Human Resource Management Research Report: Tesco's Strategic Analysis

This report provides a detailed analysis of Tesco's Human Resource Management (HRM) strategy, focusing on the resource-based view to achieve competitive advantages. It examines both tangible and intangible assets, business capabilities, and core competencies, alongside sourcing decisions and enterprise architecture. The report explores various HRM theories, including the Harvard analytical framework, matching model, contingency theory, and ethical and stakeholder approaches. Furthermore, it identifies and analyzes two major threats facing organizations operating within the labor market, such as the deteriorating position of low-skilled workers and the challenges faced by the efficiency of the economic and also the equity of the social factors. The report concludes with recommendations and references for further study. The report is a student submission.

MANAGING
HUMAN
RESOURCE

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK...............................................................................................................................................1
Research based view adopted by the human resource management .........................................1
Analysing the two major threats facing organisation operating with the labour market............6
RECOMMENDATION .............................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES .............................................................................................................................10

INTRODUCTION
The department of the Human resource of any of the organisation is only responsible for the
retaining employees and recruiting the employees. It provides so many facilities such it mange
the salary, benefits, training, compliances and it also resolves the issues between the employees
and management. It also contributes to the successful culture at workplace. Tesco is a
multinational general merchandise and groceries in UK. It has been measured by the revenues
and profits and it is market leader of the groceries. This report will study the resources based
view it can be adapted by the human resource management for helping in the delivering the
competitive advantages and the success of the organisation. This study will examine the major
threats currently facing by the organisation for operating in the labour market with the specific
examples(Cascio, 2015. ).
TASK
Research based view adopted by the human resource management
Research based view is a managerial framework which is used for determine the strategic
resources with the all potential for delivering the competitive advantage of the firm. These
resources and research based view can be exploited by the firm for achieving the sustainable
advantages of the company. It is an approach fr making the strategy of the Tesco where all the
concepts, information and data is based on this approach (Resource based approach, 2018). It
also focuses on the managerial attentions on the Tesco internal resources towards the effort for
identifying the capabilities, assets and competencies which deliver the competitive advantages.
These are basically of two types such as;
Tangible assets:- Tangible assets are made up of physical assets which can be vehicle,
land and equipments etc. it forms the backbone and also background of the firm for producing
the products and services. Tangible assets are fixed and current
Intangible assets:- Intangible assets are not fixed and also it is not physical item and
materials which has been fixed in the firm such as trademarks, patients, copyrights and
goodwill(Noe, and et.al., 2017. .).
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Both tangible and intangible resources consist information, assets, skills and processes
which use for combining the to create the “Business capabilities” which is generally viewed as
the special type of resources either it is individually, or in the combination and it also creates a
set of the “core competencies” which provides a competitive advantage of the sustainability. Not
all the resources are same and equal. This type of resources are rare and valuable for creating the
competitive advantages which is sustainable for Tesco and it also creates difficulty for the
competitors for imitate. Tesco making the products and provided the services is a set of
competencies for creating the global leadership in those sectors which choose for operating
them(Macfarlane, AbouZahr and Tangcharoensathien, 2019).
Business capabilities:-
it is an expansion and expression of the business and also the articulation based on the
capacity, expertise and materials for fulfilling the needs of the organisation for performing the
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Illustration 1: Resource based approach
(Source: Resource based approach, 2018 )

core functions of the Tesco. It is a type of process for describing the methods of the company
employees in order to providing the leverage and facilities for the business capabilities.
Strategy:-
it means the core strategies which seeks to achieve the set of objectives and goals and
also it simply defines as the long term planning of the business. From developing the strategy it
exploits the existing resources of the Tesco and also core competencies and capabilities which
relate to the external opportunities.
Resources:-
it is a productive and economic factor which required to accomplish the activities, it also
means to undertake an achieved desired outcomes of the Tesco.
Core competencies:-
it is a concept and term of the management theory which introduced the harmonized
combinations of the multiple resources, knowledge and skills which distinguish the market place
of Tesco(Petrick, 2017.).
The surface of the Tesco has the portfolios of the products which seems idiosyncratic. In
the sector of the services, for examples is google and Amazon which has highly diverse the
business and based on the clearly well through of the core competencies. Research based view
has the area of the principle of application which is based service operations and services design
which has been covered under these methods:-
SOURCING DECISION:-
its not possible for Tesco for having an intelligent alliance or sourcing strategy. It has to
make choices about their core competencies. Whether the products are manufacture and also the
service of organisation is part of the business model which needs for considering the resources
and inputs which need and also how it will source. For example, Ocado in UK is an online
supermarket which view themselves as the technology company. The type of the relation of
buyer is with each supplier. There are some theoretical frameworks which helps in sourcing
decision;
Transaction-cost theory:- it comes from the theory of branch where economics called the
transaction-cost economics. According to this theory, it has some basic alternatives for sourcing
the inputs;
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Vertical integration:- it easily delivered the requirement of the inputs in Tesco in the
firm. It is a type of combination of the one firm and also more stages of the productions which is
normally operated by different firms with Tesco(Morley, Heraty, and Michailova, 2016. ).
Arm's-length relationship:- in this it buys some resources and inputs from the outside
of the Tesco and it also one or more suppliers on the basis of the best prices. Any of inputs and
resources are required by the firm then it supply by them and also by the sub-contractor and it
also relies on the primarily on the basis of the legal contract.
Partnership or alliances:- in this it also buys inputs from outside but have to maintain
the cooperative long term relationship with the suppliers. It also relies ion the basis of the
implicit and trust for making the long term contracts and agreements, rather than the legal
contract of the Tesco.
According to the research based view it also defines the transactional cost theory which
has been a useful perspective for Tesco, it also considers the important nature of the resources of
how strategic it is and how special they are, it also focuses on the theory within the economics,
on the basis of the research based view of the Tesco and there are 2 points which shows the
transaction cost importance;
Specialisation:- It is one of the extreme applications of the resource based view of the
Tesco which has been worked on the principles which grows the productivity with the division
of the labours. It is a concept which goes with the industrial revolutions and also Adam Smith.
Specialisation also encourages the Tesco for the outsources of the non strategic activities for
specialised the firm and achieve the economic of the scale. From applying the transaction cost
theory which can say that the specialisation for increasing the cost of the communication and
also it has to coordinate with the activities(Wirtz and Heracleous, 2016.).
Optimising sourcing strategy:- optimum sourcing strategy is a type of the products and
services of the Tesco which is most certainly going to mix the three alternatives of sourcing the
options because it also remembers for increasing the sustainability of the competitive advantages
and enter into new markets which being forged on the unique creation partnerships between the
mutually support of the network suppliers and also the customers.
ENTERPRISE ARCHITECTURE:-
from linking with the enterprise's architecture it has originally method of both the
discipline and describing the Tesco from the variety of aspects ad perspectives at various levels
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of details and also strategic and operational. All the methods has been covered which intended
for using the overall descriptive frameworks and approaches. It has a discipline which share
same languages with the architectural discipline. It also concerned about the Tesco settings and
design of the organisation and it also operates with the nature of the environment.
Human resource's management theory.
Human resource management is a strategic approach for making the effective management of the
individuals in the Tesco which can help the firm in gaining the best competitive advantages and
it also designed for maximising the performance of the employees on eh basis of the employees
strategic services. It preliminarily concerns with the people of the management within the firm,
focus on the policies and also on the system. There are some models and theory of the human
resource's management such as;
Harvard Analytical framework:- it is also known as the gender roles framework and it
is one of the framework which easily understand the differences between men's and women with
their full participation in the economy of the Tesco. It has grate importance and significant for
helping the policy where makers understand the case of economic for allocating the development
of the resources to women and men's as well. It involves the interest of the stakeholders, HRM
choices, HRM policies and also the outcomes of the HR, long term consequences and situational
factors. It also defined as the top level management has the responsibility for developing the
practices and policies of HRM in the Tesco(Wehrmeyer, 2017.).
Matching model:- this model is applying on the time of achieving the goals and
objectives according to the major functions such as the selection, performance, appraisal and
rewards and development. It also evaluates the techniques for properly contribution on the
selection according the uses of the appropriate techniques.
Contingency theory:- this contingency theory is based and basically define as the
relationship between the relevant dependent and independent variables which influence as the
size, age, capital intensity, industry sector, the degree of the unionisation and technology of the
Tesco. The arguments of the contingency is implied potentially towards the complex interactions
among the variables of the HRM. Contingency theory is essential theory which needs for
achieving the best “fit” between the Tesco wants, size, structure, its employees, people and wants
and also its external environments for analysing the performance and structure which has been
implemented by the HR practices(Pecora, 2017. ).
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Resources based theory:- resources based theory of the HRM is basically draws an attention to
values of the strategic of the workforce and also define the issues related to the learning of the
workforce. It is a research based theory term for recognising the strategic capabilities of Tesco
for defining and depend upon the capability of the resources and specifically the human
resource(Aust, Brandle, Keegan and Lensges, 2017. ).
Ethical approach:- It generally defines for implying the concern of the people and ethics
of the Tesco. This ethical approach generally share the work ethics and dimensions for personnel
serving in the organisation. Human resource management can acquainted with certain people or
staff qualities and norms through the orientation, induction and CPD programmes. Both the
norms and qualities are anticipated through the staff and Tesco.
Stakeholders approach:- it required for interest of the community in the Tesco, it should
also be identified and respected. Stakeholders are those people and Tesco which possess a
legitimate the interest, obligation for performing the various functions and also the activities of
the Tesco. The approach of the stakeholders is it suggested to the managers which should
formulate and implement the processes for satisfying the needs which ensure the long term
success and growth of the Tesco. It significant the active management of the relationships,
promotion for sharing the interest and environment of the business.
Analysing the two major threats facing organisation operating with the labour market.
The deteriorating the position of the labour market of the low skilled workers and challenges
faced by the efficiency of the economic and also the equity of the social factors. The isssues and
challenges has been faced by the organisation such as the term of the economic is widely used
towards turning with and coming with the variety of the applications. It also refers as so many
ways like, improving condition's of the employment or the classes earning of the wages the
problem Labour market of the UK involves the demands of the labours, supply of the labour by
households by Tesco. There are 2 major threats which has been faced by the organisation for
operating the labour market;
According to the Volkova and et.al., 2016, automation is not important on the
organisation because when the use of technology is increases then its not easy for workers and
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employees to work in the Tesco because it decreases the rate of employees which bring poverty
in the country and also it decreases the rate of the jobs and employment. Automation; it also
highlighted as the recent stories about increasing and raising the use of the technology and also
rise ion the automation within the traditional “blue collars” economy sectors which increase
within the whiter collars of the Tesco. It is a technology for performing and procedures within
the human assistance(Shields and et.al., 2015.). It automatic control the use of various control
system for operate the equipments like machinery, boilers, processes in factories, switching on
the telephones and heat the treating the ovens and also steering etc. it covers the ranging of the
applications in Tesco, to the large boiler and also Tesco controlling system ad it also tens with
the thousands of the inputs for measurements and also the control the output the signals.
Automation is a type of the which has been achieved the various means including the
hydraulic, mechanical and electrical devices and computers. It also defined as inspiring the word
automatic. It means manufacturing of the automations for examples, automation involves the
machining and transferring the lines which has found the automatic assembly machinery,
automotive industry and also the particular chemical processes. From programmable automation
is as type of form producing the products of the Tesco. The main aim and objectives of the
automation of the Tesco is to become the leading system of the western Canada integrator and
the substation of the automation in the application of the Tesco is by exceeding the expectations
of the clients and customers in the terms of the flexibility, loyalty and innovations etc. from
providing the leveraging to the capabilities towards the Tesco Group's for multi faced the chain
of supplying which involves its partners. It continuous strives for realizing the synergies which
underwrites the effective cost and delivery of the model. Automation it believes in the strategies
will generate the customers of the Tesco(Wapshott and Mallett, 2015. ).
For example; Tesco facing poor customer's satisfaction because of lack of technology retention.
In food sector customers expect the high quality and best products which satisfied the needs of
them (Food Quality Issue in Tesco because of lack of automation, 2018).
According to the Bui, Chau and Cox, 2019 the advantages for the company because from
it is is very helpful for the people who are disabled and cannot do their own work. From the care
taker facility it gives provides facility to the employees who work with them. Regulatory focus
and increasing cost; This issues and challenge has been faced by Tesco in UK's labour market
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because it directly affects the wages and salary. It has been predicted that there so many
organisations which provide the facility(Allen, Lee and Reiche, 2015).
According to the HMRC has significantly increases the national minimum wages and also the
national living wage compliances checks for example, NHS has facing the service which has
been make by the government such as employees may be required for paying the “sleep in
workers” back up to the 6 years , as sleep- ins were typically not treated as the working time
minimum wage and also the living wage purpose and should have been. It is also predicted as the
has struggling to honour such payments which could cost the NHS up to 400 million and these of
the additional cost which generally known at the time and it could have been the priced in it and
also it hit the following national minimum wage for the compliances reviews which may easily
go straight to the bottom lines. Tesco has been faced so many challenges and issues which is
made by the government for the labour market and it recently responded to the recommendation
of the good work plan. The main aim and plan is for raising the protection and transparency for
the workers for ensuring that it has been paid fairly by proposing that(Taylor, Doherty and
McGraw, 2015. ).
For example, Tesco will plan to aim and increasing the protections and transparency for the
employees. Tesco will apply the laws according to the work of the employees such as the low
pay commissions impacts the higher rate of the minimum wages to the employees on the basis of
the zero-hour contracts and also it provides the facility according to the work and rules of the
government.
RECOMMENDATION
From above discussion this report will study that managing human resources of the company and
employees its not easy and simple. It identifies the needs and wants of the customers and
employees as well according to the organisations. One of the major impact and threat for the
organisation by employees is Automation because employees are not accepting the new changes
of the technologies. So, for this major aspect and issue has been solved by providing the facility
of the training and development according to the new automation in the company which can be
easy for them to understand and use of it. on the other hand the another major aspect is Tesco has
to appoint a legal advisor and expert for providing the knowledge about the new dimensions and
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changes comes in the company from which they provide a legal structure(Ployhart and Kautz,
2017. ).
CONCLUSION
The above report comes to the conclusion that, human resource management is one of the
term responsible for all the process of the company such as selection, recruiting, training,
managing and also resolves the conflicts of the organisation. It will conclude the research based
view and it can be adapted by the human resource's management and its theory for delivering and
gaining the competitive advantages for the success and growth of the firm. Furthermore, this
report was summarised that a research based theory term for recognising the strategic capabilities
of organisation for defining and depend upon the capability of the resources and specifically the
human resource.
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REFERENCES
Books and journals
Allen, D., Lee, Y.T. and Reiche, S., 2015. Global work in the multinational enterprise: New
avenues and challenges for strategically managing human capital across borders. Journal
of Management, 41(7), pp.2032-2035.
Aust, I. and et.al., 2017. Tensions in Managing Human Resources: Introducing a Paradox
Framework and Research Agenda. In Smith, WK, Lewis, ML, Jarzabkowski, P., Langley, A.
(eds.). Oxford Handbook of Organizational Paradox. Oxford University Press.
Bui, H., Chau, V.S. and Cox, J., 2019. Managing the Survivor Syndrome as Scenario Planning
Methodology… and it Matters!. International Journal of Productivity and Performance
Management.
Cascio, W.F., 2015. Managing human resources. McGraw-Hill.
Macfarlane, S.B., AbouZahr, C. and Tangcharoensathien, V., 2019. National Systems for
Generating and Managing Data for Health. In The Palgrave Handbook of Global Health
Data Methods for Policy and Practice (pp. 3-23). Palgrave Macmillan, London.
Morley, M.J., Heraty, N. and Michailova, S., 2016. Managing human resources in Central and
Eastern Europe. Routledge.
Noe, R.A. and et.al., 2017. Human resource management: Gaining a competitive advantage.
New York, NY: McGraw-Hill Education.
Pecora, P.J., 2017. Designing and Managing Family Preservation Services: Implications for
Human Services Administration Curricula. In Reaching High-Risk Families (pp. 127-146).
Routledge.
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