An Analysis of Leadership and Management in Operations: Shiseido Ltd.

This report delves into the intricacies of leadership and management within the operations of Shiseido Ltd., a multinational personal care company. It examines the roles and characteristics of leaders and managers, exploring situational, system, and contingency leadership theories. The report analyzes the application of these theories in scenarios such as new product launches and crisis management, highlighting the importance of effective leadership in decision-making and operational efficiency. Furthermore, it investigates the factors within the business environment that influence operational management and decision-making processes. The report provides a comprehensive overview of leadership and management practices, emphasizing their impact on organizational success and growth, with specific examples from Shiseido Ltd.

MANAGEMENT AND
OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1 ...........................................................................................................................................3
P1 Roles and characteristics of a leader and manager............................................................3
TASK 2............................................................................................................................................6
P2 Role of leader and various role of manager in situations..................................................6
P3 Apply different theories and models of approach which includes situational leadership,
system leadership and contingency........................................................................................8
TASK 3............................................................................................................................................9
P4 Role of a leader and a manager in operations management & its key approaches:..........9
TASK 4 .........................................................................................................................................12
P6 Examine the factors in business environment that affects operational management &
decision making....................................................................................................................12
CONCLUSION..............................................................................................................................14
REFERENCES .............................................................................................................................15

INTRODUCTION
Operations management refers to the process of managing operational activities of an
organisation in order to attain efficiency in it's workings. It is dedicated in providing effective
distribution of goods and services to their customers, so that a good reputation is formed in
minds of customers towards companies brand. In this report, Shiseido Ltd. is been taken into
consideration. It is a Japanese based multinational company which deals in personal care
products. The company was founded in 1872 by Arinobu Fukuhara and has it's headquarter in
Tokyo, Japan.(Shevchenko and et.al., 2018) This study will tell about different roles and
functions of a leader as well as manager, under various dimensions of a company. To add with
this report aims at highlighting importance of management in success of business plans and also
enhances the growth opportunities for an organisation.
MAIN BODY
TASK 1
P1 Roles and characteristics of a leader and manager
Background of the company: Shiseido Ltd. is a multinational company which deals in
product like hair care, skin care, fragrance and cosmetics products. It came into existence in 1872
and is oldest dealing company in cosmetic products. Founder of company, Arinobu Fukuhara
signed companies incorporation initially with name of Shiseido Pharmacy in 1872. After his visit
to US and Europe, fountain soda was added to outlet, which later became famous with name of
Shiseido restaurant and resulted in first appearance of product with name of ice cream in Japan.
In 1913 Arinobu's son Shinzo was given command of operational activities of the workforce.
After his business tour to Europe, it was acknowledged by him that advertisement plays an
important role in boosting up of sales. As a result management of company was instructed to

invest resources in advertisement of companies product on a large scale, which proved to be a
good decision for companies career and resulted in increment of it's turnover.
Roles and characteristics of a leader
Leader: They are the one who are responsible to provide enough motivations,
encouragement and inspire employees working in an organisation to direct their efforts for
completion of organisational goals and objectives.
Theory of leadership
Situational Theory: This theory suggests effective working of a leader of a business
firm as per various business situations. It relates to flexibility of plans formed in an organisation
to tackler various dynamic forces of workforce. In 1916, leaders of Shiseido Ltd. adopted
innovative technique and offered female beauty for more western ideals of beauty. With needful
modification in their planning structure they were able to capture trending needs of people and as
a result had highest sales reported in that year.
Role of a Leader
Organisation Representative: A leader acts as representative in various seminars,
conferences, meetings etc. for a company. In context to Shiseido Ltd., it can be said that
company leaders provides enough motivation to their employees and also posses the quality of
confidence and good communication to represent their organisation on a public platform in best
possible way. Leaders of Shiseido Ltd. who are Masahiko Uotani (President and CEO) and
Yukari Suzuki (CEO) represented the organisation on various stages that helped in boosting up
companies sales. While on introduction of new product or services in market this help to gain
attention and customer for respected product (Zafar and et. al., 2018).
Decision Maker: A leader of a firm is also a decision maker for it's management. It takes
necessary decisions about companies key policies and strategies by conduction of general
meeting wherein everyone gets equal chance to express their view points. With regards to
Shiseido Ltd., leaders of company adopts innovative approaches to conduct business activities
and every employee is free to express their respective view point in decision making process of
an organisation. All the key decisions regarding sales and production activities are formed by

Masahiko Uotani. Proper chain of command is been followed in an organisation which moulds
efforts produced in a firm towards it's success in organisational goals. This help in development
of new strategies and new plan for new product development.
Characteristics of a Leader
Courage: It speaks about ability of an individual to take courageous decisions with
regards to companies business activities. As a workforce has to deal with dynamic business
environment, sometimes due to changes in government policies can create a loophole in working
of an organisation. Leader of a firm should take necessary decisions to promote effective
working of an organisation.
Delegation of Authority: It counts to one of the important trait of a leader. It is known
that a person can't be perfect in every areas of it's working, so sometimes it becomes important
for a leader to delegate it's authority in order to exchange benefits of effective utilisation of
resources.
Role and characteristics of a manager
Manager: They are the person working in an organisation responsible for managing the
activities of a business firm. An organisation is separated on the basis of work in various
departments, managers helps in establishment of proper coordination between various
departments of the workforce.
Tylor's theory
Taylor's management theory can gain it's importance for carrying business activities in
modern times. It helps the management of a firm to perform it's operational business actvities
effectively. It is been fluked that old theories should not be taken into consideration for a
business to to perform in modern environment, nevertheless with needful modification as per
current trends in market needs it proves to be very helpful for a firm. With context to Shiseido
Ltd. It helps in process of planning and organising various activities of the firm and controls as
well as implement various functiosns of management.
Role of a Manager
Establishing coordination in an organisation: One of the most important role of a
manager is to establish coordination between various departments in an organisation. In relation
with Shiseido Ltd., managers of the company takes various decisions in order to maintain

coordination between it's departments. The policies of an organisation are made flexible enough
to deal with external changes in a business environment.
Resource Allocation: Manager helps in gathering up of appropriate resources to an
organisation and takes necessary steps for their proper utilisation (Wei, 2018). It is duty of a
manager to allocate resources in right directions in order to get maximum output. The policies of
Shiseido Ltd., are made flexible enough by their managers and company have enough resources
to deal changing business environment.
Characteristics of a Manager
Good listener: A manager of an organisation posses with a quality of a good listener. It
is important for a manager to give equal opportunities to it's employees to express their view
points in order to make effective decisions towards betterment of a business organisation.
Good Communication: A manager of an organisation inherit the quality of a good
communicator. It is important for a manager to convey their thoughts and plans to it's employees
in effective manner to avoid any miscommunications in an organisation.
TASK 2
P2 Role of leader and various role of manager in situations
In every organisation, there are number of conflict which is generally arises and create a
unpredictable situational in front of leader and manager. These type of condition is arises in
Shiseido Ltd which show the various role and responsibilities of a leader and manager which
perform various functions which is associated with number of situations. Situation which may
include number of variable, such as followers attributes, leader-follower relationship and
external factor such as various loop of time pressure and also the nature of work to be done.
Effective leadership is ultimate happen when the situation and leader are matched together.
New product launch: The manager play very vital role in organisation in which
identifies new skin product and perfume to launch in various marketplace. For the head of
Shiseido Ltd is formulate decision regards with developing new product which is based on skin
related and cosmetic to hold and capture market and customer's (Schermerhorn and et.al., 2020)
(Shevchenko and et.al., 2018). This help the organisation to achieve their target and perform well
in market and enhance productivity. In this manager and role of a leader play major orientation
in this situation. In this while introducing new product events take long time then the time

pressure is act as situation in which leader must manage the time by sorting unnecessary events.
Which is discussed below:
Role of leader in organisation: In various situation, the delineate leader must take a
group meeting about new product which is going to launch. Leader take step in this to share
product information to employee. Moreover, it is very primary task for leader to clear the doubts
which is related with product. Whereas, the role of leader is conduct seminar and conferences to
just show the mission and vision of development of new product. This help to motivate employee
for new product. This also help to gain attention of customer towards the new product.
In addition, a leader helps to provide information to staff and other member and motivate
them to complete objective which is set by organisation. Employee must develop their thinking a
such a way for new product which create positive environment. As per this Shiseido Ltd leader
play the same role to accomplished goals of firm.
Function of manager in an organisation: A role of manager in organisation is vital and
necessary for growth of new product or rather new plan which prepared or implemented by
enterprise. Overall, manager formulate strategies which associated in launching new product in
market with effective way (Fleer and Stenzel., 2016). In aspect of this, the main role of manager
is to establish zone of positivity with help of right people as per the skill and their knowledge. It
is very crucial which show the reliability of manager. According to set of standard it is clear
about objectives. In number of situation it may variable or depend situation like time pressure
and work load, manager must be manage work according to potential of employee.
Crisis management: It is defined as crisis is arises in term of various functions which
create an impact on society. There are number of conditions which is faced recession and loss
with financial amount by Shiseido Ltd. This affect the productivity as well as profitability of
selected firm which on further decline the performance and share of company. As per this leader
make an innovative step to reduce the crises because this can affect the various function of
organisation. Leader deal with this situation with their team support.
Role of leader: In this conditions, the role of leader is to motivate team member in such
away which help to develop good relation between them. This help to organisation to provide
proper manner of role and responsibilities for product or services (Ruiming, 2019).

Function of manager: There are various function which is going in organisation, in all
which are show as any internal issue or problem faced by employee then it must be communicate
to leaders.
P3 Apply different theories and models of approach which includes situational leadership,
system leadership and contingency
Operation management is a wide concept and that considered numerous factors for involving
business which is task related as well as to increase the effectiveness and efficiency of company
by involving performance and productivity. With relevance to this, leaders play an important role
for effectively implementing various operational management techniques and other theories. For
this, there are many theories that are related with the leadership concept & prominently adhere
operational management practices. Some of the theories are as follows:
Situational leadership theory:
It is considered as an effective way for effective directing to staff members and that relies
on various situation and surrounded components. With relevance to this, a heresy- Blanchard
leadership theory is there and according to this, leaders can adopt their own leadership style on
the basis of skills and capabilities of workers. It is considered as flexible style as it is formulated
to enhance significant potentials of workforce as well as indices power of company for attaining
prominent goal. Moreover, as per this theory, there are primary four leadership styles, opted by
leaders of Shiseido, on the basis of flexibility situations. These are mentioned below:
Telling & directing: This represent the effective support and guidance of workers for
performing task under supervision of leader. Chosen company opt this style by considered that
new joiners will able to understand all these thing that are expected from them.
Selling and coaching: In this leaders of company seeks to form new path and direction
for the personal so that they will able to perform their task effectively. Leaders of company
wants to influence workers related with proper involvement for operations in Shiseido, by
effectively adhering prominent style.
Participating and supporting: This represent the minimum direction and high decision
making obligations that are allocated to workers by addressing their competencies. When entities
of Shiseido, are properly aware about abilities and skills then only they opt this style (Ravinder
and Kollikkathara, 2017).

Delegating: It represents that effective delegation role and task to employees within
company. Such type of leadership style is rarely adopted by Shiseido, as it considered the
managerial action & hierarchy as it wont permits to perform various activities.
System approach:
According to this method respective company's leaders and mangers develops positive
situation so that workers will feel motivated and encouraged and that affects their performance.
In this methods various management function are included like motivation, planning,
relationship building etc. the strength of their significant approach that is feel by selected
company is they are able to attain their goal successfully. It also aids in concentrating on
operation appropriately. On the other hand weakness related with this is it required lot of time.
Contingency approach :
Accordingly, the success of business is not only relies to this factor but it includes
two other factor i.e. situation and skill and that needs to considered by the companies.
Managerial function involves in this approach ate directing, teamwork, motivating etc. strength
of this style is that in new product development and critical management does not involve all
staff's and weakness is that it is not right for regular charging condition like critical management.
TASK 3
P4 Role of a leader and a manager in operations management & its key approaches:
Every organisation has multiple business operations carried on according to different
tasks for attainment of desired goals and objectives. Operations management therefore is a
process of successfully achieving these goals by activities conducted in firm. In relevance with
Shiseido, one of the famous beauty giant companies, production of quality and luxury beauty
products is done with the help of several key operations and functions discussed below:
Inventory management and logistics: As per demand of products supply of products is
made to consumers market. This requirement can be fulfilled easily on time to customers if
products are pre-stored with safety in advance for quick availability of goods (Misra, Ravinder
and Peterson,2016).Shiseido, makes sure management is able to maintain beauty products stock
by use of proper inventory management in a proper way. The organisation maintains inventory
through advance inventory and logistic management software, focus of employees and finished
quantity demanded products.

Here leader's role of chosen enterprise is ensuring systematic availability of beauty and
luxury products. Also manager direct the employees to stay motivated by giving them
responsibilities ensuring on time customer satisfaction. Another operational function of leader
here is to establish good contact with both their senior managers and employees at different
locations.
Finished products transformation from raw material: As per customer needs &
wants, beauty products are designed and developed in this operational function. Key inputs
required for transforming operations are employee engagement, parts of skin care product
resources etc. Leader-manager role in this operation function is designing of strategies that may
help them train as well as motivate staff members of the chosen company (Magon and et.al.,
2018).Moreover, manager ensures proper production with best quality products being produced
effectively. Shiseido does prior checking of its skin care beauty products before distributing them
to selling outlet locations. This function is performed to ensure quality of product is not
compromised during the raw material to finished good product.
For proper implementation of above functions, operational approaches are adopted by selected
company mentioned in below points:
Six sigma approach: Six sigma explains the various tools to examine company
performances such as maps value streaming, construction of Pareto charts, cause and effect
determination etc. for better quality management.
This process of operational management focusses mainly on quality of beauty care products.
Every project under this approach carried on by Shiseido has its defined steps sequences with
appropriate financial targets. These targets may be in form of potential defect calculations, ratios,
or trending charts etc.
Lean production: The approach mainly lays emphasis on efficient product of products
without compromising its actual quality. Thus approach helps in improving quality of products at
cheapest cost deals. There are several ways such as removal of unnecessary disposal and getting
feedbacks from both customers and suppliers.
Therefore, Shiseido may adopt this approach to eliminate waste goods during the
production process of beauty skin products. This minimization of waste can be done by
controlling uneven workloads and overburdening expenditures (Lovan, Murray and Shaffer,
eds., 2017).

Total quality management- This approach focusses on eliminating errors of
manufacturing and distribution channels of company resulting in better customer experiences in
future. This is done by organizing training and enhancement programs for fastening employees
performance in maintaining quality of their goods and services.
Shiseido has utilized this approach to motivate company employees in developing best quality
products. Manager and leader role here is to examine weather products developed are as per the
beauty standards or not.
Just in time approach: This method approach is used to raise the efficiency level of
goods production and manufacturing whenever needed on time. This helps organisation use
minimum resources with maximum output resulting in reduced cost of stocks.
P5 Value & importance of operations management for accomplishing business objectives
Efficiency and effectiveness in business operations conducted in chosen company is
determined by operation management. In this management, profitability ratio of respective
company is enhanced for proper conversion of material or labour into finished goods and
services. Some importances adding value to the chosen enterprise are discussed as:
Good product quality maintenance: This operation is important for chosen enterprise
as consumers are very choosy and sensitive towards their skin care products. There good quality
feature adds value to business success as fulfilled customer requirements result in rise of market
value,sales, profit and goodwill of firm. Good quality is valuable as it help satisfy consumers at a
greater extent and also retain them for future.
Customer demand fulfilment: In this function management and leadership roles are
undertaken to know demand of customer requirement and situation (Leiras and et.al.,2019). Also
behavioural approach of management play a significant role for chosen company making
employees more productive. The selected company usually design projects fro attracting
maximum leads through social media campaigns, giveaways for customer active participation,
advertisement and promotional projects containing beneficial information of skin care and
beauty products.
Improved production: Improvement in production process leads to less wastage and
more profits with minimum errors of production. Shiseido use situational leadership for
employees to make employees more product-oriented for better finished production. Also the
company undergoes various ways of rise in productivity that consist of reviewing existing

workflow, up gradation of technology, organizing workspace and educating employees. At last
the organisation mainly focusses on optimal maintained of inventory resources.
Minimum operational costs: Operational management signifies this as an essential
element of producing any product because it gives a clear view of demand and capacity of
production of a particular good or service. The chosen organisation use management techniques
for employees so that they use resources efficiently and focus on quality production. Minimum
expenses and better output results in profitability of firm.
A leader and manager of Shiseido meet its organisation's objectives and goals with
enhanced operational management approaches and functions. Manager of the company provide
proper guidelines in production of skin care quality products. These include training and
education to employees utilizing resource's with minimum wastage and producing quality
products within range.
TASK 4
P6 Examine the factors in business environment that affects operational management & decision
making.
In a company there are various factors of external environment that hamper the overall
performance of company along with management. So it become vital to formulate proper
strategies and plan for the successful execution of business operations. Explantation of different
external business environmental factors with relevance to Shiseido firm are mentioned below:
Corporate social responsibility: It is considered as an activity that is carried out with the
aim of development for society as well as environmental development. Presently it is vital for
firms to carry out CSR activities on the basis of profit margin ratio as it aids in development of
society. During organisation of CSR activities ,angers and leaders of company pays essential role
as they plan and make sure that implementation of activities will carried out in effective & right
manner. With relevance to Shiseido, their mangers and leaders are accountable for devising the
decision making process with regards to CSR(Huber, 2017).
For instance mangers of company carried out market research about CSR activities in
efficient manger for the well development of society afterwards, leaders makes plan and make
sure that execution will be done in right manner. CSR activities conducted by significant
company provides benefits to both company as their good will in market get enhanced and to