Leadership and Management Evaluation Report: Sainsbury's Performance

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This report provides a comprehensive analysis of the leadership and management practices within Sainsbury's, a prominent UK-based supermarket chain. The study examines various leadership styles, including transformational, situational, and scientific management, and their impact on the organization's performance. It delves into key performance metrics such as employee turnover, market share, and profitability, evaluating their significance in assessing Sainsbury's success. The report compares and contrasts different leadership theories, using academic models to analyze the effectiveness of leadership and management in relation to Sainsbury's overall performance. It highlights how leaders and managers utilize specific styles to enhance staff productivity, sales, and profitability. The analysis includes an examination of how intellectual stimulation and situational leadership contribute to a productive and positive work environment. The report concludes with an assessment of the overall impact of leadership and management on Sainsbury's competitive position and operational efficiency.
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DEVELOPING LEADERSHIP AND
MANAGEMENT SKILLS
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EXECUTIVE SUMMARY
Leadership & management skills are one of those elements that bring benefits for users
and a company in which a leader and manager work. The current study is based on Sainsbury,
which is one of the most popular brands in the UK. Within organization, by using
transformational, situational and scientific management styles, leaders and managers has
conducted those practices that has increased the performance level of supermarket and motivated
existing as well as new staff members. With the help of different metrics in the sector of
Sainsbury management can make a change in their scale of results and expand their operations.
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Contents
EXECUTIVE SUMMARY.......................................................................................................................2
INTRODUCTION.....................................................................................................................................4
MAIN BODY.............................................................................................................................................4
Analysis and comparison of leadership and management........................................................................4
Key performance metrics of Sainsbury sector.........................................................................................6
Organizational leadership and management performance........................................................................7
CONCLUSION..........................................................................................................................................9
REFERENCES........................................................................................................................................10
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INTRODUCTION
Development of leadership and management skills play vital role in success and growth
of individuals. Each skill enables a person who seek to become a manager or leader, to obtain
positive outcomes by conducting varied practices related to both concepts in effective manner.
leadership skills provide many benefits to leaders in term of retaining skilled and talented
workers as well as encouraging each candidate in influencing manner. The current assignment
will be based on Sainsbury, which falls under list of top FTSE 100 organizations in the world.
While operating under retail industry, it has developed its strong brand image in market which in
return has increased its customer base and popularity in competitive manner. Its management and
leaders provided directions to employees in the context of aim achievements in understanding
way. Organization aim is to offer satisfactory services and products to customers. It seeks to
offer them unique and quality goods at competitive prices across general merchandise, foo,
apparel and financial services. It takes initiatives to increase operational efficiency, which enable
workers to invest more efforts in consumer’s offer in areas that they value. Firm work hard and
conduct varied practices just to increase the satisfactory level of buyers, profitability and
productivity, which is not an easy task for any brand to maximize. It develops many strategies
and use several approaches to overcome key challenges that existed in retail industry and
affected each brand whether it is small or large. The study will explain comparison between
leadership & management, and define key performance metrics of company sector. Furthermore,
it will justify effectiveness of both components on overall venture efficiency. The report will
clarify certain academic model and theory to make a clear comparison between both terms in the
context of chosen supermarket.
MAIN BODY
Analysis and comparison of leadership and management
Transformational Leadership-
This leadership style focuses on identifying and bringing change by leaders with the help
of their teams. They create a vision and inspire people on the basis of it so that they can execute
change. Leaders of Sainsbury are the ones who sets and forms he vision of their company so that
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they can reach that place in future. In order to do that they establish a team so that they can reach
that position. Managers of Sainsbury also plays an important but different role which is to follow
the vision set by leaders and carry the mission, values and goals of organization. Apart from that
they also make sure that employees are working in coordination and on the path that helps to
achieve their goals. Leaders of Sainsbury have great power to inspire people. They guide
managers of Sainsbury has to fulfil the duty of driving their continuous success and make their
experience positive so that they can use it for the benefit of business. Even if leaders are not able
to inspire them managers can play a helpful role here and that is to develop a personal
relationship with them. Leaders of Sainsbury are the ones who follows this style and explore the
market so that they can look for opportunities which can help them to improve. For that they
work on generation of ideas and drive it to shift in the forward direction. Leaders focuses on
what should be done in order to improve more. Leaders have to prepare for change and that is
why they prepare many of their employees through efficient communication. They allow them to
work with different approaches. They look over managers so that they can fulfil the
responsibility that employees are working efficiently as per the idea decided. Manager focuses
on how to get things done. Leaders of Sainsbury is known for their brilliant charisma. Also they
like to work in private. They are convenient with taking risks irrespective of its nature. It is
because of their power of imagination that they are able to do that. They are known and
appreciated for their problem solving skills. Their main focus of area is to solve their goals, keep
the situation under control and operate rationally. Managers of Sainsbury work with a persistent
approach, strong will, analysis and intelligence (Filyasova and Khrebtovich, 2019).
Transactional leadership-
Main focus of this leadership is to develop and set their goals so that they can direct them
in a controllable manner. This theory of leadership and management works best when focus is on
following rules instead of bringing innovation. The strategies used by these form of leaders are
proven effective at time of crisis or with the project that can only move ahead with some unique
processes. Main focus of this form of leadership is to assess and find things to get the task done.
They are known for their strong behavior as because of that they are able to make right amount
of change in directing people and controlling them. This form of leadership and management
believes that in order to keep employees on track it is important that they use tactics such as
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offering them rewards but for some of them only punishments work which is right by the leaders
who follow this style. These leaders do not believe in adapting any change as they will strict to
their same principles and focus on achieving their goals through that. Their method of working is
totally different from transformational leaders.
Scientific Management Theory by Fredrick Taylor
As per the theories given by Sainsbury makes sure that they do not imply similar habits.
Apart from that they need to construct scientific method so that they can find out which
way is the most efficient of all in order to complete the task.
Sainsbury keeps in mind to assign tasks to employees as per their area of interest and as
per the level they can achieve with success. This helps them to make them more efficient
(Karagianni and Jude Montgomery, 2018).
Leaders and managers of Sainsbury keeps a check on their performance and with that
they are available for them at every step so that they can find out methods that proves to
be most efficient for them.
Leaders of Sainsbury makes sure that they allocate the tasks between managers and
employees so that managers can plan and provide training to them and on the basis of that
employees can fulfil their task in the right manner.
Key performance metrics of Sainsbury sector
Employee turnover metric-
It is concerned with retention power of sector and in companies such as Sainsbury people
want jobs on higher positions as they believe that only those position of respect. Otherwise in
junior position the role of job is to work in sales which is not accepted to many people. In order
to evaluate rate of retention. It can be calculated by dividing the number of current employees by
the number of employees at the start of measurement period and that will be multiplied by 100.
The retention rate in Sainsbury is low as not many people wants to work in sales for their whole
life. This helps the company to know about their internal health and if the metrics turn out to be
poor such as in case of Sainsbury they need to make effective changes so that they can improve
it.
Market share-
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With the help of this tool company such as Sainsbury will be able to get insight on the
basis of position of company against their competitors. With the help of this metric and revenue
of sales they will be able to assess both demands that is primary and selective. With the help of
this metric company is able to assess fall, rise and trends in market which can help them to take
away their customers from their competitors (Jamieson and Donald, 2020.).
Profitability- Just like above metrics, management within Sainsbury may also use or consider
profit margin of business as key performance metric, because it enables them to identify how
effectively supermarket has running its venture in retail sector, where more big brands like
Morrison’s, TESCO, etc. has already established their business. It is one of those effective and
easy methods that a manager may utilize to get information about operational efficiency of their
business and success in market (Simonova, 2019). Each metrics provide useful data about
venture progress to them, which is significant to known.
Organizational leadership and management performance
Leaders and managers may perform really quite well within Sainsbury’s when they
utilize specific form of leadership & management styles, which make their performance
appreciable and beneficial for the company as well as workers. For example, transformational
leadership is one of those concepts or theoretical frameworks that may put positive impact on
performance of supermarket, in term of enhancing the productivity of staff members and sales as
well as profitability of its venture, in unpredicted manner. Leader may obtain these benefits by
conducting each practice relate to this concept (Grill and et.al., 2019). According to this theory,
leader may conduct practice to inspire workers that manage with an emphasis on values, mission,
and vision to create meaning or to gain competitive edge and enhance performance level of firm.
This activity may include in category of Maslow’ hierarchy of needs, as it direct a leader to take
initiative to motivate staff by taking part in their daily work, which boost their morale and then
drive attempts to work hard that increase business performance and then productivity as well as
supply chain or distribution speed, which finally help to enhance customers satisfaction and then
profits margin because satisfy buyers do repeat purchase from same company like chosen one
that provide satisfactory services and deliver products as similar extent.
Along with above, leader with transformation leadership style may conduct more practice
into practical manner, which bring a lot and unexpected benefits to business in term of enhancing
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Sainsbury performance. Intellectual stimulation is a practice that relate to the chosen leadership
concept, which drive the efforts of making changes within those ideas or activities that is not
working well and become an older one (Labrague, Nwafor, and Tsaras, 2020). It may encourage
staff to be innovative and do some creativity in term of developing plans related to products or
services that may enhance customer satisfaction and allow to retain with company forever.
Leaders encouragement drive the attention of workers towards creativeness that also support in
impacting company performance in positive manner in term of enabling it to improve seep of
products delivery as compare to other brands like TESCO, ASDA, etc. It gives power to leader
in regard to build productive teams of employees that work even better than year by year and
contribute to improve business performance by making valuable modifications and
improvements in their own, which is the most important thing they may do.
Situational leadership is another concept style that also put positive impact on company
performance, in term of creating productive and happy environment at workplace that allow
workers to work successfully and happily. It also encompasses set of practices that help a leader
to move their employees towards productivity and better performance (Uripan and Suaedi,
2019). Directing is the main practice of this style, through which leader within supermarket may
guide or direct each candidate to perform in current situation with existing structure and changes
that may be beneficial for brand, in term of strengthen its venture in order to give tough
competition to key competitors. Coaching or training is another element of situational leadership
style that leader may utilize to put positive affect on Sainsbury performance in term of increasing
productivity of staffs which in return permit firm to deliver quality products to target customers
on time as it enhances its performance level more than other brands and maximize profitability
as well. By providing training they may improve skills of workers or develop in productive
manner, which is an approach of motivation concept that they may conduct in fair way.
Participating and delegating also affect in similar manner as above practices of situational
leadership style does.
Just like leadership, management through their performance and practices may also drive
the sales of Sainsbury’s which is quite necessary and beneficial for brand in varied terms. For
example, Scientific management theory of Fredrick Taylor may affect positively upon company
in term of increasing its performance, operational efficiency and way it attempts so many
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activities to increase the capability of brand and serve services and delivery goods on time in
market where each customer seek to buy these (Kamal, 2020). According to this framework, a
manager may motivate workers to increase their productivity by conducting practice to appraise
and reward them instead of scolding them. It is the best way to put beneficial impact on business
performance because staff’s motivation plays vital role in success and progress of brand, which
is important for each company to grow. Rewarding is a component of Maslow’s hierarchy of
needs theory, which covers under self-esteem need that allow workers to motivate themselves as
well as other to contribute in change process or other activities of their company that is beneficial
for both of them in term of gaining unpredicted benefits.
CONCLUSION
By summing up above discussion, it has been concluded that leaders and managers by
using effective management and leadership styles has always taken effective initiatives that has
increased the productivity and profitability of organization even better as compare to its key
rivals that has operated in same sector from longer time period. With the help of transformational
leadership and scientific management concepts, they both contributed to achieve strategic goals
and objectives of venture. By transforming ineffective team into effective one, leaders have
successfully gained competitive advantages for company, which is not possible to obtain by any
other firm in market as it requires a lot of hard work and efforts as well as strategic planning
implementation that is quite important and beneficial for a company.
Furthermore, from above report it has been summarized that management has determined
the market share, net profits margin and employee turnover that has provided appropriate
information to them regarding business performance, which is important to determine and
analyze as it enable company to make plan for further initiatives that it will take obtain success
and grow business more than other well reputed brands at national or international level. While
performing with skilled and talented employees, leaders has enhanced their performance and
productivity that have maximized organizational sales as well. By utilizing staff motivation
concept, leader within supermarket has boost the morale and changed the behavior of staff
members that has made them capable to provide expected outcomes of management and other
key stakeholders of brand. All their attempts have created positive working environment for
everyone were they worked from so long since the beginning or establishment of the
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organization. Usage of transformation and situational leadership styles has successfully putted
positive impact on business performance as it helped to build strong workforce at workplace.
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REFERENCES
Book and Journals
Filyasova, Y.A. and Khrebtovich, D.D., 2019. ACADEMIC GROUP MONITOR AT
UNIVERSITY: PRECONDITIONS FOR DEVELOPING MANAGEMENT SKILLS AND
LEADERSHIP QUALITIES. Информация–Коммуникация–Общество, 1, pp.372-377.
Grill, M. and et.al., 2019. The leadership practices of construction site managers and their
influence on occupational safety: an observational study of transformational and
passive/avoidant leadership. Construction management and economics. 37(5). pp.278-293.
Jamieson, M. and Donald, J., 2020. BUILDING THE ENGINEERING MINDSET:
DEVELOPING LEADERSHIP AND MANAGEMENT COMPETENCIES IN THE
ENGINEERING CURRICULUM. Proceedings of the Canadian Engineering Education
Association (CEEA).
Kamal, S., 2020. Importance of Scientific Management in the Modern Management. Black Sea
Journal of Management and Marketing. 1(2). pp.45-53.
Karagianni, D. and Jude Montgomery, A., 2018. Developing leadership skills among adolescents
and young adults: a review of leadership programmes. International Journal of Adolescence and
Youth, 23(1), pp.86-98.
Labrague, L.J., Nwafor, C.E. and Tsaras, K., 2020. Influence of toxic and transformational
leadership practices on nurses' job satisfaction, job stress, absenteeism and turnover intention: A
cross‐sectional study. Journal of Nursing Management. 28(5). pp.1104-1113.
Simonova, S., 2019. THE BASICS OF KEY PERFORMANCE INDICATORS. In RUSSIAN
ECONOMY: GOALS, CHALLENGES AND ACHIEVMENTS (pp. 298-300).
Uripan, K.I. and Suaedi, F., 2019. The effect of situational leadership style on the performance of
sales representatives. Opcion. 35. pp.1504-20.
Online
10 Biggest Companies in the FTSE 100 List in Terms of Market Capitalization. 2021. [Online].
Available Through: < https://www.roinvesting.com/en/indices-articles/ftse-100-list >
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