TESCO's Management and Operations: Leadership and Analysis Report

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This report provides a comprehensive analysis of leadership, management, and operational strategies within TESCO. It begins by defining the roles and characteristics of managers and leaders, differentiating between their responsibilities and comparing their approaches to risk, vision, and short-term versus long-term goals. The report then evaluates the roles of leaders and the functions of managers in diverse situational contexts, such as product launches and conflict management, highlighting the application of transformational and democratic leadership styles. Furthermore, it delves into the application of various leadership theories, including situational leadership, and key approaches to operations management, underscoring their importance in achieving business objectives. Finally, the report examines factors affecting operations management, including managerial decisions, and provides a conclusion summarizing the key findings. The report utilizes TESCO as a case study to illustrate the practical application of these concepts in a real-world business setting.
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Management and
Operations
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Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Roles and characteristics of managers and leaders.................................................................3
TASK 2............................................................................................................................................6
P2 Evaluation of role of leaders and functions of in different situational context......................6
P3 Application of different leadership theories ..........................................................................8
TASK 3..........................................................................................................................................12
P4 Key approaches of operations management and role of leaders and managers...................12
P5 Importance of operations management for achieving business objectives...........................15
TASK 4..........................................................................................................................................16
P6 Factors affecting operations management and decisions of leaders and manages...............16
CONCLUSION..............................................................................................................................18
REFERENCES..............................................................................................................................19
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INTRODUCTION
Management is a process which helps an organisation to manage their operational activities and
perform their actions in an appropriate manner. Management is an essential procedure which is
required at all levels and in all type of organisation either profit or non-profit. Operational
actions include manufacturing logistics supply chain management and distribution of activities.
Management operation is a system of business which helps in creating and maintaining the
efficiency of an organisation and its processes. For this report an organisation which is chosen
for studying different aspects of operational management and different leadership style is
TESCO . It is a British multinational organisation which deals in grocery industry. The company
is headquartered in England UK. In this assignment different roles and characteristics of leaders
and managers are discussed in context of TESCO . Also so different it roles and functions of
managers are studied which applies in different situations which company face. Several theories
and approaches are also elaborated to see their application in several situations which managers
of TESCO deals with every time. All these different theories and approaches of operation
management study to know their importance in obtaining the business objectives.
TASK 1
P1 Roles and characteristics of managers and leaders
Managers the individual who manage to work in an organisation with define goals and
objectives. Managers make strategies and plans in order to attain the success and growth of
company and guide their employees in an effective manner towards the goal of the organisation
(Neelakandan, Tyagi and Nagalkar, 2019). Every organisation has different levels and
departments and for each functional unit a manager is assigned performing different task and
managing all the employees. Managers also perform employee appraisal activities and
managerial functions. They have the power to recruit staff manage them monitor their actions
and even fire them if personal are not working in an appropriate manner.
Roles of manager Monitoring- Manager seek and receive information from different sources which are
external and internal to gain understanding of organization and its environment. This is
the role of managers to monitor the staff and teammates in order to ensure that personal
are working in effective manner to attain organizational objectives.
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Spokesman- Managers at as a spokesman for their personals or subordinates working
under them. The deals with people outside the organization and even other parties of
organization which are not part of the team (Merigó and Yang, J. B, 2017). In other
words managers act as a representative of their subordinates and convey messages on
behalf of their staff to outside parties for to higher level management.
Characteristics of managers
Risk avoiders- Managers are risk avoiders, they plants and development strategies in
order to manage the organization. Managers do not take more risk they are risk avoiders
by nature.
Leaders are the individuals who get their work done through their employees or
subordinates by assigning them task and duties according to their expertise and in relation with
objectives of the company (Meredith and Shafer, 2019). Leaders play a very important role in in
organisation for motivating the employees by using different leadership styles and making them
work in order to attain organisational goals. Therefore a leader’s role is to inspire the staff with
aim of increasing productivity of their organisation.
Roles of leaders Motivator- As managers its duty to motivate and encourage the team Tum towards the
aims and objectives of organization. They also work as coordinator between staff and top
level management interacting with other parties on behalf of their team and personals
working under them.
Negotiator- Leaders please the role of negotiator and represent the company in external
environment. Leaders communicate with external parties on behalf of company and
convey all the information which is necessary for organization to deliver it to outer world
and all external parties.
Characteristics of leaders Risk takers- Leaders are the individuals who are always ready to take risk as they have
competence on behalf of company. They have all the required knowledge of business
environment for making effective decisions antiquing reasonable risk for obtaining
objectives of company (Martin and et. al., 2017).
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Change agent- Leaders are those which implement change in an organization they
motivate that subordinates to accept new things or processes and work accordingly.
Change is very essential to take place in all organization as many benefits and works are
related to its which enables entity to work in more productive manner and achieve all
objectives of organization.
Comparison between role of leaders and managers on basis of their roles and
characteristics
Basis Leaders Managers
Negotiator/
Spokesman
The leaders represent the company
in marketplace and works as a
negotiator for TESCO. The leaders
present the organisation in front of
other parties and mainly in front of
stakeholders.
On the other hand the managers
plays the role of spokesman for
the employees representing them
in front of other departments and
top management staff.
Risk seeker/
Risk avoider
The leaders are the risk seekers
holding this characteristic in their
nature. Their attitude is positive and
they use it while making strategic
plans for TESCO for conducting all
operations effectively.
The managers are risk avoiders
they make plans for conducting
different actions but they avoid
any kind off risks. They rather
search and find ways to perform
those activities with more safety.
Vision/ Goals Leaders work with creativity and
innovation, which describes their
role of developing vision for
performing any task.
Managers are risk avoiders, they
stick to what works and refines
structure, systems and processes
for making them better. They set
organisational goals by
processing its systems and
making them better.
Long/ short term
thinking
Leaders are innovator, they find
unique ways of performing jobs and
On the contrary, managers vision
is for shorter period they make
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they set their vision considering
longer period or time duration.
plan for attaining short-term
objectives.
From the above comparison, it is described that leaders take risk for the success and
growth of company but managers are risk avoiders because they only maintain and manages
work in an organisation. Meanwhile leaders are risk taker because they are the developer as they
develop and innovate things within an organisation. In addition to this, managers does things in
right manner but leaders does right things for the betterment of an organisation. So, both leaders
and managers plays an important role in organisation and both are different as managers are
necessary to have meanwhile, leaders are essential.
TASK 2
P2 Evaluation of role of leaders and functions of in different situational context
Managers and leaders make an organisation to work in order to accomplish the desired
goals and fulfil the objectives of an organisation. There are several approaches and techniques
which helps managers in functioning all managerial activities effectively. Both managers and
leaders place different roles in company performing unique functions for organisation so that all
goals and objectives of entity can be achieved (Slack, 2018). There are several theories which are
applied with functions of managers and roles of leaders for making the company a success by
way of effective operations and business activities. The operational team of TESCO can make
use of these theories of Management by uniting the effort of leaders and managers and raising
the productivity of company. Some of these theories elaborated in the next section in context of
TESCO and its managers.
Situation I
Product launch: According to this, situation company develop many changes within an
organisation which exist in business environment. For this, TESCO need to make continuous
changes and modifications in its products and services which develop competition in market and
because of this, company offer new products to satisfy their respective customers and also attract
new ones.
Role of a Leader: By considering the first situation, leader should adopt transformational
leadership because it is related with inspiring and motivating employees and also helpful in
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shaping future to attain success and growth for an organisation. As per this leadership, leaders of
TESCO will encourage their employees to be unique and innovative and also create their own
manner to deal with changes as per the current situation as it is helpful in promoting product in
market to attain success for an organisation. It is helpful for leaders as it give insight to them
regarding the better future for workers and also coordinate with objectives to attain desired goals
and targets.
Functions of a Manager: By determining the current situation, manager plays a vital role
to take major step in product launch and for this, manager of TESCO pursue particular functions
which are as follows: Planning: In this, managers make plans and strategies for executing their modified
product in market in an appropriate manner. It is very important step because it depict
growth and success of project which is helpful in developing vision to achieve success. Organising: According to this step, manager firstly organise and arrange all the available
resources in suitable manner in order to make suitable modifications which is required to
develop product. Directing: At the time of launching new product, manager need to provide guidance and
direction in appropriate manner for attaining goals and objectives to earn more sales and
profitability in suitable manner. By examining the current situation, direction is necessary
because employees feel motivated from managerial perspective. Developing schedules and budgets: This stage is implemented before launching new
product because it is the duty of manager to make schedule and budget for product as
because of this balance is maintained in organisation and implementation gets better
while developing product.
Controlling: It is performed after all the steps as it depicts that overlooking and
monitoring the functions and implementations in suitable manner.
Situation II
Conflict management: According to this theory, occurrence of conflict is natural within an
organisation and it happen because of disagreement among workers and reason behind this is
anything.
Role of a Leader: As per this situation, leaders of TESCO opt democratic leadership as it
is helpful managing conflicts which occur within an organisation. Here, leaders are involve in
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decision making process and also spread out their thoughts and ideas by analysing the
requirements of project.
Functions of a Manager: Managers of TESCO use collaborating style to manage the
conflicts within an organisation. Here, managers become the partner of employees and also tie up
with them in order to involve them in work. It is suitable in difficult situations and managers of
TESCO find appropriate solution for situation. But before applying this style, manager need to
forecast the scope in order to take decisions in effective manner and also develop proper
strategies and implement them to resolve the conflicts.
P3 Application of different leadership theories
Situation leadership theory
This theory states that leader adopt various styles of leadership according to situation in
order to develop their team members. This is a very effective way which is adopted by leaders as
they understand the needs and requirements of their employees which helps in setting the balance
in organisation and staff. In this theory it is assumed that the decisions of leaders should very and
change according to situation and individuals they are dealing with. for example, some
employees work under the leaders who is autocratic and director and others prefer more
democratic style of leadership. It totally depends upon the expertise and skills of leaders which
influence the staff and make them work so that all tasks can be completed in time (Ketokivi and
McIntosh, 2017). Managers or leaders of TESCO can adopt this leadership style influence their
workforce by using various styles of leadership with different individual and in different
situation. The company can earn several benefits of this leadership style as employees will be
motivated and encouraged enough to work in an effective manner for attaining organisational
goals.
Blanchard and Hersey Model
This leadership style is also known as the situational leadership which was established by
the Paul Hersey and Ken Blanchard. This model is same as situational leadership style which
suggest that there is no particular way of leading staff. The leaders adopt their leadership styles
according to the situations and the employees of the organisation. According to this model, the
leaders of TESCO put emphasis on followers instead of wider workplace and concerned
surroundings. In addition to this, leaders of company also consider the requirements of each
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group and individual by determining the different approaches which are possess at various levels
to enhance the capabilities and experience.
(Source: Hersey-Blanchard Model, 2020)
System leadership theory
This theory ensures that leaders create various conditions in which employees at different
level work according to their potential and expertise. It enables leaders and assist managers to
predict the behaviour of their staff and develop effective systems for employees so that they can
work effectively and efficiently increasing the productivity of company. The leaders of TESCO
can monitor their employees and communicate with them about several situations and inspired
them to work according to the needs and requirements of company so that all the predetermined
goals and objectives of organisation can be obtained. System leadership style is adopted by those
leaders who have number of departments to manage and with effectiveness. TESCO has various
Illustration 1: Hersey-Blanchard Model, 2020
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stores in UK and also number of departments are available in it which are needed to be managed
by the managers. For effectively completing all tasks and operations of particular department
managers use system leadership style for making each system of varied departments effective.
Contingency leadership theory
This leadership theory define that there is no best way or appropriate method to organized
a company or make any decisions. Contingency leadership theory states that the success and
growth of company do not depend upon its competence. The actions leaders and managers take
will depend upon the internal and external factors which influence the situations of company.
Also the leaders apply their own leadership styles according to the situations and behaviour of
employees, leader’s change their strategies according to the conditions exist in external and
internal environment of company. Managers or leaders please a very important role while using
contingency leadership theory as the influence the staff in order to implement change and
encourage them to accept it in an appropriate manner (Kapadia, Dong and Yang, 2018).
Managers of TESCO can also apply this theory to motivate staff or manpower while
implementing any changes in company due to external or internal factors.
Fiedler's Contingency Model
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(Source: Fiedler’s Contingency Model, 2020)
According to Fiedler the effectiveness of leaders and their leadership styles depends on the
situations. Therefore, it is stated by Fiedler that the situation variance and leadership styles
are related and have a relationship. It is comprised of three factors which are:
Leadership style- The leadership styles depends upon two dimensions relations with
employees and task which is performed by them or which is expected out of staff. The
ultimate goal of management is to get the job done and therefore, the behaviour of
employees and leadership styles plays a vital role.
Situational Variance- There are several situational factors which affects the
effectiveness of the leadership styles and methods used by managers. These are identified
as leaders power position, task structure and leaders-member relations. These are three
main dimensions which are identified by Fielder which affects the leadership style and its
effectiveness.
Illustration 2: Fiedler’s Contingency Model, 2020
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Relations between styles and situations- This is the last stage of this model which
shows and explains that the effectiveness of leadership styles depends on the situation
and their have to be a relationship between them.
Out of these three different leadership styles the best style for TESCO is situation on leadership.
As the company have different departments or functional units, having huge employee base.
Many individuals are working with organisation having different behaviour, needs desires and
motivational factors. Therefore, managers have to use unique styles of leadership in order to
motivate staff and make them work with their full potential for obtaining organisational goals
and objective. Using this leadership style will also increase the productivity of people and
ultimately of the company which will bring efficiency towards the organisation.
TASK 3
P4 Key approaches of operations management and role of leaders and managers
Operation management is an important part of Management process of an organisation and it
enables entity in designing the operational actions which helps the company in attaining the
competitive advantage in marketplace over other competitors. It is a mixture of different
concepts and applications which we differ company to company and their business activities.
These actions are the mixture of the plans, strategies and policies of company which includes the
conversion of raw material into finished goods and making them available to the end users. The
scenario is in context of TESCO which is a British supermarket company dealing in variety of
products such as clothing home ware and other related goods(Hazen and et. al., 2018). Manager
of TESCO uses various key approaches for its operations and define different roles of leaders
and managers. All these different theories are discussed below:
Total quality management
It is a continuous process of which enables organisation in detecting and reducing the
defects in manufacturing and supply chain management. This process also helps company
increasing the experience of the customer for providing training to the employees and updating
their knowledge skills and expertise. This process is used by entities in sure the development and
improvement of quality of its products and it is done with the help of effective and efficient
employees. Total quality management process in shows the elimination of wastage of resources
from the processes of company as it is a continuous improvement approach. TESCO manager
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can use this approach in order to fulfil the objective of efficient quality of products. The role of
managers is to apply the strategies and approaches like TQM and kaizen. Implementation of the
strategies in operations of TESCO will bring continuous change and improvement in the
processes of company increasing their production efficiency and reducing waste (Harrison and
Lock, 2017). The role of leaders of TESCO is very important here while implementing change
they have to motivate and encourage the staff in order to to execute there improve plans and
strategies in workplace. Implementation of these strategies will improve quality of products
which are offered by company to the customers and also reduce the resistance of employees
when changes are implemented which at the end will benefit the company as they are becoming
more efficient and productive.
Six sigmas
This is another method which is used to improve the quality of products and services
companies are offering to their customers. This method is used for manufacturing organisation
which put emphasis on the efforts of team and improving the performance of their employees
which will assist them to attain the desired goals.it is a continuous and on-going improvement
method which helps in reducing the effects of drugs and services which are offered by company
to end users. TESCO can use six sigma in Ace manufacturing as it is useful in deleting the
defects and barriers from the production increasing the efficiency of company. It also assists the
company in attaining sustainability and profitability in marketplace as it includes measurement
improvement and other activities (Hack and et. al., 2018). Role of TESCO ’s managers while
implementing the strategy used to establish the strategic plan which help in effective and
optimum utilisation of resources and improve their manufacturing quality along with reducing
the waste of the resources and using them in appropriate segments. Leaders also plays a very
important role while implementing six sigma strategy, they motivate and encourage the staff to
increase the performances and bring efficiency in their efforts which brings betterment in
organisation.
Just in time approach
This approach helps in aligning the raw material which are ordered from suppliers to
production or to convert them into final product. This approach is used to increase the production
efficiency of company and employee efficiency along with decreasing the waste which occurs at
the time of production. This approach is based on the forecast and assumptions as demands of
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production services depend on the assumptions which are made by managers or top level
management. In TESCO the role of manager is to direct operational activities at time of
production and keep the inventory in their control which helps in improving the production
continuously. On the other hand leaders rule is to analyse, evaluate and monitor the
performances of employees and efforts they put in to perform their actions.
Lean Production
This approach is useful in focusing on cutting down the wastage from an organisation and
also improves the quality in order to bring betterment. This approach can be applied in all the
aspects of an organisation from designing to production and distribution. Its purpose is to cut
down the cost by making business more effective and efficient to respond the needs of market.
This system has five principles in which KAIZEN is also included all these stages are as follows
and explained below: Identifying customers value- The value is created by the manufacturer but its value is
identified by the customer. Role of managers of TESCO has to understand and gain
knowledge about the willingness of customers and the value they are ready to pay for
acquiring the goods and services. Meanwhile leaders' role is to determine the needs and
requirements of customers by conducting research. Map the value stream- This principle records the flow of materials which are required by
the managers of TESCO to produce their offerings and change them into finished goods.
This principle encompasses entire product life-cycle, from acquiring raw material to
making sales and rendering after sales services. Create flow- This principle highlights and used to reduce and entirely eliminate the
functional barriers and improve the lead time, ensuring smooth functioning and
processes. Here, managers plays an important role in order to manages the functioning of
an organisation and also useful in creating flow in production and distribution of products
and services. Establish a pull system- This is influenced by JUST-IN-TIME approach, meaning that
the company produces goods at the time when its demand appears and the customers ask
for those products.
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Continuous improvement- This stage or principle is same as Kaizen principle in which
managers role is to regularly keep check on operations and remove wastage from each
level making them more effective and perfect.
Kaizen
This principle of manufacturing rests on the concept of continuous striving for perfecting
by regularly eliminating the root causes which makes delays and waste. The managers will have
to take steps and analyse those areas of production where wastage is taking place. This principle
enables organisation to use available resources appropriately removing all wastage and potential
use of assets and resources. Managers of TESCO will analyse and evaluate past systems and
processes by which company is conducting its activities, fort knowing the root cause of problem
and developing organisational goals accordingly. Than team leaders will use their creative
thinking for searching new ways which are innovative in nature for performing tasks in improved
manner and enhancing the productivity.
P5 Importance of operations management for achieving business objectives
Operations management is a process which includes management of planning organising staffing
coordinating and supervising all actions which lies on the production and manufacturing
department of a company. The purpose of operation managers is to make sure that products and
services offered by them on behalf of company are delivered on time and successfully in order to
satisfy the needs and demand of end users. This is a process of converting raw materials into
finished goods and plays an important role in smooth functioning of organisation and success of
company. Some importance of operations management are discussed below in text of TESCO : Product quality- The one thing which attracts most customers is the quality of goods
which the company is offering to them (Grant, Trautrims and Wong, 2017). Operations
management and operations managers ensure that quality of goods which they offer to
the customer is according to their needs and requirements. Therefore, product quality
management is a very important aspect of operations management. While enjoying high
quality products managers need to consider keying elements reliability and durability of
their offerings. Also, quality of goods is improved on continuous basis and for this
managers of TESCO can use different approaches like TQM as discussed above this
approach in shows the quality of products and optimum utilisation of resources. Here
KAIZEN and JIT is useful in order to make sure the quality of products and its
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development process as both of them are useful in delivering product on time and
KAIZEN is helpful in developing perfection in production process which bring efficiency
and effectiveness within an organisation. Reducing waste- Another important aspect of operations management is reduction in
waste. Eliminating wastage of resources from production process will bring productivity
and quality in the offerings company. Optimum utilisation of resources helps in reducing
the extra cost and improves the production in the operations goods Company is offering
to the end users.
Customer satisfaction- This this is the primary element of production because sometimes
the needs and requirements of customer get repeated which influence the sale. Along with
this ensuring the quality of product is also an essential aspect in order to meet the needs
of customers. Quality goods are influenced by many factors such as continuous
monitoring of reductions eliminating the waste from production process and optimum
utilisation of resources, all these factors please very important part in insurance product
quality (Slack and Brandon-Jones, 2018). TESCO managers can conduct research of
marketplace before launching its products in the market for understanding the needs of
the customers and projecting and positioning their offering accordingly so that more and
more potential buyers can be attracted towards the organisation.
TASK 4
P6 Factors affecting operations management and decisions of leaders and manages
This framework is used to analyse the external factors which are used to scan and evaluate the
elements of strategic management (Gibson and Parkman, 2018). It reveals the opportunities and
threats of the companies which they could face while expanding their business in new market or
establishing the business. It is a situational analysis which helps in implementing and developing
the strategies and tactics. It is a continuous and universal process which is conducted by every
organization in order to create competitive advantage. It is useful for TESCO in order to
determine the external factors. There are other factors which also affects the organisations
operations which are also external to the entity and these factors are as follows: Culture- Every economy and country follow different culture by which they conduct
their activities and their preferences change according to it. The culture of the economy is
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a framework or a guideline by which population works. This difference in cultures affects
the businesses and their operations in both positive and negative manner. TESCO is
operating in several locations and geographical areas therefore, company have to be
aware about the unique cultures of every economy. Stakeholders- Another very important and essential parties which are attached with
businesses are the stakeholders. These are the internal and external parties of the
company who plays important role in entity, such as employees, suppliers, customers
shareholders, and government. These stakeholders will affect TESCO internally and
externally both as they are directly or indirectly connected to the company. Customers are
external stakeholders of TESCO, maintaining good relations and providing satisfying
products to customers is the main goals in order to earn better revenues and profits.
Therefore, customer’s feedback and will be dependent on their satisfaction level and
products which are provided by TESCO. Moreover, suppliers of TESCO will also,
impacts company as cost of raw materials acquired will automatically impacts on
operational cost company is incurring and the prices which are set for making sales to
end users. Corporate social responsibility: It is the primary activity which is pursued in order to
fulfil the needs and requirements as it is helpful in improving the reputation of an
organisation. It is useful in attracting customers towards it and in case of TESCO, they do
believe in their strategies and policies which is not so harmful for environment and also
not considered in their whole project as it put negative impact in the brand image of
company. For this, TESCO take steps for the conservation of environment as it is
important because government also pressurise them to improve the conditions of
environment. Value/ Ethics: In simple words value and ethics are code of conduct by which business
transactions are governed. These ethics are developed to address the day to day problems
which arises in organisation on daily basis. The values by which TESCO is running its
operations describes its position in marketplace and its success.
Employee Efficiency: The key resource of every organisation is their workforce or
employees, who are executing all plans and strategies of organisation. The more efficient
workforce is the more effective will be the organisation. TESCO will provide training to
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its staff on regular basis in order to update their knowledge and help them in attaining
better efficient skills. These skills are helpful for TESCO as the employees will ensure
they perform all task with efficiency making all operations most effective and profitable.
CONCLUSION
From the above report it is concluded that leader and manager plays an important role in an
organisation in order to manage it effectively. Both of the individuals have different roles and
characteristics in comparison to each other which evaluates that leaders are superior two
managers and please major part in an organisation in order to take it to pre-determine goals of
company. Leaders works as motivators and encourage staff or their subordinates in order to
perform in an efficient manner increase the productivity of company and attain all its goals. Also
there is leadership approaches and styles are discussed in the assignment in relation with leaders
and managers which they used to make their employees work according to them ensuring quality
of production and reducing wastage of resources. Several operational management theories are
also evaluates in accordance with the organisation to manage the work effectively and
efficiently. Moreover, importance of operational management is also highlighted which helps in
achieving the objectives of business. Analysis of external environment of company is also
conducted which help in identifying and determining all external factors affecting the
organisation in a positive and negative manner.
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