Leadership and Management in Operations: Case of Marks & Spencer

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This report provides a comprehensive analysis of leadership and management in operations, focusing on Marks & Spencer plc as a case study. It differentiates between the roles of leaders and managers, explores the application of various leadership and management theories such as systems leadership, contingency theory, situational leadership, scientific management theory, modern management theory, and behavioral management theory. The report also evaluates the functions of managers and leaders in operational management, highlighting the importance of planning, coordination, and team working. Furthermore, it examines the factors influencing managerial and leadership decisions within the organization, emphasizing the need for adapting to environmental changes and improving production quality. This detailed analysis showcases how effective leadership and management contribute to achieving organizational goals and enhancing overall business performance.
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MANAGEMENT AND OPERATIONS
STUDENT’S NAME:
STUDENT’S ID
PROFESSOR’S NAME:
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Table of contents
Introduction 4
Overview of the company 4
Task 1 5
LO 1 Describing the difference between the function of a leader and role of a manager 5
P1 Defining and comparing various characteristic traits and roles of a manager and a leader 5
LO 2 Application of the role of a manager and a leader in the situation 6
P2 Analysing examples of leader and managerial roles application in various situations 6
P3 Application of various models and theories of approach, including systems leadership,
contingency and situational leadership 6
Task 2 8
LO 3 Appreciating the functions of managers and leaders in organisation’s operations function 8
P4 Describing operational management approaches and the function of managers and leaders 8
P5 Evaluating operations management’s importance in meeting goals of the business 10
LO4 Analysing the relationship between management and leadership in an organisation 11
P6 Analysing different factors of the business that influence managers and leaders’ decisions and
operations management 11
Conclusion 13
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Introduction
Leaders and managers play important roles in organisations. If an organisation want to achieve
its goals and objectives, it is very important for that organisation to hire skilled and efficient
leaders and managers. Various aspects of leadership and management are thoroughly analysed in
the study. For the study, the popular retail organisation, Marks and Spencer plc is given. The
main aim of the study is to understand the effective and positive contribution of management and
operations in an organisation. In the first section, the difference between the function of a leader
and a manager is understood and application their roles are analysed. Then in the second section,
operational management approaches are analysed. In the last section, the relationship between
leadership and management is discussed.
Overview of the company
Marks and Spencer plc are a popular retail organisation of the UK. The organisation is situated in
London. The products such as food products, home products and clothes are served all over the
world. Marks and Spencer plc is the public limited company. It was established in the year of
1884 by Sir Michael Marks and Thomas Spencer. The chairman of this organisation is Robert
Swannell. According to the final reports 2015, revenue of £10.3 billion was generated and the
profit of £481.7 million (Muenjohn and Armstrong, 2015, p.45). Apart from food products, home
products and clothes, the organisation started selling branded products as well. In the year of
1998, the organisation became the first British retail organisation to gain £1 billion pre-tax profit.
In 20015, approx. 83,069 were working for Marks and Spencer plc. There are 852 stores of this
retail organisation that are situated in the UK. The company also has many stores in various
countries such as India, Turkey, Greece, Russia, France, Poland, Ireland, Hungary, Spain and
Finland.
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Task 1
LO 1 Describing the difference between the function of a leader and role of a
manager
P1 Defining and comparing various characteristic traits and roles of a
manager and a leader
Managers devise and control the works of a company in order to meet objectives and goals of
that company. The function of the managers is to create policies and strategies and plan the
works of employees to meet the objectives of the organisation. They are distributed on different
levels to control the activities of various departments (Drauz, 2014, p.350).
Leaders do give instruction to employees so that they can perform their duties and
responsibilities in an appropriate manner. They motivate employees with the help of their
communication skills and leadership quality and make them understand the vision of the
company. The main purpose of leaders is to influence employees so that the productivity of the
organisation gets increased.
Some people consider leaders and managers play similar job roles, which is a misconception. As
opined by Johnston and Marshall (2016, p.47), here are several differences between the duties
and functions of managers and leaders. In an organisation, managers develop the goals and
objectives, leaders act on the goals and objectives, which are created by managers. When
managers inform organisational policies to leaders of the company, leaders inform and
communicate employees to perform duties according to the policies. Managers provide
instructions to groups of people and leaders give directions to team members. When managers
develop creative ideas for the organisation’s betterment and leaders implement the innovative
and creative ideas in real life. When managers concentrate on things, leaders concentrate on
people. Managers give directions to employees for working properly and leaders motivate
employees for performing their jobs efficiently. As managers and leaders play various significant
roles in companies, it helps in the development of those companies.
In Marks and Spencer plc, managers and leaders need to understand their duties and
responsibilities and perform those duties efficiently. In the organisation, managers must develop
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several effective strategies in order to meet organisational goals and objectives. Then leaders
should use those strategies with the help of employees. They also need to motivate employees
properly, so that the organisation’s productivity gets enhanced (Zhang et al. p. 540).
LO 2 Application of the role of a manager and a leader in the situation
P2 Analysing examples of leader and managerial roles application in various
situations
In companies, various job roles of leaders and managers help the organisation in working
towards the desired direction, so that the organisation can achieve various goals and objectives.
Management's different functions and various leadership styles ensure business operations are
done properly (Christensen et al. 2014, p.170). Various management theories are combined with
leadership skills in Marks and Spencer plc, which help that organisation develop its operations.
In the organisation, the department of operational management concentrates on several
management theories and leadership traits for reducing the manufacturing cost. Management's
contemporary theory is adopted by Marks and Spencer plc in order to handle the current situation
regarding the production and purchase's increased cost.
According to Donate and de Pablo (2015, p.365), leaders of Marks and Spencer plc inspire all
the employees to implement advanced technologies for reducing manufacture cost. They also
ensure employees so not resist the changes with the help of creating a sense of trust, good work
environment and proper communication skills. Management by objective concentrates on the
efforts of both managers and employees for achieving organisational goals. In this case,
managers perform their duties with employees properly and set the performance standards. On
the other hand, leaders motivate their team members in order to make them perform their
responsibilities appropriately. Theory of classical management is also applied in Marks and
Spencer plc. Managers develop policies to increase the productivity of employees. In this case,
participative leadership style is applied, therefore managers and employees’ can work with each
other to enhance the production and reduce the cost.
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P3 Application of various models and theories of approach, including systems
leadership, contingency and situational leadership
Systems leadership:
This theory of leadership is used in Marks and Spencer plc where leader controls the activities of
employees and they communicate the organisational situation. With the help of systems
leadership theory, leaders motivate employees to work as par the requirement of the
organisation. In Marks and Spencer plc, leaders make some changes in the activities of that
company and implement those policies for achieving company’s goals and responsibilities
(Morse et al. 2014, p.48). Employees, who work in the operational department, work in the
company for the betterment of business activities regarding cost manufacture.
Contingency theory of Leadership
Contingency theory of leadership refers to the fact that managers must follow various leadership
styles in order to achieve organisational goals (Burke and Barron, 2014, p.42). In Marks and
Spencers plc, this leadership theory is used because it helps the leaders in handling different
situations effectively. The leadership approach is reactive and it depends on contingency factors’
frame and structural dimensions.
Situational leadership
As stated by Rosemann and vom Brocke (2015, p.110), the style of situational leadership is
dependent on the capabilities and skills of employees. Situational leaders change their leadership
styles as per the skills and behaviours of employees. They do have the responsibility of
influencing employees effectively so that they can perform their duties properly. An employee's
growth completely depends on motivation, that person's capabilities and skills. It can have a
great impact on Marks and Spencer's operational management because various leadership styles
are implemented in different situations. In the current situation, the organisation is facing
problems of increased cost. The situational leadership role is extremely important in this
situation.
Various leadership theories are used in Marks and Spencer plc in order to meet the objectives
and goals of the organisation. All these leadership theories help employee retention and
employee development. Different leadership theories are implemented in the organisation in
various situations (Chuang et al. 2016, p.525). The aim purpose of leaders is to provide support
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to employees and motivate them properly so that they can perform their duties effectively. In an
organisation, it is very important for the leaders to create a supportive work culture and
environment for all types of employees.
Scientific management theory:
Scientific management theory is a type of management, which synthesizes and analyses
workflows. This theory is used in Marks and Spencer plc. and the main purpose of this theory is
to improve economic efficiency, particularly labour productivity. In this theory, science is
applied to the processes of engineering and management. The development of this theory
developed in the U.S. in 1880s and 1990s by Frederick Taylor.
Modern management theory:
After 1950s, modern management theory began its journey. The theory concentrates on the
growth of each and every factor of a company and its employees. Marks and Spencer plc applies
the theory because it is beneficial for the organisation. It indicates the application of systematic
mathematical methods in the process with understanding and analysing management’s inter-
relationship and employees in every aspect.
Behavioral management theory:
Behavioral management theory indicates managers of an organisation will understand human
aspects of employees and treat them as significant assets for achieving objectives. In Marks and
Spencer’s plc applies this theory because employees feel they are important parts of the
company. When management takes particular interest in employees, they feel they are significant
parts of special and important group. Management of Marks and Spencer plc considers proper
working conditions and employee satisfaction are two strategies of increasing employees’
productivity.
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Task 2
LO 3 Appreciating the functions of managers and leaders in organisation’s
operations function
P4 Describing operational management approaches and the function of
managers and leaders
Approaches to operations management:
Operations management is a significant part of the organisation, Marks and Spencer plc. The
duty of the organisation is to administer the organisational activities and to improve the
production quality. It also has the responsibility of devising and controlling the production's
procedure and then redesigning the operations of the business for the products' production.
When products are designed, operations managers keep the demands and requirements of
customers in their minds. To improve, review and control the work performance, it is very
important to use information system related to system design (Carter and DeChurch, 2014,
p.485). Another significant function of operations management is to make planning in order to
help the organisation to handle with environmental situation changes. Team working is also a
significant part of operations management. The department of operations management manages
the system with the help of employee encouragement and the procedure ensures better
performance and improvement of employees. Coordination is also a very important role in
operations management. It is a procedure of interrelating various things at work. Operations
management coordinates different job roles and responsibilities with all the employees.
Functions of leaders and role of managers:
Planning:
One significant function of Marks and Spencer plc's managers is to develop plans and set
objectives of that organisation. With the help of all those objectives, the productivity of the
organisation can be increased. The organisational strategies that are created by the managers
ensure employees work in the organisation efficiently. They contribute to production procedure’s
continuous betterment in order to increase the quality of products (Pemsel and Wiewiora, 2013,
p.35).
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The function of leaders is to communicate all the strategies to team members that are created by
the managers. They motivate employees properly and help in performing their duties effectively
for meeting organisational objectives and goals.
Organising:
Managers of Marks and Spencer plc organise and use all the resources of the company
effectively, so that goals and objectives of the company are reached.
The function of leaders is allocating all those resources and inspiring employees for performing
their duties (Oakland, 2014, p.41).
Directing:
Managers give instruction to employees for performing their tasks and leaders develop teams and
give direction to team members how to accomplish their tasks efficiently.
Staffing:
When managers do have the responsibility to staffing, leaders do have the responsibility for
getting the best outcome out of their team members. Managers hire employees, provide them
training and assign them jobs according to their capabilities and skills (Simons, 2013. p.40). On
the other hand, leaders continuously motivate employees to perform their duties properly and
interact with them to resolve their grievances.
Coordinating:
Managers of Marks and Spencer plc coordinate various functions of the organisation for getting
the best outcomes. Different organisational department such as finance department and
production department provide the organisation with the advantages of manufacturing high-
quality products at affordable prices.
Controlling:
Managers formulate strategies and leaders implement all those strategies in Marks and Spencer
plc. Managers monitor and control implement process and leaders have the responsibilities of
verifying performance outcomes of employees. Leaders also have the duty of providing support
and guiding employees properly.
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P5 Evaluating operations management’s importance in meeting goals of the
business
The functions of operations management are very important in an organisation when it comes to
performing organisational duties and responsibilities efficiently. In Marks and Spencer plc,
operations management has the responsibility of making plans, organising, supervising various
aspects of production and manufacturing services provision. Operations management is divided
into two parts, which includes supply chain management and logistics.
Operations management concentrates on different techniques and tools used by the company,
Marks and Spencer plc to make sure effective and smooth process of production. There are
various advantages of operations management, that’s why many companies give importance to
the functions of operations management.
Competitive advantage:
The business organisation, Marks and Spencer plc controls their operational activities with the
help of both external and internal factors. Internal factors refer to intellectual policies, operating
policies and average attrition rate. It indicates a huge number of workers are leaving because of
retirements, resignations and deaths. On the other hand, external factors refer to the fact that
operations managers give attention to the economy’s state sand strategies of the rivals. When an
organisation understands its external and internal factors, it enhances that organisation’s
competitive advantage (Saeidi et al. 2015, p.345). When a business organisation understands the
operating environment in a better way, it can adjust its strategies properly to changing
conditions. Marketing specialists make use of various factors such as strengths, weaknesses,
opportunities and threats in order to describe the process of analysis.
Profitability management:
Operations management also challenges employees’ sense of operations and conventional
wisdom. Senior executives are dependent on the activity of questioning the existing procedures
and asking personnel for providing innovative ideas to increase the organisation's productivity.
Organisations, which have efficient and experienced operations managers, do have the
responsibility of monitoring expenses and revenues. They perform all the duties by delving
trends of profitability, budget reports and corporate reports of income.
Regulatory compliance:
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As the organisation, Marks and Spencer plc properly evaluate operational activities; corporate
management does not have to provide fines to the government and adverse decisions of
regulations. Segment chiefs and department heads control operations management to ensure all
the activities are done properly as par the law. As operational management obeys laws and
regulations of the government, it helps in enhancing the safety of the workplace.
Manufacturing edge:
Operations management provides organisation opportunities to make changes or to improve the
manufacturing procedure. It indicates how some items such as the quality of finished products
and raw materials get increased. One major benefit is that it helps a manufacturer in preventing
debt affordability deterioration. It can occur in the organisation if it suffers from losses and does
not repay existing liabilities. The tools of manufacturing that are applied in operations
management department of Marks and Spencer plc include defect-tracking software, computer-
aided software for production and warehouse software for management.
LO4 Analyzing the relationship between management and leadership in an
organisation
P6 Analyzing different factors of the business that influence managers and
leaders’ decisions and operations management
In Marks and Spencer plc, there are various different factors, which affect operations
management and decisions of leaders and managers. Every decision of a leader or a manager
may address a particular problem or a department’s requirement. All the decisions can have the
impact on the goals and objectives of the organisation. If leaders and managers understand
various factors that help in making decisions, it will increase the productivity of an organisation.
Return on investment:
One major factor that affects the business decisions is the return on investment. When the
investors of an organisation invest a huge amount of money in a business organisation, they
expect to gain profitability. In order to get an idea about the organization’s profitability, one
needs to calculate return on investment. It is the simplest way of measuring the business
organisation’s productivity.
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Brand impact:
Various decisions regarding advertisement, selling the products and prices do have a great
impact on the brand image of the organisation. Therefore, managers need to be very careful that
the time of taking any decision. If a new product is launched in Marks and Spencer plc, which
does not fit with the organisation’s other products, it can damage the brand image of the
organisation. That’s why it is very important for the organisation to consider what the common
public will think about their new decisions. If some new strategies are implemented in the
organisational, which are considered unnecessary by the customers, it can also cause negative
publicity (Farndale et al. p.206). The organisation should not increase the cost of its products if
its competitors do that. Common people always prefer purchasing products at affordable price. It
will help Marks and Spencer plc in gaining a competitive edge to its competitors.
Influence on resources:
When managers and leaders make decisions for making profit, they consider the effect of their
decisions on various resources such as human resources, accounting, sales, information
technology and production. If creating any product takes employees away from their own duties,
the organisation will lose the opportunities of profit. If managers and leaders overburden their
employees, they may consider quitting their jobs.
Opportunity cost:
When managers make one particular decision, they lose the opportunity to take another decision.
If managers purchase new machines to improve production, they may not provide bonuses to the
employees in that year. When an organisation purchases radio ads, they may not have enough
amount of money for buying television spots. Therefore, it is very important for managers to ask
themselves what can happen with that money when they take any important decisions.
Employee training:
The training of employees influences the operational management of Marks and Spencer plc.
Managers need to develop the capabilities and skills and utilize all the resources like machines
and programs (Santos et al. 2015, p.475). They always need to analyze the skills of employees
and their readiness to do their works efficiently. This procedure of planning refers to shifting
workers around various task roles until appropriate arrangement for production is found.
Work processes:
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