Operations Management: Leaders, Managers, and Business Objectives
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This assignment explores the roles of leaders and managers in operations management, examining their distinct functions and how they adapt to different situational contexts. It delves into key operations management approaches like Six Sigma, Lean Production, and Just-in-Time, highlighting their impact on achieving business objectives. The paper also analyzes the influence of factors like Corporate Social Responsibility (CSR), organizational culture, stakeholders, and sustainability on decision-making within operations management.
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Management and Operations
1
1
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Table of Contents
Introduction (200)..........................................................................................................3
Scenario 1 (LO 1 & LO 2).............................................................................................4
Task 1...........................................................................................................................4
Scenario 2 (LO3 and Lo4)..........................................................................................12
Task 2.........................................................................................................................12
Conclusion (200).........................................................................................................20
References.................................................................................................................21
2
Introduction (200)..........................................................................................................3
Scenario 1 (LO 1 & LO 2).............................................................................................4
Task 1...........................................................................................................................4
Scenario 2 (LO3 and Lo4)..........................................................................................12
Task 2.........................................................................................................................12
Conclusion (200).........................................................................................................20
References.................................................................................................................21
2
Introduction
The main aim of the assignment is to reflect the traits and roles of managers and
leaders in the operations management of the organization. In this assignment, the
difference between the role of a manager and a leader has been discussed.
Furthermore, the function of a manager and then role of a leader in diverse situations
such as fast changing situations, slow to moderate changing situations, and stable
situations has been demonstrated. Different models and theories will be applied to
understand the approach that must be followed for the operations management to
perform efficiently. Some of the theories that are going to be applied are situational,
leadership, contingency leadership, and systems leadership. In addition, theories
and approaches to operations management like six-sigma, total quality
management, queuing theory, lean production, just in time, and continuous
improvement (kaizen) will be exemplified related to organizations. The significance of
operations management in accomplishing the organizational aims and objectives will
be discussed. The factors like Organizational culture, CSR, Stakeholders, and
Sustainability methods, and its influence on the decision-making process of the
leaders as well as managers are going to be discussed.
3
The main aim of the assignment is to reflect the traits and roles of managers and
leaders in the operations management of the organization. In this assignment, the
difference between the role of a manager and a leader has been discussed.
Furthermore, the function of a manager and then role of a leader in diverse situations
such as fast changing situations, slow to moderate changing situations, and stable
situations has been demonstrated. Different models and theories will be applied to
understand the approach that must be followed for the operations management to
perform efficiently. Some of the theories that are going to be applied are situational,
leadership, contingency leadership, and systems leadership. In addition, theories
and approaches to operations management like six-sigma, total quality
management, queuing theory, lean production, just in time, and continuous
improvement (kaizen) will be exemplified related to organizations. The significance of
operations management in accomplishing the organizational aims and objectives will
be discussed. The factors like Organizational culture, CSR, Stakeholders, and
Sustainability methods, and its influence on the decision-making process of the
leaders as well as managers are going to be discussed.
3
Scenario 1 (LO 1 & LO 2)
Task 1
Define and compare the different roles and characteristics of a leader and a
manager (P1)
Leaders:
A leader is defined as an individual who commands and leads a group within an
organization towards the organizational aim and objectives. The main purpose of a
leader is to motivate the employees to ensure they perform well concerning with the
tasks allocated to them. Leadership is the ability of an individual to influence the
employees to participate and work dedicatedly towards the goals and objectives of
an organization (Northouse, 2018).
Functions of Leaders:
The role of a leader within a firm is to inspire and encourage the employees to
ensure they work efficiently towards the organizational goals and objectives. Leaders
of Asda play a highly significant role in the process of taking flexible, decisive, and
swift actions. Another main function of the leaders is to make sure that their
organization is able to gain the competitive edge in the market. Leaders having
excellent leadership abilities grant direction to the firm (Lussier and Achua, 2015).
Direction is must for the employees in order to make sure they work in a proper
manner. Leaders of Asda supervise the allocated tasks to the workforce on a regular
basis to make certain they are progressing and working well enough.
The seven of the ten golden rules of leadership within the leaders of Asda are
as follows:
Knowing one-self:
The leaders should be well aware of the weaknesses and strengths possessed by
them.
Cultivation of community within the workplace:
4
Task 1
Define and compare the different roles and characteristics of a leader and a
manager (P1)
Leaders:
A leader is defined as an individual who commands and leads a group within an
organization towards the organizational aim and objectives. The main purpose of a
leader is to motivate the employees to ensure they perform well concerning with the
tasks allocated to them. Leadership is the ability of an individual to influence the
employees to participate and work dedicatedly towards the goals and objectives of
an organization (Northouse, 2018).
Functions of Leaders:
The role of a leader within a firm is to inspire and encourage the employees to
ensure they work efficiently towards the organizational goals and objectives. Leaders
of Asda play a highly significant role in the process of taking flexible, decisive, and
swift actions. Another main function of the leaders is to make sure that their
organization is able to gain the competitive edge in the market. Leaders having
excellent leadership abilities grant direction to the firm (Lussier and Achua, 2015).
Direction is must for the employees in order to make sure they work in a proper
manner. Leaders of Asda supervise the allocated tasks to the workforce on a regular
basis to make certain they are progressing and working well enough.
The seven of the ten golden rules of leadership within the leaders of Asda are
as follows:
Knowing one-self:
The leaders should be well aware of the weaknesses and strengths possessed by
them.
Cultivation of community within the workplace:
4
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The leaders should be righteous enough to raise or cultivate the place of work
through providing appropriate rewards, support, and supervision to the workforce
within the organization.
Office portrays the person:
Authority of the firm discloses the feelings of leaders buried within them. This brings
out the procedure concerning if the leader has discovered himself and is honest.
Appreciating the truth:
The leaders of an organization must always appreciate the truth. He or she being the
leader of the company must be on the side of favour of the individual who is the
speaker of truth in the firm.
Avoiding the things that cannot be changed by the leader:
The leaders of the organization must be intelligent and sensible enough to make
sure they do not use the resources on the operations that they would not be able to
change.
High standard living:
The leaders within an organization should lead their lives on practice of higher codes
to make sure that they are decorous and honourable for the firm.
Promotion of rivalry to bring out talent:
Leaders of a company should always endorse competition and rivalry in between the
employees of the organization to disclose the employees those are talented and
beneficial for the firm.
Managers:
A manager is a person who gets the things done by influencing the employees within
the organization through their managerial skills. Manager is the person who takes up
the charge of the tasks assigned to the group of individuals or the employees of the
organization. The main purpose of the managers is to control and coordinate the
activities of the workforce regarding the operations carried out by them (Bolden,
2016). It is the duty of the managers to keep a track of the activities conducted by
5
through providing appropriate rewards, support, and supervision to the workforce
within the organization.
Office portrays the person:
Authority of the firm discloses the feelings of leaders buried within them. This brings
out the procedure concerning if the leader has discovered himself and is honest.
Appreciating the truth:
The leaders of an organization must always appreciate the truth. He or she being the
leader of the company must be on the side of favour of the individual who is the
speaker of truth in the firm.
Avoiding the things that cannot be changed by the leader:
The leaders of the organization must be intelligent and sensible enough to make
sure they do not use the resources on the operations that they would not be able to
change.
High standard living:
The leaders within an organization should lead their lives on practice of higher codes
to make sure that they are decorous and honourable for the firm.
Promotion of rivalry to bring out talent:
Leaders of a company should always endorse competition and rivalry in between the
employees of the organization to disclose the employees those are talented and
beneficial for the firm.
Managers:
A manager is a person who gets the things done by influencing the employees within
the organization through their managerial skills. Manager is the person who takes up
the charge of the tasks assigned to the group of individuals or the employees of the
organization. The main purpose of the managers is to control and coordinate the
activities of the workforce regarding the operations carried out by them (Bolden,
2016). It is the duty of the managers to keep a track of the activities conducted by
5
the employees of the organization on a regular basis. Managers are also responsible
for planning the budget, strategies, and organizing the tasks of the employees.
Functions of Managers:
The function of the managers of Asda is to look after the operations management of
and the human resource management of the firm. Managers are the person
responsible for planning, directing, coordinating, and controlling the operations of the
firm. One of the major purposes of managers is to ensure that they get the work
done by the workforce within the organization in numerous ways . Managers deceive
the employees in such a manner that they start performing well regarding the
activities and showing commitment towards the organizational aims and objectives.
Planning:
Planning is the most essential responsibility and duty of the managers. Managers
are the person planning the tasks of the employees and the manner in which the
operations of the firm will be conducted in order to attain the goals and objectives of
the organization (Open.lib.umn.edu, 2018). The managers of the company
depending upon the skills of the employees and the requirements of the company to
attain organizational aims and objectives plan the tasks of the workforce within Asda.
Directing:
Directing is one of the most crucial responsibilities of the managers. The managers
are the one accountable for directing the workforce within the firm to make sure they
perform in such a manner that it is beneficial towards the goals and objectives of the
company. Managers direct the employees carrying out the operations to ensure they
work in an effective manner.
Coordinating:
The managers of the organization play a highly significant role when it comes to
ensure effective coordination among the individuals and the operations as well as
human resource department of the firm.
Controlling:
6
for planning the budget, strategies, and organizing the tasks of the employees.
Functions of Managers:
The function of the managers of Asda is to look after the operations management of
and the human resource management of the firm. Managers are the person
responsible for planning, directing, coordinating, and controlling the operations of the
firm. One of the major purposes of managers is to ensure that they get the work
done by the workforce within the organization in numerous ways . Managers deceive
the employees in such a manner that they start performing well regarding the
activities and showing commitment towards the organizational aims and objectives.
Planning:
Planning is the most essential responsibility and duty of the managers. Managers
are the person planning the tasks of the employees and the manner in which the
operations of the firm will be conducted in order to attain the goals and objectives of
the organization (Open.lib.umn.edu, 2018). The managers of the company
depending upon the skills of the employees and the requirements of the company to
attain organizational aims and objectives plan the tasks of the workforce within Asda.
Directing:
Directing is one of the most crucial responsibilities of the managers. The managers
are the one accountable for directing the workforce within the firm to make sure they
perform in such a manner that it is beneficial towards the goals and objectives of the
company. Managers direct the employees carrying out the operations to ensure they
work in an effective manner.
Coordinating:
The managers of the organization play a highly significant role when it comes to
ensure effective coordination among the individuals and the operations as well as
human resource department of the firm.
Controlling:
6
The foremost duty of the managers is to control the employees and the operations of
the organization. Managers are the person who control the activities of the
organization carried out by the employees. It is the duty of the manager to ensure
employees performing the tasks in an efficient manner. Managers control operations
in a proper manner to ensure that the operations are beneficial towards the aims and
objectives of the company.
Difference between the roles of leaders and managers:
Basis of Comparison Leaders Managers
The manner of App
roach
Motivating the employees
to perform well (Rpi.edu,
2018)
Manipulating the
employees to get their
work done
Style Look for the evolution of
employees
Look to benefit from the
employees
Traits Focus on predicting the
future of the organization
Focus on creating the
future of the firm
Decision Makes the process of
decision making easy
Makes the decisions
(Rpi.edu, 2018)
Concentrate enhance the efficiency of
the employees of the
company
Enhancement of the
process and the
operations of the firm
Aim Development and growth
of the company
Achieving the
organizational goals and
objectives
Risks Looks forward to mitigate
the risks
Decides to take the risks
and overcome them
Conflicts Leaders make use of the
conflicts
Managers always attempts
to avoid the conflicts
Alterations Leaders appreciate Managers respond to the
7
the organization. Managers are the person who control the activities of the
organization carried out by the employees. It is the duty of the manager to ensure
employees performing the tasks in an efficient manner. Managers control operations
in a proper manner to ensure that the operations are beneficial towards the aims and
objectives of the company.
Difference between the roles of leaders and managers:
Basis of Comparison Leaders Managers
The manner of App
roach
Motivating the employees
to perform well (Rpi.edu,
2018)
Manipulating the
employees to get their
work done
Style Look for the evolution of
employees
Look to benefit from the
employees
Traits Focus on predicting the
future of the organization
Focus on creating the
future of the firm
Decision Makes the process of
decision making easy
Makes the decisions
(Rpi.edu, 2018)
Concentrate enhance the efficiency of
the employees of the
company
Enhancement of the
process and the
operations of the firm
Aim Development and growth
of the company
Achieving the
organizational goals and
objectives
Risks Looks forward to mitigate
the risks
Decides to take the risks
and overcome them
Conflicts Leaders make use of the
conflicts
Managers always attempts
to avoid the conflicts
Alterations Leaders appreciate Managers respond to the
7
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changes within the
organization
changes and analyzes if
the changes are beneficial
or not
Efforts Leaders search for
effectiveness i.e. “doing
the right thing”
Managers search for
efficiency i.e. “doing
things right”
Skills Leaders have the skills to
influence the employees of
the organization
Managers have the
supremacy and power
over the employees of the
firm
Table 1: Difference between the roles of leaders and managers
Source: (created by learner)
8
organization
changes and analyzes if
the changes are beneficial
or not
Efforts Leaders search for
effectiveness i.e. “doing
the right thing”
Managers search for
efficiency i.e. “doing
things right”
Skills Leaders have the skills to
influence the employees of
the organization
Managers have the
supremacy and power
over the employees of the
firm
Table 1: Difference between the roles of leaders and managers
Source: (created by learner)
8
Examine examples of how the role of a leader and the function of a manager
apply in different situational contexts (P2)
In the firms, numerous situations take place while the operational activities are being
carried out within the organization. It is the first and foremost responsibility of the
leaders and managers to respond to the situations quickly. Leaders as well as
managers of Asda play a highly significant role during the situational changes. The
difference in the approach of managers and leaders of Asda are discussed in details
below:
Fast changing situations:
When the situation changes fast the leaders and the managers of the firm has to
respond quick enough because in fast changing situations that changes take place
at a rapid rate and might turn out being detrimental for the operations of the firm. In
this kind of situation, leaders of Asda adapt to the alterations swiftly and help the
employees to get accustomed to the changes that are taking place within the
organization. Just because of the occurrence of rapid changes in the environment of
the business, it becomes quite tough for the individuals to get accustomed to the
changes and as a result, it affects the performance of the employees due to
inefficiency in performance (Heizer, 2016). Inefficiency in performance creates a
negative impact on the operations of the company. On the other hand, in fast
changing situations the managers of Asda play a highly significant role as they take
swift and efficient decisions regarding the operations of the firm. The managers are
bound to make immense changes within the organization in a very short amount of
time in order to ensure that the operations fit to the changes.
Slow to moderate changing situations:
In slow to moderate situations substantial and noticeable changes take place within
the business environment of the firm. The changes occur gradually in this type of
situations ranging from being slow to moderate. Any kind of changes that take place
might influence the operations of the company in a positive as well as negative
manner. The changes influence the internal as well as the external business
environment of the organization. The changes taking place from being slow to
moderate the leaders of Asda sways the employees to adapt to the alterations in
9
apply in different situational contexts (P2)
In the firms, numerous situations take place while the operational activities are being
carried out within the organization. It is the first and foremost responsibility of the
leaders and managers to respond to the situations quickly. Leaders as well as
managers of Asda play a highly significant role during the situational changes. The
difference in the approach of managers and leaders of Asda are discussed in details
below:
Fast changing situations:
When the situation changes fast the leaders and the managers of the firm has to
respond quick enough because in fast changing situations that changes take place
at a rapid rate and might turn out being detrimental for the operations of the firm. In
this kind of situation, leaders of Asda adapt to the alterations swiftly and help the
employees to get accustomed to the changes that are taking place within the
organization. Just because of the occurrence of rapid changes in the environment of
the business, it becomes quite tough for the individuals to get accustomed to the
changes and as a result, it affects the performance of the employees due to
inefficiency in performance (Heizer, 2016). Inefficiency in performance creates a
negative impact on the operations of the company. On the other hand, in fast
changing situations the managers of Asda play a highly significant role as they take
swift and efficient decisions regarding the operations of the firm. The managers are
bound to make immense changes within the organization in a very short amount of
time in order to ensure that the operations fit to the changes.
Slow to moderate changing situations:
In slow to moderate situations substantial and noticeable changes take place within
the business environment of the firm. The changes occur gradually in this type of
situations ranging from being slow to moderate. Any kind of changes that take place
might influence the operations of the company in a positive as well as negative
manner. The changes influence the internal as well as the external business
environment of the organization. The changes taking place from being slow to
moderate the leaders of Asda sways the employees to adapt to the alterations in
9
order to make certain that they perform well. On the other hand, the managers of
Asda involved in the operations management, HR management, and other
departments analyzes the changes that are taking place within the business
environment of the organization and seek out to figure out its impact on the
management and operations of the firm. The main aim of assessing the alterations is
to spot out the impact of changes whether it will be positive or negative concerning
with the operations of the company. If the managers consider the change being
beneficial for the operations and activities of the organization, he will insist the
leaders to promote change. Since managers are accountable for planning the tasks,
they make changes in the changing period to plan things properly that would be
suitable for new business environment.
Stable situations:
In stable situations, the leaders of Asda carry out their regular activities comprising of
motivating the employees, giving them direction, and making sure, they have proper
coordination while they work together towards the goals and objectives of the
company. The leaders also facilitate the decision-making process for the managers
of the firm. On contrary, the managers belonging from their respective departments
conduct their regular tasks do not show any reaction during stable situation. The
managers of Asda do not pressurize the employees regarding their jobs in stable
situation. Managers plan the tasks going to be conducted by the individuals based
on the situation.
10
Asda involved in the operations management, HR management, and other
departments analyzes the changes that are taking place within the business
environment of the organization and seek out to figure out its impact on the
management and operations of the firm. The main aim of assessing the alterations is
to spot out the impact of changes whether it will be positive or negative concerning
with the operations of the company. If the managers consider the change being
beneficial for the operations and activities of the organization, he will insist the
leaders to promote change. Since managers are accountable for planning the tasks,
they make changes in the changing period to plan things properly that would be
suitable for new business environment.
Stable situations:
In stable situations, the leaders of Asda carry out their regular activities comprising of
motivating the employees, giving them direction, and making sure, they have proper
coordination while they work together towards the goals and objectives of the
company. The leaders also facilitate the decision-making process for the managers
of the firm. On contrary, the managers belonging from their respective departments
conduct their regular tasks do not show any reaction during stable situation. The
managers of Asda do not pressurize the employees regarding their jobs in stable
situation. Managers plan the tasks going to be conducted by the individuals based
on the situation.
10
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Apply different theories and models of approach, including situational
leadership, systems leadership and contingency (P3)
This section will comprise of the different models being implemented to assess the
approach of managers and leaders regarding the operations and HR management of
the firm. The models are mentioned below:
Situational leadership:
Applying the model of situational leadership within the operations and HR
management of the firm helps the company to ensure the leaders of the organization
are effectively using the approach and style of leadership depending upon the level
of growth of the followers. As per stated by the theory, enthusiasm of the employees
are portrayed as the grouping of their competency level as well as commitment level
(McCleskey, 2014). It is the key aspect for deciding and settling upon the appropriate
approach and style of leadership. In the view of the fact that Asda follows situation
relationship model makes the leaders of the firm operate depending upon the group
of individuals assigned to them. It helps Asda to make the leaders perform in an
effective manner because according to this model, to perform efficiently leaders
should know the proper utilization and behaviour of correct approach at the right time
for developing the employees (Thompson and Glasø, 2015).
Systems leadership:
Applying the approach of systems leadership model within the organization and its
operational and management activities ensures that the managers and leaders
perform well towards the goals and objectives. The approach of systems leadership
assists the firm to overcome the problems and challenges faced by the organization,
by identifying the fundamental structure of systems operating within the company.
According to this model of approach, each of the multinational company is itself a
system comprising of sub systems such as production system, recruitment system,
marketing system, promotion system, sale system, and financial system (Macdonald
et al., 2017). Asda operates on these sub systems and the outcomes are based as
per the eminence and quality of inputs of resources like staffs, technology, capital,
and the process of transformation transforming the inputs into outputs. Managers
11
leadership, systems leadership and contingency (P3)
This section will comprise of the different models being implemented to assess the
approach of managers and leaders regarding the operations and HR management of
the firm. The models are mentioned below:
Situational leadership:
Applying the model of situational leadership within the operations and HR
management of the firm helps the company to ensure the leaders of the organization
are effectively using the approach and style of leadership depending upon the level
of growth of the followers. As per stated by the theory, enthusiasm of the employees
are portrayed as the grouping of their competency level as well as commitment level
(McCleskey, 2014). It is the key aspect for deciding and settling upon the appropriate
approach and style of leadership. In the view of the fact that Asda follows situation
relationship model makes the leaders of the firm operate depending upon the group
of individuals assigned to them. It helps Asda to make the leaders perform in an
effective manner because according to this model, to perform efficiently leaders
should know the proper utilization and behaviour of correct approach at the right time
for developing the employees (Thompson and Glasø, 2015).
Systems leadership:
Applying the approach of systems leadership model within the organization and its
operational and management activities ensures that the managers and leaders
perform well towards the goals and objectives. The approach of systems leadership
assists the firm to overcome the problems and challenges faced by the organization,
by identifying the fundamental structure of systems operating within the company.
According to this model of approach, each of the multinational company is itself a
system comprising of sub systems such as production system, recruitment system,
marketing system, promotion system, sale system, and financial system (Macdonald
et al., 2017). Asda operates on these sub systems and the outcomes are based as
per the eminence and quality of inputs of resources like staffs, technology, capital,
and the process of transformation transforming the inputs into outputs. Managers
11
plan the intended output by collecting the resources required and guiding the
employees during the procedure as well as managing their activities.
Contingency leadership:
Asda follows and implements the approach of contingency leadership and according
to this theory, “there is no best approach to management for every situation”.
According to this model, managers of the organization are responsible for
determining the most appropriate approach of management that will be beneficiary
for the organizational operations concerning with the increase of sales and
profitability. Contingency leadership states that proper managerial approach is
necessary in order to be effective in the situations that can cause problems for the
management (Fiedler, 2015). It is the duty of the managers to identify and analyze
the key possibilities for a specific situation to make it fruitful for the firm. Managers of
Asda analyze the external environment of the organization that composes of
customer expectations, competition in market, conventions and internal business
environment involving the corporate strategies of the management department. This
helps the organization to change the roles of management and leadership as per the
situation.
12
employees during the procedure as well as managing their activities.
Contingency leadership:
Asda follows and implements the approach of contingency leadership and according
to this theory, “there is no best approach to management for every situation”.
According to this model, managers of the organization are responsible for
determining the most appropriate approach of management that will be beneficiary
for the organizational operations concerning with the increase of sales and
profitability. Contingency leadership states that proper managerial approach is
necessary in order to be effective in the situations that can cause problems for the
management (Fiedler, 2015). It is the duty of the managers to identify and analyze
the key possibilities for a specific situation to make it fruitful for the firm. Managers of
Asda analyze the external environment of the organization that composes of
customer expectations, competition in market, conventions and internal business
environment involving the corporate strategies of the management department. This
helps the organization to change the roles of management and leadership as per the
situation.
12
Scenario 2 (LO3 and Lo4)
Task 2
Explain the key approaches to operations management and the role that
leaders and managers play (P4)
Operations management comprises of the decisions, activities, and responsibilities
of managing production, distribution, and delivery of the commodities (Lib.mdp.ac.id,
2018). The main aim of the operations management is to make sure the operations
are effective and help in production as well as distribution of goods and services.
The management of the systems that manufactures goods and provides services is
called operations management.
Theories of Operations Management
Six-Sigma:
The theory was developed by Motorola in the year 1986. It portrays the cycle-time
enhancement and supports the operations management to eliminate the
shortcomings in the goods and services. Additionally, six-sigma focuses on
delivering quality products and services, enrich the quality of commodities, meet the
requirements of the consumers, and specify the problems in a appropriate manner
(Pyzdek and Keller, 2014).
Lean production:
Lean production focuses on doing more with less. This theory helps the organization
to decide the activities and processes that will contribute in mitigating the other
aspects of business (Dennis, 2016). Suppose any activity or process of Asda is
failing to add value then the operations management will allocate the resources to
other process that will assist in adding value to the firm.
Queuing theory:
This theory deals with the issues and challenges that already exist in the processes
kept on hold within the company. Queuing theory is utilized to build up an effective
13
Task 2
Explain the key approaches to operations management and the role that
leaders and managers play (P4)
Operations management comprises of the decisions, activities, and responsibilities
of managing production, distribution, and delivery of the commodities (Lib.mdp.ac.id,
2018). The main aim of the operations management is to make sure the operations
are effective and help in production as well as distribution of goods and services.
The management of the systems that manufactures goods and provides services is
called operations management.
Theories of Operations Management
Six-Sigma:
The theory was developed by Motorola in the year 1986. It portrays the cycle-time
enhancement and supports the operations management to eliminate the
shortcomings in the goods and services. Additionally, six-sigma focuses on
delivering quality products and services, enrich the quality of commodities, meet the
requirements of the consumers, and specify the problems in a appropriate manner
(Pyzdek and Keller, 2014).
Lean production:
Lean production focuses on doing more with less. This theory helps the organization
to decide the activities and processes that will contribute in mitigating the other
aspects of business (Dennis, 2016). Suppose any activity or process of Asda is
failing to add value then the operations management will allocate the resources to
other process that will assist in adding value to the firm.
Queuing theory:
This theory deals with the issues and challenges that already exist in the processes
kept on hold within the company. Queuing theory is utilized to build up an effective
13
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queuing system so it would assist in mitigating the queuing or waiting time of the
customers (Walker et al., 2015). Queuing theory helps Asda to increase the amount
of customers for providing them with quality goods and services. With the assistance
of this theory, Asda will be able to offer much better and faster services to the
customers. In addition, it would enable Asda to catch the attention and attract new
consumers as well as retain its existing clients at the same time.
Approaches of Operations Management
Just in Time (JIT):
The approach of Just in Time is defined as the strategy of managing the inventory
that is used to diminish resources waste and increase the efficiency by acquiring the
resources when it is required (Lai and Cheng, 2016). In order to implement this
approach, Asda should foresee the demand of products and services within the
consumers. The managerial department of Asda must criticize the accuracy and
reliability of the products and services going to be launched in the market. It would
assist the organization to increase the sale and profitability of the firm. It also makes
it easy for Asda to meet the needs and wants of the clients. Just in Time, approach
facilitates for Asda to preserve the resources required and the unnecessary
resources are not reserved.
Total Quality Management (TQM):
TQM is a management system portraying the principles every member of the firm
should entrust with and maintain work standards regarding the operations of firm
(Dale, 2015). Employees of Asda involve themselves in the improvement of
procedures, goods and services, which will support and help the firm to increase the
level of productivity. TQM aids the operation management of Asda to focus on the
development of operations conducted in the organization. TQM assists in enhancing
the procedures implemented for production. TQM enables the operation
management of Asda to check the progress of the employees. It also helps in
increasing the performance level and extenuating the resources waste.
Continuous Improvement (Kaizen):
14
customers (Walker et al., 2015). Queuing theory helps Asda to increase the amount
of customers for providing them with quality goods and services. With the assistance
of this theory, Asda will be able to offer much better and faster services to the
customers. In addition, it would enable Asda to catch the attention and attract new
consumers as well as retain its existing clients at the same time.
Approaches of Operations Management
Just in Time (JIT):
The approach of Just in Time is defined as the strategy of managing the inventory
that is used to diminish resources waste and increase the efficiency by acquiring the
resources when it is required (Lai and Cheng, 2016). In order to implement this
approach, Asda should foresee the demand of products and services within the
consumers. The managerial department of Asda must criticize the accuracy and
reliability of the products and services going to be launched in the market. It would
assist the organization to increase the sale and profitability of the firm. It also makes
it easy for Asda to meet the needs and wants of the clients. Just in Time, approach
facilitates for Asda to preserve the resources required and the unnecessary
resources are not reserved.
Total Quality Management (TQM):
TQM is a management system portraying the principles every member of the firm
should entrust with and maintain work standards regarding the operations of firm
(Dale, 2015). Employees of Asda involve themselves in the improvement of
procedures, goods and services, which will support and help the firm to increase the
level of productivity. TQM aids the operation management of Asda to focus on the
development of operations conducted in the organization. TQM assists in enhancing
the procedures implemented for production. TQM enables the operation
management of Asda to check the progress of the employees. It also helps in
increasing the performance level and extenuating the resources waste.
Continuous Improvement (Kaizen):
14
Kaizen or Continuous Improvement is described as the improvement of products and
services with the support of increasing improvements and piercing into the
marketplace (Chadha, 2017). To continue the process of enhancement within the
business Asda investigates and assesses the procedures conducted in order to spot
the problems and eradicate them. It is achieved by making small alterations instead
of making big changes in the systems. Kaizen helps the operation management of
Asda to make improvements in the consumers’ satisfaction level. Furthermore,
supports Asda to get rid of the processes not contributing towards the organizational
goals. Implementation of Kaizen enables Asda to assure the activities that are
carried within the firm adds value.
Role of leaders in operation management:
The skill of leaders of operation management is to motivate the employees in
order to craft and invent modern goods and services, which would assist in
meeting the requirements of clients
Operation leaders supports the employees to concentrate on work to make
them perform good and enhance the quality of goods and services
Operation leaders motivates the workforce to stay positive in negative
situations in which the company is unable to operate efficiently
Operation leaders gives inspiration to the employees of the firm for attaining
the tough tasks and takes care of their wellbeing in the work place
Role of managers in operations management:
The chief responsibility of operation managers is to plan and direct the
workforce operating in their respective fields
The operation managers plan and develop strategies, acquire, and comes
with goods and services as per the demands of clients and potential of the
company
The operation managers plays a significant role in increasing the efficiency of
resources by making the most out of them and by ensuring there is minimal
amount of resource wastage. Hence, to achieve this operation managers
15
services with the support of increasing improvements and piercing into the
marketplace (Chadha, 2017). To continue the process of enhancement within the
business Asda investigates and assesses the procedures conducted in order to spot
the problems and eradicate them. It is achieved by making small alterations instead
of making big changes in the systems. Kaizen helps the operation management of
Asda to make improvements in the consumers’ satisfaction level. Furthermore,
supports Asda to get rid of the processes not contributing towards the organizational
goals. Implementation of Kaizen enables Asda to assure the activities that are
carried within the firm adds value.
Role of leaders in operation management:
The skill of leaders of operation management is to motivate the employees in
order to craft and invent modern goods and services, which would assist in
meeting the requirements of clients
Operation leaders supports the employees to concentrate on work to make
them perform good and enhance the quality of goods and services
Operation leaders motivates the workforce to stay positive in negative
situations in which the company is unable to operate efficiently
Operation leaders gives inspiration to the employees of the firm for attaining
the tough tasks and takes care of their wellbeing in the work place
Role of managers in operations management:
The chief responsibility of operation managers is to plan and direct the
workforce operating in their respective fields
The operation managers plan and develop strategies, acquire, and comes
with goods and services as per the demands of clients and potential of the
company
The operation managers plays a significant role in increasing the efficiency of
resources by making the most out of them and by ensuring there is minimal
amount of resource wastage. Hence, to achieve this operation managers
15
utilizes (EOQ) Economic Order Quantity (Jawad et al., 2015) to decide the
amount of stock needed for process
The operation managers are also engaged in development of new processes
via re-assessing the existing structure of Asda.
16
amount of stock needed for process
The operation managers are also engaged in development of new processes
via re-assessing the existing structure of Asda.
16
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Explain the importance and value of operations management in achieving
business objectives (P5)
Operations management in an organisation is responsible for managing all
organisational processes and operations to help produce the product or service
offered by the company. Thus, they are one of the most vital aspects of an
organisation and are responsible for the successful completion of the key business
processes in an organisation. The major business objectives of ASDA, and the role
operations management plays in helping achieve them have been discussed below:
Increasing profitability
A retail organisation’s key business objective is to maintain a successful business by
gaining an effective profit margin. This ensures that they can continue operations
successfully in the market, and have a viable business model. The key operational
management elements that contribute to increasing profitability are capacity planning
and inventory control, which helps the company produce and store an optimal
amount of goods and services and eliminate wastage, cost reduction, which helps
reduce the costs of operations. These techniques are critical in helping reduce
operational costs, and contribute to increasing profit margins of the company.
Customer Retention
A retail organisation such as ASDA is primarily dependent on their customer base for
surviving in the hyper-competitive retail market in the UK. Thus, retaining current
customers is one of their key goals. The operational management approaches
undertaken at an organisation determine the key methods of producing the required
goods and services in an organisation. This directly affects the quality of the
products sold by the organisation, which has been correlated as one of the key
factors dictating customer retention. Thus, the operations management techniques
used by an organisation regarding its procurement, production, and distribution all
affect the quality of the goods and services, and consequently contribute to their
ability to retain customers.
Increasing efficiency
17
business objectives (P5)
Operations management in an organisation is responsible for managing all
organisational processes and operations to help produce the product or service
offered by the company. Thus, they are one of the most vital aspects of an
organisation and are responsible for the successful completion of the key business
processes in an organisation. The major business objectives of ASDA, and the role
operations management plays in helping achieve them have been discussed below:
Increasing profitability
A retail organisation’s key business objective is to maintain a successful business by
gaining an effective profit margin. This ensures that they can continue operations
successfully in the market, and have a viable business model. The key operational
management elements that contribute to increasing profitability are capacity planning
and inventory control, which helps the company produce and store an optimal
amount of goods and services and eliminate wastage, cost reduction, which helps
reduce the costs of operations. These techniques are critical in helping reduce
operational costs, and contribute to increasing profit margins of the company.
Customer Retention
A retail organisation such as ASDA is primarily dependent on their customer base for
surviving in the hyper-competitive retail market in the UK. Thus, retaining current
customers is one of their key goals. The operational management approaches
undertaken at an organisation determine the key methods of producing the required
goods and services in an organisation. This directly affects the quality of the
products sold by the organisation, which has been correlated as one of the key
factors dictating customer retention. Thus, the operations management techniques
used by an organisation regarding its procurement, production, and distribution all
affect the quality of the goods and services, and consequently contribute to their
ability to retain customers.
Increasing efficiency
17
Efficient operations help an organisation produce and sell their goods and services
at a lower cost and help it avoid unnecessary overheads. Thus, operations
management techniques such as material requirement planning (MRP), just in time
(JIT) help the organisation procure and store an optimal amount of goods, and adjust
it according to the varying needs and demands. Similarly, planning the capacity for
production also helps the organisation avoid unnecessary excessive inventory in the
first place. The processes used for selection of production techniques such as the
technology to be uses, the level of automation etc., also influence the efficiency of
operations.
Increasing customer trust
One of the key aims of ASDA is to be the most trusted retail outlet in the United
Kingdom. Thus, in order to achieve this momentous aim, they must focus on the
quality of the goods and services provided by them. The operations management
techniques utilised by the organisation dramatically affect the quality of their offered
goods. This includes the quality assurance processes present in a company, which
determine the quality standards present in the procurement, production, and
distribution processes in an organisation. Total Quality Management (TQM) is the
key method used by an organisation to ensure the utmost adherence to quality
throughout the supply chain by prioritising the customers, and encouraging all
personnel in an organisation to fulfil their needs.
Cost efficiency
ASDA is a popular choice for customers in the UK who are looking for a low-cost
retail outlet. Thus, in order to provide customers with a lower price point that their
rivals, ASDA needs to ensure that their business operations are as cost efficient as
possible. This includes adopting production management techniques, which ensure
that their production costs are minimal, and cost control techniques to ensure there
are no unnecessary overheads throughout their supply chain. These techniques help
the company provide their goods and services at a lower price than their competitor
and ensure customer satisfaction.
Thus, upon reviewing the specific ways different organisational objectives are
achieved by certain operational management techniques, it is apparent that most
18
at a lower cost and help it avoid unnecessary overheads. Thus, operations
management techniques such as material requirement planning (MRP), just in time
(JIT) help the organisation procure and store an optimal amount of goods, and adjust
it according to the varying needs and demands. Similarly, planning the capacity for
production also helps the organisation avoid unnecessary excessive inventory in the
first place. The processes used for selection of production techniques such as the
technology to be uses, the level of automation etc., also influence the efficiency of
operations.
Increasing customer trust
One of the key aims of ASDA is to be the most trusted retail outlet in the United
Kingdom. Thus, in order to achieve this momentous aim, they must focus on the
quality of the goods and services provided by them. The operations management
techniques utilised by the organisation dramatically affect the quality of their offered
goods. This includes the quality assurance processes present in a company, which
determine the quality standards present in the procurement, production, and
distribution processes in an organisation. Total Quality Management (TQM) is the
key method used by an organisation to ensure the utmost adherence to quality
throughout the supply chain by prioritising the customers, and encouraging all
personnel in an organisation to fulfil their needs.
Cost efficiency
ASDA is a popular choice for customers in the UK who are looking for a low-cost
retail outlet. Thus, in order to provide customers with a lower price point that their
rivals, ASDA needs to ensure that their business operations are as cost efficient as
possible. This includes adopting production management techniques, which ensure
that their production costs are minimal, and cost control techniques to ensure there
are no unnecessary overheads throughout their supply chain. These techniques help
the company provide their goods and services at a lower price than their competitor
and ensure customer satisfaction.
Thus, upon reviewing the specific ways different organisational objectives are
achieved by certain operational management techniques, it is apparent that most
18
operational management help achieve more than one business objective, are
intrinsically interrelated, and work in conjunction with one another to achieve the
desired business objectives. For example, just in time (JIT) technique helps the
organisation avoid excessive inventory, and thus helps in decreasing their costs of
operations, which ultimately helps increase their efficiency of operations and provide
a lower price point to the customers of the company.
However, not all of these techniques are currently utilised by ASDA, and the
managers and leaders at the company could undertake the following techniques to
increase the efficiency of operations of the company:
Capacity Planning: The managers in charge of individual stores of ASDA could
utilise capacity planning techniques to reduce instances of excess production and
procurement. Market analytics and consumer surveys could be used to assess the
expected footfall and demand in stores, and procure goods accordingly. This would
further increase the operational efficiencies of the company at the smallest scales,
and ensure better profit margins.
Optimising the supply chain: The cost incurred by ASDA to transport goods to
their nationwide network of stores is monumental, and requires a massive amount of
manpower and resources. Thus, taking measures to optimise it would be significantly
helpful to the company. The measures to be taken by the company might include
upgrading their fleet of trucks and incorporating newer technologies such as electric
vehicles in their supply chain, which would decrease their operational costs, as well
as improve their efficiency. ASDA might also benefit from using automation software
for supply chain management, which decreases the amount of human intervention
needed throughout the supply chain.
19
intrinsically interrelated, and work in conjunction with one another to achieve the
desired business objectives. For example, just in time (JIT) technique helps the
organisation avoid excessive inventory, and thus helps in decreasing their costs of
operations, which ultimately helps increase their efficiency of operations and provide
a lower price point to the customers of the company.
However, not all of these techniques are currently utilised by ASDA, and the
managers and leaders at the company could undertake the following techniques to
increase the efficiency of operations of the company:
Capacity Planning: The managers in charge of individual stores of ASDA could
utilise capacity planning techniques to reduce instances of excess production and
procurement. Market analytics and consumer surveys could be used to assess the
expected footfall and demand in stores, and procure goods accordingly. This would
further increase the operational efficiencies of the company at the smallest scales,
and ensure better profit margins.
Optimising the supply chain: The cost incurred by ASDA to transport goods to
their nationwide network of stores is monumental, and requires a massive amount of
manpower and resources. Thus, taking measures to optimise it would be significantly
helpful to the company. The measures to be taken by the company might include
upgrading their fleet of trucks and incorporating newer technologies such as electric
vehicles in their supply chain, which would decrease their operational costs, as well
as improve their efficiency. ASDA might also benefit from using automation software
for supply chain management, which decreases the amount of human intervention
needed throughout the supply chain.
19
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Assess the factors within the business environment that impact upon
operational management and decision-making by leaders and managers (P6)
The process of decision-making by the leaders and managers regarding the
operational management of the organization is greatly influenced by the factors of
business environment. Some of the factors within the environment of the business
that widely creates an impact on the operations management of the organization as
well as the process of decision-making by the managers and leaders of the firm are
discussed in details below:
Corporate Social Responsibility (CSR):
Corporate Social Responsibility (CSR) makes it easy for the firm to enhance the
brand image of the company and the reputation it holds in the marketplace. It has
been seen that with the application of Corporate Social Responsibility (CSR) the
firms create a great impact on the minds of the clients concerning the perception
customers have about the firm. Corporate Social Responsibility helps the
organizations to create a positive brand image in the minds of the clients through
participating and promoting the environmental and social activities (Schwartz, 2017).
With the application of Corporate Social Responsibility Asda becomes accountable
and answerable to the stakeholders of the company. Corporate Social Responsibility
has a great influence on the operations management of the firm as well as the
decision-making procedure of the company. Integration of Corporate Social
Responsibility within the operations makes the leaders and managers to make
effective decisions keeping in mind the consequences that the firm might face.
Furthermore, integration of Corporate Social Responsibility helps in the improvement
of the decision-making skills of managers and leaders as well as the operations of
the company (Tai and Chuang, 2014). With the application of CSR the organization
are able to satisfy and promote a positive business environment being socially
responsible.
Sustainability Effects:
The sustainable activities might turn out be complicated and expensive for the
operations management of the organization. The cost of the operations carried out in
the organization might increase if the firm gets dependent on the methods of
20
operational management and decision-making by leaders and managers (P6)
The process of decision-making by the leaders and managers regarding the
operational management of the organization is greatly influenced by the factors of
business environment. Some of the factors within the environment of the business
that widely creates an impact on the operations management of the organization as
well as the process of decision-making by the managers and leaders of the firm are
discussed in details below:
Corporate Social Responsibility (CSR):
Corporate Social Responsibility (CSR) makes it easy for the firm to enhance the
brand image of the company and the reputation it holds in the marketplace. It has
been seen that with the application of Corporate Social Responsibility (CSR) the
firms create a great impact on the minds of the clients concerning the perception
customers have about the firm. Corporate Social Responsibility helps the
organizations to create a positive brand image in the minds of the clients through
participating and promoting the environmental and social activities (Schwartz, 2017).
With the application of Corporate Social Responsibility Asda becomes accountable
and answerable to the stakeholders of the company. Corporate Social Responsibility
has a great influence on the operations management of the firm as well as the
decision-making procedure of the company. Integration of Corporate Social
Responsibility within the operations makes the leaders and managers to make
effective decisions keeping in mind the consequences that the firm might face.
Furthermore, integration of Corporate Social Responsibility helps in the improvement
of the decision-making skills of managers and leaders as well as the operations of
the company (Tai and Chuang, 2014). With the application of CSR the organization
are able to satisfy and promote a positive business environment being socially
responsible.
Sustainability Effects:
The sustainable activities might turn out be complicated and expensive for the
operations management of the organization. The cost of the operations carried out in
the organization might increase if the firm gets dependent on the methods of
20
sustainability (Walker et al., 2014). Thus, it would result in higher investments and
expenses for the organization. Therefore, to stay away from such situations it is
highly significant for the management department of the firm to make sure to develop
effective strategies that would assist the firm to implement diverse methods of
sustainability exclusive of the higher investments and expenses.
Organizational Culture:
Organizational culture is the ambience of the workplace within the firm and the
relationship among the employer and the employees. Organizational culture portrays
the culture followed within the organization while conducting the activities. It
comprises of values and behaviours, which contribute to the social as well as
psychological environment of the organization (Feldman, 2017). The culture of an
organization is the system of shared values, assumptions, and beliefs that
administrates the manner in which the employees of the organization behave when
they are in the office. Organizational culture focuses on the development or evolution
of the workplace. Asda follows all the above-mentioned cultures within the
workplace. Additionally, comprising a good organizational culture assist the
managers and leaders of the firm to make effective and proper decisions regarding
the operational activities of the company. It creates a positive impact on operations
management as it helps the managers and leaders to emerge with effective
decisions regarding the way in which operations of the firm are being carried out.
The operations conducted are much more effective and beneficial for the company
and helps in increasing the sale and profitability of the firm.
Stakeholders:
The stakeholders of an organization belong from different categories and as a result,
they have distinguishable anticipations and expectations from the firm. Nevertheless,
it is impossible for the organization to satisfy and meet the requirements of every
stakeholder (Lawrence and Weber, 2014). Thus, it can have a slightly negative
impact on the operations management and the operations of the organization. For
example, some stakeholders might demand and have expectations of high quality
goods and services at a lower price. While some other, stakeholders might demand
and have expectations of higher prices for the goods and services. In such
situations, it becomes crucial for the leaders and managers of the operations
21
expenses for the organization. Therefore, to stay away from such situations it is
highly significant for the management department of the firm to make sure to develop
effective strategies that would assist the firm to implement diverse methods of
sustainability exclusive of the higher investments and expenses.
Organizational Culture:
Organizational culture is the ambience of the workplace within the firm and the
relationship among the employer and the employees. Organizational culture portrays
the culture followed within the organization while conducting the activities. It
comprises of values and behaviours, which contribute to the social as well as
psychological environment of the organization (Feldman, 2017). The culture of an
organization is the system of shared values, assumptions, and beliefs that
administrates the manner in which the employees of the organization behave when
they are in the office. Organizational culture focuses on the development or evolution
of the workplace. Asda follows all the above-mentioned cultures within the
workplace. Additionally, comprising a good organizational culture assist the
managers and leaders of the firm to make effective and proper decisions regarding
the operational activities of the company. It creates a positive impact on operations
management as it helps the managers and leaders to emerge with effective
decisions regarding the way in which operations of the firm are being carried out.
The operations conducted are much more effective and beneficial for the company
and helps in increasing the sale and profitability of the firm.
Stakeholders:
The stakeholders of an organization belong from different categories and as a result,
they have distinguishable anticipations and expectations from the firm. Nevertheless,
it is impossible for the organization to satisfy and meet the requirements of every
stakeholder (Lawrence and Weber, 2014). Thus, it can have a slightly negative
impact on the operations management and the operations of the organization. For
example, some stakeholders might demand and have expectations of high quality
goods and services at a lower price. While some other, stakeholders might demand
and have expectations of higher prices for the goods and services. In such
situations, it becomes crucial for the leaders and managers of the operations
21
management to take effective decisions for satisfying the demands and requirements
of the stakeholders of the firm.
22
of the stakeholders of the firm.
22
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Conclusion
In this assignment, the roles of leaders and managers have been discussed in
details within the organization. It also portrays the manner in which the role of a
leader and a manager varies from one another in different situations. In this
assignment, the function of leaders and managers of Asda within the organization
and the manner in which they support the employees to ensure their contribution
towards the organizational goals had been demonstrated. The assignment also
sheds light on the different models and theories of approach towards the style of
leadership. Theories such as Situational leadership, Systems leadership, and
Contingency leadership have been discussed in this assignment. In addition,
approaches and theories to operations management such as six-sigma, total quality
management, queuing theory, lean production, just in time, and continuous
improvement (kaizen) had been illustrated related to organizational context.
Furthermore, the value and significance of operations management in attaining the
business goals and objectives had been discussed. The factors like CSR,
Organizational culture, Stakeholders, and Sustainability methods, and their impact
on the decision-making of the leaders and managers have been described.
23
In this assignment, the roles of leaders and managers have been discussed in
details within the organization. It also portrays the manner in which the role of a
leader and a manager varies from one another in different situations. In this
assignment, the function of leaders and managers of Asda within the organization
and the manner in which they support the employees to ensure their contribution
towards the organizational goals had been demonstrated. The assignment also
sheds light on the different models and theories of approach towards the style of
leadership. Theories such as Situational leadership, Systems leadership, and
Contingency leadership have been discussed in this assignment. In addition,
approaches and theories to operations management such as six-sigma, total quality
management, queuing theory, lean production, just in time, and continuous
improvement (kaizen) had been illustrated related to organizational context.
Furthermore, the value and significance of operations management in attaining the
business goals and objectives had been discussed. The factors like CSR,
Organizational culture, Stakeholders, and Sustainability methods, and their impact
on the decision-making of the leaders and managers have been described.
23
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24
Bolden, R., 2016. Leadership, management and organisational development. In
Gower handbook of leadership and management development (pp. 143-158).
Routledge.
Chadha, R., 2017. Value Through Continuous Improvement. FAIMA Business &
Management Journal, 5(1), p.40.
Dale, B., 2015. Total quality management. John Wiley & Sons, Ltd.
Dennis, P., 2016. Lean Production simplified: A plain-language guide to the world's
most powerful production system. Crc press.
Feldman, S., 2017. Memory as a moral decision: The role of ethics in organizational
culture. Taylor & Francis.
Fiedler, F.R.E.D., 2015. Contingency theory of leadership. Organizational Behavior
1: Essential Theories of Motivation and Leadership, 232, pp.01-2015.
Heizer, J., 2016. Operations Management, 11/e. Pearson Education India.
Jawad, H., Jaber, M.Y. and Bonney, M., 2015. The economic order quantity model
revisited: an extended exergy accounting approach. Journal of Cleaner Production,
105, pp.64-73.
Lai, K.H. and Cheng, T.E., 2016. Just-in-time logistics. Routledge.
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24
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