Managing Across Cultures: Issues and Solutions for Tesco

This report discusses the issues faced by Tesco in managing cross-cultural teams and provides solutions to overcome them. The report covers topics such as motivation, negotiation, and team working. It also highlights the importance of effective international staffing and cultural competence in organizations. The report is divided into two parts, where the first part discusses the issues faced by Tesco, and the second part provides solutions to overcome them.

Managing Across Cultures

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Advising company about they may be experiencing...................................................................3
Presenting solutions to Tesco in order to secure high performance for above issues..................6
CONCLUSION..............................................................................................................................12
REFERENCES .............................................................................................................................13

INTRODUCTION
Managing cross culture is one that is ability of leaders to accept, respect and appreciate
certain cultural similarities and differences within the workplace or organization. Also,
managerial strategy to overcome such differences is defined as the set of plans that leaders
formulates and implements for employees to ensure smooth working. Moreover, the current
study is based on Tesco that very well-known retail organization that is selling variety of goods
in different parts of the world. Furthermore, the current report will be divided into two parts
where firstly issues faced by Tesco will be discussed and in next part elements to resist such
challenges will be described
This report will advise company about the cross cultural differences and internal
environment issues that are impacting the productivity of employees in negative manner. Further
the report will outline the reason behind conflicting opinions and bad impact on competitive edge
of the company through hiring the foreign managers for various business operations. In the other
part of current report the best directions to cited company will be provided through discussing
various elements like motivation, leadership, communication etc. that will help in best cross
cultural management within the workplace. Lastly, the report will describe the importance of
effective international staffing through using various business models in detail.
MAIN BODY.
Advising company about they may be experiencing
For company like Tesco that is operating on large scale in various region it is very
important that diverse teams are managed in most efficient manner so that work could be carried
out systemically (Maheshkar and Sharma, 2018). However, this not possible for the firm due to
the conflicting opinions and changing attitudes of employees within the workplace. Moreover,
Tesco own of the most common issues that the firm has been facing is as follows:
 Difference in foreign managers working: It has been seen that due to operating in
various regions the firm has to face the challenge of making the employees work under
different foreign managers in the systematic manner in various countries. Further, this is
because of reason that managers that are been hired by the firm have the different style of
working and dealing with certain managerial things (Jaiswal, Kathuria and Karhade ,
2022). Moreover, these managers are not easily accepted by the masses due to problems
of communication's among them. Also, the manager way of handling the problems might

sometimes not proved useful when the situations are the complex. Thus, such type of
events only means that there is only wastage of the money and adding up of unnecessary
costs within the business in long run. Also, there are problems of cultural difference
among the employees and the managers that might allow them to perform certain duties
and cause many hindrances. Moreover, it can be said that foreign managers take time to
understanding the host countries laws and regulations and communicate same to the
employees thus falling to meet certain expectations of company in due course of time
 Productivity is low: Moreover, this is another issue the company might be experiencing
as foreign managers that is been hired by the Tesco is not very well aware of the
organizational culture and its working (Mkrttchian and et.al., 2021). Hence, it takes lot of
time to understand each aspect of the business and during this process often employees'
productivity is reportedly seen very low. Furthermore, employees are not able to
understand the new concepts brought in by foreign managers and hence work in carried
out either by their own knowledge of the understanding or through research which affects
the overall productivity in attainment of the organizational goals and objectives. Also, in
way the company is also not able to identify the major risks that are affecting the working
of the Tesco and therefore the new managers fails to devise the best strategies within the
business (Glinkowska-Krauze, Chebotarov and Chebotarov, 2022). Hence, this issue that
is currently experienced by the firm have to be resolved in way that there is not negative
impact on the quality of the products of the company and also the chances of conflicts
within the workplace are very minimum. Moreover, this issue is further increased when
local business customer are not identified by the managers at the time of the joining, and
they only rely on those business practices that have been previously worked out for them
in positive manner some other country or regions.
 Psychological barriers: Managing the cross cultural teams is also big issue that the
management of Tesco has to face in order to achieve certain organizational objectives.
Furthermore, it has been seen that while working with different managers employees
within the workplace often feels less authentic and incompetent. Thus, they feel that there
efforts are not ben recognized and hence there is lack of appropriate motivation among
them to perform certain duties. Moreover, working in such kind of mental thinking only
creates barrier for the firm continuous growth and success in the long run. Also, such

type of the thinking does not allow Tesco employees in taking higher responsibilities in
the future and handling other activities of the business. Moreover, having the lack of
confidence also creates problems for the new managers to bring any change within the
organization as there are chances of higher level of resistance from most of the
employees (Cabana and Kaptein, 2021). Hence, this is also major reason why Tesco
employees are not able to work with the foreign managers in the best collaborative
manner as they feel quite hesitant is sharing certain feelings and opinions with them in
the freely manner.
 Shareholder issues: Tesco while operating on vast scale has to ensure that all the people
that are associated with the organization remain interested and satisfied with the firm
longer time period (Cooke, Dickmann and Parry, 2020). Furthermore, with cross cultural
working there are higher chances that firm would not be able to meet the individuals
needs and interest as earlier goals and strategy would be fully modified. Also, company
way of working and understanding each employee emotion is very difficult for the new
manager. Thus, this might result in problems of interaction and reason that most of the
employees remain frustrated every time the new things been introduced at the workplace.
Thus, it can be said that all current issues that are being faced within the organizations are mostly
related with existence cross functional teams and that essentially required by Tesco to expand its
operations in various regions. Furthermore, such type of the situation arises only when the
organization is unable to conduct the detailed market research about the country when planning
to expand (Poujol, 2019). Also, such type of problems exist when enough there is not enough
cultural competence that is developed within the organization so that both the leaders and
employees are able to handle the difficult and changing situation in the future effective manner.
Moreover, the managing the multiple cultures is also a type of art that need to be learnt by all the
big and small organization that wish to achieve greater height of success in the future. Also, HR
practices are also responsible for making the positive working culture within any firm as it hires
only those employees that are quite adaptable and flexible to the changing working conditions
and also ready to come up with solutions that would help organization sustain the in various
markets.

Presenting solutions to Tesco in order to secure high performance for above issues
Culture in organization is defined as how the work is carried out within the workplace
and thus it can be said that it is very essential that Tesco has proper cross cultural management
system that is existing within the firm so that such problems does not arise in the future.
Moreover, there are certain points that could help in improving above situation and issues and
are described as follows:
Motivation: One of the most important factor that could avoid the cross cultural
problems in adopting the right motivation strategy so that best of outcomes are derived in the
end. Also, motivation helps in building the confidence among the employees that do not feel like
involving in any kind of management decision (Pan and et.al., 2020). Furthermore, right level of
motivation also maintain the team spirit and also help Tesco employees to work in more co-
ordinated manner. It can be said that Tesco foreign managers should use the Maslow motivation
model so that its is able group the employees of the firm in various categories and thus based on
that right level of motivation than might be provided for achieving certain goals and objectives.
Also, based on this model there are five levels of needs that motives any individuals in achieving
certain personal goals. Thus, the first level need consist of basic needs that consist of desire of
having foods, shelter and home etc. above this level of need is safety needs that are fulfilled
through having the family and society.
Other than comes the love and belonging needs where the individual looks for having
feeling of being loved and respected in the society. The second last level need is of the esteem
needs that is related with achievements and the reputation among the others. Lastly, the highest
level of need under this model is self actualization needs where individuals are seeking for
personal growth and development (Warchał, 2020). Also, it can be said that when there is the
clear identification of level of (needs) than foreign managers in Tesco would be able to ensure
optimum utilization of resources and also develop the best action plans for the future growth of
the business in target markets. Also, the company through using this model on timely basis
would be able to ensure the safer work environment for all it employees and would help in
improving the managerial capabilities of those working on higher level within the firm.
Moreover, applying this theory Tesco would help in the increasing the overall employee
retention rate as would feel more valued and thus it is a positive aspect for the success of the firm
in long run. Also, major benefit of using this theory within Tesco would be that foreign managers

being employed would be completely aware and will not make the mistake of trying to appeal
the employees with higher needs when their basic needs are remaining unfilled. It would thus
help in building the team that is not only strong but efficient enough to solve certain problems in
independent manner.
Negotiation: Cross cultural teams are ones that are not only having various different
opinions, but they are also not ready to exchange ideas with each other when the problems arise.
It can be said that negotiation are kind of strategic method that helps the firm in resolving certain
kind of issues in way that is acceptable by both parties that are involved in it. Furthermore, it is
way that all parties argue over some point and then reach to the discussion that is acceptable by
both to some extent (Aust, Muller-Camen and Poutsma, 2018). Moreover, current cross cultural
issue where it is seen that Tesco employees are finding differences within the managers in
certain opinions and not feeling comfortable in carrying out various task. This technique would
be helpful as it would help in reaching to point where both managers and employees would wok
in positive manner for all the future Tesco projects. Moreover, win- win model of negotiation is
one that could be adopted by Tesco while hiring the foreign managers where ideal outcome
through this model is one where balance is found in very negotiation between all the objectives
so that best outcome could be derived in the end where no party remains dissatisfied with the
final decision being made.
Also, having the best negotiation model will help the Tesco in avoiding the future
conflicts with the workplace thus improving the productivity levels. Furthermore, it can be said
that negotiation would allow in delivering the lasting quality solutions where the both managers
and employees would mutually work together to achieve certain short and long term objectives
of the firm (Fattaah and et.al., 2020). Thus, negotiations would also help overcome cross cultural
team problems within Tesco and would also promote peaceful and harmony work environment.
Also, it will enhance the communication levels among the employees and managers. Moreover,
effective negotiations are ones which helps in settling the differences among the employees and
allow them to look at wider aspects rather than keeping only their point of view in front of
others. In Tesco too negotiation would allow the employees to discuss the issue with current
managers and tell them what they feel is wrong in their working so that certain corrective
changes might be made on time in systematic manner. Moreover, apart from solving business

issue negotiation would be a great way of building the personal relationships within the
workplace that could be used later in the future for any problems
Team working: It is method of allowing people to the work in certain groups so that
shared outcome or gaols could be achieved in effective way. Moreover, the team work helps in
overcoming challenges that comes along business through keeping positive approach. Also,
foreign managers within Tesco should focus on the grouping employees based on the interrelated
abilities so that they are able to wok effectively in the organized groups. Also, here the
Tuckman team model might be used by the existing managers of the Tesco that consist of the
five stages that are sued to make the best team for carrying put certain tasks. The first stage in
this model is forming where team members meet each other and certain goals are than agreed
upon that needs to be worked upon (Zhu, 2019). Next stage is of storming in which team ambers
started developing trust among each other and understand each other different working styles to
figure out how they complete certain tasks that are being assigned to them.
Furthermore, norming is stage where members of team realized that working towards the
team success is important for the employee personal growth and development. Performing is the
stage where all the team members are motivated enough to work together and achieve certain
shared gaols (Brewster, Boselie and Purpura, 2018). Last stage is adjourning stage in this model
where project is been completed and assessments is performed for knowing each individual
contribution. Thus, this model will be helpful for Tesco managers in building strong group of
team that is capable to undertaking future complex projects for the sake of the organization
growth. Thus, team working is needed so innovative solutions are collected by managers and
also all the members helps in identifying the best opportunities for the future. Moreover, this
method will help in ensuring that productivity of members is high and also psychological barriers
issue will be resolved in the best manner through helping the team move forward to achieve the
greater performance in various areas of organization.
Decision making: One of the most important tasks that managers have to make the
employees wok in any organization is through making the right decision over either choice of
strategy to be used or for changing the group behaviour through taking best action for change
within the workplace (Sarvaiya and Arrowsmith, 2021). Also, it is required that Tesco managers
while making any kind of relevant decision need to the collect the required information about the
subject matter and should also be very well aware of the positive and negative consequences that

is likely to have after making any decisions. Thus, for issues like differences in working styles
and communication problems foreign managers need to develop listening skills so that best
decision might be made after each employee has been heard in separately of the upcoming way
of doing certain things and changes that are essential to be made within the firm. Moreover, this
could be linked with using the rational decision-making model that would allow Tesco
managers to follow certain steps when any decision had to be made for development of the firm.
Also, using this model the firm needs to define the problem clearly and identify the criteria to
judge possible solutions (Wajeeh-ul-Husnain, Shen and Benson, 2020). Furthermore, this model
would help in analysing how important each criterion is and based on the evaluation and the
selection of the best solutions is been done. Thus, decision-making is also one of the factor that
need to be considered by the firm so that certain above issues relating to cross cultural
management could be easily overcome through putting the systematic efforts.
Moreover, all these above elements are ones that have to be taken into consideration by
the foreign managers that are hired by HR department of Tesco with growing number of
operations. Also, it is known that when company like Tesco is focused on earning more revenues
it is very essential that proper actions plans and diversity management is taken care of so that
there is greater employee retentions and company is able to attract more potential employees
towards the business.
Leadership: For addressing the issue of low productivity the leadership style that can be
used in order to increase the productivity of individuals, teams and overall organization is
democratic leadership. Democratic leadership is the type of leadership in which in the decision-
making process of the company the employees are given opportunity to participate in the
process. They are allowed to share their thoughts, opinions and ideas relating to the subject
matter of the decision-making meetings. The discussion that can be seen at the organization
where democratic leader exist is free and ready to hear the views of every person.
Democratic style of leadership is also popular with various terms like participative
Leadership and shared leadership. The core functions of this type of leadership are distribution of
responsibilities amongst the members, empowering of the members of the group and facilitating
the process of decision-making in the groups. When each member of the group is allowed to
share their opinion and thoughts they feel valued in the organization hence their productivity
increases. When the members are skilled and enthusiastic to share their knowledge and skills

with others in the organization this leadership style suits the best (Why Democratic Leadership is
the Best Style to Boost Productivity, 2022). With sharing of knowledge by the knowledgeable
individuals both the productivity of sharer and gainer increases. To feel the essence of being
important in the organization by participation in decision-making the employees first have to
analyse the topic on which the decision is to be taken and form their opinions regarding the
same. Here also the productivity of the members enhances, this is because having the knowledge
about the centre of discussion the importance can be understood easily and hence the working of
such members improves for meeting the outcomes they collectively decided for achieving (Al
Khajeh, 2018). It must be noted that the main decision-making authority still remains in the hand
of the management the only change is that the decision taken is based on considering the
opinions of the group members.
A democratic leader always encourages the people to participate in the decision-making
process at organization, seeks to provide opportunities where each person feels free to express by
creation by good environment, incorporates diversity in accordance with the opinions received,
respects everyone’s voice (Caillier, 2020). Further they share information and cares about growth
and satisfaction of employees. All of these mentioned qualities of the democratic leader makes
employees happy, and happy employees in turn tends to perform well and increase its produce.
The principles of democratic leadership are linked to the building of good cultures within the
organization. Further, allowing participating in decision process fosters the level of employee
engagement. And enhancement of productivity is also ensured by the high level of support to the
employees in this style.
Communication: Further the communication model that can be applied in response to
the issues like difference in foreign managers working and psychological barriers is transactional
model of communication. This model of communication explains the communication process as
a two-way process that is interactive (Northrup and Hipwell, 2019). The elements that this model
address includes social, cultural and relational element. Communication is not done merely for
the exchange of information rather it is a process by which relationships are created, inter –
cultural groupings are formed, individual engage with others to create communities and self –
concept is shaped. In short through communication realities are not communicated instead these
are created. In the model the roles of sender and receiver of communication differs majorly.

Social context covers all the rules or norms for communication that are stated and
unstated. These rules are also known as communication strategies and tactics. The social context
in communication involves being truthful, transparent and interactive while communicating.
Relational context refers to interpersonal communication that happened in the past and the type
of relation that established with that event. The essence is that an individual communicate
differently with the individual whom there was a experience. Cultural context involves various
factors that relates to the identity of a person. These factors are gender, class, capabilities,
ethnicity, etc. a communicator that is competent should never consider that all the cultural
elements that an individual brings are known to them. The culture from which an individual
comes have its impact over the communication process.
The transactional model of communication can be explained by two sub models that are
Barnlund’s model and Dance’s helical model. The first one is a multi- layer and complex model
that provide the system for feedback (Schneider and Arnot, 2018). The individuals that sends and
receive the communication are known as communicators in the transactional model of
communication. In the Barnlund’s model both the information sender and receiver gives
feedback to each other. So the chances of miscommunication or wrong interpretation of the
communicated information eliminates.
In the next model that is dance’s helical model communication is represented as a process
that is non –linear, evolutionary, dynamic and continuous. Helical shape is used in this model to
describe the varied phases of communication that will be experienced by a person in entire life
cycle (What Is The Transactional Model Of Communication? Transactional Model Of
Communication In A Nutshell, 2022). This transactional model is advised to implement in the
view of the advantages that it entails and needs of the TESCO on the basis of the various issues
identified by the report earlier. The context of this model includes the social, relational and
cultural environments, so there is improved level of understanding in the organization on these
grounds. Inclusive of all the factors further makes the model highly versatile. In addition to this
the non- verbal approvals of the sender and receiver / both the communicators are accounted or
considered in this communication model. Communication is facilitated with the ability of the
communicators to understand the non- verbal cues. Lastly this model specifically Dance’s model
accepts that the process of communication is an evolving and complex process.

CONCLUSION
From the above report it can be concluded that best international HRM function would
allow Tesco solve various complex tasks in most efficient manner through having existence of
strong team. Furthermore, the present report had provided the detailed about various issues that
are faced by foreign managers while managing the diverse teams at the workplace. Also, it had
described that such issues had negatively impacted the firm in terms of increasing cost and time
of the company. Moreover, managers and the staff are not able to work well together because of
changing attitudes and differences in opinions. Furthermore, the study had suggested for the
cross cultural adjustment through considering various element so that maximum efficiency and
positive outcome might be derived in the end.
Also, the best suggestions through considering elements like leadership through
participative model, decision-making through using rational model, negotiation through win-win
model and much more had been provided in detail under this report. Moreover, using this model
the foreign mangers would be able to secure high performance among the employees for all the
future projects and challenges. Lastly, significance of team working and decision-making in
future strategic planning had also been explained in this study so that better understanding of the
future activities in Tesco might be identified in most efficient manner.

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