Introduction of Contemporary Management Issues Assignment
Get free written samples by our Top-Notch subject experts and Online Assignment Help team.
An examination of current management problems is conducted in Contemporary Management Issues. Issues of today are the consequence of previous and present ways of thinking and doing. Current ideas and behaviours will have an impact on future problems, too. In today's world, management tools like benchmarking and strategic planning help companies better understand their customers and their markets. They also help companies develop vision and mission statement as well as supply chain management strategies. Business executives, managers, and workers all face a daunting task when it comes to organisational transformation. Change may be necessitated by changes in the market, economic climate, technological advances, or the changing skill-set requirements of the workforce. Today, the causes for an organization's transformation may come from inside or outside the organisation. External limitations, internal limits, resource dependence and expanding competitive marketplaces all require companies to adapt in order to achieve their full economic potential and remain competitive. Companies and executives should anticipate problems even when making organisational changes as a result of a specific incident.
“Exhibit an understanding of the key dynamic forces impacting on business and society”
Progress in virtually every sphere of life is being accelerated by a process that presents both possibilities and dangers. It has the effect of bringing together many different entities from all over the globe. Political, technological, economic, and societal factors all have a role. Furthermore, corporate social responsibility has a worldwide scope, and this is critical. Companies who disregard this trend risk being found guilty of strategic negligence, since they will fail to meet their responsibilities to society and the environment, and therefore miss out on opportunities for growth (Elamer et al., 2020). The twenty-first century is a time of rapid and disruptive change, and we find ourselves not just observers but also participants in this process. They pose new problems for the way economies work and how businesses behave throughout the economy. Because to the ongoing process of progressive globalisation, national economies are now more interconnected than ever before. This has resulted in qualitatively new economic connections between continents as well as between nations and regional groupings, as well as markets and businesses. New technology, resources, and production elements, as well as information are now flowing on a worldwide stage due to the increasing flexibility and speed with which international transactions may now be concluded and executed.
The phenomenon and process of globalisation is one of the most important of our time, bringing with it new possibilities as well as new dangers. It has to do with progress, development, integration, removing all obstacles, and growing interdependence among nations. The meaning of the word "globalisation" is still up for debate. This is most likely because of the wide range of economic, technological, social, cultural, and political aspects that this word encompasses, as well as its multidimensionality and complexity (Udin et al., 2017). Theoretically, many writers think that globalisation processes date back millennia and only endure a few changes along the way. This phenomena may be defined in many ways, each emphasising distinct aspects. Many variables of various sources, nature, intensity, and breadth of effect, as well as varying degrees of mutual dependency, support the growing process of internationalisation of the international economy and the transfer to its larger level, which is globalisation. Because globalisation is a multidimensional process that takes place at the same time in many different areas of human life, not all aspects of it are fraught with methodological difficulties. This is because it occurs simultaneously in many different areas of human life. Regardless of the industry, businesses constantly operate in relation to other businesses, within a particular area, and ultimately with the government. While the external environment has a significant impact on businesses, it also binds them together, establishes standards, and imposes limitations, but enterprises also have an impact on the external environment.
Modern businesses operate in an increasingly complicated and changing environment, necessitating constant adaptation from all parties. Despite the development of corporate organisations and institutions that have an impact on the operation of individual companies, the range of business contacts with their surroundings is expanding at a rapid pace (Raisch and Krakowski, 2021). There are now linkages between social, political, and cultural issues as well as technological and economic ones. This is a significant development.
“Critically evaluate the relationship between such forces in terms of effective strategic decision making”
The definition of change is just doing things in a new way. People in an organisation usually become accustomed to completing activities and obligations in a particular manner by developing processes to combat these corporate expectations and responsibilities in an organisational environment. Change is the technical term for these processes when they are altered or modified (Jarrahi, 2018). According to management principles, the notion of change is a dynamic and ongoing process of development targeted at the individuals affected by it inside a company. Change management has been around for a while and is now a necessary part of running a business. In contrast to those who prefer the stability of the current situation and fiercely oppose any change, others thrive on new challenges and constant change. There isn't much leadership can do about people's reluctance to change since it comes down to their personality.
On June 23rd, 2016, the British people decided to exit the European Union. Theresa May, the British prime minister, started the withdrawal process on March 29th, 2017. The 29th of March, the 22nd of May, and the 31st of October were all scheduled dates for the commencement of the Brexit process. Now, it's been pushed out until the end of January 2020 yet more. Brexit has harmed the UK upwards of £440 million per week in missed economic growth, according to a study released earlier this year by the Bank of England. So, today's projected loss is about £77 billion, if that's true. Companies will undoubtedly be impacted by Brexit, with those headquartered in the UK expected to be the most severely hit (Mousavi et al., 2017). There are still some UK and international businesses who are concerned about the future of their operations in the UK, with varying results depending on sector. Sainsbury's is the UK's third-largest supermarket chain, accounting for 15.3% of the industry's overall sales. The chief executive of Sainsbury's said in September 2019 that a no-deal Brexit would have a severe effect on fresh food supply. Daily consumables that Britons take for granted, according to this warning, may be adversely impacted if the UK exits the EU without a deal. He said that it's 'not beneficial' that Brexit happened at this time. Although he promised that the United Kingdom "would not starve as a country," Mr. Cameron was cautious. According to Sainsbury's CEO, Mike Coupe, an agreement without the need for a deal would create "gaps on the shelves," as Co-op CEO, Steve Murrells put it. This will not lead to a shortage of food in general. There would be fewer choices, which would raise costs and have an impact on specific market groups, such as the young and the elderly.
Sainsbury's must contemplate a fresh strategy shift. Unfreezing, changing, and freezing are the three main components of a change management theory. Sainsbury's can overcome the challenges posed by Brexit by using Lewin's change management model (Duan et al., 2019). Renegotiating delivery dates with current EU fresh food suppliers and connecting with emerging ones in the UK may be done using Unfreeze, while creating a backup plan to look for alternatives in Asia and the rest of Europe to offer logistics for supply chain management. As long as supermarkets communicate important information and crucial updates to all of their main stakeholders, such as core suppliers, workers, and customers, they may effectively control rising supply costs. With the help of Freeze, companies may establish temporary long-term accords with back-end logistics suppliers while also defining new management processes to inform workers and consumers about the bad situation. However, because of Brexit's uncertainty, freezing cannot be completely utilised to reach a decision and a repeating process of unfreezing, modifying, and refreezing would be more logically.
“Prepare an evaluation of an organisation’s responses to key dynamic forces in the contemporary business world”
While some individuals and organisations refuse to adapt to change and adhere to industry best practises, others may be on the same page. Sainsbury's may utilise Lewin's change management model and Kotter's 8-step approach together to help find Brexit answers. A realistic analysis of change management must be developed, therefore (Rosenbaum et al., 2018). There may be a short-term spike in overall costs for this specific industry, but a strategic shift is required since Brexit will have a significant impact on almost all market dynamics. For this reason, executives and managers within Sainsbury's must implement change responsibly in order to provide effective and efficient outcomes that are optimistically similar to those expected in order for the company to minimise harm to some degree.
Kotte r’s 8 step approach
- Creating Urgency: When it comes to bringing about change, having the support of the whole business is helpful. Determine how urgent it is to make a change. This may serve as a catalyst to get things going in the beginning. Increasing competition isn't only a question of presenting people with dismal sales figures (Laig and Abocejo, 2021). Engage in an open and sincere discussion regarding the state of the market and the competitors of Sainsbury’s. If a group of citizens start talking about what the company is proposing, the sense of urgency will grow.
- Powerful coalition to be formed: Persuade individuals that they need to change. Strong leadership and tangible backing from important individuals in the company are often required. Change management isn't enough; you must also take the initiative to drive it forward. It is possible to identify successful change leaders outside of the conventional corporate structure in your firm. To be a change agent, you need to assemble a group of individuals with varying levels of influence, such as job title, position, knowledge, and political clout. To be effective, a "change coalition" must operate as a unit, creating urgency and momentum for a program's need for transformation.
- Create a vision for change: It is likely that when Sainsbury’s first begin to consider making a change, there will be many excellent suggestions and options available. Assemble these ideas into a coherent whole that others can comprehend and remember. When they have a clear vision, it will be easier for others to comprehend why the company want them to accomplish something in particular (Tan et al., 2019). People are more likely to understand the instructions if they can see what the company is attempting to accomplish.
- Vision to be communicated: The success will be determined by what the company do with their vision after they created it. In order to stand out from the rest of the company's daily communications, they must convey the message often and forcefully, as well as integrate it into everything they do.
- Removing the obstacles: Decide on or employ individuals whose primary responsibilities are bringing about the desired change. Examine the company's organisational structure, job descriptions, and reward and performance systems to see whether they support the goal. Recognize and recognise those who have been instrumental in bringing about a positive change. Help those who are opposed to change to realise what is required. Take immediate action to eliminate any obstacles.
- Create wins of short term: The pursuit of achievement is the most powerful motivator of all. Don't wait till the end of the process to give the business a victory taste. To get your team on board with the shift, set some "fast wins" that can be seen in the near future. This might be a month or a year (Weiss and Li, 2020). Critics and pessimists may harm the development if they don't have this. Establish a number of short-term goals in addition to the long-term objective. There should be minimal space for failure as the work way down the list of lesser goals. To achieve these goals, the change team will have to work very hard, but each "win" create may further inspire your whole workforce.
- Building on the change: Many transformation initiatives, says Kotter, fail because success is proclaimed too soon. Real progress is rooted in the soil. Long-term change cannot be achieved with short-term victories. Using a new system to launch a single new product is fantastic. However, if the company is able to roll out 10 additional items, the new method is clearly functioning. To get to the tenth success, they have to constantly searching for ways to become better at what they doing.
- Anchor the changes: Finally, if the company want a change to stay, make it part of the organization's DNA. Because company culture frequently dictates what gets done, the principles that underpin the vision must be manifested in the work every day. Continually strive to guarantee that the company is transformed. This will assist the company's culture adapt to the new direction. The company's top executives must also remain committed to the transformation (Radwan, 2020). Existing employees as well as newly appointed executives are included. They may find yourself right back where they began if they lose the support of these individuals.
“Select and use decision making tools to address contemporary drivers for change”
Sainsbury's is the second-largest supermarket chain in the United Kingdom behind Tesco. 150 years after it first opened its doors in the city of London, the chain is still a household brand in the United Kingdom. However, Tesco and Asda have been fierce competitors for a long time for the supermarket chain.
The United Kingdom opted to exit the European Union in a referendum held in 2016. However, if the so-called "Brexit" happens as expected, Sainsbury's and other English grocery companies may be seriously impacted. Brexit may make it more difficult for retailers to import affordable goods from other countries (Fengyi, 2021). Because of this, Sainsbury's must work harder to guarantee that consumers continue to spend as much as possible so that it may maximise profits even if the cost of foreign goods is transferred onto the final customer.
The cost of gasoline and diesel has steadily increased over the past several years. The availability of fossil fuels is dwindling, and a fuel tax motivated by environmental concerns may lead to even higher gasoline costs. Because of the high cost of gasoline, importing and exporting products becomes prohibitively costly. Sainsbury's and other supermarkets will have to adjust their prices to reflect these new expenses. In either scenario, this is likely to result in poorer overall profitability since profit margins are reduced or prices are raised for the consumer. Sainsbury's is also concerned about increasing wage expectations. Sainsbury's, like many others, employs a huge number of people to do menial jobs like stocking shelves or working the checkout (Thompson and McLarney, 2017). This would significantly raise Sainsbury's costs, which will result in lower overall profits if the company is required to pay its workers more than they ever have before. As previously stated, an increase in the final product price may offset this, but sales volumes would be reduced as a result. The battle for Sainsbury's is intense. Tesco, Morisons, Waitrose, Lidl, Aldi, Asda, and more well-known supermarkets exist in the United Kingdom. Furthermore, there are many independent corner shops and specialty food businesses like butchers and bakers across the nation. Due of the fierce competition, Sainsbury's is forced to innovate continuously while also limiting their potential to earn excessive profits.
There has been a definite sociocultural shift towards healthy eating in the twenty-first century. Unhealthy "junk" food has fallen out of favour in favour of salads, smoothies, and snacks geared at slimming down rather than filling up. In order for grocery companies like Sainsbury's to be successful in the long run, they must keep an eye on this customer trend toward adopting better dietary choices (Goethals, 2018). The fair trade movement has sparked consumer interest in the origins of their food. This social project entails paying a premium for food and drink in order to ensure that farmers get a fair price for their goods. In terms of coffee and chocolate, the fair trade movement is especially popular, but it has a broad impact on a wide range of goods.
As analytics technology like Big Data and Artificial Intelligence develops, companies across the world learn more about their operations. When it comes to predicting how much of a specific product would sell and at what price, a retailer like Sainsbury's may use analytics advancements. The development and implementation of these initiatives will lead to greater profitability for Sainsbury's. Sainsbury's offers online shopping, as do the rest of the country's supermarkets. Customers want to be able to order groceries online and have them delivered right to their front door today, more than ever before. This fast developing technology will be interesting to see how supermarkets utilise going forward in the food industry, where e-Commerce is just getting started.
Supermarkets have a significant carbon footprint. To be sure, Sainsbury's emits its good proportion of carbon dioxide, whether it is transporting goods across the country or lighting up huge distribution centres and warehouses around the clock. Carbon footprint reduction will become more important as people become more environmentally conscious. When it comes to long-term sustainability, Sainsbury's will have to come up with creative solutions to minimise their environmental effect while also considering how they might lessen the total damage they do. Sainsbury's and other large supermarkets produce a large amount of plastic waste as well as a substantial amount of carbon dioxide. By using single-use plastics to package food, supermarkets add to the environmental load. Customers that buy loose products and bring their own containers and bags will need to be rewarded with discounts or other special deals. The supermarket chain will also have to find ways to decrease the amount of plastic it uses.
Sainsbury's is a major player in the UK supermarket industry. The brand, on the other hand, has to contend with stiff competition, political unpredictability, increasing fuel and salary expenses, and high customer expectations for nutritious food choices, supplier welfare, and environmental awareness. Fortunately, Sainsbury's can set itself apart from rivals by using sophisticated analytics, which will allow it to stand out from the competition.
“Analyse the relevant theoretical foundations to support the identification and application of effect corporate responses to contemporary management issues”
Peter Drucker's work is credited with kicking off contemporary management theory. He introduced the idea of goal-oriented management. His work was a break from previous methods such as classical, behavioural, and human relations. Analyzing management choices quantitatively includes using statistical models and paradigms together with computer analysis. People, equipment, and systems integration emerged as a result of World War II's requirement for management efficiency (Rahimian et al., 2020). To put it another way, the Systems Approach views an organisation as a system made up of interconnected components that work together as a whole to achieve a certain goal. Each division is a component of a larger system that may be affected by a wide range of factors. An input is one part of the equation; an output is another. There are also feedback mechanisms and the environment. One way to look at this idea is the environment and relationships between different units or sub-units, each of which has a certain amount of influence over what happens next. How a company interacts with its surroundings is something managers have an impact on.
Humanistic relations theory, behaviourism and systems thinking are all types of management concepts. Chaos management and contingency planning are also included in the list of theories. According to these ideas, organisations may provide answers to a variety of management issues. Aside from that, theories have been shown to alter real behaviour when they are put into practise. The following are some reasons why management ideas are still important in today's organisations: The interrelationship between theory development, organisational behaviour, and management practise can be seen; the principles underpinning management can be better understood; they have enduring importance because of their application in today's management; and the principles underpinning management can provide a solid foundation for organisational action (Chatterjee et al., 2020). Organizations use the word management interchangeably because it has a common denominator of meaning and perception. However, as shown by the literature, various interpretations of management's meaning exist. To begin, management encompasses all types of organisations, regardless of their size or scope. To begin with, management encompasses all managers, including those in operational, tactical, and strategic roles. Management also include learning problem-solving, administration, human resources management, and organisational leadership skills. Organizations were evaluated from the standpoint of purpose, formal structure, work planning, and technological needs in the traditional management method. Various methods have been highlighted such as scientific management, bureaucratic organisation and administrative principles within the classical viewpoint. Fredrick Taylor, known as the "Father of Scientific Management," was a major contributor to the classical school of thought. Since there is the greatest equipment for every job, Taylor reasoned, there must be the optimum working style for every company.
Systematic managerial thought may be traced back to the industrial revolution of the late nineteenth century, when huge industrial conglomerates began to form, together with its attendant difficulties in terms of organisation and administration. There are many different "approaches" to writing about organisational behaviour and management theory. This helps identify major patterns in the development of organisational behaviour and management theory. The method, although simple, provides a framework for organising research and focusing attention on the development of ideas aimed at enhancing organisational performance. When it comes to systems management, organisational development and scheduling may try a different view. For a company to function properly, all of its linked components must work together in harmony, as outlined by the systems management theory. A variety of key variables, such as synergy, interdependence, and connections among various subsystems, are said to influence an organization's success.
A company's employees are one of its most important assets. To be successful, a firm must have departments, workgroups, and business divisions. Organizational trends and events must be analysed by managers to determine the most effective management approach. To achieve more as a group, individuals may work collaboratively across programmes rather than separately. Contingency management is founded on the premise that no one management style is suitable for every business. A variety of factors, both internal and external, will have an impact on the chosen management approach. According to the results of the contingency theory, a company's structure is heavily influenced by three factors: size, technology, and leadership style. Fred Fiedler came up with the concept of contingency management. According to Fiedler, a leader's personal traits are directly related to how successful they are as a leader. According to Fiedler's theory, there is a set of leadership traits that may be used in every situation. When required, a leader must be able to shift directions quickly.
Structures and recommendations, as well as other organizational theory, may be used by modern businesses to put into action recommended management practises. It is common for professionals to combine concepts from various management concepts, depending on their workforce and company culture, rather than using a single management philosophy. Frederick Taylor, an American mechanical engineer and early management theorist, popularised the concept of scientific management. First of its kind, he and his colleagues looked at how individuals perform at work. Forcing individuals to work hard wasn't the greatest approach to maximise outcomes, according to Taylor's viewpoint as an alternative, Taylor advocated streamlining processes to boost efficiency. The approach was a departure from previous corporate practises. At first, a plant manager had little or no interaction with his workers. There was no way to standardise standards at work, and the only thing keeping them there was the prospect of a raise.
Chatterjee, S., Nguyen, B., Ghosh, S.K., Bhattacharjee, K.K. and Chaudhuri, S., 2020. Adoption of artificial intelligence integrated CRM system: an empirical study of Indian organizations. The Bottom Line.
Duan, Y., Edwards, J.S. and Dwivedi, Y.K., 2019. Artificial intelligence for decision making in the era of Big Data–evolution, challenges and research agenda. International Journal of Information Management, 48, pp.63-71.
Elamer, A.A., Ntim, C.G. and Abdou, H.A., 2020. Islamic governance, national governance, and bank risk management and disclosure in MENA countries. Business & Society, 59(5), pp.914-955.
Fengyi, Z., 2021. The Analysis of Asda-Sainsbury’s Merger/Acquisition. Journal of Finance Research, 5(1), pp.1-6.
Goethals, M., 2018. BUSINESS PROSPECTS OF THE FIRST VEGAN PASTRY IN LUXEMBOURG: Market Research, Risk Analysis & Concept Creation.
Jarrahi, M.H., 2018. Artificial intelligence and the future of work: Human-AI symbiosis in organizational decision making. Business Horizons, 61(4), pp.577-586.
Laig, R.B.D. and Abocejo, F.T., 2021. Change Management Process in a Mining Company: Kotter’s 8-Step Change Model. Organization, 5(3), pp.31-50.
Mousavi, B., Lopez, N.S.A., Biona, J.B.M., Chiu, A.S. and Blesl, M., 2017. Driving forces of Iran's CO2 emissions from energy consumption: an LMDI decomposition approach. Applied energy, 206, pp.804-814.
O'Neill, T.A. and Salas, E., 2018. Creating high performance teamwork in organizations. Human resource management review, 28(4), pp.325-331.
Radwan, A., 2020. Lead transformational change, minimize resistance with 8?step model. Dean and Provost, 21(7), pp.1-5.
Rahimian, S., ShamiZanjani, M., Manian, A. and Esfiddani, M.R., 2020. Developing a Customer Experience Management Framework in Hoteling Industry: A Systematic Review of Theoretical Foundations. Journal of Business Management, 12(3), pp.523-547.
Raisch, S. and Krakowski, S., 2021. Artificial intelligence and management: The automation–augmentation paradox. Academy of Management Review, 46(1), pp.192-210.
Rosenbaum, D., More, E. and Steane, P., 2018. Planned organisational change management: Forward to the past? An exploratory literature review. Journal of Organizational Change Management.
Tan, T.K., Gn, Y.M. and Goh, S.Y., 2019. ESRA19-0096 Implementing a regional anaesthesia (RA) time-out procedure (TO) in our hospital: applying kotter’s ‘8 step change management’(a management model).
Thompson, J. and McLarney, C., 2017. What effects will the strategy changes undertaken by next Plc have on themselves and their competition in the UK Clothing Retail Market?. Journal of Commerce and Management Thought, 8(2), pp.234-264.
Udin, S., Khan, M.A. and Javid, A.Y., 2017. The effects of ownership structure on likelihood of financial distress: an empirical evidence. Corporate Governance: The international journal of business in society.
Weiss, P.G. and Li, S.T.T., 2020. Leading change to address the needs and well-being of trainees during the COVID-19 pandemic. Academic pediatrics, 20(6), pp.735-741.