Unit 4 Management And Operations - Uber

Similarities between Manager and Leader

Though they are different but they also share similarities and they are :-

Bureaucratic theory of management

This theory of management principles was developed by Max Weber and emphasis on that bureaucracy was better then traditional structures (Singhal and Singhal, 2012). In this, everyone is treated equally and division of labour is clearly represented to each employee.Also in this theory, selection and promotion occur on basis of technical qualification.

Contingency theory of leadership

This theory was proposed by Fred Edward and emphasis on importance of leaders personality and the situation in which that leader operates (Starr and Van Wassenhove, 2014). It claims that there is no best method to organise the structure, lead a company or to make decisions.

P2. Roles and functions of managers and leaders in different situations.

Leaders and managers perform several functions in an organisationto attain objectives effectively and efficiently.

Functions of manager

• Planning: It refers to setting a plan for an organisation. In every company, it is the duty of manager to decide the objectives and determine the process of achieving those goals with minimum cost and maximum efficiency.
• Organising :People working together in an organisation requires different roles to perform to accomplish the goals and objectives. It is essential for constructing the structure and internal environment of organisation.
• Directing :Once the management is complete, all it has to do is to assign the different jobs to the respective candidates (Langabeer and Helton, 2015). This process used to get employees to work together in an organisation.
• Controlling :This helps in measuring the development towards the organisation goals and brings any deviations and indicates corrective action. As organisation moves forward in its plans, it maintains its progress. Monitoring the firms operations and correcting deviations from established goals constitute this function.
• Staffing :Manager is responsible for selecting and training the employees for particular job function and assigning them with some responsibilities. This involves recruiting, selection, training, etc.

Functions of leader

• Motivation :Leader is responsible for motivating their team members to work towards the attainment of organisational goals (Hitt and Carnes, 2016). Motivation can be both financial like rewards,etc. and non financial like attention, respect, recognition,etc.
• Training :They are responsible for guiding and providing adequate training to the people in the organisation which help them to do work in different way and contributes to the development in growth and productivity of the company
• Coordination: Leaders are responsible for maintaining and coordinating programs and policies to the employees. It enhances the team spirit and improves coordination.

Rapid changes

For instances, in Uber when there is a high demand or peak time then organisation rapidly changes to charge higher fare from customers with increasing demand. This increases the profitability of the company. Also when there are changes in government policies or if there are price fluctuations in petrol and diesels then manager immediately takes decisions regarding whether to increase the fare or not and if yes then to what extent. In this, leader will take quick suggestion from team regarding changes and also will guide IT department to work according to the changes.

Slow Changes

When there are few or very slow changes in the organisation then Uber will adopt policies which will influence customers to use their services. In this, manager will be responsible for developing policies such as promotion offers, discount on rides, etc. Also, manager will control the process and keep a check on system to ensure that everything is working smoothly and deviations are corrected (Drake and Spinler, 2013). Leaders will be responsible to guide support system regarding the customer services. They will also be responsible for monitoring that employees are working effectively and efficiently for the benefit of the organisation.

P3. Different theory and model of approach.

Leadership is a important element of management and all theories are important to the management. Whatever the size of the organisation large , medium or small, theses theories are practised in every company. It increases the effectiveness of the leaders and they motivates the employees to work towards the attainment of organisations objectives.

Situational leadership theory

It is leadership style in which leaders can adjust to fit in the situation which they are trying to influence. The person must be able to adapt to their situations. It is not based on particular skill of a leader rather they change their skills to what benefits the organisation. This emphasis on understanding the needs of the followers, must be able to adapt themselves in changing situations, gain trust and confidence of followers (Hoyos, Morales, and Akhavan-Tabatabaei, 2015). It is primarily based on project action, person maturity,relationship and effective leadership behaviour.

System leadership theory

This theory enables the leader in an organisation to make the conditions where people at all levels can work profitably to their capability. It provides leaders with instruments that help to forecast people's activeness in an organisation. This approach further explains the content on the complexity and dynamism of the environment and render a model for building the ideas. This focuses on psychological and social aspects. Primary function of leader under this theory is setting direction. This helps in understanding the interactions between individuals, groups, community and determines how this works in human environment.

Contingency theory of leadership

This theory claims that there is no best way to organise a corporation, lead a company, or to make decisions. Effective leadership is uncertain upon a match between the leaders style and work situation (Heizer and et. al.,2017). This is helpful in predicting which leader will be effective in what situations. It defines a particular situation by three factors that are leader member relation, task structure and position power. Combination of these factors determine whether leadership style will be effective or not. It is necessary to focus on at least one aspect of the leader led situation. This is formed by combining leaders traits and behaviour and particular situation.

ACTIVITY 2

P6. Factors within business environment impact the operational management and decision-making mad by the leader and manager.

To analyse the business environment(PESTLE Analyses) by which the operational management and the decision-making made by them will be effected. While imposing any decision or innovations in operations will be effected. If they don't do the proper analysis of environment. PESTLE analysis consist of Political, Economical, Social, Legal and the Environmental analysis. Its a tool to analyse the macro environment factors that impact the overall performance of the company. As uber is a multinational company, so for them to analyse proper external environment is essentially. PESTLE analyse are :-

• Political Factor: These factors are related to the government which directly influences the business. The factors that effects are government policy, political insatiability and stability, corruption, foreign trade policy, tax policy, lobar law, environment law etc. can effect the operational management and decision-making made by them. If government change and new policy are imposed in taxation, foreign trade or any other new policy are formed then the role of leader is reform their organisational policy. If the tax is imposed on the product and services then manager role is to cut-down the operational cost.
• Economical Factor:- These factors determines the performance of the economy. Factors which effects the business are inflation rate, exchange rate, economic growth, interest rate, unemployment rate and the disposable income of the consumer. These factors influences the business whether on short terms or long term bases. The consumer purchasing habit can be changed, the demand & supply model policy may get effected in the economy(Terwiesch and Cachon,2012). Their role is manage the demand and supply of their business. Decision which are formed by them have to retain the customer as well. As the rates changed they have to make changes in their polices as well.
• Social Factor:- This factor consist of the demographic norms, customs and the value of population live near the business located. Population age, income, career, attitude, income distribution etc. effects the business. Their role is to take decision in accordance to customer need and preference. The operational activity is also effected as the income of a person decline.
• Technological Factor:- The company have to use the advance and modern technology to grow their operations. Sometimes innovation in the technology helps the business positively as well negatively. As they take the decision in respective to adopt the new technology and company invested huge amount in it then it would become the obsolete for the company. The operational management and decision-making made by them have in respective to achieve the objectives.
• Legal factor:- These includes the employment law, discrimination law, consumer protection law, copyright etc. effects the business activity(Jacobs, Chase and Lummus, 2014). If any law is changed then company leaders and manger have to their polices as well. The operations of the company will be manage as they follows the rules and regulation.
• Environment Factor:- These includes weather, climate, environment offsets, and climatic change etc. these factor effect the operations of the company. The leader and manager have to take decision in accordance to these factor.

Critical evaluation of application of operational management

The operational management effects in achieving the successful business positively as well as negatively. If the operations are manage appropriately in accordance to the business environment then objectives will be achieved. As, they not manage considerably then achieving objectives become difficult. The leaders and manager have to take the decision in accordance to the business environment. If any policy is impose, it can't effect the business operation.

CONCLUSION

From the above report it has been concluded that leaders and managers perform different roles and functions in an organisation. As they both are separate entity, but also poses some similarities which were discussed. Also role of manager and leader in different situations has been elucidated. So company should understand the value and importance of operational management. It further explains that leader should have the skill that needed to be changed with changing environment and situations. Later part of the report explains, how external environment affects operation management and their impact on organisation in achieving organisations objectives. We provide the best online assignment help from experts at the best price.

Read also:
Organisational Behaviour in Tesco

REFRENCES

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