COVID-19 Impact & Digitization Strategies for Marks & Spencer Report

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This research report examines the impact of COVID-19 on Marks & Spencer and explores the role of digitization in the company's recovery. It covers the challenges faced by the retail sector, including decreased sales, changing customer needs, and labor shortages. The report analyzes the advantages and processes involved in digitizing Marks & Spencer's business operations, focusing on how technology can help the company adapt to the changing environment, improve productivity, and regain profitability. The study uses a positivism research philosophy and identifies key strategies such as identifying major changes, shaping the future through competitive advantages, and leveraging new technologies to enhance business performance and customer engagement. The conclusion highlights the benefits realized by Marks & Spencer through online sales and digital innovation during the pandemic.
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Assessment 2
Research Report
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Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
Project Aim.................................................................................................................................3
Literature review.......................................................................................................................3
Research Methodology....................................................................................................................6
Limitation of the project..............................................................................................................7
Problems identified..........................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
In whole world different types of people are living who belongs to different culture and
values where it became important for organization to offer kind of products and services as it
supports to develop organizational productivity. As Covid-19 occurred in whole world, has
impacted on whole world as reduction in GDP and economical rates. This has created the
challenges for business organization to operate their business in changing environment by using
different model that can help to develop organizational productivity (Heidenstrøm, and Hebrok,
2022). To understand about impact of Covid on business performance, Marks & Spencer has
been selected that is larger size British multinational retailer with headquarter in London. The
management of such organization understand needs to their potential customers and provide
them various benefits by offering better design and technology that helps to develop
organizational productivity. The research report involves background, project aims, literature
review and methodology.
MAIN BODY
Background of research
The current research is about to digitize the major retail operations and workplace of
Marks and Spencer, as it is larger British multinational retailer with headquarter in London,
England. The company specialises in selling different design and style of products to their
customers. The management of such organization lays an important role as it conduct the
environment analysis to know what is trend and how peole could be influence to get products.
The company was founded in 1884, by Michael Mars Thomas Spencer, for the purpose of
introducing quality of clothes, and accessories. Due to Covid period it became challenging for
organization to operate their business wherein use of digital technology became as boon as many
businesses were operated from their homes by following the guidelines. This has increased the
organizational productivity and performance by managing all functions and activities. the
managers and leaders of Marks & Spencer plays an important role as they conduct the
environment analysis then offer the kind of products and services which helps to reach the
targeted customers. When it became challenging for organization to sale their products in
pandemic then use of digital technology and marketing supported to continue their operations by
influencing number of customers and supports to increase the organizational productivity. This is
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important for each organization to adopt new technology and innovation as it influences the
number of people and get ready to work continuously (Daveler, and et. al., 2022).
In the reports it has defined that Covid-19 risen in whole world due to spread of virus
name is Corona, affected 226 countries and territories. Number of death cases were increased
day by day where government has announced to lockdown. In Lockdown on one is allowed to
visit the places and no transportation services were provided to people. The people who belongs
to different country has returned to their homes. This became important for country to improve
their GDP rates and economy by running business within covid period. The World Health Data
Hub is made possible by partnerships that combine digital technology and new solutions with an
institution like WHO's global convening skills. Microsoft and Avanade, as important technology
partners, are assisting WHO in delivering this ambitious end-to-end solution, with a shared
commitment to promote health data as a public good.
Identification of Problem
The current report is based on impact of Covid on retail sector where Marks and Spencer
has suffered devastating consequences due to the coronavirus and rapid digitization is required
for sustained future growth. To use new technology there is need to have proper information and
skills which could be used to accept changes and operate the business effectively. The
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management requires upgrading their traditional technology and converting into modern
technology in offering or selling their products. The company faces the problem of lower
productivity and profitability where use of digital technology created opportunity to grow their
business effectively.
Project Aim
Aims
The main aim of this project is to digitize the major retail operations and workplace of
Marks and Spencer by analysing advantages of such workplaces and their impact on COVID-19
Project Objectives
To study the advantages and processes involved in digitizing the business operations of
Marks and Spencer
To analyse the impact of COVID-19 on Marks and Spencer's business
To develop ways in which digitization can help Marks and Spencer recover from the ill-
effects of the COVID-19 pandemic
Research Questions What ate the advantages and processes involved in digitizing the business operations of
Marks and Spencer? What is the impact of COVID-19 on Marks and Spencer's business.
What are the ways in which digitization can help Marks and Spencer recover from the ill-
effects of the COVID-19 pandemic?
Literature review
To study the advantages and processes involved in digitizing the business operations of Marks
and Spencer
According to MHwang, Nageswaran, and Cho (2020), Covid-19 was a serious problem for
all business sector where production and profitability ratio of companies has been decreased.
When companies were not able to operate their work from their offices then digital technology
and innovation became important for business industries to use that supported to reach their
targeted customers and operate their business effectively. This is most important for each
organization to analysis environment and use digital technology as it helps to increase the
business productivity by managing all functions and activities. The pandemic has devastated
effect on retail industry of UK where results were very unpredictable. Marks & Spencer is the
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larger multinational retailer of UK also faced the challenge of lower sales and productivity due to
Covid-19 as sales and profitability ration has been decreased. This became important for
management to us digitalization and new technology for the purpose of reaching their targeted
customers by offering better quality of products (How is coronavirus affecting the UK’s retail
sector?, 2022).
With the help of digitalization Marks & Spencer is running their business in various
countries as it provides its products and services via online method and using an application
which supports to find customers and encouraged them to make buying decisions. The
management bring new innovation and technology at their workplace which supports to expand
their business and maintain higher performance. It has seen that chosen organization is taking
advantages of continuous working, motivating people, increasing sales, and performance by
using digitalize process. The company also provide a facility of online order, payment,
cancellation, and return by following Covid guidelines in which no one is going to be in contacts.
Thus, selected company is operating its business in changing environment and supports to
increase the organizational productivity. The company has gained the number of profits by
selling their products in pandemic as it supported their business effectively.
To analyse the impact of COVID-19 on Marks and Spencer's business
As per view point of Shoop (2021), Covid-19 has exposed inequalities by income, age, sex,
race, and geographic location in changing environment. This is important for each organization
to understand the current trend and offer the kind of products which supports to develop business
performance. I relation to Marks & Spencer, impacts of covid 19 on organizational performance
is defined blow:
Lack of customer base – Due to Covid-19 selling activities of companies has been reduced
as people were not allowed to visit the stores and they fails to buy particular products and
services. while the sales of clothing retailers dropped by 89.3% in April 2020 year-on-year, the
sales of grocery stores increased by 13.2% according to the Census Bureau. In the EU, while the
sales of non-food products dropped by 23.8% in April 2020 year-on-year, the sales of food,
beverages and tobacco has increased by 1.2% according to given data. In relation to Marks &
Spencer, management has faced the challenge of lower sales and profits due to pandemic.
Use of new technology or digitalization – To adopt new technology and digitalization is
not easy for each organization as it consumer cost, time, and human resources to spend. This
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became challenging for Marks & Spencer to go digital for the purpose of selling their products to
customers. This might be affected the selling ratio of organization and affected the profitability
negatively.
Changing in needs and wants of customers – The needs and wants of people is also got to
change along with changed environment where it became challenging for Marks &Spencer to
offer kind of products and services. If company is not ready to accept the changes and challenges
then could impacts negatively on business performance (Asti, Handayani, and Azzahro, 2021).
Shortage of labour or human resources – In pandemic period employees who was
working in organization has returned to their homes after leaving the organization that affected
the business performance. If there is lack of human resources then could be challenging to
operate their business. Marks & Spencer faced the challenge of human resources as most of the
employees belong to other country and they shifted remotely. Within Covid period they returned
to their homes that have created challenge to operate their business.
From the above it has seen that Marks & Spencer faced the challenges of shortage of labour,
lower sales, use of new technology that increases cost, and change in needs and wants of their
customers that affected the business negatively.
To develop ways in which digitization can help Marks and Spencer recover from the ill-effects of
the COVID-19 pandemic.
As per opinion of Sanwal (2022), Digitalization is the use of digital technologies to change
a business model and provide new revenues by operating a business. For each organization it is
important to make the use of new technology that can help to keep connected people via online
method. As Covid-19 has impacted badly on business organization such as reduction of
production and profitability. For companies it is important to make the use of digital technology
as it supports to keep connected people and employees at the workplace.in relation to Marks &
Spencer, there are different ways which can be used by management to recover from ill effects
within Covid period such as:
Identification of major change To operate a business successfully in changing
environment there is need to introduce the changes as it influences the number of people and
encouraged to make buying decisions. In relation to Marks & Spencer, this strategy could be
effective as identification of change that can help to provide new revenues and develop business
productivity.
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Shaping the future – Each organization aims to share their future in bright norms by
attaining competitive advantages. Marks & Spencer has followed the changes and offer kind of
products that supported to shape their future and increased the business performance. This also
helped to develop the business productivity and profitability in changing environment.
Use of new technology – A business reaches to their success if it pay attention on new
technology and innovation which could help to develop business performance. This is important
for each organization to understand current trend and offer products as well as services. In
context to Marks &Spencer, technical department provide a facility to their employees to manage
their work from their homes only that helped to operate the business in pandemic period. The
management also make the use of digital marketing for the purpose of reaching their targeted
customers that helped to increased business production and profits effectively.
Conclusion
From the above it has been concluded that number of benefits taken by Marks & spencer
in pandemic period by offering different design and quality of products via online. This has been
supported to bring changes in their existing performance and supports to accomplish the business
goals.
Research Methodology
Research philosophy- This explained as set of principles which are used to collect
information regarding particular topic and supports to manage all functions effectively. This
comprises interpretivism and positivism and realism. In relation to current research, positivism
has been used by researcher that can help to develop understanding about use of digital
technology to overcome ill effect of Covid-19.
Research approach- This could be explained as plan which uses to start any kind of project
or work. This involves inductive and deductive. The researcher has decided to make the use of
deductive approach as it supports to collect appropriate and relevant information about digital
technology which supported to grow a business continuously (Li, and Li, 2020).
Research strategy – This means methodology uses to provide sequential plan to individual
for the purpose of managing all functions and activities. This is important for each individual to
analysis the environment and makes decision accordingly. Research experiment, survey,
questionnaire, and interviews are effective strategies to research. In relation to current research,
experiment method has been used by researcher that helped to collect data.
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Data collection and analysis – This is a framework which used by researcher to collect
information regarding a particular topic. This involves primary and secondary sources. In
relation to current research, secondary sources has been used by research as statistics about
Covid cases has been taken from google. This has supported to operate a business. Moreover,
researcher make the use of quantitative data which is easier to read and understand effectively.
Limitation of the project
The limitation of current project is lack of resources, and capital which are important to start
any project. The person is requires to have good knowledge and skills about particular topic or
project. The researcher can face the challenge of completing project within given period (Oxford
Analytica, 2021).
Problems identified
The current project is about impact of covid-19 on retail sector of UK where Marks &
Spencer was selected organization that has operated their business by managing changes at the
workplaces. The problem identified from the project is lack of resources, and new technology
which are most important to start any project or activity. The management confused to get
sources and managing them well. The major problem which was identified by researcher is
competitive environment which has created challenges for organization to operate their business
continuously.
CONCLUSION
The above report went into detail regarding the initial specifics and scope of the project
which will be executed in order to digitize the operations of retail companies in UK by analysing
their effectiveness and also the negative impact of COVID-19. It was concluded from the
literature review that Marks and Spencer has realized that its business model needs quick
digitization.
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REFERENCES
Books and journal
Heidenstrøm, N. and Hebrok, M., 2022. Towards realizing the sustainability potential within
digital food provisioning platforms: The case of meal box schemes and online grocery
shopping in Norway. Sustainable Production and Consumption, 29, pp.831-850.
Daveler, B. and et. al., 2022. Air-powered shopping carts in grocery stores: a pilot
study. Disability and Rehabilitation: Assistive Technology, 17(1), pp.116-122.
Asti, W.P., Handayani, P.W. and Azzahro, F., 2021. Influence of trust, perceived value, and
attitude on customers’ repurchase intention for e-grocery. Journal of Food Products
Marketing, 27(3), pp.157-171.
Sanwal, R., 2022. How New Age Technologies Are Used to Identify Consumer Behaviour and
Its Change During and After a Pandemic. In Handbook of Research on Innovative
Management Using AI in Industry 5.0 (pp. 279-290). IGI Global.
Li, K.J. and Li, X., 2020. COVID-19 pandemic: social distancing, public policy, and market
response. Public Policy, and Market Response (May 5, 2020).
Oxford Analytica, 2021. Online data and surveys enhance policy-making. Emerald Expert
Briefings, (oxan-db).
Shoop, E., 2021. Supermarket Retailers’ Perspective on Online Grocery Shopping amid the
COVID-19 Pandemic (Doctoral dissertation, D'Youville College).
Hwang, E.H., Nageswaran, L. and Cho, S.H., 2020. Impact of COVID-19 on omnichannel retail:
Drivers of online sales during pandemic. Available at SSRN 3657827.
Heidenstrøm, N. and Hebrok, M., 2022 Daveler, B. and et. al., 2022. Asti, W.P., Handayani,
P.W. and Azzahro, F., 2021 Sanwal, R., 2022. Li, K.J. and Li, X., 2020 Oxford Analytica, 2021
Shoop, E., 2021. MHwang, E.H., Nageswaran, L. and Cho, S.H., 2020.
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