Operations Management in Tesco: Analysis, TQM and Lean Principles

Operation management
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Table of Contents
INTRODUCTION...........................................................................................................................3
Analysis of operation of Tesco...................................................................................................4
Application of TQM principles..................................................................................................5
Application of lean principles.....................................................................................................6
Strength and weakness of operations...........................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
There are many types of operations performed in firm. OM is the administration of business
practices to create a high level of efficiency possible within the workplace of company. It is
concerned with the converting material and labour into goods and services as effectively as
possible. it is one of the most important part of organisation that helps them to achieve their
goals and objectives and make that business successful (Edwards and et.al., 2017).
This report will cover case study of Tesco which is a British multinational company who
are selling products such as groceries and general mansion eyes retailers with headquarter is in
England. This company is founded in here 1999, and it was founded by Jack (Pereira, And et.al.,
2019). There are more than 400000 Employees who are working under the Tesco company. it is
third largest retailer company in all over the world on the basis of gross revenue and they are also
9th largest company in the world in the measure of revenue generated by them. this company has
expanded their business is within 7 countries across Europe and Asia, and it is the leader of
grocery market within the UK, Thailand and Ireland. Tesco expanded their business on the in
year 1990. that time they were operating their business in 11 different countries in all over the
world. this company was also pulled out of US he had 2013, But till the end of 2018 this
company gets stable an increasing growth day by day. This company has diversified their
product in different categories such as electronic, software, clothing, books, toys, telecom an
Internet services as well. Tesco was listed on the London Stock Exchange an it’s a constant of
FTSE 100 index. It had a market capitalization of around 18.1 billion and year 2015.
Tesco is operating their business in a retail industry which is one of the largest industry in
UK and helping the economy to grow on higher level (Ferro, and et.al., 2017). it is creating
higher pressure on the Tesco company because competition Within the retail industry is higher as
compared to the other industries. Tesco is facing a competition on the basis of prices of the
product, there are many discount retailers who are selling their product in lower prices which is
creating a whole force on Tesco company to reduce their prices as well. It is creating difficulty
because company have to decrease their margin and sell products in lower prices to their
customers so they can be stay in competition And they can able to show their presence within a
market where they’re operating their business. Political environment also have created threats
upon Tesco big cause they are facing many case laws. It is necessary for the company to
overcome from these problems so there can be grow in their business without any problem. It is a
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