Role of Leaders and Managers in Operational Management

This presentation explores the key approaches and roles of leaders and managers in operational management, the importance and value of operational management in achieving business objectives, and the factors within the business environment that impact operational management and decision-making. Using the case of Marks and Spencer, it discusses different models and theories used by leaders to motivate employees and increase productivity. The presentation also highlights the impact of internal and external factors on operational management and decision-making.

MANAGEMENT
AND OPERATIONS

TABLE OF CONTENT
 INTRODUCTION
 Key approaches and roles of leaders and manager
in operational management
 Importance and value of operational management
in achievement of business objectives
 Factors within business environment that impacts
upon operational management and decision-
making of leaders and manager
 CONCLUSION
 REFERENCES

INTRODUCTION
 Operational management is a related to management of various operation
activities such as concerned with conversation of raw material into goods
and services for maximizing profit margin of the company.
 Marks and Spencer is a British retailer that operates its business across
various nation and is specialized in selling qualitative clothing, home and
food products to its customers.
 Different roles and characteristics played by leader and manager to
influence employees for achievement of Marks and Spencer objectives.
 Different models, theories and approach such as situational, system and
contingency leadership used by leader of company to motivate employees
to increases its productivity and performance.

KEY APPROACHES AND ROLES OF LEADERS AND
MANAGER IN OPERATIONAL MANAGEMENT
 “Operational management is administration of
business practices for effectively utilization of raw
material by converting it into finished products.”
 “On the other hand as per it is concerned
with planning, organising and supervising
production, manufacturing of products and services
as effective for maximising profitability of
company.”

CONT.
 Various approaches used by M&S for effective utilisation
of raw material and achievement of company goals are as
follows:
 Just in Time: It is management strategy that help in
production of goods and services on time with
achievement of set targets. M&S manager use inventory
strategies to increase efficiencies and reduce wastage by
ordering raw material as per requirement in production
process. Leader motivate employees to work effectively.

CONT.
 TQM: It is continuous process of detecting and eliminating
various errors that occur while manufacturing of products
thus improving customer’s experience. Manager supervises
and monitor various activities in order to maintain quality
of all product while producing goods and services in
limited time. Whereas leader by providing good working
environment and attractive compensation benefits to
motivate and influences employees to maintain quality of
product to satisfy needs of customers in effective manner.

CONT.
 Lean Production: It is the method that is used to minimise
wastage of company while ensuring quality of product thus
increasing profitability and sales of company. This theory
explains various methods that can be used to get better
result or output at minimum cost by reducing wastage and
enhancing productivity. Manager by arranging various
resource and planning for training and development of
employee skill and knowledge so that they can produce
quality product at minimum cost or without wastage.

CONT.
 Thus, it can be stated that role of manager in operational
management is to hire, recruit and select most appropriate
candidates for effective utilisation of resource and
achievement of goals. It is also responsible for arranging
resource as per skill and potential of employees and
training and development program so that employees can
easily use various update technology. Therefore
manufactures products with minimum wastage.

LEADERSHIP STYLE
 Leader use autocratic leadership styles to motivate
employees for achievement of organization goals. It
has use Lean production approach to maintain
standard and quality of products and services and
minimize waste production so that M&S can increase
its profitability and sales volume by reducing price of
qualitative products to attract customer. Leader
trained and motivate employees to work effectively
whereas manager of M&S arrange update technology
and training program to enhance knowledge of
people.

IMPORTANCE AND VALUE OF OPERATIONAL
MANAGEMENT IN ACHIEVEMENT OF BUSINESS
OBJECTIVES
 Operational management is concerned with planning,
organising process of production and redesigning business
operation for manufacturing of goods and services. Every
company is established for earning profit by selling
products and services to customers so operational
management helps in effective utilisation of resource.
Operational management perform various function such as
arrange finance, supervise operation, plan strategy, prepare
product design and maintain quality of products.

CONT.
 Improves Employees productivity: Operational
manager by continuous monitoring and
supervising activities of employees working in
organisation helps in improving performance of
individual. Leader and manager of operational
management trains and educate people for better
performance.
 Increase value of goodwill: It helps in
enhancing goodwill of company by ensuring
quality of products and services to be delivered
to customers.

CONT.
 Optimum utilisation of resources: It helps in optimum utilisation of
resource by converting raw material into finished products. M&S manager
by forming appropriate strategies and continuous supervision and
monitoring is able to make effective utilisation of available resource for
attainment of company objectives.
 Motivates employees: It also helps in motivation of employees towards
their role and responsibilities to work effective. Operational management
of M&S by providing good working environment and definite roles and
responsibilities is able to reduce conflict and coordinate effort of
individual towards organisational goals.

CONT.
 Thus, it can be stated that operational management
helps in achievement of organisational objectives by
ensuring various activities of company are performed
as per plans. It also helps in finding deviation and
taking corrective measures for attainment of
organisational goals. Therefore, it can be stated that
operational management plays an important role in
achievement of objectives of Marks and Spencer.

ROLE OF MANAGER AND
LEADER
 Manager of operational management plans, ,
identify various sources and arrange techniques for
effective utilization of available resources. Leader
influence employees to take training, work in
coordinate manner for effectively utilization of
resource. Therefore helps in reducing wastage of
time and effort in unnecessary things and
achievement of Marks and spencer goals. Both role
and responsibilities are different one arrange
resource and other effectively utilize for growth and
success of company. So both leader and manager
are important in influence individual behavior.

FACTORS WITHIN BUSINESS ENVIRONMENT THAT
IMPACTS UPON OPERATIONAL MANAGEMENT AND
DECISION-MAKING OF LEADERS AND MANAGER
 Pestle Analysis
 Political factor: UK is facing a situation of political
instability thus increase debt of government and people living
the society. It also lead to increase in price of products thus
operational management has to consider such factors while
performing its function. Cost of production increase so
operational manager has to plan arrange resource at affordable
price whereas leader has to motivate employees to minimise
waste production.
 Social Factors: Due to Brexit economic condition of UK is
facing recession thus people are less willing to make purchase
of qualitative products and services at high prices.

CONT.
 Economical Factors: Due to recession and high employment rate in UK
government of country is forcing M&S to recruit number of people in the
organisation. Thus manager of M&S can easily hire large number of employees
at affordable price which helps in reduction of production cost and enhancing
profitability of company.
 Technological Factors: Due to continuous change in technology and customer
preferences M&S has plan to market its product through social media and use
innovative techniques to attract large numbers of customers. M&S manager
will plan for training and development of employees and leader will coordinate
effort of individual for effective operation of business. Thus, innovative
technology helps in reducing wastage and production cost of company.

CONT.
 Environmental Factors; It also impact on operational
management of company as it has to manufacture products and
services while ensuring protection and safety of environment.
Manager will ensure that minimum wastage of raw material
and leader will motivate employee to work effectively.
 Legal Factors; Operational management of company has to
ensure legal laws made by government for effective operation
of business. Leader will ensure health and safety of employee
and influence on equal basis to all employees.

CONT.
 SWOT Analysis
 STRENGTHS
 Brand: Marks and Spencer's brand image and perception in the market is exceptional amongst
the competition.
 Cash Flow: M&S have good free cash flows which enable the company to expand into new
markets and products.
 Innovation: M&S lead the industry in product development and innovation.
 Based on these strengths, M&S's operational management and leadership should
continue their operations while paying attention not to ruin brand perception and image.
 WEAKNESSES
 Investment: With their large scale of operations and diverse markets, M&S need to invest
more into current technological advancements (Gürel and Tat, 2017).

CONT.
 OPPORTUNITIES
 Technologies: Installation of current technologies and machinery such as self-checkout
counters provide huge potential opportunities to M&S.
 International Markets: Expansion into new international markets provide huge opportunities
to M&S to grow their operations.
 Based on these opportunities, M&S's operational management and leadership should
invest into self-checkout counters as their implementation would decrease staffing costs and
increase operational efficiency, productivity and profitability in the long run.

THREATS
 Substitutes: Alternative/ Substitute and counterfeit goods similar in functioning and design
to M&S products

CONCLUSION
 From the above presentation it can be concluded that
operational management plays important role in growth
and success of business.
 It can also be explained that roles and function of
leader and manager are different in an organisation.
 Leader motivates employees to work effectively
whereas manager plans for growth and development of
people in the organisation.
 Both internal and external factors of environment affect
on function of operational management and decision
making of leaders and manager of Marks and Spencer.


REFERENCES
BOOKS AND JOURNALS
 Olukanni, D.O. and Aremu, D.O., 2017. Provisional evaluation of composting as
priority option for sustainable waste management in South-West Nigeria.
 Chakurkar, P., Mukhopadhyay, D. and Babu, B. V., 2018, November. An
Efficient Way to Manage Constrained Devices in Internet of Things. In 2018
IEEE Global Conference on Wireless Computing and Networking
(GCWCN) (pp. 64-69). IEEE.
 Ma, P. C., 2017. Management responding strategy to customer online reviews: a
case study of hotels in Taiwan (Doctoral dissertation, Massachusetts Institute of
Technology).
 Rastogi, A., 2019. Packaging: Customer's preference for sustain able supply
chain. Annals of Horticulture, 12(2). pp.157-160.
 Ibrahim, E .B. and Harrison, T., 2019. The impact of internal, external, and
competitor factors on marketing strategy performance. Journal of Strategic
Marketing, pp.1-20.
 Kuznetsova, S. and Markova, V., 2017. New challenges in external environment
and business strategy: The case of Siberian companies. In Financial
Environment and Business Development (pp. 449-461). Springer, Cham.

REFERENCES
BOOKS AND JOURNALS
 Olukanni, D.O. and Aremu, D.O., 2017. Provisional evaluation of composting as
priority option for sustainable waste management in South-West Nigeria.
 Chakurkar, P., Mukhopadhyay, D. and Babu, B. V., 2018, November. An
Efficient Way to Manage Constrained Devices in Internet of Things. In 2018
IEEE Global Conference on Wireless Computing and Networking
(GCWCN) (pp. 64-69). IEEE.
 Ma, P. C., 2017. Management responding strategy to customer online reviews: a
case study of hotels in Taiwan (Doctoral dissertation, Massachusetts Institute of
Technology).
 Rastogi, A., 2019. Packaging: Customer's preference for sustain able supply
chain. Annals of Horticulture, 12(2). pp.157-160.
 Ibrahim, E .B. and Harrison, T., 2019. The impact of internal, external, and
competitor factors on marketing strategy performance. Journal of Strategic
Marketing, pp.1-20.
 Kuznetsova, S. and Markova, V., 2017. New challenges in external environment
and business strategy: The case of Siberian companies. In Financial
Environment and Business Development (pp. 449-461). Springer, Cham.