Leadership and Management: Roles, Theories, and Toyota's Operations

This report examines the distinct roles and characteristics of leaders and managers, contrasting their functions within an organizational context. It delves into various leadership theories, including situational, contingency, trait, action-centered, transactional, and transformational leadership, and management theories like contingency, system, and chaos theories. The report further explores the roles of leaders in communication, training, and feedback, along with the managerial functions of planning, staffing, and coordinating. It also analyzes the application of these concepts within the operational framework, specifically using Toyota as a case study to illustrate how effective leadership and management contribute to achieving business objectives. The report highlights the importance of operational management in improving efficiency, productivity, and profitability, and it assesses the impact of various factors on operational decision-making.

Management and
Operations

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 01..........................................................................................................................................1
P 1 Defining and comparing roles and characteristics of leader and a manager.........................1
P 2 Roles of leaders and functions of managers in different situations......................................3
P 3 Different theories and models of approaches to leadership..................................................4
TASK 02..........................................................................................................................................5
P 4 Key approaches to operations management and roles of leaders and managers..................5
P 5 Explaining importance and value of operation management in achieving business
objectives.....................................................................................................................................6
P 6 Assessment of factors that have impact over the operational management and decision
making of the leaders and managers...........................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10

INTRODUCTION
In the context of business unit, aspect pertaining to operation management lays high level
of emphasis on detecting the inefficient areas. This in turn helps in developing strategies for
them and thereby results into improved operations, greater productivity and profitability. Toyota
is an auto mobile manufacturing company which was established in December 1989 and have
effective operation management in the company. The study shows various characteristics of the
managers and difference between key roles of leaders and functions of managers on the basis of
various theories. Report also describes a brief evaluation of various theories and approaches of
leadership along with its application in the context of working environment. Along with this,
report will also develop understanding about key approaches pertaining to effectual operation
management. Further, it also entails the contribution of operation management aspects in regards
to the attainment of business objective.
TASK 01
P 1 Defining and comparing roles and characteristics of leader and a manager
Leader:
Leaders are the motivators of the group who sets an effective vision for the group so that
they can effectively help the company in achieving its organisational objectives.
Managers:
Managers are the professional employed by the company to perform key functions of
evaluating the effectiveness of various business operations and making effective strategies and
decision making for the company (Parisio, Rikos and Glielmo, 2016). Functions of managers are
focused on 5 aspects that is planning, organising, staffing, directing and controlling. These
functions of manager rotate around employee management, motivation, business objectives and
attaining of goals.
Difference between leaders and managers on the basis of their roles and functions in the
company are as under:
Basis Leader Manager
Function Leader performs a task to
motivate the workers.
There main function is to
manage overall operations of
the business. Staffing is the
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crucial function of manager
where individual focuses on
recruitment and selection.
However, in controlling
managers aim at delegating
responsibility to manage
smooth flow of work.
Role Leaders implements the plan
made by the managers
Managers develop the effective
plans for the company.
These concerns with effective
performance of each workers.
Managers are concern with the
effectiveness of performance
of overall functioning of the
business.
Leader's main role in the
business is to motivate the
employees and monitor their
performance (Archer, 2017)
Main role of managers are to
analyse the business
performance and develop
effective strategies and plans
for the development of the
company.
strategies Leader of the organization
focuses on building team
players at workplace by
maintaining positive working
environment which helps in
increased operational
efficiency, performance and
productivity. Leaders of the
organization aim at achieving
goals and objectives by
working in coordination in
Management of the
organization aim at rewarding
employees of the organization
for the work performed by
them. This motivates
employees to work hard to
achieve desired heights and
leads to growth in career.
Appreciation and recognition
motivate employees to perform
effectively and leads to lower
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effective and reliable manner.
Leader of the organization
conduct various seminars for
training and development
which leads to increased skills
and knowledge. A good leader
focus on maintaining healthy
relationship for coordinated
working in an effective
manner. Leader should be
flexible and ready to adapt to
changes.
employee turnover rate.
Management of the
organization should be flexible
to adapt change in diversity.
This helps management in
achieving competitive
advantage in the market and
leads to efficient use of
resources. It is important for
the organization to effectively
maintain cultural diversity and
language barriers for effective
working of the organization.
Leadership theories
There are range of theories that can be applied by the leader for the purpose of managing
the performance of the group members like:
 Situational theory: By applying this theory the leader guide the team members, the
leader performs actions as per the condition arisen. The theory does not provide any fixed
pattern for leading. For example, In any case, the change in Toyota brings the need of
enhancing knowledge and skills of the members, the leader will perform the role of
conducting training program for each group members as per their needs.
 Contingency theory: This theory makes the leaders to choose the style of leadership as
per the variance arisen within the company. Leaders of Toyota can also apply this theory,
as per this theory, success depends upon the change brought in each operations including
leadership style. The leader choose their role as per the arisen of contingencies in the
business as to ensure the best performance of each group members.
 Trait theory: In this theory of leadership, the leaders analyses the key traits of the leader
and compare it with the own inherent traits. Leaders the gap between required traits and
skills and tries to eliminate the gaps (Zhang, 2016). In this theory, the leaders applies all
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the traits and skills of leader while performing the leadership tasks. In this regard, the
theory of leadership helps in managing various situations effectively.
 Action centre leadership- It is leadership model which describe leadership in three
different ways such as accomplish the work, empower individual and team building.
these three components has a company in building effective leadership. According to task
accomplishment every task has a goal and Toyota company needs a leader to complete
each task. Without leader a company cannot accomplish a task. Leadership in Toyota
company also needs leadership in motivating its employees and to empower them.
Leadership also needed in the company because it helps the company in building teams.
this leadership theory helps in achieving the goals and objectives of the company within
the specific period of time.
 Transactional leadership theory - this leadership theory focusses on result and measure
the success according to Toyota company structure. Leader are responsible for managing
the performances they can achieve predetermine goals. in this theory leaders and manager
work together and motivate them by providing award and penalties. leaders can improve
performance and it is the most common theory to measure performance of employees.
Toyota company can achieve short term goals and also helps to identify reproducible
environment and it is easy to apply in crises situation where everyone is known about the
requirements and task to be done to reach the goals.
 Transformation theory of leadership - Toyota company leaders work with their team
so they can identify require changes and creating vision of the company. Leaders
monitor to their team members for innovation activity.
Management theories
There are range of theories available for the managers of Toyota, for the purpose of
effectively managing the overall business operations like:
 Contingency theory: This theory makes the managers to perform their function of
decision making as per the situations arrived within the business. Managers performs
their functions after analysing the situation and the condition of the business.
 System theory: By applying this theory, manager of Toyota analyse how application of
different system can impact overall business operation (Meuser, 2016). Managers
performs the function of managing overall business operations by implementing range of
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system within the organisation, that works together and helps the company in achieving
the organisational objectives in most effective way.
 Chaos theory: Managers of Toyota should bring apply this theory when the company
implements any changes in the organisation. Any change in the company influences
many functions and operations of the business. It may attract numerous chaos among
various functions and departments of the business (Tal and Gordon, 2016). For the
purpose of eliminating it, the managers can apply this theory and perform their functions
of building strategies and decision making as to enhance the coordination and eliminate
the chaos within the organisation.
P 2 Roles of leaders and functions of managers in different situations
Role of leaders:
Leader plays a range of key roles in the business as to help the company in achieving its
organisational objectives in most effective way. Main roles of the leaders are as under:
 Communication of information: This role of leader header helps the company in case
the company brings changes in its set goals and objectives. Leader communicates the
changes to the group and provides appropriate instructions to be followed by them as to
help them in performing their task as per the innovation made by the company.
 Conducting Training and development program: This role of leader helps the
company in ensuring effective performance of the workers in case the company makes
any technological changes in the company (Arena and Uhl-Bien, 2016). The leader
provides proper training to each group member so that they can easily adopt the
technological changes and perform their tasks in the business accordingly.
 Taking feedback from the members: The leader takes feedbacks from the group
members for each operation of the business. This role of leader provide help to Toyota to
take the views about each idea of the managers in bringing changes within the company.
It helps the managers in getting views of workers and implementing the changes
effectively as to get positive results from them.
Functions of managers:
Managers are appointed to make the strategies for business and help the business in
growing in more efficient way. Main functions of the managers are:
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 Planning: Planning refers to taking decisions in advance for the company (Thompson
and Glasø, 2015). In case, the Toyota wants to bring any changes in the business for the
purpose of its development, the managers can help it in making and effective
implementation plan for the company after analysing the company's performance and
making plan accordingly.
 Staffing: Managers also performs the activity of staffing appropriate person for the
appropriate job (A Review of Leadership Theories, Principles and Styles and Their
Relevance to Educational Management, 2018). When the Toyota brings any huge change
like opening anew branch of the company, the managers can help it in fulfilling the need
of human resources of the organisation.
 Coordinating: In performing any business activity, the coordination among the workers
is the major factor that effects the overall business operations (Bernheim and Bodoh-
Creed, 2017). In case of lack of coordination among the employees, there may be arisen
of conflict among the workers that directly affects the overall business operations.
In this regard, it can be evaluated that various roles of leaders and functions of managers
in the business, can help the company in facing numerous situations in the most effective way.
P 3 Different theories and models of approaches to leadership
There are various theories and models of approach of leadership that can help the
managers in having effective control over the group members and motivate them as to enhance
their capabilities within the organisation.
Approaches of Leadership
 Situational theory: Application of this theory enables the leaders of Toyota in taking
decision regarding their leadership style on the basis of situation of the working
environment of the company and performance of the all the group members. This theory
helps in effectively implementing any change within the organisation without affecting
the performance of the workers.
Strengths weaknesses
It enables the company in effectively handling
each situations.
It does not provide any specific process to lead
the group (Reiche, 2017).
It enhances the power of decision making Leader can also take wrong decision for the
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capacity of the leaders. company due to lack of any set procedure of
leadership.
 System theory: If the leaders of Toyota applies this theory, they need to create an
environment among the group members in which the members of all level could work
together without any chaos of conflict. Application of this theory can help the managers
in reducing the conflict within the members of the group.
Strengths weaknesses
It helps in development of healthy
communication network within the
organisation.
It may lead in enhancement of discrimination
due to involvement of different level of
workers at same place.
It can help the managers of Toyota in
developing broad plans for the company and
boost up the organisation to attain the success.
It can lead in enhancement of chaos within the
organisation.
 Contingency theory: Contingency theory is the leadership theory which makes the
leaders in analyse the situations of the working environment and predict the
contingencies that can be arise within the company (Myers, 2017).. They choose the
leadership style so that the group members can easily deal with all the situations and help
the company in achieving its business goals and objectives.
Strengths weaknesses
It helps the managers in enabling the overall
company to deal with uncertainties of future.
It may provide the negative result due to
involvement of prediction of the leaders
It helps in enhancing leadership qualities of the
business.
It needs higher level of leadership skills of the
managers and leaders.
Approaches of Management
Classical approach: This approach of management is mainly concerned with the increased
efficiency of workers , cost reduction, employer-employee relationship. Employees of Toyota
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work together in a coordinated manner which helps them attain operational efficiency and
productivity.
Strength Weakness
1.) Clear hierarchical structure and effectively
define goals to the worker of the organization.
1.) This approach hinders the creativity of
lower level workers as they feel
demotivated.
2.) Employees remain motivated and follow
autocratic leadership style for effective
decision making and coordination.
2.) This theory of management is rigid which
lowers the operational efficiency of business.
Human relations approach: This approach of management is effective to maintain strong
relationship between both employer and employee which helps Toyota in effective operation
efficiency and productivity.
Strength Weakness
1.) This approach helps in retaining
prospective candidates for the job which leads
to lower employee turnover rate.
1.) This theory is more theoretical and do not
focus on practical aspects.
2.) This method is beneficial in employee
motivation and grievance handling.
2.) It is difficult to analyse behaviour of human
relations.
System approach: This approach of management helps in breaking down complex processes into
simple one. This theory helps Toyota in making the process of production and design easier and
simple.
Strength Weakness
1.) This approach helps in increased
operational efficiency, performance and
production.
1.) This approach lacks universalism and leads
to over conceptualization.
2.) This method provides clear set of guidelines
for effective plan of action.
2.) System approach is not a reliable approach
and cannot be directly applied on practical
situation.
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TASK 02
P 4 Key approaches to operations management and roles of leaders and managers
Operation management is a management activity in which managers provides the best
satisfaction to it internal and external customers (Spehar, 2017). Internal customers are the
employees of the company. In operation management, leaders and managers of the Toyota,
detects the inability within the organisation and performs their tasks as to reduce it.
Total quality management- It is one of the most used approach that supports organization in
increasing the quality of products and also helps in raising the productivity. Total quality
management (TQM) is a structured approach to overall organizational management. The focus of
the process is to improve the quality of an organization's outputs, including goods and services,
through continual improvement of internal practices. Implementing this approach in organization
can support them in attracting more new consumers and also help them in growing. In this the
leaders and managers also make effective use of resources that support them in expanding
market share. Leaders and managers of the Toyota helps the company in enhancing the
efficiency of each worker of the business. In this regard, they also provide help to the company
in enhancing its overall inefficiency. Managers frequently analyses the performance of the
business. This helps in taking decisions of the business. This helps in continuously improving the
performance of the business. This continuous improvement results in attaining growth by the
company in near future. The key role of managers of setting vision for the group and setting
short term goals for each worker accordingly as to improve the performance of overall group
(Rudow, 2017). Development of short-term goals helps the managers in enhancing the efficiency
of the business. Further, by attaining the short-term goals, the workers indirectly help the
business in achieving organisation's long term goal.
Just in time approach- Just-in-time manufacturing, also known as just-in-time
production or the Toyota Production System, is a methodology aimed primarily at reducing times
within production system as well as response times from suppliers and to customers. It helps
organization in improving the quality of the work done by the firm. It also supports them in
increasing their production as well as raising the quality of services. All the functions are done
on time by using this approach. By implementing this organization can also gain competitive
advantage and also help them in growing. It helps them in gaining competitive advantage.
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Leaders keeps in touch with both managers and group members. By comparing the plans of
managers and efficiency of workers, they conduct the training and development program for the
workers as per their capabilities (Leary, 2017). It leads in enhancement of efficiency of the
workers. Further, it also helps in implementing the plans of managers within the organisation
successfully for enhancement of overall efficiency of the company.
Managers communicates with the leader in order to determine the need of the workers,
they develop plan accordingly. This helps the Toyota in providing job satisfaction to the
employees by developing policies to satisfy their needs. As a satisfied employee always performs
the task with the best efficiency (Morschett, Schramm-Klein and Zentes, 2015). The efficiency
of overall business can be increased. In this regard, it can be evaluated that both managers and
leaders of Toyota in enhancement of overall efficiency of the business organisation.
Mass production approach: This approach of management helps in mass quantity of
standardized production of goods with the help of automation technology. Mass production
approach specializes in division of labour and lower labour cost which helps improved
operational efficiency and productivity. Implementation of modern technology helps in reduction
of cost and improved quality of products and services due to increased automation and services.
This leads to rapid distribution of goods at the large scale which helps in creating competitive
advantage which leads to higher profit margins and revenues.
Managers of Toyota oversee the process of production of goods and services and helps in
planning, control of production and quality control to achieve organizational goals and
objectives. Leaders of Toyota leads and guide employees of the organization to maintain
standard of products effectively ad efficiently.
Modern period approach: This approach of management and operations aim at
quantitative and numerical mathematical techniques. This method helps in analysing the
operations of management in quantitative terms by effectively analysing the statistics which
helps in effective decision making. It mainly focuses on JIT, TQM and concept of contiguous
improvement.
Mangers of Toyota analyse the operations in quantitative term and in case of any
deviation take necessary action accordingly to achieve operational efficiency and productivity.
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