STRATEGIC MANAGEMENT

Strategic Management and Leadership

Developing Strategic management and Leadership

Introduction

This report aims at understanding the major relationship between strategic management, its importance and the varying nature and requirements of effective leadership characteristics according to varying situations (Gillikin,2012). In order to effectively demonstrate the significance of both leadership and Strategic management I will present my personal observations and experience at Iceland UK which is one of Britain's fastest growing and innovative retailers

Discussion

Section 1: Strategic management and Leadership

Many organizations often experience growing tensions between managers and leadership, however within any healthy organization the respective roles and responsibilities of leaders and managers effectively mesh together since both managers and leaders often have certain functions that overlap it is only through the proper establishment of strategic visions and effective communication that these two important elements work effectively together aiming at a common goal.

Strategic management and Leadership in Iceland

Since its' inception Iceland has focused on becoming a market leader in the frozen food market, Malcolm Walker had envisioned a chain of stores and expansion into other segments many of those expansions are into winter wear and apparels, in order to effectively transition the company's business market of food items the company started planning on targeting other segments. For this purpose Walker has taken upon himself to effectively communicate the changes the business will experience and how venturing into new markets require different business techniques. In 2010 Walker aimed at expanding his chain stores he was successful in opening 74 new stores and in order to maintain customer loyalty Walker introduced the Bonus card system which provided discounts to customers, Iceland was also the first company to introduce the round pound deals that were an instant success, these challenges were effectively dealt with based on Walkers effective leadership style which is a mixture of passive and Charismatic leadership (BOMI, 2012).

Walker has the ability to motivate and influence others he also believes in giving the employees room to give their own personal touch when it comes to servicing customers. It was only based on Walkers effective leadership that the employees succeeded in transitioning into their new responsibilities. However based on his passive leadership traits Walker tends to become extremely stern when goals are not met which has caused many workers to fear him.

The core management and leadership theories practiced by Walker can be considered a mixture of many styles, primarily the organization follows the contingency theory which is situational in nature and there is no particular method of performing a task everything is dependent on the current situation. Walker and his team of leaders have consistently altered their actions in order to remain ahead of their competitors. According to an interview of Walker by Lawson (2012) Walker exclaimed that he cared about this business as a business, he also claimed he cares about his customers, staff in products. Walker's major theory is to never worry about profits today, do what's right with the customers and you will be rewarded tomorrow. During the past six months the company faced ...