Analysis of Cultural Diversity's Impact on Tesco's Performance

This research project investigates the impact of cultural diversity on the performance of Tesco, a multinational retailer. The study explores the concept of cultural diversity, its benefits to organizations, and specifically analyzes its influence on Tesco. It identifies issues related to cultural diversity within Tesco, such as language barriers and conflicts, and uses the Hofstede model to understand cultural dimensions. The research employs a mixed-methods approach, including literature reviews, questionnaires, and interviews, with thematic analysis for data analysis. The findings examine the positive and negative impacts of diversity, the challenges faced, and proposes recommendations for Tesco to overcome cultural diversity issues, such as diversity training and accommodating cultural differences. The report concludes with reflections on the research methodology and suggestions for alternative approaches.

RESEARCH
PROJECT

EXECUTIVE SUMMARY
Present research considered the area of cultural diversity on performance of an organisation;
A study on Tesco. The cultural diversity is related to involving the people of different culture at
workplace. Aim and objective in this research developed on the cultural diversity area. In
conducting the literature review part, there have been secondary sources used such as books,
articles, magazines and journals. In research methodology, there have been different tools
involved such as research philosophy, approaches, strategies, data collection method, analysis
tools and others. There has been questionnaire and interview conducted for collection of data.
Thematic analysis tool has been has been used for analysis of data effectively.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................1
Background of Research.........................................................................................................1
Rationale of Research.............................................................................................................1
Research Aim.........................................................................................................................2
Research Objectives...............................................................................................................2
Research Questions................................................................................................................2
LITERATURE REVIEW................................................................................................................3
Cultural diversity and its benefits to organisation..................................................................3
Cultural diversity impact on Tesco performance...................................................................3
Issues faced by Tesco concerned with cultural diversity.......................................................4
Ways through which Tesco can overcome from cultural diversity issues.............................5
RESEARCH METHODOLOGY.....................................................................................................7
Research philosophy...............................................................................................................7
Research approaches..............................................................................................................7
Research strategies.................................................................................................................7
Research Choice.....................................................................................................................7
Time horizon..........................................................................................................................8
Data collection methods.........................................................................................................8
Data Analysis..........................................................................................................................8
Sampling.................................................................................................................................8
Cost, Access and Ethical Consideration...............................................................................11
DATA ANALYSIS........................................................................................................................12
RESEARCH OUTCOMES............................................................................................................21
CONCLUSION AND RECOMMENDATIONS..........................................................................23

Conclusion............................................................................................................................23
Recommendations................................................................................................................23
REFLECTION & RECOMMENDATION FOR ALTERNATIVE RESEARCH
METHODOLOGY........................................................................................................................24
Reflection.............................................................................................................................24
Alternative research methodology........................................................................................24
REFERENCES..............................................................................................................................26
APPENDIX....................................................................................................................................40

TOPIC: Managing cultural diversity in the workplace.
Title: To examine impact of the cultural diversity on performance of an organisation; A
study on Tesco.
INTRODUCTION
Background of Research
Cultural diversity refers to quality of the different cultures as opposed to the monoculture,
akin to the cultural decay and global monoculture. It is related to having various cultures that
respect differences of each other. The cultural diversity is mainly used to explain several cultures
which co- existing with larger culture. In context to cultural diversity, the business provides a
wide range of expertise and experience to support its customers internationally, as the company
is able to better and even better communicate and understand its customers. Workplace diversity
is important to employers, as it creates a positive image for the company, resulting in improved
revenues and incentives for employers. Tesco is a multinational retailer and it conducts its
operations in several countries. In Tesco Company, there is a gender and racism basis issues. In
this company decision of work distribution is on the basis of racism or gender basis. It is main
reason that weak down strategy execution process related to diversity management (Ferdman,
and Deane, 2014). Tesco is committed to developing truly inclusive environment where each
employee is to be welcomed and also feels to themselves regardless of ethnic, colour, race,
gender, age etc. The Tesco PLC board completely commits to developing and promoting our
workplace networks and training on the value of equality, in an increasingly diverse market in
which all employees should be given equal opportunities through recruitment, education and
growth.
Rationale of Research
The reason behind conducting this investigation is to get the knowledge regarding the
cultural diversity. In this, the people belong to different culture works together for attaining the
specific objectives. The cultural diversity is beneficial for company and also develops the
negative impact. Under this, learner conducts an investigation from the personal and professional
context. In personal way, present research is helpful in enhancing the knowledge and skill base
of a learner about the cultural diversity (Ravazzani, 2016). Researchers may develop their
expertise in their professional context and learn how to perform research in a structured manner

to overcome challenges in the future. In an organization there are growing ethnic groups.
Through undertaking this study, learner will resolve all forms of challenges and issues and
produce successful outcomes in the future.
Research Aim
The main aim of Tesco research is to examine impact of the cultural diversity on
performance of an organisation. A study on Tesco that is located in Welwyn Garden City,
Hertfordshire, England, United Kingdom.
Research Objectives
 To understand cultural diversity concept and its benefits to organisation.
 To analyse impact of cultural diversity on performance of Tesco.
 To identify the issues arising related to cultural diversity in Tesco.
 To recommend ways through which Tesco can overcome from cultural diversity issues.
Research Questions
 What is the concept of culture diversity and its advantages?
 What is the influence of cultural diversity on Tesco performance?
 What are the various complexities faced through Tesco organisation related to cultural
diversity?
 What are the ways by which Tesco can able to resolve the cultural diversity complexities?

LITERATURE REVIEW
Cultural diversity and its benefits to organisation
According to Dr. Lisa D. Belfield (2020), Cultural diversity is an existence of many
subcultures and various value systems in multicultural society. This is an inclusion of the diverse
people in group or company. Economic globalization has been one of the guiding forces of
organizational cultural diversity. Modern workforce consists of citizens of various races, ages,
genders, beliefs and nationalities. Employers also recognized the diversity in workers benefits
both financially and immaterially. To support workers, organizations must demonstrate their
commitment to the issues faced by different employees in order to support from cultural diversity
in the workplace. The benefit of cultural diversity to company is that it helps in identify and
respect way of being so that employees can be interact with the each other and develop bridges
to respect, trust and also understanding across the culture. Other than this, there are different
benefits of cultural diversity to organisation given below:
Enhanced creativity- People of different backgrounds tend to experience differences and
therefore have different perspectives. Exposure to a variety of views leads to greater creativity to
an organisation (Joubert, 2017).
Minimize employee turnover- Tesco with diversified staff have specific individual
characteristics and viewpoints more inclusive (Roberson, 2019). Diversity and organizational
inclusion contribute to recognition and respect of all workers. Once workers are embraced and
respected, they are gladder at work and remain with a Tesco organization for longer. It leads to
lower turnover rates for businesses with greater diversity at their workplace.
Equality and Diversity policy of Tesco stated that this company committed to developing
inclusive working environment where everyone welcome regardless of religion, national origin,
sexuality, disability etc. Tesco is committed to developing workplace where the differences are
values and assure that all the colleagues provided similar opportunities. Its main focus is on
maintaining positive working environment under which no colleagues feel intimidation due to
protected characterises (Equal Opportunities and Diversity Policy - Our Tesco, 2020).
Cultural diversity impact on Tesco performance
As per opinion of Michelle Seidel (2020) Cultural diversity develops negative as well as
positive impact on business. Cultural diversity impact business in several ways consisting

recruitment to staff, management styles and also process of decision making. The cultural
diversity develops positive and negative impact on performance of Tesco organisation. The
positive impact of cultural diversity in Tesco business is that it improves and also develops the
workplace through helping as the learning experiences for managers and staff members both. A
positive impact of cultural diversity at work is that workers from various backgrounds typically
have diverse mindsets and thus can examine a matter from a range of viewpoints. Employees
from various backgrounds learn differently and it can be useful to give the client a strong and
comprehensive knowledge base.
On the other hand, negative impact is that workplace is enhanced organisational personnel
tendency to be indulged into interpersonal conflicts. The cultural diversity enhance unresolved
conflict at workplace (Ozgen, Nijkamp and Poot, 2017). Greater workplace differences create
more potential for employee conflict. People from different cultural backgrounds have different
views on how to deal with problems or concerns. Unable to see the origins of the other individual
will prevent successful conflict resolution.
Issues faced by Tesco concerned with cultural diversity
As per opinion of Robert Vaux (2020), Cultural diversity in Tesco company arises some
issues. The issues can be arising due to education differences, disability and working styles.
From the cultural diversity, many different issues can be arising such as language barriers,
Attitudes towards Deadlines, arise conflicts and many others. Hofstede model is framework for
the cross cultural communication and shows impact of culture of society on value of members
and in what manner these values are related to the behaviour. Under this, different dimensions of
Hofstede model are given below related to culture:
Power distance- It expresses degree to which less powerful employees accept and except
that the power is to be distributes unequally. Under this, there is a issue related to Tesco handles
inequalities between staff members (Ferdman and Sagiv, 2012).
Individualisam- This dimension is related to importance of individual versus the group
interests. There are individualism and collectivism two different sites. collectivism is explained
as preference for tightly knit social structure under which person can expect members of specific
group in exchange for the unquestioning loyalty. On the other hand, individualism is loosely knit
social framework under which people are expected to take care only the closed ones.

Masculinity- It is related to values which considered as necessary at workplace. It
represents preferences in society for attaining, assertiveness and materials for the success (Trax,
Brunow and Suedekum, 2015).
Uncertainty avoidance- This dimension expresses degree to which members of Tesco
company feel uncomfortable and ambiguity. It maintains rigid code of behaviour and belief.
Time orientation- Under this, company has to maintain the links with past while dealing
with issue of resent and future. The main focus of Tesco is to develop long tern relationship with
staff members. Employees who notice long term investment feel attached to firm (Hofhuis, van
der Zee and Otten, 2015).
Indulge- It is an extent to which the people try to control impulses and desires. It
characterise openness of culture to accepting enjoyments gratification and also having the
enjoyment in doing work.
Ways through which Tesco can overcome from cultural diversity issues
According to CHANTAL BECHERVAISE (2018), Organisation continue to grow the
operations in various countries and require making the workplaces more. To conducting the
business in different countries, there are some issues arise from the cultural diversity. To
overcome from the issue, Tesco should adopt the different ways like ensure clear
communication, work towards accommodating the cultural difference, sharing knowledge and
others. It helps in conducting the business operations effectively and enhances organisational
objectives. Other than this, there are different ways to overcome from the cultural diversity
issues given below:
Provide diversity training- The integration into the workforce of people of diverse cultural
backgrounds is another way to resolve cultural barriers. Diversity training may potentially foster
an inclusive working culture, encourage collaboration and leadership, generate new opportunities
and thereby develop a positive culture of work. This training allows workers to recognize and
accept the cultural differences of their peers and peers (Mateescu, 2017).
Work towards accommodating cultural differences- The mentalities make extremely
rapid judgments and interpretations of individuals and circumstances without understanding tacit
or explicit biases. Unconscious bias is accepted as the only way to handle cultural disparity
(Rawat and Basergekar, 2016). A person can tolerate the cultural difference by being receptive to

various cultures and an organisation, by recognizing, for instance, different religious traditions or
supporting cultural celebrations.

RESEARCH METHODOLOGY
In research methodology part, research onion has been used. It is explaining the
methodology for study by consisting different layers. Saunders Research onion illustrates stages
included in development of research work that created though Saunders et al, (2007). The layers
of research onion provide detailed description of different stages of research process. Various
layers in research onion framework are given below:
Research philosophy
In present research, interpretivism philosophy has been used because it helps in interpret
people to see actions and understand the participation of respondents (Lambert, 2016).
Research approaches
In given research, inductive research approach has been used because investigator will be
accumulating information and also develop theory to analyse data (Foblets and Alidadi, 2016).
It covers the strategy and the mechanism involving more generally planned steps
concerning systematic methods of data collection, measurement and interpretation. Inductive and
deductive are different research approaches. Both are helpful in conducting an investigation
effectively.
Research strategies
Under this, survey and interview has been used because it is ecomical in nature and able to
gather the more data arising from research questions (Martin, 2014).
The research strategy is an action plan, step by step, which gives direction to research effort and
thinking and allows for a systematic investigation to improve the quality of results and the
accurate reporting. It explains how to conduct research work. It consist various approaches such
as action research, survey, case study and others (Hofhuis, van der Zee and Otten, 2015).
Research Choice
Quantitative and Qualitative both are useful in conducting the investigation in significant
way. Among both methods, qualitative research method is more effective because it provides
way to conduct investigation and collect data in detailed manner (Guerin and Green, 2016).

Time horizon
In conducting present investigation, cross sectional has been used because this helps in
conduct an investigation within particular time period (Rice, 2015).
Data collection methods
There has been questionnaire and interview both method of primary data collection used.
With the help of these methods, researcher can easily analyse the opinions of chosen respondents
regarding the cultural diversity and its impact on organisational performance (Ha, and Beyerlein,
2016).
Data Analysis
In this, researcher analyse the data that mainly collected from using the primary method. In
order to analyse the data, there has been thematic analysis method used and researcher make
interpretation of collected data for better analysis (Lambert, 2016).
Sampling
In the present investigation, there has been random sampling method used as it is a main
part of probabilistic sampling method. With the help of using random sampling method, there are
35 respondents has been selected (Kulkarni, Boehm and Basu, 2016). The main reason behind
using this method is that it provides the equal chance to the chosen respondents.
TIMELINE AND ACTIVITIES
Activities Time Duration
Brainstorming Issues 5-8 Days
Mind mapping Activities 6 Days
Research on various themes and topics 11-15 Days
Formulated title, aim and objectives 7 Days
Supervisor feedback 1 Day
Review literature 17-20 Days
Completed research ethics form 10-15 Days
Submitted proposal 1 Day
Developing questionnaire 9 Days