Mckinsey and Company: Roles of Leaders and Managers in Operations

This report provides an in-depth analysis of management and operations at Mckinsey & Company. It begins by defining and comparing the roles and characteristics of leaders and managers, highlighting their differences in terms of skills, focus, and approach. The report then explores the practical application of leadership and management functions in different situational contexts within the company, emphasizing the need for leaders to manage from the front and remain alert to workplace changes. Furthermore, it delves into various leadership theories and models, including situational, contingency, and system leadership, explaining their importance in guiding personnel and adapting to changing business environments. The report also examines key approaches to operational management, the roles of leaders and managers in these approaches, and the significance of operational management in achieving business objectives. Finally, it discusses the factors within the business environment that impact operational management and decision-making by leaders and management, providing a comprehensive overview of the operational dynamics within McKinsey and Company.

Management and Operations

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Define and compare the role and characteristics of leaders and managers.......................1
TASK 2............................................................................................................................................3
P2 Role of leader and function of manager apply in differ situational context......................3
P3 Different theories and models of approach including situational, contingency and system
leadership................................................................................................................................4
TASK 3............................................................................................................................................5
P4 Key approaches to operational management and role leaders and managers play...........5
P5 Importance and value of operational management in achieving business objectives.......7
TASK 4............................................................................................................................................8
P6 Factors within a business environment that have impact upon operational management and
decision making by leaders and management........................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Managers are essential part of business which required at each and every level of a firm.
For managing various operations, it is really essential for managers to contribute their maximum
skills and knowledge for working and managing operations (Anderson and et. al., 2018). This
project is based on management and operations in context with Mckinsey and Company whom
providing advise to worldwide consulting firm. In this project, various essential aspects will
going to underpin in which difference between the role of a leader and functions of manager get
articulated. Along with this, applicability of role of leader and functions of managers will also
crafted in business operations context. Further role of leaders and managers play in functions of
management will also discuss in the working. There will be a relationship between leadership
and management in context of diverse business environment will also determine.
TASK 1
P1 Define and compare the role and characteristics of leaders and managers
Managers play an important role in an association whom contribute their skills and
abilities of working for managing various operations of a firm. Managers have management
skills and knowledge which assist them to deal with any situation, they prefer less risk and value
working with a systematic manner and procedure. It is really essential for managers to estimated
their roles and features properly so that targets get accomplish in a suited manner. Most number
of individuals get confused with leaders and managers. But in actual facts both of them are
completely differ from each other (Bendoly, 2016). McKinsey and Company employees need to
understand both of these entities properly so that effective working towards objectives get done
and maximum return could be estimated. Although, below is a differentiation between roles of
leaders and managers in a company so that better associated working get done and manage:
Basis Leaders Managers
Meaning Leadership is define as a skill
for leading others and make
them motivated towards work
and target accomplishment for
better oriented gains.
Managers are the one whom
use their skills and art for
managing resources effectively
by coordinating and organising
things in supported frame.
1

Basis Leaders are trustworthy in
nature whom suppose to trust
their subordinates by dividing
work.
Managers are the one whom
have more power than leaders
and they have appropriate
control on each and every
activity perform by whole
association.
Based on Leaders are important in an
organisation for inspiring and
motivating individuals so that
better and effective
understanding about concept
get done.
Managers have much potential
and skills for managing
activities so that better
associated return could be gain
in positive attribute of
working.
Focus on Whenever any kind of change
arise related with culture,
interest etc. leaders need to
mange and encourage such
modifications properly.
Managers of every association
whether it is bog or small have
several key skills and abilities
which enable them to promote
and support in gaining stability
for enhancing operations
efficiency.
Formulated Leaders work on principles
and guidelines which they
usually gain through their
working abilities.
Managers always enforce
working on policies and
procedure as they think that
every operational working
have definite policy and
procedure to make things
appropriate.
McKinsey and Company need to understand the difference between leaders and
managers properly so that better concentrated work get done. Along with the roles, leaders and
managers also get vary from each other on the basis of their characteristics. Such aspect need to
understand by employees of a company so that absolute working get promoted in order to
2

manage diverse operations regarding providing advise (Borodin and et. al., 2016). Although,
difference between both of them stated as follow:
Leaders Managers
Leaders have a feature to be creative in nature
where they identify various options to manage
considerations for enhancing better results.
Managers have analytical skills for analyse
various aspects and things properly so that
operations become appropriate and effective in
nature.
Leaders always enforce working by trying and
conducting experiments so that appropriate
work get done in an absolute manner.
Managers always try their problem solving
abilities to resolve diverse number of issues
which arise from top to bottom.
These are several aspects of features which required to understand by employees of
company so that an appropriate difference could be made as well as effectiveness in operations
and target accomplishment could become possible (Bromiley and Rau,2016).
TASK 2
P2 Role of leader and function of manager apply in differ situational context
McKinsey and Company are one of a finest advising company in the UK whom have
good individuals and associates which utilise their potential skills and knowledge to manage
various aspects and things. From past few years, advising company quality getting poor as their
number of associates leave their job due to pressuring them and heavy work load. As for
managing and maintaining this situation, leaders need to estimated their role properly as well as
managers required to perform their functions in a suitable manner so that better and efficient
working get done (Choi, Cheng and Zhao, 2016). Following are the aspects which need to
perform by leaders of a company stated as follow: Need to manage from front: This aspect signifies that leaders required to lead the crises
from the front by motivating employees at the time of heavy work load. As they need to
try to minimise pressure from individuals so that workforce could be perform their duties
and responsibilities properly.
 Alert at workplace: There is a need to get alert at workplace for managing diverse and
ever changing situation. It enable business to maintain appropriate quality standard so
that better supportive results could be drawn in gaining better outcome (Fu, 2016).
3

Function of manager
Manager of McKinsey have several responsibilities and roles that has to be carried out in
effective and efficient manner. They align individual's objective with organisation's final mission
and vision so that set and final target can be accomplished. Some are discussed below: Planning: It involve drafting plans for future time that enable them to face uncertain
situations that can arise in front of organisational system. It provide direction that has to
be followed by every individual in McKinsey. Organizing: After plans are formulated it is required to organize many things so that
work can be attained in prospective manner. It focus on locating resources at right place
and at right time. Staffing: This refers to finding out knowledgable and skilful employees whenever the
need arise. Recruitment and selection process in conducted under this. Leading: Manager also play role of leader in which they provide guidance to their staff
members so that workers performance can be done in accordance to set objectives and
aims. Behaviour of every employee is examined and than rules and regulations are
developed. Monitoring and Evaluation: It is the main duty of manager of McKinsey in which they
monitor the actual performance of their employees and find out any deviations if it is
there.
 Controlling Function: This is the last function in which control of all operations and
work is conducted by manager. It enable them to find out number of problems and
obstacles so that final outcome can be attained in prospective way.
P3 Different theories and models of approach including situational, contingency and system
leadership
Leadership is not easy task there is requirement of proper guidance and watch on operations of
company. There is important role of management theories which in guiding personnel as per
their skills and competency. Various theories followed by Mckinsey and Company are-
SITUATIONAL THEORY
This theory was launched by Dr. Paul Hersey in 1960. This theory is very important in
Mckinsey and Company as there are many situations which help person to face many problems.
4

There are many happening in company which has to be applied by top level management and
this helps to achieve goals and targets on time. Situational theory states that there is change in
perception of employees as change in situation (Genovese and et. al., 2017). This helps to know
manager about how to face problems and change in behaviour of employees. Company has to
frame policies which help employees to come with new and fresh ideas. There are positive as
well as negative effect of these theory. In positive aspect, manager has to motive employees to
achieve task with full energy and there will be competition among employees. While in negative
aspect, there are sometimes conflict in thoughts of employees manager has to take best option
among them.
SYSTEM LEADERSHIP THEORY
There are many problems in organisation which arise due to change in business
environment. So it is essential to deal with them ,.every person has different way to deal with
situation. According to this theory it is beneficial to plan policies in such way that can be
modified as power situation. This helps to solve problem frequently and there will be growth of
company. Management of Mckinsey and Company can involve employees in decision making so
they come with new and fresh ideas. This generates confidence among employees and develop
morale among them. Manger has to understand situation and then adopt method which is most
suitable for organisation. There are some activities which has to be performed by employees so it
is important that manager has to set code of conduct (Gillen, Jacquillat and Odoni, 2016).
CONTINGENCY THEORY
This theory states that future is unpredictable. There are possibilities that in few situation
there is need to change decision and sometimes employees are not ready to accept changes. But
manager has to motivate employees to work under changed technology. It is important that
manager has to find best option and then work upon it. It is important that leader must have
dynamic nature so they can set examples of working under changed environment. It is essential
to analyse internal as well as external factors so they can be used for future references. In
Mckinsey and Company, there are numerous employees having different mindset, so it is
essential to deliver for is requirement of organisation. To achieve targets on time and effectively,
there is requirement of proper planning and setting standards. It is essential to measure difference
between actual and benchmarks. In case of negative results it is essential to recheck where is
shortcoming. In theory works to bridge gap between actual performance and standard.
5

Above discussed leadership theories is beneficial in providing ease to employees in
operations. There are various targets which has to be achieved by company timely, this helps
organisation in satisfying consumer (Harrison and Lock, 2017). Mckinsey and Company has to
guide personnel, this not only improves efficiency of company but also employees and there will
be no wastage of time and resources.
TASK 3
P4 Key approaches to operational management and role leaders and managers play
Management is the way of organising, planning , directing and controlling of all
the measures that leads to effective operation of business activities. It is vital for manager to
include all the activities and provide guidance to their team in effective ways. Leaders and
manger both are important person who require to coordinate and establish team spirit in all the
working activities of organisation and interact with each employee to know their problem and
take corrective step for better outcomes. In order to implement all the alteration taken place in
external environment different approaches used by are stated below:- Lean production:- This is the most efficient techniques used for cost administration and
done production in appropriate manner. Their are different types of method in which
alternatives are used to provide best services to target audience (Hazen and et. al., 2016).
Appropriate action plan are made for rational decision making. Queueing and continuous production:- this approach consider complex at the time of
applying in organisation. It is generally used in big organisation in which focus given on
continuous production with breaks for maintenance of plant and machinery. For example
McKinsey famous consultancy firm provide continuous services to their clients in which
all matter are handled by different professional according to their specialisation which
save time, efforts and cost and facilitate continuous production (Heizer, 2016). Six Sigma:- Under this approach different set of tools and innovative techniques are
used for process improvement. This approach is given by Bill Smith at the time of
working with Motorola in 1986. Further, main criteria is to maintain the standard quality
of goods and services which improve the efficiency and effectiveness of employees.
Apart from it organisation uses different innovative tools in order to decrease all the
default arises in overall management operation of organisation.
6

 Just in time:- it is consider as proper approach to fix specific time period for the
production of goods and services. This techniques is given by Toyota production system
in which product are prepared according to the trends, demand and choices of customers
so that proper result can be achieved in systematic manner. If manager design schedule of
production then it will help in determining other activities in order to reduce all the
wastage of resources available to organisation (Hitt, Xu and Carnes, 2016). For example
McKinsey need to maintain standard quality in their advisory services so that brand
image of company increase. Total quality management:- This term can be described as term in which organisation is
planning to provide best quality of services without any defect. In reality no error is not
possible but management team must focus on minimum issues. The main objective is to
reduce the wastage of resources and enhance sales profitability of company.
Role of manager and leader in operations management
In order to accomplish the objective of organisation leader and manager are consider
most important component in order to performing all task and target in better way. McKinsey is
famous audit firm which provide advice related accounting services to their clients. If any
changes occur in organisation then they give the knowledge regarding laws regulation applied in
their financial strategies in order to save their clients from heavy penalty (Role of Leaders /
Managers in Crisis Management, 2018). Therefore, policies, procedures and tactics are made
after considering all the strategies made by rivalry in order to gain competitive advantages over
competitors. Different types of techniques are establish by competitors for making all the
working procedures more simple and justified therefore it is vital for McKinsey to develop
digitalisation in order to achieve targets in proper and adequate manner (Jay and Barry, 2016).
P5 Importance and value of operational management in achieving business objectives
In every business organisation, operational management is very effective in
attaining their goals and objectives. For this, the managers of the company is required to make
sure that they are giving services to its customers as per their needs and demands so that profits
can be attained by them. The major importance and values of Operation management on
McKinsey and Company are :-
 It is impressive in rising the business performance for McKinsey and Company,
 It prepares the administrator to take decisions on immediate/Emergency basis,
7

 It helps in improving production level of business
Some of the other factors are analysed as under:
Training and development: Manager of company will provide some training sessions to
their staff members as it helps them to improve their working performance. This will assist them
to use available resources in an appropriate manner (Schönsleben, 2016). Workers will know that
how to use latest tools and techniques in an effective and efficient way. Therefore, they will
reduce unwanted cost and wastage from business procedure. Proper training and development
programs will help employees to improve their skills and abilities. This will aid to motivate staff
members regarding work. As a result, profits and market share of an organisation is easily get
improved.
Optimum utilization of resources: If workers of an enterprise is much trained then, they
will be able to use accessible assets in a proficient manner. As a result, work will get completed
within limited period of time. It is must for leader to allot resource for each task so that they will
use it in a significant manner. This will help them to take benefits from contenders at
marketplace and in addition they will improve profits as well as market share adequately. Along
with, it enables them to survive at marketplace for maximum period of time.
Profit maximization: If staff members of company is improving their operational
activities then, they will be able to enhance their revenues in an effective manner. By enhancing
profits, they will easily take benefits from rivals (Thomé, Scavarda and Scavarda, 2016). Along
with, they will easily provide higher returns to shareholders, which help them to maintain their
interest in business. Additionally, this enables them to enlarge their business activities into some
other areas. As a result, they will increase customer base. It will assist them maintain their brand
image at competitive world so that they will take assistance from other banks or financial
institute significantly. Henceforth, they will build their presence at global level.
Consumer satisfaction – It is considered as one of the main factor which the companies
are required to keep a focus on as they are the only ones who will be able to enhance their sales
ratio and gain a profitable position in the market as well. Since McKinsey and Company is
doing their operations in providing suggestions to most of the people worldwide and they are
doing their work in most effective manner as well as it can be assumed from their position in the
market. Through this factor they can even achieve good position in the market (vom Brocke, Zelt
and Schmiedel, 2016).
8

Improving quality standards – The quality of services given by McKinsey and
Company can be improved only if they will hire skilled and knowledgable employees for their
company who are having similar experience as well. They should give suggestions through
which they will be able to solve the issues of their clients in an effective manner.
Enhancing Goodwill – If McKinsey and Company will focus on the cost of their
operations then they will be able to increase their goodwill in the market. It is regarded as one of
the most valuable element in order to prepare a strong image of the company. McKinsey and
Company is already have a good market position which they can use to increase their
profitability as well (Anderson and et. al., 2018).
TASK 4
P6 Factors within a business environment that have impact upon operational management and
decision making by leaders and management
It is required for manager to obtain entire data and information in relation to external factors
because this will provide impact to entire business activities. It will help an organisation to make
necessary alterations; thus, they will be manufacture goods and services in an effective manner.
This will assist them to fulfil needs and wants of people according to their requirements and
demands.
In McKinsey and Company, it is must for leader and manager to evaluate both kind of
components, i.e. intrinsic and extrinsic because this will provide impact to business operations
either in a direct or indirect manner (Bendoly, 2016). At the time decision making, it is needed
for them to consider these factors so that they will attain coveted targets and goals within limited
period of time. There are some elements which are stated as below and need to taken into under
consideration by employer of firm:
Internal factors: Shareholders: They are considered as a foremost part for any kind of company because
they provide finance to them so that they will run their business in a proficient manner.
Along with, they will easily expand their operational activities as well as business in new
areas. Therefore, it is must for manager to provide them maximum satisfaction and for
this, it is required for them to provide them share in profits. Additionally, it is necessary
for an enterprise to take their help into procedure of decision making process. This will
9

aid to make proper interaction with them in a significant manner (Borodin and et. al.,
2016). CSR activities: It is must for manager of an organisation to provide proper direction to
staff members so that they will be able to complete their work in an effective and
efficient way. They have to accomplish corporate social responsibilities; thus, they will
render maximum satisfaction to society. In context of McKinsey and Company, they
fulfil needs and wants of individuals; thus, they will easily acquire advantages from
regulatory body in tax. This will assist them to maintain their brand image at marketplace
and as a result, they will compete rivals at competitive world. As they are completing
CSR activities effectively, which enable them to survive at market for maximum period
of time.
External factors:
 Political: It has been analysed that McKinsey and Company is enlarging their business in
distinctive nations; thus, it is required for them to understand rules and regulations of
each country where they are operating their business. Through this, they will easily take
decision for firm in an adequate way (Bromiley and Rau,2016). Along with, by following
proper acts they will business in an ethical manner. It is required for them to accomplish
needs and wants of individuals according to their requirements and demands.
Additionally, it is needed for superior to analyse market condition of country
significantly.
 Technological: In modern era, if an organisation wants to survive at marketplace for
maximum period of time then, they have to utilize latest tools and techniques into
business. Therefore, they will manufacture goods and services in an innovative manner.
This will aid them to maintain quality of items so that they will be able to capture
attention of numerous individuals towards them. As a result, profits and production of an
enterprise will get enhanced (Choi, Cheng and Zhao, 2016).
Hence, it has been understood that, manager and leader need to consider above
mentioned factors at the decision making process because they will provide impact to business
either in a direct or indirect manner. Along with, they have to provide goods and services to
customers as per their demands as it assists into their long term retention.
10

CONCLUSION
From above assignment it has been comprehended that it is must for company to manage
their operational activities in an appropriate manner. For this, they will formulate some strategies
or policies. Superior needs to provide training to staff members; therefore, staff members will
accomplish coveted targets and goals within limited period of time. It assists them to improve
profit and brand image effectually. As a result, they will compete competitors at marketplace.
There are many kinds of theories will be use manager to make each thing more effective. Along
with, there are many elements which will provide impact to an association either in a direct or
indirect way. Hence, it is must for company to consider them at the time of decision making.
11

REFERENCES
Books and Journals
Anderson, D. R. and et. al., 2018. An Introduction to Management Science: Quantitative
Approach. Cengage learning.
Bendoly, E., 2016. Fit, bias, and enacted sensemaking in data visualization: frameworks for
continuous development in operations and supply chain management analytics. Journal
of Business Logistics. 37(1). pp.6-17.
Borodin, V., and et. al., 2016. Handling uncertainty in agricultural supply chain management: A
state of the art. European Journal of Operational Research. 254(2). pp.348-359.
Bromiley, P. and Rau, D., 2016. Operations management and the resource based view: Another
view. Journal of Operations Management. 41. pp.95-106.
Choi, T. M., Cheng, T. C. E. and Zhao, X., 2016. Multi‐Methodological Research in Operations
Management. Production and Operations Management. 25(3). pp.379-389.
Fu, M. C., 2016. Handbook of simulation optimization. Springer.
Genovese, A. and et. al., 2017. Sustainable supply chain management and the transition towards
a circular economy: Evidence and some applications. Omega. 66. pp.344-357.
Gillen, D., Jacquillat, A. and Odoni, A. R., 2016. Airport demand management: The operations
research and economics perspectives and potential synergies. Transportation Research
Part A: Policy and Practice. 94. pp.495-513.
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Hazen, B. T. and et. al., 2016. Back in business: Operations research in support of big data
analytics for operations and supply chain management. Annals of Operations Research.
pp.1-11.
Heizer, J., 2016. Operations Management, 11/e. Pearson Education India.
Hitt, M. A., Xu, K. and Carnes, C. M., 2016. Resource based theory in operations management
research. Journal of Operations Management. 41. pp.77-94.
Jay, H. and Barry, R., 2016. Operations Management. Pearson India.
Schönsleben, P., 2016. Integral logistics management: operations and supply chain management
within and across companies. CRC Press.
Thomé, A. M. T., Scavarda, L. F. and Scavarda, A. J., 2016. Conducting systematic literature
review in operations management. Production Planning & Control. 27(5). pp.408-420.
vom Brocke, J., Zelt, S. and Schmiedel, T., 2016. On the role of context in business process
management. International Journal of Information Management. 36(3). pp.486-495.
Online
Role of Leaders / Managers in Crisis Management. 2018. [Online]. Available through
:<https://www.managementstudyguide.com/role-of-leaders-in-crisis-management.htm>.
12