Management Issues - Jjb Sports - Motivation
CORP2463-2013-Y
JJB SPORTS PLC:
Motivation within an Organisation
Shafayeth Wahid (P11275283)
Tutor: Bev Disney
Contents
Executive Summary2
Summary of Management Issue3
Analysis of Issues and Outcomes3
Conclusion4
References5
Executive Summary
JJB was a sports retailer, a business which was worth over £500 million, which has had major injections of cash from investors and suppliers. The retailer has now faced administration resulting in job losses. How has JJB Sports, one of the largest sports retailers in the UK, end up in the gutter? This report is an analysis of the following management decisions that were within JJB Sports administration and its affect on the employees. These issues have been analysed considering theories such as, McGregor’s view on leadership and its relation with Theory X.
The analysis also shows that there was a combination of factors that lead to poor management, therefore, this lowers employee morale due to lack of motivation.
Summary of Key Management Issue
JJB sports had gone into adminstration on 24th September 2004, creating 4000 job losses as it was had to close down 180 stores, from being one of largest retailer of sportswears to falling into administration with high losses of sales and level of debt (BBC News, 2012). Even if there were any customers within the time of the administration, they simply would not be spending enough. Due to JJB’s financial instability and poor marketing, this has become a key management issue within the organisation. The retailer has had trouble in the past, being fined £8.3 million for price fixing on replica football kits, from the year 2000 to 2001 (The Guardian, 2005). Due to the outcome of the price fixing on England and Manchester United t-shirts, this would have resulted in a decrease of sales as the loyalty of customers and consumers of the retailer were exploited. This shows that the marketing team within the retailer were not motivated due to Whelan’s
JJB SPORTS PLC:
Motivation within an Organisation
Shafayeth Wahid (P11275283)
Tutor: Bev Disney
Contents
Executive Summary2
Summary of Management Issue3
Analysis of Issues and Outcomes3
Conclusion4
References5
Executive Summary
JJB was a sports retailer, a business which was worth over £500 million, which has had major injections of cash from investors and suppliers. The retailer has now faced administration resulting in job losses. How has JJB Sports, one of the largest sports retailers in the UK, end up in the gutter? This report is an analysis of the following management decisions that were within JJB Sports administration and its affect on the employees. These issues have been analysed considering theories such as, McGregor’s view on leadership and its relation with Theory X.
The analysis also shows that there was a combination of factors that lead to poor management, therefore, this lowers employee morale due to lack of motivation.
Summary of Key Management Issue
JJB sports had gone into adminstration on 24th September 2004, creating 4000 job losses as it was had to close down 180 stores, from being one of largest retailer of sportswears to falling into administration with high losses of sales and level of debt (BBC News, 2012). Even if there were any customers within the time of the administration, they simply would not be spending enough. Due to JJB’s financial instability and poor marketing, this has become a key management issue within the organisation. The retailer has had trouble in the past, being fined £8.3 million for price fixing on replica football kits, from the year 2000 to 2001 (The Guardian, 2005). Due to the outcome of the price fixing on England and Manchester United t-shirts, this would have resulted in a decrease of sales as the loyalty of customers and consumers of the retailer were exploited. This shows that the marketing team within the retailer were not motivated due to Whelan’s
References: Bowers, S. (2005). JJB fights on despite cut in replica kit fine. Available: http://www.guardian.co.uk/business/2005/may/20/8. Last accessed 10th Nov 2012. Burns, J.M. (2010). Leadership. 10th ed. Pennysylvania: HarperCollins. Drucker, P (1999). Management Challenges for the 21st Century. 5th ed. Oxford: Taylor & Francis. p40-43. King, N., Herzberg, F. (1970). Clarification and Evaluation of the Two Factor Theory of Job Satisfaction. Psychological Bulletin. 74 (1). P18-25. Kuhnert, K. (1987). Transactional and Transformational Leadership: A Constructive/Developmental Analysis. Academy of Management Review. 12 (4), p649-650. Maslow, A. (1954). Motivation and Personality. New York: NY Harper. p91-93 McGregor, D.M. (1957). The Human Side of Enterprise. 4th ed. Maidenhead: McGraw Hill. p22-28 Mullins, L.J. (2005). Management and Organisational Behaviour. 8th ed. London: FT Press. p40-43. Smale, W. (2012). What went wrong at JJB Sports?. Available: http://www.bbc.co.uk/news/business-19635988. Last accessed 10th Nov 2012.