Organizational Behaviour: A Case Study of Tesco

This report explores the principles of organizational behaviour and their application in the context of Tesco, a leading retail giant. It delves into the influence of organizational culture, politics, and power on individual and team behaviour, examining how these factors impact performance. The report further analyzes content and process theories of motivation, evaluating their effectiveness in achieving organizational goals. It also investigates the role of leadership styles, team development theories, and contemporary barriers to effective behaviour in shaping organizational dynamics. By applying these concepts to Tesco, the report provides insights into how organizations can foster a positive and productive work environment.

ORGANIZATION BEHAVIOUR - TESCO

Contents
INTRODUCTION...............................................................................................................................2
TASK 1..............................................................................................................................................3
P1 ANALYSE HOW AN ORGANISATION’S CULTURE, POLITICS AND POWER CAN INFLUENCE
INDIVIDUAL AND TEAM BEHAVIOUR AND PERFORMANCE......................................................3
M1 CRITICALLY ANALYSING THE CULTURE, POLITICS AND POWER OF AN ORGANISATION
CAN INFLUENCE INDIVIDUAL AND TEAM BEHAVIOUR AND PERFORMANCE..........................5
TASK 2..............................................................................................................................................8
P2 EVALUATE HOW CONTENT AND PROCESS THEORIES OF MOTIVATION AND
MOTIVATIONAL TECHNIQUES ENABLE EFFECTIVE ACHIEVEMENT OF GOALS IN AN
ORGANISATIONAL CONTEXT......................................................................................................8
M2 CRITICALLY EVALUATE HOW TO INFLUENCE THE BEHAVIOUR OF OTHERS THROUGH THE
EFFECTIVE APPLICATION OF BEHAVIOURAL MOTIVATIONAL THEORIES, CONCEPTS AND
MODELS.....................................................................................................................................15
TASK 3............................................................................................................................................17
P3 DEMONSTRATE AN UNDERSTANDING OF WHAT MAKES AN EFFECTIVE TEAM AS
OPPOSED TO AN INEFFECTIVE TEAM.......................................................................................17
M3 ANALYZE RELEVANT TEAM AND GROUP DEVELOPMENT THEORIES TO SUPPORT THE
DEVELOPMENT OF DYNAMIC CO-OPERATION........................................................................19
TASK 4............................................................................................................................................21
P4 APPLY CONCEPTS AND PHILOSOPHIES OF ORGANIZATIONAL BEHAVIOUR FOR TESCO...21
M4 ANALYSING CONCEPTS AND PHILOSOPHIES OF ORGANIZATION BEHAVIOUR AS TO
HOW THEY INFORM AND INFLUENCE BEHAVIOUR IN BOTH POSITIVE AND NEGATIVE WAYS
...................................................................................................................................................23
CONCLUSION.................................................................................................................................24
REFERENCES...................................................................................................................................25
1

INTRODUCTION
Every organization wants to maintain an effective brand image in the market and gain huge
profit by providing quality services and better products to their customers. This will be only
possible when the company will maintain a good organization behaviour in the workplace. The
effective working environment makes the employees encourage and motivated towards the
work. In this assignment, we will discuss the company Tesco which is a well-known organization
of UK. The organization behaviour is one of the most important parts of maintaining an
effective business functioning. There are different factors which impact the organization
behaviour such as politics, power, and culture (Wilson, 2017). Every person has the different
cultural view and thinking which affect the business decision making.
A strong communication and healthy environment are really important for the growth and
development of the company. The growth and improvement of the organization can be
measured with the help of structure, behaviour, practice, and values which are adopted by the
business organization for gaining profit and compete with the competitors.
2

TASK 1
P1 ANALYSE HOW AN ORGANISATION’S CULTURE, POLITICS
AND POWER CAN INFLUENCE INDIVIDUAL AND TEAM
BEHAVIOUR AND PERFORMANCE
The organizational culture of an organization covered so many factors such as power, culture
and politics. To manage all these factors all the employees of the organization should work with
effectiveness and follow the rules and responsibility in order to improve the business
functioning and rapid growth of the organization (Gagné, and De Massis, 2014). As the
organization is made of all the employees and efforts of every individual working in the
company so that performance of every individual person affects the business environment and
growth of the business. the culture, power and politics are the main factors which affect the
organizational behaviour of the business.
The Charles Handy expanded the four cultural theories of organizational culture in which he
had majorly focused on the influencing elements which impact the Morden management. This
cultural model is really beneficial for maintaining the balance in all the actions taken by the
management of the organization and it also reduces the conflicts among the employees.
Figure - Handy’s organization cultural theories
3

Source- (https://www.tutor2u.net/business/reference/models-of-organisational-culture-
handy)
ROLE CULTURE
The organization which follow the rules and regulations are comes under the role culture. In
this type of culture, the employees of the organization need to follow all the rules and
regulation which is made by the management of the organization (Wilson, 2017). In this type of
culture, the roles and responsibilities divided according to the ability and skills of the
employees. This is a time-consuming process which is done with all the rules and regulations.
POWER CULTURE
In the power culture, the authority has been provided to an authorised person who has the
ability to maintain and manage others. The power is a strong thing which can be used for the
improvement of working performance of the employees. In this type of culture, the rules and
regulations are made by the authorised which have the power in his hand for evaluating the
performance level of all the employees working in the organization.
TASK CULTURE
This is the type of culture which is which is followed by the organizations at the time of
formation of a group for any specific task (Wong, et al. 2015). The task will be very important
and related to the company's objectives. In the task culture, every person has the right to take
part in the decision-making process of completion of the task. In the task culture, the teams are
developed by the management of the organization to complete a particular task for the growth
of the company.
PERSON CULTURE
This culture respects the values of every individual working in the organization for achieving
organizational objectives. All the employees have the same values and rights in the decision-
making process of the organization. in the person culture, all the employees have their own
qualities and skills which will be beneficial for attaining the overall growth of the company.
4

5

M1 CRITICALLY ANALYSING THE CULTURE, POLITICS AND
POWER OF AN ORGANISATION CAN INFLUENCE INDIVIDUAL
AND TEAM BEHAVIOUR AND PERFORMANCE
The Hofstede's dimension of cultural theory is really beneficial in understanding and analysing
the team behaviour and organizational structure of a company. As we know the power, politics
and power majorly affect the business functioning and management of the organization. The
Tesco have to maintain effective strategies and planning's for attaining the goals and objectives
by reducing the impacts of power, culture and politics (King and Lawley, 2016). The Hofstede's
dimensions of culture theory will be beneficial for the Tesco to maintain the healthy working
environment in the workplace.
HOFSTEDE’S DIMENSIONS OF CULTURE THEORY AND APPLICATION
The cross communication among the employees and the manager or a leader of the
organization is really important. Communication makes the business functioning more effective
e and valuable. A mutual understanding between the superiors and subordinates make the
business successful and developed. The cross-culture dimensions provided by the Hofstede's
theory will be helpful for maintaining good relations with the employees.
Figure- Hofstede’s Cultural Dimension
6

Source- (http://www.business-to-you.com/hofstedes-cultural-dimensions/)
INDIVIDUALISM
The individualism concentrates on promoting the value of an individual person for the growth
of the company. There is a big contribution to an individual information and development of
the business organization. every person has their own quality and ability by which he can
maintain his own image which is completely different from others. The individualism
concentrates on the values and performance of an individual.
MASCULINITY
Masculinity includes independence, violence, power, rights, courage, boldness and confidence.
In the current situation of Morden business, there is no difference between the male and
female. The company should provide the same opportunities to the male and female
candidates which will be suitable and capable for the job (Ahmadi, et al. 2014). The law of
equity state that every person should gain opportunities which are good for their career. The
Tesco has assured that they will follow the law of equity for all the employees.
POWER DISTANCE
Power is only in the hands of an authorised and capable person who can handle the other
employees of the company and motivate them towards their goals. The power can be used in a
positive and negative manner. The capability or skill to change performance and behaviour of
an individual is called as power. The power can be helpful in improving the performance of
employees.
UNCERTAINTY AVOIDANCE
The unexpected situations which can not be evaluated and measured can be considered as the
uncertainty. It can appear in the business without any expectations. The Tesco should be ready
for the uncertain situation and already make the effective strategies to face them. The
7

forecasting of future actions is undefined and uncertain but the company have to take the risk
of gaining profit. The uncertain situation impacts the organizational culture.
INFLUENCE OF POWER AND POLITICS
The politics include government policies, public relations, mediation and negotiations. All these
actions define the different positions and power which can be owned by a person within the
organization to control other employees (Đukić and Milivojević, 2017). The changing
government laws and political parties can influence the organizational suture of the business.
The main elements which describe the power are as under:
Power is an ability to guide and control others by affecting actions.
Social satisfaction can be seen in the power
Power can be used in a positive and negative manner
Power is always given to an authorised person
8

TASK 2
P2 EVALUATE HOW CONTENT AND PROCESS THEORIES OF
MOTIVATION AND MOTIVATIONAL TECHNIQUES ENABLE
EFFECTIVE ACHIEVEMENT OF GOALS IN AN ORGANISATIONAL
CONTEXT
The theories of organization behaviour helpful in motivating and encouraging others. The
manager or a leader of the organization can adopt these theories to motivate the employees
towards their work (Woolsey, et al. 2015). The theories can be adapted to evaluate the
performance of an individual or a group in the organization. The process and content theories
can be really beneficial for maintaining the organizational structure and performance of
employees for attaining the organizational goals and objectives.
CONTENT THEORIES OF MOTIVATION
The content theories mainly concentrate on the motivation and improvement of the
employees. There are some content theories which will be helpful in attaining the goals and
objectives of the organization. there are different types of content theories which define
different type of behaviour of organizational culture and can be used in different situation
occurred in the organization.
Maslow’s hierarchy of needs theory
Herzberg’s motivation-hygiene theory
Alderfer’s ERG theory
MASLOW’S HIERARCHY OF NEEDS THEORY
Every employee who is working in the organization for attaining the overall business objective
wants a secure and safe job and the healthy working environment in the workplace (Nurmi, et
al. 2016). This theory follows a hierarchy of needs which can be described as physiological
needs, safety needs, love and belongings, security needs, self-esteem and self- actualization.
These are the basic needs which are very important for the self-satisfaction of a person.
9

Figure- MASLOW'S MOTIVATION THEORY
Source- (https://www.simplypsychology.org/maslow.html)
HERZBERG’S MOTIVATION-HYGIENE THEORY
Herzberg's motivation-hygiene theory is also known as the two-factor theory of motivation. This
theory majorly concentrates on two elements such as hygiene factors and motivational factors
which is really needed in the organization (Robertson, 2016). Hygiene factors can be described
as physical working conditions of an organization and the mutual understanding and strong
relations between the employees and manager. This theory can be beneficial in evaluating the
satisfaction and dissatisfaction level of employees who are working in the organization.
Figure- HERZBERG’S MOTIVATION-HYGIENE THEORY
Source- (https://alisajjad3.wordpress.com/2015/05/28/leadership-styles-motivational-
theories/)
10

ALDERFER’S ERG THEORY
This theory mainly based on two factors like self-esteem and self-actualization which is really
important factors for the improvement and growth of an individual. This theory is connected
with the Maslow's hierarchy of needs theory which focuses on the basic needs of a person. The
Alderfer's ERG theory mainly depends on these three factors such as growth needs, relatedness
needs, existence needs which plays an important role in the growth and development of an
individual in an organization (Kim, et al. 2014). This theory state that every individual should
have his own value in the company by using the skills and ability. Self-motivation is really
important for achieving different from others so that a person needs to concentrate on his
abilities for gaining the self-esteem and self-actualization.
Figure- ALDERFER’S ERG THEORY
Source- (http://www.swlearning.com/management/nelson-quick/uob1e/powerpoint/ch05/
sld010.htm)
11

PROCESS THEORIES OF MOTIVATION
These theories mainly focus on the motivation and encouragement of an individual or a group
working in an organization. Tesco can adopt the process theories for enhancing the growth of
the company. It will be really beneficial for the company to motivate their employees towards
their work (Hsu, et al. 2014). There are many types of process theories which plays a vital role
in managing the effective organizational behaviour in the company such as:
Vroom’s Valence theory
Self-efficacy theory
Reinforcement theory
VROOM’S VALENCE THEORY
The Vroom’s valance theory is also known as the expectancy theory which will be helpful in
evaluating others needs and expectations. The organization should fulfil the needs and
requirement of their employees and customers. the theory majorly focusses on the four factors
like instrumentality, valance and expectancy and motivation. Every individual has expectations
to get reward or bonus for their performance.
Figure- VROOM’S VALENCE THEORY
Source- (https://wikispaces.psu.edu/display/PSYCH484/Fall+2016%3A+Expectancy+Theory)
12

SELF-EFFICACY THEORY
This theory describes that every individual has their own quality and skills which can be helpful
for achieving goals. Self-efficacy is a power of an individual which can be seen by his own
abilities and qualities (Alshmemri, et al. 2017). A person should behave according to the
situation or we can say an employee should behave positively at the time of any critical
situation occurred in the organization. A healthy working environment is really important for
the employees to cope-up with the organizational culture. Self-evaluation, self-observation,
self-reactions, and self-efficacy and self-motivation is really significant for attaining the goals
and objectives.
Figure- SELF-EFFICACY THEORY
Source- (http://athinklab.com/2012/08/28/the-positive-side-of-video-games-part-iii/)
13

REINFORCEMENT THEORY
Reinforcement theory can change the behaviour and performance of an individual by using
punishment. In this process, the manager or leader of the company deals with employees in a
rude manner for their mistakes and guide them to correct their mistakes. There can be two
type of reinforcement which can be adopted by the organization positive reinforcement and
negative reinforcement.
Figure- REINFORCEMENT THEORY
Source- (http://slideplayer.com/slide/6226981/)
MOTIVATIONAL TECHNIQUES
The motivation is the most important element which can boost the performance level of the
employees. There are two types of motivation techniques which can be used by the leader or a
manager of the organization to boost up the performance level of employees such as intrinsic
motivation and extrinsic motivation.
14

15

INTRINSIC MOTIVATION
In this type of motivation, the employees the employees are internally satisfied with the
business environment of an organization. the intrinsic motivation can be seen in the employee
when he is highly motivated towards his work (Troussas, et al. 2017). When the needs and
requirement of employees are fulfilled by the organization known as the intrinsic motivation. It
will positively affect the organizational structure.
EXTRINSIC MOTIVATION
This is the type of motivation which can be provided by the organization in the terms of
promotions, bonus, rewards and extra advantages to the employees for their performance and
behaviour. The extrinsic motivation can be evaluated in terms of money also when organization
provide some monetary benefits to the employees for their performance.
Figure- types of motivation
Source- (http://psychologia.co/types-of-motivation/)
16

M2 CRITICALLY EVALUATE HOW TO INFLUENCE THE BEHAVIOUR
OF OTHERS THROUGH THE EFFECTIVE APPLICATION OF
BEHAVIOURAL MOTIVATIONAL THEORIES, CONCEPTS AND
MODELS
GOLEMAN’S EMOTIONAL INTELLIGENCE THEORY
Emotional intelligence is a quality to understand emotions of others. The emotional intelligence
is known as the ability to recognize others feelings (Hogan and Coote, 2014). This is really
helpful in knowing and understanding the thinking and perception of others. The intelligence
makes the person to make a strong communication with others. In addition to this-this theory
will be really helpful for Tesco to maintaining good relations with their employees for attaining
the business objectives. This theory mainly focusses on these elements such as:
Self-regulations
Motivation and encouragement
Self-efficacy and self-growth
Social skills
Self-confidence
Self- awareness
Figure- Goleman’s Emotional Intelligence Theory
17

Source- (https://www.theroadtosiliconvalley.com/personal-development/leadership-eq-
emotional-intelligence/)
TASK VS RELATIONSHIP LEADERSHIP THEORIES OF BEHAVIOUR
Task-oriented leadership means a type of leadership which state that a leader needs to guide
the employees towards achieving the goal for a specific task. This is really important for the
leader to maintain a strong communication with the employees to give them accurate guidance
for the accomplishment of the task. The effective accomplishment of a task will be helpful in
the development and growth of the organization. This theory majorly focusses on two elements
such as task leadership and relationship leadership both are important for achieving the goals.
Figure- task Vs relationship-oriented leadership
Source- (https://www.motavera.com/task-oriented-vs-people-oriented-leadership-
style.html)
18

TASK 3
P3 DEMONSTRATE AN UNDERSTANDING OF WHAT MAKES AN
EFFECTIVE TEAM AS OPPOSED TO AN INEFFECTIVE TEAM
In order to build an effective team, there are many factors that need to be taken into
consideration by the organization. Some of these factors or essential elements for building an
effective tea are mentioned below.
Having Clear aims and Objectives: An effective team can be built within an organization
if the management of the organization devises clear aims and objectives for the
organization to the employees of the company. When employees are clear about the
vision and mission then they work in coordination and deliver to their full potential
(Dyer and Dyer, 2013).
Balanced roles and responsibilities: It is highly important that the role and
responsibilities of the team members are equally distributed so that there is no part and
transparency is maintained between employees.
Support and Trust: The team members within the organization can have trust and
mutual respect if there is sharing of ideas and teammates help each other for achieving
the desired objectives of the company (Dyer and Dyer, 2013).
Openness and Conflict: an Effective team can only be built if employees share their
ideas and opinions with the higher management of the organization. They should be
honest and loyal towards the company, moreover, they should have the ability to
resolve conflicts between the members of the organization.
DIFFERENCE BETWEEN GROUPS AND TEAMS
Groups Teams
The members in group work
independently
Members of the group focus on
their own performance and do not
care about their group members
Members of a group are not aware
as to how to perform an activity or
achieve the goals
There are a large number of people
in groups
There is no single leader operating
group and leaders change from time
The team members work in
collaboration for achieving the
objectives
The members of a team help other
and show a sense of ownership for
achieving goals and objectives
Team members usually have a
leader who directs the team
members as to how to accomplish
the goals
No of People in teams are less as
compared to groups
19

to time (Hoyt and Forsyth, 2010) Single leaders direct and lead the
team from starting till the end
IMPACT OF TECHNOLOGY AND ROLE OF VIRTUAL TEAM DEVELOPMENT IN THE
ORGANIZATION
Technology in an organization plays a crucial role in improving the performance and efficiency
of employees. It is often seen that organization which have not yet advanced in technology
implementation are still lagging behind than other companies in the business. When teams
within the organization make use of technical tools then the turnaround time for completing
the tasks reduces and efficiency of team members get increased (Crittenden, et al. 2010). A
company can make use of digital tools in a business like ERP, software tools and applications for
increasing the performance of teams in the organization (Wagner, et al. 2014).
The virtual teams have become an integral part of organization these days. The virtual team
basically refers to a group of team members separated from geographical boundaries via
communication and internet technologies. Virtual teams help organizations in cutting cost and
reducing the overhead expenses of infrastructure facilities.
20

M3 ANALYZE RELEVANT TEAM AND GROUP DEVELOPMENT
THEORIES TO SUPPORT THE DEVELOPMENT OF DYNAMIC CO-
OPERATION
TUCKMAN’S TEAM DEVELOPMENT MODEL
This model was developed by Tuckman in the year 1965. This model is basically based on the
team development theories and is based on the idea how a team can tackle a task from initial
stage of the project to the final stage (Bonebright, 2010).
 Forming: It is the first stage of team building for solving a problem. The team members
are gathered at one place without knowing each other. Information is collected and
teams are allocated tasks independently.
 Storming: In the second stage the team members start sharing their ideas and opinions
as to how to complete the task or solve the problem. The relationship between the
teammates can be made or broken at this stage as it is essentially important to respect
the ideas shared by each team member.
 Norming: The team members in this stage start trusting the teammates and they form
strategies for solving the problem (Bonebright, 2010).
 Performing: The teammates start performing their tasks with high speed and accuracy.
The team members work in collaboration and share a high level of respect for
communicating with the team members.
 Adjourning: It is the final stage in which the team end the project and break up the
team.
BELBIN TOPOLOGY FOR MANAGING EFFECTIVE TEAMS
This topology is based on identifying the behaviour of employees in the workplace
environment. As per this theory, team members show different types of behaviour also known
as Belbin's team roles (Carron and Marty, 2011).
Leader, Coordinator and shaper: The leader in an organization is a person who leads a
team under him. It is the responsibility of a leader to coordinate the team members and
shape innovative ideas of employees for driving performance.
Team Workers and resource Investigators: A resource investigator is a team member
that works in collaboration between the team members and finds innovative ideas for
solving a problem. The investigator also helps the team members for achieving their
personal as well as professional goals in the organization (Carron and Marty, 2011).
21

Innovator, Inventor and Complete finisher: A team member should bring in new
innovative ideas for solving a problem, moreover he should undertake full responsibility
for accomplishing the goals.
Monitor Evaluator: A team member analysis his/her progress and monitors the
performance of his team thereby making judgements for improvements.
Specialist: A specialist is a person who brings in knowledge and skills for solving a
problem within a team.
22

TASK 4
P4 APPLY CONCEPTS AND PHILOSOPHIES OF ORGANIZATIONAL
BEHAVIOUR FOR TESCO
PATH GOAL THEORY
The leaders and managers of an organization can use the principles of this theory in making
employees understand as to how to accomplish the goals and identify the path to success. The
path-goal theory can be successfully implemented by accomplishing the following three steps
as mentioned below (Malik, et al. 2014).
By understanding the leadership behaviour and environment of the organization
Adopting a suitable leadership style
Focusing on employee motivation
In conclusion, this theory urges leaders and managers of the organization to break the barriers
which are stopping employees from achieving their desired goals. Employees should be given
guidance by the managers for achieving their personal and professional goals.
SOCIAL CAPITAL THEORY
This theory urges the members of the organization to solve the critical issues within the
operating environment rather than solving issues in the external environment (Dubos, 2017).
An organization can successfully operate only if it maintain good social relations with its
stakeholders, customers, community groups, suppliers, distributors or any other social group.
The external operating environment is as crucial as the internal operating environment for
instance if a company do not follow the standard operating procedures and norms set by the
government then it cannot operate successfully (Dubos, 2017).
CONTINGENCY THEORY
An organization faces many types of problems like political problems, economic problems etc.
The corporate level contingency basically refers to problems that a firm witnesses and could be
related to technological problems, resources problems, problems related to the quality of
service and many other problems (Jokipii, 2010). It is essentially important for an organization
23

to solve such problems with high competence in order to survive in the competitive
environment.
CONTEMPORARY BARRIERS TO EFFECTIVE BEHAVIOUR
There can be many contemporary barriers that become a hindrance to employee performance
within the organization. For example lack of sharing of ideas between the members of the
organization, independent working, lack of communication between the lower and upper
management of the organization etc (French, et al. 2012). It is essentially important for an
organization to overcome such barriers so that employees work in collaboration and their
performance gets increased within the organization. If there are distance barriers and one-way
flow in the business then an organization cannot achieve its desired objectives moreover
employees feel less interested in working for such organizations.
24

M4 ANALYSING CONCEPTS AND PHILOSOPHIES OF
ORGANIZATION BEHAVIOUR AS TO HOW THEY INFORM AND
INFLUENCE BEHAVIOUR IN BOTH POSITIVE AND NEGATIVE
WAYS
It is essentially important for an organization to apply the principles and philosophies of
organizational behaviour for achieving a competitive edge in the business. The principle of
Organization behaviour helps an organization to identify the behaviour and personality traits of
employees in the organization (Furnham, 2012). It helps in identifying the needs and demands
of employees, moreover, it helps in understanding the complex nature of employees in the
organization. By identifying the behaviour of employees an organization can create a motivated
atmosphere for employees where there is sharing of ideas and all work in peace and harmony.
It also helps in improving the management practices by motivating employees and working with
them. The principle of OB also helps in analysing the rapid changes in the organisation thereby
hiring skilled people for the right job and at the right time.
The principles of Organization behaviour also helps in improving the firm’s performance and
improving the individual performance of employees in the organisation through effective
leadership and management techniques and by including reward schemes for employees and
giving them compensation and benefits (Furnham, 2012). The principle of OB helps in
developing commitment among the employees for achieving their personal as well as
professional goals. It also helps to control, predict and understand the current and past
behaviour of the organization.
25

CONCLUSION
The report concluded the importance of behavioural theories for the success of an
organization. An organization can attain their desired goals and objectives with the help of
content and process theories of organizational behaviour. The motivation is really important to
encourage the employees towards their work. There are two types of motivation techniques
which can be really beneficial to motivate the employees of the Tesco. In this report, we have
discussed different motivational strategies which will be helpful in achieving the desired goals
of the business organization.
26

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