Sainsbury's Leadership and Management Analysis: A Report

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Management operation
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Table of Contents
INTRODUCTION...........................................................................................................................................3
INTRODUCTION OF ORGANIZATION AND ITS STRUCTURE..........................................................................4
ORGANIZATION INTRODUCTION.............................................................................................................4
MANAGEMENT STRUCTURE OF ORGANIZATION.....................................................................................5
DEFINE MANAGER AND LEADER..................................................................................................................7
THEORY OF MANAGEMENT BY HENRI FAYOL..........................................................................................9
THEORY BY CHAOS.....................................................................................................................................10
MANAGEMENT BY OBJECTIVES (MBO)......................................................................................................10
IMPECT OF MANAGERS AND LEADERS......................................................................................................12
CONCLUSION.............................................................................................................................................14
REFERENCES..............................................................................................................................................15
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INTRODUCTION
This report is prepared to analyze the roles of leaders and managers for the chosen
organization and suggest effective measures for further improvement in business operations.it
covers the organization structure of Sainsbury. The roles and characteristics of leaders and
managers are discussed with the application of different theories for the different situation at
Sainsbury. Chaos theory and management by objectives applies in the perspective of Sainsbury
and how these will support the growth and performance sustainability and at last the impact of
leaders and managers on the organization and recommendation for future improvement also
provides.
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INTRODUCTION OF ORGANIZATION AND ITS STRUCTURE
ORGANIZATION INTRODUCTION
Sainsbury is the 3rd biggest chain of superstores in the UK. It shares 16.9% of the share of the
total of supermarkets. It is established by ‘Mr. John James Sainsbury’ in 1969 in London and at
starting, it was a small grocery store that becomes the largest grocery store in London in 1922.
Tesco surpassed Sainsbury in 1995 and became the leader of market while Asda became the 2nd
largest in 2003, reducing the Sainsbury at 3rd place, for most of the period Sainsbury was on 3rd
place. In 2014 Sainsbury recovered to its 2nd place (Test, 2017). In 2019 Sainsbury again reduced
to the 3rd place. The company J Sainsbury plc, distributed into three partitions; Sainsbury’s
Bank, Sainsbury’s Supermarket Ltd, Sainsbury Argos (Test, 2017).
Sainsbury is one of the primary retailers of UK across foodstuff, clothing, financial services and
general merchandise, Sainsbury has many responsibilities towards their customers,
communities, colleagues and plant. For achieving the goals, the principal vision of Sainsbury’s is,
it wants to be a retailer so that people can trust them and love to shop from Sainsbury and may
work there. They do this by providing the best services at an affordable cost to the customer
and provide the best experience of shopping. They provide good quality of food for the
customer to live healthily (Test, 2017).
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MANAGEMENT STRUCTURE OF ORGANIZATION
Sainsbury follows a hierarchical structure of management. Here is a series of people of different
level and the topmost level controls all other levels (Slinger and Morrison, 2014).
Figure: Organization structure of Sainsbury.
(Source: Slinger and Morrison, 2014)
From the figure, it shows that the manager at the lower level is the responsibility of the above
level manager. For example, like the HR manager, IT developer all the responsibility of Chief
Financial Officer, while the Chief Executive is responsible for CFO as shown in the diagram
above (Slinger and Morrison, 2014).
In Sainsbury, the chairmen of the board are Martin Scicluna. All members of the board are
responsible for making groups’ for strategy the goes long. They look for the best delivery to the
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colleagues, shareholders, stakeholders and customers according to the promise (Slinger and
Morrison, 2014).
Mike Coupe, the CEO of the Sainsbury, who focuses on the daily management of group and
strategy and the executive role, is decided by the board.
John Rogers is the Chairmen of Sainsbury’s Argos and Roger Davis is the CEO of the Sainsbury’s
Bank Board. Peter Griffiths, OBE is the Chief Executive officer of the Sainsbury’s Bank. Michael
Larkin is the CFO of Sainsbury (Slinger and Morrison,2014).
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DEFINE MANAGER AND LEADER
Manager is a person whose job is to manage the activities of the organization. The manager is
answerable for organization activity management (Joo et al., 2012). A manager can be a Bank
manager, Area manager, Staff manager, Store manager, Production manager, HR manager or
Project manager. Managers manage the department or the member below them (Joo et al.,
2012).
Different Roles of manager
 The primary role of a manager is confirmed the daily functioning of the group or a
department.
 The manager takes the interview to hire new employees and provide training to them.
 Manager set goals for the company's success (Joo et al., 2012).
 Managers motivate their employees, which create a positive environment for
employees to work efficiently.
 To encourage employees, managers evaluate employees’ performance and reward
them for their work (Joo et al., 2012).
A leader is a person who motivated others to achieve the goal, the leader inspires their
member to work best to reach the goal. A leader can be a head person, the principle of an
education organization, CEO of the company, prime minister of the country or simply a leader
of the team in any organization (Abu-Saifan, 2012).
The main roles of the leader in any organization
 The leader should have a vision that he shares with others. The leader inspires others
and directs the team to make effort and dedication to achieve that common goal (Abu-
Saifan, 2012).
 Leader helps the team member so that they feel supported.
 A leader is able to create a positive environment that encourages members of the team
towards developing new skills (Abu-Saifan, 2012).
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Dissimilarities of leadership and management
1. Leadership is the process of encouraging people towards achieving some specified goal.
While Management refers to organize activities of any organization or company.
2. Leadership is the talent to influence people while management is the talent of the ruling
(McCleskey, 2014).
3. Leadership needs to gain the trust of the supporters of his leader. Management requires
control of the manager over the minions.
4. In Leadership, strategies and principles are implemented while in the process of
management procedures and policies are established (McCleskey, 2014).
5. Leadership requires long term vision for future goal while management has a short
range vision.
6. Leadership is practical by nature while management’s nature is reactive.
7. Leadership makes changes while management takes stability (McCleskey, 2014).
8. Management and leadership both are inspirable and features of the manager need the
leadership skills.
9. There is only one manager in the department and many leaders who work with the
members of their team and assisting them for goal accomplishment (McCleskey, 2014).
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THEORY OF MANAGEMENT BY HENRI FAYOL
There are different role of management and leadership in a various situation in the organization
(Schimmoeller, 2012). According to the management theory of Henri Fayol, there are five ways
in order to manage the working of an organization
Figure: Theory of management by Henri Fayol
(Source: Schimmoeller, 2012)
Planning - It is a significant function of the management. Manager of Sainsbury required
making a plan and development the strategies to accomplish the advantages in the UK.
Leadership is required to set goals and communicate with employees to integrate their effort in
order to achieve the objectives in a given time (Schimmoeller, 2012).
Organizing – the manager should organize the resources for the Sainsbury in an effective
manner so that the productivity of the organization can improve in all manners (Schimmoeller,
2012). A leader should also make all the necessary resources that come together at the time of
production.
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Commanding – management in the Sainsbury must direct and command the team to work
effectively and leadership also required to influence the employees of Sainsbury to act in the
way to achieve the goal (Schimmoeller, 2012).
Coordinating –The manager should work with the members together in a cooperative manner
so that they feel supported and leadership required that to help employees and make their
doubt clear, coordinate with them to take best from them for Sainsbury’s growth (Peaucelle,
2015).
Controlling – The final activity of management at Sainsbury is that manager controls the
operations by making strategies evaluate that everyone follows management’s strategy in the
given manner (Peaucelle, 2015). The actual result will need to compare the planned result. The
leader guides the employees in order to give correctly the deviation.
THEORY BY CHAOS – chaos theory is a principle that describes the unpredictability of the
system. It is advised that management should more concern on the initiative, adaptability and
entrepreneurial ingenuity to deal with the unpredictable future (Speakman and Sharpley,
2012). To recognize the significance of chaos theory to Sainsbury needs to theorize the
organizations as a dynamic, complex, non-linear system. Firms cooperate with the other
performers in the same environment, like labor, customers, government and financial groups
(Speakman and Sharpley, 2012). Managers should operate from the mindset that their
organizations already exist within a chaotic system. Open system theory that taught the
mangers, that their organization exists within a greater system that exercises the influences in
the business, from them, some are good and many are bad. Chaos theory argued that
organization exists in the have these characteristics, sensitivity to change the condition that
organization exists in condition and incapacity on some part of the organization to set long-
term predictions (Speakman and Sharpley, 2012).
MANAGEMENT BY OBJECTIVES (MBO)
Management by objectives is performance management method which uses to find the balance
the objectives of the employees and the objectives of the organization (Jones, 2013).
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Peter Drucker established five stages to put MBO into practice:
Figure: Management by objectives (MBO)
(Source: Jones, 2013)
1. Determine the objectives from organization – considered objectives of Sainsbury are
the initial point of MBO. These objectives are determined from the mission and vision of
Sainsbury (Jones, 2013). For going to the next step it is necessary to formulate these
objectives at Sainsbury.
2. Determine the objectives for employees– For making the objectives of Sainsbury wide;
it is necessary to transmit them to employees (Jones, 2013). It is the agreement of
objectives between the organization and employees, management cannot regulate the
objects by their selves. According to MBO principal objectives must be detectable at all
the levels and everybody must know about their roles and concern for this (Jones,
2013).
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3. Encourage the contribution of employees - By following the instructions of executives
and managers, everyone in MBO method, will understand clearly, what is expected from
them (Goodwin and Wright, 2014). By enlarging the responsible decision-making
process in the organization, employees get motivated to resolve their problems, which
they are facing, in an intellectual method and they are having the information they
require after that, they will be stretchy in the changing conditions in Sainsbury (Goodwin
and Wright, 2014).
4. Observing of progress – monitoring of objects are necessary so that large problem can
be prevented before occurring. It is also important so that objectives don't cause
abnormal behaviour of employees. MBO is about the development and growth of
employees (Goodwin and Wright, 2014). In Sainsbury creation of clear track with
appropriate estimate moments, so the development and growth monitored accurately.
5. Calculation of incentive successes – MBO is designed to improve all level performance
in the organization. A wide-ranging evaluation system is essential in the organization. At
Sainsbury employees are estimated and rewarded for the achievement with regarding
the objectives and goals have been set. Accurate feedback also includes in that
(Goodwin and Wright, 2014).
IMPECT OF MANAGERS AND LEADERS
Managers and leaders play a most significant role in organization performance. Managers of
Sainsbury have a direct impact on employees (Stacey, 2012). Managers fixed the goal for
groups and achieved success in implementation. Leaders motivate the employee to take the
best talent from them. Culture of the Sainsbury manages by the leaders and managers, as they
are well organized, punctual, smart working person, employees get inspire from them (Stacey,
2012). The environment is also depending upon the managers and leaders because they
provide full support to Sainsbury’s employee, this makes people love work there. The
techniques Sainsbury’s manager and leader used, people attract towards the Sainsbury’s store
(Stacey, 2012).
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