Leading and Managing Business Organisations and Managing Business Organisations

This report discusses the importance of maintaining diversification among the staff, challenges faced by the Sainsbury while maintaining diversification among employees, aspects of scientific management and rational to apply this technique in business.

AND MANAGING
BUSINESS
ORGANISATIONS

Table of Contents
Introduction.................................................................................................................................................3
Importance of managing diversification among staff in business organization........................................3
Challenges faced by Sainsbury in maintaining diversification among their staff.....................................4
Discuss despite of weaknesses, aspects of scientific management still apply in some organizations.......5
Characteristics of the theory and also discuss why the theory has not still phased out entirely in the
operations of some organizations............................................................................................................7
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10

Introduction
In business, ample of activities are performed in order to ensure success and growth.
Managing business effectively is important to get success in the competitive world. It includes
planning, organization, controlling the outcomes and more. Managing business is helpful in
making optimum use of available resources. It is also important in order to earn substantial
amount of profit (Syed and et. al., 2019). Main aim of the report is to analyze different activities
which are helpful in managing business efficiently. The present report includes importance of
maintaining diversification among the staff. It will cover the challenges faced by the Sainsbury
while maintaining diversification among employees. Further, it will discuss various aspects of
scientific management and rational to apply this technique in business. Characteristics of the
theory will also include the given assignment.
Importance of managing diversification among staff in business organization
In organizations, different individuals work together to accomplish common goals. They
belong from different culture, religion, nationality and more. In addition to this, different people
have different mindset which further affects their working practices in the company. Production
can be maximized by maintaining diversified work force. It creates a positive atmosphere at
work place wherein all employees like to interact with each-other in order to get exposure of
different culture, values and more. In this regard, significance of diversification is mentioned
below:
Promotes individuality: In diversified environment, it is acknowledged that each and
every employee has the potential to contribute towards success of the organization with creative,
unique and new ideas. Additionally, employees of different background bring variety of
perspectives on a particular problem which further increases the production capacity. In
diversified environment, people having different talents work together to attain common goals.
They use their skills and capabilities for organizational success that further enhance employee
retention and productivity (Guerrero, 2020).
Build a strong brand: If company maintains diversity, it strengthens the market position
of the brand. As a result, talented employees get associated with the organization. With this, it is
possible to gain good reputation and market image as diversification is seen as the fair

employment practices. Improvement in brand image helps the entity to get proficient employees
who can contribute in long term success.
Increase productivity and problem solving: Maintaining diversify work force is
important in order to get creative solutions from people of different background and knowledge.
It helps in resolving the business issues efficiently. In addition to this, individuals have their own
way to think, operate and solve the problem which will further bring more new solutions to
resolve a particular business issue. With diversification, employees have freedom to give
valuable solutions that will enhance the productivity and profitability of business (Maturo,
Migliori and Paolone, 2019).
Encourages personal development and growth:Here, diversified environment helps in
promoting self-growth and development. In this, employees can enhance their knowledge by
getting insights from experts and knowledgeable people. They have the opportunity to learn from
the experts who belong from different backgrounds. Additionally, it helps employees in learning
new perspectives, ideas and connecting with professionals efficiently. It enriches the personality
of the employees and allows them to think in effective way.
Attract and retain talent: Talented employees are the most valuable assets of the
organization. With diversified environment, it is easy for a company to attract young as well as
experienced people. It will help the entity in getting competitive edge. A diversify work force
includes individuals having knowledge of different language, culture and values. It might help
company in business expansion at the international level and also enhances diverse customer
base and market share.
Challenges faced by Sainsbury in maintaining diversification among their staff
Sainsbury is a multinational company which operates business at global level. Hence,
individuals belong from different culture, values, religion work in the organization. In this
situation, it is challenging for the company to maintain proper coordination among staff. Certain
challenges faced by the organization while maintaining diversification at work place are outlined
below:
Communication issues: In diversified environment, communication issues might
become a challenge. In different culture, different words are used to depict the same meaning..

Sometimes, people find it difficult to communicate with native speakers as their accent, tone is
highly influenced from their culture (Trehan and Glover, 2019). In context of Sainsbury, they
face the issue of misinterpretation and lack of communication due to diversify work force. Here,
individuals are likely to use their native accent, words while communicating with others. It might
create communication issues and further affect the personal relations of staff members.
Cultural Misunderstanding: A diversified workforce includes people belong from
different culture. There are different rituals, values; principles are followed by different culture.
In Sainsbury, the culture different among employees is an emerging issue. Due to this,
employees found it difficult to interact with each –other. Sometimes, it creates constraint in
transmission of message and business information within the company.
Discrimination: It is the major issue of diversified workforce wherein employees are
discriminated based on gender, religion, caste and nationality. In Sainsbury, they make sure to
maintain diversify environment where they provide equal opportunity to all staff members. Main
aim of the company is to promote inclusion. However, the company has been faced controversies
due to its announcement to support for Black history month. This practice of Sainsbury was
opposed by Laurence Fox who is well-known personality in UK. The campaign become great
issue for the company and also affected its image adversely (Laurence Fox says he is boycotting
Sainsbury's for 'promoting racial segregation and discrimination' after it announced support for
Black History Month, 2020)
Slower decision making: In decision making, employees of the company also play a
crucial role. They share their ideas, perspectives so that organization can maximize its output
(Gordon, 2018). In context of Sainsbury, the entire decision making process get delay due to
diversification in work force. Here, each and every employee has different perspective and ideas.
It is quiet difficult to maintain coordination among work force that slower down the decision
making process.
Discuss despite of weaknesses, aspects of scientific management still apply in some
organizations
It is a theory which analyzes work flows to improve labor productivity and economic
efficiency. This theory is developed by Taylor in order to manage the efficiency of workforce.
Main aim of this theory is to enhance the production within minimum possible time.

Additionally, this approach is about managing an organization scientifically. The approach of
scientific management is used in different industries. It is considered as one of the most useful
approach that is applied in different industries such as hospitality, manufacturing, production and
more across the globe. The theory of scientific management is known as Taylorism & rational
goal theory. Main principles of this theory are mentioned below:
Standardization of work methods: According to this principle a right job needs to
assign a right person. It is analyzed that efficiency of a person is developed while performing a
particular job over the period of time. In this, Taylor emphasized on right person for right job in
order to maintain standardized in goods and production (Merkle, 2018).
Equal division of work: This principle states that there is equal distribution of work
among employees. If one employee works more comparatively to others, it will reduce down the
efficiency over the period of time. Equal distribution of work is important in order to utilize the
maximum efficiency of workers. For this purpose, management is required to do proper
planning, organization and also needs to control the activities of staff.
Scientific selection of workers and their progressive development: As per this
principle, it is important to select the right person for a particular job. For this, it is required to
study the nature of job and then appoint suitable employee who has relevant skills to perform the
respective job.
Mutual collaboration of workers and management: There is requirement of mutual
collaboration and trust between managers and workers. A healthy environment needs to be
present in order to make maximum benefit of skills & capabilities of workers.
Weaknesses/Criticism of Scientific management:
 In Scientific management, main focus is on improving the productivity and achieving
high production efficiency. Due to this, employees become slave of managers as they
need to follow the policies prepared by managers in order to achieve excellence in
production. It might hamper the relation of managers and employees.
 It is analyzed that scientific management principles are impersonal and avoid
psychological approach in application. The main aim of these principles is to improve the

production efficiency. For this purpose, they even avoid the well-being of staff (Kearney,
2018).
 Management generally exploits the employees as they are not likely to share the positive
outcomes of the approach. Here, employees are unaware with the improvement in
production due to their efforts thus welfare of workers is not increased.
Apart from having ample of weaknesses of the scientific management approach, it still
applied by numerous organizations. It is due to the benefit of this approach. It helps in improving
the overall productivity and efficiency of the business entity. By effective application of
scientific management, it is possible to make optimum use of skills and potential of employees.
Under this, work is assigned to employees as per their competencies which further bring
standardization in production. To increase in the efficiency, majority of companies still apply the
concept of scientific management by ignoring the negative side of this approach.
Characteristics of the theory and also discuss why the theory has not still phased out entirely in
the operations of some organizations
Scientific selection and training: In the scientific management approach, workers are
selected on the basis of their education, skills, experience, capabilities and more. Employers are
required to assign such work which can perfectly align with the physical and technical skills of
employees. According to Taylor, there is requirement of proper training in order to improve the
efficiency of workers (Drucker, 2018).
Standardization: It is the most important feature of scientific management as per which
standardization needs to maintain in each and every aspect such as equipments & tools, volume
of work, working environments, cost of production and so on. It will help in improving
efficiency of production.
Scientific techniques: The main characteristic of scientific management is about using
scientific practices in recruitment, training, selection of workers etc.
Effective method: Under scientific management, there is focus on selection of the most
effective method in order to produce goods within minimum possible cost Lowood, 2020).
With above discussion, it is analyzed that scientific management is a crucial practice
which is used to minimize the production cost. It brings standardization in production and also

helps in minimizing the cost. However, there are numerous companies which still do not apply
this theory due to the adverse impact of this approach. It might hinder the relationship of
management and employees. As employees start to consider themselves as the slave of
management. It hamper the creativity of workers as they are required to follow the guidelines of
administration. Implication of scientific management has an adverse impact over innovation and
creativity within the entity. Therefore, some companies still not phased out the scientific
approach entirely in their operations.

Conclusion
To conclude, it is said that diversity in work force is important to enhance overall level of
productivity of the organization. It is analyzed that Sainsbury faced ample of challenges while
implying diversified practices among the workforce. Further scientific management is applied by
companies to improve production capacity despite of having ample of weaknesses. This
approach helps company in carrying out production in an economical way.

References
Books and journals
Drucker, P.F., 2018. The new productivity challenge. In Quality in Higher Education (pp. 37-
46). Routledge.
Gordon, P.A., 2018. Age diversity in the workplace. In Diversity and inclusion in the global
workplace (pp. 31-47). Palgrave Macmillan, Cham.
Guerrero, M., 2020. Does workforce diversity matter on corporate venturing?. Economics of
Innovation and New Technology, pp.1-19.
Kearney, R., 2018. Public sector performance: management, motivation, and measurement.
routledge.
Lowood, H.E., 2020. 11. The Calculating Forester: Quantification, Cameral Science, and the
Emergence of Scientific Forestry Management in Germany. In The quantifying spirit in
the eighteenth century (pp. 315-342). University of California Press.
Maturo, F., Migliori, S. and Paolone, F., 2019. Measuring and monitoring diversity in
organizations through functional instruments with an application to ethnic workforce
diversity of the US Federal Agencies. Computational and Mathematical Organization
Theory, 25(4), pp.357-388.
Merkle, J.A., 2018. Scientific management. In Defining Public Administration (pp. 169-179).
Routledge.
Syed and et. al., 2019. Managing workforce diversity in multicultural organizations: some
observations. Journal of European Studies, 35(1), p.79.
Trehan, K. and Glover, J., 2019. Creating a diverse workforce. In Reimagining the future public
service workforce (pp. 125-134). Springer, Singapore

Online
Laurence Fox says he is boycotting Sainsbury's for 'promoting racial segregation and
discrimination' after it announced support for Black History Month, 2020. [Online] Available
through: https://www.dailymail.co.uk/news/article-8803619/Laurence-Fox-says-boycotting-
Sainsburys-promoting-racial-segregation-discrimination.html />