Case Study on Debenhams: Leadership, Motivation and Strategic Analysis

This case study analyzes the challenges faced by Debenhams, a historical multi-channel departmental store. It begins with an introduction to Debenhams and an overview of the macroeconomic environment and its impact on the company, utilizing a PESTLE analysis to examine political, economic, social, technological, legal, and environmental factors. The study then explores Debenhams' leadership style, identifying it as autocratic and discussing its relevance to the company's current situation, highlighting the limitations of this style. The application of Herzberg's Two-Factor Theory of motivation is then discussed, with recommendations for improvement that involve competitive strategy, new market exploration, and strategic adaptations. The case study concludes with a critical reflection on the writing and analysis process, offering insights into the application of leadership and strategic management concepts within a real-world business context.

Debenhams – Case Study

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................5
2.0 Impact of macro environment had on the current situation faced.........................................5
PESTLE Analysis of Debenhams ..............................................................................................5
3.0 Debenhams leadership style and its relevance to their current situation...............................7
4.0 Motivation theory..................................................................................................................8
6.0 Critical Reflection...............................................................................................................10
COCLUSION.................................................................................................................................11
REFRENCES.................................................................................................................................11
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INTRODUCTION
Debenhams is the oldest operating multi-channel departmental store and was founded in the 18th
century as a single store in London and now operating in the 178 other countries. This report
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includes the macroeconomic environment which impacts the current situation and the leadership
style which has been adopted by the leaders in the company and its relevancy. Further, the
motivation theory is discussed that helps to motivate employers in the organization when they
are not satisfied with the work. Apart from this, the recommendations are suggested for the
improvement in the leaders and the methods through which they manage the practices also the
strategies in the Debenhams. Moreover, the second part of the project includes the reflection
which I have experience in writing and analyzing the while doing this report.
MAIN BODY
2.0 Impact of macro environment had on the current situation faced.
PESTLE Analysis of Debenhams
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The political factors which have impacted the profitability of the Debenhams are varied in
different sections. The political factors change in the political regimes for the decisions which
are taken by the government. Further, the laws in the UK that enforce in Debenhams such as the
contract laws, in which there are some rules through which the Debenhams are not allowed to
trade with the other companies. Similarly, the trade barriers which the UK protects the
Debenhams also the barriers while doing the trade with the other companies with the help of the
potential trade partners that will harm the companies by preventing the exports of the
Debenhams. Apart from this, there is a high level of taxes in the UK that will de-motivate the
employers of the companies form increasing their profits. Furthermore, the high level of
employment in the UK that means the greater supply of the jobs as compared to the demand that
the employers are ready to work at the lower wages that directly reduces the cost of the
Debenhams. The rate of exchange in the UK affects the profitability of the Debenhams if
operating with international trade. Likewise, the currency stability of the UL is also important for
the investors that are investing in the Debenhams internationally.( Barker and Chiu., 2017)
Debenhams encompasses the culture, values and attitudes of the population that may hold
the community in the UK also the level of the education, lifestyle of the society affects the
company socially. The demographics of the population their ages, gender, etc. impacts the
culture of the society and the target of selling the products is mostly to the female sections of the
societies. Debenhams desires to be the focus on the safety of the employers and the employees
who are working in the organization also the norms such as the harassment claims and the
protection from the environmental conditions. Apart from this, the changes in the technological
developments that are made by the competitors of the Debenhams also encounter the new
technologies through which the company is gaining popularity. In this context, the new
innovations have made the work quickly and easily which leads to other firms that copy the
techniques of the organization. Furthermore, there is a huge impact on technology that costs the
company for increasing or reducing its profits through its innovation in the UK.
The policy and the rules in the UK regarding the retail sectors such as the Debenhams for
example, the discrimination laws, unemployment laws which are imposed by the government on
the people. Further, it helps in ensuring that people who are working in the Debenhams are
treated fairly, and they are given the same opportunities without getting biased of their ages,
gender, etc. Similarly, the health and safety laws are made for protecting employers who are
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working in the company. The laws and regulations are made for the social and ethical
responsibility of the employers and the employees. Apart from this, the weather conditions are
affecting the UK for managing both the resources and the finished products and this is affecting
the delivery of the products because of the unexpected monsoon conditions. Moreover, the
changes in the climatic conditions lead to some products to be useless according to their types
and the quality of the products. Debenhams has to prevent the waste which is generated while
manufacturing the products that may be required by the environmental protection laws for
managing its environmental habits. Also, renewable energy is expensive for the Debenhams that
receive support from the government and its customers that willing to pay the price for the
products which the company is producing.
3.0 Debenhams leadership style and its relevance to their current situation.
The leadership in the Debenhams is autocratic as autocratic leaders are recognized by the
individual control on all the decisions, and they take fewer inputs from their team members.
Further, such authoritarian leaders make choices on their preferences and based on their ideas
and judgments also they accept advice from their members. The autocratic leadership involves
absolute control over the team members by not allowing them to make their decisions and follow
them. The leaders in the Debenhams are a type of dictators as such leadership is having their
benefits which are useful in certain situations. Apart from this, the leaders are depending on the
situation and the type of the task on which the group is working also the characteristics of the
group members. Similarly, the team members are having the rare trust in the decisions and the
important tasks which are assigned to them by the leaders in the Debenhams. It is little or no
input from the members and the work is highly structured and rigid also the leaders command all
the work, process and methods and make the strict guidelines for the related projects to the
members. Furthermore, such leadership is helpful only in those companies where there is some
people working and where there is effective leadership is lacking. Moreover, such a style of
leadership creates the displeasure among the employers or the team members in the company.
The coaching leaders are known best for their employees than the authoritarian leader also
know better for its employees. The leaders lead the team where the opportunities exist for its
employees for improving themselves but also take care of their employees. Further, such leaders
sometimes might create for the company because sometimes the leaders will not coach their
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employers about work and productivity.( Barker and Chiu., 2017) For this reason, Debenhams is
facing the fight for survival as the value is dropped in 2006 and for which the company is facing
lots of issues. The leader is not able to handle the team also the leader is not in touch with the
changing expectations and the fashion of the customers in the societies. Also, the leaders are
failed in predicting the taste and preferences of the societies that leads Debenhams to its trouble
period. The company because its leaders fail in handling the brands also fails in establishing the
brand image of the Debenhams in the UK. Further, the leaders such that make the decisions and
delegate the responsibilities resolve the conflicts also interact with their employees through
which the retention, morale of the employees increase and that ultimately increases the
productivity of the work. Furthermore, Debenhams is facing such a situation because the leaders
are not setting the targets by taking the concern from the team members and their goals are not
specific, attainable and are time-constrained. Similarly, the employers are facing difficulties in
achieving the goals that lead to the increase the waste and lowers the productivity of the work
and customer satisfaction too.( Gujarathi., 2015) Debenhams was quick in expanding its plans
also fail many times because of expanding its work operations in different countries. The leaders
in the Debenhams are not allowing the input from the team members and the followers started to
feel dissatisfied with their work in the company.
4.0 Motivation theory
Hertzberg’s Hygiene and Motivating theory
This theory contains two factors:
Hygiene factor – This factor tells that salary, security, company policies, working conditions and
supervision are not the things which provide job satisfaction to an employee this factor helps in
general satisfaction and prevent from satisfaction.( Pasae, A., 2018) This factor only prevents an
employee from their job dissatisfaction but do not make them feel great satisfied with their jobs.
Further, this is the thing which is provided by every company to their employees so that they
work efficiently in the organization. Whenever employees join a company the thing which they
expect from their job is the hygiene factor but as time passes out the factor which motivates them
or makes them satisfied with their job are those things which come under the motivation factor.
( Hossen, 2018)
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Motivation factor- This factor includes achievement, status, growth, responsibility, promotion,
and recognition. This factor generally provides great motivation to employees as things which
come under this factor are those which satisfied employees as they get something extra from
their job. This factor is for making employees do all their work with full hard work to get
something big from their job. Whenever employees get a promotion or get any achievement they
started doing all work with keeping challenges in mind.
The Herzberg theory of motivation tells that employees of Debenhams can get motivated by
applying this theory in the organization. ( Salim., 2017) For example as Employees who are
working in Debenhams will love to work if they get all the things which have explained in both
factor of Herzberg theory, as in hygiene theory employee get those facilities which are basic
things which every company provide their employees to prevent them from dissatisfaction like
giving them good salary, providing them work security, good supervision, and good
interpersonal relationship. When employees get this entire thing they just get satisfied, but they
do not get motivated as they do not feel special or different from other employees. But when
Debenhams will provide them the things which come under motivation factor-like promotion,
challenges, growth and responsibility this all things are those which will motivate them, and they
fell energetic to achieve all this factor and when they achieve or get something after completing
challenge given by organization then they feel so much motivated and give them great
satisfaction from their job. When employees get those things which they want after hard work
then they get so much satisfied with their jobs. The motivation factor is the factor that
Debenhams will apply to get its employees loyalty and to fully satisfy them.
Hygiene and Motivation factors are important to improve the performance of employees. Both
factors are linked to each other as without getting basic things of hygiene factor there is no
enjoyment to get things of motivation factor so that’s why this both factors are so much
important to get great satisfaction from the job. And for providing satisfaction and development
in employee's job Debenhams is providing both Hygiene and Motivation factor’s things of
Herzberg Two Factor Theory.( Ruwanpura., 2015)
5.0 Recommendations
Competitive strategy – Competitive strategy is so beneficial in the improvement of leadership
style and management practices. In this management strategy, Debenhams use the external
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environment as their competitive advantage as it does such high market research that it knows
about all the factors like latest technology, taste and preference, trend and other important things
of market. When a company knows about the market then it applies this in their leadership style
by changing it and also helps them in gaining competitive advantage.
Finding new markets for product strategy - This strategy also helps in improving leadership style
and management practices as in these strategy leaders starts to find new market for their product
and when leader has to find new market they use new and different management practices and as
targeting new market is not easy so it needs new and improved leadership styles. For example,
Debenhams wants to target a new market for its product then it has to improve its management
practice so that it can make a good impact in a new market and that’s how it will survive in a
new market. Apart from this, trust and empower strategy - In this strategy the company should
show trust and also empower its employees. When employees feel trust with the company they
give their 100% in work as they feel like an important part of the company. ( Rapley, 2017)
Empowering employees is must need a strategy so that every employee will love to be part of the
company as they will feel the growth in the company. Growth is that thing that every employee
wants from company and this strategy also improves leadership style as an employee will feel
more comfortable with this kind of leadership style. For example, as Debenhams wants to be the
best company and to be the best company it must be capable of keeping employees loyal to it as
when an employee will be happy then they will loyal to it and do work with aim of achieving
something.
Development strategy – This strategy includes the development of employees as well as
companies’ development. In this strategy usually company, focus on the growth of both. So in
this strategy company targets a new market and also develops a different product to attract
customer. For example, Debenhams wants that it should diversify its business for expanding its
business and also provide so many opportunities to its employees so that they can also take
growth. (Sara, 2018)
6.0 Critical Reflection
I would like to give a reflection report after writing about the report and getting so much from it.
As earlier I was not having so much knowledge about Debenhams but after writing this report I
have known so many things about Debenhams. The things which I had known after writing are
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like what are the impacts of external environments on Debenhams current situation, like
political, environmental and other factors of external environments. The external environment is
so much responsible for affecting any business as the external environment is so unpredictable
that no one can understand it. But through some strategies threat from the external environment
can be reduced.
This report also helped in knowing what are the leadership styles that leaders of Debenhams are
following like it is following the autocratic style of leadership in which the power is only to the
top-level and also while writing the report I found how Herzberg motivation theory can help
employees in their development. This report also helped me to know what management strategy
Debenhams is using to improve its leadership style and management practices like competitive
strategy, development strategy, etc. So while writing this report I had got many things which
help me understand that how does Debenhams use its leadership styles and how it is improving
them for getting more achievement in the future.
COCLUSION
This report concludes that how Debenhams is dealing with the macro-environment factors in the
current situation. In this report, the thing which has come as the conclusion is that how
Debenhams should use the leadership styles that helps the company to run smoothly and also
discussed that how Herzberg motivation theory which consists of two factors one is hygiene and
one is motivation factor, so how this factor helps employees in their development. Apart from
this, such leadership and the motivation theory are adopted by the Debenhams so that the
employers and the leaders work with the motivation and achieve their targets successfully.
There is also discussion about what are the major management strategies which Debenhams is
using to improve its leadership style and also its management practices. At last, there is
reflection report has been explained according to the report which has analyzed in the report.
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REFRENCES
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