Table of Contents INTRODUCTION...........................................................................................................................1 LO 1.................................................................................................................................................1 P1 Defining and comparison among various role and characteristic of the leader and manger-1 P 2 Roles of leader and functions of manager in different business situations...........................4 P 3 Different theories and models of leadership..........................................................................5 LO 3.................................................................................................................................................7 P4 Approaches to Operations Management and role of managers and leaders in Operations Management................................................................................................................................7 P5 Importance and value of operations management in achieving business objectives..............9 LO 4...............................................................................................................................................10 P6 Factors in business environment that affect Operations Management and Decision-making by Leaders and Managers..........................................................................................................10 CONCLUSION..............................................................................................................................13 REFERENCES..............................................................................................................................14
INTRODUCTION Management operations is the policies and practices of organisation which makes the business effective and efficient. Management and operations department of a company help in increasing profits of the company and it is an important aspect which also help in effective management of the company. It involves planning, organising, directing and controlling the process to makes improvements in the business practices which leads to the achievements of organisational goals. This report discusses about the management and operation strategies of Sainsbury which is the largest company of supermarket across the world. Its headquarter is at the London, UK. Sainsbury sales large variety of products and services to the people of all over the world. This report includes comparison between the different roles and characteristics of a leader and manager in the organisation. This report also explains the role of leader and manager play in an organisation. Different models and theories of leadership which helps the leader to improve their skills and understanding while they are performing task in the business are also involves in this report. In this report, there is also different approaches of operation management such as TQM, Kaizen and JIT. This reports determine the impact of business environment on decision- making and operational management by the managers and leaders. LO 1 P1 Defining and comparison among various role and characteristic of the leader and manger- The concept of leadership and leader- Leadership in a business is capacity of organization's management for setting and achieving challenging goal, taking quick and decisive actions when it is required, outperforming competition, and inspiring other for performing at high level they could (Reid and Sanders, 2019).Leadershipincludeshowcasingworkerhoweffectivelytheycouldperformtheir responsibility and regular supervising completion of the task. A Leader is a person who is involved in leading or commanding an organisation or group. The concept of management and manager: Management refers to the process of effective maintaining and designing the atmosphere in which the people working in the organisation so that they become focused to achieve the goals and objectives. Manager performs all the functions of management to get the result done successfully. The manager always focusses on the success growth of business in order to make 1
the plans and organise in the such a manner that the employees will work effectively and leads to the growth of business. Roles: Basis of comparisonLeaderManager FacilitatorsAs a leader of Sainsbury they play the role of facilitator by helpingtheirsubordinatesto make their working easier so thattheywillreachtothe target easily. In organisation manager have to create the atmosphere where each and every thing are easily available for the employees in an organisation. DirectionMost important role of leader is to provide the vision to their subordinates so they as per the instruction of leader to achieve goals.(Gibson and Parkman, 2018).Thisroleofleader makestheirsubordinates focused to meet the success of the organisation It is the role of a manager to createshort-termgoalsfor their employees. This allows employeestoachievethe targets in an effective manner. AgentsLeader is the effective decision makerwhichtakesthe decision related to the growth and expansion of business by applyingdifferentbusiness practices.Leadersofthe companyarealsocalled changeagentsastheylike innovation. Whileasamanagerof Sainsburymaintainstheir status quo and always remain stick to their work. FocusIn the business of Sainsbury leader also have the role of Whenthereisanykindof disturbance and dispute occur 2
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delegatorinwhichthey allocatetheworktothe employees as per their skills and talent. intheorganisationthenthe managerplaystheroleof disturbancehandlingby solving each and every aspects of disputes. RiskLeaders of the Sainsbury are always willing to take risk. Whileasmanagersofthe companyplaysaneffective role in management of risk. Characteristic: Basis of comparisonLeaderManager QualityThe essential quality of good leaderistheirhonesty.This characteristics of leader makes theemployeeseffectiveand essential in the business. Managerhavetheabilityto lead the people working in the company. Leadership qualities is effective for the leader to managetheworkforce effectively. ConfidenceThe leader is confident enough thattheirteammemberwill accuratelyfollowtheir commandsanddirections. Confidence is the key which leadstothesuccessand growthofleaderandtheir team along with the company. In the business manager have thestrongskillsof communication.Mangersare less confident as they cannot take decisions of their own but requires suggestions. AbilityTheyhavetheabilityand capabilitytoinspireand encourageothertowardsthe commongoalsofbusiness (White,2016).Byapplying Managerhavetheabilityto planeachandeverystep before performing. They know thegoalsandobjectivesof Sainsbury and how to directs 3
different actions in leader will inspire their sub ordinates. theemployeessothatthey achieve them. Effective CommunicationImportantcharacteristicsof leaderisthatthey communicateeffectively vision and strategy to meet the success in the future. There is always a two-way process of communication. Whileasmanagerofthe companywhile communicatingwithits employeesgenerallyisone process of communication. P 2 Roles of leader and functions of manager in different business situations. Role of leader in different situational context: Leader of the organisation is an important member of the company and play an effective role in achieving competitive advantage and success of the company. People follow the direction of leader to meet the specific success and growth. In the business operations there are various roles of leader such as motivator, decision-maker, influencer etc. For example, Sainsbury is launching the new products such as Stainless T-shirts for Men in UK in order to increase its profits and sales. Leader plays an important role in the process of launching the new products and services in the market. Leader guide and motivate their workers so that they could work in the most appropriate manner and increases the sales of new products in market (Heizer, 2016). By giving direction about how employees can achieve their sales targets and perform other business operation which helps the employees to get the result done successfully. In this case leader also motivates employees in achieving their sales targets and keep them engaged. This will make the employees focused in achieve the goals of launched goods and services. It is another role of a leader to measure the performance of their team member and determine that their team is working towards the set objectives or not. For example, for the management of conflicts in the workplace there is need of leader which makes the workplace effective by maintaining good working condition from solving the conflicts. A conflict arose between employees and management related to salary and long working hours. In this situation of business, it is the role of leader to minimise this conflict where it acts as intermediator between management and employees. Here leader plays an important role 4
trying to bring both the parties to negotiating terms (Steiss, 2019). In the organisation when Sainsbury faces an unexpected risk and uncertainties in business then to resolve them leader will handle all such uncertain situation and helps to offer the proper solution to these problems. Functions of manager in various business situations: Manager is the one who is fully responsible to manage the workforce in the most appropriate manner. Task and works of the leader are assigned by the manger to their team members. Planning, organising, directing and controlling are some of the function which is performed by the manager in the workplace of Sainsbury. For example, there are various functions which is performed by manager to attain success in the situation of product launch of Sainsbury. Planning is first function which is performed by manager by deciding various stets to accomplish the goals of products and services which is introduced in market. After completion of plan the manager will organise their team as per the plan by delegating different task and work according the skills and talent of employees. To avoid problem in introduction of products it is the role of a manager to set proper guidelines and develop various strategies for successful launching of Stainless T-Shirt in the market (Wild, 2017). So manager of company also plays the role of controller in this situation by controlling the activities of workforce that they are performing in the right direction or not. For example, to manage the conflicts in workplace, the functions of manager are to identify the root cause of the conflict and develop a strategy for minimising it in the future. As a decision maker manger takes the effective decision to solve the conflicts of the workplace so that employees will perform effectively. By communicating all the information and data with the workforce it will helps to decreases the risk and problem of disturbance in business. Manager review the performance of all people working in organisation and evaluates the result. P 3 Different theories and models of leadership. Different theories and models which is used by leader and manager in the workplace to achieve the success and growth in different situation of business. Manager and leader will properly manage the workforce by applying the different approaches of leadership so that they effective done the business operations. While launching a new product and managing the conflict leader of the organisation can use the three theories in the business which are explained below: Hersey and Blenchard situational model: 5
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This approach of leader and manager states that they will adjust their leadership styles according to the situation for the development of employees. For the accomplishment of needs and wants of other people leader will changes their style of working. There are four elements of this approach which is discussed below: Telling:leadergivesthedirectionandsupervisetheactivitiesofemployeesby maintaining low level of relationship with them. In the situation of product launch of Sainsbury leader guides their workers so that they effectively introduce the product in market. And supervise their work for the proper management of conflicts in business (Hopkin, 2018). Selling:Itdeterminethattheleaderprovidestheirideasandsuggestiontotheir subordinates by explaining the task. Leader will give the ideas to the employees about how launch the products in the most effective manner. Participating:The leader will give chances to their team member by involving them in the process of decision making so the employees will feel that they are valuable for the company (Mijumbi and et.al., 2016). This will help in the situation of managing the conflicts and maintain the good working environment. Delegating:Leader will provide less guidance to their workers and helps them in solving the problems. So this style is not applicable in the situation of launching the product and resolving the conflicts of company. System leadership: In this leadership style, leader of Sainsbury will apply the leadership style as per the situation faced or create the condition where people at all levels can work effectively. This leadership style is effective for launching of new product in the market. In order to make the launch a success leader of Sainsbury can create a condition like if any employee is able to achieve timely targets they will be rewarded. This will help in improving the performance of the employees in an organisation and result in success of new project. Fiedler's contingency theory: According to the contingency theory of leadership the most appropriate way to lead the people are explained by the situations. In the business of Sainsbury leader uses their leadership style according to the situation like for conflict management. In the situation of conflict, the leader motivate their employees to come to negotiating terms (Penn and Pennix, 2017). 6
LO 3 P4 Approaches to Operations Management and role of managers and leaders in Operations Management There are various approaches of Operations Management, some of these are as follows- Six Sigma- This is a set of activities of management tools and techniques designed to improve business by reducing occurrence of errors. This technique is based on measurement to improve customer satisfaction (Allen, 2019). The main concept behind this approach is to reduce variations in the process. Model of Six Sigma for quality improvement is as follows- Define- This includes summarizing project plan. This includes clear specification of problem and what is the goal of quality improvement process. This also includes identification of customers and their requirements. This includes input from voice of customers, voice of business and voice of process. Measure- This phase involves collection of data which is relevant to the project. This phase focus on the identifying parameter that needs to be quantified and ways in which the data can be measures and carry out necessary measurement by technique. Analyse- This involves finding main cause of the problem. This involves identifying gap between actual performance and gap performance. Determine why the gap exist and opportunities to reduce this gap. Improve- This phase involves determining the potential solutions, ways to implement them and testing and implementing them for improvement. Control- This phase includes generating a detailed solution monitoring plan. This plan is prepared to see that required performance is maintained. Role of leader and managerof Sainsbury's in this is to identify the gap between what shouldbethequalityofperformanceinSainsbury'sandwhatistheactualqualityof performance.Otherroleofleadersandmanagerexceptimplementationofplaninthe organisation is to execute proper control so that gap in the ideal and actual processes is timely identified. Kiazen This term refers to change for better. This is a philosophy of operation management regarding the processes that continuously improves and involves all employees in the process 7
(Pinto and et.al., 2018). Kaizen philosophy sees improvement in productivity as a gradual process. 5 S framework of Kaizen is- Seiri/Organize- It includes that necessary workplace items from unnecessary workplace items. Seiton/Create Orderliness- This requires arranging items to allow for easy access. Seiso/Cleanliness- Keep the workplace clean and tidy. Seiketsu/standardized cleaning- Systemize workplace clean-up best practices Shitsuke/discipline- keep the efforts continue. In thisrole of leader and managerof Sainsbury's is to implement all the correct functioning in the organisation so that it allows for continuous improvement. Leader needs to ensure and implement practice in Sainsbury's and manager needs to ensure that these practice is properly and effectively followed in the company. Just In Time (JIT) In this approach of operations management production is undertaken by the company whenitisdemanded.Thisapproachofoperationsmanagementavoidsprioranticipated production (Amin and et.al., 2018). This is done to avoid cost of carry out and maintenance of products until they are sold. The main aims behind this is that it Eliminate defects and waste- JIT produces products on time when these are required so it utilizes best of production capacity and eliminates waste. Balancing the flow and scheduling the output- this allows maintaining flow and scheduling of output as output is produced and supplied on the time its need occur. Maintenance of equipment and machinery for flawless operations- In this manager have to ensure that equipment and machinery for flawless operations so that these things do not create any last minute contingency. Role of leader and managerof Sainsbury's in this is to have strong harmonious relations with all suppliers as this approach requires that suppliers of the company can be trusted and are ready to supply material whenever the need occurs. Other important role that managers play in this is to see that the facility is ready to undertake production activities whenever there is a demand for the product. 8
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P5 Importance and value of operations management in achieving business objectives Operations Management refers to administration of business activities in order to get highest possible efficiency within the organisation (Ravinder and Kollikkathara, 2017). These operations are concerned with converting labour and material into final goods and products, management of these is to get the best possible efficiency and maximum profits. Operations Management involves utilization of resources from employees, equipment and technology. Different operational function in Sainsbury's are- Process Design- this involves designing of the process which is followed in company to manage production and operational activities. This process needs to be in such form that it facilitates processes and also reduce unnecessary elements from the process which cause any type of extra cost for the product. Sainsbury's is a retail organisation their process includes that how customers will get their things and how they will be attended and their billings will be handled. Which goods are kept where is also a part of process design in the Sainsbury's. Capacity Management- this includes that capacity of the production facility is properly utilized and enable production unit to produce to its best capacity and also ensure that any kind of process does not force production unit for more than its capacity (Cachon, Girotra and Netessine, 2020). In Sainsbury's they are required to see that their store is capable for holding a limit of goods in it and it does not store goods more than its capacity to keep them safe and avoid their wastage. Transformation of raw material into finished goods - Converting raw material into finished goods with help of labour and by adding assistance from various equipment and technology. Objectivesof Sainsbury's are- Giving the best service to the customers. high quality products every time they shop from Sainsbury's. Reduction of Waste. Maximization of investment. Sainsbury's is a business organisation and that is why it is really valid that Sainsbury's have all these objectives so that it is able to achieve its main objective of profit maximization. To ensure that it is able to give best service to its customers Sainsbury's ensures that its staff are 9
perfectly treated. Sainsbury's considers that inly happy staff is able to ensure that customer has a happy experience of Sainsbury's. This is why operational management is very important and it is required that Sainsbury's Operations Management is effective so that it will be able to achieve its objectives. In context with Sainsbury's importance of Operations Management is as follows Supporting the company's strategies- Strategies which are developed by top management are achieved and employed with help of operations management. Operation management ensues that all the equipment that are required to make possible that company achieves its strategies at the end of every operation. Product Quality- It is very important that quality of a product is good so that company is able to stand out in the market and in the competition as well. This is possible only when operation management is effective of the company (Hammer, 2019). Product not only need to have high quality but company must ensure that its product looks different from its competitors' product so it can attract more customers. It enables to utilize resources to optimum level- Operations management ensures that resources of the company are utilized to the best level and optimum potential and which fulfils objectives of the company which is to reduce wastage. Improve Productivity of employees- Improves productivity of employees as operational management seeks to use all the resources to best level and one important resource of the company is its employees and Sainsbury's is a retail company and that is why importance of employees is more because they directly deal with customers which are affected by motivation and performance of employees which ultimately affect profitability of the organisation. LO 4 P6 Factors in business environment that affect Operations Management and Decision-making by Leaders and Managers Factors that affect Operations Management and decision-making by Leader and Managers are- Corporate Social Responsibility (CSR)- CSR refers self-regulating business model which helps and requires companies to be socially accountable (Su and et.al., 2016). This is an important factor as operation management is likely to get affected by as operation management which is concerned with production in theSainsbury'sand production affects environment which 10
is a part of CSR. Companies have to ensure that any of their production and manufacturing does not affect environment in any negative manner. This affect decision of managers and leaders they have to ensure that their production processes are safe for environment. CSR includes providing quality products bySainsbury'swhich is not harmful for users which also affects operation management in context with quality of operation management and decisions of managers which decide quality of the product which will be provided by operation management. Leaders of company has to ensure that all the activities are done in a manner so that CSR responsibility of business can be fulfilled. They ensure that stakeholders such as customers get benefit with the operational activities of company. Hence leaders of Sainsbury take decision of enhancing quality of products by using advance technology that impacts positively on operations and operational efficiency of firm get raised. Corporate objectives- This is the main factor that affect operational management as two objectives of theSainsbury'sshould not conflict with each other. Objectives of the organisation affect operations management as if objective of the firm is to produce high quality product than it is not right and ideal that other objective of the company is to have the lowest cost per unit. This also affect decision-making of the company's managers and leaders (Joglekar, Davies and Anderson, 2016). Their decisions are most likely to affect achievementof objectivesof organisation and objectives of organisation which are also decided by leaders and managers also get affected their decisions. Leaders and managers of Sainsbury always concentrate on implementing such activities or applying the systematic process so that corporate objective can be met. Hence they train workers and motivate them so that talent retain in firm and all the employees put best efforts to meet objective of company. This kind of process enhances operational efficiency because people ensure to make minimum mistakes. Culture- Culture of theSainsbury'sis also an important factor that affect its operation management. Culture includes various factors and parts in it and which affect decision-making andoperationalmanagementofthecompany.Partsofculturewhichaffectoperation managementaredecision-makingstructure,organisationintegrationandhumanresource development. All these factors when are favourable it positively affects operation management. LikeiforganisationalcultureencouragesHumanresourcedevelopmentthentheyenable themselves to have best available talent and which later contribute to effective operation 11
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management. On the other hand, if organisation does not have proper integration in itself then their coordination will not be effective which will result in ineffective operation management. Decision-making also get affected from culture of the organisation as culture have elements like decision-making power and to what extent employees are free to speak up and give their contribution in decision-making to improve organisational processes. Culture impacts on employee’s behaviour, leaders and manager create good culture so that workers feel happy. If they are satisfied, then they will make more efforts to meet the company’s goal. This enhances communication at workplace and people interact with each other properly and exchange views. This helps in getting innovative ideas and raising quality of operational process as well. Values- Values are result of Sainsbury's leader and managers' perception and thoughts and the same thinking affects decision-making of the managers' and leaders'. Values of leaders and managers decide what type of quality they want to have in their operations which in result produce output of that quality only. In this if values of leaders are such that they want to have best quality output then operation management will be functioned in different manner and on the other hand if managers are interested in having low cost output than operations will be managed in different manner. Company’s values matters a lot, if creates positive image in the mind of stakeholders. Sainsbury’s leaders minimises conflicts of employees quickly and create good values so that workers like to work here for longer duration. This retain skilled staff members those who are capable of doing well and managing operations well. Hence activities are done in systematic manner which increases chance of raising operational efficiency. Competition- This one of the most important factor that have capacity to affect operation managementofanycompanyincludingofSainsbury's(Megheirkouni,2016).Operation management decidesSainsbury'scapacity to compete in the market by providing low cost high quality product when operation management is carried out effectively then these things are favourable and allows company to stand out in competition. Similarly, decisions of manager and leaders also are affected by competition. Managers and leaders decide at what place and position they want to see themselves in competition and which affect their decisions and later in what way they manage operations of the organisation. By this mistakes get minimises and new ideas 12
are implemented by leaders that help in improving quality of worker. Hence operational process and activities in Sainsbury are completed in effective manner. CONCLUSION On the basis of above discussion, it can be concluded that top-level managers which are considered to be leading the company because of many similarities in the functions of leader and manager. These similarities do not justify that leaders and managers are same and that is why difference in leader and manager have been discussed in this report on the basis of their characteristics and functions. Various roles which are played by leader and manager have also been discussed in this report in some specific context. Different theories of leadership like situational, contingency and system leadership have also been included in this report. situational leadership in which suggest to match leaders with situation and contingency leadership suggest to match situation with leader. In other part of the report operation management and its approaches have been discussed. In this operation management refers to administration of activitieswhichareundertakenduringproductionprocesses.Thishasbeenfollowedby discussion over roles which are played by leaders and managers in various approaches of operation management. Lastly report includes impact of various factors of business environment on operation management and decision-making of managers and leaders. 13
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Online The Difference Between Leadership and Management.2020.[Online]. Available through: <https://www.nextgeneration.ie/blog/2018/03/the-difference-between-leadership-and- management>. Operations Management: Definition, Principles, Activities, Trends.2020.[Online]. Available through:<https://www.cleverism.com/operations-management-definition-principles- activities-trends/>. 15