The Asda Way of Working

The ASDA Way of Working

Abstract

Leadership is the art accomplishing more than the science of management says possibly. It is leadership and the positive climate it creates; that is essential to a successful organization. As a leader, it is important to lead from the front and be visible to all employees on every level. A real leader will set an example, they get dirty, and they will schedule appointments, as well as answer the phones. Other people in the organization take their cues from the leader, not so much what the leader says, but what the leader does. Never stay in a comfort zone as a leader, lower management will always need a mentor, and it's important to help them learn and mature. Everyone is a leader no matter if you are a receptionist, manager, farmer to CEO. Even if someone feels, they are not a leader, one deal with the "hard right" and the "easy wrong."  The most challenging choice is to do "hard right" when no one is watching you. Yes, this is human nature, and it can happen if "self" allows it to happen. In the research, Leadership will be discussed and ways for improvement for the better of the company.

Introduction

I will be talking about the article, "The ASDA Way of Working". Archie Norman did not have direct experience working with grocery stores, so in this case of ASDA, he needed to get up to par quickly with what a grocery store entailed.  He brought on a team from McKinsey and Company to help him with the process.  The first step that Norman took has he established three rules, as he became the leader of ASDA. The first was an overhauling of the operations and finances. Secondly, he put together a plan to recover market share from the company. Lastly, he believed that the company needed a complete culture change.  These changes needed to happen because the multitude of communication issues throughout the organization. Each department within the organization had a problem keeping to them and didn't share crucial information; there was no cohesiveness within the group.

Body Paragraph

There are 65,000 employees in 205 ASDA stores and additional 2,000 at corporate headquarters and the fourth largest grocery store in the United Kingdom (Spector, 2012).    The management team decided to open large grocery stores outside downtown areas; location has always been a key to success for a company. Upper Management made a bad move when they decided to turn the "blue collar" store where prices were affordable than any store, a grocery operation into nonfood retail operations (Spector, 2012).  ASDA should have stayed outside downtown area instead of moving to the wealthy suburbs. Before upper management made this decision, they should have done a survey listening to the community so they would have an idea how the community would feel about the new changes. Have to remember that customers make a company successful with proper leadership. Top management should have managed funds properly instead of buying corporate jets and high style corporate offices. ASDA decided to fire its chief executive and hired Archie Norman to turn the company around for the better. Norman received his MBA in the United States and started working at Mckinsey & Company consulting organization, and then he became CFO at a large retail operation.  Norman did not have any experience when it came to general management. Communication is an essential tool for any level organization. When Norman arrives at ASDA, communication did not happen at any level of leadership, without proper communication, the company can result in closing down. There was so much debt that if they took out any more loans, they could be maxed out. ASDA competitors were doing well, and the company was running 2% below industry (Spector, 2012).