CW End of Term Business report
Table of Contents
2 Evaluation of strategic leadership and shaping organizational culture. 3
2.2 Role of leadership in shaping organizational culture. 4
3 Evaluation of leadership styles and theories. 6
4 Evaluation of leadership, power, and decision making. 10
7 Personal development plan. 15
1 Introduction
This report evaluates the concept of processes and issues related to the leadership processes that are carried out at certain workplaces. The report provides a range of theories and concepts of the behavior in terms of the organization and contribution in terms of leading the teams at any workplace. The report contains the characteristics of effective leadership and management as per the settings of the organization. Leadership can be explained as an ability of any individual or a group of individuals to influence and guide the members and followers in a positive way that can have a positive effect on the organization. It involves making decisions that are sound and articulation a vision that is clear in terms of the organization for the tools and knowledge that are essential for the company to achieve goals and have an innovative thinking process that can help in having levelheadedness at the time of crisis. Leadership plays a very imperative role in any organization as it is the key base of training the individuals and shaping them in such a way that they feel to develop certain skills in certain circumstances and can demonstrate effective understanding in any scenario that appears in the organization. The organization that is chosen for the project is Tesco PLC. It is a multinational company that deals in general merchandise and groceries that has its headquarters in England with revenue of almost 5788.7 cores GBP In the financial year 2021. The adaptation of the leadership and strategies of leadership is done as participant leadership which shows that the company believes in motivating the employees and hearing their side of decisions in terms of the decision-making process. Every organization has a certain way of promoting and implementing leadership.
2 Evaluation of strategic leadership and shaping organizational culture
2.1 Strategic leadership
Strategic leadership can be understood as the practice of management and its different styles that has a vision for the development of the company that helps in enabling and having a competition of the company’s environment. The leaders are capable of motivating the employees in a way that they can have a sense of unity in terms of direction for the implementation of organizational change.
In TESCO plc., the company focuses on streamlining the procedures as well as helps in helps in boosting the strategic productivity in terms of operations and promotion of cultivating the environmental culture for the encouragement of the employees to remain or stay productive and providing them with the incentives programs and reward and recognition scheme that helps the employees of the company to reach to their desired goal. The leaders should understand the mission of the company for making certain strategies. They must know and analyse what individuals want and what they desire and what particular strategies will work for the company in the present or the coming future. The leaders must have a sense of creativity and craftiness while making and forming strategies in terms of changes identifying the needs and getting away from the strategies that might not work for the company. Big-scale organizations like TESCO, have different and desired classifications of the strategies that are action and production oriented. In the company, the leaders are responsible for the implementation of the goals related to the development of the plans as well as the company’s strategic directions (Sierra, et al., 2013).
In TESCO, the management style that is adopted is a democratic system and that can also be named participant style that helps in listening to the opinions and voices of all the employees that are interested in keeping the best interest of the company forward. The company TESCO uses this leadership style and that eventually really motivated the employees of the company and the employees are more engaged in providing the best services and products to the consumers (Wang, 2016). The importance of every department has its leaders and the process of the organization helps to appoint the best roles and responsibilities to the company as it promotes clear thoughts and ensures productive services with the help of weekly audits and identification of resolving the issues related to the company and operational efficiency for the company to deliver the more standardized products. The style of management in TESCO is democratic and decentralized and it is evenly distributed in terms of lower employees that allow for initiation in the contribution of efficient ideas as well as company’s growth. Company overall empowers the growth of the company with the help of promoting and making the company’s employees satisfied and looking after them so that they can take equal interest in the company’s operations (Burgelman, et al., 2017).
2.2 Role of leadership in shaping organizational culture
Effective leadership has the biggest role in encouraging the imperative fundamentals for having a great culture in the organization. There are a lot of factors related to the organization’s culture that can help with the engagement of the workforce in such a way that certainly helps in the promotion and maintenance of the factors as for the work-life balance and providing excellent services to the consumers.
For better work-life balance- An organization should promote and encourage and supports a healthy life balance in terms of life that helps in doing smart work and helps in learning to multitask as well. It upholds efficiency and increases the level of loyalty of the employee towards the organization.
Best consumer services- Engagement of the employees is very important in terms of supporting a very healthy life balance as it helps the individuals to not just work hard but smart also. Having an efficient organizational and work-life balance helps in addressing the bigger concerns of the workplace, solving the problems that are related to the company that might help the company to increase its sales of the company.
For increasing the profitability of the company- The trajectory of the company and its engagement in terms of general growth is essential for every individual of the company. Every member of the company delivers a different level of productivity and efficiency in terms of operations, so each member has a different level of understanding in terms of workforce and delivery of productivity and operations (Arifin, et al., 2014).
Organizational culture affects and reflects the behavior as well as the rules of the organization in terms of coming to a consensus. It is a culture and a practice of the company that helps the members make social interaction. Leadership and organizational culture go hand in hand for enhancing, controlling, and building of the performance of the organization as the importance has a wide scope in a company. There are indirect and direct mechanisms related to every company. The culture model can be determined with the help of evaluation this consists of influencing the behavior that can be seen by listening and giving opinions in terms of appointments and status. There are certain elements like leadership culture that have a very big important role in terms of the contribution to the desired culture. The company TESCO believes and interprets that the leadership culture contributes to the organizational culture and helps in executing and building strategies for the company. A strong corporate culture needs a perfect leader and some efficient leadership skills to make to develop upcoming leaders. Leaders should know what is their role and intentions in making the company work efficiently and positively contributing to the organizational culture in a modern way. Advocating and empowering the power for building connections with the teams with the help of connecting with teams helps in the establishment of 3 pillars of the company that is having positive relationships with one another, accomplishment, and purpose so that company can have efficiency in certain operations (Shafie et al., 2014).
3 Evaluation of leadership styles and theories
To run such a big organization as Tesco it is really necessary to apply effective leadership so that the functions of the organization can continue smoothly, the reputation of the company is a result of its better organization so, it is really important for a leader to know when to apply which type of leadership style so that it suits the situation and to enhance their knowledge they need to analyse the theories-based on effective leadership
3.1 Leadership Theories
Leadership theories are based on the explanations that deal with the why and how some people become leaders. These theories focus on the behaviours and traits that are adopted by people in order to increase their leadership capabilities. Some of the important traits that are included by a good leader are high standards and strong ethics(Northouse, 2021).
1) Behavioural theory
It is also known as style theory. This theory focuses on the way based on how leaders assume and behave that these are the traits that can be copied by others. This theory suggests that leaders are not born successful but they become like this because of their learnable behaviour. The focus point of this theory is Actions, not qualities. In this theory, the patterns are observed and categorized into leadership styles. At last actual behaviour and actions are the primary things that define the success of a leader in this theory. This theory helps the leaders to focus on their actions and utilize them in decision making which helps them in becoming good leaders (Northouse, 2021).
2) Contingency theory
It is ls known as the situational theory, it generally focuses on the context of the leader. This theory focuses on the situational effects of a leader that is based on the success or failure of a leader.
The effectiveness of the leader is determined directly by their situational context. This does not focus on the psychology of the company or the employee but focuses on the importance of the situation (Lussier and Achua, 2015).
There are many contingencies theories for example Evans and House Path-Goal Theory, Hershey and Blanchard’s situational theory, and Fiedler’s Contingency Theory.
According to this theory, external and internal factors impacts the situation of a leader.
3) Great Man Theory
It is also known as trait theory. According to this theory, some people are born leaders they have these qualities and skills on their own they do not need to learn these skills from somewhere else (Lussier and Achua, 2015).
This theory suggests that leaders should deserve their positions because they possess those special traits.
But this theory s criticized because according to this theory leaders are born with such skills and there is no need of putting any effort.
And another reason for the criticism of this theory is that most of its traits included in this theory are somewhere masculine and d not the real aspects of good leaders (Dinh, et al., 2014).
4) Management Theory
It is also known Transactional leadership and focuses on the organisation, group performance and supervision.
When the employees do something good then the managers reward them but when they commit any mistake the manager punishes them. It deals with the system in which punishments and rewards are regularly used in the business.
It deals with the psychology that humans do not do anything for goodness but they do it for rewards and promises (Dinh, et al., 2014).
Positive reinforcement is generally known for the wonders it performs with the staff members because it helps to motivate and encourage them to succeed.
5) Participative theory
This type of leadership is not common in the corporate world. It is also known as democratic leadership. This theory suggests that the employees are directly involved in the decision-making process, by discussing with the employee’s leaders to reach a conclusion.
This theory serves many advantages because in this case, the employees feel more involved and motivated when they are directly involved in the decision-making process of the organization (Humphrey, 2013).
But there is some criticism of this theory because some people feel that adapting this style of leadership leaders looks unnecessary or weak. And by adapting this leadership style leaders do not receive the best results or outcomes, because by adapting this style they get more engaged in identifying the needs of people more than the needs of the company.
6) Power theory
This theory is based on the way of analysing how leaders utilize their power in getting their goals Accomplished. According to this theory leaders who possess great power get their things accomplished quickly. However, this type of leadership is not enjoyed by the employees because they like to work with a leader who encourages them and works with them. But this type of theory is preferred in organizations where promotion and hierarchy are the keys to their success (Humphrey, 2013).
7) Relationship Theory
This theory focuses on the leaders who are concerned about their interaction with other people. Somewhere they are the mentors for the employees, they schedule a time to interact with them and work with them to meet their goals and needs. Its main focus is to make work more enjoyable for everyone. Managers who are oriented toward relationships generally get nice outcomes from employees.
The advantage of following such type of traits is that the employees feel confident with their leaders, get inspired by them, and try to follow them.
To become an inspiring leader, it is really important to understand that which leadership style or theory impacts your work more.
3.2 Leadership Styles
It is really important for a leader to understand different types of leadership styles so that they can understand that what kind of leadership style they should adopt so that by incorporating it they can handle the situation more effectively (Yahaya and Ebrahim, 2016).
- Some of the leadership styles are as follows:
1) Autocratic or commanding
Leaders who possess this leadership style like to take decisions on their own, without taking any input from their employees. This is one of the ineffective leadership styles because it generally leads to lower job satisfaction and makes employees’ morale down. But at the time when there is an urgent need to take decisions, it turns out to be effective.
2) Affinitive
In this type of leadership style, the leaders try to make emotional bonds with their employees. Leaders who possess this type of leadership style place employees before profit and for them the team comes first (Yahaya and Ebrahim, 2016).
This type of leadership is most effective when there is a tense atmosphere in the company and the morale of the employees is decreasing.
3) Democratic or participative
It is very similar to the affinitive leadership style because the leader who possesses this style of leadership focuses on building knowledge, skills, and diversity in a team.
Generally, this type of leader is an excellent listener. But at the time of emergency or stressful situations, this leadership style can make the decision time-consuming (Sethuraman and Suresh, 2014).
4) Bureaucratic
Leaders who possess a bureaucratic leadership style are generally risk averse. They follow a textbook to follow their actions as a leader. They are different from the leaders who possess an autocratic leadership style. Generally, they are more biased toward practicing companies’ policies and like to do everything according to it no matter how old that policy has become.
5) Laissez- Faire or Delegative
These types of leaders generally show trust in their employees and they offer very less interference. This type of leadership style is the least intrusive style. It can make the team empowered but it can also limit their skills and development process.
This type of leadership style is often found in Start-ups (Sethuraman and Suresh, 2014).
6) Transactional
These types of leaders are only concerned with the work that employees do. When working with a transactional leader the roles and responsibilities of the employees are defined clearly. But sometimes it turns out to be a bit demotivating (Al Khajeh, 2018).
7) Transformational
Leaders who possess this type of leadership style generally focus on the continuous improvement of their employees. They try to implement stretch-goals. They try to push their team and motivate them to come out of their comfort zone. They generally communicate with their employees eloquently and on an emotional level. They are skilled communicators (Al Khajeh, 2018).
4 Evaluation of leadership, power, and decision making
4.1Leadership power
It is basically the influence that the leader has on their employees and followers. It pushes others to do what they ask and support their efforts. Influence is very important to leadership because leaders are nothing without it. It serves as a key component of authority and power.
Raven’s and French Forms of power represent six sources of power exhibited by a leader and those are reward, coercive, expert, informational, legitimate, and referent.
Each power has a different influence on another person, it has different relationships, outcomes, and impacts that are better than others.
Power and leadership
Powerful leaders generally possess self-discipline and clarity and this thing allows them to lead by example.
By displaying this kind of behaviour, they inspire their team to do the same thing (Azhar, et al., 2013).
Insightfulness is yet another aspect of the power exhibited by the leader. A leader who is insightful has the capacity to communicate the vision and see a bigger picture of the vision.
- To understand the effectiveness of a leader first they need to understand the power of a leader.
1) Legitimate power: It refers to a power that is formal in nature and is received by a person at the time when they occupy a position in the company (Azhar, et al., 2013).
Your power depends on the position on which you are in the company and these powers last till the time you remain in the company.
2) Reward power
It refers to the capacity to offer benefits and rewards given in exchange for achieving outcomes related to a task.
Rewards generally come in the form of benefits, raises, public praise, and promotions.
3) Referent power
Leaders get referent power by their qualities that are used to inspire respect and trust in their staff members.
Referent power is not external but internal. This is a kind of power that is personal and cannot be provided by somebody else.
4) Expert power
It comes from extensive experience and through deep technical knowledge.
Expert power gives the ability that helps to influence co-workers at all the levels. This helps to steer development and growth of both company and individual.
5) Coercive power
It is one of the least effective power.
In this, the leader forces or threaten the employees so that they perform the task of the leader’s choice. Sometimes they might not agree with the task they have to perform but, they still have to perform it because of the fear of losing their jobs.
4.2 Decision Making
It is a leadership skill that is used by the manager so that they can assess the situation and determine the way in which the organisation can proceed (Bergman, et al., 2012).
It involves some steps and they are as follows:
1) Identifying challenges: In this step, the leader observes an issue and concludes the reasons that resulted in such a situation.
2) Devising Solutions: After gathering the relevant information related to the circumstances, leaders identify several methods to solve the issue (Smith, 2014).
3) Weighing options:
In this stage, the leader analyses the disadvantages and the advantages related to each option and according to it explores alternative measures to solve the problem (Bergman, et al., 2012).
4) Making a choice: Once the assessment has taken place, leaders reach the final decision based on the actions that are needed to be taken (Smith, 2014).
5) Informing others about the decisions: In this step, the manager informs the employee bout the decision that has been made and based on it explains how the decision influences the environment at the workplace.
A good leader before making any decisions consult with their employees first and also ask them about their suggestions or feedback. This helps them to get more options through which they can reach an effective outcome.
The Decision-making process depicts the efficiency of a good leader or manager effective decisions help to propel the projects forward and save time by increasing the productivity of the employee.
5 Recommendations
Effective leaders have a great impact on the not only on the team but also on the performance of the company that is the reason why TESCO focuses on motivating their leaders to improve their leadership qualities.
There are some recommendations that can help an organization or a leader to improve their leadership qualities.
- Leadership qualities are as follows:
1) Leaders should get engage in open communication
The most effective element of leadership is to create and introduce open communication in the organization. Their transparency and honesty should set an example for the team members.
A leader is said to be effective when he/she knows when to implement what kind of leadership style will suit to deal with the current situation(Burns, 2012).
By communicating effectively and displaying transparency leaders can build their trust in the employees and help them improve their overall morale.
2) By encouraging professional and personal growth
Sometimes acting like a cheerleader for the team is important for being an effective manager or leader. Leadership is all about inspiring the employees and motivating them to take on work that is more challenging.
3) By militating a positive attitude
Every time when a leader wants that their operations run smoothly that is the tie when they find themselves rounded by obstacles. A small miscommunication can also create a major error, so in this kind of situation, it is very important for the leader to maintain a positive environment and keep the employees motivated in their work(Burns, 2012).
4) By providing them with feedback based on their performance
It is really important for leaders to provide effective feedback to the employees based on their performance and should advise them or help them in improving it.
The organization should also provide feedback to the leaders so that they can enhance or evaluate their performance.
5) Try to be open to adopting new ideas
It is the trait of an effective leader that they possess emotional intelligence and understand the need of accepting inevitable changes in the organisation. By bringing up new ideas and by developing critical thinking leaders can improve the working procedure of the organization which can help them in maximizing their profits.
6 Conclusion
- In the end, it is concluded that developing effective leadership is very important to run such a big and renowned company TESCO. It is very important for a leader to possess a leadership style that contributes to the growth and further development of the company.
- It is concluded that leadership is a quality or ability used to direct people or groups by making them realize their goals.
- They must have competence, compassion, character, and courage.
- To become a good leader, it is really important for them to have knowledge that where to use and what kind of leadership style.
- A leader influences the culture of the company heavily. They enforce the organizational values by helping their team to develop and grow by setting goals and opportunities for them.
- By applying strategic leadership, they can streamline the processes and help the employees in boosting strategic productivity by promoting innovation.
- Leaders are the ones who are responsible for establishing processes that are necessary for making decisions. It is critical to the company because it can facilitate or create hindrance in the execution of the goal. It can affect the overall effectiveness and satisfaction of both company and employees.
Appendix
7 Personal development plan
| Skills | Current Ability | Target Ability | Development opportunity | Time frame | |
| Priority 1 | Communication | Average | To make it more effective | Seminars and training sessions | 2 weeks |
| Priority 2 | creative skills | Average | training sessions,
activities to improve creative skills |
To improve creative skills so that problem resolving and identifying capability could improve. | 2 Weeks |
| Priority 3 | Listening skills | Low | to improve decision-making procedures more effective | by focusing on active listening. | 3 Weeks |
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