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Unit-4
Management and Operations
Nelson College London
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Contents
 LO3: Demonstration of an appreciation of the role
leaders and managers play in the operational function
of Amazon
1. P4: Explain the key approaches and methods to operations
management and the role that leaders and managers play in
an organisation.
2. P5: Explain the importance and contribution of operations
management in achieving corporate business objectives.
 LO4: Demonstration of an understanding of the
relationship between leadership and management in a
contemporary business environment and macro
environment
1. P6: Assessing the factors within the business environment that
define operational management and decision-making by
leaders and managers.
Introduction
 Management is the driving force to achieve the
objectives.
 The overall resources are managed and utilized by a
manager
 The person who deals with managing and directing the
man power is called a manager (Burrow and Becraft,
2016).
 A successful manager always bears the responsibilities of
a leader
 In this report, the roles and responsibilities of a manager
along with the functions of a leader will be evaluated in
the context of Amazon’s management.
Company Background (Amazon):
Amazon is the largest online multinational
technology company
Focuses on cloud computing, e-commerce and
artificial intelligence
It was founded on July 5, 1994, by Jeff Bezos
 Headquartered in Seattle, Washington.
As of 2018, the annual turnover of this company
is $232.887 billion
 The number of employees is 613,300.
LO3: Demonstration of an appreciation of the role
leaders and managers play in the operational function
of Amazon
P4: Explain the key approaches and methods to operations
management and the role that leaders and managers play in an
organisation.
Methodologies in operational management:
 Six Sigma methodology:
The services of Amazon can be improved by using six sigma methodology
which will ensure the efficiency in the operation of management functions.
There are six wastes in the production process of six sigma such as
transportation, over processing, wait, motion, inventory and defects (Alas and
Kross, 2018)
 Lean production and queuing theory:
The waste in the production of a manufacturer are identified with the help of
this lean process where all the required components are kept for queuing to
find the wastes (Burrow and Becraft, 2016)
Some different approaches in operations
management
 Total Quality Management:
The managers and leaders follow total quality management approach to
maintain the quality of the service considering the acquisition value of the
customer. The managers and leaders of Amazon play a vital role while
developing an effective global strategy for the business using the TQM
approach.
 Just-in-Time (JIT):
According to this approach, the immediate action for taking the supply instantly
when needed. It will increase the effectiveness in the operation of Amazon.
 The concept of continuous improvement (Kaizen):
This approach combines all small tasks and reaps them together to fulfill any
major task in a continuous process (Greasley, 2013).
P5: Explain the importance and contribution of operations
management in achieving corporate business objectives.
 The management team need to reduce all the wastes in the
process of operation which will increase the efficiency and
decrease the cost of the production or service cost
(Amazon.com, 2019)
 operation management assist the managers and leaders to
utilize resources more effectively and man power more actively.
 the e-commerce business mostly depends on the TQM
approach which is provided by the operations management
 The lean production theory helps the company to select the best
candidates while recruiting a person for a specific post
 JIT approach helps to provide better customer services with
continuous product supply
 Corporate Social Responsibility of Operation Management:
The way a company takes responsibilities for the social and
environmental impact of its business operation is called social
responsibility (Scarborough and Cornwall, 2017)
 Impact of the CSR approach in Amazon:
1. The attitude of Amazon to Corporate Responsibility is to
negotiate with its stakeholder to become aware and interact
with proper arguments
2. only good behaviour and responsible brand will be valued by
the customer
3. The competitors are increasing and the way of sustaining in the
market is getting hard
4. Amazon prioritizes the integration of CSR into all business
processes
5. The company is trying to implement cloud computing along
with artificial intelligence by ensuring safe and responsible user
experiences
LO4: Demonstration of an understanding of the relationship
between leadership and management in a contemporary
business environment and macro environment
 P6: Assessing the factors within the business environment that
define operational management and decision-making by leaders
and managers.
 Different dimensions of the business environment
 Political:
The representation of leadership is highly noticeable in the political environment
which influences the operation of the business organisation and interacts with the
decision-making process of management (Bratton and Gold, 2017).
 Social:
The managers and leaders of an organisation deal with social activities to interact
with corporate social responsibilities in a different dimension of business operations.
 Technological:
The implementation of new technology occurs with the cooperation of both
manager and leader of an organisation (Burrow and Becraft, 2016).
 Economic:
Managing economic factor is crucial for any management department. Hence,
the manager and the leader cooperate with external authorities (Chopra, 2015).
 Legal:
The operation in management are highly affected by business policies and legal
rules where the overall process of internal policies is created by the manager and
practiced by the leader.
The relationship between leadership and management
in a different business environment:
To be continued…

 Maintaining business Ethics:

By practicing ethical behaviour, leadership and management
maintain the standard of social service
 Relationship with stakeholders:
The management establishes a relationship with stakeholders
with the help of leadership approaches
 Social responsibility:
The leaders follow the goal set by the manager and motivate
the subordinates to contribute to social welfare. Amazon is
determined for increasing its responsibility towards our society
(Greasley, 2013)
The relationship between leadership and management
in a different business environment:

 Cultural Evaluation:
Amazon respect every local culture and they are determined
to save the core functionality of a culture.
 Implementing New Technology:
The coordination of leader and manger are required to
implement new technology in the organisation.
 Sustaining entrepreneurship:
The survival of an organisation highly depends on the strong
relationship between the managers and the leaders.
Conclusion
 The manager's design plan, develop strategy and
distribute the tasks
 The function of a leader is to lead the employees with
proper motivation and regular communication
 The role of a leader and the function of a manager are
integrated through coordinating together.
 Theory of management along with leadership
approaches have applied in the context of Amazon.
 The importance of their relationship and their roles and
responsibilities are demonstrated.
 In addition to it, different types of types of operations
management approaches have applied to determine
the changes to develop a better strategy for Amazon.
References
 Alas, R. and Kross, P. (2018). Success factors for teams in business game Dynama. Problems
and Perspectives in Management, 16(1), pp.309-319.
 Amazon.com. (2019). Amazon.com: Online Shopping for Electronics, Apparel, Computers,
Books, DVDs & more. [online] Available at: https://www.amazon.com/ [Accessed 28 Feb.
2019].
 Bratton, J. and Gold, J. (2017). Human resource management. London: Palgrave Macmillan.
 Burrow, J. and Becraft, M. (2016). Business management.
 Chopra, S. (2015). Supply chain management. 7th ed.
 Dugan, J. (2016). Leadership theory. [Place of publication not identified]: John Wiley & Sons.
 Gilley, A. (2017). The manager as change leader. Westport, Conn.: Praeger Publishers.
 Greasley, A. (2013). Operations management. Hoboken, N.J.: Wiley.
 Heizer, J. and Render, B. (2016). Operations Management. Pearson Education UK.
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 Oldcorn, R. (2011). Management. Basingstoke: Macmillan Business.
 Rentschler, R. (2014). The entrepreneurial arts leader. 3rd ed. St. Lucia, Qld.: University of
Queensland Press.
 Scarborough, N. and Cornwall, J. (2017). Essentials of entrepreneurship and small business
management.
 Southern, G. (2009). Managing an effective operation. European Management Journal, 15(1),
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 Wheelen, T. (2018). Strategic management and business policy. 4th ed.