Business Management Strategies and Leadership at Sainsbury's Report

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This report provides a detailed analysis of Sainsbury's leadership styles, management practices, and business strategies within the context of the competitive retail sector. It begins with an overview of the company, its history, and its position as a leading UK supermarket chain. The report then delves into Sainsbury's vision, leadership approaches, and management strategies, making use of various management theories. It examines how Sainsbury's implements these practices to achieve its vision, including aspects such as synchronized planning, workforce mobility, and employee relations. Furthermore, the report explores the company's strategic alignment, benchmarking, and change management processes. Finally, the report offers recommendations for Sainsbury's, suggesting a shift from autocratic to democratic leadership and emphasizing the importance of creating a positive working environment. The report concludes with an overview of the key findings and insights into Sainsbury's business operations.
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Context of Business
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Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Overview of company.............................................................................................................3
2. Vision, leadership style and management practices and strategies making use of various
theories........................................................................................................................................4
3. Way through which Sainsbury can implemented management practices and strategies for
achievement of its vision.............................................................................................................6
4. Recommendations...................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
.........................................................................................................................................................9
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INTRODUCTION
Today with expansion of business both at national and international level, competition
among organization has been much raised. In order to compete with each other and attain high
sustainability, every company used to frame effective management practices and strategies at
workplace. For implementing such strategies, they also adopt appropriate leadership style so that
company's vision can be accomplished in set period of time (Askariazad and Babakhani, 2015).
This assignment in mainly describing the different leadership style and management practices of
a firm, that used to earn high competitive advantages. For this purpose, Sainsbury is taken that
deals in retail sector of UK and considered as the third largest chain of supermarket. For
achievement of its vision, different ways are also explored in this project by which management
of respective company can implement its policies.
MAIN BODY
1. Overview of company
Sainsbury’s Plc deals in retail sector and one of the leading food retailer supermarket
which was founded in 1869. It is one of the longest standing as well as third largest supermarket
in United Kingdom. It offers fresh variety of foods and packaged groceries like tea and sugar.
Due to top quality of products and services, as per reporting of nationwide surveys of industrial
analysts, this firm has received a tag line- “Quality perfect, prices lower”. Along with this,
Sainsbury has also received top top ratings for its service quality and successful development.
Some other aspects that shows its competitive edge over other retailers in UK market are
profitable pricing, overall financial performance, superior management, effective recruitment and
training procedure and retention of high-calibre employees. This firm has built its brand upon a
heritage related to provide its targeted customers with healthy, fresh and efficient quality of tasty
food. It has near about 1415 stores that serve over 30,000 products to more than 18 million
customers per week. In terms of market share, it attains around 16% including 28.456 billion as
revenue. An internet-based home delivery shopping service is also available to 88 per cent of UK
households (Bargiela-Chiappini and Nickerson, 2014).
At initial stage, Sainsbury was established as a partnership and headquartered in Holborn,
London. But later on in 1977, it has formed a joint venture with British Home Stores and in 1979
with Belgian retailer. In terms of achievement, respective company has begun powering one of
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its stop through conversion of food waste materials into bio methane gas for generating
electricity. This made Sainsbury first retailer that come off the National Grid through own
means. As in retail sector, there is an intense competition that assist companies to develop
effective strategies to gain sustainability. Therefore, to conduct the study in this topic, Sainsbury
seems to be a perfect example that runs its business at domestic level but still give a high
competition to other national and international retailers like- TESCO, ASDA and more. It has a
high pool of talented working staff which includes more than 186, 900 workers (Bell, Bryman
and Harley, 2018). To manage this large workplace, managers of Sainsbury has adopted effective
style of leadership and implemented various management practices to run business effectively.
2. Vision, leadership style and management practices and strategies making use of various
theories
Management is considered as an important function in a company that helps in
transforming input of business into required outcomes. In context with Sainsbury, it plays a vital
role in combining all its merchandising procedures, logistics, coordination as well as cost control
skills to deliver products from production facilities to end customers. For this purpose, it has
implemented various management practices and strategies to run business very well. It includes
engaging workers in operational work, establish reward system, create culture to retain talented
staff members, seek clarity about goals and more (Cheng, Yang and Sheu, 2014). But before
implementing any practices to gain high commitment of workers, it is essential to for managers
of Sainsbury to make clarity about company's goals and vision. In this regard, current vision of
respective company is “To set out 20 sustainability targets which to be achieved till 2020”. These
sustainability targets will address four main key areas- Sustainable and Health Products,
Operational Excellence, Colleagues and Communities. All these can be described as-
Sustainable and Healthy Products- Till 2020, Sainsbury seeks to double its amount of
British food at its retail stores
Operational Excellence - By 2020, the firm will reduce its operational carbon emissions
at least by 30% in absolute manner and 65% in relative terms.
Colleagues- Enhance workplace from 186,900 working staff to near about 20,000 till
2020.
Communities- By 2020, Sainsbury will also create over 50,000 new jobs in UK.
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In order to achieve such vision of Sainsbury, its managers have implemented various
policies and strategies, by offering a variety of products. The management practices and
strategies are required to be applied in business organisation in order to satisfy actual neds, wants
ans demands of customers which facilitate to increase profitability of business respectively.
However, management practices are necessary for managing different aspects of operations and
administration with the help of using more effective as well as efficient strategies to gain better
outcomes (Crane and Matten, 2016). In context of Sainsburry, several management practices are
focussed to be carrying out in operational activities in correct way. Some of the management
practices are explained further –
Synchronized planning – This can be described as to establish an appropriate plan of
action in order to carrying out overall operational tasks in less duration of time with better
quality products. However, it is necessary for team members to work together analysing actual
skills as well as abilities of workers in context of completing particular tasks. In addition to this,
management of Sainsburry focus on synchronised planning in order to allocate tasks according to
field of expertise which facilitate to gain effective performance of employees.
Workforce mobility – The business organisations are required to out efforts for making
their staff members multi tasking in terms of completing tasks of different departments with the
help of acquiring flexible skills and abilities respectively. Sainsburry has a management practice
of providing training to employees of working for different departments to make the flexible for
fulfilling responsibilities of other business sections accurately.
Employees’ relations – The relationship between employees is required to be maintained
positive which facilitate proper cooperation of each other while working in team. It is necessary
for management of organisation to make appropriate policies in order resolve conflicts and
personal issue among staff for avoiding negative impacts on performance (da Cunha Mattos and
et. al., 2014). Sainsburry has efficient rules and norms for avoiding problems between workers to
improve productivity with quality.
There are several management strategies which has been used by Sainsburry in context of
engaging employees in operations for conduct production in proper way. Meanwhile, the given
company focussed more effective as well as efficient strategies in respect of managing required
operational and administrative procedures on regular basis. In addition to this, management
strategies are methods which used to control and direct an organization to attain sets of goals.
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They are, strategies for business execution, leadership and administration. The examples are
given below:
Alignment – Alignment of strategy and goals at organization, individual contributor,
team and department levels. It also avoids the wastage of resources on personal projects which
distract from centre priorities. Sainsburry follow this strategy to avoid wastage of resources and
achieve the goals.
Benchmarking – Benchmarking is comparison of team's efficiency, targets, process to
standard industry results (Jazdi, 2014). Sainsburry use this strategy to maintain standard results
which makes them more famous and popular.
Best practices – This includes processes which are commonly accepted for the best
known solution to common business problems. Sainsburry uses innovative and unique
benchmark which makes it different from the other brands companies.
Capability Management It includes viewing business as set of capabilities.
Capabilities of Sainsburry are such as optimized, identified and benchmarked.
Change management Managing an activity for change requests which allows
alteration to be evaluated, implemented, launched, prioritized and accepted. Sainsburry always
focus on this strategy to implement the brand and launch the products.
The business concern is required to be selected that is more favourable leadership style in
context of nature of business and specific situation to manage overall operation in proper
manner. It is necessary to utilise appropriate leadership style in order to direct efforts of
employees in correct direction and make them convinced to follow instructions of leaders
accurately. However, Sainsburry is using autocratic leadership in order to make employees
properly follow overall orders and instructions of leaders for completing tasks with attaining
better outcomes on regular basis. Meanwhile, this leadership style include the criteria of just
making strategies and place orders to workers for following them in terms of improving quality
for increasing brand image as well as profitability (Jussila, Kärkkäinen and Aramo-Immonen,
2014).
3. Way through which Sainsbury can implemented management practices and strategies for
achievement of its vision
Management practices & strategies are effective for increasing productivity and quality
of products which facilitate to satisfy actual requirements of customer properly. However, it is
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significant to utilise appropriate ways for implementing management practices and strategies in
order to gain better outcomes. In context of Sainsburry, they can utilise several ways for
applying such practices successfully.
Effective communication – This consist to make an effective communication with team
members in order to provide them proper knowledge about specific management practices for
adopting them properly (Sprout and Sprout, 2015). It is necessary for providing them
information about effectiveness and benefits if management strategies along with methods to be
followed for achieving desired profits in Sainsburry.
Accountability – This include to select those employees who work by taking proper
responsibility of particular tasks in remain accountable for further outcomes of the same activity.
Moreover, Sainsburry should determine responsible staff members in order to execute specific
aspects of plan for gaining better results respectively.
Build efficient team – The management practice and strategies can be implemented by
establishing an active team in for ensuring effective adopting of the same. In context of
Sainsburry, they are required to select few of efficient individuals to promote adoption of
particular strategy and make people learn to use the same properly.
Create plan of action – The implementation of management practices and strategies
requires an effective plan of action including several steps which should be followed one by one
in correct sequence (Stieninger and Nedbal, 2014). Additionally, leaders of Sainsburry should
establish an appropriate planning for applying management practices in accurate way for
improving profitability of business respectively.
4. Recommendations
Considering above discussion about Gethsemane and leadership aspects of Sainsburry
along with visions. It has been analysed that they have to apply certain changes in business for
improving productivity with quality. Meanwhile, the given company is using autocratic
leadership style which include that leaders did not take any suggestion from workers and just
give instructions to in order to complete particular tasks till specific deadline of the same. It has
been recommended that Sainsburry should change heir leadership style and adopt democratic
leadership style which is more beneficial for them. However, this style is helpful to gain
suggestion of employees which facilitate to gather number of alternative choices from which
mots suitable and best one idea can be applied for welfare of business. It is suggested to given
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company that they should make peaceful and satisfactory working environment for employees in
order to motivate them for improving regular productivity. It is essential to focus on
organisational culture because it impacts on working atmosphere as well as performance of
people.
CONCLUSION
From the above report, it has been concluded that expanding business is an essential
aspects for further growth and success of an organisation. However, it includes the criteria of
effective strategies like perfect quality at lower prices in order to achieve satisfaction of
customer. In addition to this, it consist management practices & strategies such as synchronized
planning, workforce mobility, employees’ relations, alignment, benchmarking, capability
management, change management and best practices. Moreover, it also involves effective ways
of implementing management practices including effective communication, accountability, build
efficient team and create plan of action.
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REFERENCES
Books and journals
Askariazad, M. H. and Babakhani, N., 2015. An application of European Customer Satisfaction
Index (ECSI) in business to business (B2B) context.Journal of business & industrial
marketing.30(1). pp.17-31.
Bargiela-Chiappini, F. and Nickerson, C. R., 2014.Writing business: Genres, media and
discourses. Routledge.
Bell, E., Bryman, A. and Harley, B., 2018. Business research methods. Oxford university press.
Cheng, C. C., Yang, C. L. and Sheu, C., 2014. The link between eco-innovation and business
performance: a Taiwanese industry context. Journal of Cleaner Production.64. pp.81-
90.
Crane, A. and Matten, D., 2016.Business ethics: Managing corporate citizenship and
sustainability in the age of globalization. Oxford University Press.
da Cunha Mattos, T. and et. al., 2014. A formal representation for context-aware business
processes. Computers in Industry.65(8). pp.1193-1214.
Jazdi, N., 2014, May. Cyber physical systems in the context of Industry 4.0. In 2014 IEEE
international conference on automation, quality and testing, robotics (pp. 1-4). IEEE.
Jussila, J. J., Kärkkäinen, H. and Aramo-Immonen, H., 2014. Social media utilization in
business-to-business relationships of technology industry firms. Computers in Human
Behavior.30. pp.606-613.
Sprout, H. and Sprout, M., 2015.The context of environmental politics: unfinished business for
America's third century. University Press of Kentucky.
Stieninger, M. and Nedbal, D., 2014. Characteristics of cloud computing in the business context:
A systematic literature review. Global Journal of Flexible Systems Management.15(1).
pp.59-68.
Online
Sainsbury's Launches 20 by 20 Sustainability Plan. 2019. [Online]. Available
through:<https://www.fcrn.org.uk/research-library/sainsburys-launches-20-20-
sustainability-plan>.
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