UNIT 4 MANAGEMENT AND OPERATIONS.

UNIT 4
MANAGEMENT AND
OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................3
PART 1............................................................................................................................................3
Introduction to organisation...................................................................................................3
Definition & roles of managers & leaders including differences among management &
leadership................................................................................................................................3
Examination of various roles of management as well as leadership in the application to
various situations in a organisation........................................................................................4
Assessment of strengths & weaknesses of different approaches............................................5
Conclusions & recommendations for the future amendments..............................................6
PART 2............................................................................................................................................6
Introduction to key operations................................................................................................6
Define various operational functions which help in identification of the roles &
responsibilities of managers...................................................................................................7
Examination of key operational approaches of operations management...............................8
An assessment of impact of external business environment elements having effect on the
decision-making.....................................................................................................................9
How operational efficiencies can be improved to meet business objectives........................10
Conclusions and recommendations for future improvements..............................................10
REFERENCES..............................................................................................................................12
Books and journals...............................................................................................................12

INTRODUCTION
Operations management define as a tool of management which mainly concern with
developing as well as maintaining procedure of production & create operations along with
function of manufacturing goods and services. In addition to this, it will also help in ensuring
that functions and operations of a organisation is done in an effective and efficient way. In order
to complete the whole project, Ford Motors is chosen as the base organisation which help in
creating better understanding on the operations management (Bromiley and Rau, 2016). It is an
organisation established in 1903 whose headquarter in located in Michigan, U.S. Ford is a
company which mainly related to an auto mobile industry and provides commercial vehicles
across whole wide world. This report is categorised in various parts where first section includes
detail information on the role of a leaders & manager. In addition to this, various leadership
approaches are also going to be discussed in this report. On the other hand, second section of this
report explain the key trading operations of an organisation. At the end of this report, analysis
about the influence of functional management on the process of making of decisions by a
manger.
PART 1
Introduction to organisation.
In this report, Ford motors is chosen as base organisation. Ford is the second largest
company of US in auto maker which produces commercial vehicles as well as sell them across
the whole world. It has also been analysed that the company deals in international marketplace
with the help of huge staff members and handle all the functions in an effective manner. Ford
motors currently have around 199000 staff members who organise and manage all the outlets
effectively and produce positive results (Hitt, Xu and Carnes, 2016). It has also been said that
the administration department of the company have various divisional units as per the regional
market area. Some of the prime divisional units of Ford Motors includes Africa, Asia Pacific,
Europe, Middle East, The Americas and many more.
Definition & roles of managers & leaders including differences among management &
leadership
Manager:- It is said that manager is an individual who generally take all the charges and
manage their workforces so that they can do their work in more effective & efficient way so that

they can attain their goals within given time frame. Manager is an individual persons who is
highly skilled and educated as well as have the capability to manage large number of business
functions in an effective manner and at the same time motivate their workers. In simple words,
managers of an organization works in order to manage and control each and every activity
performed by the staff members for attaining organisational goals and objectives. In reference to
the business organisation which is Ford Motors, it is said that that the primary or main role of a
manger is to analyse the overall performance of staff members on a regularly basis so that their
efficiency will be enhanced. On the other hand, function of a manager is to provide guidance and
direction to the staff members so that they can conduct all their business functions in more
effective and efficient manner.
Leader:- It define as a person who help other staff members in attainment of their goals
more effectively within specific period of time (Hugos, 2018). They generally gives guidelines
and direction to their staff member so that they are able to work effectively. Leader is an
individual person who works to provide motivation, encourage and guide their staff members
about how they work for achieving their targets in an effective way. In relation to the present
context of Ford Motors, role of a leader is to encourage and motivate their employees so that
they can perform in an effective manner and positive results can be achieved. In addition to this,
they keep motivating their staff members, so they remain loyal towards the business entity for a
longer period of time. Whereas, function of a leader is to focus on the outcome and for which
they need to provide health and positive working atmosphere to their employees.
Differences between Leadership & Management
Basis Leadership Management
Meaning It has been identified as an
essential skill of a leader, where
they influences other individuals
to perform their work in an
effective manner and fulfil the
requirement.
It refers to one of the most creative
function where manager perform all
the work in a systematic, organised
and coordinated style.
Main
emphasises on
Leadership basically focuses on
motivating and inspiring
On the other hand, in context of
management, main focus of a

individuals so that there
performance will be enhanced and
produced favourable outcome
(Jacobs, Chase and Lummus,
2014).
manager is to manage all the work in
an effective manner so that every
activity will be completed effectively
and within given time frame.
Goal oriented Leader is a person who is creative
and use innovative techniques in
order to achieve their goal and
Objectives in an effective manner.
They are goal oriented and
develop innovative techniques for
achieving their targets.
In case of manager, they generally
work to fulfil their assigned tasks
which is given to them by their
heads. Therefore, managers are not
goal oriented as compared to leaders.
Examination of various roles of management as well as leadership in the application to various
situations in a organisation
It is said that all business organisations have their own composition which is different
from other organisation. In the present context of Ford Motors, it has been said that for dealing
with various organisational environment, different type of leadership and management
approaches are there. Some of the main situation arise within the organisation are as follows:
Decision making: It is said that decision making process plays very essential role in an
organisation. For executing different techniques and strategies, managers need to take decisions
and implementing them in an effective way (Kotter, 2013). In the present scenario of Ford
Motors, it is said that the function of a manager is of examining the needs, requirements and
wants of staff members so that they can encourage them for enhancing their performance in a
positive manner. On the other hand function of leader is that they adoption of participative style
of leadership so that every staff members will perform in an appropriate manner. This is a
leadership style which will help in gathering ideas and thoughts of employees which assist in
developing unique and high quality auto mobile products.
Employee engagement: It has been examined that it is one of the most essential activity
arise within an organisation. In this method, each and every individual person within the

company is engaged in every activity and task which help in developing positive results within
given time frame. In the present context of Ford Motors, it has been analysed that the managers
of company conduct meetings and conferences on a continuous basis so that every individual get
equal opportunities to represent their views and thoughts. Duty of a manager is to encourage and
appreciate the staff members by proving them rewards and benefits. Therefore, it is required by
both manager and leader to work in a collaborative manner so that best and effective outcome
will be produced (LaGanga, 2011).
Assessment of strengths & weaknesses of different approaches.
Situational leadership: This is defined as a type of leadership by which the manager
develops strategies and plans according to the current situation of organisation. It enables
employees of Ford to do their work effectively and if there is any chance of conflict or fight,
situational leaders and managers control the scenario (Laudon and Laudon, 2016). This is one of
the most essential and effective leader ship style mainly adopted by large number of leaders as
this assist in modifying strategies and plans as well as methods as per the changing requirements.
Situational leadership style is flexible approach and the main reason behind adopting this method
is the flexible nature of this leadership style. In this case, role of a leader is to motivate all the
staff members in an effective manner so that they can enhance their performance and produce
positive outcome. Along with this, leaders need to provide training sessions to their employees
so they can cope up with changing situations easily. Whereas in reference to managers function,
it is required by them to develop or modify their strategies and policies according to the situation
arise at workplace so that they can perform effectively.
Strength Weakness
By using this leadership approach, Ford
employees and staff are motivated effectively
for attaining organisational goals within time.
There is increase in employee productivity as
employees are under observation.
In some business situations, there are cases in
which leaders do not know how to manage
conflicts and fights.
System management: This is a leadership type in which managers and leaders are well
suited for analysing complex challenges that need collective actions. This is a challenging

approach and it consists of ambiguous outcomes, high transaction costs, long time frames.
According to this, manager and leader effectively manage all the functions in an effective and
systematic manner which provide assistance in order to fulfil all the predetermined targets in an
appropriate manner. This approach is used for managing different activities and tasks used for
attaining the organisational approaches. This type of leaders within Ford use effective leadership
style (McNeil, Frey and Embrechts, 2015). In this type of leadership style, role of the managers
of Ford Motors is to evaluate every situation effectively and then apply appropriate strategies and
policies within the workplace. Whereas leader need to communicate all the work with their staff
members in a systematic manner so that positive outcome will be produced.
Strength Weakness
By using this leadership approach, managers
and leaders can systematically manage
different conflicts and fights.
The main weakness of this leadership approach
is that in some business situations it is not easy
to convince all employees.
Conclusions & recommendations for the future amendments
With the help of above report, it has been identified that both manager and leader have
key role within the business organisation so that they can fulfil their goals and objectives in a
more effective way. Above discussion help in examining that a manager generally contribute in
order to implement all the business functions in such a manner that it will produce positive
results. On the other hand, leaders are the one who support all the views and opinion of staff
members which can help in improving profitability as well as sales of the company (Mollenkopf,
Frankel and Russo, 2011). Therefore, it has been suggested to the management team as well as
leaders of the organisation that they examine working style of the staff members. This will help
managers and leaders in order to development of various strategies & policies according to the
requirements which aid in improving the quality of work.
PART 2
Introduction to key operations.
Every business enterprise do have their operational functions which are quite mandatory
for them in order to grow at the marketplace and for smooth running of business functions. There

are some essential operational functions within Ford Motors. All these key operations are going
to be discussed as follows:
Production- Ford Motors is an organisation where the main function is to manufacture
commercial vehicles (Nassiri and et. al., 2016). Their main aim is to produce high quality
products and services so that they can fulfil all the requirements of customers and satisfy their
needs and wants in an effective mode.
Transportation: It has been said that one of the major business operation in context of
Ford Motors is transportation. Reason behind this is that, all the manufactured vehicles are being
transported from one place to another so that they can perform their operations.
Promotion: In order to maintain and enhancement of the brand image of Ford Motors, it
is very crucial for the management of company that they should promotion of their products &
services in an attractive manner so that they can influence large number of customers towards
their organisation. In addition to this, they can effectively create awareness about the products so
they can enhance their profitability and goodwill at the competitive marketplace (Oakland,
2014).
These are the main operations of the chosen organisation which is Ford Motors. There
main aim is to create positive, strong and loyal consumer base with the help of fulfilling their
promises which is made by them while doing advertisement and sales promotion.
Define various operational functions which help in identification of the roles & responsibilities
of managers.
With the help of above mentioned operational functions, roles as well as responsibilities
of a Manager are going to be discussed in an effective manner which are related with the key
functions (Slack and Brandon-Jones, 2018). In the present context of Ford motors, managers of
the company have some essential roles and responsibilities which are going to be discussed as
follows:
Transportation: In this context, role of Ford Motors manager is to ensure that all the
products must reach to their end customers so that there needs and requirements will be satisfied.
On the other hand, responsibility is to examine that all the activities related to the transportation
will be performed in a safe and secure manner (Swink and et. al., 2017). This will help them in
order to retain their customers towards the organisation for a long period of time by satisfying
their needs.

Production: In this context, main role of Ford Motors manager is to make sure that the
production department within the organisation do have enough and sufficient amount of funds,
raw material and resources while they production of goods to their customers. This will help
them in meeting their targets which leads towards the attainment of goals. Whereas,
responsibility is to provide them proper guidance about the production procedures related to
manufacturing of high quality goods and services.
Promotion: In the context of promotion, function of the manager of Ford Motors is to
adopt right and appropriate marketing technique so that they can create better awareness about
the products. With the help of online marketing techniques managers will be able to attract large
number of customers towards their organisation. On the other hand, responsibility of a manager
is to formulate strategies and policies so that all the promotional activities will be conducted in
an more effective way so that sales ratio of the organisation will be enhanced.
Examination of key operational approaches of operations management
Operation management help in creating, managing and controlling all the business
functions with an aim to increase the performance level so that profitability of the company will
be increased at the competitive marketplace. It has been analysed that with the assistance of
various operation management approaches, satisfaction of consumers will be enhanced by supply
them high quality goods and services (Bromiley and Rau, 2016). This will help them in
performing their task in an effective manner at the competitive marketplace and gain various
advantages as they satisfy needs and requirements of customers. Some of the key approaches are
going to be discussed as follows:
Total Quality Management (TQM): It is an approach which mainly emphasis on
improving and enhancing the overall quality of goods and services manufactured by the
company. In general, it is a customer-centred approach in which regular basis development is
essential so that individuals will feel satisfied by the offering of the company. In the present
context of Ford Motors, it has been analysed that the management team of the company are
adopting this approach that can help in enhancement of overall quality of products and services.
It has also been analysed that the stakeholders of the company use this approach so that they can
develop high quality auto-mobile products and services so that they can fulfil the requirements of
customers (Hitt, Xu and Carnes, 2016). By adopting this method, it has been said that quality of
the products and services will be improved which aid in attaining organizational goals and

objectives in an effective manner. Along with this, by improving product quality customers feel
satisfied and remain loyal towards the company for longer period.
KAIZEN: It refers to a Japanese word which define as an innovation which help in
attainment of organisational goals. It is an approach where the responsibility of a manager is to
formulate creative strategies and policies so that they can accomplish their objectives within
given time frame. In addition to this, manager of Ford Motors is to develop products and services
in an effective and creative manner so that they can attract large number of customers towards
their organisation at the competitive marketplace. This is the approach which helps in creating
value to the company as they help in attaining goals and objectives. Therefore, it is one of the
most effective method which leads towards the enhancement of business goals.
Just in time: It has been said that this is the approach which is associated with the
inventory and stock of the company which is required by the staff members in order to produce
goods and services as per the demand and requirement of customers. In simple words it refers to
an approach where order of raw material is given to the suppliers only when it there is any kind
of requirement. This will assist in reducing the extra cost which as a result aid in enhancing the
sales and profitability of the company (Hugos, 2018). This method aid in reducing extra cost and
time of the company which is quite beneficial for the successful accomplishments of
organizational goals and objectives. Along with this, it is important for the company to adopt
this method as it help in attainment of predetermined business targets.
An assessment of impact of external business environment elements having effect on the
decision-making and operational management
There are different types of external elements which might affect the process of decision
making of the managers. These are the factors which highly influence the policies and strategies
developed by leaders as well as managers which affect the performance & efficiency of staff
members. Some of the key factors which affect overall process of decision-making of a manager
& leaders are going to be discussed as follows:
External Factors: These are some factors which can not be managed, changes, controlled
or modified by the managers of the company. Apart from this, such factors required to be handle
by the management team with the help of developing effective strategies and policies (Jacobs,
Chase and Lummus, 2014).

Technological factors: It has been said that technologies factors are the one which might
affect the overall process of decision making as it is quite dynamic element which changes on a
regular basis. Ford Motors manager develop unique, innovative and attractive designs in their
products and services so that they can attract large number of people towards their organisation
with the help of new technologies.
Economic factors: These are the factors which consist of inflation rate, foreign exchange
rate and many more which might affect the overall functionality of the business organisation
(Kotter, 2013). In the present context of Ford Motors, managers of the company influenced with
such factors and then set price of products and services. This will help in enhancing the
profitability as well as goodwill of the organisation.
Political factors: It refers to the factors where rules, policies, regulations are being
developed by the government of the nation. In the present context of Ford Motors, it has been
analysed that the managers of the company adopt all the policies developed by the government
so that they can execute all the business purposes in an effective and smooth manner.
Social factors: It is identified that social factors of a nation such as lifestyle, culture,
demography and so on highly affects the decision making process of a manager and leader. In
the present context of Ford Motors, manager of the company innovate new and unique products
as per the requirements of customers so that there needs and desire will be fulfilled in an
effective manner (LaGanga, 2011).
CSR: Corporate Social Responsibility consist of all kind of business duties as well as
responsibility offered by business organisation to their staff members, clients and various
stakeholders. It has been identified that operational management as well as its functions highly
influenced by the policies of CSR .
Stakeholders: It has been analysed that there are ample number of people who affect the
business operations in both positive as well as negative manner. In this context, Stakeholders
plays very important role as it consist of all the staff members, directors, customer which are
associated with the profitability of the company. In the present context of Ford Motors, it has
been analysed that stakeholders of the organisation highly affected the overall decision making
process of the company.
Ethics: For every business entity, it is said that they must perform all their functions in an
ethical and proper manner. In reference to the present business entity which is Ford Motors,

managers and leaders develop strategies and policies by considering all the ethical values so that
they can maintain all their functions in a proper and appropriate manner. This is the element
which highly influence the overall decision making process of a business entity.
Culture: It is said that culture of a business entity highly influence process of decision
making as it play’s very essential role in the growth and development of a business. In reference
to Ford Motors, it is said that culture of the company is positive and help in attaining
organizational goals and objectives in an appropriate manner. Therefore, culture of a business
entity affects decision making in both positive and negative way.
Along with having effects on decision making all the above mentioned factors are also
affecting operational management in an organisation. A brief description of various ways in
which all these factors affect operational management in the business are mentioned below:
It is necessary that all the operational management factors which are used by government are
technologically updated. For example, it is required by Ford motors to use total quality
management in their organisation. In order to adopt this approach, they are required to use the
latest technologies in the organisation so that they can manage the changing technological
environment.
It is also required by organisations to keep a check on economic factors. The organisation
is required to make sure that they are providing their customers with products at best prices. In
order to do so they need to bring changes in their operational management so that the cost of
producing the vehicles can be saved. A number of operational activities such as just-in-time, is
used by the organisation to fulfil this requirement.
How operational efficiencies can be improved to meet business objectives.
It is said that managers of Ford Motors adopt (JIT) Just in Time approach so that they can
utilise all the present resources in an appropriate way. In the present context, it has been said that
managers of the company provide guidance and direction to their staff members while
manufacturing vehicles as per the current market trends and requirements of customers.
Therefore, it is very essential for management team to guide their employees in such manner that
they can produce high quality goods and services (Laudon and Laudon, 2016). In addition to
this, their main aim must be to influence customers so that they can easily attracted towards the
organisation while purchasing goods and services from the company. This as a result help in

gaining various competitive advantages available at the market. Furthermore, managers of the
organisation need to develop some strategies and policies which can increase the positive impact
and reduce the criticism faced by the company.
There are a number of other ways through which operations management benefits of
business. It is often seen that employee engagement and defining roles and responsibilities
between the employees and for motors is assisted with the help of operations management. It
helps the organisation facing a number of obstacles and also the strategic operation management
plan will ensure that the employs work flow and production of Ford is always remaining
unaffected.
Along with providing quality products and services operations management also make sure
that the customer satisfaction is always met. The quality management process used by Ford
motors helps the company to create the products and services which are efficiently fulfilling all
the needs of the customers. In this way the service provider is efficiently helping the customers
and also the operations management in the company is providing best quality services to the
customer.
Other than this the revenues of the company or also increased with the help of operations
management as inventory is are kept in control, it provides competitive advantage to the
company with the help of various internal and external factors which are managed well in
operations management. Employees are always motivated with the help of maximise efficiency
in the production which is brought in by operations management.
Conclusions and recommendations for future improvements.
With the help of above mentioned report, it has been concluded that Just in time & Six
Sigma approach refers to the most effective models used by organisations. This will assist
business entities in order to use all resources in an effective and efficient manner. By adopting
TQM approach, company can offer high quality goods and services to their customers within
given time frame (McNeil, Frey and Embrechts, 2015). In context of Ford Motors, managers of
the company adopting this approach which will help them in enhancing their goodwill at the
marketplace. Along with this, it has also been said that there are some elements which might

affect the overall functioning of the company. Therefore, it has been concluded that both leader
as well as manager plays very important role. They will help company in attainment of their
goals in an effective demeanour and within stipulated time duration.

REFERENCES
Books and journals
Bromiley, P. and Rau, D., 2016. Operations management and the resource based view: Another
view. Journal of Operations Management. 41. pp.95-106.
Hitt, M. A., Xu, K. and Carnes, C. M., 2016. Resource based theory in operations management
research. Journal of Operations Management. 41. pp.77-94.
Hugos, M. H., 2018. Essentials of supply chain management. John Wiley & Sons.
Jacobs, F. R., Chase, R. B. and Lummus, R. R., 2014. Operations and supply chain management
(pp. 533-535). New York, NY: McGraw-Hill/Irwin.
Kotter, J. P., 2013. Management is (still) not leadership. Harvard Business Review. 9.
LaGanga, L. R., 2011. Lean service operations: Reflections and new directions for capacity
expansion in outpatient clinics. Journal of Operations Management. 29(5). pp.422-433.
Laudon, K. C. and Laudon, J. P., 2016. Management information system. Pearson Education
India.
McNeil, A. J., Frey, R. and Embrechts, P., 2015. Quantitative risk management: Concepts,
techniques and tools. Princeton university press.
Mollenkopf, D. A., Frankel, R. and Russo, I., 2011. Creating value through returns management:
Exploring the marketing–operations interface. Journal of Operations Management.
29(5). pp.391-403.
Nassiri, P. and et. al., 2016. Health, safety, and environmental management system operation in
contracting companies: a case study. Archives of environmental & occupational health.
71(3). pp.178-185.
Oakland, J. S., 2014. Total quality management and operational excellence: text with cases.
Routledge.
Slack, N. and Brandon-Jones, A., 2018. Operations and process management: principles and
practice for strategic impact. Pearson UK.
Swink, M. and et. al., 2017. Managing operations across the supply chain. New York, NY:
McGraw-Hill Education.