Explore the roles of leaders and managers in Clancy Consulting, analyze key approaches to operations management, and assess factors impacting decision-making. Learn about leadership theories and their application in different contexts.
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MANAGEMENT AND OPERATIONS
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TABLE OF CONTENTS INTRODUCTION...........................................................................................................................1 LO1..................................................................................................................................................2 P1 Define and compare the different roles and characteristics of a leader and a manager.........2 LO3..................................................................................................................................................4 P4 Explain the key approaches to operations management and the role that leaders and managers play..............................................................................................................................4 P5 Explain the importance and value of operations management in achieving business objectives.....................................................................................................................................5 LO2..................................................................................................................................................7 P2 Examine examples of how the role of a leader and the function of a manager apply in different situational contexts........................................................................................................7 P3 Apply different theories and models of approach, including situational leadership, systems leadership, and contingency.........................................................................................................8 LO4................................................................................................................................................10 P6Assessthefactorswithinthebusinessenvironmentthatimpactuponoperational management and decision making by leaders and managers....................................................10 CONCLUSION..............................................................................................................................12 REFERENCES..............................................................................................................................13
INTRODUCTION Operation Management focuses on designing and controlling the management and production of qualitygoodsandservicesatreasonablecost.Thisreportwillevaluatetheoperation management of Clancy Consulting which is an engineering consulting organization. In Clancy Consulting, The role of managers and leaders will be compared and their relationship with the employees in order to generate effective output. 1
LO1 P1 Define and compare the different roles and characteristics of a leader and a manager Manager and Its role Manager can be defined as aperson who controls and administrate a group of staff or an organization. The manager plays a vital role in functioning and leading various departments and its employees (Tremblay et.al.2017). Manager is at the particular level on an organizational chart and has the power to take the direct reporting of the employees about their performances and working in the businesses. Leader and Its role The principal player in any group or department is defined as a leader. Leaders own a leadership quality to guide employees in order to achieve the entire goals.They provide instruction, direction and guidance to group and individuals by communicating and monitoring their performances (Goetsch and Davis, 2014). Their leadership enhances the performances of employees and helps to generate more output. A good leader motivates employees by setting clear visions and accepting the future state of an organization. Management VS Leadership Table1: Differentiate between leaders and managers inClancy Consulting Basis of difference ManagersLeaders Roles efficiencyThey reduce cost of the businesses in all functioning areas and are responsible for handling operations. Leader’s efficiency utilises time, energy andspaceandinvolvesencouraging employees. Applicationof relevanttheories forbetter outcomes Managersimprovetheperformanceof employees by management by objective techniques(MBO).Thistechniqueis basedonmonitoringandrecording LeadersinClancyConsultingrelyon decision making and follows contingent approach that depends upon internal and externalsituation.Theyfollow 2
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performanceofthebusinesswiththe supportofalltheemployeesinan organization. behavioural theory of leadership for the successful productivity by having positive behaviour in the organization. FunctionsManagementoftheClancyconsulting basicallyincludesstaffing,organising, planningandcontrollingoverall operationsbycontrollingcostfor increasing profits of the business. Leadersdevelopmoral,encourage employeesandsetclearversionin improvingworkprocess.(Northouse, 2015) Skills UtilisationManagers on the other hand use hard skills like math, typing, writing, etc to monitor the performance. For example software, templates, spreadsheets and various tools. Leader particularly in this organization utilizes soft skills that includes decision making,problemsolving, communication,intelligenceandmany more. For example, the task is performed with equal contribution of the leaders and the action oriented approach is utilised. Analysisof theories Manager deals in interpersonal, decision making and information processing tasks. For example, the manager may act as a entrepreneur,resourceallocator, spokesman as well as leader too. Characteristicofleadersdependsupon trait model of leadership. Two types of leadershipincludetransformationaland transactionalleadership.Transactional leadership is based on maintaining the normal flow of operations whereas the transformational leadership is based on motivation and team building. 3
LO3 P4 Explain the key approaches to operations management and the role that leaders and managers play Operations management improves the operation’s efficiency for achieving business objectives. Therefore, for transforming the input into an effective output, Clancy Consulting follows various approaches such as Lean Production that focuses on reducing cost and proper management by reducing large amount of waste (Heizer, 2016). Lean production: The maximum level of output can be delivered by effectively reducing the waste quantity and this can be achieved by the concept of lean production. Clancy Consulting offers value added services to its customers and sells limited variety of products and displays smaller stores for locating more business in different part of countries. The concept of lean production is based on responsibility, consistency and simplicity as well as time based management. Total quality management: Quality Management refers to the delivering of quality services and products to its customers and for this managers and leaders are responsible to maintain consistency within the business environment. In accordance with lean production and to ensure quality management, Clancy Consulting assigned the particular task to only those workers who are highly skilled in that process and ensure that the task will be done right in the first time only. By following this principle, there will be less waste and reduced cost output will be obtained. Clancy also provides training program for bringing out skills so that various tasks can be performed at ease. In brief, quality management includes random testing at production facilities, internal and external inspections, contractually defined quality criteria and inspection on arrival at distribution centres to deliver quality services and products (Krajewski.et.al. 2015). Continuous improvement 4
It is one of the most important concepts that bring consistency in the quality of operation. It also involves in making changes in products, processes and services in order to meet the needs of customers. Managers and leaders both motivate team members to reduce the waste and to streamline the work. Just in time approach Just in time inventory is the process to keep the details of available stock of different departments. It is the proper management of stock demanded by customers. It also supports direct displaying of products and is sold from small stores. Six Sigma Approach Six Sigma approach is used to avoid defect in any operation and to perform meetings and discussions to rectify any error in order to provide quality products and services. The manager takes effective measures to bring improvement in the quality of products, services and process of Clancy Consulting. This process includes defining the problem, measuring it, identifying the cause of the problem, implementing and verifying the solution, and maintaining the solution (Conger, 2015). P5 Explain the importance and value of operations management in achieving business objectives. Operations Management in Clancy Consulting plays an important role in achieving the business objectives. Operation management design and manages the products as well as deals with services and supply chains. It takes into account the acquisition and utilisation of resources according to the customers need.It includes conversion of raw material into finished products, inventory management, process designing, and executing of operational activities. Managers and leaders look into the proper management of employees and handle entire operation (Van Der Aalst.et.al. 2016). Combination of various activities will help management and their organization to achieve objectives. Operations management includes the generation of revenues and profits in order to gain competitive advantage in the market. Through the effective supply of products and services, the Clancy Consulting owns a higher position in the global market. An organization performs production activities under ethical standards and develops the trust toward management and 5
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employees. Operations management also allows the marketing of goods to explore the market. It also reduces the wastes and cost, monitors and controls the labour activities. Importance of Operations Management in detailed is explained as Clancy Consulting enhances the satisfaction of the customer and achieve the business growth. Proper execution of the supply chain and follow of distribution system helps an organization to supply services and products according to the customers need. An organization can develop strong relationship with suppliers with the help of efficient and effective management of resources and end products. An inventory management can be effectively utilised with use of just in time approach that includes keeping details of stock. (Wild, 2017) Total quality management also plays an important role in the operation management process. It focuses on bringing the quality at the lower cost and effective output. Continuous improvement and management aims at bringing small changes in the process of the business. Processes such as lean production, total quality management, etc will help to avoid threat rising competition of declining sales. It also helps to manage and streamline the process and achieve objectives of process designing. (Dennis, 2016) All the functions of research and development activity, the finance department, human resource department, etc, are integrated by operations management. An organization increases its profit when operations cost reduces as compared to the sales or finance cost. Introduction to an organization Clancy Consulting is multi specialty engineering firm that provides various services that includes building appraisals, building services, geo environmental, civil engineering & designing and structural engineering. It operates in commerce, education, industrial, healthcare, residential, retail and in many more sectors.An organization is headquartered at Holborn, London with other offices at Liverpool, Manchester, Liverpool, Leeds, Glasgow and Prestwick. 6
LO2 P2 Examine examples of how the role of a leader and the function of a manager apply in different situational contexts ClancyConsultingleadersandmanagersperformvarioustasksinvarioussituationsfor enhancing the workers performance. Role of Leader in Context with Clancy Consulting Leader adjusts the style of working under the influence of managers, according to the situational leadership theory. The leaders choose the appropriate style of meeting depending upon the organizational situations. A different role of leaders in Clancy Consulting depends upon different styles of leadership are as follows: Leaders take decisions and communicate with the team members about the completion and execution of the target. They also closely monitor individuals and supervise the overall activities so that an employee focuses on increasing the sales up to particular level.Inaccordancewithrelationshiporientedapproach,leadersmakeeffective relationship with team members to gain profit for the organization. Accordingtothesituationaltheory,leaderschoosevariousstylesofsellingby participating in less experienced activities for improving the production system. Leaders will be be least involved in directing if in case manager has suggested just to evaluate the task and report preparation by taking feedbacks. Leaders will only motivate the resources for the quick task completion. According to the theory of situational leadership, leaders boost the morale of employees and they also perform delegating styles so that employees can choose their own task. In this case, leaders can perform task in less supervision. Functions of managers Manager utilizes the theory of management for particular time period where employees work together with managers for goal achievement by applying disciplined approach. If in case Clancy Consulting increases its business sales, manager takes necessary steps for the achievement of goal (Metz.et.al.2017).For processes such as recruitment of staff, 7
increasing in advertising, and many more, managers also follow various steps after establishing a plan for the goal achievement. Immediately after planning for the particular task or process, Manager organises overall material and team according to the plan. Managers in Clancy Consulting are responsible for assigning work, authorities and activities for goal accomplishment. Unlikeotherorganizationswheremanagersjustguide, planand organise,Clancy managers discuss the problems with team and then assist them by guiding with the solutions. Controlling Functions allows the manager to monitor an individual for continuous checking of the status of the process and to take corrective actions for achieving goals. (Kerzner and Kerzner, 2017) Staffing processes like recruitment, selection and appointing suitable candidates are performed by HR manager for the completion of target and goals. (Kuhn, 2015) P3 Apply different theories and models of approach, including situational leadership, systems leadership, and contingency Leader work for the management and employees so that the ability to work more efficiently can be increased.Leadership also promotes the workers creativity and motivate the employees to work efficiently. Leader also directs the employees in right direction so that the task can be completed on time. There are various approaches and theories regarding leadership which are explained as follows. Situational Leadership In the situational leadership, leader modifies the working style and ability of the workers and directs the employees according to the requirement of the task. Leadership helps in maintaining the better position and has the ability to enhance the skills of the workers for managing the task. They execute the task systematically and in a proper way. Leader delegates the authority to the workers so that they can choose the task of their own choice according to their skills and in this case leader has to least intervene in that task.In this case they only direct the workers to a minimum level. Situational leadership is mainly based on four general styles of management. (Thompson and Glasø, 2015) 8
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Coaching: When an employee shows weakness and the need of improvement, Coaching is the best method of leadership. For example, Sales manager helps the sales person in achieving targets. Directing:Applicationofexperienceandspecificknowledgetorightunderchallenging situations and tasks is basically a directing style of leadership Delegating: In this the workers are responsible as compared to the managers and the leaders. The leaders only guide the works and that too on the request of employees. In this situation, the leader act as a consultant. Supporting Style: In this the leader plays an important role in motivating the workers and the employees in order to increase the productivity of an organisation. This is also known as selling style because leader prevail employees so that they have an ability to complete the job. Contingent Leadership This leadership theory performs the tasks in a more effective way when it co ordinate with situational leadership. In this the leaders analyse the task in order to execute it and for achieving the goals of business. Co ordination between the employees is important to meet the increase in demand in Clancy Consulting. Leader posses’ special qualities for maintaining the organisation rules and policies and therefore, they are responsible to function the entire task once completed. (McCleskey, 2014) System leadership The system leadership follows an effective process to work together in an organization. It initiates the task in a unique way to achieve the goal in an effective manner and also increases the leader power for taking decisions. In order to increase the productivity, working ability of the workers is identified and some strategies are implemented so that leaders can take decision to achieve the end goals successfully. The co operation between the partners depending upon the thoughts of the managers and the leaders working in organization is necessary in order to convert the ideas into productive product. The leader also motivates and leads the employee in order to achieve the goals of an organisation. (Senge et.al. 2015) 9
LO4 P6 Assess the factors within the business environment that impact upon operational management and decision making by leaders and managers There are several factors that affect the growth of the business and the most important is the relationship between the leadership and the management. The factors such as ethics, culture, values, etc have a great impact on decision making in Clancy Consulting. (Ferrell and Fraedrich, 2015) Major factors affecting the decision making in Clancy Consulting are described below: For maintaining effective relationship between an employee and managers, positive culture within the organisation is one of the most important factors. The positive culture can be explained in the terms of giving rewards, promotions, etc. Technology also plays an important role in decision making. It improves the overall operations and will help the managers to assign a suitable position for suitable job. The overall cost of the task can be effectively reduced by controlling the cost of the application of the technology for the particular assignment. Employees an employer relationship has a great impact on increasing the growth of the business. Healthy relationship with the stakeholders maintains the interest of employees to work comfortably at the workplace. Therefore suitable tools and techniques should be used for managing the entire production process. Motivation enables the employees to boost up the morale which in turn results into the achievement of business goals in a particular period of time. The support of leaders as well as managers leads to effective functioning of operations. The proper behaviour and support enable the employees and workers to maintain honesty and proper time management. Ethics at workplace are needed in order to encourage employees for the accomplishment of any task.Low morale is because of the poor communication of managers to their employees and workers. (Cascio, 2018) Managers when lack to provide proper coaching, training and direction for the assigned task, employee’s morale generally suffers which in turn result into the failure of the 10
completion of the task.Manager with efficient leadership will take input from the employees and guide them according to the problem of the situation. Leaders and managers should set clear goals in order to maximize the productivity of an employee. Day to day decisions should be taken by the employees but on contrary they should be guided by strict goals of an organization. (Nguyen et.al. 2017.) Effective communication skills also play an important role in the decision making of Clancy Consulting. Employees consider leaders as their role model and will work and communicate in a similar manner. Therefore effective communication of the leader and managers with the customers, will lead the workers to follow in the same manner. High turnover of employees is because of the poor leadership and management and this highly affects the business profits. The workers, who are not motivated, left the job and the new workers replace them. This definitely decreases the efficiency and increases the probability of not completion of work on time. Managers can motivate its employee by not only incrementing the salary but also by providing other benefits such as expense accounts, vehicle and health insurance, paid time off, etc. These all benefits help an organization to retain its skilled employees. Managers should provide the new on job opportunities so that none of the employee feels left out. The managers and leaders should assign the variety of tasks to all employees of the particular department. 11
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CONCLUSION In accordance with the report, proper management of operations within the business functioning is very necessary. Utilisation of resources plays an important role in the operation of the proper management. An organization should provide motivation, morale boosting by appreciating and giving feedbacks of the assigned task as well as other benefits in terms of increments, promotions and other benefits. In brief, to increase the productivity and effective decision making, an employee and manager relationship should be maintained. The report also focuses on the selection of skilled and qualified managers and leaders to take the organisation to its next level. In Clancy Consulting, managers and employees make a healthy relationship in order to perform effectively in the business environment. It also focuses on using meeting the needs of the customers by using appropriate tools and techniques. 12
REFERENCES Books and Journals Cascio, W., 2018.Managing human resources. McGraw-Hill Education. Conger, S., 2015. Six sigma and business process management. InHandbook on Business Process Management 1(pp. 127-146). Springer, Berlin, Heidelberg. Dennis, P., 2016.Lean Production simplified: A plain-language guide to the world's most powerful production system. Crc press. Ferrell, O.C. and Fraedrich, J., 2015.Business ethics: Ethical decision making & cases. Nelson Education. Goetsch, D.L. and Davis, S.B., 2014.Quality management for organizational excellence. Upper Saddle River, NJ: pearson. Heizer, J., 2016.Operations Management, 11/e. Pearson Education India. Kerzner, H. and Kerzner, H.R., 2017.Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons. Krajewski, L.J., Malhotra, M.K. and Ritzman, L.P., 2015.Operations management: processes and supply chains. Pearson. Kuhn, K.M., 2015. Selecting the good vs. rejecting the bad: Regulatory focus effects on staffing decision making.Human Resource Management,54(1), pp.131-150. McCleskey, J.A., 2014. Situational, transformational, and transactional leadership and leadership development.Journal of Business Studies Quarterly,5(4), p.117. Metz, I., Kulik, C.T., Cregan, C. and Brown, M., 2017. The manager as employer agent: The role of manager personality and organizational context in psychological contracts.Personnel Review,46(1), pp.136-153. 13
Nguyen, T.T., Mia, L., Winata, L. and Chong, V.K., 2017. Effect of transformational-leadership style and management control system on managerial performance.Journal of Business Research,70, pp.202-213. Northouse, P.G., 2015.Leadership: Theory and practice. Sage publications. Senge, P., Hamilton, H. and Kania, J., 2015. The dawn of system leadership.Stanford Social Innovation Review,13(1), pp.27-33. Thompson,G.andGlasø,L.,2015.Situationalleadershiptheory:atestfromthree perspectives.Leadership & Organization Development Journal,36(5), pp.527-544. Tremblay, M., Hill, K. and Aubé, C., 2017. A time-lagged investigation of the mediating role of person–organizationfitintherelationshipbetweenleader–memberexchangeand employeeaffectiveorganizationalcommitment.EuropeanJournalofWorkand Organizational Psychology,26(1), pp.53-65. Van Der Aalst, W.M., La Rosa, M. and Santoro, F.M., 2016. Business process management.Jeston, J. and Nelis, J., 2014.Business process management. Routledge. Wild, T., 2017.Best practice in inventory management. Routledge. 14