Analyzing the External Factors Affecting Operations Management at Mark & Spencer

Mark and Spenser, a business organization, requires effective operations management to achieve success in the marketplace. To make an informed decision, it is essential to understand the company's policies and past data. This includes financial variables such as investment, cost, profits, and funding, which must be managed efficiently to generate more revenue. Additionally, internal relations among employees are crucial for building trust and improving overall performance. External factors like suppliers, competitors, corporate social responsibility, ethics, values, and sustainability also play a significant role in shaping the company's operations management. By identifying these factors and taking care of them, leaders and managers can establish relationships between stakeholders and achieve organizational objectives.

Management and
Operations

INTRODUCTION
When organizations are performing their operations then they have to manage their
activities in order to provide quality services to the customers. Operational management deals
with the conversion of raw material into finished goods. Through this process, the enterprise will
be able to make the innovative products so that they can attract number of service users towards
their services (Alderton and Saieva, 2013). The firm have to manage their activities so that they
can reduce their cost and generate more revenues. The present report is based on Mark and
Spenser which perform their operations in retail industry. They are focusing on their
management operations in order to improve their services so that they can create a strong base of
the customers. The present report is based on the operations management that focuses on the
leader’s role and function of the manager in the business organization. Along with this, it also
explains an effective relationship that exist between leadership and management. Further, it
explains the role of leader and manager in the firm.
TASK 1
P1 Explain and differentiate between the characteristics and roles which are performed by a
leader and manager
There are some people such as leader and manager who can lead the firm towards
success. They both have to perform their key roles in the organization so that overall
performance can be improved and customers will be able to get the quality services. Leaders are
the people who are leading the group of people so that they can achieve their specified goals. In
order to perform well, they have to adopt a style so that they can effectively direct their followers
(Barratt, Choi and Li, 2011). On the other hand, manager is the one who is responsible to control
and administer the employees of Mark and Spenser. They have to manage all the resources of
enterprise such as human, financial, raw material and so on.
Leader Manager
 Leaders are the one who can influence
others so that their overall objectives
can be accomplished.
 They are focused on leading the people
 Manager has to control all the people in
order to increase the coordination
among them so that goals can be
achieved.
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who are working in the firm.
 Leaders are the people oriented who are
focused on their needs so that overall
satisfaction among them can be
increased.
 These people are mainly risk takers
who believe in taking the risks.
Through this, leaders will be able to get
the new and innovative ideas
(Subramanian and Ramanathan, 2012).
 They are following the facilitative
decision making approach. In this, they
take the joint decision by involving the
subordinates.
 Some of the styles that are followed by
the leaders of mark and Spenser are
transformational and participative.
 They have to manage all the work that
are performed by the workers in each
day.
 Managers are the task oriented who are
focuses on their objectives.
 This kind of people are risk averse they
did not want to take risk.
 Managers are the one who are highly
involved into the process where an
effective decision needs to be made and
they are responsible to take the
decisions that are beneficial for the
organisation and their members.
 Some of the styles that are followed by
the manager are democratic,
authoritative, consultative and so on.
M1
There are many theories that are used by the leaders and manager of the organization. On
the basis of the theories they will be able to get the success in the market. Role of a leader can be
analysed on the basis of trait and behavioural theory. Trait theory is related to the characteristics
of the leaders and on the basis of that they can accomplish their objectives. Behavioural theory is
based on the behaviour of the leaders towards their followers. On the other hand, the functions of
the manager can be identified through the human relations theory and chaos theory. Human
relations theory is deals with the employees who are working in Mark and Spenser. Chaos theory
is based on the dynamic nature of the employees (Stadtler, 2015).
The role of leader is to provide the direction to the people so that overall group objectives
can be achieved. Apart from this, manager has to perform some of the functions such as
planning, controlling, coordinating and so on. Some of the leadership theories such as situational
and system theory so that their overall performance can be enhanced.
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P2 How different roles and functions of leaders and managers can be applied into different
situations
The leader and manager have their different roles and functions and they have to perform
in the organization so that overall growth can be improved. Sometimes situations are occur in the
the enterprise so at that time they have to take some crucial decision so that profits can be
achieved. Some of the situation that occur in the firm are:
Decision making: Manager and leader both have to take decisions a per the requirement
of the organization. Manager is responsible to take the crucial decision that will be beneficial for
Mark and Spenser. Top management executives communicate the polices to the middle level
managers and they have to make the plans that how overall performance can be improved. On
the other hand, leader is a responsible to guide their followers (Gunasekaran and Ngai, 2012).
They take the decision that are beneficial for their group so that overall objectives can be
accomplished.
Conflicts resolutions: It is the responsibility of the leader to resolve all the issues that are
arise among all the team members because due to this their performance get affected. These
conflicts are arising when communication gap is their between the group members. So, the leader
has to provide the tasks in a team and meetings should be conducted in the retail industry so that
overall growth can be improved (Management & Operations. 2017). On the other hand, mangers
generally avoid such issues and they provide the solutions to the parties.
Team building: The manager of Marks and Spenser has to focus on their members so
that their level of satisfaction can be increased among them. He has to motivate their employees
so that group performance can be improved (Mollenkopf, Frankel and Russo, 2011). The leader
has to provide tasks in a team so that relationship among all the co-workers can be increased.
Risk taking: This is the characteristic of a person which shows their capability that how
they will manage the situations where they have to take some crucial decisions. Leaders are the
one who take more risks than the manager. Through the risks, the company will be able to
increase their profits.
Chaos theory is a kind of mathematical approach that with all the complex issues that are
occurred in the organisation. On the basis of this, higher authority will be able to resolve their
problems that they faced at their workplace. All the management objectives can be achieved by
applying this theory in the enterprise.
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P3 Apply different theories and models of approach
The organisation can use different theories and models in order to improve their growth
in the market. Through these approaches, performance of the organisation can be enhanced in an
efficient manner (Haksever and Render, 2013). Some of these theories that are used by the leader
of the enterprise are situational leadership, system leadership and contingency. These are:
Situational leadership theory: This kind of style is adopted by the leader and manager of
Mark and Spenser as per the situations in the organization. They have to adopt the style so that
overall performance can be improved and goals can be achieved. It is the responsibility of the
leader to change their leadership style so that they will be able to influence their followers. They
have to direct their subordinated so that they will understand that what they have to do in order to
attain the future goals. Through this, mark and Spenser can increase the productive workers in
the firm as well as employee engagement.
System leadership theory: When leader follow this approach then they have to analyse
the overall system where an effective decision needs to be made. Along with this, he has to
determine the relationship between different functional areas so that overall performance can be
improved. Performance can be improved through the management system (Galindo and Batta,
2013). Along with this, through proper communication and rewards system the growth can be
improved. When decisions are made then first they have to analyse the functional units of Marks
and Spenser then correct decision should be made in an efficient manner.
Contingency theory: This current theory is based on a concept that no best way or theory
is their which can lead the Mark and Spenser in the market. A contingent leader can use an
appropriate style as per the situation so that their long term goals can be achieved. For example,
Fiedler's, 2017 says that leader should have control over the situation then only he will be able to
improve their growth. This theory is more flexible than any other as in this the leader can
identify the traits of their employees and perform actions as per their need. Along with this, there
should be good relationship between all the employees and their leader.
M2
Leaders and manager uses different kinds of approaches in the organization so that they
can accomplish their objectives (Closs, Speier and Meacham, 2011). There are some strength and
weaknesses of these theories. Through the trait theory, the leader will be able to identify the core
competencies of the workers but through this they will not be able to identify the future
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behaviour of the employees. Behaviour theory can identify the behaviour of the leaders but this
theory is more focused on the nature of the people. Through human relations theory, the manager
will be able to improve their relations with their staff members. On the other hand, through the
chaos theory they will be able to identify the dynamic behaviour of the workforce.
The advantage of the situational leadership theory is that it is more flexible as every
leader can adopt this as per the situation which is faced by them at the workplace. The
weaknesses of this method is that employees will get confused from the responses which are
given by their supervisor. Through this, behavioural inconsistency can be seen in the leader.
D1
According to Tang and Musa, 2011, he said that leaders are the one who perform their
operations in order to lead the organization towards success. They can use some of the leadership
theories such as situational, systematic and contingency. In situation, a person reacts as per the
situation which arise at the work environment. In systematic, when a leader takes some decisions
then through this overall system will get influenced. Apart from this, contingency stated that an
effective strategy should be adopted by an individual so that solutions can be identified of given
situation. Along with this, some of the core competencies should be there in the leaders such as
skills, attitude and beliefs. Through these they will be able to accomplish their objectives in an
efficient manner. Through these theories, overall operations of Mark and Spenser can be
managed so that goals can be achieved.
TASK 2
P4 What are the key approaches of operations management and roles which are performed by
managers and leaders
Marks and Spenser can use different approaches in order to manage their operations so
that they can attract number of customers from the whole over the world. Through these
approaches the productivity and quality are get improved in an efficient manner. These are:
Dynamic approach: This approach of the organization is deals with the operations that
are going to be performed by Mark and Spenser. This is based on four elements such as
knowledge, learning, contingencies and problem solving. This is an alternative approach of static
that is not focusing on these variables. In order to perform well, the employees should have
technological knowledge than only they will be able to offer innovative products to their
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customers. Along with this, the manager has to conduct a research so that they can identify the
need of their service users. Further, he has to adapt the changes so that an effective strategy can
be implemented.
System approach: Business organization is a system which is made by many sub units
such as different department in the firm (Hillier, 2012). The manager of Mark and Spenser has to
focus on the functions of the enterprise and some factors which may influence the performance
and decision making of the entity. He should hire the employees who are best suited for the firm
and they will be able to perform well in the organization. Along with this, when the manager and
top management executives made any decision than they should made their decision on the basis
of the past performance of the firm. Through this, they will be able to increase their sales and
generate more revenues.
Some key approaches are there which can help the organization in order to manage the
different operations which are carried out at the workplace. Some of these approaches are like:
 Six sigma: It is a kind of practice which has been followed by manager of Mark and
Spencer in order to reduce the number of risks and defects which occur in the services.
Through this, highly quality products can be manufactured.
 Lean production: In this approach, waste has been reduced to some extent without
compromising with the productivity. So, through this an enterprise will be able to
generate high profits and cost is get decreased.
 TQM: It is commonly known as total quality management which also focused on the
overall production process so that high level of customer satisfaction can be achieved.
Through this, the long term success can also be achieved.
 Queuing theory: This should be adopted by every business organization so that waiting
time of customers can be reduced and in timely manner they will be able to satisfy their
wants.
 JIT inventory: The manager has to forecast the demand so that limited goods will be
manufactured and waste cannot be increased. So, they have to receive only selected
material which are sufficient for the production process.
 Continuous improvement: It is an on-going process which continuously focuses on the
quality of services so that consumers will get attracted and they will be able to achieve
success.
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Role of leaders in operations management: Leaders are the one who provide direction to
the people who are working in the organization. It is the role of the leader to remove the
communication gap among all the people so that trust can be built among co-workers (Wu and
Pagell, 2011). If they will be able to build the relationship, then overall performance is get
improved. Along with this, they should provide an opportunity to all employees so that they can
put their ideas in front of the top management and involve them into the decision making
process.
Role of manager in operations management: The manager of Mark and Spenser has to
manage all the activities of the firm that they are going to follow in order to achieve the success
in the market. He has to manage all the resources of the enterprise such as human, financial and
raw material so that overall performance can be improved (The systems approach to operational
management. 2017).
The manager and leaders of Mark and Spenser can use different approaches such as total
quality management, lean management and queuing theory and so on. Along with this, some of
the management theories can be used by an enterprise such as just-in-time and continuous
improvement. Through these, the retail industry will be able to offer quality services to their
customers in an efficient manner. Further, they can control their inventory level and production
management.
P5 Explain how operations management is important and valuable in attaining business
objectives
Operations management (OM) is important for the industries as through this they will be
able to maximize their profits and minimize the cost (Fuller and Martinec, 2011). Through this
the company will be able to use the resources in an efficient manner so that performance will be
enhanced to some extent. This also deals with product development that can maintain the speed,
quality of the services. Mark and Spenser can create a strong base of customers through their
innovative commodities. The role of operational management is to maintain the relationship with
their supplier so that they will be able to get the raw material on time. Further, they can also
improve the customer relations through their quality services. Through the quality and innovative
services, the level of satisfaction among all the consumers can be increased.
Operations management of Mark and Spenser add value to the products and services of
the company as through this quality services can be ensured to the people of United Kingdom.
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The competitive prices can be achieved through this process and along with this customer will be
able to consumer the innovative or quality services at flexible prices. The retail industry can
achieve competitiveness in an effective way as compare to any other rivals or competitors. The
firm will be able to improve their financial value and generate more revenues. They also provide
the value to their customers through quality services (Singhal and Singhal, 2012). Further, the
enterprise will be able to accomplish their objectives in order to get success in the market.
Mark and Spenser can use control and distribution system so that their overall production
process can be managed. Transformation process can be used in an efficient manner so that raw
material can be converted into finished goods so that customer’s satisfaction can be achieved.
Along with this, process design and capacity manage can be used so that their overall operations
can be managed in an effective manner.
M3
Leaders and manager can perform their own operations in the firm so that activities can
be improved in an efficient manner. They have to perform their respective roles so that all
employees can perform their task through proper coordination. Along with this, they can make a
balance between the demand and supply of the firm (Ageron, Gunasekaran and Spalanzani,
2012). Along with this, leaders have to resolve all the conflicts among the staff members. The
leaders and manager can use quality control, inventory management, supply chain management.
Through this, they will be able to enhance their performance in an effective manner. Through
these, their operational efficiency can be improved which will help them in attaining business
objectives. These approaches play their essential role in performing well at the workplace and
employees will also feel satisfied.
M4
There are many external factors that may affect the performance of Mark and Spenser.
Some of these factors are political, economic, social, technological, legal and environmental.
There are some trade barriers and government policies that may affect the activities of the
business organization. Economic factors are related to the interest rate, employment rate and sue
to these Mark and Spenser will not be able to increase their profits. Innovative products should
be given to the people so that their level of satisfaction can be increased. Further, the industry
should follow the government laws in order to ensure the smooth functioning.
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Some different factors are also there like corporate social responsibility, values, ethics
which can affect the organizational requirements and community. An enterprise has to follow
some legislative acts otherwise their performance will get affected in negative manner.
D2
As per the view point of Lun, 2011, operations management is an important process that
is used by the business organization so that their overall performance can be improved. Through
this, the firm can offer quality services so that satisfaction level among people can be enhanced.
Operations management can be used in order to manage the project and prepare its scheduling so
that overall efficiency can be improved. It has been critically analysed by the Gimenez, Sierra
and Rodon, 2012, that there are some factors that may affect the performance of an enterprise.
Some of these factors are political, economic, social, technological and so on. Through these
their overall performance gets affected and they have to manage these so that their overall
performance can be improved. There are some of the factors such as SWOT analysis, corporate
social responsibilities so that overall satisfaction can be improved.
P6 What factors affect the operations management and decision making process within business
environment.
When organization perform their operations in the business environment than their
activities get affected due to some factors such as suppliers, competitors, financial variables and
so on. Sometimes decisions that are made by the leaders and managers are get influenced due to
the internal and external factors (Su and Wang, 2011). These factors are:
Internal factors: There are many internal factors that may affect the operational
management of Mark and Spenser. When leaders and managers made their decision then they
have to focus on the policies and past data of the company so that an effective decision can be
made. These are:
 Financial variables: This is related to the financial resources such as investment, cost,
profits and funding. When any decision is made than the manager have to decide the
budget then only they will be able to generate more revenues (What is Operations
Management? 2017). Along with this, they have to manage their resources so that all the
operations can be managed in an efficient manner.
 Internal relations: This is related to the relationship among all the employees who are
working in Mark and Spenser. The leader has to provide the task in group so that trust
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can be built among all the group members. If these relations are good, then the enterprise
will be able to improve their overall performance and accomplish their specified goals.
External factors: These are also known as macro factors which can affect the
performance of company from the external environment (Lewis and Brown, 2012). These are
uncontrollable so the firm have to manage their operations so that they can gain the competitive
advantage in the market. These are:
 Suppliers: These are the stakeholders of the firm that can affect the performance of the
company. Along with this, the firm buy the raw material from these people so that the
manager has to maintain their relationship with the suppliers. If this get improved then
quality products can be ensured to the customers. These can affect the decision making of
the leaders and manager.
 Competitors: These are the rival firm who offer similar products and services to the
customers. These can highly affect the operations of the organization and the decision
making process of the enterprise.
There are some factors such as corporate social responsibility, ethics, values and
sustainability can affect the overall performance of an organisation. So, all leaders and managers
have to take care of the things so that overall relationship can be built among all the factors and
organisational objectives. Further, due to some of the factors such as encouraging, developing
can be used in order to establish the relationship between the different stakeholders.
Some factors are there in the business environment which might affect the organizational
operations management process. These factors are listed below:
 Corporate social responsibility: These practices should be implemented by an enterprise
so that they will be able to increase welfare at the societal level. If will not be practiced,
then due to this negative image will be created in the minds of customers and different
stakeholders.
 Ethics: An enterprise has to perform some ethical practices at their work environment as
through this some boundaries can be set for the existing employees of Mark and Spencer.
On the basis of this, overall functioning can be ensured in smooth manner.
 Values: Each and every organization is based on their beliefs and values. They perform
their operations by focusing on their principles so that employee’s motivation can also be
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achieved. If these values will not be followed, then due to this their performance will get
affected in negative manner.
CONCLUSION
From the above carried out analysis or findings it can be summarized that operations
management is necessary for the business organization in order to achieve success at
marketplace. Leaders and managers have their different roles and responsibilities in the firm.
Leaders are one who can lead the firm towards success. Along with this, they can use some of
the leadership styles such as situational, systematic and contingency. Mark and Spenser should
identify the factors that may affect the operational management activities and decision making
process.
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REFERENCES
Books and Journal
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