Strategic HRM and Cultural Adaptation: A Tesco Case Study Report

This report provides a comprehensive analysis of human resource management (HRM) practices at Tesco. It begins by examining the value creation by the firm using HR strategies and the concepts of strategic HRM, including talent acquisition, strategic planning, and HR capability evaluation. The report then explores the impact of national and international culture on HRM practices, such as recruitment, selection, training, and leadership styles. It also details Tesco's various models of employment, including permanent, part-time, contractual, and commission-based employees. Furthermore, the report discusses Tesco's specific HRM practices in India, including employment contracts, code of conduct, employee wages, leave policies, and non-discriminatory policies. Finally, it touches upon international and transnational culture within Tesco, highlighting differences in work ethics and team dynamics. The report concludes with suggestions for employers to enhance organizational performance through effective HRM.

Human resource management

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
A. Examining the value creation by the firm using HR strategies and concepts of strategic
HRM............................................................................................................................................3
B. Impact of national and international culture on HRM practices:............................................5
C. Organisation's model of employment......................................................................................6
D. Practice used by Tesco in operating their business in India...................................................6
E. International and transnational culture in TESCO..................................................................7
F. Employment laws when international HRM changes local business system.........................8
G. Suggestions to employers regarding HRM practices to ensure that the organisational
performance is high......................................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES................................................................................................................................1

INTRODUCTION
Human resource management refer to the process working in all the human resource
Department of the organization. good human resource management is one of the essential
features for business in all size. Chatham is the practice of managing people to achieve better
performance in the organization and for the benefit of the organization and employees as well. it
is the process of hiring people into a business, which the organization are looking for and who is
fit for the company's culture and as well as stay happy and stay for a longer period of time and is
better productive than those who are not fit into the company's culture (Zaid, Jaaron and Bon,
2018).
Human resource: - human resources are all the people that in one capacity for a contribution in
the organization. human resource makes companies workforce as well as they are the regular
employees of the company. Human resource is one of the major parts of the organization and
every organization focus in having the best human resource in the Department so that they can
hire the best employees for the organizations to increase the benefit and the performance of
organization. it is very important to have good employees in the organization an agent needs to
focus on all the requirements and skills which they need further desire job position and they
make a good relation with top management and employees (Nankervis and et.al.,2019).
The human resource basis is the working of the human resource management number of
elements the HR are considered for effective policies the edge are considered for effective.
Tesco work in the retail sector and is one of the business tycoons working in retail sector in UK
with majority of shares with brand names. Tesco is the number one retailer in UK and have a lot
of stores and services the company provide in other countries also. the report will explain all the
function and working off human resource management in depth knowledge.
A. Examining the value creation by the firm using HR strategies and concepts of strategic HRM
Human Resources encourages employees to perform at their best and preserve high -
esteem culture of the organisation. Strategic HR works towards developing a strong and
functional infrastructure.
Talent Acquisition and Retention: Recruitment and recollecting skilled workforce is a base of
TESCO (John and Taylor, 2016). They are largely accountable for constructing the

arrangements that carry forward the recruiting and training of potential employees. This
process consists of developing efficient job plans. It constructs robust quizzing and developing
positive evaluation techniques that make the most of a company has to offer.
Participation in Strategic Planning: This department play a key part in forecasting. This consist
of valuations of establishments strong point and weaknesses, prospects and fears. The
participants analyse the future opportunities of individuals and resources.
Develop a detailed understanding of company’s objectives: The success is reliant on efficient
associations with company’s objectives, individuals are required to possess a systematic
understanding of their aims, purposes, and assignment (Macke and Genari, 2019). Confirming
transparent communication of firms goals make this easy for personnel’s to frame an efficient
administration strategy.
Evaluate your HR capability: Assessing capabilities will allow to recognize the workforce and
in what way they put efforts to accomplish companies targets. It is also important for them to
monitor every individual closely so it will become easy to identify every workers areas of
expertise (Zehir and et. al., 2016).
Estimate your company’s forecasted requirements: Analysing of firm’s staffs and their abilities
should be in regards with their purposes. The prediction ought to be done in relation to:
Demand: This is an estimation of calculating the future manpower requirements of the industry
to accomplish organisations forecasted needs.
Supply: Identifying existing talented workers company have and utilise them to attain planned
objectives. It also includes some aspects of creating new employment to prevent scarcity of
manpower in the future.
Implement the human resource management strategy: Administration will be eligible to attain
the application of HR management tactics by the following process:
The recruitment stage: Professionals initiate search of talented applicants with exceptional
practical as well as theoretical knowledge.
Organize selection process: Assessment and other assortment standards like applicable
examinations will be conducted to measure whether the aspirant is eligible or not.
Design on boarding and training: An inclusive orientation will help in increase member
preservation it is an important task to keep them motivated and involved in various activities.

B. Impact of national and international culture on HRM practices:
Every country and region have their different cultural and traditional values. In order to
function or effectively operate business activities company have to modify their policies and
actions in accordance with their culture and beliefs. Some of the factors are discussed below:
Recruitment policies: Companies have to alter their selection and hiring procedures in
accordance with the social beliefs and attitude like:
Partiality: This strategy is opposed by most of the employees because companies like Tesco who
function in various countries, they tend to maintain their origin based culture in all of their
outlets and they want their employees to do the same (Cotae and Bacali, 2017). They don't adapt
or work according to the regional tradition or civilization.
Communism: The company emphasise on appointing superiors hale from the local areas and
regions, so it will become beneficial for the company to handle the workforce and maintain
relation with the localized distributors and retailers as they have better knowledge of their
working procedure and language etc.
Selection strategies: Tesco Plc follows distinctive hiring and recruiting tactics in their various
operational countries. In the Asian outlets of the company they have complex process for
selection candidates and it is much compact in United states.
Training and evolution process: This process is very efficiently handled by the managers of the
company as its is not a easy task to educate and train individuals belongs from various social
background having different thought process, impression and lifestyle. The visual
communication and language used by various nations are different. For example in UAE they opt
to communicate more closely with the candidate but in United nations they maintain a certain
distance while communication or screening any applicant.
Remunerate policies: This is an important factor to be considered as there are different taxes,
retirement and old-age benefit schemes in various nations. That's the reason establishment need
to modify their compensations in accordance with that specific state or nation (Kristjánsdóttir
and et. al., 2017).
Leading techniques: International and national culture have a vast influence on what leadership
style an organisation follows. As Tesco is a multinational chain retailers they have to adapt
several managing methods to lead their workforces. Company operating in Germany follows

focused and concentrated administrating while in establishments Korea's outlets they adapt
patronising methods.
C. Organisation's model of employment
There are numerous ways of employment adapted by TESCO for accomplishment of
their wide spread business functions. Some of them are discussed underneath:
Permanent employment: Establishment hire these workers on a permanent basis who function
on a 8 to 9 hours work schedule on daily basis. Only the full time employees are eligible to take
benefits from various schemes introduces by the enterprise (Delery and Roumpi, 2017). They are
entitled to get paid on government holidays, bonuses and compensations.
Part time worker: These workers works on a irregular basis they are not in permanent alliance
with the organisation, they work as per the demand and requirements of the establishment or in
any specific project. Such workers are not obligated by the employer to work they can refuse if
they didn't want to. In the establishment they have a fixed policy for part time or casual workers
that they are appointed on daily wage basis and are not eligible to take any paid leave.
Contractual workers: Tesco retailers tend to outsource the staff on contract basis or in case of
shortage of employees for some specific project or task. They can also take profit of paid leaves
or bonuses etc. depend on their work tenure. Company have a policy to provide those benefits,
once a employees completed 1 year of employment with the company (Nye-Lengerman and et.
al., 2018).
Trainees: A huge number of interns from different regions came to join the company for their
training or internships, they are not entitled to receive any salary but company pay them a fix
stipend in accordance with their agreement with the institution.
Commission based employees: They hire those workforces to perform several tasks and the
wages or earnings were based on their performance, they are recruited not on a fixed
remuneration instead on a common agreement that they will get paid according to how well they
have performed or put efforts in the given task (Migliore, 2020).
D. Practice used by Tesco in operating their business in India
Tesco is foreign company while operating its business internationally it needs to practise
law and practises according to the country's environment (India). For the smooth operation of its
business in India, Tesco needs to strike balance between their own practises and the local norms
of India (Zardasht, Omed and Taha, 2020). Basically, company follows either HRM policies or

personnel management or both. In the country like India, which is industry specific, HRM
policies can gain more competitive advantage to Tesco. HRM policies means the approach,
assumptions and values of the firm regarding how individuals are to be managed to regulate the
behaviour of employees working in the organisation. There many policies that is to be followed
by Tesco in India, but few of them are discussed below -
Employment Contracts: Tesco not only provides Contract to its employees working in India but
also follows the concept of going beyond the contracts which means Tesco is guided by the
principle that its employees are priority for them (Christopher, 2019). Tesco follows its core
values and creates culture where every human resource working for them is an asset for the
company.
Code of Conduct : The code of conduct are the company's policies which includes vision,
mission and ethics of the workplace. Tesco India, clearly defines its policies such equal working
right, conflicts of interest, work environment to which all employees should abide by.
Employee Wages: Tesco India, needs to follow the Minimum Wage Act,1948 which has set
minimum wage is to be paid to the skilled and unskilled workers. But Tesco, basically pays
performance related salaries to its employees.
Leave Policy: Leave policy is made in order to provide clear picture to employees that how
many no. of leaves are allowed (Christopher, 2019). Tesco provide all the national holidays leave
and all the list of annual leave are communicated to its employees.
Non discriminatory Policy: In the country like India, it is essential for Tesco to have non-
discriminatory policy. It is strictly mandatory to follow this policy to all its employees working
in Tesco and employees are communicated about the repercussions of not practising it.
E. International and transnational culture in TESCO
Work and play- In British culture working week is Monday to Friday and very rarely going for
work on Saturday and just sacrifice their vacations for doing work and have show more
dedication towards their work. In Indian culture working week is Monday to Friday and most of
the employee are only dedicated towards their works.
Take one for team – In UK culture fairness and equality among employee of doing working and
having better relationship among the business and employee team members (Kanakaratne,Bray
and Robson,2020). while in Indian culture no equality and fairness of work among the team
members and business relationship.

Employee focus- In great organization managers try to built up their employees skills and
develop their knowledge (Jaman,2020). But in Indian culture they put pressure among their
employees and do not believe in participating management while in British culture organization
try to build up employees skills and develop their knowledge and make more responsible for
work.
Technology- In UK Tesco use more advance technology for developing quality offering at faster
speed and lesser time and always try to purchase more upgrade technology which helps in
increasing organization's productivity level (Deb,2018). While in Indian culture they are not
more capable for advance technology regarding company and having less customer satisfaction
level.
Information is shared and accessible- Learning culture always try not to keep information as
secret. By sharing more information and communication it increases knowledge and ensure in
greater productivity level. In Indian learning culture manager most time try to keep secret
regarding work and basic information.
Mistakes and failures are not to be punished- If staffs after providing any suggestion or
activities if they are not capable of doing work, they should encourage them rather than be
punished (Skyriuand et. al., 2016). While in local culture they always have some training period
or learning session and make them ensure that mistake should not be repeated and work with
positive attitude.
F. Employment laws when international HRM changes local business system
International HRM policies and laws are totally different from local business system as it
includes different strategies and processes of the HRM which the human resource Department
follow when working in an international market. Tesco has provided the best and skilled
employees in their international human resource management to develop the business in other
countries. it requires a lot of strategies and techniques to maintain the employment laws.
Adaptive it is very important to have that depth if habits and it's important to adapt things easily
when working overseas and to operate independently in the new market. The screen’s making a
lot of changes to have an adaptive nature and strategies of adaptive policies to improve their
international HRM (Bornay-Barrachina, 2019).
Recruitment and selection of international manager it’s very important for the organizations to
recruit the international managers who can understand the language and Adobe areas which

component face in international market. language barrier is one of the factors which can affect
the business Anne also can create a lot of conflict when working in international market.
Discrimination employment laws doesn't allow discrimination whether working in local or
international market. Discrimination is not acceptable and it’s important to maintain the quality
in the organization and Tesco are providing the best to maintain all the qualities factor and no
racism in the business, which can affect negative on the companies goal.
Culture cultural laws are very important as the organization needs to maintain the culture of the
locals and international so that the working of the organization can be smooth and it can help in
the better performance of the happy employees which can provide better quality services to the
customer.
Training and development one of the major part of law and international working is to improve
all the employees with better development and training programs so that they can understand the
culture nature and working of the countries. it is very important for the organization to improve
the employees with training and development related to the work and other necessary skills
which are required to work in the international market and which can help the business
development of the company and also the personal development of the employee.
G. Suggestions to employers regarding HRM practices to ensure that the organisational
performance is high
Some recommendations are:
Providing Training: Proper training Tesco should provide to the employees in order to achieve
the objective. It develops new skills in the employees and help to perform better by increasing
productivity. Through proper training employee will understand that what organisation is
expecting from them and their role in the organisation is also clear. Employee will get expertise
before doing the work.
Work environment: Good environment will boost the performance of the employees and
motivate them to work more. It will increase the productivity of employees and hence increase
the revenue. Temperature and noise in the office also plays a vital role in this.
Remuneration: Employees are highly influenced by the remuneration. Fair remuneration
encourages them to work in an effective manner. It is the biggest source of motivation. It is
directly connected to the employee’s performance and on the level of satisfaction. Tesco should
provide good salary in order to retain employees.

Flexible work options: Study shows that some employees are more flexible when they are doing
work from home so company should sometime give work from home to some of the employees
which will increase productivity, reduce stress and bring better concentration (Michael, 2019).
By providing flexible work options will make employees happier and satisfied.
Rewards and Bonus: Company should show that they care about the employees by providing
timely bonus and rewards. Employees will feel that they are valued by the company, extra
motivation employee will get, to achieve organisation objectives. It can be individual bonus or
team bonus. Bonuses can be given in terms of cash or it can be non-cash bonus also.
Feedback: Providing immediate feedback has its own advantage. Employee will feel that their
work is recognised and is appraised by their seniors. They will motivate to work more good in
the future.
CONCLUSION
The report concluded that human resource management is one of the most important part of the
company and Tesco is providing all the efforts to improve the human resource management of
the organization. It is very important for Tesco to improve their human resource management so
that they can improve their human resource another part of the organization which can help the
organization in achieving business goals and objectives which they are looking for. Further the
report concluded the other strategies Tesco is using to improve the product and services and
increase the profit. strategies are very important so that all the working can be done in a proper

planning process to get the result out of it. The region and national culture works is one of the
important part and all the human resource Department focus and improving the organization's
culture and they hire the people who understand all type of culture so that they can work for the
organization and help them in developing the growth of the organization. Employment lows are
one of the factors which affect the human resource management and Tesco is providing all the
laws of employment so that they can work better in other countries. working in international
market requires a lot of knowledge and skills and human resource management works according
to the culture nature and the objectives the Tesco are looking in the different countries in which
company wants to achieve the business and improve. HRM practices are very helpful for Tesco
as they helped the company in recruiting the best in quality employees with providing them
training and developments an improvement of the working in better performance which helped
the organization in achieving better goals and making a huge impact in the international market.
Human resource management is one of them most important part and the report concluded that
human resource management is very essential for the organizations to develop and Tesco is
focusing a lot on the human resource management.

REFERENCES
Books and journals
Bornay-Barrachina, M., 2019. International Human Resource Management: How Should
Employees Be Managed in an International Context?. In Managerial Competencies
for Multinational Businesses (pp. 174-194). IGI Global.
Christopher, N., 2019. The effectiveness of HRM policies and practices. International journal of
social sciences. 2(1). pp.24-32.
Cotae, A. and Bacali, L., 2017. The influence of national culture on business organizations’
commitment to environment sustainability in the EuropeaKristjánsdóttir, H.,
Guðlaugsson, Þ.Ö., Guðmundsdóttir, S. and Aðalsteinsson, G.D., 2017. Hofstede
national culture and international trade. Applied Economics. 49(57). pp.5792-
5801.n Union.Review of Applied Socio-Economic Research.14(2), pp.19-29.
Deb, M., 2018. Store attributes, relationship investment, culture, religiosity and relationship
quality.International Journal of Retail & Distribution Management.
Delery, J.E. and Roumpi, D., 2017. Strategic human resource management, human capital and
competitive advantage: is the field going in circles?. Human Resource Management
Journal. 27(1). pp.1-21.
Gope, S., Elia, G. and Passiante, G., 2018. The effect of HRM practices on knowledge
management capacity: a comparative study in Indian IT industry. Journal of
Knowledge Management.
Harrison, T. and Bazzy, J.D., 2017. Aligning organizational culture and strategic human resource
management. Journal of Management Development.
Jaman, S.H., 2020. Retail Business Leaders’ Strategies to Increase Employee Engagement and
Workforce Productivity.
John, R. and Taylor, B., 2016. Human resource management.
Kanakaratne, M.D.S., Bray, J. and Robson, J., 2020. The influence of national culture and
industry structure on grocery retail customer loyalty Journal of Retailing and
Consumer Services.54. p.102013.
Kristjánsdóttir, H and et. al., 2017. Hofstede national culture and international trade. Applied
Economics. 49(57). pp.5792-5801.
Macke, J. and Genari, D., 2019. Systematic literature review on sustainable human resource
management. Journal of cleaner production. 208. pp.806-815.
Michael, A., 2019. A handbook of human resource management practice.
Migliore, A., 2020. A comprehensive model of employment support.
Nye-Lengerman, K and et. al., 2018. A model of employment supports for job seekers with
intellectual disabilities.
Nankervis and et.al.,2019. Human resource management. Cengage AU.
Skyrius, R., Katin, I., Kazimianec and et. al., 2016. Factors driving business intelligence
culture.Issues in Informing Science and Information Technology.13(unknown).
pp.171-186.
Zaid, A.A., Jaaron, A.A. and Bon, A.T., 2018. The impact of green human resource management
and green supply chain management practices on sustainable performance: An
empirical study. Journal of Cleaner Production. 204. pp.965-979.
1