Performance Appraisal and Organizational Culture

This assignment delves into the complex relationship between performance appraisal systems and organizational culture. It explores various aspects such as perceived biases in appraisal processes, potential errors that can occur, and the importance of aligning performance management with broader organizational goals. The analysis draws upon scholarly research and real-world examples to shed light on the impact of performance appraisals on employee motivation, engagement, and overall cultural dynamics within organizations.

Management and Operation

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Different role and function of leader and manager..........................................................1
P2 Role and function of leader and manager in different situation........................................2
P3 Explanation about theories and approaches of leadership................................................3
TASK 2............................................................................................................................................4
P4. Different approaches of operations management ............................................................4
P5 Importance and value of operations management ............................................................6
P6 Factors of business environment.......................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
Management is the one who is responsible for the coordination of the activities in
business so that organisation can achieve its goals (Hofstetter, Harpaz, 2015). Management has
become important part of business. Many companies have accepted management as there part to
gain excellent outcome and results. Management is not just simple coordinating but has its wing
spread far and wide with many branches. This report in particular present deep study about the
operational management and how its accepted by different companies to increase there
productivity and quality of product. The report is made in context of Mark & Spencer Ltd. which
is one of the biggest multinational retailer company in Britain. The main aim of this enterprise is
to increase the quality and productivity of its product while providing the best service to there
customers while also increasing the profit of company. The report studies that how company's
manager and leader adopt operational management to deal with the dynamic nature of business
environment.
TASK 1
P1. Different role and function of leader and manager
Leader or leadership includes a setting a vision or new direction for a group or
subordinates. Leadership is all about knowing your team strength and marking there weaknesses
in most effective, efficient and productive way (avidmehr, Ebrahimpour, 2015). Leader is
important part of organisation who shares his view and make people follow him willingly, and
provide them with information, knowledge etc. (Kim and et.al., 2016). On other hand Manager
or management is someone who direct or control the human resource of company according to
the value or principle that have been set by or established by company.
The manager work as a coordinator or organiser of different activities, which help in
achieving the goals and objectives of company (Ledford, Benson and Lawler 2016). Manager is
responsible for organizations resources, corporate planning, policy making and different activity
to achieve the goal of organisation. Manager is the one who works on organisation level. He is
not only responsible for human resource but also to create the strategy and policy which can
increase the productivity of employee. It helps company to achieve their goals.
Leader is someone who manages a group and work them to achieve the goals set by
management. He is more responsible to come with idea or direction to lead his team. Its main job
is to monitor and assess his team and to look after there constant development. Management
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main aim is to manage the human resource with administration of company so that they can
direct this human resource in order to achieve the goal of company. Leaders is responsible for
the need of team, he looks after them and make sure that all there problems are solved and all
there demands are fulfilled. Leader influence his team by motivating them and feeling them with
energy. A good leader has people following them willingly and able to create respect in the mind
of his subordinates. In below table a comparison between two are made.
Manager Leader
1. Power and responsibility to make decision
while overseeing the enterprise.
1. Responsible only for their team or
subordinates.
2. Create policy or activities to achieve the
objectives of organisation.
2. Create visions, and work toward it, to
achieve the goals set by management.
3. Power to control the resources and influence
them.
3. Uses informal power to influence and inspire
the group.
4. Responsible for maintaining the employee
and work of organisation
4. Responsible for the development of
individual or team.
5 Responsible for promotion, and welfare of
enterprise and providing all the resources to
employee for better productivity.
5. Responsible to motivate the group for
development and increase in there productivity.
6. Point of focus is on system and structure 6. Point of focus is on people or team.
P2 Role and function of leader and manager in different situation.
The role of manager and leader are quite different from each other, but many people use
this two term as synonym, which is not right (Rowold, 2015). Manager and leader both have
defined role and function in company to lead, which must be followed for effective and efficient
working of company. Leader and manager have different responsibility and act according to the
demand of situation. For e.g. M&S Ltd. currently is going through some problem in which
employee's turnover has become major problem. In such situation both manager and leader play
different role and act accordingly.
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Manager is responsible to find the main reason behind this problem, like how many
employees have left company, why they have left the company, what is the reason behind such a
big change. Who is responsible for it. Is it company who is responsible for this sudden shift etc.
Manager after collecting the required information come the conclusion, and start to find the
solution trying to address all this problem. During all the process manager have to keep in mind
that whatever solution he come up with, it does not affect company, or company doesn't have to
compromise at big level. Manager can solve this problem by coming up with new strategies
which can help them to confine their employees. Introducing different policy in organisation,
different activities or change in structure which can please their employees.
Leader role and responsibilities are quite different from manager. It works on human
resource of company by coordinating and motivating them. In above context leader works to
make the company environment more comfortable for the employee. Leader try to motivate and
inspire the employees and help them to increase there efficiency and productivity. Team leader
act as mediator between employee and management. Employee's approaches the team leader first
with any problem. Team leader act both way, he listens to employee's and try to solve their
problems and also help management to come up with new strategy which can be in benefits of
both employee and company. It also acts as a communicator, leader are the one who
communicate and explain company action to employees. For e.g. what new strategy or policy
company has come up with, how employees have to abide by these rules, how the new policy
can benefits them. This all are done by leader to have proper communication with employee's
and creating the link between these two. It shows that how different leader is from manager,
having totally different function and role in different situation. The main difference between
these two is one manage thing while other lead people. (Agarwal and et.al., 2012)
P3 Explanation about theories and approaches of leadership
An efficacious leadership require great skills and quality to connect with people, aiding to
there need and act according the demand of situation. Leadership theory had become demand or
need of new employee's to meet modern trend (St‐Jean, 2012). There is emergence of different
theory for quite some time, each theory have their own idea which can help leader in different
situation.
The situational theory of leadership is of the view that there is not a single theory which
is best and applicable to each and every situation. (Park and et.al., 2014). It suggests that
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leadership all depend upon the situation present to the leader, what type of strategies and
leadership will be most useful for the situation at hand. According to situational theory the great
and effective leader is the one who can adjust or change his style to the present situation, keeping
in mind the nature of task given, groups and other factor which may contribute to task (Arnulf
and et.al., 2014). M&S Ltd. is a big organisation who goes through different crisis every day, at
such time situational theory is most useful as it encourages person to act accordingly.
System approach to leadership is an inclusive or comprehensive approach which is
designed to answer two major question that is sustainable leadership and organisational
development (Iqbal and Sharma, 2012). This methodology is used to tackle the issue of
sustainable development of leadership and organisation. System approach work to optimize
organisational entity which include all, team, individual etc. to have more sustained performance.
This approach is based on set of foundational assumption that are inherently unknowable, highly
interconnected, related to mind and consciousness and probabilistic. These assumptions give this
approach high coherence level which help them in uncertainty and complexity.
Contingency leadership theory, is an organisational theory that believes that there is no
perfect way trough which a corporation could make decision, could organise, or could be lead. It
suggests that most favourable action is contingent or dependent on the situation which may be
internal or external. A contingent leader work according the situation (Ghosh 2015). This theory
is characterized by following factor. First, leader member relationship, there must be strong
relationship between leader and its subordinate. It helps to create the feeling of trust, loyalty and
confidence in subordinate for there leader. Second, Task structure it related with task clarity,
leader must be clear with the task, he must set goal for employee's so that they could accomplish
there task efficiently. Last, The power or position, it talks about how much power a leader have
over the team to provide them with reward and punishment it need. This factors helps leader to
make situation in his favour(Dietrich, R., 2016). Contingency theory can be very useful for M&S
Ltd. for there current crisis of employee turnover as it emphasis on leader - subordinate
relationship and communication.
TASK 2
P4. Different approaches of operations management .
Operational management is a practice which helps in, to create the highest level of
efficiency in organisation. It helps in to convert the company resources into services to maximize
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the profit of organisation. It balances the cost of revenue to achieve the highest net operating
profit. It works on the principle on using the least amount of resource to meet customer demand
and keeping the standard economic viable (Harwiki, 2013). Operation theory work on four
approaches, Six Sigma, Lean production, Queuing theory and Total quality management.
Operational management has become important part of management M&S Ltd. has also accepted
it as part of there management so they could use minimum resources and can increase there
productivity.
Six sigma work on improving the quality of production in corporate by reducing the cost
and eliminating errors and defects, to save time. Six sigma work with the support of executive if
its not supported by higher power the chances of its fail increase. It emphasis on understanding
of business value. It works in short term project, where to tackle different problems different
projects are made. It main aim is to reduce or prevent error in the process which will lead to
reduce in the defect of product. M&S Ltd faces many problems, to tackle every thing together
became a hassle, it can adopt this method and create the small project for each problem which
can help to improve the quality of product and also reduce the waste.
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Illustration 1: Six Sigma
(Source: six sigma. 2017)

Lean manufacturing work to minimize the waste in manufacturing system without
compromising the productivity of company. It also addressed the waste created through
overburden and unevenness in work load. M&S Ltd. can use method to reduce the waste because
of work overload which help in increasing the productivity and efficiency of company.
Queuing Theory is an important part of decision making in organisation. It helps to
predict the queue length and waiting time. It has emerged as a branch of operation research
because its result are used in decision making about the resources needed to provide a service. It
betters to have some prediction or idea on what we are dealing with, it helps company to keep a
record on there resources.
Total quality management deals with the wide effort made by organisation in order to
create an appropriate environment which continuously improves it capability to deliver high
quality product. In this whole organisation come together and function to improve the quality of
product. M&S Ltd all come together to improve the quality of there product as this management
deal with quality control.
P5 Importance and value of operations management
For improving qualities in products and services provided by Marks and Spencer,
operation management plays crucial role. For example; in analysing actual financial and non-
economic performance of the enterprise for decision making on further operations. Including
this, it remains helpful for formulating and implementing strategies for business operations in the
future time period. Along with this, it is useful for increasing productivity and profitability of the
entity as well competitive strategies on large scale that affect demand for groceries and food
items of the organisation (aur, and Haase, 2015). In this regard, importance of management
operations for retail sector entity regarding enhancing efficiencies can be expressed by using
following tools mentioned below:
 Goal oriented strategy: Management and operation strategy is effective for preparing
planning and implementing it. However, on the basis of analysing actual performance of
the organisation, further goals are set including cost to be incurred on business
operations, time consumed in activities etc. It is beneficial for optimum utilization of
resources and fund. It influences productivity and profitability of the enterprise also
linked with profitability and competitive strategies. Thus, management operations are
useful for decision-making and enhancement of business activities efficiently.
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 Utilization of resources and fund adequately: It is considered that management and
operation approach plays efficient role in allocation of resources and fund efficiently.
Therefore, balance between production and distribution can be maintained that affect
profit earning capabilities and implementations in enterprise's activities. Thus, proper
management of entire business operations can be gained related with further
implementations effectively.
 The perception into quality management : the quality management of the products and
services provided by the company ' Marks and Spencer' is done to satisfy the given needs
of the customers. Quality is conformance to requirements with the emphasis on zero
defects. The customer need and the expectations to be satisfied with the assumption to
improve the quality of the products and services. Marks and Spencer has made some rules
and regulation which they called as 'golden rule' to take the ownership to help their
customer in quality issues of the products and services. Staffs at Marks and Spencer
follows three principles when serving customers:
 Acknowledge every customer with a hello or a smile
 Build a relationship by talking and interacting with the customer Some feedback is taken through the online surveys and some from the personal survey to
improve the quality of M&S.
Cost of the quality improvement : the cost relates to association of the quality of the
product and services of the M&S. In addition to this the cost incurred in correcting the defective
items are higher than compared to the cost incurred to the manufacturing. All the cost included
defective products and the production cost turns in the internal failure and creates the loss of
company's brand image (Javidmehr and Ebrahimpour, 2015). The appraisal costs are those cost
associated with the fulfilment of the criteria of quality to meet the specification which the
included person for inspection, testing and sampling of the material.
P6 Factors of business environment
Business environment include all the factors which affect the functioning of company. It
includes all the internal and external factor such as employee, customer, business regulation etc.
The external factor are those factor which are beyond the control of organisation, and affect the
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nature of business these factors are Govt., competitors, technology customer etc. (Agarwal and
et.al., 2012). This environment plays an important role in business decision. Business envt. is
something which keep changing its difficult to predict future happening and economic and social
change. M&S Ltd had to go through many problems because of the dynamic nature of the
business environment. The following factor affect the decision of company.
Stakeholders play an important part in decision-making. Stakeholders includes all those
people who get directly or in directly influenced by the decision made by company (Arnulf and
et.al., 2014. ) It includes customer, employee, Govt., suppliers etc. When the company come up
with any new strategy or idea they have to keep these people in mind. For e.g. If company is
trying to introduce new product in market, then they have look upon the effect it will have on
their customer. Whether the customer will accept this new product or not, how will it impact on
the image of company etc. Suppliers play quite significant role as they are the one who supply
raw material to company. Before introducing the new product, company have to make sure that
they have good supplier to meet there need. They have to find a supplier who can provide them
with quality product at lower price. If the organisation is considering to continue with their older
supplier than firm have to agree with there price demand and other needs. Govt. also play the
major part in decision making, the rules and regulation made by Govt. must be followed by the
company. For instance if company introduce new leather product in market, and at the same time
Govt. come up with new policy to stop leather market, than company remains with no choice
other than to accept the decision and stop manufacturing the product. If company decided to go
against the Govt. not only it has to face legal conflicts but it will also cost company its brand
name in market. Employees also get majorly affected by the all the decision made by company.
With new product line, the work load of employee will increase which may lead to employee
dissatisfaction. Furthermore, if you don't have competent worker for your new product then you
have to hire new employee which will add cost to company.
Above are the components which can be taken under consideration by leader and
manager before making any decision.
CONCLUSION
The above report is about Management operation giving detail knowledge about the
different roles that managers and leaders play in an organisation. Divulging into operational
management and its key approaches and how they help in increasing the productivity and quality
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of the product in company. It discusses about the significance and value of operational
management and how its accepted as a new branch of management. From this report it also has
been concluded that unpredictability of business environment has great impact on decision
making and company should consider them before taking any decision.
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