Strategic Management in Marks and Spenser

Strategic management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Background..................................................................................................................................3
Strategic tools to analysis Methods of development....................................................................4
Leadership style of M&S.............................................................................................................5
Change management model taken under use by marks and Spencers is kootters model of
change..........................................................................................................................................6
Future sustainability strategy of Marks and Spenser...................................................................8
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1

INTRODUCTION
Strategic management includes planning, assessment, monitoring and analysis for all the
required necessity an organization needs to full fill the objectives and goals of the organization.
Strategic management helps the company in making strategies for the future and achieving the
goals and objectives of the company.
Marks and Spencers is public limited company. It was established in the year 1884. It was
founded by Michael marks and Thomas Spenser. Its headquarter are in London, England and
UK. Key people of Marks and Spenser are Stewe Rowe (Chief Executive) and Archie Norman
(Chairman). The company produces various products like, clothes, home products and food
products and also beverages. Products of Marks and Spenser are available online. The company
is listed in London Stock Exchange. Number of locations of Marks and Spenser is 1463. Marks
and Spenser has 959 stores across the U.K. Total number of employees working in Marks and
Spenser is 80,000. Revenue of the company for the year 2020 is £10,181.9 million. Net income
of the company is £27.4 million. Present report will cover the relevant strategic tools used by
Marks and Spencer. Leadership style used by the company. Transactional, transformational and
situational leadership is also discussed. Method of development is also discussed in this report.
Marks and Spenser will close 100 stores by 2022. More than 100 stores can also be closed. Due
to coronavirus pandemic Marks and Spenser has decided to cut 7000 jobs in the next three
months. This statement was of August 18, 2020.
MAIN BODY
Leadership styles
There are different type of leadership strategy that can be used for motivating the
employees to achieve the goal of the company. Different leadership styles are, democratic,
autocratic, coach style, transformational, strategic, bureaucratic, transactional leadership. Mostly
all the companies prefer transactional leadership strategy as the purpose of this strategy is to get
good results. In this leadership strategy all the work is done with proper planning.
Marks and Spencers is using a transactional leadership strategy in which the company
uses different methods of motivating the employs by rewarding them in certain ways and
punishment is also given when not fulfilling the company requirement and goals. Marks and
Spencers has always found a way to keep the CSR improved. The company manages to take

responsibility of the local communities, employees, customers and suppliers by taking in use of
the available resources and fulfilling their requirements. Company also focuses on the
environmental as well as ethical factors with the help of ethical trading and less use of the
materials which are harmful for the environment(Mamatova, and Pavliuk, 2020). M&S also manges
to do the social work in excellent way by donating to the different charitable organization. M&S
also donates food in their local community to the needy.
M&S effectively manages its waste management system by using the product material which in
future can be recycled.
Methods of development
Method of development means what methods the company is already using and what are
the new changes that are required. Organic growth( or internal) growth refers to the expansion of
the business. Expansion can be like expansion of product range, number of locations are
increased, making new products etc. Organic growth includes many strategies like, expanding
the business opening new branches in the market or opening new stores in different places.
Launching new products in domestic market as well as international market. Investing in
new technology to make new products to attract customers. Some benefits of organic
development are: it involves less risk than external growth. Finance can be arranged from
internal funds of the company. This organic development help in building reputation in the
market and also help in attracting new customers. It also helps in retaining the existing
customers.
It allows the company to increase its profit by increasing its sales. When a company
expands its business there are positive impact as well as negative impact. Negative impact of
organic development are, the growth which is achieved by the company can be the overall
market growth. If company produces new product then may be customers do not like the product
and demand for the product is less than compare to other companies. As marks and Spenser is
also expanding its business by opening new stores in India. Indian customers are more buying
products from marks and Spenser. So, to increase the revenue of the company, products of Marks
and Spenser are available online. Company is expanding its distribution channel to cover wide
area. Marks and Spenser is planning to develop new product in the market. The strategies of
Marks and Spenser is unique and the company maintain its position in the market.