Management Thought and Practices in Tesco

This document discusses the role of operational management in achieving the aims and objectives of Tesco, management approaches for growth and development, the importance of motivation in the workplace, and the role of effective communication and teamwork in business performance.

UGB261 Management thought
and practices

Table of Contents
INTRODUCTION................................................................................................................................3
MAIN BODY......................................................................................................................................3
Role of operational management towards achievement of aims and objectives of Tesco plc.....3
Management approaches for the growth and development of the Tesco plc...........................5
Analyses of the importance of motivation in workplace business..............................................7
Role of effective communication and teamwork in business performance................................8
CONCLUSION..................................................................................................................................10
REFERENCES.....................................................................................................................................1

INTRODUCTION
Management is a part of an organization which need to manage the daily activities of the
organization so that the daily targets of the company will easily get achieved by the staffs. So, in
this context, the report will discuss about the operational management thought and practices. The
report will address the operational management (OM) role and support towards the aims and
objectives of the Tesco Plc. Further, this report will also discuss about the approaches basically
two which help the operational manager of the Tesco towards business growth and development.
It is because operational managers of the company are the one that plays effective role in the
achievement of the pre-determined objectives of the organization. Basically, this report will state
that operational management helps the company in enhancing their goodwill in the market along
with the sales and profitability improvement (Khurshid, 2017). This report will also describe and
analyse the importance of motivation in the Tesco company if the company really wants to retain
its employees along with improve its employee’s productivity. This report will also state the role
of effective communication and team work in the performance enhancement of the Tesco
company. This report will help the company in minimizing the communication gap between the
subordinate and superior.
MAIN BODY
Role of operational management towards achievement of aims and objectives of Tesco plc.
The aims of the Tesco company are to retain its loyal people by providing them best and
high-quality product and services. The company always try to create value for the customers so
that they can earn lifetime royalty of their customers. Tesco adopt appropriate strategy to
maintain loyal staff in the supermarket with the help of which they create happy environment in
the shopping markets. The objective of the company is defining in 4ps term which include
product, price, place and public. The Tesco objective involve right product as per the customer
range, keeping their price competitive, accessible location for customers and adopt CSR
practices for their public, society and local community (Kafiyatullina and Panfilova, 2018). So,
the role and support of the operational management in achieving this aims and objective of the
company involves:
 Maintaining product quality: Operational management is a part of the organization which
basically check the durability and reliability of the products of the company. It is because the

customers satisfactions are depending upon the quality of the product at the time or after the
delivery. To take the competitive advantage in the market the OM of the Tesco always try to
offer best quality product with sufficient expiry period so that the product will not spoil
soon. They provide fresh products such as fresh dairy and perishable goods in on time
delivery form.
 Increasing productivity of staff’s: Basically, productivity means an equal ratio between the
input and output and to maintain such ratio OM really support very much to the
organization. From recruitment of right candidate to providing them training and
development sessions the operational management helps the employee’s in understanding
their work and daily task. Operational managers of Tesco make sure that the company must
have appropriate staff of employees which is easily adapt any changes and utilize the
resources in such a way which increases their outcome. If any company wants an effective
production than they have to hire and maintain effective operational management
(Bordogna, 2018).
 Customer’s satisfaction: As it is well known that if a company wants to achieve their aims
and objectives than they have to satisfy their customers needs and preferences. And not only
that the company also need to provide various funds and donation in charity in order to fulfil
their responsibility towards society and local community. Thus, operational management of
the Tesco with their advance techniques and by following management theories such as key
performance indicator and corporate social responsibility make appropriate policies and
practices. By applying this practice, the managers will look out the customers reaction on
their products and analyse the market trends and earn profit.
 Inventory management: The most crucial support that the operational management provide
to the company in order to achieve the business objective is managing inventory in
warehouse and stores. In Tesco, around 20% of the stocks are directly deliver to the
supermarkets and stores from the supplier. For remaining, the OM apply just-in-time
inventory technique with the help of which the company never face shortage of stocks in
their warehouse and stores. They also apply EOQ technique to determine the unit of stocks
required at a particular period of time which manages the holding and ordering cost also.

 Reducing operating cost: In order to earn profit, the company need to either increase their
sales unit or price along with the reducing operating cost of the production. And the
operational management have the ability to make it possible without compromising in
quality of the products. They make sure that whatever the products reach to the customers
are fresh and as per their demand (Tucker and et.al., 2020).
Management approaches for the growth and development of the Tesco plc.
Bureaucratic management approach
This is a management approach that was established by the Max Weber and which
became popular at the period of 1930 to 1950. This approach is basically focused on the way in
which the organization is divided into hierarchies. In this the company need to establish strong
line of authority as well as control. For all the routine tasks of the organizations this policy is
being developed in which detailed standard operating procedures is mentioned. It is a scientific
method which provide variety of benefits to the company but the most important think that need
consideration of the management is that it is costly.
A bureaucratic organization is a considered as a specialized organization because in this
the work and task of the company is divided among the employees as per the specialized field.
For example, in Tesco company if any candidate is specialized in finance field than such
candidate needs to perform the tasks related to finance only. Here, the structure of the
organization is created in such a manner that all the duties and responsibilities of the individual is
specific against their name and the reporting relationship must be within the command hierarchy.
The structure set in this approach is as per the functioning of the organization. In this the
recruitment is also done by the management of the company on the basis of the candidates’ skills
and expertise. For this the Tesco management need to describe the responsibilities of vacant role
so that only right person will apply for the job and get placed by the company. The application of
this approach helps the management in remain unbiased with their staff’s and ensures them to
take fair-decision at the time of any issues arises in the organization. With this approach, the
business can put their focuses on the systematic recording of all business transaction and events.
Not only that this also help in framing the laws, rules, regulation and procedure of the company
for the future based on the past experiences (Van Ryzin and Riccucci, 2017).

But because of the hierarchy structure, the information and tasks is passes from the top to
the bottom and the feedback related to the issues are not taken from the employees. This will not
only create communication gap but also demotivate the employees which basically affect the
performance and productivity of the staff. There may be chance that the managers because of
having higher authority misuse their position for their interest and humiliate their subordinates.
The most important think that affects the business success in the negative way is that the
business might lose their talented workforce and also their will be delay in the decision-making
process. Because the lower workers need to rely upon the top managers for taking any steps and
the impact of which is that the process of any task or activity will get delay. That’ why it is
advisable to the company that they must adopt other management approach also along with this
approach in manage the success of the business effectively and efficiently (Provan, Dekker and
Rae, 2017).
Human relation management approach
This is an approach which basically focus on the needs and behaviour of the individual rather
than on machines and economics. With the application of this theory, the management of the
company can put their focus on creating the positive environment of the business rather than
considering it as social context. It minimizes the disadvantage that the company faces because of
the bureaucratic approach of the management. It improves the productivity of the employees
because in this the anyone in the organization talk with anyone in order to receive feedback
related to the employees’ issues and problems. This is also helpful for removing the grievance
among the employees because it provides enough time to the employees that they can share their
thoughts with the co-workers and minimize the communication gap if any arises because of
misunderstanding. The problem Tesco might face in the first approach of management is get
solved in this approach because it helps the company in retaining the employees with the
company. For this the management need to adopt various strategies such as lunching various
formal and informal parties, conference, get-together etc. Not only that it also improves the
goodwill of the company by building strong relation with the employees and other customers.
Because of this the talented candidate get attracted with the company such as Tesco and want to
get job in it (Al‐Shamsi and et.al., 2020).

The most important concept of this theory is that because of the good relation it helps the
employees in improving their creativity and innovative ideas. Such as if the employees of the
Tesco build strong relation among themselves than in case if any one employee face difficulty in
their work all other will forward to help them. It will engage the staffs in the decision-making
process of the company which increases the motivation and make the employees realize that the
company cares about their feelings and thoughts. In business, employees are always assets of the
company if they will remain happy than they will give their 100% in completing the task on time
without compromising with the quality of products. That’s why it is recommendable to the Tesco
company that they must adopt this approach in order to develop and grow their business to local
as well as international level (Obeidat and et.al., 2017).
Analyses of the importance of motivation in workplace business
The most important reason that reflect that company always need to involve motivation
in their premises environment because it basically helps the management in meeting the
company’s goals and objectives. If a company do not do so than the business could be placed in
a very risky position. For example: In Tesco, the management uses variety of programs and
sessions such as training program, recognition program, reward system etc. in order to increase
the productivity of their employees (Klopotan, Mjeda and Kurečić, 2018). The operational
managers always take personal feedback form their employees alone in order to know their
issues and concern. There are following reason why motivation is important in workplace and
that includes:
 It increases employee’s commitment: Employees are always expecting their personal and
professional development in return from the company where they work from the past many
years. So, it became most important that the company must set policy which involve regular
skills development course for their employee’s. It is because motivated employees always
committed towards their work and put high effort so that outcomes are always be positive
(Colenbrander and Bavinck, 2017).
 It satisfies employee’s expectations: The motivation helps the employees in achieving their
daily targets on time and further help them in focusing on their career path. The management
of the company have to use vroom expectancy theory for this purpose. By doing this the

company can provide their employees enough time for their personal growth as well. The
flexible working time in the organization gives the employees enough time to coordinate
with their other colleague and help them in building strong relation with them. Not only that
motivation is also crucial for the business with the help of which they can lead towards
positive growth of the company.
 Helps in building positive workplace environment: Sometime, because of the lack of
motivation among the employees the negative thoughts came into their mind. So, it is
significant for the management of the company that they must create a positive work
environment by holding surveys and taking feedbacks from employees in order to solve their
issues that they are facing in the organization. For this the management can also adopt
creative ways such as organizing parties, daily activity to relax them etc. It is because these
creative ways always keep their staffs motivated and release their negative thoughts if any.
 It improves employee’s efficiency and minimizes communication gap: Motivation is a
factor which increases the work efficiency of the employee along with it also help in
minimizing the communication gaps. Because management in order to motivate their
employees they will definitely talk with them and take feedback about their issue. Such an
action by the management directly lead to decrease in the communication gap between the
superior and subordinates. That’s why it is always advisable to the management of the
company that rather than depending upon the emails or phone calls they must talk with their
employees face to face. Because the management will get to know the expressions of the
staffs (Lorincová and et.al., 2019).
Role of effective communication and teamwork in business performance
Effective communication and teamwork in the organization is crucial for the success of
the business because it not only enhances the relationship among employees but also helps the
company in building the strong relation with the clients and customers. It is helpful for the
employee’s engagement in the decision making and also for the overall effectiveness of a team.
When the team leaders and managers do not communicate effectively with their employees than
it leads to the decrement of the company’s performance and profitability (Sherman and et.al.,
2020). It is found out in a research that 70% of the small business get dissolve because of the

poor communication system. The role of effective communication in business enhancement and
improvement is includes:
 It boosts growth: Great communication in the organization contributes to the success of the
business which basically moves hand in hand with the career development of their
employees. It is because it helps in eliminating the uncertainties which might occur in the
future and speed up the process of the policies such as smooth delivery of the products and
services of the company. For example: Tesco company and their management use various
social media platforms to communicate with their customers and implement 360-degree
feedback practice for their staffs.
 It increases innovation: Because of the lack of communication between the superiors and
staff’s employees are scared of communicating their thoughts because of the fear of getting
rejected by the top management. The impact of which is that they might became stagnant in
their career and unable to take steps towards their personal development. If the company
incorporate policy which involve that the employees can freely talk their issues with the
company’s management than this encourages them to be more creative and innovative.
Nowadays, employees are having best ideas with them which may help the business in
improving their sales and profitability (Burrack, 2020).
 It increases loyalty: Customers are the one that are going to buy the products of the
company and if the company do not take their issues into account than they might lose their
loyal customer base. When company produces good line of communication with their
customers it automatically increases the loyal customers of the business. Beyond that this
line of communication is also important between the managers and other employees of the
company because basically they are the one that create positive environment in the business.
For example: In Tesco company if the employees and managers do not communicate with
each other than it will directly affect the customers happiness and their needs might get lose
from the company.
 It reduces mitigation conflicts: Sometime, in the organization the communication gap arises
because of the different culture and language of the employees. So, effective communication

helps in reducing the misunderstanding among them if any arises. That’s why it is always
advisable to the company’ management that they must incorporate communication practices
which helps them in their success and improves the personality and skills of the employees
(Reising and et.al., 2017).
CONCLUSION
The report concludes that the operational management is the main and important function
of the business. The report also concludes that because the operational managers are responsible
for the overall wee-being of the business that’s why the company need to hire responsible and
knowledgeable candidate for this role. The report further concludes that the operational
management need to look out the creation and administration of financial information and
budgets in each area of the company. Management especially operational management contribute
in the achievement of the aims and objectives of the company. In this report, it is concluded that
the objective of the Tesco company is to offer best quality general merchandise products to the
customers via both online and from stores on time. So, for this the operational management need
to supervise the stock availability at their different stores along with that they need to manage the
supply chain procedure and tracking of the Tesco plc. The report further concludes the effective
communication and team work importance in managing the coordination among the different
department and staff of the company. The repost also concludes the role and importance of
motivation in the employee’s productivity.

REFERENCES
Books and journals
Khurshid, N., 2017. A STUDY ON THE OPERATIONAL MANAGEMENT SKILLS OF HEAD TEACHERS AT
ELEMENTARY LEVEL (Doctoral dissertation).
Kafiyatullina, Y. and Panfilova, E., 2018. THE ROLE OF THE DEVELOPMENT OF
OPERATIONAL MANAGEMENT CONCEPTS IN THE INNOVATIONS
MANAGEMENT. Vestnik Universiteta. (12). pp.33-36.
Bordogna, C. M., 2018. Transnational higher education partnerships and the role of operational
faculty members: Developing an alternative theoretical approach for empirical research. Journal
of Studies in International Education. 22(1). pp.3-19.
Tucker, A. L. and et.al., 2020. When do workarounds help or hurt patient outcomes? The
moderating role of operational failures. Journal of Operations Management. 66(1-2). pp.67-90.
Van Ryzin, G. G. and Riccucci, N. M., 2017. Representative bureaucracy: An experimental
approach. In Experiments in Public Management Research: Challenges and Contributions (pp. 313-328).
Cambridge University Press.
Provan, D. J., Dekker, S. W. and Rae, A. J., 2017. Bureaucracy, influence and beliefs: A
literature review of the factors shaping the role of a safety professional. Safety science. 98. pp.98-
112.
Colenbrander, D. and Bavinck, M., 2017. Exploring the role of bureaucracy in the production of
coastal risks, City of Cape Town, South Africa. Ocean & coastal management. 150. pp.35-50.
Lorincová, S. and et.al., 2019. Employee motivation as a tool to achieve sustainability of
business processes. Sustainability. 11(13). p.3509.
Klopotan, I., Mjeda, T. and Kurečić, P., 2018. Exploring the motivation of employees in a firm:
A case-study. Business Systems Research: International journal of the Society for Advancing Innovation
and Research in Economy. 9(1). pp.151-160.
Sherman, J. M. and et.al., 2020. Barriers to effective teamwork relating to pediatric
resuscitations: perceptions of pediatric emergency medicine staff. Pediatric emergency care. 36(3).
pp.e146-e150.
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Burrack, F., 2020. Developing Creativity Through Enhanced Communication and Teamwork in
Engineering. Educational Considerations. 45(3). p.2.
Reising, D. L. and et.al., 2017. An analysis of interprofessional communication and teamwork
skill acquisition in simulation. Journal of Interprofessional Education & Practice. 8. pp.80-85.
Hommos, M. S., Glassock, R. J. and Rule, A. D., 2017. Structural and functional changes in
human kidneys with healthy aging. Journal of the American Society of Nephrology. 28(10). pp.2838-
2844.
Al‐Shamsi, H. O. and et.al., 2020. A practical approach to the management of cancer patients
during the novel coronavirus disease 2019 (COVID‐19) pandemic: an international collaborative
group. The oncologist. 25(6). p.e936.
Obeidat, B. Y. and et.al., 2017. The impact of intellectual capital on innovation via the mediating
role of knowledge management: a structural equation modelling approach. International Journal of
Knowledge Management Studies. 8(3-4). pp.273-298.
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