejo, B., 2016. Transformational leadership and project
success: The mediating role of team-building. International Journal of Project
Management, 34(5), pp.806-818.
Burke, W. W. and Noumair, D. A., 2015. Organization development: A process of learning and
changing. FT Press.
Dentchev, N. A., Balen, M. and Haezendonck, E., 2015. On voluntarism and the role of
governments in CSR: towards a contingency approach. Business Ethics: A European
Review. 24(4). pp.378-397.
Ferrell, O. C. and Fraedrich, J., 2015. Business ethics: Ethical decision making & cases. Nelson
Education.
Heizer, J., 2016. Operations Management, 11/e. Pearson Education India.
Khanna, R. B., 2015. Production and operations management. PHI Learning Pvt. Ltd..
Kroll, A., 2015. Exploring the link between performance information use and organizational
performance: a contingency approach. Public Performance & Management Review.
39(1). pp.7-32.
Mossalam, A. and Arafa, M., 2016. The role of project manager in benefits realization
management as a project constraint/driver. HBRC Journal, 12(3), pp.305-315.
Qu, R., Janssen, O. and Shi, K., 2015. Transformational leadership and follower creativity: The
mediating role of follower relational identification and the moderating role of leader
creativity expectations. The Leadership Quarterly. 26(2). pp.286-299.
Slack, N., 2015. Operations strategy. John Wiley & Sons, Ltd.
Strizhakova, Y. and Coulter, R. A., 2015. Drivers of local relative to global brand purchases: A
contingency approach. Journal of International Marketing, 23(1), pp.1-22.
Wachs, M. ed., 2017. Ethics in planning. Routledge.
Zhang, D. and et. al., 2017. Energy-efficient distributed filtering in sensor networks: a unified
switched system approach. IEEE transactions on cybernetics.
Online
Kendra Cherry 2017, Situational Theory of Leadership. [Online]. Available through:
<https://www.verywell.com/what-is-the-situational-theory-of-leadership-2795321>.
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