Analyzing Leadership & Management at Sainsbury: Organisational Theory

This report provides an in-depth analysis of Sainsbury's organizational theory and practice, focusing on the leadership styles and management functions employed by the CEO. It examines Simon Roberts' situational leadership and his role in implementing organizational changes, including the adoption of new technologies. The report also discusses the impact of power culture and influence within the company, utilizing French and Raven's model to understand how leadership influences employees. Furthermore, it explores various motivational strategies used by Sainsbury, referencing Maslow's hierarchy of needs, and concludes with recommendations for improvement. The analysis highlights the importance of democratic leadership, employee motivation, and effective culture maintenance in driving Sainsbury's success and competitive advantage. Desklib provides access to this and other solved assignments to aid student learning.

Organisational Theory and Practice
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
A) Management style and function management used by CEO of retail organization...............3
B) Role of CEO and steps taken by the company’s CEO during the implementation of change
within company............................................................................................................................4
C) Leadership style of the CEO that makes organization more effective. ..................................5
D) Effect of Power culture and influence………………………………………………………6
E) Various motivations used by the organization........................................................................7
F) Literature review ....................................................................................................................9
G) Recommendation and suggestion for improvement...............................................................9
CONCLUSION .............................................................................................................................10
REFERENCESS............................................................................................................................11
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INTRODUCTION
Organizational Practices are the behaviours and actions of employees. These
management practices are useful for the company to take competitive advantages within the
industry, and they can grow their business effectively.
This report will cover case study of Sainsbury which is a British multinational company
having huge reputation in all around the world. This company has around 16 percent of the
shares in the United Kingdom. market and selling varieties of products including Online
Grocery, general merchandise orations etc. It will examine the management style and functional
management used by the CEO of the Sainsbury company and it will step takes by the CEO of the
Sainsbury during the change management at their workplace. This report will describe influence
of the conflict, power and influence for the workplace of the company. In the end of this report
will discuss motivational strategies used by companies’ leaders, including the suggestions and
recommendations.
MAIN BODY
A) Management style and function management used by CEO of retail organization
Management style:
The management style means the process which is been used by leaders for managing their team
members or employees.
Functions of management: There are various functions of management that is planning,
organising, coordinating, staffing, supervising. These functions can help and assist in gaining
competitive advantage.
Management style used by CEO
Sainsbury is one of the top leading retail company and behind the success of the company
leaders played most significant role (James, Crawford and Oplatka., 2018). Simon Roberts who
is a British businessman and Chief executive officer of the Sainsbury since 2020, was also a
former managing director of the Boots UK (Anderson and Ronteau., 2017). Simon is an
optimistic leader which makes other to follow their instruction that makes him different from
others. it is necessary for every leader to have these qualities, so they can help their company to
achieve success within the business. Recently he has been appointed as a CEO of the Sainsbury
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but still he has created the positive and real energy within the employees who are working at the
workplace of Sainsbury.
Situational Leadership Style
Simon adopts the Situational Leadership Style in which leaders change their leadership as
per the situation at the workplace of the company. Simon changes the leadership accordingly and
it makes easy for the company to overcome from the various situations like conflicts, change
management etc (Marume and Chikasha., 2016). The UK market clearly isn’t the easiest,” says
Andrew Porteous, European retail analyst at HSBC. “It was a tough Christmas and a tough
second half to last year, so he is coming into an environment where he has to take a lot of cost
out just to stand still from a profit perspective (Baum, and et.al., 2020). The Simon's role within
the Sainsbury is to see all the management of the company and help company to achieve their
goals and objectives and most importantly, leading the organization toward the success so they
can show their presence and take competitive advantages.
Simon always looks for the employee’s problems because he believes that employee’s
motivation is important for the company, so he always looks to provide training to the
employees, so they can be more effective at their work and help company to take competitive
advantages within the market where they are operating their business (Veldsman and Veldsman.,
2020). A leading ability of Simon can be useful for the recent economic crises due to the
COVID-19. Simon has ability to lead the organization during the worst situation and his
leadership style can help this company to overcome from the impact of COVID, and they take
competitive advantages within the market.
B) Role of CEO and steps taken by the company’s CEO during the implementation of
change within company.
Simon Robert was recent appointed as the CEO of Sainsbury's and in just few months he
has taken some huge steps for the company. recently Simon has implemented some changes
within their organizational structure to improve performance of the organization (Bunnell, Fertig
and James., 2016). One if them is implementation of new technology at the workplace to
enhance productivity and increase profitability of the company. It is beneficial for the customers
because, it helping them to add value for the customers. The new teleology mostly effects on the
company’s operational performance and increase their product that is ensuring them to
availability of products in the future during the increase of product demand.
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Necessary steps during the change
Change is important for the company but possibility of the failure to implement changes
are very high, it is necessary for the company’s leaders to take some necessary steps to eliminate
resistance from the change. Simon also have taken some steps that help Sainsbury to implement
change successfully. Before implementing the change, they identify the needs of the change and
what are the best available technology can be implemented by the leader to make company
successful and make them overcome from the issues faced by Sainsbury (Foray., 2018). After
identify the need of change in organizational structure and best technology available within the
retail industry, CEO of the company communicate with the company's stakeholder, including
employees who are one of the most important part of the company and Sainsbury know that
employees can deny implementing new technology because it can create fear in their mind that
they can lose their jobs because of lack of skills and information about the use of technology.
Communication help employees to understand the needs of change and how new
technology can help Sainsbury to grow their business. This helps to bring support of all the
stakeholders for the change management. Other strategy used by the Simon was using the
proper method and model of change called Lewis's. This model covers three steps refreezing,
change and freeze. This steps also help him to implement change within the organization, and
they also take advice from the export before the t ecological changes, they advise about the
trending technology and give guidelines for the successful change at their workplace.
C) Leadership style of the CEO that makes organization more effective
Organizational effectiveness always depend on how their superiors are leading their
employees and taking decision in favour of organization for the improvement. Leaders of the
Sainsbury have all the skills and abilities that is helping the Sainsbury to lead the market, and
they able to show their presence (Gunasekaran and et.al ., 2018). A management and leadership
style plays important role and that shows how effective a leader is and how they are making
organization effective.
To make the culture of the organization better and working they also organization various
activities like grup activities, fun activities, mixed culture etc.
Leader (CEO) of the Sainsbury Salisbury use situational leadership style but for
enhancing effectiveness of the Sainsbury, Simon uses Democratic leadership style which is one
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of the most effective leadership styles and enable organization to be more effective within the
market and grow effectively.
Democratic leadership style
Democratic leadership is one of the most effective and it is known as participative
leadership. In this leadership style team members of group takes a more participative role in the
company’s decision making process where other superiors also participate, and lower-level
employees get change to take part and give their suggestion for the improvement of the company
and most of the times they give new innovative ideas that help company to grow. The democratic
leader is charged with deciding who is in the group and who gets to contribute to the decisions
that are made. Researchers have found that the democratic leadership style is one of the most
effective types and leads to higher productivity, better contributions from group members, and
increased group morale (Ibidunni and et.al., 2018). Sainsbury leader Simon also uses this
leadership style to lead their employees. And that is helping their employees to stay motivated all
the times and give their support to achieve set goals and objectives so company can be more
effective. They also give the higher optional work to the lower-level employees, so they be more
responsible and understand the importance of work and success of the organization. A
confidence innovate mind and motivated employees are helping the Sainsbury’s to grow their
business, and they are able to take competitive advantages and showing their presence within the
market where they are operating their business.
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D) Effect of Power culture and influence
Power, culture and influence has huge impact on the organization, in a power, it is
necessary for the company’s leaders to use the power to get positive result for the company’s
performance and uses it in a right way, culture of the Sainsbury needs to be maintained properly
and influence of the leaders in the organizational activities can make Sainsbury more effective
within their business, and they can take competitive advantages within the market (James.,
2019).
Power
French and Raven's Model
It is important for the CEO of the Sainsbury relies on their ability to create discipline and
reward the people to things done properly and effective. leaders have power and authority that
makes them others to do the things. French and Raven's model is useful to understand how
leaders of the company influence others and prepared employees of the organization to accept
their power.
Legitimate- This comes from a kind of beliefs that people have the formal rights to make the
demand, and they expect others to accomplish.
Reward- Rewards are given by the companies to get the things done properly and make the
employees of the Sainsbury more effective and to get those rewards they give their best and
rewards are also a part of power (Kontinen., 2018).
Expert- Experts are those people who are having high level or technical knowledge of any
particular task, or they are having skills that makes them expert in something. This power can be
useful for the Sainsbury get things done by the experts within the company.
Referent- This is the result of the employees of the Sainsbury perceived attractiveness, worthless
and the right to other's respect.
Coercive- This comes from the belief that a person can punish others for non-compliance.
Influence
Company cannot be accomplished their objective and goals without influencing the team
members to do the right things. Simon uses various strategies to influence the workers to give
their best towards the project and help company to achieve the success (Mahon, Kemmis,
Francisco and Lloyd., 2017). they directly communicate with the workers for their good
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performance and it is direct influence because. The company CEO is direct communicating with
the lower-level employees of Sainsbury. they also give rewards to influence the implies to
increase their productivity.
Culture
Maintenance of the Culture within the organization is must for the CEO of Sainsbury
because they are supports of the company and it is their responsibility to look for the company’s
culture so employees can be motivated and give their best to make organization more successful
within their business. An effective and maintained culture is the key to success within the
organization and it is necessary for the Sainsbury company to have a culture that should be based
on a shared set of the beliefs that supported by a structure of Sainsbury ad the strategies make by
the company’s leaders.
E) Various motivations used by the organization
There are various motivations used by the Sainsbury and that all motivations are included
in the Maslow's motivational model (Marume and Chikasha., 2016). This model is helping the
Sainsbury to motivate their employees and make them more effective in their work. Maslow's
Hierarchy of the needs is the theory that helps to identify the needs and demand of the employees
who are working at the workplace of Sainsbury and it include five hierarchical levels within the
pyramid, needs from the lower down to the higher up should be fulfilled by the organization and
that's what Sainsbury leaders are doing by using this model.
Physiological Needs
There are some basic requirements of the human that must be fulfilled for the companies
and to fulfil the human needs of the Sainsbury employee’s company’s leaders provide facilities
of proper breaks so employees and communicate and take break for the tea and food.
Safety needs
Safety for the employees is must and without having Safety feature at the workplace
employees can fear to work so Sainsbury leaders provide medical faculties and offer life
insurance policies to their employees (Michael and Popov., 2016). This helps to motivate their
employees, and they can work without having any fear and also give their best within the task
and help company to achieve their goals and objectives.
Love and Belongingness
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employees are human and their level of the need involved feelings and belongingness.
They need the interpersonal relationships motivates behaviour. For examples Friendship, trust,
acceptance, including family and from outside the organizational boundaries. CEO of the
Sainsbury understand this need and for that they give Holidays and personal leaves to the
employees, so they can spend some time with their family and friends and within the
organization they also make group so group members can make relation and flow of
communication can also be increase.
Esteem needs.
`Esteem neds are divided into two diffraction categories, esteem for oneself that include,
dignity and interdependency etc. on the other side desire, reputation and respect. Sainsbury
leaders focus to fulfil both esteem needs of their employees (Piggott, and Pike., 2020). They
listen to the employees and understand the desire of them, this automatically fulfilled other
desire and that is trust.
Self-actualization needs.
Self-actualization is must for the employees, so they can understand that how important
they and what role they are playing for the Sainsbury to make them successful in their business.
To self-actualization and increase their potentials, company leaders communicate them and make
them understand that how they are contribution and why they are important.
F) Corporate examples and justification
TESCO is the best examples that could be used for justification who are top leaders in
the UK industry with 24 % shares, and they are having huge reputation within this industry
Tesco PLC - Statistics and Facts. (2020). They are providing varieties of services and grocery
products to their customers (Prøitz and Wittek., 2020). Leaders of this company is leading their
employees effectively by using the effective leadership styles like Coach style leadership and
other management style. (Marume and Chikasha., 2016) They are also motivating employees by
providing them training and development based of skills improvement, employees get change to
improve or developed new skills in themselves, and they give best for the Tesco. Another best
way to employees by the Tesco is giving them rewards and they are using this strategy
effectively. Employees get a particular sells target which they have to complete by convincing
people to buy product from the TESCO and if they are able to achieve to target, then they get
extra rewards for their work which makes them motivated and employees can use the financial
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rewards to fulfil their basic needs. They also give the higher optional work to the lower-level
employees, so they be more responsible and understand the importance of work and success of
the organization. A confidence innovate mind and motivated employees are helping the Tesco to
grow their business, and they are able to take competitive advantages and showing their presence
within the market where they are operating their business.
G) Recommendation and suggestion for improvement
Sainsbury is making profits and having good reputation in the market but still they can
perform better than their current performance within the market. There are some strategies that
can be used by them to improve their performance -
Product development- Product development can be an effective strategy that can help
Sainsbury to take competitive advantages and gain loyalty of the customers (Roberts., 2018).
They can take feedback or use market research tools so collect the information and it will also
help to identify needs of the customers. According to the information their production team and
continuously improve their product and make it more effective and qualitative.
New emerging market- there are some markets like Chain, India and Brazil, where
Sainsbury can expand their business and it can be good opportunity for them because there are
very less organizations who have established their business so Sainsbury can hold higher number
of shares within those markets. Availability of the resources in this country is also good that
provide them more profitability, and they will not need to bring resources from outside
companies. It will be available locally.
Training and development – Training and development of the employees are also
important for the company because training makes employees motivated and effective (Thurley.,
2017). Skill based training can be helpfully for the employees for their careered development and
take higher position within the Sainsbury in future and company will not need to recruit
employees from outside.
Group Practices – group practices at the workplace of Sainsbury can be helpful for
organization in improving their performance. Group practices makes employees more effective
and they can do their task in less times as compare to the individual person. Group always
consist of different talented and skilful people so employees can learn something new from each
other and support each other in a learning.
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CONCLUSION
As per the report has been conduct report on the Sainsbury which is a one of the top
leading company. It has been examined a management style and functional management used by
the Chief executive officer of the company Simon. This report has been discussed steps taken by
the CEO of the Sainsbury during the change management at their workplace and how
technological change helping company to take competitive advantages, it has been described
impact of the power thorough the raven model of power and also justify impact of influence and
culture on the company and its performance.
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Online
Tesco PLC - Statistics and Facts. (2020) Available thorough
<https://www.statista.com/topics/3807/tesco-plc/>.
Online available through<https://www.about.sainsburys.co.uk/~/media/Files/S/Sainsburys/
documents/reports-and-presentations/annual-reports/sainsburys-ar-2018-full-report-
v2.pdf>.
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