Contents

Introduction ................................................................................................................ 3

Task 1 Differentiate between the role of a leader and the function of a manager. ..... 4

Task 2 Apply the role of a leader and the function of a manager in given contexts. . 15

M2 Assess the strengths and weaknesses of different approaches to situations

within the work environment. .................................................................................... 30

D1............................................................................................................................. 35

in given contexts. ..................................................................................................... 35

Task 3 first explain the approach of total quality management (TQM) and its
principles & the role that leaders and managers play in this approach .................... 38

P4 ............................................................................................................................. 38

P5: Explain the importance and value of operations management in achieving

business objectives? ................................................................................................ 45

M3 Evaluate how leaders and managers can improve efficiencies of operational

management to successfully meet business objectives. .......................................... 48

Task 4 Assess the factors within the business environment that impact upon
operational management and decision-making by leaders and managers............... 55

P6 Assess the factors within the business environment that impact upon operational
management and decision-making by leaders and managers. ................................ 55

M4 Analyse how these different factors affect the business environment and wider
community. ............................................................................................................... 62

D2 Critically evaluate application of operations management and factors that impact

on the wider business environment. ......................................................................... 64

Conclusion ............................................................................................................... 69

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References ............................................................................................................... 70

2
Introduction

Leadership and management is a very vital component in the business organization

as it helps in utilizing the resources of the organization to achieve the goals and
objectives by applying various strategies and models. This report aims to evaluate
the various types of leadership and management skills which are practiced in the
organization and attempt to evaluate their respective strengths and weaknesses and
the operational and managerial requirements vary organization to organization
depending on the situation of the organization and the style of leadership and
management.

3
Task 1 Differentiate between the role of a leader and the function of a manager.

P1: Define and compare the different roles and characteristics of a leader and a
manager?

Leadership and management are key aspects of any organization. Leadeship is

defined as the ability of an individual or an organisation to lead a group of individuals
to a common goal or objectives by developing a clear vision and conveying the same
to the members of the organization. It also ensures that a proper balance is created
and maintained amongst the responsibilities of the members of the group in
achieving an agreed goal and objective.

Management is defined as the act of organizing and co-ordinating the entire activities
of an organization to achieve its goals, objectives, mission and vision set by the
leadership, within a given span of time. It is ensured that the resources of the
organizations are operate in a very profitable manner and that is achieved by
focusing on tangible and in-tangible resource and their contributions in the
productivity and performance of the organization.

Leadership and management are two different concepts. The difference of roles and
qualities of a leader and manager are as follows:

Leader Manager

A leader is innovative in nature. A manager is administrative in nature.

A leader helps in developing A manager helps in maintaining

A leader focuses on the people. A manager focuses on systems and

structures.

A leader inspires trust. A manager relies on control

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A leader possesses a long term A manager possesses a short term view.
prospective.

A leaders eye focuses on the horizon of A managers eye focuses on the bottom
the task. line of the task.

A leader is originated in nature. A manager is imitative in nature.

A leader challenges the status quo. A manager accepts the status quo

A leader does the right thing. A manager does things right.

A leader is unique in nature and always A manager is command oriented in

presents their actual image. nature and always presents the
organizations image as their own image.

A leader generally asks why and what A manager generally asks when and how
regarding a task. regarding a task.

A leader is original in nature. A manager is a copy by nature.

The various leadership functions are as follows:

Setting goals- This is the primary function of a leader to lay goal and objectives for
his team members in order to achieve a task.

Organizing- This is an important leadership functions as it helps organizing activities

of the tasks and resources for the task and make it available to the right members.

Initiating action- In this function of the leadership the leader is able to take right
actions or decisions for a task without depending on anyone.

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Co-ordinating- In this function of the leadership the leader reconciles the interests of
the team members of the group with that of the organization.

Direction and motivation- In this function of the leadership the leaders gets involved
in directing the team to perform the assignemd tasks and continuously motivate the
members to perform the tasks.

Link between management and workers- This is the most important role of a leader
as he acts as a platform between the higher management and the workers in
conveying a particular task or information.

Accustomed to change- A leader must be always accustomed to change and must

adapt to any conditions which appears before him in order to survive in the
competitive market.

The various managerial functions are as follows:

Planning- The planning function of the management controls all the planning which
are needed for the organization to flourish. Planning includes setting the mission,
vision and strategies of the organization and also setting the goals and objectives.

Organizing- The organizing function of the management controls the overall

organizational structure of the company without which it will be unable to function in
its day to day activity. Organizing includes matching and balancing of all the
resources that an organization may have to achieve the set goals and objectives.
Priority tasks are organized first.

Controlling- The controlling function motoring takes place to make sure everything
goes as it is planned. The management helps in checking whether all the other
functions of the management are functioning efficiently and effectively and if not that
when controlling kicks in as a corrective measure. Overall, it includes continuous
monitoring the performance of the employees and increasing their output.

Directing- The directing function of the management helps in directing the employees
to their roles in order to achieve an agreed set of goals and objectives by the
organization.

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There are two distinguished approached of management i.e. hard management and
soft management.

The Hard management skills consist of certain parameters which are described as
follows:

Domain Functional Knowledge- A domain functional knowledge is important in hard

management skills as without proper domain function the manager will not be able to
convey the employees of the organisations about the motives and requirements of
the task.

Organisational structural knowledge- A manager should have a proper knowledge of

the organisational structure and the organizational structure in order to make his
decisions more systematic in nature.

Planning Knowledge- A manager must poses a proper knowledge of the planning he

is about to make and implement towards the company or towards the employees.
The aim and purpose of the planning must be clear to him and to the organization.

Customer knowledge- A manager must possess a hard management skill regarding

knowledge of customers as without proper customer knowledge the company will not
be able to define their potential customers and design products for them.

Performance measurement- This is a very important skill that a manager must

possess as without measuring the performance of the employees regarding a task
he would not be able to evaluate their output or increase their productivity.

The soft leadership skills consist of certain parameters which are discussed below:

Self-awareness- A leader must be self-aware in nature which means that that he

should be well aware of the strengths and weaknesses of the company so that it
becomes easy to take decisions accordingly. The strength of self-awareness is that it
helps a person to understand other people clearly and its weakness it is limited to
the outside behaviour of the person.

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Learning agility- This is one of the most must haver skill for a leadership as he
should be always keen on learning from the past instances or past experiences so
that he does not repeat the same mistake.

Resiliency- This is a must have skill for every skill as he should learn from his past
mistakes and bounce back from adversities to success by not having the courage to
accept his past mistake and not repeating it.

Emotional intelligence- This is very important from an organizations point of view as

it helps in understanding the needs and demands of the employees of the
organization and also of that of the market.

Building relations at all levels- This is very important to form an organizational

hierarchy in the organization where all the individuals in the organizations will be
aware of their roles and responsibilities within the organization.

Political savvy- This is an important factor in soft leadership skills as without

understanding the political scenario of the country no decisions can be taken or no
objectives can be set for the organization.

Motivating and engaging others- This is very vital skill in soft leadership as without
proper motivation and engaging the others the employees will not get a zeal or urge
to work for the organization.

Building and leading effective teams- This is an important factor in leadership skills
as without building and leading effective teams the task will not be distributed
accordingly within the time and therefore the productivity of the team will be
hampered.

Creating a culture of trust and respect- This is a very important component in soft
leadership skills as without creating a culture of trust and respect the individuals will
not be able to rely on each others skill sets and their performances towards the
organisation.

Communication- This is a very vital component of soft leadership skills as

communication is very important to build a team spirit by communicating the views of

8
self to others and getting to learn about their views and take decisions accordingly
(Reuben and Timko, 2017).

9
M1: Analyse and differentiate between the role of a leader and function of a manager
by effectively applying a range of theories and concepts.

A leader is innovative in nature which means that he continuously seeks for new
innovations in his task whereas the manager is administrative in nature which means
he is limited to a certain boundary only. It suggests that the leader follows situational
leadership techniques while the managers follows classical management theory.

A leader helps in developing of an individual which suggests that he is a mentor by

nature whereas the manager helps in maintaining the individual regarding a task
which suggests that the leader follows charismatic leadership model whereas a
manager follows transactional leadership model.

A leader focuses on trust whereas a manager focuses on control which depicts that
the leader is relationship oriented whereas the manager is task oriented.

A leader focuses on the people which suggest that he is relationship oriented in

nature whereas the manager focuses on systems and procedures which suggest
that he is task oriented in nature.

A leader focuses on the horizon of the task whereas the manager focuses on the
bottom line of the task which suggests that the leader focuses on long term goal
whereas the manager focuses on short term goals which suggests that the leaders
are action centred in nature while the managers are not.

A leader poses a long term perspective while a manger follows a short term
perspectives. This indicates that the leader is more visionary in nature while the
manager is less visionary in nature which indicates that leaders follow style and
contingency theory whereas managers follow classical theory.

A leader is originated in nature but the manager is imitative in nature which suggests
that the leader poses trait theory of leadership while the manager does not.

A leader challenges the status quo while the manager accepts the status quo which
suggests that the leader is transformational in nature while the manager is
transactional in nature.

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 A leader does the right thing while a manager does things rights which suggest that
the leader is risk taking in nature while the manager is not risk taking in nature which
suggests that leaders follow charismatic leadership models while mangers adopt
behavioural theories of management.

A leader is unique in nature while the manager is command oriented in nature, which
suggest that the leader is consultative in nature while the manager is autocratic in
nature which further suggests that the leaders are transformational in nature while
managers follow contingency theory of management.

A leader generally asks why and what for a task whereas a manager asks when and
how regarding a task which suggests that the leader adopts management by
objective leadership whereas the manager accepts the chaos theory.

A leader is original in nature whereas a manager is copy by nature which reflects

that the leader follows situational leadership models whereas the manager follows a
management by objective model.

The various theories of leadership and management are discussed below, first the
leadership theories:

Transformational Theory of leadership- The transformational leadership theory is

defined as theory of leadership which causes changes in individual and social
system and it creates valuable and the positive change in the followers with the
ultimate goal of developing the followers into leaders. This system of leadership is
best suitable in organization that aims for succession planning in the organization so
that there is no shortage of leadership qualities and abilities in the organization in the
future.

Action centred Leadership- Action Centred leadership focuses on the theory that
good managers and leaders should have a proper control of the three main areas of
action centred leadership which are team, task and individuals and they should also
be able to use the elements of the process in a proper way. According to this model
a leader is manager is successful if they are able to achieve results, build morals,
improve quality of work and is able to develop teams and productivity. This model is
best suitable for organization where the productivity and the co-operation between

11
 the team are less and the management wants to develop a co-ordination between all
the groups of the organization in order to foster productivity.

Trait Theory of leadership- The trait theory of leadership is based on the traits and
qualities of the leaders which lead to their effectiveness but it fails to establish the
trait that should be common to all leaders. This theory is best suited for big
organizations where there is a huge demand for their products and therefore the
productivity of the workforce has to be controlled strictly.

Contingency theory of leadership- The contingency theory of leadership is based on

the situational approach and it has got no particular model. The approach is applied
accordingly to the situation that the company is facing at any particular time and can
be applied to a variety of situations such as to increase the productivity, or to
improve the co-ordination of the employees of different group, or to make the
employees more responsible in their approach or to facilitate employee retention in
the organization.

Now the theories of management are discussed in detail below:

Classical Management theory- The classical or scientific management theory is

based on the beliefs that the worker in an organization only have physical needs and
economic needs and it does not take into account the social needs of the worker into
account and the job satisfaction but it instead lays emphasis on specialization of
labour, centralized leadership, profit maximization and decision making. This theory
is best suited to those organizations where the organization is only concerned about
the productivity and not any other needs of the worker.

Behavioural Theories of management- It is based on the behavioural approach of the

leaders and it does not trust the situational approach. These types of leaders are
generally task oriented in nature or relationship oriented in nature depending upon
the behaviour of the leader towards a situation. This situation of theory applies to
organizations where there is less productivity or less employee retention capacity.

Behavioural theory of management- The behavioural theory of management is also

known as the human relations movement as it helps in addressing the human
dimension of work and this theory focuses on the belief that better understanding of

12
 human behaviours at work such as motivation, conflicts and expectations improves
the productivity of the work of the employees. This theory of management is best
suited in the organizations where the main focus of the organization is to achieve
the goals of the company by empowering and motivating the employees.

Contingency Theory of management- The contingency theory of management states

that the leadership style applied in the organization depends upon the leader
whether he is task oriented or is relationship oriented in nature. This theory is best
applied to organization where the management wants to increase the productivity of
the workers and the organization or on those organizations where the management
wants to improve the working environment of the organization by developing a good
relation with the employee so that it motivates the employees towards accomplishing
the goals of the organization.

Chaos Theory of management- The chaos theory of management states that every
organization faces some chaos or disturbance activity during operating its business
which can be change in public demand, slowdown of the economy and so on. This
theory is best applied on those organizations where the management wants to keep
their employees always ready to face any kind of critical situations in the market
without getting de-motivated.

Management by objectives- The management by objectives is a management model

which states which aims to improve the performance of the organization by clearly
defining the objectives which are agreed upon by both the management and the
employees of the company. This model of management is best suited to the small
start-up companies where the management wants to involve the staffs in the
decision making process in order to make them responsible towards their tasks.

Transactional Theory of leadership- The transactional theory of leadership is also

known as managerial leadership which focuses on supervision, organization and
performance and in this theory the leaders promote compliance by followers through
both rewards and punishments. This type of leadership is best suited for organization
where the management aims to improve the productivity of the organization and also
develop a good relation with the employees in the process.

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14
Task 2 Apply the role of a leader and the function of a manager in given contexts.

P2: Examine examples of how the role of a leader and the function of a manager
apply in different situational contexts?

a leaders approach will be different and will include involving others effected by the
decision. He will involve others by consultation depending upon the situational
analysis and the demand of the task so as to fulfil the organizational goals. This
approach will help him motivate his team as they can feel they were a part of
decision making process. Employees will also feel motivated as they get to learn
how to make decisions. This approach also helps organizations to consider internal
promotions when people are skilled in decision making and eliminates the danger of
wrong decisions. In case of decision making process the approach by the managers
is usually focused on themselves. Since they are trained for the job and have
authority and responsibility of the decision making for their assigned tasks the
managers will take the decisions by him considering alignment with the
organizational goals. Therefore it suggests that leaders are democratic in their
approach whereas managers are autocratic in their approach (Fairhurst and
Connaughton 2014).

Situation 1: A manager in an organization is assigned a new task by the top

management and he has to get the task done by his team members within a specific
period of time.

Theory 1- Classical theory of management

This theory is also known as scientific management theory which enhances

employees productivity in order to achieve the best results. This theory increases the
efficiency and output. This includes the valuable source of information in order to
examine all the aspects related to the management. This provides the standard tool
for the ability involved in the scientific management and employees on the planned
structure of the results.

Manager applies the classical theory of management by enhancing the job and skill
for the increasing skill and abilities in the organization. Managers should plan their
working activity and the operations in the management and provide the incentives for

15
encouraging the employees in order to develop the results and increased output and
satisfaction.

Theory 2 Behavioural theory of leardeship

This theory is the leadership theory which emphasize on the special behaviour of the
leader. This is the best determinant of the theory of the leadership. This involves the
potential of the market for the behaviour in response to the organization
perspectives. Behavioural theory is the most important tool for measuring the
potentiality of the leadership for the specific situation.

Application is missing here. Please explain how a manager can apply behavioural
theory of management to situation 1 given above: In the situation, the behaviourial
theory emphasis the employees behaviour in the organization as the core
effectiveness of the results and enhances the efficiency of the business.

Theory 3 - Task oriented theory

This approach of leadership focuses on the given task and the performance required
to achieve the results by completing that task. This is also helpful for the team
members who are not good at planning and organziang as this approach demands
that manager does all the work and assign people and communicate with them about
what they are expected to do. He also gives them a deadline to finish work.

Application of this theory is missing here. Please explain how a manager can apply
behavioural theory of management to situation 1 given above

Theory 4 Contingency theory of management

What is contingency theory? Please explain here write the three lines below in own
words and please add more detail

A contingency theory is an organizational theory that claims that there is no best way
to organize a corporation, to lead a company, or to make decisions. Instead, the
optimal course of action is contingent (dependent) upon the internal and external
situation. A contingency theory of management for the basis involved for the

16
effectiveness on the behaviour of the management on different situations. This will
be enhanced for ensuring the needs and adopt for enhancing the needs of the
organization theory.

Application of this theory is missing here. Please explain how a manager can apply
contigency theory of management to situation 1 given above.

Situation 2 In order to increase the organizational image in the market

management has decided to focus on retaining their productive, efficient and loyal
employees and has asked the manager to motivate the employees.

Theory 1 - Classical theory of management:

Classical theory advocated to carefully consider the given task to make decisions
about distribution of it amngst team members. Classical theory of management helps
in recognizing the role that management plays effectively organization perspectives.

The manager can apply the classical theory of management by explaining the task in
order to enhance the productivity and maximising the efficiency of the organization
perspectives as it is the valuable tool of the organization. In order to apply this theory
the manager will carefully examine the task and also the skills of the team members
and match these carefully considering the most suitable option.

Theory 2 - Contingency theory of management:

The cointigency theory of management is based on the effectiveness of the contigent

operations that will be deriving on the management behaviours and the solutions that
will be enrolled towards the results. The application of the contingency management
should consider the effective methods for the resultant of the effective operation
towards the focussing of the results and initation of the rtechnique for the growth of
the organization effectively.

The contegency theory is applied by the management on the basis of the situation
and resourcs involved. Every new situation brings its own pressures and gives in
every new situation. Managemenet need to make decisions considering that situion.

17
In situation 2 manager is required to identify and retian the best employees. The
manager will use most recent performance indicators to identify these people and
come up with a motivation plan that may include financial and non financial
incentives.

Theory 3 - Action- cantered leadership:

It provides the blue print of the leadership and the management team that makes
easy for adopting the technique used for enhancing the own situation and results.
The good managers enrol the actions for the elements according to the situation for
the factors consists the results. It develops the team productivity and marking for the
managers successful or the managers and the leader.

Action centred leadership approach resultant for enhancing the level of satisfaction,
development, enhancement and productivity, successful manager and the leaders
for ensuring the actions.In this theory, the task will be achieved and the team group
will be managed in according with the effectiveness of the goal. The individuals will
be managed according to the leading results for ensuring the level in the
organization.

Theory 4 - Transactional leadership:

It is the form of managerial supervision for enhancing the compliance within

employees by rewards and punishment to enhance the level of performances and
increases the results.. It involves the obstruct of the leader. Transactional leadership
based on the emphasizes the effectiveness of the organization performance through
the basis of the compaliance and the leadership attained for the basis of the rewards
and punishment.

Applying transactional theory the manage will identify best performers on their past
and most recent performances and also make a plan that include performance
related rewards and punishment.

Situation 3 The top management has decided to arrange training & development in
order to up-skil the employees so that they can work more productively towards
achieving the organizational goals.

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Theory 1- Leadership traits theory

In this theory the manager of the organization will focus on relationship oriented
approach in order to aim for employee retention and to improve the moral of the
employees in order to motivate the employees towards their work and to improve the
image of the organization but it can result in the loss of productivity of the
organization as the employees will be not under any pressure.

When an organization decides to analyse the training and development needs of the
employees and vest the responsibility on the leaders and managers then the
managers will identify the training needs of the employees based on a limited
scenario for the scope of improvement of the employee regarding a task whereas the
leaders in that case will identify the long term training needs of the employees for the
scope of the personal and professional development which will benefit the employee
not only to solve some particular tasks of the organization but also apply it in the long
run. The following example confirms that leaders follow action centre leadership
approach in order to develop the co-operation between the employees and the team
members in order to facilitate better communication, in order to develop the
individual skill of the employees to increase the productivity of the individuals and will
also focus on the importance of the task so that he can effectively communicate to
the members about the same, while the managers follow management by objective
theory where they are only concerned regarding the training and development needs
for the particular task..( Dewar and Cook 2014.)

Theory 2 - Contingency theory of management

A contingency theory of management is the effectiveness of the contigent operations

that consider the application of the behaviour of effective operation for the results.
The contingency theory is based on the effective programs that is undertaken for the
emphasis on the results.

Training and decision making responsibility is to be assigned to the managers

effectively regarding the goals and objectives of the organization. The demand and
factors will be analysed on the situational factors along with the increasing decision

19
making process. This approach will enhance the motivation of the employment for
the accurate decision making process. The employees will be emphasized on the
increasing decision making process. The promotion tool will be done if the decision
will be wrong and emphasized that managers are autocratic.

Theory 3- Management by objectives theory

It is the form of management model that clearly define the objectives for outlined in
the process of management. This core emphasizes for ensuring participation and
employee involvement for the goals and attaining the objectives in order for ensuring
the results. The management by objectives theory held in the organization for
considering the various measures of the economy and its results. This theory
increases and enhancing the performance of the organization and ensuring the
effectiveness of the results which initiate the actions. It involves the clear defined
objectives for both the management and the employees emphasized by the
organization. It is the management technique in which analysis is done for recording,
monitoring and activities for the growth and results of the organization.

Management by objectives aimed at improving the effectiveness of the organization

that clearly outlined for the management and the employees working on it and the
functioning of the effectiveness of the results and meausres the tendency to forbid
results.

Theory 4 - Transformational leadership:

It is the form of the leadership that is not very common, leader encourages the team
members to a high standard and it itself motivates employees. Employees fel that
they have a say in the decision making and that results in increased responsibility
and perforamcne.

The manager can apply the transformational theory by asking his team to identify
their training and developmental needs instead of doing it all by himself. He may
coordinate few meetings to agree with the majority and discuss the training and
developmental plan and would seek agreement before strating it.

20
21
P3 Apply different theories and models or approach, including situational leadership,
systems leadership, and contingency?

Situational Leadership

The situational leadership model was first developed by Paul Hersey and Ken
Blanchard (late 1970s) which states that manager or an organization adopts various
leadership styles according to the situations they face from time to time rather than
following a particular leadership model. As the situation that comes in front of an
organization differs from time to time therefore the leadership style that should be
applied in those situations depends upon the requirement of the solution. The
situational leadership model consists of two factors namely directive behaviour and
supportive behaviour on both the axis depending on its rate which is high and low.
Together they form the fourth quadrants and the figure is depicted under:

Source- Warwicks.ac.uk (2017)

In the S1 stage or the directing stage the leaders take the decisions by themselves
and they do not take advice from other team members regarding taking a decision.

22
In the S2 stage or the coaching stage the leaders take the decisions by themselves
after receiving inputs from the team members and evaluating their inputs in to his
own decision making.

In the S3 stage or the supporting stage the leaders let the team members take the
decision after discussing with them and the entire team. In this stage though the
leader does not take the decisions but he remains a part of the decision making
process.

In the S4 stage or the delegating the leaders do not take part in the decision making
part and therefore the employees are fully responsible in the decision making
process. Though the leaders does not take part in the decision making process but
the entire responsibility of the decision taken is on the leader.

In working scenario the S1 stage is followed when the nature of the task is very
serious and the resources are limited for the organization.

The S2 stage is followed when the leaders feel that during the performing of any task
the team spirit is very important and so as to enhance team spirit and increase the
knowledge of the employee regarding the task.

The S3 stage is followed in the organization when the leaders wants to increase the
commitment level and the engagement level of the employees towards the work as
by being a part of the decision making process it will make them more responsible
and dedicated towards the task.

The S4 stage is followed when the task is minor in nature and the resource required
for the task is also minimum, and therefore to improve the decision making part of
the employees and to make them a part of the succession planning process it is
followed.

This model helps the organization to get adapted to various situations in the
business organization and improves the decision making system of both the
managers and the employees which helps in the growth of the organization and it
also helps in developing co-ordination and effective communication between the top

23
management and the bottom management to ensure the sustainable growth of the
organization.

24
Systems leadership

Systems leadership approach is defined as the leadership across organizational and

geo political boundaries, beyond individual professional discipline, within a range of
organizational and stakeholder cultures, and often without managerial control. The
system leadership when applied in the organization will help the leader of the
company to not only think about their own perspective or their organizational but it
will look into a broader approach crossing even geo political borders to develop the
organization as well as the stakeholders in order to change the system and structure
of the organizational processes. Upon applying the system leadership model the
organizational will benefit in getting a leader who has a long term vision for the
organization and whose strategies and procedures will help the organization in to
gaining new limits which are itself unique in nature and it will be very difficult for other
organizations to achieve the limit which will help in the sustainable growth of the
company.

This theory of leadership helps in promoting creativity and innovation in the

organization and always encourages the employees to think differently while
approaching a particular task and the systems leadership theory also focuses on the
welfare of the organization not only the employees in order to facilitate the growth
and development of the organization. The application of the system leadership
approach improves growth and development in the organization as it helps in
imparting the vision of the leader in the employees which promotes the creativity and
innovation of the employees of the organization and which turns paves the way for
more growth and development in the organization and it also paves the way for
sustainable development in the organization as due to the far sighted vision of the
leaders the organization accordingly plan their resources and utilize it in a proper
manner and reduces the misuse of resources which leads to sustainable
development.

Contingency Approach

Contingency model of leadership states that there is no such best leadership style
that is best suited for an organization, or to lead an organizations or to take decisions
in the organizations and therefore the optimal course of action is dependent upon the

25
internal and external situation of the company and the nature of the leader who is
involved in taking the decisions. A contingent leader effectively applies own style of
leadership to the right situation.

In an organization it is generally observed there are two types of leaders. One type
of leader is task oriented in nature and the other kind of leader is relationship
oriented in nature. The leader who is task oriented in nature is not concerned about
what the other employees think and perceive of him because he is only concerned
with the completion of his task. This result in increase of productivity of the task
whereas the other leader who is relationship oriented in nature is focussed on getting
the tasks done by the employees by establishing a good relationship between them.

This results in increasing of the team spirit and improves organizational

communication and helps in avoiding conflicts. If the contingency model is applied in
the organizational it would yield both positive and negative result depending upon
the selection of the approach. If the situation demands to select task oriented
approach then the productivity of the organization will increase but it would create
employee dissatisfaction and would not help in employee retention whereas if the
relationship oriented approach is selected then it would result in good interpersonal
relations of the employees and improves team work but it can result to low work
productivity.

By applying the contingency approach of leadership the organization can benefit in

either of the two ways, either it could increase the productivity of the employees by
applying task oriented model or it would help in developing the work culture of the
organization and encourage motivation by applying the relationship oriented model,
but whichever model is applied by the company it will aim in sustainable
development of the organization either on the basis of quantity or quality or at times
both depending upon the implementation of the approach as by implementing the
task oriented approach the employees become productive in nature and develops
various ways of performing the task using the least possible resources which
promotes sustainable development and by implementing the relationship oriented
approach the employees become more responsible in their approach and therefore it
also promotes sustainable development.

26
By applying the task oriented approach of management under contingency theory of
management the organization can increase the productivity of the employees and
the efficiency of the employees of the organization regarding performing tasks but it
does not help in employee motivation and retention.

By applying the relationship oriented approach of management the organization can

increase the motivation level and satisfaction level of the employees of the
organization which helps in employee retention but it results in the lack of
productivity and efficiency of the employees while performing te tasks.

Chaos Theory

The chaos theory from the management point of view states that at certain points of
time the markets undergo certain changes and disturbances which can be related to
global economic slowdown or change in customer changes or recession in the
market. It states that the organisation must be capable enough to adapt to the
changes as quickly as possible to prevent losses arising from these situations which
are termed as chaos.

From an organizations point of view it must be prepared and accustomed to respond

to the chaos arising in the market at several point of time and should soon get
adapted to the new situation. The company must get adapted to the situation by
changing their objective, goals and strategy or by investing more or by deploying
more staff according to the nature of the chaos that occurred in the market. If the
organization experiences certain change in the preference pattern and demand
pattern of the customers then it should accordingly get adapted to it by designing
new products according to the demands of the individual or by modifying the existing
product and present to the customer as a new alternative product in order to remain
in the market limelight. By applying this theory, an organization will benefit by
developing an adaptability skill for their employees who will help them to become
more effective and efficient to tackle any given situation with ease without panicking
about the situation. In other organizations it is seen that when a chaos situation
arises the employees tend to get wayward in their nature and they cannot decide
what to do next and therefore the quality of the work gets compromised and
therefore it acts as a barrier in the growth of the organization whereas if an

27
organization adopts chaos theory then the employees will be self-trained and self-
motivated to handle any kind of situations they are in which helps to carry out the
task effectively and achieve sustainable growth.

The role that the management plays according to the theory is that it helps in the
identification of the chaos in the business environment of the organization and
provides training and development accordingly to the employees in order to handle
the situations. In order to train the employees of their organization for various
adverse conditions in the market the organization conducts a market research in
order to get a proper idea of the future market trends and the future market
adversities rather than simply forecasting it so that it can train their employees
accordingly to control the adverse situations and to ensure productivity in their tasks
and therefore the management plays a great role in this theory by identifying the
future market adversities and to train their employees according to that so that they
do not get de-motivated in their approach.

Management by objectives

Management by objective model of management is a model which aims to improve

the performance and productivity of the organization by clearing defining the
objectives which are agreed both by the employees and the management.

From an organizations point of view it is very important that the management and
the employee together create and define the objectives of the organization of the
organizations that they will work on to achieve. The objectives must be defined in
such a way that it complies with the resources of the organization. (Day, Fleenor,
Atwater, Sturm and McKee 2014.)

In the work environment if the objective of the organization is to increase the existing
shares of the product then it should communicate the same to the employees and
manage the objective by arranging resources so as to improve the market share of
the product. By applying this model the organization will be able to carry out their
tasks and objectives in a more systematic process as the employees are fully aware
of their own roles and responsibilities while achieving an objective which helps them

28
to stay focus throughout the whole process in order to achieve the objectives which
in turn promotes growth in the organization.

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 M2 Assess the strengths and weaknesses of different approaches to situations
within the work environment.

All the above mentioned theories have their strengths and weaknesses that are
discussed below:

The strengths and weaknesses of different approaches to situations within the work
environment are as follows:

Situational Leadership Model

Strengths:

There is no Single leadership style as therefore there remains an excitement in the

employees regarding the selection of the best possible leadership style rather than
following the same style.

The group environment remains comfortable and effective as it helps in building

better team unity.

It helps in boosting motivation as it involves the employees sometimes in the

decision making process and they start to feel as an important part of the
organization.

It enhances awareness as the employees monitor closely the situation in order to be

aware of the leadership style that is to be applied.

It is flexible and intuitive in approach as there are role reversals part in the case of
the decision making process

Weaknesses:

Lack of understanding of the demographic differences due to the lack of high quality
experience in the employees as they are not used to it.

Possibility of creating confusion within the group as the situations are interconnected
and interrelated with various other factors.

30
 It tends to emphasize the short term strategy as it focuses only on the current
scenario.

This model is best suited for organizations who want to develop the co-ordination
and co-operation between the employees and the management and also want to
improve their decision making process depending upon the type of situation it faces.

Systems Leadership Model

Strengths:

It provides a glossary of terms with which researchers from different fields can be
understood.

It provides a framework for the presentation and interpretation of phenomenon and

realities.

Clarifies the thought on the complexity and dynamism of the environment and
provides a framework for building ideas.

Weaknesses:

The process is lengthy and complicated in nature as it engages various inter-related

parameters in it.

It is not widely popular due to the acceptances by less number of leaders as it is

comparatively a lesser adapted approach with an element of risk.

This model is best suited for organizations who wants to adopt a unique approach for
the growth of the organization by adopting various long term innovative vision which
will not only help in the growth of the organization and its stakeholders but will also
benefit the society.

Task oriented approach

Strengths:

Clarity of Purpose as the wants and demands of the organizations are specified
clearly by the leader.

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 Precise Task definition and the employees are well aware of their roles and
responsibilities.

Weaknesses

Lack of creativity as it focuses on the usual mode of working.

Low Morale as the employees are not motivated.

Lack of innovation as there is no scope for training and development.

This model is best suited for organizations who want to develop and evolve the
productivity of their employees and the work efficiencies of the employees to achieve
high growth rate.

Relationship oriented Approach

Strengths:

It energizes employees as they get their deserving respect from the company.

It increases the job satisfaction of the employees as their psychological needs get
fulfilled.

Staffs feel empowered and meaningful due to the internal work atmosphere.

Better understanding of the working environments they get ample time to study the
working environment of the company.

Weaknesses:

Lower Performance as there is no pressure of completion of the tasks.

Increased customer dissatisfaction due to the lack of desired services.

Decreased Profitability as it does not impose any strict deadlines or pressure to

complete the work.

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 This model is best suitable for organization that are experiencing a low level of
employee retention and the interpersonal relationship between the management and
the employees are not so good and it requires urgent improvement for proper task
co-ordination.

Chaos Theory

Strengths:

Free exchange of ideas between the potential customers and the organization.

Easier to change as the organization gets adaptable in nature.

Bigger variety of ideas as there is multiple number of options available to the

company.

Able to adjust in various situations due to the flexibility of the organization.

Weaknesses

Loss of time as majority of the time is consumed in adaption process.

Part of business can be neglected to adapt according to the situation.

Employees take advantage of free time which in turn decreases their productivity.

No clear overview of what change has to be adapted within what time.

No clear management is established as the objectives vary from time to time.

This model is best suited for organizations who aims to develop the adaptability of
their employees so that they can be prepared for any hardships or situations which
are bound to arise during the course of the task.

Management by objectives

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 Strengths:

Encourages face to face communication which increases confidence among the

employees.

Flexible in nature as it changes from time to time.

Improves management as they adapt to different objectives from time to time.

Uses a set of targets to achieve their desired goals and objectives on time.

Requires quantify and monitoring to ensure the smooth running of the entire process.

Encourages greater participation as the objective is finalized after having the opinion
of all the employees.

Weaknesses

Difficult and time consuming to switch from one objective to the other.

Poor Judgement of the entire process

Difficulty in measuring objectives as it is changes from time to time.

This model is best suited for an organization when the management feels the
necessity to communicate their roles and responsibilities of each employee to them
so that they will be better aware of their roles and responsibilities within the
organization.

There is no right or wrong solution to any organizational situation. Depending on the

people involved, culture of the organization and the requirement of the situation
solutions are provided and decisions are taken.

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 D1

D1: Critically analyse and evaluate the different theories and approaches to
leadership

in given contexts.

The different theories and approaches to leadership are as follows:

Trait theory of leadership- It is based on the traits and qualities of the leaders which
lead to their effectiveness but it fails to establish the trait that should be common to
all leaders. This theory is best applied to big organization where there is a huge
demand for their products and therefore the productivity of the workforce has to be
controlled strictly.

In this theory of leadership there are certain qualities of a person which help them to
control and manage a situation accordingly in a unique manner which does not
match with the characteristics of any other persons. The trait theory of leadership is
followed in organizations such as Microsoft where the employees of the organization
work accordingly in order to fulfil the vision of Bill Gates who is not only the founder
of the company but also their leader

Style & Contingency theories of leadership- It is based on the situational approach

and it has got no particular model. The approach is applied accordingly to the
situation of the company they are facing. It contains various sub theories in it such as
the Fred Fiedler contingency model, Hersey Blanchard situational model, Path- Goal
model and Vroom Yetton model.

The style and contingency theory of leadership believes that the organizational
change is a dynamic process and it can happen at any point of time, therefore the
adaption of contingency style of leadership is very essential for organizations rather
than the regular common models in order to handle the situation perfection
according to the need of the hour which also helps the organization to come out of
their comfort zone and rather place themselves in such a position where they can
manage the situation according to its requirements. The style and contingency
theory of leadership is best followed in the Information Technology companies where

35
 the dynamics of the market changes very randomly and therefore in order to adapt to
the changes of industry the style and contingency leadership model is followed.

Charismatic Leadership Theory- It is based on the charismatic quality of the leader to

inspire the team members to perform the tasks they are specified. They command
authority towards the team by not virtue of their formal position but of their virtue of
charismatic personality. This leadership is best applied to the organizations where
there is a strong co-ordination between the managers and the workers. The
charismatic leader constantly aim to motivate and inspire their followers by virtue of
their charismatic leadership and always tries to encourage and cheer them in every
possible task they do in order to increase their self-confidence which in turn leads to
the efficiency of the task and increase in productivity of the employee. This theory of
leadership is observed in Virgin company where the employees of the organization
are inspired from the charismatic leadership quality of Sir Richard Branson.

Transactional Leadership Theories- This theory of leadership is based on a system

of reward and punishment that are contingent upon the performances of the
followers. Generally the leader is task and outcome oriented in nature. This theory of
leadership is applied to those organizations who are only concerned with the
performance of their employees.

The transactional theory of leadership promotes equality in the organization as the

rules and regulations remains the same for every employee in the organization and
is not affected by the experience level of the employees. It helps in promoting a
concept to the employee that every individual is bound to get rewarded upon
completing the work effectively and smoothly and every individual is bound to get the
punishment in case of failing to perform in a task. The transactional theory of
leadership is followed by majority of the manufacturing companies in the world who
aims to motivate their employees through rewards such as incentives.

Transformational leadership theories- In this leadership theory the leaders are able
to motivate others through their works and examples and as a result the employee
gets boosted up due to the change in mind set and eventually the productivity of the
organisations increases. The four components of transformational leadership are

36
 Intellectual stimulation, consideration for individuals. Inspirational motivation and
idealized influence.

This theory of leadership is applied to those situation where the subordinates look to
their managers as supervisors as their greatest motivator and mentor. The vest
example of an organization following transformational leadership is the Australian
company Thank You where the employees of the organization have underwent a
transformation in their approach due to the transformational leadership quality of
their co-founder Daniel Flynn.(Dinh, Lord, Gardner, Meuser Liden, and Hu 2014.)

Situational Leadership theory- This theory describes that no particular leadership

model is suitable for an organization. Therefore the leadership mode to be applied in
an organization depends upon the situation of the company at the present time. This
theory of leadership is best applied to organization where the nature of the task and
resource provided for the task varies from time to time. The two types of situational
leadership theory are task oriented leadership theory and relationship oriented
leadership theory.

The task theory of leadership is practiced in the organization when there is a need to
increase the productivity and efficiency of the organization. The task theory of
leadership is followed in various automobile manufacturing companies such as
Toyota and McLaren.

The relationship theory of leadership is practiced when there is a need to motivate

the employees and to retain the employees of the organization. The relationship
theory of management is followed in organizations such as IBM and Google where
the organization value their employees and aims to establish a good relationship with
them in order to increase their productivity.

Systems leadership Theory- Systems leadership approach is defined as the

leadership across organizational and geo political boundaries, beyond individual
professional discipline, within a range of organizational and stakeholder cultures, and
often without managerial control. This system of leadership is best applied to that
organization who seeks to challenge the regular leadership theories in their
businesses and adopt something new and unique.

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 This theory of leadership helps in promoting creativity and innovation in the
organization and always encourages the employees to think differently while
approaching a particular task and the systems leadership theory also focuses on the
welfare of the organization not only the employees in order to facilitate the growth
and development of the organization. The systems theory of leadership is best
applied to those organizations who aims to change the perception of the common
people towards a product or service not just for the promotion of their products but
also for the benefit of the society.

Action centred leadership- The action centre leadership, developed by John Adair
provides a blueprint for leadership and management of any organizations which is
easy to remember and easy to adopt. It focuses on the theory that good managers
and leaders should have a proper control of the three main areas of action centred
leadership which are team, task and individuals and they should also be able to use
the elements of the process in a proper way.

According to this model a leader is manager is successful if they are able to achieve
results, build morals, improves quality of work and is able to develop teams and
productivity. The action theory of leadership is followed in organizations such as
Primark and Tesco as the human resource of the company are very high and
therefore it is the responsibility of the manager to improve the productivity of the
organization, build a moral in the employees and helps to improve the quality of work
by focussing on team development.

Task 3 first explain the approach of total quality management (TQM) and its
principles & the role that leaders and managers play in this approach

Different operations management approaches are discussed below: -

P4 explain the key approaches to operations management and the role that leaders
and managers play.

Total Quality Management

Total Quality Management is defined as the act of overseeing all the tasks and
activities desired to maintain a desired level of excellence which includes creating

38
and implementing quality planning and assurance as well as quality control and
quality improvement. The basic approach of TQM is to focus on the improvement of
quality and performance in all functions, departments and processes across the
company to provide quality products and services which exceed customer
expectations.

The basic seven principles of the Total Quality Management or TQM are as follows:

Customer Focus- All the organisations in the present day needs to focus on
customer satisfaction regarding their products or services because the customers
are the ultimate judge of the product or service of an organization in a market.
Therefore the products need to be developed keeping in minds the needs of the
customers.

Strong Leadership- A strong leadership is an important principle of the Total Quality

Management as without the presence of a quality leader the tasks in the organization
cannot be directed and monitored and no decision could be taken. Therefore for the
TQM, a strong leadership is essential to control and monitor the progress of the
entire organizations.

People Involvement- The involvement of the people for Total Quality management is
very much essential as by the combined efforts of the variety of people of the
organizations of all levels no task could be completed successfully. As team work is
the backbone of success in every organisation therefore the involvement of all
sections of the people of the organization is a very necessary element.

Systematic approach to management- All business organisations needs to focus on

the systematic approach to management in order to improve the quality of the
products and also to achieve their goals, mission and objectives. A systematic
approach is very necessary in order to ensure that the quality becomes the core
processes of all business activities.

Continual improvement- An organization should strive and seek for continuous

improvements in order to survive in the competitive market as the dynamics of the
market is changing daily at a rapid rate and therefore the organizations shall strive
for continuous improvement rather than being complacent in nature.

39
 Factual approach to decision making- Decision making is a vital component in the
TQM process as planning and implementing a proper decision changes the fate of
the organization. The effectiveness of the decision can be measured through various
evaluation reports which analyses the effectiveness of the decision making process
and indicates scope of improvement. (Brandenburg, Govindan, Sarkis and Seuring
2014.)

Mutually beneficial supplier relation- In order to practice TQM in an organization the

organizations must ensure they develop a good relation with the suppliers of the
organization who is one of their major stake holders in order to get proper supply of
raw materials from them at an adequate price depending upon the requirement of
the organization. The relation with the supplier developed should be mutually
beneficial in nature which should be profitable from both the sides.

The roles leaders play in this approach is as follows:

To ensure Effective involvement and utilization of the entire work force.

To remain Up committed and involved management to provide long term top to

bottom organizational support.

To Establish performance measurement for the processes..

The roles managers play in this approach is as follows:

To ensure Un-wavering focus on both internal and external customers.

To Treat the suppliers as business partners

To ensure Continuous improvement of the business and the production processes

Just-in-time inventory

Just in time inventory is defined as a strategy which increases efficiency and

decreases wastes only by receiving goods when they are needed in the production
process, thereby reducing inventory costs. The application of the just in time

40
 inventory in operations management helps the organization in reducing the storage
space of the organization as the goods are only stored at the time of their use and it
saves the money of the organization, the just in time inventory also helps in the
reduction of the wastes as the goods are only received when needed and in this way
wastage of goods is stopped and the just in time inventory also helps in making
lesser investments by the company as receiving goods at times when it is not
required increases the investment cost of the company. The Just In Time approach
are followed by various automobiles company such as Toyota, fast food company,
computer hardware companies such as Dell and on demand publications
companies.

The role of the managers in Just in Time Approach is as follows:

To order for goods to the suppliers at the right time.

Order the right amount of goods after analysing the demands.

To maintain a good relation with the suppliers in order to ensure that the suppliers
supply the desired amount of goods.

The role that leaders play in this approach is as follows:

Make sure that the goods receives are properly utilized in the production process
and are not wasted.

To ensure that all the workers are properly aware of their roles and responsibilities in
the complete process.

To monitor and check the conditions of all the machineries used in the production
process

Continuous improvement or Kaizen

The approach of continuous improvement or Kaizen is defined as an approach which

when applied in the work place improves every functions of business. It aims to
eliminate wastes in all systems of an organization through improving standardized
activities and processes. By understanding the Kaizen approach practitioners can
integrate this method in to their overall six sigma efforts. The principles of Kaizen are
41
 based on 5S which are sort, set in order, shine, standardise and sustain. By
implementing the Kaizen process in operations management the organization can
encourage the development of the team work, break down departmental barriers and
achieve higher levels of quality and innovation. The kaizen approach is followed by
various automobiles companies such as Ford and Toyota and textile manufacturing
companies.

The role of managers in Kaizen approach is as follows:

Identify the scope of a task.

For ensuring everyone is aware of what the Kaizen team is working upon.

Measuring the success of the Kaizen team.

The role that leaders play in this approach is missing

Identify which people will be in the team for the specific tasks.

List findings for both the benefit of the individuals on the team, and the management
team as well

To assist the subordinates in any kind of problems and issues and arrange for work
delegation if needed.

Six Sigma

The six sigma approach is defined as an approach which is disciplined in nature and
data driven in approach and it acts as a methodology for eliminating defects in any
process ranging from manufacturing to transactional and from products to services
across different organization. Upon the implementation of the six sigma approach in
the operational management an organization can achieve maximum customer
satisfaction by minimizing the defects, improve return on sales, investment, achieve
employment growth and stock value growth, improve production processes, and
prevent defects in the manufacturing process. There are various industries which
follow the kaizen approach such as industrial sector, insurance industry,
pharmaceuticals industry, retail industry and transportation and logistics industry.

42
 Role of leaders in six sigma approach:

To invest in six sigma training and resources.

To communicate the importance of six sigma.

Driving six sigma projects.

Recognizing and supporting employee participation

Role of managers in six sigma approach:

Including Six sigma cost saving in in management goals and reviews.

Giving review and support to the employee as well as the top management.

To monitor the implementation of the six sigma approach in the organization

Lean production

Lean manufacturing system is defined as simple and systematic method which helps
in the elimination of wastes within a manufacturing system. The implementation of
the lean process in the production can help in the operational management of an
organization by improving the quality of the product, improving visual management,
increases efficiency in the production processes, reduces the use of manpower,
helps in easy management of the entire process, it involves the entire company,
helps in the elimination of problems of the company, helps in the reduction of space,
provides safer work environment and improves the morale of the employees. The
lean manufacturing system is mostly practiced in automobile industries such as Ford,
John Deere and Toyota, IT Companys such as Intel and Clothing Company such as
Nike.

Role of leaders in lean production:

Helps the workers to understand their actual responsibility regarding lean production

Helps in giving directions to the subordinates to increase production.

43
 Monitors the process of elimination of wastes.

Role of managers in lean production:

Carries out analysis about the effectiveness of products.

Checks so that no useful materials are eliminated.

Reports the progress to the higher authority.

Queuing theory

Queuing theory is defined as the mathematical study of waiting lines in which a

model is constructed so that the queue lengths and the waiting lines can be
predicted. The application of the queuing theory in the operations management will
help the organization in solving the problems which are based on the scientific
understanding of the problems and solving them in an optimal manner and it also
help the organization by recommending the arrival of the customers whose products
are to be serviced, setting up of the work stations and recommending the
requirement of manpower. The queuing theory is mostly practiced in the agro
industrial sector, construction sector and in various supply sector such as tobacco
supply sector.

Role of leaders in Queuing theory:

To identify delay in queuing lines.

To identify the cause of the delay in queuing lines.

To identify the processes involved in delaying.

Role of managers in Queuing theory:

To supervise the entire process.

To guide the employees in order to reduce queuing delays.

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P5: Explain the importance and value of operations management in achieving
business objectives?

Operations management involves the overseeing, designing, controlling the process

of production and redesigning the business operations in the productions of goods
and services. It is very important in business operations since it forms the heart of
the organization by controlling the system of operations. It deals with the design,
operation and improvement of the systems that creates and delivers an organization
primary product or service. The functions of the Operation Management are as
follows:

Control and distribution systems- The controlling and the distribution function is a
very important factor in operations management as it is responsible in controlling the
production process and ensuring proper distribution of the products in order to fulfil
the objectives of the organization. It fulfils that the objective of the organization which
is proper utilization of resources is followed.

The efficiency of the control and distribution system can be improved by adopting a
strong control system and to improve the logistics infrastructure of the company in
order to meet the business objectives of the company. The control and distribution
system is concerned with the proper control of resources and distribution of the
resources accordingly to the various processes in a calculative manner so that the
misuse and wastage of resource is ensured by the organization and the products are
effectively distributed in the markets.

Transformation of raw materials into finished goods and services- This is one of the
important function in operations management as by analysing the customer demand
of the product the raw materials of the products are utilized in order to produce the
final product of the company after utilizing the resources of the company in an
efficient manner. It fulfils the objective of the organization which is to manufacture
quality products for their potential customers.

The efficiency of this process can be improved by reducing the excessive resources
to transform the raw materials into finished goods and services so that the
production cost of the organization is reduced and the company is able to do more
savings which will fulfil the business objective of the company. The transformation of

45
the raw materials into finished goods and services also involves various processes
and the organization ensures that the right process is used in the production of the
finished goods from the raw materials and adequate amount of human resource is
available in the production process in order to properly control the production
process (Walker et. al., 2011).

Process design- The designing of the process of production is a vital function of

operations management as by specifying the process in the production process the
production is carried out of the product of the company in order to meet the demands
of the customers and to make profits from it which will in turn fulfil the business
objective of the organization. It fulfils the organization objective of designing the
products according to the needs of the customers.

The efficiency in the process design helps the company to gain more productivity by
applying the right process for production by utilizing the least possible resources.
The organization make sure that the process which is involved in the production
process of the products comply with the standard of the production process and it
produces quality materials which complies with the benchmark of quality of the
organization.

Capacity Management- Capacity management is a very important function in

operations management as it specifies the capacity of the production process so that
no excess goods are produced in a particular production process as it will increase
the pressure of the production process and in turn the quality of the products will get
hampered which will earn bad reputations for the company which is against the
objectives of the organization.

It fulfils the organization objective of developing products by sustainable

development. The efficiency of the capacity management process helps the
company to produce the right capacity of products for the customers according to the
market demand of the product. It helps in reducing the production cost for the excess
products produced. The organization ensures that they monitor the capacity
management of the production process so that the qualities of the products are not
compromised in order to meet the production capacity and the goods are produced
according to the demands of the market (Carroll and Buchholtz, 2014).

46
Logistics and inventory management- The logistics and inventory management is
very important from the organizations point of view as without proper logistics
support the finished goods cannot be transported to the market in time which will in
turn lead to the decrease in demand of the goods and service in the market and the
organization must also focus on inventory management to store the excess products
of production and ensure that they get utilized at some point of time. (Talk, O.M.,
2016).

It fulfils the organizations objective of maintaining a proper supply of the products in

the market to address customer demands. The effectiveness of the logistics and
inventory management process helps the organization to deliver the finished
products in the manner in the right time by following a systematic process and also
helps in utilizing and storing the excess products for future use. The logistics and the
inventory management also ensures that the proper logistic channel is selected for
the distribution purpose otherwise it will lead to the increase of the cost of the
product which will eventually increase the price of the product.

Scheduling- Scheduling is a very important function of operations management as it

helps in the proper scheduling and distribution of the tasks according to the skills of
the employees, the resources of the organization and the time available for
completion of the task. Before starting a task scheduling is a very important process
for every organization as it creates the entire framework of the task to be done in a
given period of time. It is very important from a business point of view in achieving its
objectives as it helps in completion of the process within the shortest possible time
limit in order to gain a competitive advantage.

It fulfils the organizations objective of designing the right product at the right time by
following the right process. The efficiency of the scheduling process will help the
company to complete a given task or objective in the given span of time and it will
also help in the prioritization of the tasks by the company according to the needs and
requirements of the company which will help the company to accomplish their
business goals. The scheduling process also helps the organization to properly
organize the production process of the product so that the entire production cycle
continues in a smooth manner and the market process do not hamper the schedule

47
 of the operation process as it can lead to the detoriation of quality of the products
(Dewar and Cook, 2014).

M3 Evaluate how leaders and managers can improve efficiencies of operational

management to successfully meet business objectives.

Leaders can increase operational efficiencies of operational management to

successfully meet business objectives by the following steps:

Empowering remote employees to work productively- The leaders must empower

their staffs to produce on the highest levels while working remotely as one of the
best ways to empower employees is to empower team members to produce in a
virtual environment through access to virtual private networks. These networks can
be secured and accessed by the employees where there is internet access, allowing
them to work round the clock. Working in this fashion allows employees to work with
more freedom and greater ability to work in greater creative environment which will in
turn increase the employee output. This fulfils the objectives of the organization
regarding developing work productivity of the work force to meet the demands of the
customers. It can help in the operation management as the workers are getting a
flexibility to work in their preferred hours and at preferred locations which in turn will
help to maintain the quality of the product and help in increasing the productivity of
the employees and therefore leader and managers should focus on empowering
employees to work remotely by developing and promotions platforms to work
remotely. The leaders and the managers must adopt this technique in order to
develop a flexibility in the operations management.

Clearing Labour redundancies- It is very important for a leader to abolish all the
useless hierarchical positions that is present in the lower levels of the organizational
structure during the course of any important tasks as the leaders will be directly able
to communicate with the other employees regarding the organisations objective to
the employees of the lower management without using any in between sources as
this ensures the smooth passage of the information and by applying this process the
top management will also come across the view points and thinking of the lower
management regarding the companys decision directly without any middle agents
as this will help in creating a feel good feeling in the minds of the employees which

48
 will help in improving the efficiencies in operational management in the organization.
This fulfils the objective of the organization which is to look after the welfare of their
staffs and employees. From the operational management point of view it helps in
clearing all the in-effective and un-productive elements of the production process
which affects the productivity of the employees and the main role of the leaders and
managers is to identify the redundancy factor and eliminating it from the production
processes in order to ensure that the communication process which is present in the
organizations is effective in nature which helps in maintaining the efficiency and
productivity of the operations management.

Managers can increase operational efficiencies of operational management to

successfully meet business objectives by the following steps:

Improving Collaboration- This is one of the main technique that every manager must
follow to increase efficiencies in operations management as it helps in improving the
team work between the employees which helps in proper bonding and understanding
of the employees and as result a healthy work environment is created where the
employees work freely by assisting in each others work. This fulfils the objective of
the organization regarding promoting co-operation and co-ordination within the
company and from the point of view of the operational management it will be
beneficial as it will develop the communication process in the production process
which will benefit in the operations management as the speed of the production
process increases due to improved understanding and collaboration of the
employees.

Creating incentives programs- This is another major technique that managers needs
to follow in order to increase operational efficiencies as it works as a motivation
towards the employees who in turn work more efficiently for the organization for his
own benefits which increases the productivity of the employees. This fulfils the
objective of the company to motivate the employees of the company to work harder
for the benefit of the company and also for himself and from context of the
operational management it is useful as it motivates the employees towards reaching
the goals and objectives of the company and it helps in improving the productivity of
the operations management as the employees will be more motivated towards their
tasks.

49
 Communicating properly with the customers- This technique should be applied by
managers in order to know the customer needs and expectations from a particular
product and design the product accordingly by fixing strategies with the top
management. The communication is very important from a companys point of view
in order to understand the buying behaviour of the customers and the buyer motives.
Thus proper communication with the customers helps in increasing the efficiency of
the operations management. This fulfils the objective of the organization regarding
developing a good relation with the customers of the company and it helps in the
operational management of the organization as they come to know about the
demands of the customers so that they can produce the goods according to their
demand without wasting the resources of the company.

50
Control and distribution systems: In control and distribution system, activities will be
controlled and proper reviewing of the activities enrolling for the satisfaction so as
the ability of increasing return for overall enhancing the level of enrolling results.
These systems enriched the activities of ensuring the control system of the
organization and effective distribution channel for maintaining the organization. The
control and distribution for the managers and leaders govern the actions for
increasing the mechanism role of the business operations.

How leaders and managers can improve efficiencies of operational management to

successfully meet business objectives?

Transformation of raw material into finished goods and services: This model signifies
the converting of raw material into finished goods with delivering of products and
services provided to the customers. The transformation will be done for analysing the
options. The Transformation brings the changes for creating the inventory control
and the system measure for meeting the brand expectations in increasing the
organization as the whole.

The foremost duty of the leader and the manager is to transform the effective goods
for the production into the finished goods for increasing satisfaction for the analysing
the operations. How leaders and managers can improve efficiencies of operational
management to successfully meet business objectives

Process design: Process design is the process for transforming the raw material into
finished goods and enhancing the field components of the organization. The process
design will help the [process for increasing the results through the efficiency and
managing the results for increasing initiation in the formative manner.

The foremost duty of the leaders is to enhance the process design to improve the of
the effectiveness of operations management thus increasing results with the
available satisfaction of the concerned factor of the organization. How leaders and
managers can improve efficiencies of operational management to successfully meet
business objectives?

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Capability management: It is the process which the organization collects the
revenues of increasing the market place and competing with all other firms in the
industry. The capability management through the managers and leaders include the
capabilities increases the result and the activities that will be formed for the action.

How leaders and managers can improve efficiencies of operational management to

successfully meet business objectives

Logistics and inventory management: Logistics and inventory management which

supervises the activities and the flow of goods which increases the value and the
results and maintained the action. Logistics and inventory management plan
implement and control the effective and efficient the flow and storage of goods for
the point of starting to the final end of the user. Through the ability in the logistics
management, managers and leaders increase the efficiency for the satisfaction
prevailed in the results.

The managers work on the basis of logics and inventory management,

implementation of the inventory plan transform the value of the enhancement of
preventing customer basis problem of the business problem. How leaders and
managers can improve efficiencies of operational management to successfully meet
business objectives?

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Inventory control: In any organization, inventory is the most important tool. It
determines the measures of investing and funding the relative aspect for the growth
of the organization. Operations management oversees the system of inventory which
effectively managed and flow the inventory control operations. Supply chain
management: It is the entire process of the organization perspective. This involves
the procurement, delivery and conveying the process in the staffing management in
the organization and maintain the results.

It is the duty of the manager for the controlling of the inventory for the shortage and
the surplus of funds for maintaining stability and growth and empowering the right
technique used for the operations. How leaders and managers can improve
efficiencies of operational management to successfully meet business objectives

Scheduling: The Scheduling is the working of an activity that has been assigning for
completing the goal of the organization and accomplishing the resource. It is the
process of arranging, controlling and optimizing of an activity involved for the
process in the manufacturing. Scheduling is done for the efficiency for the managers
and the leaders for increasing the efficiency of the business.

In scheduling the foremost duty for achieving the organization objective for the basis
of the optimizing process in order for the involving results that have to be done for
the basis of the operation system for meeting the objectives. How leaders and
managers can improve efficiencies of operational management to successfully meet
business objectives?

Constant planning and development: This involves the informational, interpersonal

and organization effectiveness of the enhancement level of the sub units. It is to
attain optimum level of satisfaction and enhancing the skill set and motivates other
people for increasing the level of efficiency of the business. There will be standard
set of guidelines of increasing the controlling and distribution of the policy of the
results and executing the policies done for the formulation of the results. Through
constant planning and development, organization will be updated for the involving
increasing results nad satisfaction for the innovative ideas and increasing the self
development and planning for maintaining the efficiency of the business.

53
How leaders and managers can improve efficiencies of operational management to
successfully meet business objectives?

54
Task 4 Assess the factors within the business environment that impact upon
operational management and decision-making by leaders and managers.

P6 Assess the factors within the business environment that impact upon operational
management and decision-making by leaders and managers.

The business environment gets affected by a number of external factors which

affects the operations of the business and also the decision making part of the
organization. Therefore it is very essential from an organizations point of view to
identify the impacts of the external factors on the business environment so that it can
adopt appropriate strategies and policies to reduce the impacts of the external
factors on the operations of the business and also in the decision making part of the
organization. The various external factors which are identified are political,
economic, social, technological, environmental and legal.

CSR: or Corporate Social responsibility is defined as a business approach that

contribute to the sustainable development by delivering economic, social and
environmental benefits to all its stakeholders. The leadership and management in an
organization have a great role to play in context of Corporate Social Responsibility.

The organizations must adopt short term goals for the organization which should be
beneficial for the company in the long run. Therefore a company needs to make
minor adjustments and compromise from their part in order to practice the Corporate
Social Responsibility. The organization must also ensure that a large part of their
CSR policy is dedicated towards the betterment of the local community where they
do their businesses in order to help in the growth of the individuals of the local
community who had suffered due to the activity of the organizations.

The organization must also ensure that the natural resources are used according of
the demand of the situation and therefore the production process must be controlled
in order to not to produce excess products by putting maximum pressure even if it is
not needed and the CSR policy should also ensure that they do not contribute to the
increase of pollution level of a particular place by its activities and rather they should
focus on decreasing the pollution levels of that place.

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The CSR policy affects the decision making system of the organization too as the
contents of the CSR policy make the organization to make decision which are ethical
in nature and will be beneficial in the welfare of the stakeholders.

Culture is defined as ideas, customs and social behaviour of people of a particular

place. The culture of a place affects the business environment in a direct manner as
the company identifies the culture of a place and designs their products according to
the culture of that place. Culture also plays an important role in operations
management as during the operation process the culture of the work force of the
people are taken into account and accordingly strategies are devised to increase the
effectiveness of the work force of a particular culture.

The culture of a particular place also plays an important role in the decision making
process of the organization as the decisions are made by the company for a product
keeping in view the cultural background of that particular place by keeping the view
the cultural diversity of the place so that the people readily accepts the culture by
perceiving it as a part of their culture.

Values are defined as principal or standards of ones behaviour. Values are

considered as important factor in the business organization as the products and
services of an organization is developed and modified after analysing the values of
the general customer at a particular place. In the operations management too values
are considered as important parameters to finalize the standards of the production
and also to set the working standards of an organization.

In the decision making process values are given ample importance as the values of
the people of a particular place helps the organization to plan the decision making
process and also to implement it. The managers and leaders of the organization
must focus on developing a proper culture in order to provide a proper platform to
the employees of the organization to showcase their skills and talents and also
ensure that no non-ethical cultures are values are cultivated in the organization

Ethics: In order to follow the Corporate Social Responsibility an organization must

practice ethical business and ensure that the activities of the organization do not
harm the stakeholders of the businesses and also the environment. Ethical business
is defined as the business which is dome by following ethics and it aims to benefit all

56
its stakeholders through its activities. The top management and leadership should
also ensure that the mission and vision statement of the country should be modified
and redefined time to time in order to comply with the business ethics and the

Corporate Social Responsibility. The leaders and management of the organization

must ensure proper following of ethics in order to promote the welfare of the
stakeholders and must encourage a sustainable development within the
organization. The leaders and top management of the company must also ensure
that the ethical policies towards businesses are followed in all the hierarchical level
of the organization by all the employees of the organizations who are the major
stakeholders of the company.

The organization must also ensure that they follow the basic code of conduct for
doing business and should not promote their product in a false manner to mislead
and misguide the customers as it is against the ethical business policy. In the
operations Management Department of the organization the manager or the leader
of the operations management should ensure that the all the factors related to
operations management are followed in an ethical manner are followed in a
sustainable manner and the production should not be pressurised much because it
leads to the depletion of the natural resources of the environment.

The organizational leaders and managers must also ensure that the policies and
strategies of the organization must be ethical in nature and must not mislead the
society. In order to become an ethical organization the company must adopt an
ethical approach right from its grassroots and inceptions. Ethics plays a great role in
the decision making process of the organization as the decisions of the organizations
which are taken is ethical in nature which aims to benefit itself also its stakeholders
in the business.

In the organization the leader and managers main role is to follow proper ethics of
work ,behaviour and business so as to motivate the employee in to working hard and
to create a sense of equality among all the employees of the organization

Sustainability: Sustainability is defined as an approach which focuses on to meet the

demands of the present generation without compromising the needs of the future
generation. It is a very important aspect of every business as every organization

57
wants to promote themselves as a responsible organization to the general customers
so that they the general customers get more aware about the company and it is also
important from a businesss point of view as it aims in the saving of resources which
will be required by the company in the future. The daily businesses of the
organization should be sustainable in nature in order to protect the environment.

The top management of the company including the leaders and managers should
ensure that the objectives and the strategies they are planning to apply on their
organization must be sustainable in nature and should not harm the cultural and
social ethics of the society (Carroll and Buchholtz 2014). Sustainability possesses a
great impact in the operations management as the sustainability ensures that the
resources of the company are utilized in an effective process in the company without
misusing it so that it helps in increasing the efficiency of the operations management.

Meeting stakeholders expectations

Stakeholders are defined as those entity, individuals or bodies who hold stake in the
business and whose activities get affected by the activities of the businesses. The
stakeholders of a company are mainly the customers of the company, the employee
of the company, the suppliers and creditors of the company, the government of the
country, the local community of the organization and the environment of that
particular area.

The management and leadership of an organizations have to effectively fulfil all the
needs and demands of their stakeholders and take care of their welfare. A
stakeholder of an organization is defined as those individuals or entities that hold
stake in the organization. Therefore it is the responsibility of every organization to
fulfil all the expectations of their stakeholders.

The consumers who is the primary stakeholders of the organization expects quality
products from the organization at a comparatively low price and the organization
must ensure that the expectation of the customers are fulfilled. The employers of the
organization who are also a stakeholder of the organizations expects proper working
environment in the organizations and proper growth and salary. Therefore the
organization has to take care of their welfare.

58
The suppliers of the organization who are also the stakeholders expect proper order
and payment from the organization at regular basis and the organizations must also
fulfil their expectations. The government who is also an important stakeholder of the
organization expects proper taxation policy and other legislation followed to be
followed by the organization efficiently.

Stakeholders play an important role in the operations management of the company

as the operations of the company are carried out to meet the demands of the
customers who are one of the biggest stakeholder of an organization and therefore
the decision making process of the company is fully affected by the activities of the
stakeholders of the company and their expectations from the company.

Encouraging, developing and sustaining intrapreneurship

Leaders and managers must follow the policies of intrapreneurship in order to

implement new policies in the businesses by developing new approaches towards
business or by changing the organizational structure. Intrapreneurship helps in
promoting growth of the organization, helps in developing various innovation ideas to
make more profit from the business by properly investing in it, It is also reposible to
develop and evolve the spirit of leadership within the organization among the
employees which further help in succession planning. Lastly, it also helps to change
the approach of the organization in case of new situation engaging all the workforce
under one common platform.

Intrapreneurship plays a major role in the growth of the company as the process of
intrapreneurship helps to identify and create new approaches which are unique,
productive and innovative in nature and therefore the approach gains popularity in
the market and therefore it helps in the growth of the company and by adopting the
models which are created as a result of intrapreneurship helps in increasing
productivity of the company by utilizing less resources which in turns promote
sustainability.

The role of a manager in encouraging, developing and sustaining intrapreneurships

are as follows:

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 To ensure that the employees of the organization are served with their basic
physiological needs.

To constantly motivate the employees of the organization.

To implement reward system for the employees for achieving their goals.

The role of a leader in encouraging, developing and sustaining intrapreneurships are

as follows:

To arrange for training and development programs for the employees.

To make sure that the employees are aware off their individual goals and
responsibilities.

To encourage the employees towards the continuous learning process from various
sources.

Encouraging, developing and sustaining entrepreneurship

The leaders and managers must also apply the theory of entrepreneurship in their
organizations in order to take risk oriented decisions for the welfare of the
organizations and applying innovative thinking and ideas in businesses. By the
implementation of the entrepreneurial theories organizations can taste success
within a short term as it aims to achieve success by taking various innovative and
risky decisions without focussing on the short term effects of the decisions being
taken. The main factor which drives entrepreneurship is innovation because people
are more inclined towards innovated goods and services rather than normal goods
and services. (Formentini, and Taticchi 2016).

The entrepreneurship approach will help the organization to achieve growth as it

promotes the idea of risk taking to improve their performance and productivity. The
entrepreneurship model will help the organization to focus on promoting
sustainability as the approach of entrepreneurship states that by applying this
approach organization will be focusing on long term goals and objectives in order to
achieve success which in turn promoted sustainability.
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 The role and responsibilities of the managers regarding developing and encouraging
sustainability is that that must identify entrepreneurial skills of an employee and help
them to pursue their entrepreneurial dream without only indulging in the tasks of the
organization.

The role and responsibilities of a leader in this context are as follows:

To identify the entrepreneurial drive of an employee.

To utilize the creativity and innovation capacity of the employee for the growth of
organization.

Encouraging the employee to develop a long term vision.

The role and responsibilities of a manager in this context are as follows:

To ensure that the employee is not just involved in the tasks of the organization

Providing proper opportunity to the employee to pursue their entrepreneurial spirit by

accepting leave proposals whenever possible.

To utilize the risk taking capacity of the employee in order to conduct various
operational tasks.

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M4 Analyse how these different factors affect the business environment and wider
community.

The business environment gets largely affected by the CSR policy adopted by the
company as the CSR policy of the company improves the brand image of the
company and promotes the company as a socially responsible which is a key
concern for all of its stakeholders.

Culture-The CSR approach of the company helps in preserving the local culture of a
place so that they do not destroyed by the passage of time and which will help them
to promote themselves as socially responsible organizations that works for the
betterment of the society by preserving culture. By preserving the culture the
company can also focus on designing products which satisfies with the culture of a
particular community which helps in maintaining the business the business
environment of the place and protecting the rights of the wider community.

Value-The CSR policy of the company also helps in preserving various values
relating to the society they operate in. By preserving the values of a community the
company can get a better idea of the values of the place and according to that
promote their product in such a way that it satisfies all the potential customers even if
there values and beliefs are different from each other. It helps in creation of a sense
of responsibility in the business environment and more and more business
organizations come forward to fulfil their responsibility towards the community in
which they operate.

Ethics-The CSR policy of the company also ensures that the business ethics
followed by the company are at par with the general business ethics which aims to
promote transparency in the business world and help the customers in choosing the
right products. By following ethics in business the company ensures that none of
their customers are misguided regarding the offerings of their products and they
remain loyal and responsible to their potential customers who are also concerned
with the welfare of their stakeholders other than achieving growth and development.
It improves the image of the company and increases its reputation in the market of
an organization which is ethical in nature.

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Sustainability- The CSR policy also ensures that the products of the company are
developed in a sustainable manner which will not harm the environment by polluting
it or putting pressure on its resources but rather it should promote sustainable
development. The sustainability as a whole impacts the entire community because
by practicing sustainability in the organization it is mostly that the society will be
benefitted the most due to the reduction in the over utilization of resources and also
due to the reduction of the pollution levels in the local ecosystem. It impacts the
wider community and the business environment as it aims in the preservation and
conservation of natural resources and promotion of renewable resources.

Meeting Stakeholders Expectations

The CSR policy also aims to meeting the stakeholders expectations by fulfilling all
the requirements of the stakeholders from the company. The customer expectation is
fulfilled by getting the right product at the right prices by ethical means. The
employee expectation is fulfilled providing them the proper work environment and
satisfying all their physiological needs. The suppliers and creditors needs are fulfilled
by giving their due payments and their due orders in time.

The expectation of the government is fulfilled by receiving all the taxations in the
right time and observing that all legislations and acts of the business are followed.
The expectation of the environment is fulfilled by designing the products in a
sustainable manner without polluting the environment or putting pressure on the
natural resources. The expectations of the local community are fulfilled by receiving
all kinds of community development schemes and programs from the environment.

The encouraging, developing and sustaining intrapreneurship will not only impact the
organization but will also impact the wider community because the idea of
intrapreneurship will aim to develop new ideas and policies within the organization in
order to foster the growth of the product which in turn impacts the wider community
as the products of the company are designed for the wider community after all by
adopting innovative ideas and techniques keeping in view the needs and demands of
the wider community.

Encouraging, developing and sustaining entrepreneurship will not also develop the
organization but also it will have the greatest impact on the wider community as the

63
approach of entrepreneurship involves focusing on long term objectives rather than
focusing on short term objectives which in turn inspires the company to produce
product and services for the customers keeping in view their long terms demands
and expectations of the customers from the product and it also promotes
sustainability as it does not exerts pressure on the natural resources of the
environment to produce their products.

D2 Critically evaluate application of operations management and factors that impact

on the wider business environment.

The applications of Operations Management:

Control and distribution: According to Saremi (2014), the Control and distribution
system with the controlling and operating the production and the manufacturing
process for the efficient results in comprising of an action. The distribution policy
should be resultant of an effective channel of the production process.

Evaluate application of operations management and factors that impact on the wider
business environment.

Please exapand on these positives and neative impact and convert these into small
paragraphs below

Positve impact

Reviewing of the operatins that has to be done effectively

Smooth operations of the business.

Negative impact

Distributiopn channel will not be effective

Time consuming process.

Transformation of raw materials: The raw material which is to be converted in the

finished goods will be the converting process of the production as relates to the
growth of the organization. Evaluate application of operations management and
factors that impact on the wider business environment.

64
Positive impact

Transformation of the production of goods effectively

Quick process

Negative impact

Results will not be achieving effectively

Process design: The design evaluates the process for the physical and chemical
distribution of the effective results undertaking for an action. Saremi, (2014)
Evaluate application of operations management and factors that impact on the wider
business environment.

Positive impact

Effective distribution of the goods and services

Right channel is used.

Negative impact

Process will not be done according to the proper results

Decreasing ability of the organization

Capacity management: Capacity management is the process of information

technology with ensuring the effectiveness of the current and future requirements for
the common interpretation of an activity and ensured the results. Evaluate
application of operations management and factors that impact on the wider business
environment.

Positive impact

Updating of technology
Effectiveness of the completion of the requirements

Negative impact

Involvement of interpreting of activity

Basis of the future activity

65
Logistics and inventory: Investment and logistics inventory management supervise
the results which include the activities for ensuring the point of sale. It helps in
difficulty for the portfolio in the logistics. Evaluate application of operations
management and factors that impact on the wider business environment.

Positive impact

Effective supervision of the inventory\

It is involved for the basis on the long run.

Negative impact

Problem of portfolio in the logistics

Time duration

Project Scheduling- Project scheduling is perhaps the most important application of

operations management as it is responsible for controlling the entire project as
scheduling is very important from a companys view point in order to plan the task
properly and distribute the task properly among the team members according to their
skills and strengths. It impacts the business environment and the wider community
as without the proper scheduling of the project the products of the company will not
be able to reach the target customers in the market which will result in the decrease
in the reputation of the company. This is the tool in which the work has to be
performed for measuring the results. The project scheduling delivers the object
which delivers the project according to the stipulated time.

According to Majuka (2016), operations management helps in effective operations of

the management. The effect on the operations management helps in the functioning
of the business in according with the prospective conditions for the formative
strategies in order for the leading action because of the legislation are governing by
the actions for adopting the objective of the results.

According to Elisa et. al. (2013), there is the practices involved in the operation
management procedure regarding the logistics process of the industrial goods. This
will improve the efficiency of the production. In the outcome processed for the

66
effective operations and the results, business envi9ronment is analysed regarding
the operative study of the business.

In the whole analyses the concept involved in the increasing level of the business
environment depicted the level of activity and anticipate the actions for the focuses
on the results in the action pertaining to it.

Please add how these factors affecting the wider business environment: against
each below: -

Social responsibility issues- In order to stay emotionally and socially connected to

the common people the company are largely focusing on various social responsible
issues. The CSR activity must be adopted in the for the organization perspectives for
the sustainability in the organization perspectives. This issue consist for the welfare
of the employees and the customer that prevailed in the organization. The social
responsibility issues in enhancing the social culture as the responsibility will be
helpful in the business environment because of the preference of the society and
changing preference leads to impact. The ethics, culture and responsibility will be
undertaken to form the issues and the management. Add example : The welfare of
the society enhanced by the adoption of CSR activity in which activity will be
regulated for the emphasis on the action. This will ensure growth and satisfaction

CSR Culture, values, ethics, sustainability- The adoption of the CSR culture, value ,
ethics, sustainability, helps a company to develop a proper brand image and identity
in the market thereby affecting its business environment. The ethics and
responsibility undertaken in the organization in order is for managing the result by
maintaining the stability and the growth of the organization in order to prospect the
results. The CSR culture will be impacted on the business environment by moral
values and decreasing culture majorly effect on the environment of the business.
The ethics, sustainability brings the aspect for increasing the values and implied on
the basis of the strategy for the increasing the market environment.

Stakeholders expectations- An organization always focuses on meeting the

stakeholders expectations as without the meeting the expectations of the
stakeholders the business objective of the organization does not get fulfilled. The
expectations of the stakeholders are high as they are the owners of the organization

67
and influence the organization effectiveness in order to maintain the results. If the
stakeholders expectation will not be fulfilled than the goals and objectives in the
organization will not be achieved as results will fall and goodwill and image will not
be maintained. If the goal of the organization will not be realistic than it get the
knowledge of poor decision making power and for the benefit of the future decision
will not be working according to the results.

Encouraging, developing and sustaining intrapreneurship- The encouraging,

developing and sustaining intrapreneurship capacity helps an organization to grow
accordingly in its business as the capacity defines the involvement of the company
towards the employees. This intrapreneurship is influenced by affecting the economy
of the organization which constitutes the driving economy of the results. This aspect
creates the availability of employment retention in the organization. If the
intrepreneurship will be encouraged then the organization will be more sustainable
and the results will be achieved in to higher results and increasing the actions. The
intera preneurship will be increasing the actions and activity that will be rise in the
maximising profitability and maintain the results which may be fallen for the certified
actions and increasing strength and results.

Encouraging, developing and sustaining entrepreneurship- The encouraging,

developing and sustaining entrepreneurship capacity helps an organization to grow
accordingly in its business as the capacity defines the diversification ability of the
organization of its businesses. The entrepreneurship is sustained through
technological innovation and expanding the effectiveness of the results in order for
building the organization growth and induces the economy of the results. It helps in
developing and sustaining entrepreneurship by enhancing the growth and
effectiveness of the organization and the influence will results to the direct activity of
the organization.

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Conclusion

This report evaluates the role that operations management play in the daily activities
of the organizations starting from production process right up to the delivery process.
The leaders and managers of an organization follow a variety of principles and
approaches to increase the efficiency of the operations management in their
organization in order to increase the effectiveness and the efficiencies of the
organization. This report notes that every organization has to undertake the
Corporate Social Responsibility in order to protect the culture, ethics and
environment in a sustainable manner, to become ethical in nature and also consider
the impact n wider community thus grabbing the attention of the customers by doing
ethical business practices.

69
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