SHR011-6 Leadership Project
Leadership can be defined as the action which helps to lead several people in the organization to accomplish goals. The successful leader sets clear vision within the business, guide staff members, motivate employees through their work processes which help to build morale. It assists to include leading different people to attain desired results (Guruwo, Chiguvi, and Bag, 2017). This study based on Marks and Spencer which is a British multinational retailer that specializes in clothing, home products, and food products.
To gain insight information on the present study, it covers seven structures and systems present within the enterprise. Furthermore, it considers and analyzes differences to different competitors. Moreover, this study focuses on different kinds of changes that take place in the selected sector. In this process, successful organization work will be explained to make continued success. At last, it shows different issues facing by the organisation.
a. The seven structures and system present in the organization
The organizational structure consists of an important role in every business's success. With this regard, work can be divided as per different people's skills and abilities. In Marks and Spencer, the following are different types of organizational structure can be explained in the following term:
- Functional organizational structure: This kind of structure is generally based in Marks and Spencer for dividing into smaller tasks or group. In this regard, specific roles are given to each member of the business. For instance, the selected enterprise can make a group for staff members who are working on information technology only (Guruwo, Chiguvi, and Bag, 2017).
- Matrix structure: Matrix kind of organizational structure is a blend and projected on a different kind of situation. With this consideration, in Marks and Spencer employee generally report to their two or more than two bosses as per depend situation. However, this is a challenging structure because it is tough to report multiple bosses (Guruwo, Chiguvi, and Bag, 2017).
- Flat organizational structure: Apart from these three organizational structures it can be stated that another organizational structure is a flat structure that allows for more decision making among different levels of Marks and Spencer.
- Hierarchical organizational structure: This kind of organizational structure use the traditional aspect of hierarchical structure that helps to rely on a vertical chain of command which is the prime method of organizing staff members and their responsibilities (Malik, Yadav and Yadav, 2017).
- Mechanistic structure: Mechanistic structure is known as narrow spans of control with high centralization, formalization, and specialization. In Marks and Spencer staff members are rigid in specific departments that designed and permitted to promote business.
- Organic structure: Organic structure is considered as the development of the business which is known for wide spans of control, low specialization, and decentralization (Alas, Elenurm and Zernand-Vilson, 2018). This structure in Marks and Spencer consider multiple teams that answer the question of the business.
To take the system, in simple terms, it can be stated that in Marks and Spencer it is mostly demanded proper reward and compensation system. Furthermore, it considers the timing and description of different duties. With the help of this system, intrinsic satisfaction to the staff members can be providing (de Waal, van Nierop and Sloot, 2017).
b. The leadership value system and structures in the organization and its impact on personnel
Transactional is the main aspect of leadership which followed in Marks and Spencer. With this kind of leadership, the chosen business can accomplish its goals by ensuring a high performance that maintains constantly with its team at each level of hierarchy structure. Transactional leaders are fairly common in today’s time. Transactional leadership assists to establish different roles and responsibilities for every employee in the chosen business. It also encourages bare minimum work when employees know how much they put effort than worth all the time. This kind of leadership style can be used with the incentive program to motivate staff members. They should be consistent with the goals of the enterprise and used in addition to appreciation. This kind of leadership impact positively on the working system of the enterprise. It increasing efficiency on an organisation’s performance through motivating staff members which provide them reward systems (Harrison, Burnard and Paul, 2018).
Furthermore, the functional organizational structure followed within Marks and Spencer. In this kind of structure, staff members grouped based on their specific skills and knowledge. In this kind of vertical structure, each department considers roles from the president to the sales and finance department. Furthermore, it also delivers effective customer service so that employees assigned to one product and services in the selected business (Alas, Elenurm and Zernand-Vilson, 2018). This impacts positively on management, staff and leadership effectiveness at the workplace of the selected organization.
c. Local and global differences to competitors
Marks and Spencer is one of the UK’s leading retailer which helps to visit different stores. They deal with high quality as per great value clothing and different home products and outstanding quality. There are several competitors in different areas of the local and global markets that compete with M&S. They are as follows:
John Lewis partnership: John Lewis considers their operations and functions in UK high street crown. They are dealing with middle and standard class both kinds of people in the world (Alas, Elenurm and Zernand-Vilson, 2018). However, M&S only deals with a standard class of people. As a retailer, John Lewis gains success as per the advertising campaign with an upturn in the housing market.
ALDI UK: In the UK, different visitors are not looking for a brand, ALDI established chain which taken to deliver luxury products to different customers. They are selling cheap products that help to deal with budget prices (Malik, Yadav and Yadav, 2017). ALDI consider their expansion with premium tier food range. However, M&S has a higher price for different products.
ASDA: M&S dealing with Britain’s biggest clothing retailer by supermarket ASDA. As per statistics, it can be identified that the growing power of supermarkets and show the scale of the challenge facing M&S chief executive people. ASDA raising its market share with 9.4% which is increasing with last year's performances. However, M&S increase its market share of around 9.1%.
Tesco: M&S consist of their operations in different aspects of multinational products. Tesco also deals with different kinds of grocery and general merchandising. The main difference in M&S with Tesco is the investment of different people (Malik, Yadav and Yadav, 2017). This is because in M&S there are different kinds of suppliers of raw material that develop creative results.
Waitrose & Partnership: Waitrose supermarket shows some slightly eccentric brand loyalty. It considers proximity to a store that helps to attract several customers in a systematic manner (Harrison, Burnard and Paul, 2018). The organization deals with always royal connections so that M&S consists of its price comparison with each product.
d. Positive or negative traits of the differences of an entity
Marks and Spencer dealing as one of the largest retailers, that has more than 895 stores in the whole world. There are more than 40 regions all over the world which mainly deals in clothing, technology, financial services, etc. (Paredes, Roese and Johansson, 2018). To develop effective results, PEST analysis which demonstrates positive and negative effects within the enterprise.
- Political environment: Political environment consider political stability in M&S that helps to attract investors to do investment. It demonstrates positive effects on the organization that is a key factor to grow business. However, government trade policy is flexible or hard which impacts negatively on the results.
- Economical environment: Economic conditions also affect on operations and functions of M&S. For instance, tax rates, inflation, money supply, etc. elements are positive traits that consider an important role within the organization. However, economic growth rate and tendency spend in the international environment (Paredes, Roese and Johansson, 2018).
- Social environment: In a social context, it can be stated that every transaction determines quality which impacts positively on different customers. In M&s, good pricing and quality matters. On the other hand, the company struggling to gain a bigger market share that is a negative trait of the organization (Alas, Elenurm and Zernand-Vilson, 2018).
- Technological environment: Nowadays, technology helps to build successful results in the organization. It means that e-commerce considers the most important effective outcome in M&S. There are many operations develop horizontally which impacts positively on the enterprise. However, these days every business adopting this strategy so that it increases competitive advantages (de Waal, van Nierop and Sloot, 2017).
a. Evolution of sector
Marks and Spencer deal in the retail sector which is a public limited company. To deal with effective sustainability, it can be stated that the company has strong roots in the UK. They are evolving with quality clothing, home, and food products. They employ 85,000 people in different kinds of 1300 stores worldwide. Environmental risk is the most complicated and unpredictable in this sector that creates issues in the business. Furthermore, customers are also increasingly aware of their quality of products. Growing pressure in this sector also considers natural resources and due to poor stewardship in global increases cost, resist access to key raw material. It is more volatile in the global supply chain of the company (Alas, Elenurm and Zernand-Vilson, 2018).
Furthermore, this sector also leads to an international multi-channel retailer which leads to the development of an organisation that enables the fulfillment of core purpose as well. In business, every area of M&S plays a role in managing sustainability in delivering a successful plan. There are different issues occurred in this sector such as climate change, product sustainability, natural resources, responsible marketing, human rights, etc.
b. In what way do they differ to your competitors in terms of local or global?
In the retail sector, different businesses predominantly consist of own-brand retailers. There are several kinds of branded goods that develop at a small proportion in different areas of the world. Across the different stores, own products, operations, employees, customers, supply base, etc. deal with several suppliers (Guruwo, Chiguvi, and Bag, 2017). For instance, Unilever is delivering closely related to some other companies and sharing best practices. On the other hand, they are ultimately responsible for standards applied in other branded products of the company.
To work with others, there is wide competition exists in national and international areas of the world. Therefore, it is the biggest issue to tackle alone so that different people's participation must be implemented to identify the solution to the problem in the retail sector. Furthermore, external partners also provided a solution with an improved understanding of issues that helps to inspire customers. At the corporate level, the retail sector working with different kinds of the organisation (de Waal, van Nierop and Sloot, 2017). At a website, there are many partners help to address the specific issue within the sector. In the international area, M&S complete with different kinds of business those provide the same services and products as they provide.
Furthermore, they can also operate with different businesses by operating different kinds of entry methods such as joint ventures, franchising, organic growth, etc. There are different kinds of issues also exists to deal in different areas of the world such as product safety, product sourcing, green issue, corporate social responsibility, etc. (Paredes, Roese and Johansson, 2018).
c. To what extent are these differences positive points of differentiation or negative traits of the organization?
To look for different positive and negative aspects, it can be stated that several positive points exist in M&S. In this consideration, an economy of scale is very effective in the organization which creates a positive impact on operations and functions within the organization. Their supply chain is also efficient which develops more effective results in the development of the enterprise. Based on the creative supply chain, they can easily deal with different areas of the world. Furthermore, product development and branding within the organization are relatively high through the chosen business can easily lead to innovations. It assists to diminish difficulties and increase sales (Atulkar and Kesari, 2018).
Along with this, security also needs to maintain within the organization that increases innovation and expertise in a significant manner. Mainly customer pool remains limited, which can be expected as sole retailer trader. In terms of the financial aspect, it can be stated that there is more access to finance which is the biggest reason to determine the adequate level to compete at the international level. Furthermore, the chosen company can easily negotiate with a different kind of financial institution so that they will easily help to get the amount to establish operations in different areas of the world (Harrison, Burnard and Paul, 2018).
With the recent regulatory framework, it can be stated that it seems to apply all the important rules in the respective financial institute. Along with this, European and national finance consists of the program within Marks and Spencer to place in different areas of the world. However, there is a lack of information that leads to clear advantages to compete with other organizations in larger consideration. Education is also lead as positive point in an entity because every employee is more educated that helps to deal with different aspects of the business. Furthermore, it can be stated that the chosen business is highly competitive in which rapidly evolving in several activities (Guruwo, Chiguvi, and Bag, 2017). There is a high risk for the selected business to deal with different kinds of activities of retail business operations.
a. Changes are taking place in the sector and changes required to deliver continued success
In today’s time, there are several changes take place in the retail sector that helps to lead with positive success at the workplace. In this regard, technology is widely adopted by retail companies to take advanced competitors, gaining new customers, enhance revenues, etc. Furthermore, other than technology retail enterprises also shifting landscape (Young and Komodromos, 2018). In term of digital transformation, it can be stated that continues reshape online experience just like Marks and Spencer. To make deliver continued success, the following changes must be implemented at the workplace of the retail sector industry:
- Machine learning for demand forecasting: To deliver with different kinds of customers, it can be stated that in the retail sector it is essential to the arrival of data that must be fulfilled with demand forecasting. This is because; in the retail sector, demand forecasting is one of the challenging tasks for retail sector businesses (Paredes, Roese and Johansson, 2018).
- Augmented shopping: Different retailers are embracing the trend. Therefore, Marks and Spencer deployed smart mirrors that provide suggestions in a fashion closer to what consumers see. Augment shopping assists to attract several customers that are important changes to deliver continued success (Malik, Yadav and Yadav, 2017).
- Personal interaction with different customers: Another important consideration in retail sector change can be considered as personal interaction with several customers. In this regard, every customer connection is needed to make continued success (Sobratee and Bodhanya, 2018).
b. Show the transformation and Marks&Spencer and instances of leadership behaviors
To deal with different customers, it can be stated that a five-year transformation plan of Marks and Spencer announced a technology transformation program that helps to become a digital first business. In this consideration, improvement is also developing with customer experience which designed to create faster and commercial technology functions (Alas, Elenurm and Zernand-Vilson, 2018). It will work to deliver growth that extensive review of M&S technology capabilities and changes helps to bring real value at a pace to its business and customers. Following are different examples of specific actions and leadership that underpin the chosen organization:
- The creation of new technology operating model drives significant efficiencies that exploit with new technology in positive consideration (Bag and Anand, 2016). It includes the adoption of an industry that applies from March 1st, 2018.
- With the appointment of Tata Consultancy Services, it can be stated that M&S is one of the world’s leading technology companies which shows principal technology partners.
- The chosen company follows a democratic leadership style that assists to lead with the consolidation of M&S technology at a particular supplier base. As per core supplier services, it can be stated that TCS considers the day to day relationship and project management of specialist suppliers that move under the control TCS (Harrison, Paul, and Burnard, 2016).
a. The top two or three big issues facing by the enterprise
Concerning deal with several customers, Marks and Spencer also facing different issues and problems. These issues and problems create more problems in front of the business (de Waal, van Nierop and Sloot, 2017). These issues explained under here:
Imitation of various offers by other stores: Marks and Spencer consider several activities to attract different customers. However, there are different suppliers provide raw material at different costs. As a result, the selected business has several options to purchase different kinds of raw material. Furthermore, different other organizations also provide the same product and service the same as the M&S. In this consideration, ZARA, Sainsbury, Waitrose, etc. companies provide different kinds of products to their customers as they deliver. Therefore, customers have several options that create an issue in front of the chosen business (Amankwaa, Gyensare, and Susomrith, 2019).
The contemporary style of clothing and aging customers: Furthermore, another issue in front of M&S is that they have not a successful strategy to focus on customers. They are not known about how to attract customers with different kinds of product offerings to them. In this consideration, they are always trying to attract youngsters and women as well. Apart from this, it can be stated the selected enterprise-facing difficulties to understand each customer's needs and requirements. This is because, every age group of customers has different needs so that it creates difficulty to understand every customer's views (Wessels and Wilkinson, 2016.).
Lack of clear marketing strategy: Moreover, M&S don’t have a clear and successful strategy towards offering different kinds of products and services. In this regard, they are providing a very good quality of products at higher prices so that they are not known about what kind of marketing strategy needs to be followed to attract several customers. Furthermore, proper advertising strategy needs to be implemented by the organization so that it can deliver success in positive consideration (Islam, Jantan and Hoque, 2018).
b. Key actions in the organization need to take to put it on a path of future sustainable success.
There are several key actions taken in Marks and Spencer which put a successful path in sustainable success. In this consideration, it can be stated that the following actions must be taken systematically. They are as follows:
- Recyclable by 2022: Marks and Spencer consider sustainable success, it can be stated that all products are recyclable till 2022 that helps to diminish wastage of products systematically. It assists to ensure a successful path that increases more profitability at the workplace (Fernie and Sparks, 2018). All packaging of the organization widely recyclable by 2022 that will assist to lead in the success of future development.
- Source all raw materials: Furthermore, it can be stated that sourced all raw materials which include cotton from sustainable sources by 2025 (Padma and Wagenseil, 2018). It will consider the development of the business in different areas of the world that ascertained with creative aspects of M&S. It also leads to regularly creating profitable outcomes.
- Reduce greenhouse gas emission by 80: Another important consideration of future sustainable success in M&S is to reduce greenhouse gas emission effects by 80% compared to 2007 levels in its operations by 2030. In this same period, cut emissions by in the supply chain of the chosen business (Johri, Haskins and Thomas, 2018).
- More transparent about different operations: In future success, they are also focusing on becoming more transparent for their operations and functions (Kim and Takashima, 2019). In this consideration, they can easily lead with ensuring that all kinds of information can be easily viewed by all kinds of customers in-store or developing worldwide by 2025.
From the above report, it can be stated that in the business different kinds of leadership systems and styles determine success. In this regard, the present study based on Marks and Spencer which promote different operations and functions with a perfect organizational system. In this consideration, a functional organization system adopted within the enterprise that helps to build desired results at the workplace. Based on an effective management system, they can also lead to different areas of the world to promote products and services. Moreover, the report summarised a competition of the business with several organizations that assist to lead with positive success at the workplace. It will help to attain overall goals and positive outcomes in the business. With this consideration, further reports articulated about retail sector involvement in the success of the industry in the whole world. Therefore, it will be helpful for the development of the organization in different areas of the international market. At last, the report demonstrates issues facing by the organization to deal with different customers. As a result, new plans explained that promoted by the M&S to reach successful outcomes in different areas with sustainable strategies.
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4 Types of Organizational Structures. 2018. [Online] Available through: