Six Sigma Approach for Operational Efficiency

The assignment requires analysis of a case where Spencer's company needs to adopt a Six Sigma approach to identify operational issues and develop a suitable strategy to meet its goals. The importance of leadership in implementing Lean Six Sigma is emphasized, highlighting the need for effective leaders to drive change and improvement within an organization.

MANAGEMENT AND
OPERATION

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Role and characteristic of leader and managers.....................................................................1
P2 Role of leaders and function of managers apply in different situations................................2
P3 Theories and models of leadership........................................................................................3
TASK 2............................................................................................................................................5
P4 Key approaches to operation management............................................................................5
P5 Significance and value of operation management.................................................................6
P6 Factors that impact on business environment........................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Operation management is the managerial areas which are responsible for the designing,
planning and execution of the business activities. It is the tool that assist in converting the input
into desired output. One of the key objective of the business is to utilize resources well without
compromising with the quality (Antony and et.al, 2016). This principle supports the corporation
in satisfying needs of consumers and enchaining profitability of the organization. Current report
is based on the Marks & Spencer. It is the number one cloth retailer of United Kingdom. It offers
quality fashionable cloths to consumers. Current study will compare role and characteristic of
leaders and mangers. It will apply theories and models of situational, system and contingency
leadership (Antony, 2014). Furthermore, it will explain significance of operation management in
achieving business objectives. In addition, various factors which affect operational management
will be described in this report.
TASK 1
P1 Role and characteristic of leader and managers
Manager is the person who takes charge to manage the business activities in the
company. Individual is the responsible person for controlling and administrating the operations.
On other hand leader is the employee in the organization who leads the group of people in the
workplace (Blum, 2015). Leader has high degree of power to influence others. Managers and
leaders both are essential part of business unit. They play significant role in the corporation.
Marks and Spencer is the leading retail firm which operates its business across the world. It is
essential for the firm that managers and leaders both perform their duties well and contribute
well in accomplishing objectives of the entity (Bolton and Thompson, 2015). Role and
characteristic of managers and leaders in M&S are as following:
Role and characteristic Leaders Managers
Features Leaders of M&S always pays
more attention on innovative
ideas and creativity. They
think unique and always try to
complete the task with the help
of these unique ideas (Griep
Managers can not take support
of innovative ideas because
they are bound to follow
instruction of higher
authorities. They have to
complete the task as per t set
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and et.al, 2016). process.
Concentration Leaders concentrates on
leading people and motivating
them, so that employees can
perform their duties well.
Managers of Marks and
Spencer concentrates on
management of employees so
that if they have any issue so
manager can resolve them
(Hatch and Cunliffe, 2013).
Vision and mission Leaders work to achieve long
term vision.
Managers work for meeting
the short term objectives. They
make short term goal as per
the current situation of the
business.
Values Leaders motivates the workers
so that they feel comfortable
and perform their duties well.
They give more value to
achievement rather than results
(Henkin, 2016).
Managers works for different
values, they pay attention on
results.
Targets Leaders of Marks and Spencer
set activities in a manner so
that future objective can be
achieved. They develop
coordination between team
members so that they can
perform well.
Managers of M&S work for
maintaining healthy
environment in the workplace.
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P2 Role of leaders and function of managers apply in different situations
Leaders and managers both works for the growth of business, working pattern of both
these persons are different from each other. Marks and Spencer is conducting its operations
across the world. It has to deal with many employees and customers (Newman and et.al, 2014). It
is essential for the organization that to perform its operations well and produce quality clothes.
This can support in satisfying needs of consumers. For example marks & Spencer follows tall
organizational structure, in these decisions are taken by higher authorities. Workers are not being
involved in the decision making process. It demotivate the people and they fail to perform their
work in the organization effectively (Nowicka and Vertovec, 2014). Leaders play significant role
in this situation, because they encourage team members and make them aware with the benefit of
this situation. It motivates the staff members and they become positive towards the brand. On
other hand managers have function to motivate team by giving rewards and recognition. Mangers
of the cited firm measure their performance and accordingly individual provides them rewards
and recognition. This formal process encourage the people in the workplace and they feel
motivated. It is the great function which supports the firm in minimizing staff turnover rate (Qu,
Janssen and Shi, 2015).
For example if new technology takes place in the retail sector then it will be necessary for
the M&S to implement it in the workplace. In such condition employee resist changes and do not
accept it easily. Manager's function is here to conduct formal meeting with the staff members and
make them aware with the benefits of changes. Buy this way people will understand the
advantage for them by using these advance technologies. In this situation leaders play the role of
motivator, individual encourage then and boost them for performing well in the organization.
Leaders play the role of negotiator. If any critical situation arise in the business unit then
leader listen point of view of both parties (Roueche and et.al, 2014). After that leader of the
company negotiate so that common decision can come out. This helps in gaining benefit for both
parties and it supports in resolving such type of complicated situation in the workplace.
P3 Theories and models of leadership
There are various leadership theories which help the leaders in managing people well and
improving their working efficiency. These are as following:
Situational leadership
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In the modern era competition is tool high, in such condition firms have to struggle a lot
to sustain in the market for longer duration. Situation theory explains that leaders need to behave
mature and they have to pay attention on task. It describes that leaders of Marks and Spencer has
to change their style as per the requirement of situation (9 Differences Between Managers and
Leaders, 2017). Individual has to focus on organizational requirements and accordingly they
have to adopt their leadership style. For example if there is high employee turnover then leaders
have to adopt participative leadership style. Individual has discussed problems of the staff
members. It will help in identifying their needs and by fulfilling these requirements' leader can
control over the increasing turnover rate. On other hand if people are not performing their duties
well then leader has to behave hard with them (six sigma, 2017). Leader has to give correct
guidance and direction to its employees so that they can perform their duties well. By this way
workers will support the leader and will put their best efforts to perform well in the organization.
It will enhance communication between employees and manager. Situational leadership will
support the leader of M&S in improving profitability and productivity of the organization
Illu
stration 1: Situational leadership model
Contingency leadership
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It is another leadership approach, it explains that leaders have to look at the organization's
situation and accordingly they have to behave in the workplace. Fielder, path goal are several
contingencies theories. Fielder theory explains that leaders have to motivate its team members
and have to create favourable situation for the employees. This can support in improving
business performance (Newman and et.al, 2014). Path goal theory states that correct structuring
of the activities are the responsibility of leader, individual has to develop positive environment in
the workplace so that all people can perform their duties well and they can feel comfortable.
System leadership
It is another leadership approach, it is the theory which is applied by the leaders in the
modification times. Whenever modification require in the existing plan then leader has to apply
this leadership model (Newman and et.al, 2014). This will support leaders of Marks & Spencer
in improving quality of production and increasing profitability of the business.
TASK 2
P4 Key approaches to operation management
Operation management is the process through which manager can control over the
operational activities and can enhance efficiency of the business (Henkin, 2016). There are
various approaches to operation management that can support the leader and manage in
performing their duties well. These are as following: Dynamic approach: It is essential for the Marks & Spencer that to improve operational
efficiency, it can support in sustaining in the market for longer duration. Currently cited
firm is applying traditional methods. For gaining competitive advantage it is required to
adopt dynamic approach (Qu, Janssen and Shi, 2015). This model pays more attention on
the knowledge, contingencies. Learning so that issues can be resolved easily. These
elements will support the business unit in improving its operational efficiency. Six sigma approach: It is another operation management approach, it is considered as
statistical approach in which managers of the organization try to find out loop fall in the
system and find solution to remove these errors. It is considered as one of the best
approach through which M&S can measure quality of its products and services. It
supports in increasing production capacity and enhancing revenues of the firm. With the
help of six sigma approach managers can minimize wastage and can enhance efficiency
level of the operational process (six sigma, 2017). DMAIV and DMADV are two major
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elements through which this process can be completed effectively. Through DMAIV
process Marks and Spencer can analyses customer's needs and can make check list. This
will support in analysing loop falls. By collecting relevant data manager will be able to
make effective strategy through which operational efficiency can be improved.
 Lean production graphics: It is another operational management approach through
which wastage can be minimized in the workplace and manufacturing process can be
improved. It supports the organization in raising business efficiency and minimizing
burden (Blum, 2015).
Role of leaders in operation management
Leaders plays significant role in the operational management process. Leader of M&S
plays role of motivator, they encourage employees and peer group so that they can feel
comfortable in the organization and performance their duties well. Individual play's role of
instructor, leader of Marks and Spencer guide team members, make them understand with their
role and responsibilities. It supports workers in performing their work effectively. By this way
they put their hard efforts to accomplish goal of the firm (Bolton and Thompson, 2015).
Furthermore, leader of the cited firm play role of coordinator. Individual communicate with the
higher authorities and staff members. Employees discuss their problems with the leader and
leader gives them solution of their issues. It supports in creating healthy workplace environment.
By this way employee turnover rate gets decreased to great extent. Leader of the company set
vision and long term goal (Henkin, 2016). They plan activities in such manner so that this long
term objective can be accomplished son. Strategic planning of leaders support the firm in
meeting with their organizational goal.
P5 Significance and value of operation management
Marks and Spencer is the leading retail firm which offers quality and fashionable
products to its consumes. It treats its customers well and try to fulfil their needs. That is the main
reason that clients of the company are very satisfied with the products and services of entity.
Main objective of the cited firm is to enhance profitability and expand the business across the
world. Operation management is the essential business function, it supports the firm in
accomplishing its objectives soon (9 Differences Between Managers and Leaders, 2017). This
process helps the firm in analysing the errors and mistakes and taking action to minimize these
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loop falls. It is valuable and important aspect which assist in increasing revenues of the business
unit and minimizing cost.
With the help of operation management managers of Marks and Spencer can identify
their expenditure and can minimize wastage. It will help in making effective control over the cost
which will support in increasing net profit of the organization (Qu, Janssen and Shi, 2015). It
pays more attention on allotting work and responsibilities to employees as per their skills and
capabilities. That helps them in performing well in the workplace and minimizing mistakes. In
addition, operation management pays attention on production process and proper structuring so
that no confusion takes place and all people can perform their duties well (Blum, 2015). By this
way M&S becomes able to design fashionable cloths and providing quality services to the
valuable consumers.
TOM (Total quality management) is the main element of operation management. It
conducts the operations in such manner so that quality remain maintained and business can gain
long term success. It supports in meeting with the needs of consumers and satisfying them
(Antony, 2014). By this way consumers can become loyal towards the brand and they will
perform well in the organization. TQM process supports in identifying improvement areas,
accordingly manage can make modifications in the operational process so that overall objective
of the firm can be accomplished.
P6 Factors that impact on business environment
Competition is tool high, Marks and Spencer has to face huge competition. In such
condition it has to make such strategy through which cited firm can sustain in the market for
longer duration and can attract customers to wards the brand (Antony and et.al, 2016). There are
various factors which impact on the overall management of the operational functions and
decision making process. These are as following:
Internal factors
There are many elements which are existed insight of the business which impact on the
environment.
 Financial strength: Marks and Spence is the leading brand and has global network. Cited
firm has adequate monitory resources which sup[port the firm in conducting its
operations in smooth manner (Antony, 2014). If entity does not have adequate financial
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resources then it may create problems for the business because in such condition entity
will not be able to fulfil demands of customers.
 Relationship between employees and employees: It is considered as one of the major
internal element which impact on the business environment to great extent. If there is
poor relationship between staff members and higher authorities than people will not feel
satisfied (Roueche and et.al, 2014). They will not perform their work well in such
condition overall business operation will get affected badly. By this entity will not be
able to meet with its objectives soon. Marks and Spencer take care of needs of its staff
members. It discusses issues with its employees, by this workers feel satisfied and they
trust on their managers. It develops strong relationship with the employers and it supports
the firm ion completing its operations effectively (Hatch and Cunliffe, 2013).
 Suppliers: It is another most important element that impact on decision making process in
their M&S. If suppliers do not provide quality material at affordable rates on time
(Newman and et.al, 2014). Then it may create issue for the business because it will not be
able to deliver good and services on time. It may affect brand image of the firm to great
extent.
External factors
Apart from these internal factors, there are many external elements which impacts on the
overall business operations to great extent. These are described as below:
 Corporate social responsibility: Now a days customers like to buy products from the
organization which fulfil its corporate social responsibilities. If entity fails to complete its
duties towards the society then it develops negative image in the mind of consumers. By
this way overall sales volume of the organization gets affected (Henkin, 2016).
 Sustainability: there are many firms which are offering same quality cloths to consumers.
If Marks & Spencer does not make effective strategies then consumers will move towards
other brands. It is essential to make good strategies for attracting consumers and retaining
them in the organization for longer duration. It is the only way through which cited firm
will be able to sustain in the market for longer duration and will be able to meet with its
objectives (Bolton and Thompson, 2015).
Effective time management strategy can support the managers in brining innovative ideas
and creativity in the business unit. By this way manager will be able to improve efficiency level
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and operational capacity of the m&S. By this way entity will be able to produce more products at
minimum time. It will support in minimizing the operational cost and increasing profit of the
organization. Changes in technologies and implementation of advance technology can be
beneficial for the cited firm because by this way it will be able to raise quality of products and
will be able to meet with the needs of consumers (Roueche and et.al, 2014).
Apart from these elements there are many political, technological, social, environmental,
legal factors which impact on the external business environment to great extent. According to
these elements business has to modify its operations so that it can sustain in the market for longer
duration and can meet with its goal (Nowicka and Vertovec, 2014).
CONCLUSION
From the above study it can be concluded that operational management is the essential
function that supports the business unit in improving its operational efficiency and minimizing
errors. By this way profit can be maximized to great extent. Leader and managers both play
significant role in the organization. If they do not perform their work effectively then it may
create consequences and organization will not be able to meet with its objective. Leaders play
role of motivator and instructor., Individual guide people well so that they can perform their
duties well.
Currently Marks & Spencer is facing high competition. Company needs to adopt Six
Sigma approach. It will help in identifying operational issues. By this way manager will be able
to develop suitable strategy through which such problems can be minimized and entity can meet
with its goal.
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REFERENCES
Books and Journals
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Antony, J., 2014. Readiness factors for the Lean Six Sigma journey in the higher education
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Blum, H., 2015. The Upsides of a Negative ReviewExperts explain how online criticism can
actually be good for your practice. The ASHA Leader. 20(10). pp.32-33.
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manager. Routledge.
Griep, Y. and et.al., 2016. The mitigating role of leader‒member exchange when perceiving
psychological contract violation: a diary survey study among volunteers. European
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Hatch, M. J. and Cunliffe, A. L., 2013. Organization theory: modern, symbolic and postmodern
perspectives. Oxford university press.
Henkin, T. M., 2016. Classic Spotlight: Regulatory Function of Leader RNAs.Journal of
bacteriology. 198(5). pp.743-743.
Newman, A. and et.al., 2014. Examining the cognitive and affective trust-based mechanisms
underlying the relationship between ethical leadership and organisational citizenship: a
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Nowicka, M. and Vertovec, S., 2014. Comparing convivialities: Dreams and realities of living-
with-difference.
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.
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Roueche, P. E. and et.al., 2014. Shared vision: Transformational leadership in American
community colleges. Rowman & Littlefield.
Online
9 Differences Between Managers and Leaders, 2017. [Online]. Available through:
<http://www.marksanborn.com/9-differences-between-managers-and-leaders/>.
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