Higher Nationals

Summative Feedback on Assignment Decision – BTEC (RQF)

Higher National Diploma in Business

Kensington College of Business Centre Code: 10149

Programme Title BTEC Pearson L4 in Business

Student Name and ID ALICE-TATIANA DRANGANAGIU 18830

number
Unit Number and Title Unit 4 Management and Operations

Unit Code: D/508/0488

2019/2020
Academic Year
Dr M Mulenga
Unit Assessor
LO1, LO2, LO3 and LO4
Targeted Learning outcomes
28/10/2019
Issue Date
23/12/2019
1st Submission Deadline
22.12.19
Date submitted:
February 19 intakes
Group/ Semester.

Please put your intake details

Re-submission deadline( If
Applicable))
Date re-submitted

1st Submission Referred Pass Merit Distinction

Unit Final Grade

Assessor Feedback:
Assessor signature: Date:

Lead internal verifier / Pearson EE comments (If applicable)

Signature: Date:
Contents

.................................................................................................................................................................................... 1

Higher Nationals.................................................................................................................................................................... 1

Summative Feedback on Assignment Decision – BTEC (RQF)............................................................................................. 1

Introduction............................................................................................................................................................................... 5
LO1: Presentation to differentiate between the role of a leader and the function of a manager covers LO1.............................6
Leadership VS management:.............................................................................................................................................. 6
Management functions such as planning, organising, controlling and directing.................................................................7
Theories of leadership traits, style and contingency........................................................................................................... 9
Transformational and Transactional Leadership............................................................................................................... 10
Action centred Leadership................................................................................................................................................ 11
‘Hard’ management skills and ‘soft’ leadership skills........................................................................................................ 11
LO2: Apply a range of management accounting techniques..................................................................................................... 13
Leadership Theory............................................................................................................................................................ 13
Situational Leadership Theory.......................................................................................................................................... 13
Transformational leadership Theory................................................................................................................................. 13
Transformational leadership-........................................................................................................................................... 13
Leadership Strategy of Shell............................................................................................................................................. 14
ASDA........................................................................................................................................................................................ 14
ASDA Mission, purpose and values................................................................................................................................... 14
Strategic management and Leadership............................................................................................................................ 14
Link between strategic management and Leadership....................................................................................................... 15
Strategic Management and Leadership (ASDA)................................................................................................................ 15
Impact of Management and Leadership in ASDA.............................................................................................................. 16
LO3: Demonstrate an appreciation of the role leaders and managers play in the operations function of an organisation.......17
Theories of operations and operations management:.......................................................................................................... 17
Six sigma, lean production and queuing theory................................................................................................................ 17
Different operations management approaches:............................................................................................................... 17
(TQM), Justin-Time Inventory and the concept of continuous improvement (Kaizen)......................................................18
Kaizen............................................................................................................................................................................... 18
Operational functions:...................................................................................................................................................... 19
LO4: Demonstrate an understanding of the relationship between leadership and management in a contemporary..............22
Different dimensions of contemporary business environment:........................................................................................ 22
Business Ethics................................................................................................................................................................. 22
Role of business in society................................................................................................................................................ 23
Defining CSR..................................................................................................................................................................... 23
 ASDA’s CSR policies.......................................................................................................................................................... 24
Ethical Trade..................................................................................................................................................................... 24
Food Safety...................................................................................................................................................................... 24
ASDA and Staff relationship:............................................................................................................................................. 25
Recycling and Waste......................................................................................................................................................... 25
Community Involvement:................................................................................................................................................. 25
Home shopping service.................................................................................................................................................... 25
Best of British................................................................................................................................................................... 25
Health: ASDA.................................................................................................................................................................... 25
Recommendation..................................................................................................................................................................... 26
References............................................................................................................................................................................... 27
Management & Operations
Introduction
The subject of operations management relates to the production of goods and services and includes making
sure that operations of concern are well organised and cost-effective. Operations management This involves
inventory control, the transfer of goods and services to consumers and monitoring of the network of line-up.
Operations Management trades and supervision of commodities, traffic, utilities and iron supply. This focuses
on the capable planning, preparing, use and ordering of an organised or service organisation by the acquisition
of design manufacturing structures, related technology, information systems direction, full management of
quality, management of supply, direction of inventory, accounting and other maps affecting the organisation.
In addition to decreasing operations in the manufacture of goods and services, valuable added activities have
been put into a batch of end products by alterations. Firstly, these original practises should be connected to the
opportunity to present the best possible market place
LO1: Presentation to differentiate between the role of a leader and
the function of a manager covers LO1.
Leadership is a science and an art. Managers deal with people who can not reduce their behaviour to
equations. Managers may benefit from the understanding and implementation of best practises or techniques
to operate an organisation. The philosophy of management is a view of several ways of running a business
based on various ideas about how people and procedures work (Branes, 2017).
The theory of scientific management Frederick Taylor introduced the idea of empirical or classical
management as science's potential for increasing productivity became very apparent in the turn of the 20th
century. This methodology uses data and metrics to make companies more effective. Managers should
transmit information that helps them to run their business by numerically evaluating and reviewing
processes (Branes 2017).
Bureaucratical management theory Max Weber has based his bureaucratic management theory on
Frederick Taylor's theory of scientific management based on the scientific principles that Taylor has applied
to and applied to production systems. The philosophy of bureaucracy focuses on clearly defined roles for
workers and administration focused on the rationalisation of hierarchies (Branes, 2017).
Human Relations Theories Management systems were more human-centred throughout the twentieth
century, emphasising the capacity of people to act independently and creatively, and handling their
resources to make the most of their abilities. Human-relations management theories stress how important it
is to match employee desires with client needs and policies (Branes, 2017).
Systems theory
System theory explores structural developments in scientific and conceptual contexts and the system theory
management approach also tries to create an interconnected and sustainable whole within the industry.
Systems theory Parameters include specifying the overall objective of the company, ensuring that its various
elements participate in achieving it and understanding the mechanisms guiding the process (Branes, 2017).
Leadership: Leadership: There are many different concepts of leadership. Stogdill concluded that "there
are almost as many interpretations of leadership as there are people who have tried to define the term."
Although Peter Drucker sums up that, "The only definition of a leader is one who has his followers.
Some scholars believe that management is no different from the processes of the social influence between
all of the members of a group, and others believe that leadership is all someone can effectively lead. The
classical problem of whether leaders are made or born is always troubling for many researchers. Although
management is unusual, it should not be easy (Eddie Fowler, 2011).
Management: Some would consider the administration an art, while others would call it a science.
Management: Whether management is an art or a science, this is not the most relevant thing. Management is
a way of achieving organisational objectives. In other words, a method used to do what a company wants to
do. To thrive in a successful company (Branes, 2017) there should be a combination of leaders and
managers.
The concepts of a leader as well as a manager: Managers are the individuals to whom this management role
is entrusted, and the core tasks of planning and budgeting, organisation and hiring, problem-solving and
tracking are generally believed to achieve the desired objectives. On the other hand, leaders are leading the
way and uniting, empowering, and inspiring people.
Many scientists believe a leader's spirit, commitment and strength. A leader with a heart, enthusiasm and
creativity is seen by many scholars, while the conductor is analytical, rational and cautious. A leader is
independent, creative, planned, motivated, courageous and, at the same time, consultation, critique,
deliberation, authority and stability of a director (Eddie Fowler, 2011).
The most important differences between leaders and managers concern the workplace and are concluded in
table I:
Process Management Leadership
Vision Establishment o Plans and budgets o Sets direction and develop the
o Develops process steps and vision Develops strategic plans
sets timelines and achieve the vision
 o Displays impersonal attitude
about the vision and goals
Human Development and Networking o Organizes and staffs
o Maintains structure
o Delegate responsibility
o Delegates authority
o Implements the vision
o Establishes policy and
procedures to implement
vision
o Displays low emotion
o Limits employee choices
Vision Execution o Controls processes
o Identifies problems
o Solves problems
o Monitor results
o Takes low risk approach
to problem solving
Vision Outcome o Managers vision order and
predictability
o Provides expected results
consistently to leadership and
other stakeholders
Table I: Comparison of Management and Leadership Process Differences in the workplace (Kotterman,2015).
o Displays very passionate
attitude about the vision and
goals
o Align organization
o Communicates the vision,
mission and direction
o Influences creation of
coalitions, teams and
partnerships that understand
and accept the vision
o Displays driven, high emotion
o Increases choices
o Motivates and inspires
o Energizes employees to
overcome barriers to
change
o Satisfies basic human
needs
o Takes high risk approach
to problem solving
o Promotes useful and dramatic
changes, such as new
products or approaches to
improving labour relations

Management functions such as planning, organising, controlling and directing.

Since the management consists of solving the problems within an entity to achieve the desired objectives, the
emphasis is on understanding its functions. Different ideas regarding the functions were developed as experts
began to study and theoretically the centre of management.

While management function theories lead to relatively similar outcomes, the distinction and the historical path
to our current understanding of functions can be studied usefully. Here are some of the most important ideas
and researchers who have presented their views on management roles (Eddie Fowler, 2011).

In 1976 the essay management: A processes and contingency study of management functions was written by
Harold Koontz and Cyril O'Donnell. They felt that previous studies represented the functions adequately, but
felt that the distinction ought to be more comprehensive. Koontz and O'Donnell claimed that five key
management functions existed:

• Planning

• Staffing

• Management

• Control

These 5 administration functions have possibly become most quoted and discussed in the next chapter.
Generally, the rapid approach would have illustrated the integration of management roles in theory (Elliot
Bendoly, 2015).
Planning
Planning is the first management feature. The aim is to create a comprehensive plan to achieve a particular
organisation's goal. As you prepare, you specify the tasks required to achieve the objectives, explain how the
tasks should be carried out and decide when and by whom they should be carried out. Planning focuses on
achieving the goals and requires knowledge of the objectives and vision of the company. As part of the plan,
you will have to look both at the organisation's short and long term success (Eliot Bendoly, 2015).

You would have a target, for example increasing sales by 20% in the following month, as an example of
preparation. You will analyse how you and the team can accomplish this goal. This could include the
formation of a new advertising campaign, price reduction or thinking about shopping plans to consumers
(Elliot Bendoly, 2015).

Planning is in motion, as you may know. Management is responsible for constantly planning future activities
and adapting the plans according to the organisational situation and achieving previous objectives. It also
requires the entire organisation, because the various departments or team plans must be connected and aligned
with each other's organisational goals. The role Henri Fayol called the hardest! To organise events effectively
(Elliot Bendoly, 2015), you need a high level of knowledge and versatility.

Planning ensures that available resources are properly used and that they understand how these resources
should be used to achieve the goal. In the interview example, preparation lets you use information from
company websites, questions for research interviews and then to explain examples of answers with this
information.

Organization The next management task is designed and coordinated. It consists of using the plan to bring the
available physical, financial and other resources together and to use them to achieve the organisational
objective. If you had to boost sales, you'd analyse the strategy and see how to break the funds you have to
implement the programme.

They have various responsibilities and resources to organise, depending on their level of management. Top
managers need to coordinate the teams below them, while lower managers take orders from the managers
above for efficient organisation. The organization is vital to the success of the company's activities (Elliot
Bendoly, 2015) and affects daily operations.

Assets would not necessarily work for organisational purposes without organisation. While the team may still
perform tasks, the tasks may not be the correct one for the situation. Please think you're a team manager in a
café. You can get everybody to work for the target when you coordinate the team to do the tasks needed to
boost coffee sales. Dina and Jack are working to make coffee selling and the coffee as quickly as possible
(Elliot Bendoly2015,2015). Jerry will accept and inform clients about the latest taste of the coffee.

Staffing
The staffing function is an increasingly important management role, although the core functions are sometimes
neglected. It is closely associated with the organisation, with both of them focused on maintaining the correct
procedures and activities for the money. The focus on employees and their work is on the organisation's
objectives.

The role is to ensure that the company has always the right people in the right place and that shortage or
abundance of personnel does not hinder the organisational structure.

Before meeting the sales goals, you need to evaluate whether the current employees have enough resources to
conduct the tasks and maintain the company's reputation. The marketing team is perhaps too small to employ a
temporary or even full-time worker (Elliot Bendoly, 2015).
Manangement
The fourth function is known as the steering function, often also as the control or management function. The
guiding principle is to implement methods to work efficiently to achieve the established organisational goals.
The role goes beyond coordinating the workers and ensuring that they can do the work in many ways. It takes
care of efficiency and guarantees that productivity increases rather than decreases.

The role explores deeper human interaction, encouraging, engaging and empowering the manager. You
consult and communicate with your staff at this point and find out how the tasks go. You will discuss the new
system of marketing, seek your input about the project and spend time inspiring them with new ideas. The
leading role is the contact between management and workers daily (Elliot Bendoly, 2015).

Command The main management role is the command. The role ensures full alignment with the other four
tasks and that the process moves the company towards its objectives.

Controlling
Controlling involves a clear review of the targets. Essentially, you have to set standards to ensure you know
exactly how and what you want to achieve. Yet regulation is also a feature that allows you to correct actions if
they deviate from expectations because of the set of standards. Essentially, quality management is the subject
of the regulation (Elliot Bendoly, 2015).

If you want to excel as a boss, management roles are essential to comprehension. Understanding this, as a
manager, will lead you to concentrate on the right things and to rely on your ability. It also helps to make the
skills and qualities you need to be a good manager clearer (Elliot Bendoly, 2015).

Leadership, design and contingency theories.

Contingency theories suggest that a leader's success depends on the particular situation. Some factors are
involved in deciding whether a certain leader or leadership style is successful in that situation. Such
considerations include the mission, the leadership style and the nature of the group to be directed. Its
fundamental assumption is that management, success or failure, is situation-oriented (Branes, 2017).

His theory suggests that effective management depends not only on the leader's style of behaviour but also on
control over the situation. Strong leadership ties must be built to succeed. Leaders must also clearly present
their tasks and outline their objectives and procedures. They must also have the ability to distribute penalties
and incentives.

This basic idea only matches circumstances in which individuals are closely monitored, not based on a team. It
is also used to determine the type of worker with which the leader wants to work by using an LPC scale. This
theory emphasises the role of the leader as the key attribute of leadership (Branes, 2017).

The paradigm focuses on the style of leadership and the maturity of those who are led, more formally called
the principle of Hersey[ CITATION Ell15 \l 1033 ]-Blanchard situational leadership. The concept is based on four
behaviours, namely tell, sell, participate and delegate, as leadership styles depend on the idea.

The stages of maturity vary from inability or reluctance to work, preparation and capacity. The aim is for a
good leadership leader to adapt leadership strategies in situations to the maturity level of the community
concerned (Branes, 2017).

This theory combines two popular theories, goal setting and expectation, in one. This theory combines two
theories. This seems that effective leaders allow people to achieve their goals
Transformational and Transactional Leadership.
Leadership

Transactional leadership fosters conformity through monitoring and use of incentives and punishment with
existing organisational goals and expectations of success. Task-oriented and result-oriented transaction
representatives. This strategy adheres to the status quo and employs a kind of management which focuses on
employees performing their tasks, especially in the strict time and resources limits in highly defined projects
(Eddie Fowler 2011).

Transformational leadership Increased engagement and participation of workers and efforts to connect the
sense of self with organisational values are essential to transformational leadership. This style of leadership
emphasises leading by example so that followers can recognise the vision and principles of the leader. A
transformative approach focusses on employees ' strength and abilities and their dedication to organisational
goals and to enhancing their ability and engagement often through their decision-making efforts (Eddie
Fowler, 2011).
Transactional and change management comparisons display five major differences:

1. Comparative leadership styles Transactional leadership responds to problems, whereas transition

leadership is more likely to deal with issues before they become problem-solving.

2. Transactional leaders operate within an established corporate culture, while change leaders promote new
ideas and thus "transform" the corporate culture.

3. Transactional leaders reward and punish conventional organisational standards; change leaders try to
obtain successful employee results by participation in programmes that contribute to an internal high-level
reward system.

4. Transaction leaders advocate for their self-interest, which in contrast to transition leaders who cater to
community goals and the idea of organisational success, strives for incentives for themselves.

4. Transactional management is similar to traditional management concepts, but transition leadership is

closer to what is colloquially known as management (Slack, 2015).

Leadership Action

Realization of intent or function. This could be a very realistic exercise, or it could be a less concrete task. We
recognise that all participants have clear objectives for successful teams. The mission is often the first thing
that brings the team together.

The group of people who do the work. The goal would possibly be completed only if all team members work
for the common good together. The team itself must, therefore, be recognised as a whole.

The mission was carried out by every single member of the team. While the team takes its own life, people
don't lose their own identities. Your people's needs will continue to be fulfilled while you stay loyal to the
team and empowered to accomplish the task.

Each of the three elements needs to be balanced. The effective leader is the one that balances all three. It is
unlikely that any item will succeed if any is ignored.

Simultaneously, the three components will conflict. Of example, time and energy demand also raises a team's
ability to focus on the task at the potential detriment of the people involved. When teams and individual needs
are forgotten, a great deal of effort is wasted.
Likewise, Time may be taken to create a positive spirit in the team without trying result in the team losing
focus because of its lack of success (Eddie Fowler, 2011).

"Hard" management and "soft" leadership competencies.

Strong credentials are taught. These are quantifiable and often acquired in school, through diplomas or past
work experience. Difficult skills are unique to each position and often form the foundation for job needs.

Soft skills are usually interpersonally skilled "peoples." Their temperament, coordination, communication and
work ethic are attractive characteristic attributes. Soft competencies are generally transferable between jobs
and industries, but in a resume, they are harder to quantify than tough ones.

The comprehensive job applicant is a mixture of hard skills and soft skills. Whereas the hard skills vary from
soft skills, the combined awareness and interpersonal qualities are well balanced. Hard skills demonstrate
mastery and skills, while soft skills demonstrate communication and relationships (Branes 2017).
LO2: Apply the role of a leader and the functions of a manager in
a given contexts.
Management Theory
Some leadership ideas for a leader to help an organisation have been proposed. Previously, most leadership
theories were focused on effective leaders ' actions and qualifications, but later on their position as members
and supporters. The following analysis and discussion of leadership theories that suggest that new approaches
are called for that promote a more inclusive and volatile approach to leadership and leadership development
and a more widespread sharing of the leader's position in the organisation (Peter Jones 2012). For example, the
theory of situation management Theory is more likely to rely on the style required for a good organisational
leader. The leader can create a much-changing style of leadership.

The Hersey-Blanchard leadership model also looks at leading circumstances.

The development of a subordinate leader plays a leading role in this theory. It depends on the number of
responsibilities and relationships. The leader is responsible for an individual or a group in task behaviour. The
role is how, how, where, where and who can do it. It's like doing the work. The members use one-way
communication in this behaviour. In other words, ties are the degree to which leaders connect in two directions
through the development of socio-emotional support (Peter Jones, 2012).

The main situation variable according to Blanchard is the developmental stage of subordinates in deciding the
correct management style.

Directing: The leader makes clear instructions and guidance. It's the best match for the small follower.

Coaching: The two-way contact between the leader helps build the followers ' confidence and motivation. The
leader is responsible for decision-making and controls it.

Support: The actions of the leaders and followers in this style are supposed to form a guideline concerning
each other. The style is the best choice for a moderate preparation level for the followers.

Delegate: the leader continues to decide with the group in this style. This helps solve the problem, but it is
regulated by the people. In this way, the supporters decide when they are going to take the leader (Peter Jones,
2012).

Transformational leadership Theory

The transformational leadership theory is occurring when one or more people engage, in which the leader and
followers raise one another to higher levels of motivation. For an example Mahatma Gandhi is a
transformational leader. He satisfied the required of the followers. But instead of riding those require he
remained seek to high purpose. The transformational leadership theory is focused on the hypothesis that the
leaders can satisfy a need of the follower. The needs are always high order needs and are closely aligned with
the internal motivation of the follower[ CITATION Pet12 \l 1033 ].

Bernard Bass developed the transforming leadership where the leaders transform the followers. It is very
closer to the prototype leadership in which the follower have in mind they describe their leader and provide a
role model in which subordinates want to identify. He purposed that there is a special power in transforming
leadership with leaders may transform both leaders and followers[ CITATION Pet12 \l 1033 ].

Transformation management
Is concerned with goals, principles, ethics and morality.

This focuses more on tasks and tactics

Discovery and development of new concepts

Projects and re-structures to make them practical and difficult to accomplish

Important needs of a man (Peter Jones 2012)

ASDA
ASDA is UK's second-largest chain of supermarkets. ASDA has owned entire Wal-Mart since 1999, which is
the world's largest company. In 1965, ASDA was founded by a group of farmers from Yorkshire, mainly
based in northern England.[ CITATION SAI15 \l 1033 ].

ASDA Mission, purpose and values

ASDA’s mission is: ‘to be Britain’s best-value retailer exceeding customer needs always. ASDA’s purpose is
‘To make goods and services more affordable for everyone’. ASDA also has a series of values. ASDA’s
values are Respect for the individual, Strive for excellence, Service to our customers.

Strategic management and Leadership

The cycle of organisational priorities, the development of policies and plans to achieve their goals and the
resource allocation for execution of plans is strategic management-strategic administration. The company's top
level of management including Chairman, stakeholders and executive team usually does this. This gives the
entire company all directions. It can be viewed as a way to achieve complete organisational goals. This
requires a study of a company's external and internal climate, capital and skills. It is ultimately a collection of
management decisions and actions that decide the organisation's long-term success.[ CITATION SAI15 \l 1033 ].

Leadership-A solution is available for every problem. Often, someone not directly connected with or
influenced by the problem is the person best fit for solving the problem Michael J. Dreikurs, 2003.

Leadership is the role of an organisation that motivates and drives people to achieve their organisational
purpose. Leadership enables others to act accordingly. There should be a leader in an organisation leading the
individual or group. They

take responsibility for their people and support them through training and development to encourage
successful contributions to the achievement of organisational goals.

Link between strategic management and Leadership

Management and management are basically the terms identical and are in most cases comparable from the
same position.

The two main areas of the company are management and leadership. For the people who are involved in team,
company and organisation management, these are most relevant. The qualities a company can learn in support
of its management are leadership and management (Randal Wilson, 2013). Management and leadership.

The person in an organisation who directs the group in order to attain its corporate target drives the leadership.
The leader and group people have a good understanding of the capacity to identify and articulate visions and
objectives.

Management is the planning, preparation, operation, control, and use of all organisational resources to
accomplish the specified organisational objective of the organisation leader. Stoner James A.F. and Wankel,
1986.
"The members are different from each other. We are cynical of tradition. They doubt assumptions. They look
for the truth and take fact-based decisions, not harm. Innovation is their desires "(Randal Wilson, 2013)

Strategic Management and Leadership (ASDA)

ASDA's goal is to build and operate stores sustainable in order to benefit the environment and communities it
serves as one of UK's fastest growing retailers. Their plan focuses on their mission, intent and values that
contribute to even better business. Wal-Mart has introduced a plan to increase the number 2 of ASDA
foodstuffs in the next five years in foodstuffs and the largest leader in Britain. Website of ASDA Corporate
(Randal Wilson, 2013).

ASDA people are the most significant competitive advantage and asset of the business. The success depends
on its management's power, which relies on the disciplined management process led by the CEO and the
management team. Employees work far beyond the necessity of leadership to accomplish their job. Every
department has an excellent team leader to guide the employee to the organisation's target effectively (Randal
Wilson, 2013).

Andy Clarke has been appointed as the new CEO by Wal-Mart, the managers of ASDA. Throughout his career
Andy Clarke joined ASDA in 1992, when serving on a number of leadership roles, he was guided by the
complexities of ASDA. Since time immemorial he served as director of business units including frosts,
bakeries and milk. He has excellent leadership skills to effectively guide his people. "All of us at Wal-Mart
and ASDA have a good succession planning and talent development strategy, and Andy Clarke has been
recognised as a visionary for many years," said Doug McMillan, Chairman & Chief Executive Officer of Wal-
Mart International. At a period when sales slowed down because of the impact of food price increases on sales
throughout the industry, it entered. But within a few weeks, Clarke did a fantastic job and this leads to high
appointments. He shared a tonne for Netto, the UK's deep discount. ASDA purchased 778 million £ of net
stores. The new CEO will guide the retailer into an even better food dealer, a wider non-food dealer and a
leader in his plans over the five years to open a new chapter in his storey. It must be market leader in energy
and food in general. (www.your.asda.com reported on 11May 2010 by the Asda press team).

Impact of Management and Leadership in ASDA

Netto will gain strength in acquisition as small Tesco stores that help achieve their goals and make them the
largest general merchandise retailer in Great Britain. It is a good idea that the small stores in the highway can
be a part of ASDA's market. It also threatens Argos and Home base's operators, the Home Retail Group.

ASDA has raised its sales from £ 15 billion a year to £ 20 million during its five-year plan. With the launch of
70 new stores in the UK, it has generated more than 30,000 jobs. CEO Andy Clarke predicts that thousands of
new jobs will again be created at every rising corporate level. Andy Clarke, CEO and Chairman, ASDA said:
"We will build 7500 new roles in the country through the combination of the opening of new stores and
expanding existing stores, the improvement of net stores and the further growth of our foodstuff home
shopping service. At present, our website also has almost 3 000 vacancies. www.asda.com/press Room, 2013,
by Randal Wilson.
LO3: Demonstrate an appreciation of the role leaders and managers play in the operations function of an
organisation
Theories of operations and operations management:

Six sigma, lean production and queuing theory.

In order to improve operating efficiency Six Sigma is a technique that prevents mistakes and defects, reduces
costs and saves time. It is targeted predominantly at high-end manufacturing and production facilities, where
businesses are seeking the standard of "six sigmas" (less than 7 defects per million), but can be extended to
other products and services sectors. It is costly to introduce, but it pays for itself efficiently and turns
enterprises into champions of the market and centres of excellence (Slack, 2015).

The Six Sigma toolkit is complete: the standard text outlines over 50 methods for addressing management,
processes and quality issues. It lists the most popular tools. Some are common sense, some are simple logic,
some use state-of - the-art statistics. Six Sigma Black Belts and Green Belts are responsible for selecting the
right tool for every task.

The basic method for identifying, evaluating, assessing, enhancing and regulating is DMAIC. DMAIC is the
whole Six Sigma management system's framework as well as the methodology for each project.

 Define The customer needs or corporate instructions to be complied with.

 Measure Now what's going to happen. What adjustments do we have to make in order to achieve the
goals that we have set?

 Analyse The root cause of this problem, so we know what improvements we should make in order to
achieve our objectives.

 Improve the method to achieve the objectives.

 Control System to always reach the target, going forward.

Different operations management approaches:

The use of different management approaches: Principles of Total Quality Management
Definition: Total Quality Management, as TQM abbreviated, is a humane management system where all the
employees of the organisation, in all of the activities of the business, are constantly working to maintain high
labour standards. The main goal is to continually reduce customer loyalty and customer satisfaction costs
(Slack, 2015).

In other words, TQM, by means of customer satisfaction, is the overall system solution and the core of a top
strategy to achieve long-term success. It needs a corporate commitment to the implementation and
maintenance of a culture in the company that strives to constantly improve its efficiency to provide its
consumers with first-class products and services (Slack, 2015).

All of the organization's workers are involved in the process from top to bottom, and are extended to include
the leaders of the supply chain and customer chain as well. The process works through divisions and
departments horizontally.

In these difficult times, six Sigma programmes will prevent companies from bankruptcy. They will lead a
business to become a leader in the market, a successful workforce, a top competitor and a Center of
Excellence.
They can also go wrong, waste tonnes of money, cause conflict and leave things worse than when the initiative
was launched. Read Business success: sophistication & potential or negative alignment to understand why. To
understand why Six Sigma and the Maturity Model of Capacity (CMM) (Randal Wilson, 2013) are concerned.

These four elements, though, are the keys to making Six Sigma Successes and preventing operational
disasters:
 Executive leadership. Six Sigma says it requires only management support. Yet experience shows that
maximum leadership dedication by example is critical for long-term success at the executive level.
 Standard methodology. Six Sigma works best when everyone's educated and uses the Six Sigma
components which are important to their work.

 Projects. Six Sigma will work only if everyone is trained and uses the Six Sigma parts for their work.
All too frequently people lip service the approaches and go and do their own. Then there are problems-
and they will have a great deal of drain-until the next initiative.

 Keep measuring, managing, and improving. Management processes and communications that

monitor performance and ensure continued progress will support corporate and team dedication to
success[ CITATION Nig15 \l 1033 ]

(TQM), Justin-Time Inventory and the concept of continuous improvement (Kaizen)

Total Quality Management (TQM) is an continuous process for production mistakes to be identified and
reduced or eliminated, supply chain management simplified, customer experience enhanced and training
staff up to date. The overall quality control of the finished product or service is intended to hold those
involved in the production process accountable (Randal Wilson, 2013).

TQM is the systematic approach to organisational management. TQM is a multinational quality

management approach. The method focuses on improving the quality of the results of a business, including
products and services, by constantly improving internal processes. The standards set out in the TQM
approach can represent both domestic and established industry priorities.

Industry standards can be specified in many ways and can include compliance with different laws and
regulations regulating the activity of the specific company. Industry standards also may include the
production, even if the quality is not compliant with official rules, of products to an accepted standard
(Randal Wilson, 2013).

Kaizen Kaizen's aim goes beyond simply improving productivity. The method, when done correctly,
humanises the place of work, removes needless hard work and teaches people how to recognise and reduce
waste in business processes (Randal Wilson, 2013).

Kaizen's seven phases of the continuous cycle of activities

1. Analyse the process

2. Develop an optimal solution

3. Implement the solution

4. Study the results

5. Standardize the solution

6. Plan for the future

 The concerted ongoing efforts of all employees make Kaizen small changes. Kaizen activities put a
community of process owners and managers together to discuss changes within participants ' reach.

In a number of areas Kaizen's research includes progress, including:

 Quality – Improvement of goods, operation, workplace, practise and processes

 Cost – Reduce spending and workers and use inventory, energy and resources.

 Delivery – Shrinking time for distribution, transportation and activities without value added

 Management – Procedures development, education, values, management, preparation, movement,

information systems, recording and reporting.

 Safety – Decreased risk circumstances, unsafe working conditions, incentives to deplete resources and
environmental damage.

Typically, implementation of Kaizen occurs in three stages in any organization:

Encourage participation: All employees must attend sensitivity training sessions. To order to encourage the
participation of employees further, encourage particular Kaizen activities and recommend providing financial
or tangible benefits after solutions have been introduced for Kaizen activities (Sushil Gupta, 2014).
Learning and learning: Focused preparation for workers is necessary to understand what Kaizen is, and is not,
basically. Team leaders should be trained to understand Kaizen in an organisational vision context that must
be carefully followed in order for the desired business goals to be achieved. They should also learn about the
need for impartial assessment and participation improvement strategy.
Quality improvement: Practitioners will continue to focus on long term commitment, broad implementation,
alignment with corporate priorities and strategic strategies after the training process is over. Core department
management should be developed to assess and execute Kaizen (Sushil Gupta, 2014).
Operational functions:
• Control and Distribution Systems.

DCS is an industrial digital control system (ICS), used in an entire factory or plant or control area through
geographically distributed control loops. DCS is used to monitor and improve the health, cost-efficiency and
reliability of industrial processes. Technology and hardware are included in A DCS. The easiness of local
deployment with most controls minimises the costs for installation. On-site, low-latency, automatic control
increases reliability; human supervision is allowed for central control and remote control functions. In
comparison to a central controller system, each process has its own controllers with different CPUs, so other
processes can proceed in an individual failure situation. A DCS is technically similar to today's tracking and
collection of data (SCADA). (Sushil Gupta.2014) In the power plant, petroleum and gas processing, storage
and water and waste treatment, SCADA is also used. SCADA is typically used when the control centre is
situated more remotely.

• Transformation of raw material into finished goods/services.

The transformation process is any company or community that needs, transforms and gives value to one or
more inputs and produces output for customers or consumers. Where the inputs are basic materials, the
processes involved, like when milk is converted into cheese and butter, are relatively easy to identify.
Where knowledge or people are given, it may be less apparent the essence of the change. For example, a
clinic turns patients who are sick (input) into healthy patients Often the same entity transforms all three
types of inputs–resources, information and clients. Of example the transfer of money from a bank account
requires customer account information, items such as checks and currency and customer information.
 Treatment of a patient in the hospital not only includes health conditions of the' customer' but also any
material that is used in patient therapy and information (Sushil Gupta, 2014).

Process design.

The workflows, equipment needs and implementing specifications of a specific process are determined. A
range of tools, including flowcharting, process simulation and scale models, are typically used in process
designing.

Capacity management means ensuring that a business maximises its potential activities and output, under all
conditions at all times. The efficiency of a company determines how much businesses can accomplish,
manufacture or sell over a certain period of time. The control of resources often involves measuring the share
of the room capacity used over a certain period of time. Imagine a business such as ASDA with up to 500
workers on three floors. If the company decreases its staff by growing its number to 300, it is working at a rate
of 60% (300/500= 60%). Nevertheless, as 40% of the company's space remains unused, the company spends
more per unit on costs than before (Sushil Gupta, 2014).

Consequently, in proactive efforts to reduce expenses on leasing, insurance, and utility costs associated with
empty space, the organisation may decide to only distribute its working resources in 2 rates and cease to rent
the unused property.

Logistics and inventory management.

The comprehensive management of information, physical and financial flows to and from trading partners and
customers will explain logistics. Logistics All of them have their own supporting activities and employees, but
one could not operate without the other (Sushil Gupta, 2014).

Inventory management certainly depends on logistics, but its reach reaches beyond the logistics network.
Capital investment to construct and stock finished goods is needed in inventory. The inventory, though, is
important because it can be much less than when customers wait for a product to produce and then send to the
customer's place of need. The buyer will be willing to wait for a product. Controlling inventory takes a number
of complex factors into account, including risk, lead time, costs, venue, transport and levels of service (Sushil
Gupta, 2014).

Scheduling.

Planning in one method shall be carried out by the correctly named planner that deals with three things:

• throughput or how quickly a certain number of tasks from start to finish per unit of time can be done

• Latency, which is the turnaround time or time required to complete the task from the time the application is
submitted or the time it takes until it is completed.

With the ability to run several threads or pipelines concurrently and in modern computing systems including
computers with large amount of processing power and other resources, scheduling is no more a big issue and
most processes and applications are freely available with additional resources, but preparation is still difficult
to manage requests (Sushil Gupta, 2014).
LO4: Demonstrate an understanding of the relationship between leadership and management in a
contemporary

Different dimensions of contemporary business environment:

Leadership and management have a partnership with corporate society; community, values, ethics and
sustainability.
Business Ethic focuses on strategic decisions and actions of a company. Therefore, it concerns how ethical
standards are used in management of issues found in the day-to-day exercise of their duties to meet the needs
of society ([ CITATION Ell15 \l 1033 ]).

"Social corporate responsibility (CSR) means businesses incorporating their business and relationships with
stakeholders into social and environmental issues" In other words, it means that businesses are committed to
ethically conducting and helping society to grow economically and at the same time to improve the quality of
life of the workforce, their families, local communities and society in general [ CITATION Ell15 \l 1033 ]

Consequently, CSR requires managers to deal with strategic issues regarding organisational goals, objectives
and operational methods. The Board will evaluate the large social and environmental problems affecting the
organisation and develop policies and goals, performance monitoring and improvements.

It is important that participants agree that the company is open about its purchases and that certain additional
information is fully disclosed to purchase from the social responsibility side of the company. The CSR report
is used to convey this relationship to third parties to most businesses. The reports have gradually moved from
displaying the sum of charitable contributions to include further events that are important to the company in
the annual report. Some information is voluntary, in which companies choose the information they want to
bring to the public domain. Where certain knowledge is required under the law ([ CITATION Ell15 \l 1033 ]).

Business Ethics
Corporate ethics goes beyond legal requirements and therefore is subjective to some degree. This covers other
tasks, including how the Board implements its policies, how agreements with companies are done and how
workers are strengthened. The increase in the economic and business ethics is a product of the rapid expansion
of new technologies and of the effect on the structure, work and scale of the organisations of the private and
public sectors of various socio-economic and political influences [ CITATION Ell15 \l 1033 ]

It cannot be underlined the need for ethical behaviour in corporations. Individuals in an organisation, when
faced with ethical dilemmas in the course of their work, are supposed to exhibit a certain degree of moral
behaviour. Management must then provide and enforce codes of ethics that will direct and assist workers in
making ethical choices when they face certain conditions so that customers are confident of their corporate
integrity [ CITATION Ell15 \l 1033 ]

Role of business in society

 

Businesses exist, because they are desired by society and because they provide goods and services to people,
companies and society as a whole. So corporations redistribute riches amongst stakeholders, focusing in
particular on increasing the resources in the interest of shareholders. The primarily focus is on the profit
making for business owners (shareholders), while sending their financial reports to the general public.
Nevertheless, nowadays it is not enough for companies only to supply financial information (although still
very important), all parties involved and shareholders (especially institutional investors) are more and more
interested in other aspects of a company's performance such as the company's sustainability and environment
policies, how the company operates and other non-financial aspects. In addition, businesses are being assessed
"on a socially responsible approach to business, workforce, society and human rights" (Elliot, B. et Elliot, J.,
2007, p. 814). Companies ensure that different things, such as prompt payment of vendors, environmental
problems, health and safety, a healthy working climate, providing contributions to charitable organisations and
so on, are taken care of by stakeholders ' needs [ CITATION Ell15 \l 1033 ]

Defining CSR
 

Carroll (1979) defines it as "a term which embraces the economic, legal, ethical and philanthropic obligation
of a society" and is a area which comprises various activities. When summarising the various demands that
businesses have of the public, these four metrics sum up. Such variables can be used to assess the cultural
context of ethics and CSR as follows:

Economic

The primary objective of most corporations is to work for their shareholders ' benefit and to increase their
shareholders ' income. But CSR demands that the traditional business model be redefined to assume that the
motivation for profit and the shareholder interests define the organization's fundamental objective.
Arrangements should be made for the liability of the client (SAIF-UR-REHMAN, 2015).

Legal

enforcement has been regarded as an essential component of responsible management, but in recent years, an
alarming rate of violations of the law and the implications of corporate wrongdoing have led to pressure from
stakeholders and policymakers to issue more stringent disclosure and responsibilities regulations and to better
respond to broader societal obligations (SAIF-UR-REHMAN, 2015).

Ethical

It applies to corporate obligations and the company's purpose, both economic and legal. It concerns the right,
equitable and fair way to go. For example, as a way to protect endangered species such as the Orang-utan and
the Sumatran tiger ASDA has decided to stop buying of palm oil from Indonesia and Sumatra (SAIF-UR-
REHNAN, 2015).

Philanthropic

This applies not to a duty to, but to actions taken by organisations out of desire. Companies reveal community
engagement by giving charitable, voluntary and fund-raising events, as well as by making mention of some
community projects (SAIF-UR-REHMAN, 2015).

The definition of CSR is shown in the diagram below in Baker (2009). This shows the effect of company and
practises (along with decisions and actions on management) on society and vice versa.

ASDA mainly bridges the gap between producers and consumers through various business activities. As a
business, ASDA says the policies on the conduct of business are focused on honesty and openness and these
values resonate throughout its business activities and impact everything from consumers and employees '
wellbeing to local communities. ASDA prides itself on the pricing lead with the introduction of the ASDA
smart price by maintaining the lowest possible commodity prices (SAIF-UR-REHMA, 2015). 

ASDA’s CSR policies.

 

As they believe in sustainable development, ASDA is very serious about the CSR, making the world a safe
place and giving consumers affordable goods. It is thus called' Doing the Right Thing' in its CSR strategies
and is synonymized in three words: individuals, prices and world. Many ASDA also identified the following:
people; the efforts of ASDA are aimed at addressing concerns to its many customers.

ASDA promotes the distribution of quality healthy products to consumers by lower prices. This company
dramatically reduces the environmental impact of its operations by using various sustainable strategies. This
and other important goals and goals of ASDA include the following as part of their business strategy (SAIF-
UR-REHMAN, 2015).

Ethical Trade: ASDA is a member of and in support of the Fair-Trade foundation of the Ethical Trading
Initiative (ETI). ASDA provides farmers and workers (particularly developing countries) with better deals and
appropriate working conditions[ CITATION SAI15 \l 1033 ].

Food safety: ASDA promises a sustainable certification of more products, and a comprehensive audit of all
1200 suppliers. ASDA has expanded its organic product portfolio since 2007 and does not use any GM
ingredients or additives in its product[ CITATION SAI15 \l 1033 ]s.

ASDA and Employee Relations: ASDA has an excellent working relationship with its staff. ASDA is
extremely proud of its excellent record of retention and ASDA holds a major large year-long event every year.
ASDA aims to reduce waste to zero by the end of 2010 in support of the WRAP (Waste and Resources Action
Programme). 65% of its storage waste has been disposed of from fields, and the remaining 35% is treated in a
number of ways[ CITATION SAI15 \l 1033 ].

Community involvement: The ASDA Foundation funds the vulnerable, local charities and social
programmes, and the Tickle Pink initiative, children in need and a host of others. ASDA encourages
community involvement[ CITATION SAI15 \l 1033 ].

Home Shopping: ASDA has been offering home shopping options for its various customers throughout the
UK for the past ten years[ CITATION SAI15 \l 1033 ].

Best in Britain: currently, ASDA has sales with over five hundred companies in the United Kingdom and the
bulk of its goods come from the United Kingdom. Higher quality and consistency of the food products
improve the health of ASDA consumers, and clearly mark all products for customers ' informed choice
making, allow them to maintain a balanced and healthy lifestyle.

These and many other actions mean that ASDA assumes that the various partners will better fulfil its social
responsibility. ASDA does not just support CSR as a bubble screen to improve their general reputation and/or
circumvent legislation (SAIF-UR-REHMAN, 2015) but is also concerned with conscientiously meeting public
perceptions.
Recommendation

 ASDA has an overwhelming need for compliance and not merely lip service to suppliers and workers with the
ETI Code and with other such regulations that seek better treatment. The low price ethos of ASDA still needs
to be closely monitored in order not to get out of hand (Randal Wilson, 2013). Further environmental
responsibility must be assumed to minimise m water usage impact; recycling and waste management must be
improved, etc. 3. 3. The need to make the public more transparent and accountable, increase community
involvement and make more effort to resolve employee issues.

Regardless of why a company supports CSR, it can gain a lot in the long term through both CSR firms and
businesses. I therefore propose that ASDA should meet all of the public standards of leadership with CSR
(Randal Wilson, 2013) if it is to achieve leadership with CSR.
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