Importance of Transparency and Accountability in Sainsbury's: A Corporate Governance Study

This study analyzes the impact of lack of transparency and accountability on the performance of Sainsbury's, the second largest supermarket chain in the UK. It focuses on the concept and importance of corporate governance, strategies for dealing with the issue, and uses a deductive research approach to gather quantitative data. The study aims to identify the issue of corporate governance such as lack of transparency and accountability along with its impact on business performance of an organisation using Sainsbury’s as a case study.

The importance of transparency and accountability
in a organisation
The case of Sainsbury`s

Contents
Formative Assessment.....................................................................................................................1
INTRODUCTION...........................................................................................................................3
Problem statement.......................................................................................................................3
Research aim:...............................................................................................................................3
Research Objectives:...................................................................................................................3
Research Questions:.....................................................................................................................4
LITERATURE REVIEW................................................................................................................4
Concept and importance of corporate governance within an organisation..................................4
Impact of issue of transparency and accountability on the performance of Sainsbury’s............4
Strategy that would be used by Sainsbury’s for dealing with the issue of transparency and
accountability at workplace.........................................................................................................4
Research Methodology....................................................................................................................5
Gantt Chart.......................................................................................................................................5
REFERENCES................................................................................................................................8

INTRODUCTION
Corporate governance is defined as the combination of processes, rules and laws by which
an organisation are regulated, operated and controlled as well. In addition to this, it is the
external and internal factors which impact on the interest of organisation’s stakeholders that is
shareholders, suppliers, customers and so on. For the present study, Sainsbury’s is taken into
consideration. It is the second largest supermarket chain which was founded in year 1869 and
headquartered in London, UK. The main objective of the report is to identify the impact of issue
associated to corporate governance that is lack of transparency and accountability within an
organisation.
Problem statement
Corporate governance is associated with how corporations are managed, controlled and
directed and held accountable to shareholders. In addition to this, it consist odd many issue and
one of the major issue is lack of transparency and accountability which directly impact on the
performance of an organisation. Transparency and accountability is one of the significant
principle of good governance and give clarity regarding how decisions are taken to manage
activities and maintain financial performance is an important goal for a company. if the
transparency and accountability is not maintained at workplace then the activities are not
implemented properly and an organisation is not able to maintain its financial performance.
Research aim:
The aim is to identify the issue of corporate governance such as lack of transparency and
accountability along with its impact on business performance of an organisation using
Sainsbury’s as a case study.
Research Objectives:
 To analyse the concept and importance of corporate governance within an organisation.
 To evaluate the impact of issue of transparency and accountability on the performance of
Sainsbury’s.
 To analyse the strategy that would be used by Sainsbury’s for dealing with the issue of
transparency and accountability at workplace.
Research Questions:
 What is the concept and importance of corporate governance within an organisation?

 What is the impact of issue of transparency and accountability on the performance of
Sainsbury’s?
 What are the strategies that would be used by Sainsbury’s for dealing with the issue of
transparency and accountability at workplace?
LITERATURE REVIEW
Concept and importance of corporate governance within an organisation
As per the viewpoint of Shailza, (2020), corporate governance is a set of procedures, policy and
internal controls that helps in making a plan to deal with the company operations that comprises
of government, management, customers, employees and dealing with the stakeholders (Shailza,
2020). The main objective is to have a sound management and achievement of organisational
goals and objective and welfare of the shareholders. Corporate governance plays an important
role within an organisation as it assists to cultivate positive working culture that leads towards
sustainable business and positive performance. Moreover, it also allow a company to manage
internal and external activities which further help to attain competitive advantage at marketplace.
Impact of issue of transparency and accountability on the performance of Sainsbury’s
According to Carothers and Brechenmacher, (2020), the issues and challenges of
accountability and transparency have a major influence on the organisation's performance. In
context to Sainsbury's, the major issues involves unrealistic goals, unclear responsibilities and
roles, poor strategy and limited resources (Carothes and Brechenmacher, 2020). On the other
hand, when it comes to transparency it involves issues such as distrust, blaming culture and spark
resistance which can adversely affect the performance of organisation.
Strategy that would be used by Sainsbury’s for dealing with the issue of transparency and
accountability at workplace
As per the viewpoint of Carothers, et al. (2016), there are various strategies which are
adopted by the organisation in order to deal with the various challenges and issues of
accountability and transparency at workplace (Carothes and et.al 2016). The main strategies
implemented by the company involves formulation of a clear theory and linking between
accountability and data, creating legal provisions for disclosure of data and designing an open
data policy. In reference to organisation, to achieve transparency it is important to provide
sufficient data and information related to stakeholders and activities.

Research Methodology
Research method: There are mainly two types of research which are qualitative and
quantitative. According to the research topic, quantitative research is effective as it helps
investigator in developing in-depth knowledge about topic and gather numerical information
(Leedy and Ormrod, 2019). Along with this, it also assists in collecting as much as information
from small sample size.
Research approach- It is mainly categorised into two forms that is deductive and inductive
research approach. For the present study, deductive research approach will be used as it help in
gathering quantitative data in less time period. In addition to this, it also assist to develop valid
and reliable conclusion in a timely and effective manner.
Research philosophy- Positivism and interpretivism are mainly two forms of research
philosophies but as per the research topic. Positivism research philosophy is effective and useful
(Tabuena, Hilario and Buenaflor, 2021). The main reason to select is it help to conduct
quantitative study and in an effective and proper manner and does include factual data.
Data collection- It is referred as the process to collect data by primary and secondary
method of data collection. In context to the present study, both primary and secondary method
will be used. The reason to select primary data is it help to gain in-depth knowledge regarding
topic because of which positive conclusion is drawn. On the other hand, secondary data consist
of viewpoint of various authors on topic that leads to development of valid and reliable outcome.
Data analysis- It is defined as the process of analysing and interpreting the collected
information so that findings can be represented in a proper manner. There are mainly two forms
of data analysis that is thematic analysis and frequency distribution analysis (Lê and et. al.,
2019). In relation to present study, frequency distribution analysis is appropriate as it assist to
analyse primary data in more effective and proper manner.
Sampling: In order to collect primary data, the 20 employees of Sainsbury’s is selected as
respondents through random sampling which is a part of probability sampling method. The main
reason to select employees is it they have knowledge about ground workings and policies of
company because of which they provide appropriate information to researcher.

Gantt Chart
It is defined as a chart which illustrates each and every activity associated to starting and
ending time. In addition to this, it assists researcher to complete the study within the given time
period. The Gantt chart of present study is given below:

REFERENCES
Books & Journal
Leedy, P.D. and Ormrod, J.E., 2019. Practical research: Planning and design. Pearson. One Lake
Street, Upper Saddle River, New Jersey 07458.
Tabuena, A.C., Hilario, Y.M.C. and Buenaflor, M.P., 2021. Overview and exemplar components
of the research methodology on the research writing process for senior high school
students. International Journal of Trend in Scientific Research and Development, 5(3),
pp.117-126.
Lê and et. al., 2019. Why research methodology in strategy and management remains as important
as ever. In Standing on the Shoulders of Giants. Emerald Publishing Limited.
Online
Shailza., 2020. Importance of Corporate Government in an organisation [Online] Available
Through<https://corpbiz.io/learning/importance-of-corporate-governance-in-an-
organization/>
Carothes and Brechenmacher., 2020. Accountability, Transparency, Participation, and Inclusion
[Online ] Available Through <https://carnegieendowment.org/2014/10/20/accountability-
transparency-participation-and-inclusion-new-development-consensus-pub-56968>
Carothes and et.al 2016. Ideas for Future Work on Transparency and Accountability [Online]
Available Through <https://carnegieendowment.org/2016/05/02/ideas-for-future-work-
on-transparency-and-accountability-pub-63318>