Understanding and Leading Change in Tesco and Sainsbury

This report discusses the comparison of Tesco and Sainsbury and their impact of change in the organizational strategy, also the ways of internal and external drivers of change affect. It will identify the ways in which internal and external drivers of change affect the leadership, team and department and individual in organization. Apart from this it will evaluate measure which would be taken to minimize the impact of change on organization behaviour by using the appropriate theories of change management. It would analyse the barriers of change and determine how they leadership decision-making in Tesco and Sainsbury. At last, it would measure the different leadership approaches to deal with change in both the organizations.

UNDERSTANDING AND
LEADING CHANGE

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Different organizational examples with impact of change on organization strategy...................3
Real-world examples of change by the organization...................................................................6
Different barriers to change.........................................................................................................8
Intended change in the organization..........................................................................................10
Drivers for the change and how it will help the company.........................................................11
Model used to implement the change........................................................................................12
CONCLUSION..............................................................................................................................13
REFERENCES................................................................................................................................1

INTRODUCTION
Understanding and leading change help participants to deal with problems which comes
with implementing change. In such program they can examine change process psychological,
political as well as organizational issue can be generated. Sainsbury is the public limited
company which belongs to the retail industry, it was established in 1869 in Holborn, London ,
UK. Tesco is the public limited company which also belongs to retail industry and it is the
Largest multinational grocery retailer and situated in England. It was founded in 1919 in
Hackney, England, UK.
This report will discuss the comparison of Tesco and Sainsbury and their impact of
change in the organizational strategy, also the ways of internal and external drivers of change
affect. It will identify the ways in which internal and external drivers of change affect the
leadership, team and department and individual in organization. Apart from this it will evaluate
measure which would be taken to minimize the impact of change on organization behaviour by
using the appropriate theories of change management. It would analyse the barriers of change
and determine how they leadership decision-making in Tesco and Sainsbury. At last, it would
measure the different leadership approaches to deal with change in both the organizations
(Nelson-Brantley and et.al., 2018).
MAIN BODY
LO1
Different organizational examples with impact of change on organization strategy
Radical changes has affected Tesco as the adopted fore meeting the development of
installing of self checkout machines for reducing the queries in the stores. The new technology
which other supermarket have made investments make their customer happy and reduced their
time for standing in queues. While providing the good choice of strategy it affects in the term of
current challenge as decrease in product and service quality and failure to make decision over
other emerging trends and culture in several countries. For such Tesco has planned for long term
for its operations to hit zero carbon target by 2035 with the help of renewable technology. They
also had made significant change for growing market mainly in UK. Tesco has released click and
collect service online to meet and adapt in their new change which would be easy to customer

and convenient for Tesco to enhance their position. Tesco strategy is to manipulate elements of
marketing to form key benefits which reflect positively on sales (Nadim and Singh, 2019).
The process of the company seeks to achieve the maximum profits and placing the
marketing campaigns for reflecting shopping seasons which rebrand the famous product to
increase sales. The operations of business interact with traditional marketing in the form of
sponsorships and events. Operations in their business need people coordination, management and
empowerment. The procedure of Tesco is to ensure the service quality whereas it provides front
service staff for directly interacting with customers. They process for employee training as well
as other competitive packages for retaining staffs. Similarly, ion current situation it offers
Colleague Privileged Card and scheme to benefit employee to take advantage from their product
and offerings.
The drive of change for Tesco could be growth opportunities, customer demand,
technological innovation, strategy changes, new product and service etc. These changes reflect
positively as sudden changes are used with purpose and motive to grow the business functioning
much better.
Pestle analysis of Tesco
Political Factors
Being the one of the largest retailer in world, Tesco should follow the several regulations
to make sure about the safety of products. While operating in various countries it is important to
consider changing political circumstance.
Economic Factors
They must keep an eye on economic change which occur in country in which it operates
whereas there are aspects which affect the revenue, distribution, sales and profit. So they must be
aware about the different kind of taxation policy.
Social Factors
By planning out and facilitating the needs of food product demanded by customers
depends on the social influence. These choice depends on over the various culture aspects which
people have lived all his life, the trend in changing culture socially influences.
Technological Factors
It is important for Tesco to stay in today time and make changes in their technological
aspects with experimenting several aspects of retail provide success in some endeavours.

Legal Factors
The changes in policies directly impacts the operations of organizations, which needs to
followed as lock and international market laws for continuing smoother operations.
Environmental Factors
The company has introduced several phases such as remove, reduce, recycle and reuse
plan, undertaking the initiatives to remove all non-recyclable plastic to lower level.
Sainsbury
For Sainsbury the change affected in the ways of impact over employee behaviour and
mechanism. The shoppers have moved towards the online shopping where Sainsbury expands its
delivery capacity by nearly 50 percent. This would enhance their decisions to make much better
outcomes and provide the competitive advantage (Awawda, 2018). The choice of people in
preferable for Sainsbury as they make decision to invest more in food quality, innovation and
affordable pricing for customers. Sainsbury always review to business for ensuring the
operations are handling ineffective and efficient manner and the sources in the right place to
provide the better service to the customers. The operation process introduce the night shift in
140 supermarkets which reflect to the 4000 workers and after early morning and late evening
shift instead. The operational routine plays vital role to achieve the performance objective such
as customer satisfaction, achieving flexibility, faster operations for customers requirements and
retain the loyal customers (Amis and Janz, 2020).
The drive of change is affected from social and economic changes. Social have
significant effect on the need of consumer requirements. Economic change prompt business to
focus on sustainability. By its expansion of delivery stability will enhance the service and reflect
the positive outcomes in drive of change and sudden change will enhance the productivity. Faster
service of change create the better improvement in the working performance of company which
improve their self-service as well reduce the negative aspect.
Pestle analysis of Sainsbury
Political Factors
The major political factor which affects are the Brexit which means England will be no longer
for the part of European union .
Economic Factors

They are dependent on the road-based transport for shipping products across UK, so the rising
cost bound to increase the pricing.
Social Factors
The company should follow the rising demand for organic food as well as follows sustainable
business practices to depot customer support.
Technological Factors
The commerce store is helpful for catering current tech friendly generation and using the data
driven analytics which help to conclude retail consumer insights.
Legal Factors
Not having the layers of decision-making will decrease the regulatory approvals as well as delay
in decision-making affect the business growth.
Environmental Factors
Reducing the operational waste and recycling as well as reducing the carbon emissions. They
should maintain the strategic sustainable plan for enhancing the better services.
LO2
Real-world examples of change by the organization
Changes by organization
Click and collect
It is the technological change which used by the company and it is the external driver as
the change takes place outside the organization and benefit their customers so it can be result for
external factors. The impact over leadership would increase their working capability and the
leadership should be more provide responsibility and attention. It will be challenging for leader
to manage the working procedure in the organization. For team and department it will be
challenging and it increases their working ability, and they must provide better service to
individual for maintaining their technological change. Individual will definitely get the attention
towards the service as it is useful term in which they will get the better service opportunity. This
technology change help the company and achieving great response and attract the target
audience, it will be the biggest advantage for the people to make online order (Sims and et.al.,
2019).
Colleague privileged Card

It is the social change and it is the internal driver as it benefit to employee where it
provides to take advantage from company offer. The leader must communicate more with
employee to maintain the good relations in beneficial terms so and discuss the change and ask for
their concern. This behaviour make employee motivated and valuable. It will be challenging for
making effective communication and discuss the change with employee. Team and department
are the will have to discuss the several aspects of changes and show how the change will benefit
to them in terms of profit. The role of team is to combine resources and achieve organizational
and goals team should communicate clearly. They should encourage individual to take the
benefit of such scheme by define the key point of implementing the change.
Expanding delivery service( Sainsbury )
They introduce the speed of ambitions as well as speed up the change across the business
which would simplify the business operations and access to cost savings for long term benefits.
With the support of this change business would be able to enhance their stability in the
marketplace as well as increase their chance to accomplish growth in the competitive culture.
Theory to minimize negative impact
Tesco
By following the nudge theory the negative aspect can be minimized as it important to
consider defining the changes as well as considering employee point of view. It allows individual
to see requirement change as for themselves and influence how it is made, make resistance more
likely. While implementing the changes in Tesco it is important to consider the employee view
and feedback. For decreasing the negative aspect the changes should be clear in working culture
and clearly described about what kind of change is being implemented.
Sainsbury's
By McKinsey 7 model which make one of the most complex model but complexity is
necessary for while implementing change if expansion. The seven elements describe how they
affect each other to identify the weakness. Strategy, structure, system , shared value , style , staff,
skill are the seven elements where strategy, system and structure are considered as hard
elements. For Sainsbury while expanding the sources this model is useful to carry out the
negative aspect in organization and how they can be addressed. Thus, seven elements serve as
guide to keep the process of change in balance and navigating the implementation of required
change (Walker, 2021). Also, ensures the individual has ability to cover responsibility.

LO3
Different barriers to change
Lewin's model of change introduced by Kurt Lewin in regard to the three aspects which
breaks the change in more suitable terms such as Unfreeze, change , Refreeze. It is for preparing
the desired change (Bohman, 2019), implementing the desired change and solidifying those
desired changes. In the organization unfreezing the current process and analysing the ways to
improve so people affected by it can realize the need of change. Once the change are deployed as
per employee feedback the solidify and refreeze will act accordingly. In similar manner Tesco
follow the changing methods for fulfil the demands of both consumer and working people in the
organization. The real world example they are implementing in service is click to collect and
colleague privileged card so the changes are beneficial for both internal and external aspects.
In regard with same Sainsbury focus on implementing the change in their culture and
engaging in better service to their customers. They enhance their decisions to conclude better
outcomes and provide competitive advantage. With the real world examples of the organization
the change is highlighted in expanding their delivery service to 50 percent. Apart from this it
aims to make change in their menu and introduce as the healthy food products in affordable price
for customers.
Resisting forces and driving forces
Driving forces are seeking change, resisting or restraining forces are which seeks to
maintain the status quo. The aim of driving force is to achieve the balance of power and
resisting aims to control the status quo while driving forces desire to change. By Kurt Lewin
field analysis models describes the method of investigating the balance of power, identifying the
key players included in decision-making, who is for and against for change and ways to
influence them against change (Saia, 2022). Changes in organization are bit complex where
driving force seek the attention to change and resisting force seeks to manage the status quo. In
both the organization the aim of driving force is to enhance the balance of power. Forces of
driving and resisting is mix of people, habit, attitudes and customs. On the basis of their
strengths driving force will rank at 3 out of 5, resisting force would be 5 out of 5. Resisting
forces are stronger than the driving force as it maintain the status quo. The resisting force will
manage the change circumstances and perform better outcome as compare to driving force.
Ways from which organization can reduce resistance force or barriers

The change management decisions are normally made at C-level in which it is important
to have rest of employee to buy the changes. In both the organization, it is difficult for employee
to manage and upsetting, whereas moving to the successful transformation it is useful to consider
various perceptions of such changes. While focusing on the internal aspect both organization
should compile with internal forces too. It is important to manage the working culture and
employee to work more efficiently and increase the performance to get the business objectives.
Their performance reflects on the various aspects as well as barriers can be reduced focusing on
the stability of the organization. The various ways of reducing the resistance force in Tesco and
Sainsbury are. Communicating and education – the common issues which forms are related with fear
of misunderstanding why change is needed. People will accept the change when they
observe the risk of doing is nothing is higher from risk of changing the directions. Participation – when people are didn't consult and change is forced they are possible to
be more resistance and especially it is the case if they believe their job would be at risk.
The collaborative effort will interact people in change and identify the potential issue and
solutions. Whereas people will least interested to resist change which they helped to form
(Waring and et.al., 2022).
 Support – they need support for enabling new skills which is to be developed and makes
sure that change burnout do not become the reality. Support requires manager for
enhancing their emotional ability and connect with people.
 Agreement – resistance to change is solid in the circumstances when people feel they are
being affected negatively by such consequences. To conflict with this type of change to
resistance, company must concern by offering incentives. Such offering includes benefits,
extra pay or organized career plans, those strategies require negotiation to scope
agreement. The disadvantage of such agreements can be expensive as well as do not
assure engagement with change.
Organization achieving objectives with reducing barriers
Communication is critical for success of organization, whereas many of them are
struggling to grow as they don't have the good structure in communication place. The
management must understand the value of communication and integrate the strategies to the
organization to deal with barriers of communications. Addressing the barriers to communication

is not easy but it can be done truly with right interventions which includes analysing the
situation. Organization can achieve the objectives and reduce the barriers as well as implement
change smoothly by the following methods (Mihaljević, 2019). Building culture of listening – In competitive business culture each one want to come
with new ideas, but the success will be possible in ways when everyone has equal chance
of being heard. Making communication necessary – the communication plays important role between
employee and its essential to communicate in organization. It should be essential
component, while having meetings for events may not be required buy there are other
methods in which communicate should be facilitated. Encouraging conflict resolution – the one of the best ways of tackling the problems in
direct manner. For instance if barriers are caused by the individual personal problems or
lack of communication skill. It rises the issue between two or more employee where they
can't find solution. Conflict resolution as well as open door policy among employee and
management may go long away.
 Uniting the vision – by ensuring that everyone is on board with organizational culture,
set of values, attitudes, norms as well as beliefs shared by organization with individual
gets everyone on same page. Thus, this culture will support employee to communicate
easily with each other and also with external stakeholders.
LO4
Intended change in the organization
Tesco has adopted various changes in its organization in order to improve their
sustainability in the industry. These steps may be taken by the company for reducing the negative
impact of various internal and external factors on the organization. The click & collect service
will be introduced by the business in their organization for providing online ordering facility to
the customers. This service may be useful for the business to increase their market share in the
industry as the customers may highly prefer online ordering rather than visiting the stores in the
current scenario (Vieira and et.al., 2018). The pandemic has made various changes in the
approach for the customers towards buying their products and has increased their interest ion the
online platforms offered by the companies. This new feature of the business may be beneficial

for Tesco in order to gain better recognition among the customers and improve its stability in the
market.
The colleague privilege cart is another advanced service which is launched by Tesco in
their organization which may have a positive impact to organize the employees and increase their
motivation levels towards the business. This feature aims at managing the reward and appraisals
given to the employees in the basis of their contribution towards the company which may be
useful for an appropriate disbursement of the benefits to the employees.
Sainsbury's may look forward towards expanding their delivery service which is an
intended change on the organization (Clearfield, 2022). This change may be helpful for the
organization to cater a wider audience and increase the market share of the business in the
industry. With the help of this change the business may be able to increase their stability in the
market and increase its chances to achieve growth in the competitive environment.
Drivers for the change and how it will help the company
There are several internal and external factors which may be responsible for the change in
the organizations and may have a deep on their decision-making process. The factors such as the
business environment which may have dynamic changes in their structure due to instability. This
area is a significant driver of change for the organization which have a major influence over the
decision-making ability for the business to make effective change in their organization. The
requirements of the marketplace are crucial for the business for their success which is useful in
order to interpret the needs of the market and prepare effective strategies according to the
environment (Coruzzi, 2020). Behaviour of employees towards the business is another driver for
the organization which is helpful in executing the change effectively. With the help of these
changes the business may be able to improve their market image and increaser opportunities of
growth for the business. The changes made by the businesses in their organization may be useful
for them to increase the productivity and achieve a better quality of output in the industry,.
These aspects of the business are beneficial for the organization to increase their operational
capability and provide better products and services to the customers.

Model used to implement the change
The Kurt Lewin's Change management model is used by the business to make effective
changes in their business environment. This model explains that change is complicated for an
organization to successfully implement which may involve several stages of transitions before
achieving the final stage of equilibrium. These stages are as follows:
Unfreezing
This is the first step of change management where the willingness of the key stakeholders
of the organization is analysed for successfully implementing the change. It considered spreading
awareness about the benefits of the changes among the people in order to gain better advantage
in the industry. There are different factors that may be analysed by the management for
motivating people to accept the changes that are made by the organization for the future benefit
of the overall business (Edmonstone, 2021). This may be useful for increasing the satisfaction
levels of people towards the changes made by the business for the benefit of the overall
organization. Effective communication plays a vital role in the steps as it is helpful in
establishing better relationships with the stakeholders and increase their interest towards the
decision made by the management for the productivity of the business in the market.
Change
This stage is regarded as the stage of transition where the changes are being implemented
in the organization. Under this step, the management may focus upon different ways for the
successful implementation of the change in the current organization. The acceptance for new
techniques to conduct things may be included under this step where the people are able to make
the effective changes for developing their overall business framework. The people are unfrozen
in this change in order to successfully implement the change ion the organization. Careful
planning, appropriate communication and encouraging the engagement of individuals is
important for the business. These aspects are beneficial for the organizations in order to increase
the development of their change and increase the growth opportunities of the business in the
industry. This stage is considered as difficulty as there may be many uncertainties which may
arise in successfully implementing the changes in the organization.
Freeze

It is the last stage in the process which may explain the organization may achieve
equilibrium by persuading all the stakeholders appropriately. Under this stage people accept the
changes that are implemented in the organization and establish new and stronger relationships
within the organization (Heinz and Fleming, 2019). These skills are beneficial for the
organization to experience changes in the behaviour of employees towards the new and effective
changes which are made for the improvement of the business. It may be useful in increasing the
acceptance of the members of the organizations and improve their interest towards the business
practices.
The changes will be successfully implemented with the help of this model and there are
different factors which may be met by the business with the help of this theory which may have a
positive impact in increasing awareness of the business towards the development of the changes
that are made in the organization (Nelson-Brantley and et.al., 2018). These changes are helpful
for the business to gain better recognition in the industry and increase its developmental
opportunities.
CONCLUSION
According to the above report it has been concluded that the companies have been able to
prepare effective strategies by analysing the internal and external environment appropriately.
These strategies have been able to provide better assistance to the business for reducing the
negative impact of the these factors on the productivity of their business. The businesses have
been able to make effective changes in the organization due to the drivers of change which has
been beneficial for them to improve their overall profitability in the industry. These appropriate
changes have been useful for the business to gain the competitive advantage in the industry.
With the help of these changes the business have been benefited and has been able to
manage their operations successfully. The leadership approach for the business has been
appropriate for creating a better impact on the sustainability for the business. The organizations
have reduced the negative impact of these barriers with the help of the changes that have been
proved to be effective for the businesses. These changes have been positive for the organization
to improve their stability ion the competitive market and introduce better practices for their
overall development.

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