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Summary Unit 6 - Principles of Management : Cookson Chemist (DISTINCTION ANSWER)
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Unit 6 - Principles of Management : Cookson Chemist (DISTINCTION ANSWER)
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Sami UddinTo: Cookson Chemist LTD
From: Sami Uddin
Date: 19.05.2021
Subject: Employee and Change Issues at Cookson Chemist LTD
Introduction
Cookson Chemist LTD operate in a highly competitive environment whereby there is many
pharmacies around the country whereby the business might be considering going through a
change. They are located in a place called Shirevale whereby they provide medicines along
with cards, gift and glassware and also a delivery service. They are relatively local making it a
medium sized business and the ownership is mainly by three people who are Nick Cookson
who is the managing director along with James and Victoria Cookson who are the other
directors. They operate as a private limited company.
This report contains the recommendations, key information and analysis on change and the
management style and functions and also appraisals which will allow Cookson Chemist LTD
to take these actions so that they can improve on their current situation that they are
currently facing within the business. This will be done by carrying out an analysis of relevant
data which is related to the business throughout the business activities and therefore the
evidence which is related to the main management styles and practices and other theories
which have had an impact on Cookson Chemist LTD and their performances.
Currently, the business is going through a restructuring process as part of expansion of the
business and this has led to reduction to numerous job roles which also means staff
members leaving and being redundant. This has had an impact on Cookson Chemist as staff
members are feeling less motivated and losing their trust in Nick Cookson and this has led to
them experiencing unexpected recruitment and also selection costs to be paid for and also
leading increasing skills shortage and also the reducing the productivity of the business and
therefore also have an impact on the business expansion.
Main Issues at Cookson Chemist LTD
Unhappy and Less Motivated Employees
One of the main issues currently at Cookson Chemist LTD is that there is unhappy and less
motivated workforce within the business with 56% of employees reported a loss of
motivation due to the redundancies as employees like their job because of the people that
they work with and if these people leave it will make those who remain less motivated. By
reducing the number of employees it also means increasing the skills shortage within the
business. This will have an impact in the productivity for Cookson Chemist as this will
decrease and therefore leads to the decrease in sales as well.
The reason for this cause is because of the current management style making it look like an
Autocratic management style. By having an Autocratic management style the leader has
total authority and the control over the decision making process and they will also control
, Sami Uddin
employees and monitor them as Nick Cookson thought that the letters sent to staff and the
notices on the staff notice boards in each boards were effective communication. This
management style has led to the uncertainty among staff and also losing motivation and the
trust in Nick Cookson as managing director which is then impacting on the activity of the
business such as the productivity which then effects the sales and the revenue as there is a
lack of communication. This is proven as 48% of employees reported a loss of respect for
their employer.
The way to prevent this from happening is by changing the management style at Cookson
Chemist from what it currently is which is an autocratic management style. Autocratic
management style does help with keeping full control over the decision making process and
full control of the employees to ensure productivity of the business is efficient and
successful for Cookson Chemist. However, this management style is proven to be
unsuccessful at Cookson Chemist LTD as employees are unhappy and less motivated and not
agree to Nick Cookson decisions being made within the business.
The management style that could be used would be Transformational management style.
The reason why this management style is suitable is because this management style can be
used is because the leader focuses on the hearts and the minds of employees and they aim
to give them satisfaction, motivation and achievement. The leader shows trust rather than
trying to control by empowering employees. The way this management style will help
Cookson Chemist LTD is that it will help Nick Cookson be able to motivate and satisfy the
employees and also be able to gain their trust again.
Another management style that could also be considered would be Democratic
management style. The reason why this management style is also suitable is because the
leader encourages freedom and discussion. By having the freedom and also discussion it will
help Nick Cookson be able to communicate with the employees effectively along with
motivating them and gaining their trust. The way that this management style will help
Cookson Chemist is that it will Nick Cookson be able to satisfy the employees and be able to
gain their trust and also to motivate them during work.
Another way to prevent employees at Cookson Chemist from being less motivated and
unhappy is to use Herzberg theory of motivation within the business as employees need a
mix of motivators and hygiene factors in order to be fully satisfied at work. An example of a
motivator can be recognition whereby an employee has to feel that their job role is
important and appreciated. An example of a hygiene factor can be bonuses or commission
being paid to the employees. This links to the financial and non-financial incentives as
another way of being able to motivate employees. An example of a financial incentive can
be such as commissions and bonuses being paid to employees and an example of a non-
financial incentive can be such as recognition or a praise of work. This will help Cookson
Chemist be able to motivate their employees and therefore satisfy them.
Another motivation theory that could also be considered is Mayo theory of motivation.
Mayo theory of motivation works by employees being motivated far more by relational
factors such as attention and camaraderie than by monetary rewards or environmental
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