TABLE OF CONTENTS INTRODUCTION...........................................................................................................................1 TASK 1............................................................................................................................................1 1. Introduction to the organization and its management structure.........................................1 2. Define manager and leader and compare theories and characteristics...............................2 3. Differences of managerial functionsand leadership rolesby effectively apply with management theories and concepts........................................................................................3 4. Example of different situations in the enterprise and examine how roles of manager and leader can apply in those situations........................................................................................4 5. Management and leadership theories in the enterprise to support and growth for sustainable performance............................................................................................................................5 6. Strength and weaknesses of different theories and approaches..........................................5 7. How managers and leaders make impact on the organisation with recommendations......6 TASK 2...........................................................................................................................................6 2. Identify roles and responsibilities of managers and leaders in successful management of the operation.................................................................................................................................6 3. Evaluate how managers and leaders could be effective to improve operational efficiency to business objectives.................................................................................................................8 4. Define the impact of external business environment factors on operation management decision by leaders.................................................................................................................9 5. Critical evaluation on operation management to manage factors that impact on business environment..........................................................................................................................10 6. Recommendation for future improvements taken by organisation..................................10 CONCLUSION..............................................................................................................................10 REFERENCES..............................................................................................................................12
INTRODUCTION Operation managementisdefined astheprocessin whichdifferentactivitiesare performed such as planning, organising, managing, controlling and supervising. All these consideration helps to describe operation of the enterprise that develop and transform to produce right product and services. For instance, it increases flexibility, improved communication, reduce support cost, etc. (Mitsuo, Tsunoda and Yuma, 2014). Present study based on Asda which stand for British Supermarket Chain and they work to increase effectiveness and perform better functions as per customers’ needs and requirements. Furthermore, they have purpose to make effective goods and services which can be more affordable for each person. With respect to gain insight information of the present report, it covers operation management in the business and key approaches which can be implement in the business. Furthermore, report includes external analysis of business environment which consider impact on final outcomes and results in successful way. Along with this, it helps to consider discussion on strength and weaknesses of different theories and approaches. TASK 1 1. Introduction to the organisation and its management structure Introduction to Asda Asda store trading is supermarket retailer which found in 1949. They expanded their operations in different areas of the world from 1970 and 1980. They are continuously growing and developing operations and functions to increase market share to compete with Sainsbury and Tesco. In addition to this, in the core supermarket, they also offer several numbers of services such as financial, technical, etc. Marketing or promotion of the chosen enterprise usually based on price which determines by the company. Positive effectiveness of Asda is that they are pioneering people with visionary ideas. Management structure of Asda Asda consider hierarchical management structure where different levels structured to communicate appropriate findings and outcomes. As a result, it impacts negatively as this is difficult to take decisions because of different layers. Managers are also play very important role 1
tounderstandandmotivatetheirstaffmemberswitheffectiveskillsandexperience. Furthermore, at higher level promotion are timely based so that employees are also demotivated. 2. Define manager and leader and compare theories and characteristics Leader is a person who influences his subordinate to achieve a specified objective and goals. And who lead and provide direction to the group in the organisation. Manager is a person who is responsible for administering, controlling, monitoring the group of subordinates and organisation. They control each and every activity in every department and guide peoples who work for the organisation. Comparison between roles and characteristics of leader and manger: Basis of comparisonLeaderManager DefinitionLeadersisapersonwho influenceshissubordinatesto achieveaspecifiedobjective and goals. And who lead and provide directions to the group in the organisation. On the other hand, manager is a person who is responsible for administering,controlling, monitoring group of people and controlalltheactivitiesin departmentstoguidepeople who work for them. RisksInAsda,leaderstakerisks because they are willing to try newthingsevenwhenthe situations are not controllable. And they believe that failure is a path to achieve success. Besidethis,managershave focusonminimizingand reducing the risks. They try to control and avoid problematic situations rather than embracing them. Development of skillsLeadersofAsdaworkwith creativeskillsanddevelop more significant work. Ascomparetothis,manager focusesmoreonwhathelps theminbecomingsuccessful, making their skills perfect and it assistsindevelopmentof positive behaviour. 2
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3.Differencesofmanagerialfunctionsandleadershiprolesbyeffectivelyapplywith management theories and concepts Management theoriesï‚·Scientific theory: Scientific theory consider with specific work to do something different which depends upon work. This theory stated hypothesis with suggestion that occur with explained ideas. It accumulated to support hypothesis which helps to move for next step. In Asda, this theory applied to gain appropriate result and information (Bromiley and Rau, 2016). ï‚·System theory: According to this theory, Asda must consider multidisciplinary study in whichsystemsinvestigatewithholisticapproach.Therefore,itcontainsapplied psychology which helps to conduct study about human behaviour and complex systems. Basis of differenceManagerial functionLeadership role MeaningManagement is an art of appropriately organizing and coordinating things in an efficientmanner.AsperMaslow's theory, manager need to concentrate on fulfilbasiclevelneedsofeach employee who work in Asda. Leadershipmeansthepowerof leading peoples by examples. On the other hand, as per Herzberg theory leaders can lead their people when theyarerecognisedfortheir achievements (Laudon and Laudon, 2016). FormulationIn the selected firm, it permits managers todelegatetheauthorityand responsibilities to the subordinates. As per Maslow hierarchy of need theory peoplewillablehandleallthe responsibility when their personal need isfulfilledandwhentheyfeel motivated(HakseverandRender, 2018). InAsda,leadershipprovide guidelinesformanagingthe problems' formulation process. They provide guidelines for team leader and facilitators. As per Herberg theory, of leadership followedbysubordinatewith appropriateguidelinewhenthe organisation is taking step for the growthanddevelopmentof 3
employees. PowerManagerialfunctionofthechosen business focuses on influencing people to do their best in every problematic situationsMaslowstatedthatpeople willfeelmotivatedwhentheyfeel recognised with power to generate and implement accurate working (J Childe, 2017). However, leadership in Asda help leadermakingrulesfortheir subordinates as per Herzberg theory all subordinates need to follow all the rules and guidelines when they feel good about themselves and feel accepted by organisation. 4. Example of different situations in the enterprise and examine how roles of manager and leader can apply in those situations Following are different situations in the enterprise in which manager and leader play important roles:Recruitment of new employees: Manager perform function in Asda for hiring employees who perform all the function from recruiting planning meeting, they participate in every aspects of the employee recruitment. Manager has a job responsibility of on boarding, managing, and retaining staff. Whereas leader perform the function of leading new employees by introducing them with the rules policies and procedure of the organisation. Conflictresolution:Inthechosenenterprise,managertrytoresolveconflictby identifying the root cause. Whereas, conflict resolution is a crucial leadership role in company in case of disagreement among employees. They call disagree co-workers in office share their thoughts and try to solve their problem (Schönsleben, 2016). In some cases, rather than giving speeches about learning to work together, a good leader plays a role of the mediator that play effective approach like by asking them questions will preserve their disinterest which will help them in getting to pause and reflect with clear with themselves about what is the actual problem. 5. Management and leadership theories in the enterprise to support and growth for sustainable performance In Asda, following management and leadership theories assists to support and growth for sustainable performances' development: 4
1.Situational leadership:According to this theory, there is no specific leadership which adopted by leader in all situation. Hence, it considers strength to building morale among employee and create productive environment of Asda company. By adopting motivating and supportive environment, they can increase productivity of the company. However, it increases duty of manager and supervisor to focus on the growth for the company to deal with particular situation. System leadership: System leadership enables the leaders of the Asda to create condition where the people at all stages can work productively and effectively according to their potential. For the human behaviour they use sound principles to create such models like organisational strategies, good leadership, social process, for designing system. This system provides leaders tools that helps them in predicting people's behaviour in the company (Ptak and Schragenheim, 2016). Contingency style of leadership: It emphasizes on matching situation and leader characteristics to increase their effectiveness. It puts ideas that is effective to make control over the situation. However, the selected company unable to deal with particular situation on the basis of contingency plan and leadership. 6. Strength and weaknesses of different theories and approaches Following are strength and weaknesses of different theories and approaches: 1.Situational leadership:situational leadership is easy to understand and spontaneous to most manager's. This leadership recognizes need for the adaptability on part of leaders. Situational leadership as a model have not felt intuitive to task oriented or heavily controlled manager's. 2.System leadership:when company is hiring new employ it will help in generating more sales but they may lack interpersonal skills. In this situation, by employing system leadership approach Asda company can know the past sales issues result can examine the sales team behaviour and practices. However, it is time consuming process as well. 3.Contingency leadership:This model of leadership provides managers tools to create effectivegroupsbychangingdifferentvariables.However,contingencyleadership approachthetypesofquestionsarenotadequatelyspelledinvarioussituations (Schönsleben, 2016). 5
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7. How managers and leaders make impact on the organisation with recommendations Effective leaders are capable of making hard, risky or complicated decisions. And they promptly take charge and offer the best courses of actions. Secondly complexity of the interactions, intuition of a needed response. It ultimately helps in achieving the future growth of the Asda company. Whereas managers also play a very important role in Asda company they perform planning function which involves determining various courses of actions, defining objectives and identify what are environmental condition company is facing which help in the growth and development of company.They should kept operations with business website that assists to deal with large number of audience in successful way(Ptak and Schragenheim, 2016). TASK 2 1. Operation management in the organisation and key approaches adopted by it OPERATION MANAGEMENT OF Asda COMPANY: Asda is one of the largest retailing companies in the UK and major subsidiary of Wall- mart. They deal with various merchandise products which include grocery, food, housing and entertainment goods in the retail sector. The chosen company has faced several supply chain issues which have been rectified to gain competitive advantage. Some problems are identified in the operational management process of the Asda company. One of the problem was regarding the procedure of reverse logistics. The company encountered problems in management of process relating to the return of goods and products that the supplier receives from the customers as well as manufacturers (Hunt, 2017). They were learnt to witness enhanced bulk relating to return of electrical products owing to the moderate return guidelines. So they develop certain competitive strategies in order to deal with such return effectiveness, cost efficient method. They need to control the flow of the products. Key approaches of Asda company: In the Asda company Six Sigma and lean manufacturing two approaches implemented that assists to meet with desired level efficiency. It also helps to reduce wastage of material and increase significant advantages to deal with innovation and creativity. 6
2. Identify roles and responsibilities of managers and leaders in successful management of the operation. Manager is an individual who is responsible for running the organisational activities effectively and efficiently (Gray,Wharf Higgins and Rhodes, 2017). He works as to make effective plan, organize, control, coordinate and directs things in manner that helps to achieve desire aim so that productive result can be obtained (Syafii and Andre, 2017). The main role of manager is to frame policies, design procedures and directs that to leaders of enterprise. On the other hand, leader is person who influencesgroup of people towardsdirect achievement of goals. He is person who is responsible to directs other employees about policies and procedures framed by managers. Role and responsibilities of manager- ï‚·Leadership- A good manager is person who has the ability to make the person do things effectively. He has the responsibility to provide direction to people and lead them to accomplish desired objectives. Thus, effective manager should set vision and direct employees towards it. ï‚·Administration-Manager should timely oversee and administer operational area (Gray, Wharf Higgins and Rhodes, 2017). He should have proper track on the performance and requirement of department that they are met on time or not. ï‚·Delegation-The manager must have the capability to monitor the process of work. Role and responsibility of leader The leader has many roles and responsibilities. They must be visionaries, manager and problem solvers. There are various roles and responsibilities of leader and it has been discussed in following manner as are- ï‚·Delegate-To have effective and efficient result it is responsibility of leader to meet the desired goal (Fogliatto and et.al., 2018). It is essential to delegate the power to employees so that he can able to perform his function efficiently. The leaders should have idea about the strength and weakness about the employees so that they can delegate important task to talented employees. ï‚·Set company priorities- The employees should breakdown the vision into series of objectives so that one particular aim can be full filled (Tweedie and Holley, 2016). The 7
leader should prioritise the work and they should take effective steps to accomplish desire result. ï‚·Seeking solutions- The leader should listen unexpected problems of their teammates. He must take initiative to resolve its. Leader should act as that he is ready to face any challenges come in his way. It will motivate the employees can directs them to achieve on specific goals. 3. Description on importance and value of key approaches to meets objective successfully. There are number of approaches but Asda put their major consideration over this two approaches as are- Six sigma-It is kind of technique that helps the enterprise to improve business processes. With help of it, organisation can maximize the performance and reduce products defects that leads to higher profits.Six sigma is process that works as to measured and continually improve the sigma level so that enterprise can perform its activities effectively.Therefore, sigma is more then the quality system, set of statistical tool and certification system that has to be implemented in order to over process of business functions. It is assistive tool that helps the firm in terms to improve customer satisfaction, minimize operating cost, boosting profits and reduces cycle time (Wheelen and et.al., 2017).Thus, benefits has been categorised in following context as are- 2.It helps the organisation culture to have continuous improvement and makes the job easier. 3.Six sigma thrives on promoting changes with help of eliminating barriers and inherent resistance. 4.It aids to improvise working of enterprise and sustain quality improvement. 8
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Illustration1: Six sigma (Source:Six Sigma,2018) Lean production system-It is approach to management that puts its major consideration over cutting out waste and ensures quality products (Ferguson and et.al., 2017). Thus, it is one of integrated set of activities that designed to achieve elimination in waste at time of manufacturing products. This can be termed out as minimal waste manufacturing approach. It has adopted by Asda that ultimately leads to add value for both customer as well company. The Importance of Lean production system has been presented in below context as- 4.It focuses on elimination in unnecessary activities, stocks, work spaces and man power with regard to increase the efficiency and reduce the cost. 5.It aids to improvise productivity that frees up employees and resources for innovation and quality control. 3. Evaluate how managers and leaders could be effective to improve operational efficiency to business objectives. The effective managers should have idea to balance workplace productivity against the needofworkers,financial,regulatoryagenciesandproductivitypressure(Eveleens,van Rijnsoever and Niesten, 2017). They must have the ability to listen and prioritising the work and to make sound decision. The manager should work as to prepare policies and procedures so that all things can be conducted effectively and efficiently. In addition to it, manager of Asda need to 9
put their focus on streamlining communication with customers so that lacking areas can be identified and their requirements can be easily accessed. Furthermore, managers must promote high quality in their products and services. The leader of Asda must be responsible for ensuring that their teams remains efficient and productive. The quoted firm using time management method that supports to break work into short intervals, helps to limit procrastination and boost productivity. In order to maximise team productivity, it is essential to to keep focus on priorities so it leads to enhance overall productivity. In addition to it, leader must responsible for streamlining workflow of their subordinates so there can be maximisation in productivity. Hence, it can be said that manager and leader plays essential role in order to improvize operational activity that leads to meet to business objectives. 4. Define the impact of external business environment factors on operation management decision by leaders. The external environment impacts the working of the enterprise and such factors has been presented in below context as are- 1.Political- It relates with government laws and legislation and overall political and legal situation of country. In this, leader should direct their employees to perform their role as per regulation set by legal authorities. The relation between enterprise and government is essential for success of business. At time of making decisions leader should be ensured about it. 2.Economicdimension-Itisinclusiveoffactorsasinflation,interestratesand unemployment. This always affects the demand for products. Thus, short term changes in need of customer’s impact over capacity utilisation and productivity etc. In addition to it, leader should take decision by keeping in mind about such issues. 3.Social factors- The socio culture dimension also has great impact over productivity and profitability of the enterprise (Clark and et,al., 2017). At the time of making changes, leader of Asda should have idea about the current trends, needs and wants of customers. 4.Technological factors- It relates with methods that helps to covert resources into product and services. This helps to bring out the innovative procedures that leads to produce products which can attract customers in market. The leader of Asda should upgrade 10
technical equipment during periodic intervals. They also ensure to provide training to employees about handling of such technological advancement. 5.Competitors-The policies of organisation often influenced by the rivalries in market (Internal and External Environment Factors that Influences Organizational Decision Making,2017). Thus, competition among the enterprise have increased tremendously. In order to get rid of it, leader should ensure to take decision that help to provide quality products within affordable price. 6.Suppliers-They are main providers of production or service materials. It is crucial task for management and leaders to deal with them, better relation between enterprise and supplier helps to keep steady follow of quality into materials. 5. Critical evaluation on operation management to manage factors that impact on business environment. The manager and leaders both play essential role to manage external environment factors that impacts on operational management activities. The country should have political stability so it is easy for the enterprise to undertake smooth working of the enterprise. Leader and manager should focus over products and services and they must enforce technological advancement that leads to enhance brand image of the enterprise. The leaders should be streamlining the communication with customer so that need and wants can be easily accessed (Abu Bakar, Othman and Othman, 2018). They can easily compete with rivalries with help of offering quality products at minimal price rates. 6. Recommendation for future improvements taken by organisation. To improve organisation performance for enhancement in productivity and profitability, there are some recommendation that must be taken into consideration as- ï‚·To keep focus on business strategy performance of enterprise can be improvised. ï‚·By implementing statistical quality control techniques , product quality can be enhanced and customer's can get attracted towards business activities. ï‚·The manager and leader of Asda should streamline the communication with customer to identify their needs and wants. ï‚·The enterprise should work towards increasing employee's engagement that can be done by establishing SMART goals. 11
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ï‚·Leader should ensure to provide training to employees during periodic intervals so that they can have idea about use of updated technological advancement. CONCLUSION Hereby, it can be concluded that Management of operational activities of the enterprise leads to enhance profitability and productivity. The present report has structured on business activitiesofAsda.Furthermore,reporthascoveredthefollowingthingsasrolesand responsibilities of leaders, theories and model of management and various external factors that impacts on operational management decision taken by leaders. Lastly, recommendation has been given to improvise future performance of the enterprise.The roles and responsibilities has been defined in order to carry out the activities of the enterprise in well and efficient manner. In this, recommendation has been given in order to bring improvement in the future performance of the leaders. 12
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