Report on Leadership, Management, and Operations at M&S (2024)
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This report provides an in-depth analysis of leadership and management practices within Marks & Spencer (M&S). It begins by differentiating the roles and characteristics of leaders and managers, highlighting their significance within an organizational context. The report then explores the roles and functions of leaders and managers specifically within M&S, including motivation, team building, and strategic planning. Various leadership theories are examined, such as contingency leadership, system leadership, and situational leadership, along with classical management theories, and their applicability within the company. The report further explains key approaches to operation and management within M&S, including business process redesign and Six Sigma. Finally, the report assesses the business environmental factors that impact operational management. The report covers various aspects of management and operations within the retail sector, offering insights into the practical application of leadership and management theories.

Operation and management
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1 Role and characteristics of leaders and a managers...............................................................1
Task 2...............................................................................................................................................2
P2 Role of a leaders and functions of a managers in M&S........................................................2
P3 Leadership theories.................................................................................................................4
Task 3...............................................................................................................................................5
P4 Explaining the key approaches of operation and management and the role of leaders and
managers......................................................................................................................................5
TASK 4............................................................................................................................................7
P6 Assessing the business environmental factors that makes an impact on operational
management.................................................................................................................................7
CONCLUSIONS..............................................................................................................................8
References .....................................................................................................................................10
2
INTRODUCTION...........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1 Role and characteristics of leaders and a managers...............................................................1
Task 2...............................................................................................................................................2
P2 Role of a leaders and functions of a managers in M&S........................................................2
P3 Leadership theories.................................................................................................................4
Task 3...............................................................................................................................................5
P4 Explaining the key approaches of operation and management and the role of leaders and
managers......................................................................................................................................5
TASK 4............................................................................................................................................7
P6 Assessing the business environmental factors that makes an impact on operational
management.................................................................................................................................7
CONCLUSIONS..............................................................................................................................8
References .....................................................................................................................................10
2

INTRODUCTION
Management functions has a wider scope in an organization , which has various areas
that has considerations with different functions like planning, organizing, directing and
controlling (Talk, 2016). Business management and operation involves the planning and
execution of strategies and system to make business or corporation work properly. In this report
M&S is one of the leading retail sector in UK, which has been offer various types of appeals for
men, women and kids. Said company has a numerous stores in UK and also very famous in
customer mind. This report is based on management and operations where discussed about the
importance of leaders and managers along with their various functions that are performed by
them (Alderton and Saieva, 2013 ). The report has been covered various leadership theories and
models which are applied in M&S company.
TASK 1
P1 Role and characteristics of leaders and a managers
In an organization leaders and managers has a vital role . They both are well performing
in respected areas (Scott and Davis, 2015). A leader is a person who leads their team and manage
their performance level. Leaders is person who motivates their employees . Leaders is a person
who take decision for his team member and set some short term object with in their team to
achieving in minimum time. On the ether side manager is a person who take decision for whole
organizations and manger their workforce environment. Managers is person who set their
policies and working methods for other employees where they all are performing well and
effectively. Manager focus on decision making strategy where he took strategies for organisation
accomplishment (Fernie and Sparks, 2014).
Leader Manager
Leadership is a narrow term for. Leaders only
manage their group people. Where as leader
can only managed those people who worked
under their. Leaders may provide motivations
for their group people. Where with the help of
motivations employees get improving in their
performance (Talk, 2016).
Manager is a person who manage whole
organization process. Where as managers make
some policies and regulation for their
organization. With the help of policies and
regulation organizational environment must be
cooperative.
Managers assign task and duties to whole
1
Management functions has a wider scope in an organization , which has various areas
that has considerations with different functions like planning, organizing, directing and
controlling (Talk, 2016). Business management and operation involves the planning and
execution of strategies and system to make business or corporation work properly. In this report
M&S is one of the leading retail sector in UK, which has been offer various types of appeals for
men, women and kids. Said company has a numerous stores in UK and also very famous in
customer mind. This report is based on management and operations where discussed about the
importance of leaders and managers along with their various functions that are performed by
them (Alderton and Saieva, 2013 ). The report has been covered various leadership theories and
models which are applied in M&S company.
TASK 1
P1 Role and characteristics of leaders and a managers
In an organization leaders and managers has a vital role . They both are well performing
in respected areas (Scott and Davis, 2015). A leader is a person who leads their team and manage
their performance level. Leaders is person who motivates their employees . Leaders is a person
who take decision for his team member and set some short term object with in their team to
achieving in minimum time. On the ether side manager is a person who take decision for whole
organizations and manger their workforce environment. Managers is person who set their
policies and working methods for other employees where they all are performing well and
effectively. Manager focus on decision making strategy where he took strategies for organisation
accomplishment (Fernie and Sparks, 2014).
Leader Manager
Leadership is a narrow term for. Leaders only
manage their group people. Where as leader
can only managed those people who worked
under their. Leaders may provide motivations
for their group people. Where with the help of
motivations employees get improving in their
performance (Talk, 2016).
Manager is a person who manage whole
organization process. Where as managers make
some policies and regulation for their
organization. With the help of policies and
regulation organizational environment must be
cooperative.
Managers assign task and duties to whole
1
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Leaders set short term objectives which are
followed in minimum time.
Some times leaders creates a informal group
environment where rest of the employees were
feel comfortable.
Leaders give them authorities to take any
decisions for their goal accomplishment.
Leaders provide chance to put ideas and views
for maintain strategic environment.
In an organization leader performs only one
function that is direction. Where they only
provide direction to their concerning team (
Radnor, and et.al., 2015).
Leader is a risk taker and manage them all
risks to get some achievements and success in
their route.
Most of the time leaders applies participate
leadership styles where they can able to work
along with their group members.
organization.
Managers set strategic decisions for whole
organizational profit (Wagner III and
Hollenbeck, 2014).
Managers communicate with all employees of
the cited company.
Mostly manager apply authoritarian,
consultative and democratic styles.
Manager focus on whole organization activities
and provide framework to maintain work
environment.
Managers usually avoid risks because
managers have whole organization
responsibilities so they don't put organization
in danger.
Manager have direct contact with top
management.
Manager mostly plan for future possibilities
and also managers prepare some plan for
estimated budgets.
Manager mostly focus on planning, organizing
and staffing programs where they can plan for
new hirings and their properly organizing
(Alderton and Saieva, 2013 ).
TASK 2
P2 Role of a leaders and functions of a managers in M&S
There are main roles of a leader in an organization:
Motivation: The main role of leaders is providing motivation to their subordinates. Motivation
are furnish their employee performance (Talk, 2016). It help to increasing work efficiency and
performance level. So leaders are provide motivation in their group members . Where motivation
2
followed in minimum time.
Some times leaders creates a informal group
environment where rest of the employees were
feel comfortable.
Leaders give them authorities to take any
decisions for their goal accomplishment.
Leaders provide chance to put ideas and views
for maintain strategic environment.
In an organization leader performs only one
function that is direction. Where they only
provide direction to their concerning team (
Radnor, and et.al., 2015).
Leader is a risk taker and manage them all
risks to get some achievements and success in
their route.
Most of the time leaders applies participate
leadership styles where they can able to work
along with their group members.
organization.
Managers set strategic decisions for whole
organizational profit (Wagner III and
Hollenbeck, 2014).
Managers communicate with all employees of
the cited company.
Mostly manager apply authoritarian,
consultative and democratic styles.
Manager focus on whole organization activities
and provide framework to maintain work
environment.
Managers usually avoid risks because
managers have whole organization
responsibilities so they don't put organization
in danger.
Manager have direct contact with top
management.
Manager mostly plan for future possibilities
and also managers prepare some plan for
estimated budgets.
Manager mostly focus on planning, organizing
and staffing programs where they can plan for
new hirings and their properly organizing
(Alderton and Saieva, 2013 ).
TASK 2
P2 Role of a leaders and functions of a managers in M&S
There are main roles of a leader in an organization:
Motivation: The main role of leaders is providing motivation to their subordinates. Motivation
are furnish their employee performance (Talk, 2016). It help to increasing work efficiency and
performance level. So leaders are provide motivation in their group members . Where motivation
2
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is monitory or non monitory. Monitory motivations like pay some extra incentives and some
other compensations. These are more helpful to improving performance skills in employees. On
the other hand leaders provide non monitory motivations as some recognition, performance
appraisal, and promotions. Which can be help to encourage employees . For example: if in an
organization employees are not satisfied with their working methods and practices so leaders
would take initiative to provide them some rewards and other benefits for increasing in their
work performance ( Ho and et.al., 2015).
Team building: Leaders must focus on team effectiveness. Where leaders provide orientation
programs in their group and interact with all group members. In that situation all members were
introducing with each others and build a healthier relationship. Leaders must focus on group
environment where leader ensure sometimes formal or some times informal behavior within
group. With the help of these techniques leader will be able to build a healthy relationship in
team (Fernie and Sparks, 2014).
Representative of the organization: In M&S company leader is a most important person of the
organization where they represent whole organization. In this point main role of leader is
communicate relevant information of the firm to outside public.
Integrates personal goals with organizational goals: Main role of leader is provide integration in
group achievements and said company goals. They will build a link between goal
accomplishments (Alderton and Saieva, 2013 ). He is trying to co-ordinates whole organisation
towards their group achievements.
Functions of managers in an organization:
Planning: It is a basic function of manager where they plan for future possibilities. Planning is
the most essential part of the organization where manager play a vital role. In this function
manger plan for the organization goal accomplishments and also planning about the strategic
decision making programs. Planning is determination of existing course of action or upcoming
possibilities ( Radnor, and et.al., 2015). So in that situation manger ensure whole organization
planning process.
Organizing: In this point mangers organized whole management process. In organizational
function manger keep reviewing whole activities which are conducting in said company. He will
ensure well organized whole process of the M&S company.
3
other compensations. These are more helpful to improving performance skills in employees. On
the other hand leaders provide non monitory motivations as some recognition, performance
appraisal, and promotions. Which can be help to encourage employees . For example: if in an
organization employees are not satisfied with their working methods and practices so leaders
would take initiative to provide them some rewards and other benefits for increasing in their
work performance ( Ho and et.al., 2015).
Team building: Leaders must focus on team effectiveness. Where leaders provide orientation
programs in their group and interact with all group members. In that situation all members were
introducing with each others and build a healthier relationship. Leaders must focus on group
environment where leader ensure sometimes formal or some times informal behavior within
group. With the help of these techniques leader will be able to build a healthy relationship in
team (Fernie and Sparks, 2014).
Representative of the organization: In M&S company leader is a most important person of the
organization where they represent whole organization. In this point main role of leader is
communicate relevant information of the firm to outside public.
Integrates personal goals with organizational goals: Main role of leader is provide integration in
group achievements and said company goals. They will build a link between goal
accomplishments (Alderton and Saieva, 2013 ). He is trying to co-ordinates whole organisation
towards their group achievements.
Functions of managers in an organization:
Planning: It is a basic function of manager where they plan for future possibilities. Planning is
the most essential part of the organization where manager play a vital role. In this function
manger plan for the organization goal accomplishments and also planning about the strategic
decision making programs. Planning is determination of existing course of action or upcoming
possibilities ( Radnor, and et.al., 2015). So in that situation manger ensure whole organization
planning process.
Organizing: In this point mangers organized whole management process. In organizational
function manger keep reviewing whole activities which are conducting in said company. He will
ensure well organized whole process of the M&S company.
3

Staffing: In this program mangers kept information about the manpower planning. Where they
hire right man to right job ( Ho and et.al., 2015). In this program mangers do manpower planing,
conduct training programs, remuneration, performance appraisal and some promotions programs.
For example: if in case organization has to require employment for their concerning work so in
that situation manager will hire new employees and also they provide them to training programs
to introducing cited organization working practices.
Directing: It is most important part of the whole organization where manger direct over the
whole management human activity. Where manager do supervision, leadership, motivation and
communication. These are the various activities which gas been directed by the mangers.
Controlling: This is the most essential part of the M&S. Where as manger establishment of
standard performance and policies. In this situation manger keep controlling on performance
level and polices which are made by top management. ( Radnor, and et.al., 2015)
P3 Leadership theories
In M&S company there are specific theories and models which are related to ledership
approach. Here are the leadership theories as follows:
Contingency leadership: This theory is based on leadership theory where this is most common
theory which are widely used in every organization. In M&S this model is used for the making
decisions as per the situation by mentioned in an enterprise. This model of leadership is helpful
to solving various problems which are the complex nature in easier way (Alderton and Saieva,
2013 ). In cited organization this model is based on task oriented programs and help to build a
ambient relationship with current situation.
System leadership: It is the most important model of leadership where M&S used for some
organizational improvement ( Scott and Davis, 2015 ). Which means this model is used for some
possible improvements to lead their business concern. It make modification for their achieving
high profitability in current marketplace. Moreover, in cited organization this leadership style
will help to develop their in various techniques which can be help to achieving new trend
according technologies ( Ho and et.al., 2015).
situational leadership: the situational leadership model has applied for the build a coordination
between leaders and followers. This theory is more powerful theory to provide effective
leadership qualities (Fernie and Sparks, 2014). Where leader can perform their leadership skills
as effectively , they will provide better communication in their team mates. In said organization
4
hire right man to right job ( Ho and et.al., 2015). In this program mangers do manpower planing,
conduct training programs, remuneration, performance appraisal and some promotions programs.
For example: if in case organization has to require employment for their concerning work so in
that situation manager will hire new employees and also they provide them to training programs
to introducing cited organization working practices.
Directing: It is most important part of the whole organization where manger direct over the
whole management human activity. Where manager do supervision, leadership, motivation and
communication. These are the various activities which gas been directed by the mangers.
Controlling: This is the most essential part of the M&S. Where as manger establishment of
standard performance and policies. In this situation manger keep controlling on performance
level and polices which are made by top management. ( Radnor, and et.al., 2015)
P3 Leadership theories
In M&S company there are specific theories and models which are related to ledership
approach. Here are the leadership theories as follows:
Contingency leadership: This theory is based on leadership theory where this is most common
theory which are widely used in every organization. In M&S this model is used for the making
decisions as per the situation by mentioned in an enterprise. This model of leadership is helpful
to solving various problems which are the complex nature in easier way (Alderton and Saieva,
2013 ). In cited organization this model is based on task oriented programs and help to build a
ambient relationship with current situation.
System leadership: It is the most important model of leadership where M&S used for some
organizational improvement ( Scott and Davis, 2015 ). Which means this model is used for some
possible improvements to lead their business concern. It make modification for their achieving
high profitability in current marketplace. Moreover, in cited organization this leadership style
will help to develop their in various techniques which can be help to achieving new trend
according technologies ( Ho and et.al., 2015).
situational leadership: the situational leadership model has applied for the build a coordination
between leaders and followers. This theory is more powerful theory to provide effective
leadership qualities (Fernie and Sparks, 2014). Where leader can perform their leadership skills
as effectively , they will provide better communication in their team mates. In said organization
4
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leaders must focus on build a healthier relationship with their team mates. They will apply
participative nature in working practices where it can help to improving relation between leader
and employees. ( Scott and Davis, 2015. )
Classical management theories: The classical management theory makes an emphasis on the
improvement and motivation of workers. For this, it is necessary for the managers to identify the
best way that can help in bringing the improvement and efficiency. This can be adopted by the
stated organization to make employees more productive.
Management by objectives: In this management, the leaders and managers make efforts to
bring improvement in each function and task by clearly defining the objectives to employees.
Thus, a balance and acceptance level can be attained. Thus, by adopting this management theory,
the mentioned entity can gain the acceptance at higher level.
TASK 3
P4 Explaining the key approaches of operation and management and the role of leaders and
managers
Mark and Spencer is one of the top leading retailer in UK. It offers stylish, high quality
clothing and home product as well as outstanding quality foods. Operation management is
concerned with the design, management and improvement of the system in terms to create
organization goods and services (Turker, and Altuntas, 20140. In most of the organization
financial and human resources are invest in activities for making product and delivering services.
Operation management is critical to the success of an organization. It converts the raw material,
labor and energy into goods and services. Modern operation management theories are to be used
for manufacturing the quality of goods and distribution channel for delivering services.
Business process redesign- It is abusiness management strategy that focuses on designing and
analyzing the workflow and processes within a company. It helps in restructure of organization
by effective designing of business processes and policies in order to give quality and wide
variety of product and services.
Reconfigurable manufacturing system- It is a production and manufacturing system that is
designed foe the purpose of changes in the organization manufacturing structure, hardware and
software system. It increases the system capacity in which they continue can contonously
produce product according to market needs and demand. This strucutre also provide facility to
5
participative nature in working practices where it can help to improving relation between leader
and employees. ( Scott and Davis, 2015. )
Classical management theories: The classical management theory makes an emphasis on the
improvement and motivation of workers. For this, it is necessary for the managers to identify the
best way that can help in bringing the improvement and efficiency. This can be adopted by the
stated organization to make employees more productive.
Management by objectives: In this management, the leaders and managers make efforts to
bring improvement in each function and task by clearly defining the objectives to employees.
Thus, a balance and acceptance level can be attained. Thus, by adopting this management theory,
the mentioned entity can gain the acceptance at higher level.
TASK 3
P4 Explaining the key approaches of operation and management and the role of leaders and
managers
Mark and Spencer is one of the top leading retailer in UK. It offers stylish, high quality
clothing and home product as well as outstanding quality foods. Operation management is
concerned with the design, management and improvement of the system in terms to create
organization goods and services (Turker, and Altuntas, 20140. In most of the organization
financial and human resources are invest in activities for making product and delivering services.
Operation management is critical to the success of an organization. It converts the raw material,
labor and energy into goods and services. Modern operation management theories are to be used
for manufacturing the quality of goods and distribution channel for delivering services.
Business process redesign- It is abusiness management strategy that focuses on designing and
analyzing the workflow and processes within a company. It helps in restructure of organization
by effective designing of business processes and policies in order to give quality and wide
variety of product and services.
Reconfigurable manufacturing system- It is a production and manufacturing system that is
designed foe the purpose of changes in the organization manufacturing structure, hardware and
software system. It increases the system capacity in which they continue can contonously
produce product according to market needs and demand. This strucutre also provide facility to
5
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produce customozed product and services. Various kind of distribution channel are to be formed
for distributing their product and services up to a mass customers.
Six sigma- Six sigma approach provides the quality of product at low cost. It defines the
sequence of activities associated with target, such as increasing profits or reducing costs in terms
to achieve financial target (Love, Matthews, Simpson, Hill, and Olatunji, 2014). Six sigma tools
are to used in pocess of manufacturing and distribution of product which are charts, defect
calculation and other ratios for removing the defend and improvinf the efficiency.
Lean manufacturing- This method is used at production and manufacturing process for
eliminating waste and optimum utilization of resources. Lean theory reduces the waste which
one is create by overburden or uneven practices. This theory helps in to generate value creation
in front of customers and seeks to eliminate unwanted expenditures in terms to create wealth and
customer satisfaction.
TQM: The managers at M&S can adopt the technique of TQM so as to maintain the quality of
work and can make efforts for inducing the improvements in processes of products, services and
the culture.
Managers and leaders plays an important role in operation and management. They
determines policies and strategies in oder to provide guidence of workflow towards the
successful accomplition of task. They also mainatins healthy relationship with suppliers,
distributors and vendors. Mangers main focus is towards the goal, resources and organization
structure. Leaders have an ability to influence, motivates and encourage team members towards
accomplishment of task (Sigala, and Chalkiti, 2014). Managers are th problem solver they see
whole organization productivity not an individual team goal. Mark and Spencer main business
strategy to provide wide varities of goods with a optimum quality in order to fulfill the customer
demamnd with certain satisfaction.
Customer service: The leaders and managers are responsible for giving a bettet customer
service by maintaining quality in the products. Besides this, they maintain very good
relationships with th customers so as top gain the good response.
Resource utilisation: The leaders and managers perform a close monitoring over the production
activities so that they can maintain optimum utilisation of resources and minimise the wastages.
Efficiency: The efficiency of the employees are increased and made better through motivation
and guidance. This is done by the manager and leaders by giving incentives and recognition.
6
for distributing their product and services up to a mass customers.
Six sigma- Six sigma approach provides the quality of product at low cost. It defines the
sequence of activities associated with target, such as increasing profits or reducing costs in terms
to achieve financial target (Love, Matthews, Simpson, Hill, and Olatunji, 2014). Six sigma tools
are to used in pocess of manufacturing and distribution of product which are charts, defect
calculation and other ratios for removing the defend and improvinf the efficiency.
Lean manufacturing- This method is used at production and manufacturing process for
eliminating waste and optimum utilization of resources. Lean theory reduces the waste which
one is create by overburden or uneven practices. This theory helps in to generate value creation
in front of customers and seeks to eliminate unwanted expenditures in terms to create wealth and
customer satisfaction.
TQM: The managers at M&S can adopt the technique of TQM so as to maintain the quality of
work and can make efforts for inducing the improvements in processes of products, services and
the culture.
Managers and leaders plays an important role in operation and management. They
determines policies and strategies in oder to provide guidence of workflow towards the
successful accomplition of task. They also mainatins healthy relationship with suppliers,
distributors and vendors. Mangers main focus is towards the goal, resources and organization
structure. Leaders have an ability to influence, motivates and encourage team members towards
accomplishment of task (Sigala, and Chalkiti, 2014). Managers are th problem solver they see
whole organization productivity not an individual team goal. Mark and Spencer main business
strategy to provide wide varities of goods with a optimum quality in order to fulfill the customer
demamnd with certain satisfaction.
Customer service: The leaders and managers are responsible for giving a bettet customer
service by maintaining quality in the products. Besides this, they maintain very good
relationships with th customers so as top gain the good response.
Resource utilisation: The leaders and managers perform a close monitoring over the production
activities so that they can maintain optimum utilisation of resources and minimise the wastages.
Efficiency: The efficiency of the employees are increased and made better through motivation
and guidance. This is done by the manager and leaders by giving incentives and recognition.
6

Product characteristics: the managers or leaders make sure that the products have all the
required characteristics in right way like size, color, design shape, quantity etc.
P5 Importance and values of operation management towards achieving business objective
Operation management has two prilimary objectives that is effective customer service
and resource utilization so that operation mangement established certain policies and method of
operation that can fulfill the customer needs and demand. Operation management also considers
the effective utilization of resources otherwise the cost of production will be increase and hence
the overall profit margin. Operation management is not only important in manufacturing industry
but also it is useful at distribution of product and services. It consist with the set of procesess
starting from obtaining the wraw materialm till the goods are sold and sometimes after sales
services to be for maintaing brand loyalty and trust (White, 2016). Operation management is
useful at the time of distribution of product and services, it consist with several stages from
understanding the customer needs to getting feedback after service. It manages all the operations
from manufacturing to delivery of product and services which meets the customer needs and
demand all time. Operation mangement involves planning, organizing, staffing, directing and
controlling of management operations. It is important to all types of businesses, its main aim is to
reduce wastage, increase productivity and time or resource management in order attain low
production cost with optimum quality. Successful businesses are those which can managwe their
operations effectively and efficiently. Operation management main function is inventory
managemnet, supply and logistics, quality assurance and management of whole organization
process in to order to utilisation right skills and get effective outcome. the importance of
operation management in achieving organizational objective can be divided in to three broad
categories such as strategic decision, tactical decision and operational decision.
Strategic decision- Operation management assist the senior managers for making policies and
strategic level decisions. Such decisions are to be made under consideration of existing
constraints as well as current condition of organization structure and system to formulate
effecient system in order to achieve competitive advantage. Strategic decisions are to be taken
for long term palnning like merger or acquistion and major changes in technological factor that
directly affects whole organization compentency and their core functions.
Tactical decisions- Operation management creates an effective schedule for the available
resources and management of staff under the certain legal regulations and constraints which are
7
required characteristics in right way like size, color, design shape, quantity etc.
P5 Importance and values of operation management towards achieving business objective
Operation management has two prilimary objectives that is effective customer service
and resource utilization so that operation mangement established certain policies and method of
operation that can fulfill the customer needs and demand. Operation management also considers
the effective utilization of resources otherwise the cost of production will be increase and hence
the overall profit margin. Operation management is not only important in manufacturing industry
but also it is useful at distribution of product and services. It consist with the set of procesess
starting from obtaining the wraw materialm till the goods are sold and sometimes after sales
services to be for maintaing brand loyalty and trust (White, 2016). Operation management is
useful at the time of distribution of product and services, it consist with several stages from
understanding the customer needs to getting feedback after service. It manages all the operations
from manufacturing to delivery of product and services which meets the customer needs and
demand all time. Operation mangement involves planning, organizing, staffing, directing and
controlling of management operations. It is important to all types of businesses, its main aim is to
reduce wastage, increase productivity and time or resource management in order attain low
production cost with optimum quality. Successful businesses are those which can managwe their
operations effectively and efficiently. Operation management main function is inventory
managemnet, supply and logistics, quality assurance and management of whole organization
process in to order to utilisation right skills and get effective outcome. the importance of
operation management in achieving organizational objective can be divided in to three broad
categories such as strategic decision, tactical decision and operational decision.
Strategic decision- Operation management assist the senior managers for making policies and
strategic level decisions. Such decisions are to be made under consideration of existing
constraints as well as current condition of organization structure and system to formulate
effecient system in order to achieve competitive advantage. Strategic decisions are to be taken
for long term palnning like merger or acquistion and major changes in technological factor that
directly affects whole organization compentency and their core functions.
Tactical decisions- Operation management creates an effective schedule for the available
resources and management of staff under the certain legal regulations and constraints which are
7
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framed in the organization strategic plan. That type of decisions are to be made when changes in
the scheduling of operations and activities along with changes in the raw material supplier and
distributor of product and services. If suppliers are change and dealers are be change so that time
operation management change his schedule according to the external factors.
Operational decisions- Opaeration manager assist the management for planning, monitoring
and controlling operational decisions under the constraints which are framed by the tactical
decisions. These decisions are to made under consideration of individual department targets. It is
taken for short term decisons where day to day business decision are to made by individual
department leader, that is used for planning, monitoring and controlling daily task and goal of
individual department. All these operational strategies are linked with effective manufacturing of
process and methods.
TASK 4
P6 Assessing the business environmental factors that makes an impact on operational
management
Business environmental factors are of two types micro and macro both affects the
operation management of an organization. Micro factors are those which are exist within an
organization while macro factors are those which are exist ouitside the business organization.
Micro environmental factors includes labor inefficiency, organizational strucuture and culture.
Higher labor cost also be an environmental factors which reduces the profit margin, if company
has no control over the assigned employees (Rushton, Croucher, and Baker, 2014). Organization
structure consist of several activities like task allocation, coordination and supervision are
directed towards the achievement of organizational goal. It helps in to hinder or help its progress
towards accomplishing of desired goal. Organization culture is a system of shared assumptions,
values and beliefs that governs the principles in a way people behave in an organization that also
affects the operation management. Macro factors consists Technology innovation, Market
customers, economic condition and governmental issues. Latest technology helps in improving
the marketability of the product and its provides consumer friendly services. It is important for a
business to keep a pace with changing technologies in order to servive for a long term. Economic
factors includes economic conditions and policies for economic environment it effects the
productivity of an operation management and influnence the decision which are taken by the
leaders and managers. Inflation rate, interest rate and exchange rate affects the operations of an
8
the scheduling of operations and activities along with changes in the raw material supplier and
distributor of product and services. If suppliers are change and dealers are be change so that time
operation management change his schedule according to the external factors.
Operational decisions- Opaeration manager assist the management for planning, monitoring
and controlling operational decisions under the constraints which are framed by the tactical
decisions. These decisions are to made under consideration of individual department targets. It is
taken for short term decisons where day to day business decision are to made by individual
department leader, that is used for planning, monitoring and controlling daily task and goal of
individual department. All these operational strategies are linked with effective manufacturing of
process and methods.
TASK 4
P6 Assessing the business environmental factors that makes an impact on operational
management
Business environmental factors are of two types micro and macro both affects the
operation management of an organization. Micro factors are those which are exist within an
organization while macro factors are those which are exist ouitside the business organization.
Micro environmental factors includes labor inefficiency, organizational strucuture and culture.
Higher labor cost also be an environmental factors which reduces the profit margin, if company
has no control over the assigned employees (Rushton, Croucher, and Baker, 2014). Organization
structure consist of several activities like task allocation, coordination and supervision are
directed towards the achievement of organizational goal. It helps in to hinder or help its progress
towards accomplishing of desired goal. Organization culture is a system of shared assumptions,
values and beliefs that governs the principles in a way people behave in an organization that also
affects the operation management. Macro factors consists Technology innovation, Market
customers, economic condition and governmental issues. Latest technology helps in improving
the marketability of the product and its provides consumer friendly services. It is important for a
business to keep a pace with changing technologies in order to servive for a long term. Economic
factors includes economic conditions and policies for economic environment it effects the
productivity of an operation management and influnence the decision which are taken by the
leaders and managers. Inflation rate, interest rate and exchange rate affects the operations of an
8
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