Tesco Plc: Effective Management, Operations, and Leadership Analysis

This report provides an in-depth analysis of effective management and operations within Tesco Plc, a prominent British multinational retailer. It begins by defining operational management and highlighting its importance in enhancing productivity and reducing costs. The report then delves into the roles of leaders and managers within Tesco, examining their functions in various situational contexts, such as conflict resolution and change implementation. Different leadership theories and models, including situational, system, and contingent leadership, are discussed, along with their advantages and disadvantages. Key approaches to operations management, such as Total Quality Management (TQM), Six Sigma, and Lean Principles, are explored, with an emphasis on the roles of managers and leaders in their implementation. The report concludes by evaluating the impact of wider environmental factors on operational management and decision-making within Tesco, emphasizing the importance of these factors for the company's overall success. The report stresses the importance of effective operational management for achieving organizational goals, enhancing productivity, and improving profitability.

Effective management
and operations in a retail
store

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 2.................................................................................................................................................1
P2) Role of leader and function of manager in different situational context.........................1
P3) Different theories and models of approach......................................................................2
LO 3.................................................................................................................................................4
P4) Key approaches to operations management and role that managers and leaders play....4
P5) Importance and value of Operation management...........................................................5
LO 4.................................................................................................................................................6
P6) Impact of wider environmental factors on operation management and decision making6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
Operation management is associated with having efficient administration for all business
activities and practises in order to create a maximum and highest level of efficiency in business
operations (Boyd and Dougherty, 2016). Thus, operational management plays a vital role in
enhancing productivity of an orgnisation through leading efficiency in operation and ensuring
reduction in operational cost. This assignment is based on Effective management and operations
of a retail store thus, the selected orgnisation is Tesco Plc that is a well known British
multination retailer that is having its main headquarter in England UK. This report consist a
description of role of leader and function of manager in different situational context along with
different theories and models of leadership. Further, a description about key approaches to
operations management and the role that managers and leaders play in its implication is also
there along with discussion about its importance and value lead by operational management. At
last, an evaluation of impact lead by wider environmental factors on operation management and
decision making is also included in current report.
LO 2
P2) Role of leader and function of manager in different situational context
Both managers and leaders forms a vital part in success and ensuring smooth operation of
an orgnisation as they are the one who have the responsibility of managing, directing and
coordinating all employees and workforce to accomplish a set goals. In Tesco plc managers are
having a vital function of organising and coordinating all things while leaders are responsible for
directing and motivating employees (Ellitan, 2017). Following situation context are evaluated in
order to develop better understanding about the role of leader and function of manager in
meeting and accomplishing day to day operations of Tesco Plc:
Conflicts resolution- Occurrence of conflicts and clash of interest and view point is
common at workplace of an orgnisation as larger number of employees who are belonging to
different backgrounds work at a common place. Thus, role of leader and manager becomes more
vital to encounter such situation through use of management skills and leadership role. Tesco is a
big retailer orgnisation that is employing a large number of employees thus, rise of conflicts and
chaos among employees during day to day work is common (Eraki, 2015). Leaders of Tesco
plays a vital role in conflicts resolution through making efficient use of their problem solving
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skills to reach a mutual decision and agreement among the conflicted parties through leading a
mid way. On the other hand, managers of Tesco are having a vital function of leading systematic
bifurcation and division of role of responsibility among all employees through making use of
their analytical skills to ensure reduction in chaos and conflicts at workplace.
Implementation of change- In today’s worlds to face the high competition and to keep a
balance with dynamic environment, making timely changes and modification become a vital part
of all organisations. Implementation of changes is a complex activity that consist many task thus,
In Tesco plc managers are having an important function of leading effective planning, organising
resources and ensuring effective coordination among employees to ensures better and timely
implication of change with the help of their managerial skills (Fan, Liu and Zhang, 2015). Beside
this, leaders of Tesco also plays a vital role in implementation of change through making use of
their communication skills that plays a crucial role in motivating and directing employees for
better implication and adoption of change.
P3) Different theories and models of approach
Leadership is basically a process of motivating and directing employees in order to
influence them to perform a task or work in a more effective way. Thus, use of various
leadership theories and models of approaches are made by Leaders and managers of Tesco Plc to
ensure high motivation and performance level in its employees for timely accomplishment of
goals a description of which is provided below:
Situational Leadership theory
This theory emphasis on the leaders and managers who adopt different leadership style in
according to a prevailing situation and development level of their employees to ensure better
motivation and direction for them (Ma and Sun, 2012). Use of situational leadership style is
made by Leaders of Tesco to ensure significant level of flexibility in their working to easily get
fit and encounter a current situation in best possible way.
Advantages Disadvantages
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Lead to a more flexible and highly
spontaneous approach to get fit and modified
as per the current conditions to make best use
of a situation through leading effective
direction and motivation for employees.
Adoption of situational leadership style can
lead to confusion and chaos in the minds o
employees as no fixed or constant leadership
style is adopted by Leaders (Nayak, 2015).
System Leadership style
Use of system leadership style by managers and leaders of Tesco plc allows and
facilitates creation of a positive and efficient conditions at all level where employees can work
more productively and efficiently to best of their potential (Plesser and et. al., 2014). Use of
system leadership style ensures better balance between human behaviours and leadership
principles to create a model of goof leadership and efficient system design.
Advantage Disadvantage
Implication of system leadership lead to better
understanding about human behaviours thus,
makes it easy for leaders to coordinate
individuals interest with organisational gaol that
enhance efficiency and productivity of
employees.
It is not practical and viable for leaders to
judge and understanding the interest of all
employees and meeting expectations and
desired needs of all thus, lead to
dissatisfaction and chaos among employees
whose interest are not met by the leaders.
Contingent leadership
This leadership style emphasis on the fact that the success of a leadership style is
contingent not only on the skills of leaders but also depends on the understanding of current
situation (Simu and Lidelöw, 2019). Thus, it is a basically a twofold leadership style adopted by
managers and leaders of Tesco to match the skills and competencies of leaders effectively with
the current situation to lead better motivation and direction for employees to achieve desired
gaols in a best way.
Advantage Disadvantage
It lead to better planning and coordination of
leadership skill with prevailing conditions to
ensure more effective directions for employees
through preparation of proper leadership charts
This leadership approach needed a highly
skilled and knowledgeable leader to match its
competencies with prevailing situation
otherwise would not lead to good results
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and efficient planning to ensure a situation in
best possible way.
(Terwiesch, 2019).
LO 3
P4) Key approaches to operations management and role that managers and leaders play
Operation management is a branch that aims at maximizing profit of an orgnisation
through enhancing efficiency and performance level of its activities and operations. Thus, plays a
vital role and important for an orgnisation to enhance its profit margin and productivity along
with reduction in operational cost and expenditure (Tristancho and Gutiérrez, 2012). Use of a
wide range of tools and approaches are made by Tesco to have better operational management a
discussion of which are provided below along with evaluation of role lead by managers and
leaders for leading effective operations management:
Total quality management- This is a vital approach of operation management that reflects
a continual process of finding, detecting, reducing and eliminating the chances of error and
defects in manufacturing process, streamlining supply chain and other activities in order to lead a
improving experience for customers. Thus, TQM aim at reducing overall chances of error and
defects in business operation of Tesco through properly coordinating and streamlining its supply
chain and other functional unit (Wen-chao, Fan and Wen-wen, 2012). The success of TQM
depends on the level of efficiency of employees thus, the managers of Tesco lead a vital role in
accomplishment of TQM approach through ensuring timely training and learning programmes
for employees. Further, the leaders of Tesco also ensures better implication of TQM approach
through ensuring effective communication about philosophies and principles of this approach
with employees in order to reduce the chances of defects and error in operation of Tesco to
maximize there profit through leading better satisfaction level in customers with enhanced
efficiency and performance (Role of leadership in TQM: An Analysis, 2019).
Six Sigma- This approach of operation management is directly associated with
management of quality of products thus, lead to higher customers satisfaction and attract lager
number of target market to lead improvement in profit margin. Six Sigma is basically a
statistical-based approach that lead to continuous improvement and betterment in business
methodology and operations’ through eliminating defects in a product or process and ensures
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that only those goods and services should be made by Tesco that meet the expectation and
desires of customers to have more efficient business operations in right direction (Williams,
2015). Managers plays a vital role in implication of Six sigma approach through selecting a
viable and suitable business project and activities that are based on expectations and demands of
customers that enhance its quality and success level. Leaders of Tesco also lead a vital role in
success of six sigma approach through Recognizing and getting effective Employee
Participation in six sigma approach to ensure that all efforts and activities must be in one
direction that is satisfying needs and wants of customers through a quality and most desirable
product. Thus, mangers and leaders of Tesco plays a vital role in ensuring coordination of efforts
of all employees and activities to ensure better efficiency in business operations to enhance
profitability and performance of Tacos through implication of six sigma approach (XIANG,
Chen and Zhang, 2013).
Lean Principles- It is also a vital operational management tool that aim at reducing
wasteful activity and ensures effective planning to reduce operational cost and expenses. Use of
lean principles are made by managers and leaders of Tesco to have better understanding about
customers value and needs so that a profitable value stream could be identify that lead to
reduction in wasteful activities and pursuing perfection (Zijm and et. al., 2019). The managers
of Tesco plays a vital role in optimising and eliminating all unnecessary steps from its workflow
to ensure more efficiency in its operation along with reduction in cost and wasteful expenses.
Further, leaders of Tesco are having a responsibility to communicate about efficient business
operations for improving their skills and competencies in order to reduce amount of wastage in
operations in order to reduce overall operating cost of organisation.
P5) Importance and value of Operation management
Operation management plays a vital role in achieving organisational gaols and also
important for earning higher profit and reduction of operational cost. The main objective of
Tesco consist of having higher productivity and enhanced profit margin that could be only
achieved through efficient operation management (Boyd and Dougherty, 2016). The main value
and importance lead by Operation management in achieving objectives and desired goals of
Tesco plc is provided below:
Enhanced productivity and profitability- The foremost importance of operation
management is associated with betterment of productivity of as operation mangent lead to
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efficiency in business operations and activities that lead to enhanced productivity (Ellitan, 2017).
In context of Tesco it can be evaluated that use of TQM approach of operation management lead
to continuous improvement in operations and streamline supply chain and other activities to
ensure better and timely availability of products and resources at Tesco that is vital for improved
productivity and profitability of orgnisation.
Better quality product- The another value created by operation management for Tesco
consist of improvement in quality of product. Implication of six sigma approach of operations
management lead to supply and delivery of better quality product that meets the expectation and
desires of customers of Tesco. Thus, attract larger number of customers for better quality
product, therefore lead to improvement in profit margin of Tesco and also meet the objective of
enhanced target market (Eraki, 2015).
Reduction in operational cost- The implication of lean principles at Tesco Plc ensures
more effective planning and better management of activities to ensure reduction in wasteful
activities. Thus, it could be evaluated that operations management lead to more effective
planning and orgnisation of business activities to ensure reduction in wasteful activities and
unnecessary business expenses to achieve the target and goal of Cost efficiency by Tesco
through reduction in its operational cost (Fan, Liu and Zhang, 2015).
LO 4
P6) Impact of wider environmental factors on operation management and decision making
The wider environmental factors consists a sum total of all external forces that lead to a
significant impact on strategies of operation management and overall decision making of a
orgnisation (Ma and Sun, 2012). To get better understanding about the impact of wider
environmental factors on operation management and decision making of Tesco, use of PESTEL
analysis is made a discussion of which is provided below:
Political- The political environment consists of various factors that reflects the attitude and
policies of government towards various business organisations. The political environment of UK
is quite stable with fleabite trade policies that lead to better opportunity for Tesco to have
efficient operational management to order to achieve higher productivity and profit. But the
recent issue of Brexit has created many uncertainties that has negatively impacted the operations
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of Tesco through limiting its business function thus, more effective decision making are required
by managers and leaders of Tacos to encounter pervading uncertainties (Nayak, 2015).
Economical- This aspect is basically associated with the inflation and deflation rate of a
nation along with overall growth, level of demand and unemployment. UK is having a developed
economy with stable growth rate and low employment rate but, the resent issue of Brexit has
created many issues for Tesco that affected its operation due issue of unavailability of employees
at cheap rate along with reduction in value of Pounds that lead to enhancement in cost of
operations thus also affected the decision regarding price and other aspects of product.
Social- This factor of wider environment consists of influence and impact lead by nature of
demand and trend of society (Plesser and et. al., 2014). It has been seen that due to slow down of
economy of UK a increase in demand for ready meal and cheap products has increased that
created impact on operation management of Tesco as it need to be more efficient to meet the
increased demand along with taking effective decision to meet the expectation and desires of
customers in a best possible way.
Technological- This factor is mainly associated with the level of technology and speed of
innovation in a nation that offer many opportunity and challenges for an orgnisation. The rapidly
growing technology level of UK has made it difficult for Tesco to have a balance with that is it is
quiet costly for an orgnisation to adopt new technology on a rapid basis. But, regular
advancement in technology has lead to a positive impact on operation management of Tesco as it
enhance the viability and efficiency level of operations through digitalisation and automation
(Simu and Lidelöw, 2019).
Environmental- The society of UK and its government policies are becoming more
inclined towards protection and conversation of nature and environment that is leading
significant impact of decision making of Tesco that is know based on use of eco-friendly
products, Further, it also lead to impact on operation management as Tesco needs to ensure a
check on carbon emission during its day to day operations to lead protection of environment
(Terwiesch, 2019).
Legal- this factor is linked with the various acts and policies made by government of UK
for protection of customers and leading a better life for employees, Thus, Tesco needed to take
effective decision to ensure delivery of healthy product along with leading a safe and sound
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workplace for employees to reduce the chances of any legal consequences in future that would
hamper or negative impact its business operations (Tristancho and Gutiérrez, 2012).
CONCLUSION
With respect to above assignment, it can be concluded that analytical skills of managers and
communication quality of leaders plays a vital role in leading smooth day to day operation in an
orgnisation. Further, it can be summarised that situational leadership approach ensures better
motivation and direction for employees according to prevailing conditions. Beside this, use of
various operational management approaches like TQM, six sigma and lean principles are made
by an orgnisation to have enhanced production and reduction in operational cost. At last, it could
be concluded that various environmental factors like political and economical aspects lead
significant impact in operation management and decision making.
REFERENCES
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Ma, G. and Sun, L., 2012. The Design and Implement of FPSO Assets Management System.
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XIANG, Y. Z., Chen, F. Q. and Zhang, s. S., 2013. Case Analysis of Operation Resource
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Role of leadership in TQM: An Analysis. 2019. [Online]. Available through:
<https://studymoose.com/role-of-leadership-in-total-quality-management-essay>
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