Marks & Spencer: Strategies, Leadership Styles, and Change Management

This report provides a comprehensive analysis of Marks and Spencer (M&S), examining its background, development strategies, leadership styles, change management processes, and sustainability initiatives. It delves into the Ansoff matrix to understand M&S's market penetration, product and market development, and diversification strategies. The report highlights the use of transformational and democratic leadership styles within the company. Moreover, it explores the implementation of the Kurt Lewin change management model. The report also assesses M&S's sustainability efforts, including carbon footprint reduction and the use of the Sustainable Clothing Action Plan (SCAP) and Waste and Resources Action Plan (WRAP). The conclusion summarizes the key findings and offers recommendations for future improvements, such as focusing on sustainability, utilizing force field analysis, and incorporating transactional leadership to enhance overall business performance. This detailed analysis provides valuable insights into M&S's strategic approach to business development and its commitment to sustainability.

M&S
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
1. M&S Background Information................................................................................................3
2. Method of development...........................................................................................................3
3. Leadership styles.....................................................................................................................4
4. Change management................................................................................................................5
5. Sustainability...........................................................................................................................6
6. Conclusion and future recommendation.................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Business strategy are long term planned or key action that are used by enterprise to
attained its objectives by delivering products and services as per expectancy of customers. There
are several changes in external environment that companies tried to adapt in order to retain their
market position. Marks and Spencer is one such organisation that performing its function in retail
industry of United Kingdom in order to earn maximum profitability. This report is based on
study of marks and Spencer related to its development strategies, leadership styles, change
management process and sustainability strategies that are used by firm to achieve its end goals.
At last report has suggested few recommendations that company can make used in order to
further grow and expand its business.
1. M&S Background Information
Marks and Spencer is a public limited company initially started is operation in 1884 that
is 136 year ago in Leed, United Kingdom. Recently firm has its operation across worldwide with
more than 80000 employees and 915 stores in United Kingdom among them 615 just belong to
food products only. The two partners named as Michael Marks and Thomas Spencer has planned
to start new business in order to earn high profitability and market share by meeting customer’s
expectancy beyond their needs. Company through entering long term relationship with British
manufactured has expanded its growth in domestic market. M&S has expanded its business
internationally in 1973 in Canada and further in 1990, modernised its stores in order to provide
excellent services to customers.
2. Method of development
Marks and Spencer in order to grow and diversify its business operation in retail industry
has made use of several strategies such as innovative its products, make use of digital platform,
and expand business in international market. All these strategies has helped in increasing market
share, profit margin and market value of firm by adding more and more customers (Balashova
and et.al., 2018). Ansoff matrix can be used to understand method of development which was
used by Marks and Spencer in order to promote its business in external environment. Such as:
Market penetration: It is strategy in which company make use of existing products to attract
existing market or local customers in order to enhance its sales volume and profitability. M&S
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through using special promotion offers, working on its brand image has tried to influence
maximum number of existing customer’s base to become part of organisation that helped
company in gaining competitive advantages to some extent.
Product development: It is method of development or strategy in which company plans to
developed new or innovative products and services in order to fulfil requirements of domestic
market. It can be stated that M&S has tried to continuously innovative its products and services
or continuously improve its quality so that need of customers can be fulfilled in best possible
manner. Like company have products ranging from home, personal, food, clothing to financial
services that provides ease and comfort to individuals to easily make purchase for satisfaction of
their respective wants (Slávik and Hanák, 2017).
Market development: It is another development method in which company focus on developing
new market or target new groups of individuals for sales of different products and services. M&S
through forming joint venture or franchisee agreement with subsidiary brand has planned to enter
into new market share in order to expand and retained its market share. Company has developed
its market in more than 29 countries like Hong Kong, Ireland and Gibratar that has contributed in
enhancing overall profitability of firm.
Diversification: This is most risky strategy or method of development as in it firm planned to
enter into new market with new products and services so that it can easily attained its objectives.
M&S manager by conducting effective market research, analysis is able to gathered information
about international market condition and situation thus able to formulate effective strategies that
helped in expansion of business (Bentley-Goode, Omer and Twedt, 2019). M&S through 15
stores across worldwide with new products and services have attained its objectives.
3. Leadership styles
Leaders are individuals that have special capabilities to influence and motivate
employees to work hard or make best utilisation of their skills and knowledge so that
organisation can grow and sustain its business operation. Leaders of Marks and Spencer has
make use of different leadership styles in order to induce employees to give their best so that
company can gain maximum market share. Therefore, leadership styles used by leaders of M&S
are illustrated as follows:
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Transformation leadership style: Leader of M&S has changed its style as per situation or
circumstance so that employees are ready to accept external changes, rather than resisting for
benefit of firm. Leaders by changing their styles as per individuals and situation are able to
effective motivate them to enhance their overall performance and productivity so that company
can delivered best services to customers (Gurr, Longmuir and Reed, 2020). There are several
qualities present in leaders of M&S like integrity, self awareness, empathy and creativity that
influence them to find new and innovative method to motivate individuals so that maximum
outcome can be gained.
Democratic leadership style: M&S leaders in order to make employees happy and satisfied
have encouraged to share their respective point of view, idea that can be fruitful for growth of
enterprise. Democratic leadership styles have helped in gaining active or maximum participation
of employees, building trust, better coordination etc. Leaders through this style are able to know
several problems of individuals thus find alternative solution so that they can work effectively
for achievement of common goals (Para-González, Jiménez-Jiménez and Martínez-Lorente,
2018). Encouraging employees in several decision making process of firm has also helped in
enhancing learning skills, creating a feeling of belongingness thereby influencing to provide
excellent services to customers.
So, overall both leadership styles that have been used by M&S leaders have helped in
retaining high talented and skilled employees within firm.
4. Change management
In this business world the most important thing for the company or the business is to
manage the changes taking place in the business environment. This is very essential because of
the reason that when the changes are taking place in the external environment then it is the duty
of the company that they try to adapt to these changes and increase their working efficiency of
the company. In the case of Marks and Spencer as well the Saturday boy that is Steve Rowe
implemented many different types of changes in the working and operations of company. The
major reason for this is that if the company will not adapt to these changes then this will have a
great impact over the working of the company (de Oliveira and et.al., 2017). Thus for this major
method applied by Steve Rowe in managing any of the change is the Kurt Lewin change
management model. This is a good model which assists the company in managing the change in
very easy and understandable manner so that employees are comfortable in adapting to the
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changes. Under this method the first stage is the unfreezing of the earlier learning which the
company was using earlier. This is very important because of the reason that till the time the
employees will not forget the earlier working they will not be able to learn anything new.
Thus, for this the first step is to unfreeze all the older practices. Further next stage of this
model involves understanding and learning the new intended change (Bansal and King, 2020).
Under this the manager tries to make the employees understand the value and importance of the
change and motivate them in accepting the change. the last stage of refreeze that freeze the new
learning and practice that learning only till the time any new change is not being implemented.
This is very important because of the reason that refreezing assist the company in managing
these changes and apply it in practice till the time any new modification is not met.
5. Sustainability
The sustainability is defined as the working in such a manner that it does not harm any of
the people attached with the company or the environment and the society. If the business is
having sustainable operations then it means that the company is in better position in optimally
using the limited and scarce resource up to their fullest potential. Thus if Marks and Spencer will
have sustainable approach to business operations then this will increase the interest of the
employees in working in more effective and efficient manner (Szabla and et.al., 2017). Hence,
this will increase the efficiency of the business and as a result of this the profitability of the
company will increase. For this the company is working on increasing the sustainability of the
company and its operations. Hence, for this the company is trying to reduce 15 % of carbon
footprint and this increased the working and operations of the company.
In addition to this the since the time of 2012 the M& S is a member of Sustainable
Clothing Action plan (SCAP) which is an initiative having a mission of using the resources in
optimal and effective manner. Further another major strategy involved in the use of the
sustainability is to reduce the water footprint by 2.6 % and this is good for the better working of
the company and management of the sustainability of the resources in the company
(Sustainability in clothing and home, 2020). In addition to this M& S is also making the use of
the Waste and Resources Action Plan (WRAP) which is a footprint calculator which is being
used by the company in order to estimate the impact of these reductions over the environment
and the potential impact over the profitability of the company in the highly competitive market.
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6. Conclusion and future recommendation
In the end it is concluded that the for any of the company the most important thing is to
have an effective management and which continuously try to work in improving the working and
strategies of the company. From the above study it was seen that the major method of
development within the business which M&S is employing is the combination of market
penetration product development market development and the diversification. Further it was seen
that the major leadership style used is the transformational and democratic style of leadership.
Further from the discussion it was evaluated that Kurt Lewin change management model is
helpful in managing any sort of change. In the end it was seen that the sustainability was also
necessary for effective working of the company.
Recommendation
From the above discussion it is clear that there are many different types of areas in which
the company need to do improvement. These improvements will increase the efficiency of the
employees and the company. Thus, for this some of the recommendation for M&S is as follows-
In the end it is recommended to M & S that they must focus more of the sustainability
and the optimum utilisation of the limited resources. The major reason underlying this is that this
will increase the ability of company to perform in more effective and efficient manner.
Another major recommendation is to make use of force field analysis in order to
implement any of the change within the business. Under this change management model the
company makes the analysis of the forces which either restrict the change to be implemented
within the business.
In addition to this another major recommendation to M&S is to make use of transactional
leadership as well in the working of the company. The major reason for this is that this is a style
of leadership in which major focus is laid on role of supervision in the company and majorly
focuses on the group performance (Wamsler and et.al., 2018). Under this method the leader
using this style generally focuses on the choosing the style of focus on completing specific task
and make the effective use of rewards and punishment in order to get the work completed in
effective and efficient manner.
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REFERENCES
Books and journals
Balashova, K. V and et.al., 2018. Formalization and elaboration of a company’s business
strategy. Problems and perspectives in management, (16, Iss. 3). pp.80-91.
Bansal, A. and King, D. R., 2020. Communicating change following an acquisition. The
International Journal of Human Resource Management, pp.1-30.
Bentley-Goode, K. A., Omer, T. C. and Twedt, B .J., 2019. Does business strategy impact a
firm’s information environment?. Journal of Accounting, Auditing & Finance, 34(4).
pp.563-587.
Biodi, M. and Sanawiri, B., 2017. Analisis Lingkungan Industri Guna Menentukan Business
Strategy dalam Rangka Mencapai Keunggulan Bersaing (Studi pada Pr. Alfi
Putra). Jurnal Administrasi Bisnis, 50(3). pp.172-181.
de Oliveira, M.C and et.al., 2017. Is sustainability in business strategy factual or
figurative?. Race: revista de administração, contabilidade e economia, 16(2). pp.427-454.
Gurr, D., Longmuir, F. and Reed, C., 2020. Creating successful and unique schools: leadership,
context and systems thinking perspectives. Journal of Educational Administration.
Para-González, L., Jiménez-Jiménez, D. and Martínez-Lorente, A. R., 2018. Exploring the
mediating effects between transformational leadership and organizational
performance. Employee Relations.
Slávik, Š. and Hanák, R., 2017. Identification of relation between Business Model and Business
Strategy and measurement of its tightness. Problems of Management in the 21st
Century, 12(1). p.54.
Szabla, D. B and et.al., 2017. The Palgrave handbook of organizational change thinkers.
Palgrave Macmillan,.
Wamsler, C and et.al., 2018. Mindfulness in sustainability science, practice, and
teaching. Sustainability Science, 13(1). pp.143-162.
Online
Sustainability in clothing and home. 2020. [Online]. Available through: <
https://corporate.marksandspencer.com/sustainability/clothing-and-home>
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