Leadership & Management Skills Development at TESCO: An Analysis

This report evaluates the impact of leadership on management performance at TESCO, examining how transactional theory supports management in building successful leaders. It explores how behavioral management theory enhances overall management performance and discusses key performance metrics used by TESCO. The report also highlights the use of democratic leadership to ensure optimal performance relative to management, providing a comprehensive analysis of leadership and management practices within the organization.

Developing Leadership
and Management Skills

Executive Summary:
The report give below effectively evaluates and analyses the impact of optimal leadership
relative to the performance of management. The report was able to determine that how
transactional theory of at TESCO is able to provide assistance to the management in establishing
successful leaders within the company. Moreover, how the behavioural management theory
allow the management at TESCO to be effective in improving its overall management
performance. The report also consist of the various key performance metrics that are utilized by
the company and how they help them evaluate their performance. In addition to it is discussed
how the company utilizes the democratic leadership in its organisation to have proper leadership
and ensure optimal performance relative to their management.

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................5
Analysing and comparison of leadership and management........................................................5
Key performance metrics of organizational ...............................................................................9
Organizational leadership and management performance........................................................10
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Managing is a concept of critically planning, organising, staffing, directing, controlling,
coordinating, motivating and developing organisation's human resource, finances and other
resources to achieve organisational objective effectively and efficiently. Management is
important for an company because it helps in achieving predetermined group goals related to
production, assembly, organisation and integration of resources in utmost effective and efficient
manner. Management also requires good leadership skills. It is a quality of an individual to
motivate and influence people in a way that they all work together to achieve certain objective.
For an organisation management is like brain that simulates activities of business and factors
affecting working of an organisation. It is very important for an organisation, group or society to
have managers with leadership qualities such as, influential personality, knowledgeable, liable,
honesty and works cordially. TESCO is a global public limited supermarket headquartered in the
capital of England UK, established in the year 1919. This supermarket is among the worlds'
largest retail shops with approximately 7,000 shops that prevails in 12 countries. To better
understand the viability of developing and creating leadership and management skills, an
analysis through this report is prepared to help the company to grow internally. In the following
report paper a critical evaluation of various theories and models of management and leadership
are outlined in context to a company. Moreover, in this report comparative analysis of leadership
and management is explained. Further, organisational sector activities are elaborated that plays
as key to improve organisational performance. At the end, it is explained about how management
performance and leadership affects organisation's working.

MAIN BODY
Analysing and comparison of leadership and management
Leadership and management direly linked with each other and are often considers
synonymous. It is crucial for an organisation to understand that leadership is a vital aspect for an
effective management. Leadership helps to build and structure environment within a business
that allows for the application of effective management (Fairhurst and et. al., 2020). In context of
TESCO, the management consist of various leaders at different levels of the business that
motivate ad direct their subordinates in order to have effective management of resources,
employees and overall operations. In order to better understand the concept of leadership and
management, some theories are mentioned below along with their comparison:
Various leadership theories:
Leadership theories focus on the overall qualities of a good leader. These leadership
theories have developed through psychologist analysis in order to determine and discover
qualities and behaviour patters of a good leader (Daft and Marcic, 2019). Given below are
various leadership theories:
The great man theory:
This leadership theory states that leaders are born and not developed and focuses on the
concept of leadership being an inherent quality. These types of leaders are naturally intelligent,
confident and have good intuition.
The trait theory:
This theory refers to the concept of certain natural qualities help in develop of good
leader. These qualities do not necessarily refers that someone has strong leadership skills,
however these qualities are primarily found is effective leaders.
The transactional theory:
This theory is also refereed as “the management theory” and focuses on the overall
system of rewards and penalties. Leaders in this theory view leadership as result-focused and
hierarchical and focus on order and structure rather than creativity.
The transformational theory:
This theory is also called “the relationship theory” and pays emphasis on effective
leadership by establishing positive relationship between leaders and team members. These

leaders focus on motivation and inspiring their subordinates in order to achieve maximum
performance and effective management (Gabryelczyk and Roztocki, 2018).
The management at TESOC focus on utilizing the transformation theory as it enables
leaders within the business to effective manage employees. The theory provides assistance to
management in establishing a positive relation with their employees resulting in higher-level of
performance in business operations along with effective management of resources.
Management theories:
The management theories refer to collection of ideas and overall recommendation
relative to general rules that an assistance an organization to better manage its operations. These
theories address how higher authorise can implement strategies in order to achieve organizational
goals and objective along with keep their employee motivated for improved business
performance (Gray, 2019). Given below are few management theories:
Bureaucratic theory:
This management theory states that it is crucial for an organization to have a structured
and inflexible hierarchy within its organization along with strict rules and procedures to have
effective management. It focuses on clear authority relative to employee and operation for the
management to be structured and high-performing.
Scientific management theory:
This management theory pays emphasis on systematic analysis and synthesizing the
workflow in an organisation for it to have effective and optimal management. The primary goal
of this theory is to improve performance and employees productivity.
Behavioural management theory:
This theory focuses on the overall of objective of addressing the human aspect of the
organization for effective management. This theory revolves around the belied that effective
understanding of human behaviour at work, such as motivation, conflict and expectation. This
helps a business to develop optimal strategies that can introduce high performance relative to
their management (Gurr, Drysdale and Goode, 2020).
The company TESCO utilizes the behavioural management theory within its organization
in order to develop positive relation with its employees. This allows the company to have

effective and efficiently in its management which allows it to have high-perform and
productivity relative the business operations.
Comparison of leadership and management :
Comparison of Bureaucratic management and Transformational leadership theory
Basis Bureaucratic management
theory
Transformational leadership
theory
Style High level of authority along
with strict rule and regulation
to develop effective
management in the
organisation.
The leaders focus on
understanding their
subordinates and focus less on
rules in order to keep
employees motived for high-
perform in their work.
Orientation Task and goal oriented People oriented
Focus The focus of this management
theory is to have authority
within the business in order to
develop optimal management.
The focus of this leadership
theory is to develop better
relations with employee which
can help in high performance
and better management.
Outcome The management theory
focuses on the outcome of
effective management through
rules.
The leadership theory focuses
on the outcome to develop
effective human relation for
high productivity.
Comparison of Scientific management and Trait leadership theory
Basis Scientific management theory Trait leadership theory
Style This theory focuses on the
style of utilizing scientific
approaches to develop
effective management.
This leadership theory
focuses on having some
essential traits in order to
become a successful leader.

Orientation It is goal oriented by utilizing
scientific techniques.
Oriented towards using
acquired skills to effective lead
subordinates.
Focus It focuses on implementing set
strategies and techniques to
introduce and develop
effective management within a
business.
This leadership theory is
focuses on using certain skills
that a leader has to better
management employees.
Outcome The outcome of this
management theory is to
develop a structured
management that revolves
around scientific research.
The outcome of this
leadership is uncertain as
having some skills doesn't to
guarantee successful
leadership.
Comparison of Behavioural management and The great man leadership theory
Basis Behavioural management
theory
The great man leadership
theory
Style This management theory pays
emphasis on developing
positive human relations with
employees in order to have
effective management within
an organization.
This leadership theory focuses
on having inherited trait in
order to be a successful leader.
Orientation This theory is human relation
oriented.
Leaders oriented
Focus It focuses on ensuring all
human resources of the
organization are well managed
in order to have optimal
It focuses on leading
individuals through natural
traits for optimal performance.

management within the
business.
Outcome The management theory
focuses on the outcome of
having an effective and
structured management
through motivated employees,
The outcome of this leadership
theory is to have natural born
traits that enable a leader to
effective lead subordinates.
Key performance metrics of organizational
The key performance metrics or indicators refer to the quantifiable measurement of
performance overtime for a specific objective within an organization. These provide goals and
objective for a a business as well as enable the organisation to set suitable benchmark to maintain
specific standards (Harrison and Leitch. eds., 2018). In context to TESCO, the management
focus of periodically evaluation of the key performance metric as it allows they to analyses their
current performance with the set benchmarks. Moreover, it allows the company to identity gapes
in its performance relative to business operation in order to develop suitable strategies. Given
below are the key performance indicators of TESCO:
Revenue per customer:
This key performance metric allow the management at TESCO to understand the overall
revenue they receive form a customer. This allows the business to effectively monitor their
performance relative to sales of its products and service (Howieson, 2019). Moreover, the
decline in this key performance metric allows the company to develop suitable strategies to keep
its overall revenue per customer high.
Employee attendance rate:
The employee attendance rat key performance metric enables the management and
leaders at TESCO, to effectively identity any form of decline in the presence of employee at the
workplace. The key performance metric allow the management to analyse and observe its
employee relative to their attendance for work. If the management observes decline in employee
attendances the manages at TESCO focus on altering their management along with leadership
style to encounter the situation effectively.

Customer retention rate:
This key performance metric allows the management at TESCO to evaluate its overall
customer retention rate. It enables them to understand how customers are interacting with their
brand and at what scale. The management at TESCO is able to deal with decline its customer
retention by focusing on developing new management strategies which will not only enable them
to retain their customers by enhance their performance as well.
Profit Margin:
The management at TESCO utilize the profit margin key performance indicator top
measure and analyse their performance relative to their profitability. This key performance
metric allows the company to evaluate how they are performing in the market relative to their
competitors and their own set benchmark (Huntington, Gordon and Plamping, 2018). The
decline in this key performance metric forces the management at TESCO to modify its overall
management to ensure profitability is maintained.
Organizational leadership and management performance
It is crucial of an organisation to have an effective leadership within its operation as a
good leader offer an organisation the ability be have optimal management along with high-
perform In its business operations. Moreover, the performance of a leader is directly liked with
the overall performance of the management as well (Lüscher, 2018). In context of these they
focus on introducing and implementing a suitable leadership style within their organisation
which will provide them assistance in keeping the management process functions optimal as
well as enhance the performance of the business. Given below are various leadership styles along
with impact of leadership on the performance of management in context to TESCO:
Types of leadership style:
Autocratic:
The leaders that utilizes this form of leadership style focus on being the only authority to
provide instruction on to their subordinates. This is a command-and-control approach and is not
appropriate in a flexible organisation.
Pacesetter:

The leaders in this style focus on driven leadership where certain pace is set by the
leaders and emphasis is paid on motivating employee to keep up the select pace in order to
achieve high-perform in achieving goals and objectives.
Democratic:
The leaders that focus on following this leadership style are open with their employee
relative to decision making process and understand employee opinions. This allows the leader to
make effective decision for the management along with employee engagement and cooperation.
Coaching:
The leaders in this form of leadership style focus on solving both personal and profession
issues of their employees. Moreover the leaders sympathise whit issues employee encounter and
come up with suitable solution to correct them. This allows the leader to motivate their
employees which results in better business management along with high-perform in operations
(Ladkin, 2020).
The management and leaders at TESCO focus on utilizing democratic leadership style as
it allows them to build a positive relationship with their employees. This allows them to keep the
performance of they business high and enable the management to keep the structure of overall
business management effective.
Impact of leadership on management performance:
Analysing performance:
The effective leadership at TESCO all the management to analyse its performance in an
optimal manner by utilizing various KPIs. Moreover, the leaders are able to give valuable insight
relative to employees performance and business functions.
Effective communication:
The management at TESCO is able to keep its management performance high due to
effective communication as a result of proper leadership. This optimal communication alls the
management to translate the goals and objective its want to achieve to its employees (Padron and
Stone, 2019).
Innovation:
The effective performance of the leaders at TESCO enable them to promote innovation
within the organisation. This allows the management to improve its overall management
performance which results is growth and success in achieving business goals and objective.

Motivating employees:
The effective and proper performing leadership allows the management at TESCO to
motivates their employees effectively. This enables the management to have a positive
relationship with their employees, resulting in high-performance of management.
Mission and vision:
The leaders at TESCO are able to effectively motive their subordinates to work towards
the established mission and vision statement of the organisation. This allows the business to have
a optimal management which is structure and organized.
Achieving goals and objectives:
The management at TESCO is able to achieve its both short-term and long-term goals
effectively through proper performing leadership. This allows the company to have a proper
management in place and ensure that the organisation is moving towards success and growth
(Sangwa and Sangwan, 2018).
CONCLUSION
From the above report it had been concluded that there are various types of leadership
skills and management theories that an organisation develops to carry out its activities effectively
and efficiently. It had also been determined that why an organisation needs management and
leadership to carry its business operations. Leadership is a vital management function that
improves use of organisational resources for improving efficiency in achievement of
organisational goal. Optimised leadership provide clarity of actions, purpose, motive, guidance
and realisation of long term goals. It had been understood that, effective and efficient
management practices are crucial to an organisation's boon in its activities, whereas improper
management leads to complete failure. There are many ways by which leadership affects
organisation's management, with qualities of a good leader, management is able to perform its
activities in optimum ways. There had been an assessment of the impacts of leadership on
performance of an organisation in order to determine various theories of management and
leadership on professional environment. In addition to this, comparison of leadership and
management practices had been outlined along-with, key performance of organisation in
influencing social, political and cultural environment. At the end there had been a evaluation and
examination of how leadership affects overall activities of organisation. Leadership is a part of

management and every managers needs to posses these skills and values which helps to optimise
their relation to the employees working in an organisation.

REFERENCES
Books & Journals:
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Gray, D. E., 2019. Doing research in the business world. Sage.
Gurr, D., Drysdale, L. and Goode, H., 2020. Global research on principal leadership. In Oxford
Research Encyclopedia of Education.
Harrison, R. T. and Leitch, C. M. eds., 2018. Research handbook on entrepreneurship and
leadership. Edward Elgar Publishing.
Howieson, W. B., 2019. Leadership: The Current State of Play. Emerald Group Publishing.
Huntington, J., Gordon, P. and Plamping, D., 2018. Managing the Practice: whose business?.
CRC Press.
Ladkin, D., 2020. Rethinking leadership: A new look at old questions. Edward Elgar Publishing.
Lüscher, L. S., 2018. Managing Leadership Paradoxes. Routledge.
Padron, T. C. and Stone, M. J., 2019. Leadership skills in event management courses. Event
Management, 23(6). pp.927-937.
Sangwa, N. R. and Sangwan, K. S., 2018. Development of an integrated performance
measurement framework for lean organizations. Journal of Manufacturing Technology
Management.