Management and Operations Report

This report examines the roles of leaders and managers in Tesco, a leading multinational retailer. It explores the differences between leadership and management, analyzes different leadership theories and models, and investigates the importance of operations management in achieving organizational objectives. The report also identifies factors that impact operational management and decision-making.

Management and Operations

Table of Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................4
P1. Differentiate between the role of leader and function of Manager..................................4
P2. The role of leader and function of manager in different situation...................................7
P3. Different theories and models of leadership....................................................................9
LO 2...............................................................................................................................................12
P4 Role of leaders and managers in the operation function of organisation: ......................12
P5. Importance and value of operations management in achieving objectives of organisation :
..............................................................................................................................................14
P6.Factors which has an impact on the operational management and decision making of the
leaders and managers:...........................................................................................................16
CONCLUSION: ............................................................................................................................18
REFERENCES..............................................................................................................................19

INTRODUCTION
Operation management refers to administration of business practice in the organisation t create
the highest efficiency level in performing the task. It is a method of converting material and
labour in finished goods and services. Tesco is a multinational company who provides goods
and services to the customer. It was founded by Jack Cohen in 1919. Tesco is one of the
leading retailer company and deals in food, beverages, grocery etc. This report highlights the
role of leader and manager in the organisation. It explains the role of leader and manger in
different situations of the organisation and find the way to improve the organisational
relationship. It also explains the different leadership style and theory and the advantages and
disadvantages of different styles. It focuses on the manager and leaders role in operational
function of the organisation. This report highlights the relationship between the management
and leadership in business environment. It explains the factor which affect the decision of
leader and manager in operational management.
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LO 1
P1. Differentiate between the role of leader and function of Manager
Leader : leader are the person who direct the employees in the organisation to achieve the
goal. They influence the employee's by creating a clear vision and motivate employees time to
time and provide the training and development programme to enhance their work ability and
achieve the organisational goal with individual goal. Leader requires at all level and work as a
representative of the organisation.
Manager : Manager is a person who create goal for the organisation and formulate the
strategies to achieve the goal. The function of manager is planning, organising, staffing
controlling and directing the organisational activities (Legood and et.al., 2016). Different
managers play different role in the organisation like top management create vision and mission
for the whole organisation, functional manager control the different functional area like sales
and marketing, finance, etc.
Basis Leader Manager
Vision / goal Leader create vision for the
whole team and direct the team
to achieve the vision. They
define the activities, work
place, environment, culture to
the employees and share their
vision to the employees to
integrate the value, belief and
actions. They motivate the
employees to feel valued in the
organisation. Tesco motivate
the employees and encourage
them to participate in
organisational activities and
decision making process
Manager create goal for the
organisation. They focus on
the setting and measuring the
goal. They control the
activities and situation of the
organisation to exceed or reach
the objective. Manager of
Tesco works to become a
leading retail company and to
provide their services and
product to the whole world.
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through the leader. It
encourages employees to feel
valued in the organisation and
work toward the common goal.
Risk Leader take risk for the growth
of the organisation. Leader
uses the conflict as an asset for
the organisation. They take it
as an opportunity to create the
new ideas and competitive
skills. In Tesco, leader take the
risk of applying innovative
ideas in their product and
always use different style to
capture the attention of the
consumer.
For example Tesco innovate
the products to capture the
customer and take risk of
acceptability of the product in
the market.
Manager controls the risk in
the organisation. Manager
avoids the conflict and try to
harmonise the situation. In
Tesco, manager control risk
for the stable profit and
productivity.
For example Tesco use the
feedback from the consumer
strategy to evaluate the
performance and control the
risk in the market.
Build relationship/system Leader build relationship in
the organisation. Each
employee work for achieving
the own goal in the
organisation. Leader work as a
link between the organisation
Manger builds the system and
process in the organisation.
They plan the activities,
organise the work and assign
the task to different
departments and functional
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and the employee (Daly,
2017). They integrate the
organisational goal with
individual goal. Leader try to
coordinate the employee's
effort toward a common
purpose and to achieve the
goal. They influence the
employee, coordinate their
activities and urge them to
achieve the target. Tesco
influence their employees to
achieve the sales target and
increase their sales by
providing the goods and
services at lower cost and
become a leading super
market.
area.
Coach /direct Leader work as a coach or
teacher for the team member.
They coordinate work with the
employees and provide
solution to their problems.
Tesco organise different
training and development
programme (Nawaz, Khan,
2016). Leader evaluates the
performance of each and every
employee and provide training
according to the need of the
Manager directs the employees
to work in efficient manner
and delegate the work to them.
In Tesco, manager direct the
employees and assign task to
them. They recruit the right
person for the right job.
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employee.
Execute strategy Leader executes the strategy of
the top management in the
organisation. They direct the
employee to achieve the goal
and formulate the strategy.
They also control and monitor
the employees activities in the
organisation and give feedback
to the employees to improve
their work efficiency. Tesco
provides many tools and
techniques to the employees
and leader evaluate the tools
and performance of the
employees.
Manager formulate strategy for
the employees. They provide
the tools and techniques to the
employees but leader help the
employees in applying these
tools and techniques in their
work.
Style Leader uses the
transformational style.
Manger uses the transactional
style.
Aim The aim of the leader is the
growth and development of the
employees. They work for the
employees personal growth.
The aim of manager is to attain
the desire result. They work
for the organisation and
achieve the target.
P2. The role of leader and function of manager in different situation
There are different situations arise in the organisation where manager and leader has to take the
important decision and to use the different strategies to resolve the problems. The situation
are :
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Stable situation : In stable situation in changing environment Tesco leader and manager
regulate the day to day activities of the organisation and the external environment to find the
variation and improve the performance of the organisation.
Less to moderate situation : In less to moderate situation the manager and leader of Tesco try
to change their strategies to match with the changing business environment.
Highly change situation: In highly change situation the Tesco leader and manager train their
employees to adopt the changing environment and cope up with the market.
Change in technology : It refers to change in the process to increase the productivity and
profit without any change in the input. For example the innovation of 4 G networks help to
smooth operation of the activities in the organisation. It improves the communication and
transportation system. It also helps to provide the goods and services to the customer on time
and increase the satisfaction level of employee.
Role of manager and leader in technology change
Manager and leader play an important role in changing technology. They organise the training
programme to train their employees to learn the new technology and work on them. It helps the
organisation to retain in the market and competition (Responsibilities of Managers, 2017).
Technology provides a digital platform to Tesco to provide their services and goods online and
quickly resolve the customer problem via email. It also improves the delivery system of Tesco.
Tesco use the robot for the delivery of the product. Robot has an GPS system and cameras
which detect the address and deliver the product on time. It was made to reduce the customer
problem and deliver the goods on time without any barriers like traffic and employee retention.
Manager and leader direct the employees to work on the new technology and save their time in
operational and maintenance of activities. Leader teaches the employees to work on the
computer system and on new software to make their work easy. It helps the employee to
maintain the inventory, order level, salary slip etc.
Labour retention : labour retention means the ability of the firm to maintain their work force
and retain the employees in the organisation. For example the retention rate is 85 % in the
organisation which means the 85% employees work in the organisation for a given period.
Role of manager and leader
8

To maintain the employee level in the organisation manager and leader use different strategies.
Tesco leader motivate their employees to increase their work efficiency and feel valued in the
organisation. They also provide different incentives, bonus and involve employees in decision
making process to increase their motivation. They encourage the employees to give their
valuable suggestions and ideas in the organisation. It develops self belongingness among the
employee's and decrease the turnover level. Manager formulates different strategies like work
life balance, recognitions and rewards, employee compensation, on boarding and orientation
etc. It provides the growth area to the employees and retain them in the organisation.
Conflict in the organisation
Conflict arises due to the dissatisfaction of the employees to the working environment and
management. It is caused by the difference in the actual and perceived outcomes. Employee
perceive to fulfil their needs, demand in the organisation to achieve their personal goal and
when they not achieve this goal, then they dissatisfied and this create conflicts among the
employees and management.
Role of manager and leader
To maintain the coordination and peace in the organisation and solve the conflict manager and
leader play an important role. Leader communicate with the employees regularly and try to
understand their problem and provide different solution. Tesco use the balance score card
technique to evaluate the performance of the employees and appraise their work according to
the score by different way like promotion, bonus, rewards and recognition. Manager control
and evaluate the performance of the employees. It helps to create the equity in the organisation
and reduce the conflict. Tesco provides the communication skills training to the employees to
reduce the conflict. Leader helps the staff to maintain the positive work environment and
implement the team building activities to improve their team work. Manager clear the goal and
objective of Tesco to the employees to work towards a common goal. They treat each and
every employees fairly in the organisation.
P3. Different theories and models of leadership
Situational leadership : It is based on followers and leader relationship. Leader must be
adaptable to choose the different leadership style in different situation. This model also known
as Leadership life cycle theory. It is based on the task behaviour, maturity level and
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relationship behaviour factor. It is based on the use of leaders personal skills and ability to lead
the current situation. Leader should adapt to the current situation at a time (Meier, 2016).
Tesco use the situational leadership style to solve the current problems in the organisation.
Leader use their skills to solve the problem and change their strategies according to the
situations.
Advantages of situational leadership
 Situational leader create a comfortable environment for Tesco employees. They
create comfortable environment to perform the duties effectively and efficiently. It
helps leader to motivate the employees by meeting their needs and demand.
 It helps in individual development of the employee. Situational leader evaluate the
competency of each and every employee individually and then boost the motivation of
the employee. It increases the productivity of Tesco by maximize the individual output
in the team.
 It increases the team efficiency of Tesco. The situational leader help to find a common
place for each member to perform their task which ultimately reduce he conflicts in the
firm.
Disadvantages of situational leadership
 Situational leader focus on the current situation and need rather than to focus on the
long term needs. They try to meet the current objective which ultimately affects the
future goal.
 It is based on the skills of the leader. If leader are able to understand the needs of the
employees of Tesco than it will be useful but if leader was not able than the leadership
style was not productive for the firm.
System leadership
System leadership create condition where all level employee can work productively for their
potential. It creates the healthy relationship in Tesco to meet the organisational goal. It
provides tools to the leader to predict employees behaviour in their organisation. It also helps
to build the effective system in the organisation to create the productive behaviour and to
increase the production and profit of Tesco.
Advantages of system leadership
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 It leads the system leader to increase the productivity of the organisation. They
delegate the work to the employees efficiently and control their activities to get the
productive result. They assign the task according to the ability and skills of the
employees to get desired profit and increase the sales.
 System leader boost the morale of the employees of Tesco by coordinate their work
and provide an efficient plan to do their task.
Disadvantages of system leadership
 Some time system leadership approach seems to be unpractical because it cannot be
easily and directly apply to solve the practical problem.
 System leadership approach is rigid in nature. It cannot be changed easily with change
in the environment. Tesco is a service industry, these approach only useful for the
manufacturing industry because service industry required to adopt the changes in
external environment.
Contingency leadership
According to the contingency leadership theory there is no perfect or best way to organize the
activities. It helps to find the best match between the leader and the situation (Fiedler, 2015.). It
suggests that situation is characterised by assessing different factors i.e. relationship between
the leader and the member, task structure and the authority of the leader to reward or punish the
followers. It helps to take the right decision in different situation. In contingency approach
leader focus on the current circumstances and prepare their plan and strategies to adapt the
environment.
Advantages of contingency leadership
 It is adaptive in nature that means leader can change their plan and strategies
according to the current situation and help Tesco to manage and maintain their work
environment.
 It widened the scope of leadership in Tesco. It gives the importance to leader skills,
ability, knowledge and understanding regarding the conflicts and problem in company.
Disadvantages of contingency leadership
 It is a complex approach and not suitable for every problem and situation. It is not
always suitable for the practical problem.
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 It is reactive in nature. Some time the Tesco leader can not handle it and it also suffers
from in adequate literature.
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LO 2
P4 Role of leaders and managers in the operation function of organisation:
Operation management means to utilize resources such as staff, equipment, technology
and material in order to deliver goods to the clients according to their needs. The operation
management function is to transform raw material into finished products, scheduling of work,
capacity management, and process design.
There are three approaches to operation management :
I) Total Quality Management: It is an approach which focuses on quality improvement of goods
and services with the help of taking continuous feedback. The basic principles of total quality
management is to focus on customer, employee involvement, Process centred, Integrated system,
Strategic and systematic approach, communication and continuous improvement.
II) Just in time inventory : In order to increase efficiency of the employees and decrease the
amount of waste generated in the production process(Filippini, Forza, 2016).
III) Continuous improvement approach: Kaizen is a tool to improve productivity, safety and
quality in work place. It focuses on applying small changes on a daily basis which will result in a
major improvement over time.
IV) Six sigma approach : It is an approach which is used for the continuous improvement by
elimination of defects in service, product or process. Every project in an organisation done on the
basis of six sigma follows a sequence of steps and each step with a specific target for example:
increasing profit, reduce pollution, reduce cost etc.
V) Lean manufacturing approach: Lean manufacturing represents the company philosophy
which emphasize on reducing waste to increase the profitability of the organisation. The lean
manufacturing approach is also known as Toyota production system. There are some ways which
can be used in lean manufacturing system and which is common philosophy of the organisations
are : eliminating waste, reduce unnecessary inventory, shorten production cycle, reach out to
suppliers, take customer feedback, to ensure quality of product and giving quick response.
The TESCO has used the approach of total quality management in order to maintain its position
in UK market. It does not focuses on to increase quality of service but it also focuses on
maintaining quality for continuous customer satisfaction. It ensures to provide product and
services that is free from any kind of wastes, accidents and defects(Ross 2017). In order to

maintain a quality in an organisation TESCO has a team of highly skilled employees in human
resource department which make sure to maintain quality of services to be offered to the
customers. Every day the staff has to appear in a meeting to discuss new ideas in order to
maintain the total quality management. The company has framed its policies such that which
ensures the quality of services, to make sure that the product and services provided by the
suppliers should be without defect and the product and service should meet the quality standard.
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Leaders in an organisation should be active as the leadership style ensures the success of the
organisation therefore it is recommended that an effective leader should be employed in an
organisation. Because the leader is the representative of the organisation as they have to conduct
seminars, general meetings, and conferences etc. As leaders is responsible to make work done by
the team members the leaders should express their thoughts, opinions and feelings to the team
members. A leaders should act as a guide for their team members. The leader is responsible to
motivate the employees and direct the work of the employees toward achievement of
organisational goal.
As it is the responsibility of manager to ensure proper functioning of the system the manager of
TESCO perform following functions:
In order to avoid sale of faulty goods the manager of Tesco checks the expiry dates of goods
regularly . Tesco has a temperature regimes of +1 degree C chambers to prevent the food from
rotting.
To ensure that the suppliers are providing healthy goods and maintaining the hygienic condition
while preparation of food the company conducts a periodic visit to the suppliers.
The managers ensures that whether the resources are utilized properly or not . They ensures
whether all the resources are used in effective manner to give better results to the clients or not.
While role of leader in an operation management is to motivate the team to meet the demands of
the client. As in Tesco the leadership style is autocratic where the employees are monitored
constantly by the leaders. Because it is believe that the employees are pressurised to take the task
therefore they have to be monitored in order to get the better results.
P5. Importance and value of operations management in achieving objectives of organisation :
Importance of Operation management : There are 6 main functions of the operation
management
Control and distribution systems : The operation management should ensure that the required
activities are been performed within the organisation to consistently meet the goal of the
organisation in an effective and efficient manner.
Transformation of raw material into finished goods : The one of the main function of the
operation management is to transfer raw materials into finished goods.
Process design: The process design means the process of converting raw material into finished
goods. The product and service designer are free to operate as they wish.
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Capacity management : The operation management should ensure that the potential activities that
has to be performed to give the better outputs. Capacity measures that how much a company can
achieve, sell or produce in the given time period.
Logistics and Inventory management : The details regarding the new products or returned
products should be managed.
Scheduling : It is the function of operation management to arrange, control and optimize the
work and the workloads in the production system.
Operation management is important for every organisation as it helps in improving the
productivity of an organisation and its helps to fulfil the customer needs and wants. It also
involves designing, redesigning, overseeing and controlling the process of business operation.
The efficiency of the management process can be improved by strong control system and
improve in logistics, by reducing the excessive use of resource.
The main objective of the operation management is to ensure production in the company should
be continuous without any interruption(Nakamura and et.al., 2015). Operation management
manges the way in which the organisation produce and supply goods and services. It is
responsible for creation of product and services and their management.
It is important for the organisation to have an effective operation management in order to
maintain quality of product; product quality refers to reliability and durability, customer
satisfaction for every organisation customer are the key for their success they plays an important
role for the organisation therefore it is necessary for an organisation to fulfil the needs of the
customer through providing satisfactory services,if the quality of the products is good and the
customer are satisfied from the product and services offered than this will result in increase in
revenue of the organisation, if the resources are properly utilized than it will result in reduction
of waste and the reduction of waste can be done by using the various approaches of operation
management such as lean manufacturing and just in time approach. Reduction of waste will help
in minimizing the cost of production and improving production process.
In order to fulfil the needs of the organisation and planning a proper strategies to successfully run
the business(Cherrafi and et.al., 2016.). Tesco use the operation management in order to maintain
the sustainability of the organisation. Tesco focuses on its customer and use the loyalty card
strategy this strategy is adopted in order to convert the first time customers into regular
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customers, and maintain the efficient supply chain, and inventory. Tesco focuses on maintaining
the quality of product and service offered in order to satisfy the customer , the company make
sure to use the resources such as man, machine and equipment in an efficient manner to reduce
the: generation of waste and cost of production. The company ensure to achieve maximum
output by using minimum resources. Tesco company has proved itself to be efficient in operation
management for example it ensures that inventory is kept in an appropriate condition in an
environment and manges the proper supply and demand. Tesco check every week prices of the
product in various stores to ensure that customers get the lowest prices for its products. Also
come up with new ideas in order to reduce cost so that they can work in a cheaper rate. For
having the control over its warehouse tesco uses the software G.O.L.D and the automatic order
proposal helps tesco to do things cheaply which in turn increases the profitably of the company.
Tesco has the long term goal strategy which help the company to gain competitive advantage in
the market.
Therefore to be successful it is important for an organisation to have a proper strategy. Operation
management helps the company to survive in the competitive era with proper operation
management the company ensures it long existence in an industry. Hence operation management
has a great value to the organisation without proper operation management the company have to
face failure in the industry.
P6.Factors which has an impact on the operational management and decision making of the
leaders and managers:
There are various factors which affect the operation and decision-making of the
organisation.
Therefore the organisation must identifies this factors in order to take appropriate decision for
the organisation.
Factors within an organisation which has an impact on operation management:
Ethics: Ethics means the moral principles which govern the behaviour of a person it includes the
study of universal truth such as equality of men and women, human rights, obedience of the
law,concern for health and safety, concern for natural environment.
Operation management is a broader concept which deals with increasing the efficiency of the
business and is concerned with conversion of raw materials into finished goods in order to satisfy
the needs of the customers. The managers has to take the decision by keeping in mind the morals
17

and principles such as while making the decision for an organisation the manager has to take the
decision in such a way as to cause less harm to the employees, the manager has to select the
product which is less harmful to the environment as well as consumers, the decision which can
create a bad impact on large number of people has to be avoided(Slack, Brandon-Jones, 2018).
The role of leader is to make the team to achieve their goals but the huge responsibility lies on
the leader as they have to treat other employees in a polite way and they have to maintain the
good relation with the employees.
Culture:
Organisation culture:
The culture in an organisation refers to common beliefs and attitude of the people in an
organisation. Every organisation has its own culture and the managers have to make decision
according to the culture of the organisation. If the culture of the organisation is disciplinary than
the manager have to maintain the discipline in an organisation and has to make decision
accordingly. While if an organisation has an disseminated culture where the managers have the
good relation with other than the decision making may get affected.
Nation culture:
The managers has to face many challenges while operating business worldwide as different
country follow different culture so while making the decision the managers has to be concerned
about the culture of the country in which the company is operating. The managers have to look at
the culture of the organisation and make the decision which best suits the organisation and
particular place in which the business is operating. As the culture of particular place has great
importance to the organisation. An organisation has to make the products according to the
culture of the country means the organisation has to modify its product and services by analysing
the customer at a particular place.
Corporate social responsibility: Corporate social responsibility is an essential part of every
organisation. It is an approach by which the company contribute in the sustainable development.
CSR policy affects the business environment of the company. The leaders and manager play an
important role in planning the CSR activities for an organisation. It builds the organisation image
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in front of the customers. Customers get influenced by the work done by the company. The
managers and leaders decision is affected by the CSR policies as they have to take the decision
which is of ethically right for the nature and which is beneficial for the stakeholders. It also helps
in preserving the values of the society and to promote the product in the way that it satisfy the
customer.
Sustainability: Sustainability is an approach which focuses on meeting the demand of present
generation without affecting the future or the ability to make minimum use of natural resources
so as to maintain ecological balance. The leaders and managers of the organisation has to make
strategies such that it ensures sustainability and the culture and ethics of the society should not be
affected. The managers and leader has to take decision which do not cause harm to the
environment and to make decision which ensures that the resources must be utilized by the
company in effective manner which help the company in increasing efficiency of operation
management.
CONCLUSION:
The managers and leader play an important role in the organisation they are responsible for the
proper functioning of the organisation. Leader and manager are responsible for the management
and operation in the organisation. In order to run the organisation properly top management
applies various approaches in the organisation as seen in the study Tesco adopts the approach of
total quality management where the company ensure to maintain the quality of product and
services in order to satisfy the customer. Tesco also provide products of low cost to the customer
in comparison to its competitors. TESCO encourages its managers to lead by example. TESCO
requires a team who can motivate and solve the problem of teams. Tesco uses the techniques of
360 degree feedback which allows its employees to get success in the organisation by improving
their performance.
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