Managing Information and Technology

Managing Information and
Technology

Table of Contents
INTRODUCTION...........................................................................................................................3
BACKGROUND INFORMATION.......................................................................................3
PRODUCTS AND SERVICES..............................................................................................3
COMPETITIVE ENVIRONMENT.................................................................................................4
PORTER’S 5 FORCE ANALYSIS........................................................................................4
ANALYSIS OF INBOUND LOGISTICS, OPERATIONS AND OUTBOUND LOGISTICS.....6
TWO SUPPORT ACTIVITIES IN PORTER'S VALUE CHAIN..................................................7
KEY VALUE ADDING ACTIVITIES WITH JUSTIFICATION.................................................8
Key value added services offered by TESCO to customers...................................................8
BUSINESS COULD DEPLOY INFORMATION TECHNOLOGY (IT) .....................................9
CO NCLUSION.............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Information Technology Management is considered as the administration of all the
information technology resources of a firm are managed in accordance with its needs and
priorities (Cartwright and Cooper, 2012). In the same way, TESCO PLC which is a British
multinational groceries and a retailer as well, which headquartered at Welwyn Garden City,
Hertfordshire, England, United Kingdom. Company is said to be third-largest retailer in all over
the globe, which is specifically measured in gross revenues and the ninth-largest retailer in the
world measured by revenues. Mostly among Europe and Asia are the two continents in which
TESCO PLC performs operations and known as market leader of groceries within United
Kingdom, Thailand, Ireland and Hungary.
This report is going to be enclosed with the role of information technology that has
helped business organisations like TESCO in gaining competitive advantages. Analysis of the
competitive environment, analysis of inbound logistics, operations and outbound logistics. Along
with this, it will also put light on Porter's Value Chain of TESCO PLC and lastly, report will also
show how business could deploy information technology (IT).
BACKGROUND INFORMATION
TESCO was established in 1919 by Jack Cohen as a gathering of market slows down.
The TESCO name previously showed up in 1924, after Cohen bought a shipment of tea from T.
E. Stockwell and joined those initials with the initial two letters of his surname, and the first
Tesco shop opened in 1931 in Burnt Oak, Barnet. His business extended quickly, and by 1939 he
had more than 100 TESCO shops the nation over. Nations served by TESCO stores. Initially a
UK food merchant, TESCO has extended comprehensively since the mid 1990s, with activities
in 11 different nations on the planet. The organization pulled out of the US in 2013, yet starting
at 2018 keeps on observing development somewhere else. Since the 1960s, TESCO has
enhanced into zones, for example, the retailing of books, attire, gadgets, furniture, toys,
petroleum, programming, monetary administrations, telecoms and internet providers (Cresswell,
Bates and Sheikh, 2013).
PRODUCTS AND SERVICES
In present time, TESCO PLC is dealing among grocery, F&F Clothing, TESCO Club
Card, TESCO Bank, TESCO Mobile, Delivery Saver and some other sectors as well. This has

helped TESCO in grabbing the 23% market share within Europe and Asia as well. On the other
hand, this business organisation has also started offering customers with online purchasing
option considering a number of vendors within United Kingdom. Major section, which has given
this organisation number of competitive advantages are is grocery business industry. This has
raised ample number of benefits for the business organisation while conducting their operations
in all over the world.
COMPETITIVE ENVIRONMENT
TESCO is one of the famous British Multinational which deals in groceries and other
general merchandising retailer of UK. But, in present time there are ample number of business
organisations like ALDI, LIDL and more are performing operations within the United Kingdom's
business environment.
PORTER’S 5 FORCE ANALYSIS
The porter's five force model helps to understand how five different kind of factors
regarding competition effect TESCO'S working, which is dealing within the retail industry.
Bargaining power of buyers: TESCO provides its buyers with a number of products in
stores as well as online. But in today's scenario there are a number of supermarkets within the
retail industry which are giving a heads on competition to TESCO. So this gives high bargaining
power to buyers of TESCO. Even a little hike in prices might easily result in the customers
moving to competitors. This can be justified with a good example of Big 4 Supermarkets of
United Kingdom (TESCO, Morrisons, ASDA and Sainsbury's), where TESCO's suppliers raised
their supplying cost due to some reasons, which also increased the costing of products and
services offered by them (Desouza and Hensgen, 2015). This is where, if analysed then shift can
be seen of customers towards TESCO's rivals, just because of the hike within cost of products
and services. Away with this, it is said that it is important for TESCO to keep on analysing all
the factors so that right decisions can be taken into consideration. But, if it is analysed then due
to some other companies like Morrisons, Sainsbury's and more has given high range of benefits
to customers in relation to cost, heavy discounts and so on, which significantly raised bargaining
power of customers.
Bargaining power of suppliers: The bargaining power of suppliers of TESCO is really
low. This is because TESCO does not rely upon limited number of suppliers. TESCO deals with