Leadership and Management Strategies in Aldi's Operations

This report provides a detailed analysis of leadership and management practices within Aldi. It begins with an introduction to operations management, outlining the roles and duties of an operations manager and exploring how Aldi applies various leadership and management theories, including lean thinking. The report examines the differences between leaders and managers, focusing on their roles, characteristics, and decision-making processes. It further delves into different leadership theories adopted by Aldi, such as situational, system, and contingency theories, and how these are applied in different situations. The report also explores the functions of leaders and managers, including planning, organizing, leading, and controlling, and how these functions contribute to the overall success of Aldi's business operations. Internal factors affecting operational management and decision-making are also discussed, providing a comprehensive overview of leadership and management strategies within Aldi.

Management and Operations

Table of Contents
Management and Operations................................................................................................................1
Introduction .........................................................................................................................................2
TASK 1.................................................................................................................................................2
P1: Different roles and characteristics of a manager and leader within the Aldi.............................2
M1 Role and Functions of a leader and manager applying various theories adopted by the Aldi . 3
D1 Different Theories and approaches to Leadership within the Aldi............................................3
TASK 2 ................................................................................................................................................4
P2 Role of leaders and Functions of leaders applied in different situations within the Aldi................4
Functions of a Manager ..................................................................................................................5
P3 Theories of leadership applied in the Aldi group........................................................................5
M2 Strength and Weaknesses of different approaches of Leadership in the Aldi ..........................5
TASK 3 ................................................................................................................................................6
P4 the key approaches to Operation's Management and Role of Managers and leaders.................6
P5 The importance and value of Operations Management within the Aldi to achieve the business
objectives ........................................................................................................................................6
M3 How leaders and mangers can improve efficiencies of operation management to obtain
business objectives ..........................................................................................................................7
D2 Analysing various factors affecting the business environment..................................................7
CONCLUSION....................................................................................................................................8
REFERENCES.....................................................................................................................................9

Introduction
In this report, Operations Management has been described briefly with the inclusion of the roles and
duties of an Operation Manager. Operations management is a part or area of business that focuses
on the production of the goods and services, It includes the responsibility to ensure that the business
operations are using the resources effectively and efficiently which meets the customer
requirements(Abbou,Dillet and Lottin,2015). The study shows the roles plays by the leaders and
managers within the Aldi. Different theories that the Aldi applied to their business operations have
been considered. Furthermore, the report includes various internal factors of an organisation that
affect the operational management and decision making of the leaders or managers.
TASK 1
P1: Different roles and characteristics of a manager and leader within the Aldi.
As a Trainee manager operations at the Aldi I observed that the company is operating its
functionality or business operations under the control of various leaders as well managers. Both the
Leaders and the Managers plays important role in an organisation, A Leader is one who motivates
or inspire his followers to work willingly in the achievement of the organisational
objectives(Bernardelli,Mangueira and Ruiz,2014). On the other hand, a Manager in a significant
link among the firm and its stakeholders, such as customers, suppliers, employees etc. Manager just
performs his basic managerial functions. In The Aldi I saw there are many similarities as well as
differences in the roles and duties of a manager and a leader. As my observations a leader and a
manger within the Aldi share the following differences -
BASIS LEADER MANAGER
Definition They are the one who provide
direction to the individual and
they guide in carrying out the
task in the Aldi. It is
responsible only for the team.
The manager is the person who
control as well as direct the
whole organization. He is the
one who allocates the work to
the employees in Aldi.
Focus The leader focus on attaining
the goals and objectives. They
focus only on their team
members which they are
leading as well as guiding.
The focus of the manager in the
Aldi is to develop coordination
between the individuals so that
the task can be accomplished in
an effective manner.
Decision making process In the decision making
process, the leader sometimes
take part in decisions. But in
case of democratic leader if
any decision is made for the
team, then he includes all the
team members in the decision
The mangers are included in
every decision of Aldi because
they are the one who know the
actual position of the
organization and even the
situation in which the company
is carrying out its operations.

making process.
Power The power is given to the
leader of Aldi by their
followers. If he has a good
leadership qualities he gets the
support of the followers.
Power is in the hands of
managers by default because
the position only has given
power to him to coordinate and
manage the operations of Aldi.
Personality The personality of the leader
is charismatic and he has the
power to influence the
behaviour of the employees.
They are very sharp in their
thoughts as well as inspire the
followers to attain the goals
and objectives.
Managers are the one who are
calm in nature and their focus is
on maintaining and
coordinating the activity of the
Aldi. The personality of
manager can be defined as
persistent so that they can
effectively manage the target
and attain the result.
Risk The leaders are considered to
be the risk taker, they always
choose the difficult path and
always takes the risk to obtain
them.
They can be considered as the
risk averse because in Aldi they
follow the rules and regulations
of the organization which is
made by the firm.
M1 Role and Functions of a leader and manager applying various theories adopted by the
Aldi
The Aldi group adopted various concepts and theories in the business operations. The leaders and
managers in the Aldi are concerned on the efficiency in the business operations. The theory or
approach of lean thinking is very well adopted within the Aldi. The leaders and managers plays an
important role in reducing the costs in each and every area of the organisation. I observed that the
Aldi group has a no-nonsense approach in the business operations(Cooper,Dowsett and
Rogers,2013). They only focus on the increase in efficiency, the leaders and managers follow this
concept in order to ensure the employees performing their roles and duties in efficient manner by
reducing the cost, avoiding the waste of resources and concentrating on the lean production which
refers to the waste reduction as well as reducing the quantity of resources used in the production.
D1 Different Theories and approaches to Leadership within the Aldi.
There are various important theories of leadership which are adopted by the Aldi which are as
follows -
 Situational leadership – The leaders within the Aldi plays a vital role in overcoming a issue
and obtaining a desired goal. I observed that the leaders performs different types of roles and
actions according to the situation. The leaders react effectively in every situations, whenever
any situation arises the Aldi provides the leadership to a deserving person in order to react in
the best possible way and guide the followers or the other team members(Ding,Sarikprueck

and Lee,2016).
 System leadership- The another type of leadership concept adopted by the Aldi is the system
leadership. The leaders while following this concept of leadership consider all the social as
well as cultural factors of the business environment together in the process of decision
making. This leadership theory refers to a system in which the organisation operates its
business, the leaders within the Leader while focusing on the business performance and
inspiring the followers also facilitates the conditions in which the employees can make
progress towards the social change.
 Contingency Theory – This theory of leaderships states that the business operations or
functionality gets affected by the internal as well as external factors of the business
environment or situations. I observed that the leaders within the Aldi claims that there is no
way to organise a company or organisation, to lead a organisation and to make decisions.
The leaders in the Aldi react or perform their duties according to the situations, AS the
internal and external situations or conditions often fluctuate, the leaders choose their actions
and decisions accordingly(Morimoto,Nomura and Yoshino,2014)
TASK 2
P2 Role of leaders and Functions of leaders applied in different situations within the Aldi
The Leadership as well as the Management both plays an important role in order to earn profit and
success within the Aldi group. The leaders and the managers, both take decisions in favour of the
organisation for obtaining the goals effectively. The managers in the Aldi group need to perform his
managerial roles by adopting various theories according to the situations. And the leaders helps in
inspiring the employees to willingly follow the managerial plans in the best manner in order to
achieve the organisation goals and objectives(Bhattacharjee and Bandyopadhyay,2015). The
leadership and management roles differ from each other but they both perform their duties and roles
in an effective manner within the Aldi to improve the performance and the productivity of the
organisation. The various situations in context to the Aldi group in which the leaders and managers
performs their respective duties are as follows -
 The business operations within the Aldi depends upon the production of the products, The
leaders ensure that the operations are performed effectively by each and every employee. He
or she interacts with the teams to inspire them for working with a willingness. On the other
hand the Mangers provides the strategies and plans on how to perform and what to perform.
The managers ensure that the employees knows the goals and the way to perform the
operations within the organisation(Evangelopoulos,Georgilakis and Hatziargyriou,2016).
 In the situation of crisis the managers in the Aldi provides the situational strategies to deal
with the issues and changes. These strategies and plans are provided to the employees with
the help of various leaders. The leaders are much connected to the employees or their teams
which help the organisation to share the information or strategies among the employees in
an effective manner.
 At each and every level of the organisation within the Aldi, the leaders work effectively
with their team members in order to achieve a specific goal or objective. On the other hand
the managers performs a duty of managing various staffs within the Aldi. They have to
introduce strict rules and regulations to manage the staff or departments at every level of the
organisation. Managers also performs the role of recruiter, as the managerial function he is
responsible for developing a talented staff in the organisation.
Roles of a leader

 Leaders plays an important role in monitoring the business performance. The leaders set
target for the team with regard to the business outcomes in order to increase the performance
of the Aldi group.
 The leaders within the Aldi act as an entrepreneur in order to bring the innovation within the
organisation. This helps an organisation to increase the profitability of the organisation.
 The role of a resource allocator – The leader within the Aldi act as a resource allocator
they can easily allocate various effective types of resource to obtain organisational goals
and objectives.
Functions of a Manager
 Planning – The main function of a manager in every organisation is planning, The manager
in the Aldi group plans the goals, strategies and other functions to attain success.
 Organising – the second role of a manager is to organise the staffs and their functions. The
managers organise the operations of an organisation to bring coordination within the
functionality of the business(Ming,Kun and Daoxin,2013).
 Leading – To obtain the organisational goal, Managers leads the various departments for the
effective use of the resources within the organisation.
 Controlling – The controlling function of a Manager refers to the control of the management
on the operations of the organisation as well s the team members, By providing proper
guidelines and policies to the employees in the various departments in an organisation.
P3 Theories of leadership applied in the Aldi group.
According to different situations within the Aldi, the leaders adapt various leadership styles and
concepts. The various theories adopted by the leaders within the Aldi group are as follows -
 Situational leadership – The situational leadership is adopted by the leaders of Aldi when
there is some issue or problems arises in the business environment. The leader distributes
the duties and responsibilities to the employees according to the skills and capabilities. This
helps the Aldi group to face the issues and problems with an effective manner.
 Systematic leadership – This leadership style focuses on the development of the business
operations within an organisation. The managers in the Aldi group adopt this leadership
concept to cover the roles and responsibilities to manage business operations for
improvement and effectiveness(Liu,Wang and Zhang,2015).
 Contingency – The leaders helps the organisation to increase the productivity as well as the
profitability of an organisation. This theory is based on three main elements, Task structure,
position and relation with the members.
M2 Strength and Weaknesses of different approaches of Leadership in the Aldi
The Aldi group adopts various approaches in the business operations in order to increase the
effectiveness and efficiency of the organisation. These approaches have various strengths as well
weaknesses which are as follows -
Strengths
 Improve relationship among the employees in an organisation
 Helps in sharing the ideas and views with the team members
 Improving communication among the employees and various departments within an
organisation

 Helps in creating an open as well as transparent business environment within an
organisation.
Weaknesses
 The Aldi group can not maintain secrecy in the organisation
 May leads to conflicts within the organisation
 Time consuming as the leaders discuss each and everything with the team members.
TASK 3
P4 the key approaches to Operation's Management and Role of Managers and leaders.
In the Aldi group the management has distributed the roles and responsibilities among different
teams and employees with respect to their capabilities. This helps the operation's management to
increase the efficiency in the operations within the organisation(Helleno,Pimentel and Simon,2015).
The employees in the Aldi group performs the following roles and duties to meet effective results -
 Six sigma – The Aldi use this set of management techniques to analyse the performance of
the organisation. This helps in improving the business process and increasing the
profitability
 Lean theory – This theory or approach is used by an organisation in order to eliminate waste
from production process.
 Queuing theory – This is a mathematical study which determines the queues and waiting
lines. The Aldi group develop their operations on the basis of queuing and
priorities(Hildebrand,2014).
Leaders Role
 Motivating or inspiring employees
 Setting up clear vision and mission
Managers Role
 Planning
 Organising
 Controlling
P5 The importance and value of Operations Management within the Aldi to achieve the business
objectives
The Operations Management plays an important role in an organisation to achieve the
organisational objectives. The Aldi group has an effective management system which manages the
operations of the business effectively. The operation management focuses on the planning,
organising, staffing and controlling in the organisation which helps to build effective coordination
within the firm. There are various roles and responsibilities an operation's manager performs within
the Aldi group(Jamaludin and Yusof,2016). The different roles and duties performed by the
Operation manager are as follows -
 Control and distribution – The Operation Manager distribute the operations or functions of

the organisation among the employees and various departments within the organisation with
regard to the skills and abilities of the employees. This helps in proper distribution of task
and increasing the effectiveness in the organisational operations.
 Transformation of raw materials – The Operation's management focuses on the conversion
of the raw materials or resources into the finished goods or products. The operation's
management ensure that the operations in the production are effective and
efficient(Lim,2015).
 Process Design – This refers to the development of the process which will be used by the
various departments of the organisation to produce the products and other functionality of
the firm.
 Capacity Management – The Capacity management refers to the effective use of the
resources and technology within the various operations of the organisation.
M3 How leaders and mangers can improve efficiencies of operation management to obtain business
objectives
There are various aspects through which the leaders and managers improve the efficiency of
operation management in order to achieve the business objective or goals. The different ways in
which the leader and managers improves the efficiency in the operations of an organisation are as
follows -
 Keeping goals clear – The managers and leaders in the Aldi group helps the employees and
teams to clear their vision and mission. They ensure that each and every employee within
the organisation understand the goals and objectives of the organisation so that he or she can
work effectively in achieving it(Miyanabe and et.al., 2015).
 Match to task with skills and abilities - The leaders and managers while developing teams
or assigning the task and roles to the other members make sure that a task will be performed
by the best person, this is done by giving the right task to the suitable person.
 Don't be afraid to delegate – The leaders and managers inspire and motivate the employees
and teams by delegating different roles and responsibilities to the employees. They motivate
the employees to perform the roles and duties by giving them responsibilities to be fulfilled.
This helps the employees to feel motivated and increase their abilities and skills.
D2 Analysing various factors affecting the business environment
There are many factors both internal as well external which have an impact on the operation's of the
Aldi group. The operation's management gets affected by these factors in both positive and negative
ways. The management needs to focus on these factors in order to overcome the negative impacts
they have on the organisation. The various factors affecting the operation's management are as
follows -
 Value System – The value system is completely based on the culture and norms of a
company. The polices and regulatory framework of every organisation has a major impact
on the functionality of the organisation.
 Mission and objectives – The objectives of the Aldi may change according to the changing
business environment and competition in the market which has a great impact on the
organisations operations.

 Financial factors – These factors also affect the business operations as each and every
operation or business activities requires finance and availability of finance can affect the
functions of an organisation.
CONCLUSION
From the above report, it can be concluded that management and operation plays a significant role
for development of an organisation. It includes various aspect which need to be followed by
manager and leader of the enterprise to develop profitability at workplace. In this context, present
report demonstrate comparison between roles and characteristic of leaders and manager on the basis
of vision, orientation, focus and many more aspects. Furthermore, it summarised situation of the
Aldi group in which leader and manager make effective participation to achieve goals.

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