Supply Chain Management in Tesco: Impact on Organizational Efficiency

This report discusses the impact of supply chain management on organizational efficiency in Tesco. It evaluates the role of technology in the process and supporting functions linked to this operation management practice. The report also covers the core business values of Tesco and how supply chain management impacts the organization's efficiency.

Title example: Operations management on XYZ
Company
MODULE: BM563 Operations and Service Management
PROJECT: CW1 - Individual Research Portfolio
LECTURER:
STUDENT:
Group:
BNU ID:

Executive summary
Following report have discussed the organisational core business values and
also discussed the operation management practice which highlighted the supply
chain practice.

Contents
Introduction...................................................................................................................5
1. Identify one operation management practice within a chosen organisation............6
2. Critically analyse how this operation management practice impacts the
organisation in regards to efficiency.............................................................................6
3. Evaluate how technology could be embedded in this process or evaluate how this
has already been achieved...........................................................................................7
4. What supporting functions are linked to this operation management practice and
evaluate how can they assist with ensuring organisational success?.........................7
Conclusion....................................................................................................................8
References...................................................................................................................9
Appendix.....................................................................................................................10

Introduction
`Operation and service management refers to the process that covers the
plans, control and production process for delivering the services into the market
(Ghadimi, Wang and Lim, 2019). Operation managemnet is the main business criteria
that linked with the business administration that concern with transforming raw
materials and labor into the commodities and efficient services that aims to maximise
the organisational profit. Where service managemnt focuses on customer approach
for providing the information technology, it aims to provide the better values to the
consumer to build up better customer relationship.
This study will carried out by focusing on Tesco British multinational company
headquarter is in Welwyn garden city England, UK. Following report will cover the
operation management practice which is supply chain and also discuss the analysis
of practice that impact business efficiency. Further covers the technology that
embedded with process and supporting function linked to practice.

1. Identify one operation management practice within a
chosen organisation
Tesco a British multinational retailer merchandise considers as the third largest
retailer in the world which is measured by the gross revenues. Company have
diversification in their product which they sell across the nation and worldwide, their
products ranges as books, clothing, electronics, financial service, frozen foods etc.
which covers the largest share of the market. it is estimated that company have
approximately 3,67,321 employees, as potential workforce is able to make the
organisational desirable goals achievable.
Core functions which is define as the collection of services and activities that are
developed for achieving the common outcomes which is important for the company’s
mission (Kouvelis and Zhao 2018). Thus core functions are operation, human
resource, marketing and finance it plays a significant role in making the organisation
to compete in the market and to acquire a largest market share which helps in
growing the revenues. As for the Tesco, proceeds with the strategy to provide the
valuable products to their consumers and to improvise the work culture that helps in
carrying out the better operational tasks for the organisation. For that company has
diversified their services and products into the both existing and new market. thus
effective strategies and planning enables the company to provide strong and
sustainable progress in their business. Since the production aspect of the Tesco
concern as service oriented which means that operations can be a second upstream
element which enables the goods to be delivered, where the tasks can be operated
on the basis of trading hours and also to maintain the stocks.
Supply chain management is the process of managing the good flows of
commodities and services that covers every process which converts the raw
resources into the final or deliverable products. It basically involves the streamlining
of the company’s supply elements for enhancing the consumer values and to adapt
the competitive advantage for the business (de Sousa Jabbour and et.al 2019).
Generally, it involves the factors which are planning, sourcing, creating, deliver and
return which refer as in planning stage organisation tries to match the supply
aggregation demand by creating the action course using analytics. Sourcing relates

to identify the vendors who procures the raw resources and in making stage
company tries to transform raw resources into final product that aims to meet
consumer requirement. And in deliver stage company uses the logistics to deliver
products into market. For every organisation supply chain management is important
as it helps in accomplishing the desired business objectives. As for the Tesco they
have good control over their supply chain that is why they are the leading retailer
company, for instance controlling the production process helps in improvising the
product quality. Therefore, it is important for managing the supply chain as it also
helps in reducing the chances for any legal actions and recall risk thus often helps in
building a better customer relationship with the firm.
Therefore, for the better management of the operational task it is foremost for
the company to have the efficient and knowledgeable workforce that helps in
delivering any task in productive manner.
2. Critically analyse how this operation management
practice impacts the organisation in regards to
efficiency
Operations management is the administration of the business practices which
helps in creating the highest level of efficiency which is possible within an
organization and helps in keeping the operations intact for the further processing at
large scale. There are certain implications of quality, cost, dependability, speed and
flexibility in the operations and these are –
 The quality control in the supply chain is being affected by the external risks
and the factors of risk which are being affected and are depending upon the
supply chain functions (Nowitschkow, Saal and Lohse, 2021).
 The cost of these operations is being affected and this measures the scales
as to how the supply chain in Tesco is being affected.
 Speed and flexibility are also hindered in the process of supply chain being
affected within the process of work being done in the manner as to how
effectively the supply chain is being affected due to the operations.

 The supply chain structure is the major concern as it is identified and is
concerning the major aspects of how the lead time and review period length is
affected at large scale (Osman and Al Hinai, 2018).
 There are also implications concerning the customer satisfaction which helps
in addressing the major concerns as to how effectively the supply chain can
be processed in an appropriate manner.
The internal and external benefits of performance objectives of Tesco help in
defining the measures as to how there are changes and modifications which the
company has done regarding the supply chain at large scale. There are four
perspectives of operations strategy which helps in determining that Tesco is
concerned about the growth and development of the operations and there is need of
improvement in the supply chain management at large scale (Hashemi-Petroodi,
Thevenin, Kovalev and et.al., 2020). The four perspectives are described as –
Top Down Perspective - Higher level strategy should be interpreted and followed
within the system. There is major decision which are to be taken in an appropriate
manner by the higher management at large scale within Tesco.
Bottom Up Perspective – Day to day experiences should be gained and this should
help the aspect as to how effectively and appropriately Tesco should be measuring
the internal and external benefits of performance objectives which is concerning the
cost, quality, speed and flexibility in the operations.
The Market Requirements Perspective – Tesco helps in supporting the market
operations which comes under the external benefits of performance objectives which
are identified and are considered as important (Fettermann, Cavalcante, Almeida
and et.al., 2018).
The Operations Resource - The external capabilities are being addressed and are
considered as important which helps in analysing and indicating the aspect of how
effectively the operations are managed within Tesco which is implying to the
operations of the supply chain practice taken into consideration at large scale within
the company (Blossey, Eisenhardt and Hahn, 2019).
Therefore, these are some of the major benefits which are being addressed
as to how effectively and in appropriate manner there are changes and modifications
which are done by analysing that the supply chain plays major role in creating value

of how effectively the operations are undertaken in an appropriate manner. The
supply chain operations play major role in determining certain characteristics which
helps in determining major concerns of effective operations and processes of supply
chain management at large scale. It is very important that the performance
objectives are addressed and are major concern within which the Tesco is working
and providing the demand and supply chain products and services at large scale.
3. Evaluate how technology could be embedded in this
process or evaluate how this has already been
achieved.
The role of technology which has been chosen in the aspect of addressing the
major concerns for supply chain process helps in analysing that how effectively and
in appropriate manner the technology has played major role in diversifying the major
benefits of process of supply chain which is undertaken in the Tesco (Basheer,
Siam, Awn and et.al., 2019). Technology helps in increasing the profitability and
efficiency by strengthening the supply chains. The e - commerce and m- commerce
the major technological factors which have developed the aspects of how effectively
and in appropriate manner there are changes and updates grading into the supply
chain system at large scale. To deliver the products and services, the company
Tesco is heavily dependent on the technology which helps in examining the aspects
of providing and supplying the products to the customers in an appropriate manner.
The digital environment helps in analysing and creating value for the concerns
in an appropriate manner at large scale. Increased digital environment integrates the
operations which is carried out by Tesco and this helps in framing the scale of how
6teh digital technology is serving the Tesco by utilizing the major concerns of
effectively passing and addressing the concerns appropriately. Supply chain
management software is designed to enhance and provide the information to the key
supply partners which helps in attaining the procurements such as just-in-time
procurement, increase in manufacturing within Tesco and meeting the customer
needs at large scale (Khaddam, Irtaimeh and Bader, 2020). The technology which
Tesco uses in the supply chain process is RFID (Radio Frequency Identification)

which helps in determining lean management solutions in the supply chain. There
are path taking systems and patterns which Tesco uses its supply chain
management are – point of sales data, continuous replenishment and primary
distribution technology. This helps in making the supply chain more effective and
efficient. There are aspects as to how effectively there are major concerns which are
regarding the RFID. This helps in monitoring the product flow within the supply chain
management. There are also competitive advantages in the service delivery and SC
efficiency. There are shelf management solutions which helps in understanding the
aspects of how effectively there are major concerns which are involved in the
process as to how effectively the technology is concerned and is improving the major
concerns in an appropriate manner.
The company is focusing on the aspects of growth and development through
technology and this addresses the major concern of how the technology is being
concerned and is impacting positively to the process of operations which is there in
the supply chain at large scale. This helps in addressing and analysing the lean
management solutions are framed and are concerned in an appropriate manner at
large scale (Basheer, Siam, Awn and et.al., 2019). There are measures as to how
effectively and in appropriate manner, the company is able to create value and is
determining the that the supply chain management process is improving the
methods in the technology and is concerned within the framework at large scale.
Therefore, the technology has been adding value and is concerned in improving the
methods of how effectively the core benefits of technology are extracted at large
scale. There are major concerns in the manner of how the RFID is analysed and is
creating value at large scale. The technology which Tesco uses for supply chain
process is effective and is working to enhance the systems in an appropriate
manner.

4. What supporting functions are linked to this
operation management practice and evaluate how can
they assist with ensuring organisational success?
There are different types of supporting functions accessible in a company that
contribute to achieve their aim and objectives. In case of TESCO, marketing, human
resource, accounting and IT functions plays important role in term of increasing
organizational performance and productivity level. Each supporting function in the
supermarket may support management to reach desire outcomes, in form of
increasing productivity and performance level, by conducting practice to collaborate
and communicate with each other. All these supporting functions are connected to
supply chain management in effective manner that help manager and leader to make
assure organizational success further.
Marketing department play important role in success of supermarket, in form
of collaborating with supply chain section (Steinbart and et.al., 2018). They may
share information with each other on the basis of arranging and promoting products
and raw materials that organization may use to enhance customer satisfaction and
gain the attention of potential buyers.
Another function that plays crucial role in success and growth of TESCO is
human resource that linked with supply chain in productive and collaborative
manner. Both departments work together in term of sharing key data about skilled
people that supply chain department need and human resource management is able
to arrange. They both share data for talent and skills requirement in the workplace
appropriately that help to fulfil their needs. It is fact that the relation and connection
between each department may make a company productive, which is not possible to
find in other companies as well. With skilled and talented people, organization may
work in productive and achieve key aim that help to gain competitive advantages in
bulk.
Another department that may support supply chain and then organization is
IT, that able to solve technical errors in systems and technologies, utilized in supply
chain management section. It may put positive impact on organizational profitability
and productivity as well as success in form of working with some advanced
technologies that build wide and strong supply chain network. It may enable TESCO

to run and manage its venture within different nations, where it may establish its
outlet to gain and retain customers, who are able to conduct word of mouth
promotion after obtaining appropriate satisfaction, in form of purchasing and using
quality goods. The relation between IT and supply chain assure further success of
company, in the retail industry.
The relationship between each department or supporting functions make
assure management that they may obtain unpredictable outcome in the future in
form of business expansion. Therefore, they may have collaborative and
coordinative teams in the workplace, among which each candidate is able to perform
their role and also hold capability to make achievable commitments. In the recent
time the collaboration between supply chain and other functions may support
TESCO to stand competitive in the retail sector, where the competition level is high.
It enables supermarket to enhance satisfaction level of target audience and give
them reason to retain with purchase of goods from TESCO outlets.

Conclusion
From the above report it is concluded that effective operation and service
management leads the firm to streamline their business functionalities for achieving
the desired outcomes. Above report have illustrated the brief information of
organisation along with its core business values. It further discusses the supply chain
operation management practice. It lastly concluded with the critical analysis of supply
chain operation management practice and its impact over firm efficiency and also
highlighted the technology embedded into the process and description about the
supporting functions and its evaluation that contribute towards organisational
success.

References
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