Analysis of Leadership and Management Practices at Sainsbury's

This report provides a comprehensive analysis of leadership and management practices within Sainsbury's, a major UK supermarket. It begins by differentiating between leaders and managers, highlighting their distinct roles, characteristics, and responsibilities within the organization. The report then delves into the functions of managers and leaders in various situational contexts, emphasizing the importance of employee engagement and decision-making processes. It also explores Henri Fayol's five principles of management and their practical application within Sainsbury's. Furthermore, the report examines different leadership styles, including situational, systems, and contingency leadership, and assesses their strengths and weaknesses in the context of the company. The analysis covers various aspects of operations management, providing a holistic view of how leadership and management contribute to Sainsbury's overall success. The report references key concepts and theories in leadership and management to provide a well-rounded understanding of the subject.

Management and
Operations

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
TASK 2............................................................................................................................................5
TASK 3............................................................................................................................................8
TASK 4..........................................................................................................................................11
CONCLUSION ..........................................................................................................................12
REFERENCES..............................................................................................................................14
.......................................................................................................................................................14

INTRODUCTION
Operations are very important function in every organisation. Operations management is
a practice to increase efficiency in an organisation by employing resources like labour,
machinery and technology in efficient way to enhance productivity for increasing profitability of
the company (Jacobs and Chase, 2017). It designs and control production process and also
includes strategic management for day to day process. This project is based on Sainsbury, and is
one of the largest supermarket in United Kingdom as it constitutes around 16.9 % of shares.
Company was founded in the year 1896 by John James Sainsbury. This report includes the
difference between leaders and managers on basis of their characteristics, functions of managers
and role of leaders in different situation as a big organisation has to face many situations. It also
explains different theories of leadership, importance of operation management, factors that can
affect decision making of managers and operation management in an organisation.
TASK 1
a) Difference between leaders and managers considering their roles and characteristics
Management operation is a process which is related to planning, organising and
controlling the production, manufacturing and selling process of products and services of an
organisation. Sainsbury is a largest retail company of groceries. Most of its products are meat,
fish, groceries, frozen food and other self service checkouts. In this organisation tall
organisational structure is used as it has many levels of hierarchy. Business has also achieved
status of leader in Ethical Trading Initiative.
Leader: A person who has power to influence and control other persons by their skills
and abilities. Managers have good communication power which helps them to motivates and
convinces their followers to follow rules and regulations of business for achievement of
organisation's objectives and goals. Leaders have some people who follow them (Ahuja, 2017).
Manager: An individual who is responsible for certain people or group for their
performance and task. They are expert in their own field of work and help employees to achieve
goals. Managers perform managerial functions in order to perform management activities and
they work at different levels in an organisation. Roles and duties of managers depends on their
level in the organisation. Managers have their staff who work for them.
Difference between leaders and managers

Leaders and managers of every company has different roles and ways to perform their
task. Major difference between managers and leaders of Sainsbury are as follows:
Basis Leaders Managers
Trait Leaders influence and motivates their
employees and followers to complete
their task to achieve goals. They have
decision making capabilities and
focused towards innovation (Song and
Parola, 2015).
Manager in Sainsbury manage
the business activities like
planning, controlling and
coordinating. They are self-
motivated and focused towards
productivity.
Roles and
Responsibilities
Job of a leader in Sainsbury is to
formulate plans and policies in
organisation, execute these policies at
lower level. They helps employees in
integrating personal goals with business
goals.
Sainsbury managers hire staff,
train new and existing
employees, resolve problems
among employees and monitor
their performance, direct
subordinates to their task.
Authority and power Leader have some personal as well as
formal power which they exercise in
order to influence their followers and
employees. Formal power like reward,
coercive and legitimate power. Personal
like expert and referent power.
Managers have authority to
hire and reject employees for
vacant positions. They decide
tasks and responsibilities of
their subordinates.
The hard management skills are those which can be acquired through academic and some
technical qualification (Omansky and Kanner, Autodesk, 2014). It includes the overall functional
knowledge as well as the knowledge of the organisational structure, this improves the affectivity
in each and every operation. While leader should be a good listener so that it can understand the
information properly and negotiating with the employee is also necessary as the successful
negotiation always results in effective results. Mintzberg identified 10 roles that a manager can
play to improve the effectiveness like monitoring and handler of disturbance etc., from which a
management could be performed well.

b) Role and functions of manager and leader in different situational context.
Operation management refers to all those activity occur in the process of production
cycle and rendering services. It includes division of work through planning, organising, staffing,
directing and controlling. Optimum utilisation of resources and man power aid a company to
generate high revenue (Chevalier and et. al., 2015). In context to Sainsbury, dealing with
consumer needs is baffling task. Organisation motive is to serve customer simply and deeply.
Working in huge sector, covering number of countries organisation have to be perform
strategically to earn profit because targeting so many places conflicts may arise. To handle issues
at work place, managers and leaders play different role as shown below:-
 EMPLOYEE ENGAGEMENT:- This aspect shows better relationship between
company and employees. Serving healthy environment internally, caring of workers,
motivated them to work hard. Relates to Sainsbury, covering whole market managers of
each departments should be skilled properly to trained human resources. Appointed
leaders under different parts should help the employees to be at stable at one jobs.
Managers give them good incentives. Provide high level of satisfaction, along with
improved degree of willingness towards work. They provide competitive advantage to
grow individually.
 DECISION MAKING:- To establish organisation internally and externally, only top
level authority have the power to take decisions. In respect to Sainsbury, stakeholder,
suppliers and legal entities have the rights to take decisions as capital is invested by
them. Managers should not be biased, rationally judgement taken in favour of workers.
Goals should be well defined in advance what they have to achieve. It's difficult to pick
one alternative from so many available. Observing the employees before taking decisions
should be taken no assumptions are required. Workers are trained under leader. Quality to
develop skills in subordinates is difficult task as they have to be flexible or rigid
according to situation. Higher body have be participative with workers.
FAYOL FIVE IMPORTANT PRINCIPLES ARE AS FOLLOWS :-
 PLANNING:- Mental exercise in organisation is termed as planning. Thinking before
any action for the betterment of enterprise to generate revenue and completion of goals
and objective. In context to Sainsbury, thought process begins in terms of profit

maximisation, employee stability, more production, consumer satisfaction etc. therefore
managers prepare various plans and strategies in order to run business successfully.
 ORGANISING:- Allocation of resources in different sector in organisation to achieve
goals and objective. In respect to Sainsbury, managers needs to explain plan, assign task
to related teams, provide them resources for specific periodic time. This will help in
utilising available materials of organisation (Radnor and et. al., 2015).
 COMMANDING:- One employee instructed under one heads to remove
miscommunication and disorder in the company. In context to Sainsbury, leader should
it's own team to be trained to avoid conflicts and confusion. Through this employee are
motivated and ready to take initiative.
 CONTROLLING:- Setting regulation from various alternative in order to achieve task
effectively and efficiently. Controlling measure's actual performance with standard
performance. In respect to Sainsbury, production cost to generate high revenues. Analysis
arrangement between the workers. Reduce minor mistakes which hamper company.
 CO-ORDINATING:- effective utilisation of resources can be achieved from harmony
among workers. In context to Sainsbury, positive environment present in company,
through this employees get motivated. Working together with team will increase profits
for enterprise.
c) Different types of leadership with context to company
Leadership style- The observed behaviour patterns which leader adopts so that it can
influence the overall behaviour of their workers or followers, which can motivate them to
accomplish the goal of the organisation.
Situational leadership-This type of leadership style which was developed Kenneth
Blanchard and Paul Hershey. In this leadership style the manager or a leader tries to adjust their
working style so that they can develop the level of their workers than that type of leadership is
considered as situational leadership. For example: in Sainsbury the sales team is suffering from
lack of motivation and confidence with themselves then the workers would be needing the
direction from their leader so by adapting situational leadership a leader can support and
encourage them throughout the work and can help them to motivate and building up their
confidence.

Systems leadership- The another type of leaderships style which gives a leader the
authority to create such working condition where the worker at different level can work in a
productive way with there full potential so that workers can face the complex and difficult
problems during the work in progress easily (Gillen, Jacquillat and Odoni, 2016). For example:
in Sainsbury the development of the new baby product should be done in the future so in the
Sainsbury the distribution strategy should be made. In which help would be needed from all the
level of department so that they can potentially distribute their product in effective time, this
example would consider system leadership style to lead the workers.
Contingency leadership- This leadership style was made in the the 1960 by Fred fielder
who was a scientist who had study the different personality and characteristics of various leaders.
Hence this leadership states that there is no proper or one specific style for making leadership
effective. The effectiveness of a individual leader is based upon the different situation. The
leadership style would be different for each and every case, sometime the same leadership style
will work in different situation and there may be some time chances it will not work at all. For
example: in Sainsbury for leading the team of manger it needs different process, while leading
the low level worker like labours,carpenter the leading style would be different. The managers
could be leaded by board of directors , discussing the different aspects of the company but the
workers at the lower level cant be leaded by the board of director, they would need the leadership
of there experienced fellow like marketing manager, operations managers etc., they can lead the
path of the lower level worker and their leadership technique would be very different from the
board of directors. Hence from this example the contingency leadership could be easily
understandable.
Contingency leadership style would be suitable as its pro is as follows , reactive process
is based upon the different situation arises in the path which leading the individual. The reaction
of the person will decide the leadership style . But its has also cons if the leader is unable to pick
up situation through which it can lead then it will confuse the leader to choose the exact
leadership style to implement.
Leadership approaches Strengths Weaknesses
Situational leadership  This approach is very
flexible as leaders use
it as response to the
 This approach of
leadership in Sainsbury
leads to confusion in

situations.
 In case of Sainsbury, It
increases innovation
and efficiency as well
as boost motivation and
awarenesses among
employees (Saucedo-
Martínez and et. al.,
2017).
the team as leaders
change their style as
per situations.
 It focuses on short-term
strategies because
focus is on determining
current goals.
System leadership  It helps Sainsbury to
grow and take
advantages of
opportunities by
creating conditions in
which employees can
work to increase
productivity.
 This approach includes
large risk and various
parameters to increase
productivity.
Contingency leadership  This approach helps
leaders of Sainsbury to
create different groups
for performing task and
identify leaders who
can manage these
groups.
 Actions of leaders are
difficult to analyse it
depends upon the
situation
TASK 2
1 Key approaches to operation management
Operation Management: Operation management is a process of redesigning and control
on production system activities, which includes a procedure of converting input (raw material,

energy) to output (product and services). It increases the efficiencies of production by reducing
waste of materials, time, money, extra efforts and energy during the production activities.
Approaches:
Just in Time (JIT): Retailer applies this strategies for managing inventory to increase
efficiencies, reduce extra time and cut costs. JIT strategy requires mainly in production process
to maintain cash flows and reduce extra effort, so that customer can get products on time without
facing stock out situations. It sets production schedule by knowing people requirements and hold
large inventories to cover up market demands.
Total Quality Management (TQM) : It involves thorough co-ordination to production
related process to improving employee's performance. It major aim is to meet customer's
demands and expectations through the increasing efficiency of production. It helps in rectify
mistakes in products on spot that reduces the extra efforts of workers (Brandenburg and et. al.,
2014). Retail industry get profits by using this strategy for instance, maintain proper stock,
increase efficiency, decrease extra efforts by reducing deficiencies in skills and product
improvement.
Kaizen Approach: Kaizen approach refers to a continuous Improvement on the bases of
innovative ideas and positive changes. This technique identifies the areas for improvement and
makes solutions and regularly measures and analyse the results. Retailer raises the level of
customers requirements as well as their productivity.
Role of managers in operational management: Operational managers of ALDI are
highly skilled with oversight experience persons who plays a senior role in production
department. They ensures that all activity of manufacturing are cost effective, timeliness and
meets with quality. They chalking out efficiency of warehouses, process system and contribute
towards with organizational goals and objectives as well as company's strategies. Managers also
looking after quality control and monitor to key performance indicators. If they find any kind of
deficiencies then they provide training programmes, proper guidances and runs recruitment
process for its specialization.
Role of leaders in operational management: Company's leaders are working in realistic
way by listening and understands to empowered employees. They seeks constructive feedback
along with achieving organizational goals from valuable teams. For example revenue issues and
production efficiency related issues are occurring then leader applies on JIT and Kaizen

approaches. They are also playing a vital role in supply chain management in retail industries
such as execute SCM strategies, reduce risks, focus on demand fluctuation and provide guidance.
Operational leaders are helping in delivering to right product at right place on right time.
2. Operation management in a store
There are different role of manager in every part of management but in the store there are
some specific role of manager which are as follows
Management of worker in the store- In ALDI, there are huge storage building in which
number of worker works over there and management of their duty schedule in done by the
manager and it is important because scheduling helps in time management of work.
To maintain the environment of sales- A manager in a store is responsible for laying
out of plans regarding the filling of empty stocks and to maintain all the sales record in a
effective and efficient manner (Kato and et. al., 2015).
Budgeting and forecasting of material- The role of manager is to predict the future
requirement of material so that a manager can make the estimated budget so that it can collect
the fund form the head of the financial department and to implement the strategy of retail.
Ensuring the safety of store in charge and inventory- A Role of manager is also to
ensure the safety and security of the worker plus the safety of the inventory is very important so
that it should not be wasted or destructed. For example: in ALDI manager ensure the safety of
both inventory and worker by getting fire solution which helps to protect against the fire.
The different role of team leader in effective and efficient functioning of operation in a
store are as follows
Trainer and instructor to the workers in store - A team leader can show the path to
the store worker to how to treat different activities in a store and can also provide the training to
the employee for handing the inventories which can improve the effectiveness of different
operations.
Motivator or criticizer- A team leader acts as a motivator to the employee when needed
and if the a employee is not performing well then it also play the role of criticizer to show
mistakes of them.
Communicator - A team leader should always be aware of what the different things are
happening around him and the negative thing happening in the environment should reach to the
ears of high management so that several decision could be made to improve and maintain the

overall work culture. A team leader also acts as the mediator between the worker and upper level
management.

Improving operational efficiency by Manager and leader
A Manager should motivate team members or the worker so that less number of conflict
happens and worker can work in the healthy environment which eliminates the stress form the
mind of employee and due to which over all productivity of an individual or a group working
toward the target increases in huge amount and that helps in making profit for the longer period
of time (Rosemann and vom Brocke, 2015).
In operations management there are different activities involved in this process like
placing the product at different places in particular period of time are part of logistics operation.
In operation s management makes the work easy but planning and implementation of operation is
a difficult process. It helps the business in every aspects but making a operational plan is difficult
process.
3 Importance of operations management
In relation to ALDI, operation management plays a crucial role as they are involving in
activities such as planning, managing, organising and controlling the process of production and
manufacturing. In this company, operation manager make sure that all the raw materials are
available to its employees so that best quality products are manufacture which can be delivered
to its customers. Therefore, department of operation management plays a crucial role in
enhancing overall productivity of a company. For example: with the help of operation
management firm can make optimum use of resources which will ultimately lead to the gain
profits for the company.
4 Outside factors that can have an effect on the operations management
Operational management is one of the crucial part in an organisation as they assist firm
in making proper plan of how company can operate its business. But there are some factors
which can have an impact on operation management such as commodities and natural resources
because most of the firm required appropriate resources foe accomplishing goals and objectives
For example: as ALDI is a supermarket so for them there is a need of proper distribution
channels so that commodities can be reached to places in an appropriate manner. In relation to
this, physical location also plays a crucial role because there can be situations or circumstances
due to which products might not delivered to customers right on time.
5 Factors affecting operation management and decision making

Business environment play a crucial role for a company and organisation has to adapt
changes in environment for being competitive in market. There are many factors which can
affect management in various way, so company needs to identify and analyse these factors.
These can be political, economic, social and technological factors. Many factors can affect
ALDI as it is a very large clothing retailer company.
Political factor: These factors are related to government rules and regulations for
particular industries. It includes tax policy, labour law, trade tariffs, environmental laws and
political stability etc. These factors act sometimes as opportunities and threats for the business.
ALDI also suffers from Brexit as it has operations in Europe. It also has created business and
financial uncertainty and impacts its profitability and operations of the company.
Economic factors: This kind of factors refers to the situation and condition of an
economy. These factors affect whole country irrespective of industry or business. It includes
monetary and fiscal policy, interest rates, inflation rate, economic growth, employment and
unemployment rate etc. In case of ALDI, if inflation and interest rate is low than company will
be able to arrange high monetary funds for increasing their profitability.
Social factors: These factors analyse changes in demographics that can influence
customers and their perception about products. It analyse needs and demands of target consumers
according to their culture education, gender, income distribution, lifestyle change etc. ALDI has
started providing products to its target customers according to their demand and needs. Earlier
customers were having difficulty in finding oversize clothes but after that as per demand and
need of customers it started providing oversize clothes (Littlefield and et. al., 2016).
Technological factors: This factor is crucial for every business and have negative as well
as positive impact. It includes changes and introduction of new technology. It helps in provides
competitive advantages to businesses. These factors provided benefits to ALDI as it is a giant
clothing retailer, company can use innovative technology to provide its products to customers.
ALDI should use different software to prevent from frauds, unethical conduct.
All above mention factors can also impact the decision making process of managers of
ALDI. As business decisions depends on many factors and any kind of changes in factors
influence decisions. As any change in Tax policy of country will leads to decrease in profitability
of business because large amount of money will be payable as tax. Any change in customer

lifestyle will influence company to change their products or introducing innovative products for
target consumers.
There are some positive and negative effects of the external factors regarding decision
making of the retailer are the economic factors. for example it works positive when sufficient
amount of money is available for purchasing and in a negative way of decision making when
sufficient amount of funds are not available then retailer will make delay in purchasing material.
While technological factor plays important role in making decision of retailer as technology
changes fast every time.
CONCLUSION
From the overall report it could be concluded that in every part of operation the leader
and managers plays very important role, different approaches are involved in it like
contingency,system and situational leadership. All these works and makes impact the on
leadership of the leader. These theory uses different types of roles and responsibilities to solve
many problem regarding different situation like conflict,making decision .This reports also
concludes differences and similarities between leaders and managers and also shows their
different styles of doing work. There are some hidden like stakeholder and consumer and may
internal factor which affects the over all business environment of an organisation.