Nestle: Analyzing Leadership, Management and Operations for Success

This report provides a detailed analysis of leadership and management practices within Nestle, a leading multinational food and beverage company. The report examines the distinct roles and characteristics of leaders and managers, comparing their responsibilities and contributions to organizational success. It explores the application of leadership and management principles in various situational contexts, focusing on the functions of planning, organizing, directing, and controlling. Furthermore, the report delves into different leadership theories and models, including situational leadership and system leadership, and their practical implementation within Nestle. The core of the report focuses on operations management, explaining key approaches such as Total Quality Management, Kaizen, Lean Manufacturing, and Six Sigma, along with the roles that leaders and managers play in implementing these strategies to improve efficiency and product quality. The importance of operation management for Nestle is highlighted, along with an evaluation of external factors impacting organizational management and decision-making. Overall, the report offers insights into how Nestle utilizes effective leadership and management to achieve its strategic objectives and maintain a competitive edge in the global market.

MANAGEMENT AND OPERATIONS

Contents
INTRODUCTION...........................................................................................................................3
LO1..................................................................................................................................................3
P1 Define and compare the different roles and characteristics of leader and manager...............3
LO2..................................................................................................................................................4
P2 Discuss about the role of leader and function of manager apply in the different situational
context..........................................................................................................................................4
P3 Describe the different theories and models of approach, including situational leadership
and system leadership..................................................................................................................5
LO3..................................................................................................................................................6
P4 Explain the key approaches to operations management and the role that leaders and
managers play..............................................................................................................................6
P5. Importance of operation management...................................................................................7
LO4..................................................................................................................................................8
P6 evaluate the different factors within business environment that impact upon organizational
management and decision making by managers or leaders.........................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Management and operations is one of the most effective business practices that are used in
organization in order to obtain highest level of efficiency in firm. It is basically related to
changing goods and materials into high quality of services, so that profit can be maximize by
firm. Present report will lay emphasis on Nestle. It is a Swiss multinational food and drink
processing conglomerate corporation headquartered in Vevey, Vaud, Switzerland. Report will
lay emphasis upon role and characteristics of leaders and managers. It will also focus upon role
of leader in different situational context. Assignment will also lay emphasis on various
approaches used in operation management.
LO1
P1 Define and compare the different roles and characteristics of leader and manager.
 Manager: The person within organization, who design and manage overall work in
systematic manner. It provide right direction to staff members and also pre-determined
the goals, objective of nestle. The manager has performed the task to develop and
establish the strategies policies which help for achieving the organizational goals.
 Leader: It is responsible person who get the work complete from different aspects of
organization goals, it plays important role while motivating the staff members through
communication skills and leadership quality (Reid and Sanders, 2019). In order to
achieve the specific objective. The major aim is to influence the staff members towards
the objective. It help for increasing productivity and profitability in marketplace.
Difference between manager and leader:
Leaders Managers
 Leaders are mainly persuade the
specific objective developed by
manager.
 Leaders encouraging the employee
towards the organizational goals and
achievements.
 Leader give direction to the entire team.
 Leader play important role for
implementing the innovative idea in
 It mainly set up the specific objective
which help for increase the
organizational profitability in global
marketplace.
 It mainly focused on the business
policies and procedures where how
they can help for increasing
capabilities.
 Manager provide direction to the

business activities. in this way, it help
for improving organizational
capabilities and abilities.
 Leader is mainly focus on the people.
groups.
 Manager always try to create
innovative idea for business expansion.
 Manager is mainly focus on the
particular activities that occurs within
organization.
Table: 1
Nestle company dealing with other coffee industry for improving their quality of product and
services. In this way, they also engaged in the enterprise activities which consists of designing,
manufacture and sales (Nair and Reed‐Tsochas, 2019). The management system of Nestle is
efficient because manager execute a strategies, which help for increasing the productivity and
profitability in global marketplace.
The role of manager in nestle is to establish the standards for performance improvement
in employee work and leaders have an efficient interpersonal skills. It useful for considering the
standards that would be made by managers. In this way, it can be identified the different roles of
leader and manager in the nestle. As a result, it has grown the business at every task.
LO2
P2 Discuss about the role of leader and function of manager apply in the different situational
context.
The role of leader and function of manager will create organizational work in right
direction. In order to achieve the significant goals and objective of organization. It must be
considered the different function of management, traits and leadership style. These are helping
for overall functionality of management system in the organization.
Function of manager and role of leader:
 Planning: It is important function of manager of nestle that will make an effective plan
and set the goals of business (Fisher, Olivares and Staats, 2020). It complies with
increasing overall sales and revenue of organization in global marketplace. The strategic
plan should be prepared by nestle in regards of business goals. Sometimes, it may include

Kaizen which contribute to improve business production process and also increase
efficiency of item.
 Organizing: The manager of nestle will be utilised and organized the essential resources
of organization in proper manner. Leader play important role to allocate resource and
encourage staff member to perform task in better way.
 Directing: In nestle, manager provide the task to be performed by staff members within
nestle while leader play role for creating the team and give direction (Fisher, Olivares and
Staats, 2020).
 Controlling: An effective strategies are formulated by the manager and leader implement
within business operations. It help for increasing performance of employee in order to
achieve their goals and objectives.
Nestle is facing the situation in terms of price, quality materials and equipment all demands
increasing on different phases. At the situation, it is an effective implementation of functional
management and efficient skills of leaders in terms of strategies planning (Metters, Marshall and
Pagell, 2019). This will help to handle any type of challenges in manufacture cost while
increasing sales and revenue of nestle.
There are different type of management theories which implied with leadership skills in the
organization. In this way, it is growing the business while combine with leaders to maintain
manufacture products and their quality.
The contemporary theory is applied within Nestle which deals with situation of increase
price, purchase and production. Manager has planned an effective strategies to maintain the
proper selection of supplier. It help for maintaining price of materials. On the other hand, leader
encourage the staff member to adopt the new technologies.
The contingency theory is mainly focused on the change the business policies, strategies as
per change in situation (de Sousa Jabbour and et.al., 2019). Leader play an important role which
influence to change the operations and meet the challenges prevailing in global marketplace.
During this phase, manger has performed the role to implement theory in the situation of high
manufacture cost and handle accordingly.

P3 Describe the different theories and models of approach, including situational leadership and
system leadership.
The situational leadership is based on the capabilities, skills and knowledge of staff member
where leaders require to motivate towards task completion. It has performed the different
operation management in nestle that can be affected with leadership. Many leaders within
organization is to adopt situational leadership as per requirements. It help for leader to easily
understand the requirement and need in the business expansion. Managers analyse the market an
effective situation and condition (Qi and She, 2019). Afterwards, they make decision which are
undertaken in the organization. The situational leadership can use the market which affects on
the decision in outcome generation.
System leadership can be applied in nestle where leaders are controlling the work of each
employee and also establish the communication to handle the current situation. In case if require
to change in the business operations while implementing an effective strategies (Waleczekvon
den Driesch and Brettel, 2019). In this way, workers can improve their entire business activities
in related to cost or price of manufacture. Many leaders are mainly focused on the result or
outcome rather than operational processes. The theory concern on the results which are being
obtained by different activities. Nestle is the largest manufacture company which consisting
various departments.
Contingent leadership: the leadership style is mainly focused on the situation of manufacture
price increases in nestle. This style is picked up the issue and found the solution by staff
members. The strategy will help for finding the right direction in order to achieve specific
objective and goals (de Sousa Jabbour and et.al., 2019).
Management plays important role in the organization that help for sorting operational issues
and sharing the decision-making activities. In nestle, manager and leaders are combined together
to fulfil the operational task effectively and efficiently. In order to bring motivation among staff
members where they are feeling free to enjoy their work.

LO3
P4 Explain the key approaches to operations management and the role that leaders and managers
play.
Operation management of company basically revolves around theories that includes six
sigma, total quality management, lean manufacturing and Kaizen approach. Various type of roles
leaders and manager play while implementing these methods. It includes the following:
Total Quality management: This process can provide Nestle with long term of success as it
lays emphasis on enhancing and improving various processes related to supply chain and
manufacturing (Ross, 2017). Leader and manager have the role to motivate employees to work
together so to that they can efficiently participate in improving quality of products and services
which can help Nestle in satisfying their consumers. In this leaders will be involved in
eliminating errors that occurs in production as well as process of supply. This can assist them in
filling gaps that existed in their service. It is really necessary for growth of organization.
Kaizen approach: It is basically a concept which connects to all activities of business that
continuously improve all functions and statistical process control. Leader and manager of Nestle
have the role of identifying and analysing solutions to problem which is being faced by supply
chain management of firm (Dahlgaard-Park, Reyes and Chen, 2018). They need to create that
environment so that everyone feels encouraged and motivated to contribute in organization.
Leaders needs to engage in making use of continuous improvement process so that efficiency of
firm can be increased. For this they also need to be creative in Nestle.
Lean manufacturing: It is a method which is used to reduce waste and improve
manufacturing system and process. Leaders and managers of Nestle have the most prominent
role to make effective utilization of resources so that waste can be minimised. This can help firm
in increasing their productivity and operational efficiency. Role of leaders and managers in
company is to create value for consumers by minimising waste. It is really necessary for Nestle
as this will assist them in increasing satisfaction of consumers, it will also help firm to gain trust
of customers. Consumers loyalty can be created by providing them with value of product that
they have purchased.
Six Sigma: It is another approach which can be used by leaders and managers of Nestle un
improvising production process and eliminating waste. It assists organization in making effective

utilization of resources. This method can also be utilised by company to reduce detects which is
coming in process of designing goods. It will assist firm in gaining competitive advantage.
P5. Importance of operation management
Operation management is one of the most important function of organization which helps
them in increasing their efficiency. Like for example making use of six sigma approach can
assist firm in reducing amount of defects which is been faced by firm. Leaders and managers in
this are engaged in solving problems so that overall quality of goods and services provided by
firm gets improved (Psomas and Antony, 2017). This can assist Nestle in increasing their
productivity and also short term as well as long term goals and objectives can be achieved.
Company can also make use of Kaizen approach where leaders and managers of Nestle can
continuously improve products and services that is been produced. This will help them in
attracting more consumers, they will also be able to create consumer loyalty. It will directly
impact profitability of Nestle which can help firm in growing and achieving their goals and
objectives. Nestle can also make use of total quality management that can assist them in
improving quality of products. TQM refers to total quality management of the production
process. It is aimed at ensuring that the quality of the products is achieved. The method involves
implementing proper checks at the production process for the business. It focuses that the waste
produced in the manufacturing process is reduced to the miinimum. The waste reduction will
make the company productive and efficient. Leaders and managers of the company are required
to keep a check on the production process. They ensure that the waste is minimised by using
appropriate strategies and adopting new advanced technology in the production process.
It is also a method focusing on minimizing the waste within the manufacturing processes. It
focuses over the maximising the productivity of business by implementation of steps that will be
helping the company in reducing the costs and expenses. A company is concerned with
maximising the output ensuring that the waste is minimised. Lean manufacturing provides the
process for implementing new policies and strategies

LO4
P6 evaluate the different factors within business environment that impact upon organizational
management and decision making by managers or leaders.
There are various type of factor that impact on the operational management and decision making
of nestle. The factor may be achieving the significant goals and objective. As per changes, it can
be identified the positive as well as negative decision which are being taken by manager or
leaders.
 Resources of business: In nestle, there are lot of resource used in the organization for
business expansion. It mainly includes human resources, manpower and raw materials. It
is an essential for managing and controlling the resources in systematic manner. It also
useful for decision making (de Sousa Jabbour and et.al., 2019). In another way, it will
increase the productivity and performance of staff members that affects decision as well
as operational management.
 Market trends: in marketplace, it always new trends being evaluated so that it require for
identifying demand of people and then do work in particular direction. Nestle always tries
to give better option and they can attract towards new coffee items. The demand of
consumer is higher. In this way, it become easier for business to expand in global
marketplace.
 Financial status: In nestle, the manager and leader to make plan of effective strategies and
implement in business operations. The decision in terms of product price and service
offered to potential consumer and investment may impact on nestle in terms of profit as
well as cash flow (de Sousa Jabbour and et.al., 2019).
 Technological: nowadays, Advance technology has rapidly increasing in global
marketplace. In this way, Nestle adopt modern technology while predicting the changes
in the growth and development. It is helping for manager in decision making related
business improvement.
 Political and legal changes: In nestle, legal decision has taken by manager and leader. It
is based on the policies which being imposed on the organization and impact on the
planning of operational business. However, it can be predicts the future changes while
manager also fulfilling its significant role according to the business resources.

CONCLUSION
From the above study it has been analyzed that leaders and managers of company has acted
according to situation and circumstances which has been faced by firm. They were flexible and
has adjusted in changing environment. This has helped them in achieving goals and objectives.
Leaders have also made use of approaches like Total Quality management. In this they have tried
to improve quality of products so that consumer can be satisfied. This has also assisted them in
enhancing their manufacturing process. Approaches like lean manufacturing has also been used.
This has assisted frim in reducing waste and make effective utilization of resources.

REFERENCES
Books and Journals
Cachon, G.P., Girotra, K. and Netessine, S., 2020. Interesting, Important, and Impactful
Operations Management. Manufacturing & Service Operations Management. 22(1).
pp.214-222.
Dahlgaard-Park, S.M., Reyes, L. and Chen, C.K., 2018. The evolution and convergence of total
quality management and management theories. Total Quality Management & Business
Excellence.29(9-10). pp.1108-1128.
de Sousa Jabbour, A.B.L. and et.al., 2019. Decarbonisation of operations management–looking
back, moving forward: a review and implications for the production research
community. International Journal of Production Research. 57(15-16). pp.4743-4765.
Fisher, M., Olivares, M. and Staats, B.R., 2020. Why empirical research is good for operations
management, and what is good empirical operations management?. Manufacturing &
Service Operations Management.22(1). pp.170-178.
Metters, R., Marshall, D. and Pagell, M., 2019. Cultural Research in the Production and
Operations Management Field. Foundations and Trends® in Technology, Information
and Operations Management. 13(1-2). pp.1-150.
Nasir, A. and Reed‐Tsochas, F., 2019. Revisiting the complex adaptive systems paradigm:
leading perspectives for researching operations and supply chain management
issues. Journal of Operations Management. 65(2). pp.80-92.
Psomas, E. and Antony, J., 2017. Total quality management elements and results in higher
education institutions. Quality Assurance in Education.
Qi, W. and Shen, Z.J.M., 2019. A smart‐city scope of operations management. Production and
Operations Management. 28(2). pp.393-406.
Reid, R.D. and Sanders, N.R., 2019. Operations management: an integrated approach. John
Wiley & Sons.
Ross, J.E., 2017. Total quality management: Text, cases, and readings. Routledge.
Waleczek, P., von den Driesch, T. and Brettel, M., 2019. On the dynamic bundles behind
operations management and research and development. European Management Journal.
37(2). pp.175-187.

1