Human Resource Management at Tesco PLC: An In-depth Business Review

This presentation provides an overview of Human Resource Management (HRM) practices at Tesco PLC, a British multinational grocery market leader. It analyzes the purpose and key roles of HR functions within the company, including staffing, compensation, benefits, performance appraisal, and law compliance. The presentation discusses Tesco's approach to workforce planning, recruitment, and selection, highlighting both internal and external methods, along with their advantages and disadvantages. It also covers employee relations and engagement strategies, emphasizing communication, teamwork, and motivation. Furthermore, the presentation addresses key areas of legislation, such as the Equity Act 2010 and the Health and Safety at Work Act 1974, and evaluates Tesco's recruitment and selection process, concluding that effective HR practices are crucial for generating a competitive advantage and sustaining future growth. The assignment is contributed by a student and available on Desklib, a platform providing study tools for students.

HUMAN
RESOURCE
MANAGEMENT

Introduction
» Human Resource Management (HRM) is
referred to the process of planning,
developing and administrating policies for
management of human resources in
organisations (Jiang et al., 2012).
» The role of HR practices is to effectively
utilise human resources to bring good
outcomes.
» The example of Tesco PLC will be evaluated
to understand the role of HR practices in
improving the performance of the company.
2

Introduction
» The purpose of HR functions in the company
and their key roles and responsibilities will
be analysed.
» The approach adopted by the company for
workforce planning, recruitment and
selection will be discussed to critically
evaluate strengths and weakness of
different approaches.
» The policies for employee relation,
engagement along with key areas of
legislation will be analysed.
3

Tesco PLC
Overview of the Organisation
4

Tesco PLC
» A British Multinational grocery market
leader which mainly operates in the United
Kingdom.
» It is the second largest retailing corporation
in terms of profits
» The corporation has hired over 440,000
employees who serve millions of customers
every week (Tesco, 2019a).
» It started its operations in 1919 since then
the company has established 6,800 stores
across the globe.
5

Tesco PLC
» The motto of the company is convenience
and value and it offers fresh local food
products to customers.
» The corporation hires employees for both
store-based and non-store based jobs.
» Effective performance of employees helps
the company build strong relationship with
its customers and increase their loyalty
(Tesco, 2019b).
6

Tesco PLC
» New stores of the company are situated
outside the UK as it expands its
business internationally.
» Vacancies arise in the company as the
requirement of workforce increases and
current employees leave the company
(Mollah, 2014).
» The company uses technologies in its
processed which creates new jobs as
well.
7

Tesco PLC
» Workforce planning is a key part of the
HR functions in the company since it
enables the company to identify its HR
requirements.
» Retention of employees is a major
problem in the company since its
employee attrition rate is high.
» Lack of effective HR practices makes it
challenging for the company to sustain
its future growth in the market (Mollah,
8

Tesco
PLC’s
Purpose, Role and
Responsibilities
of HR Function
9

Purpose of the HR
Functions
» Staffing Needs
⋄ The main HR function is to recruit
employees in the company as per
the skills requirements.
» Compensation
⋄ Fair remuneration is a huge concern
to retain employees in the company.
The HR function is to decide a pay
structure which is suitable to meet
employees’ needs (Alfes et al.,
10

Purpose of the HR
Functions
» Benefits
⋄ Determining the benefits of employees is crucial
in retaining them in the organisation. Benefits
include health insurance, retirement plan,
dental insurance and others.
» Performance Appraisal
⋄ Continuous development of employees is crucial
in organisations and performance appraisal
enables the HR department to evaluate
employees’ performance (Buller and McEvoy,
2012).
» Law Compliance
⋄ The HR department ensures safety and
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Roles and Responsibilities of HR
Functions
» Tesco’s HR department recruits
employees with appropriate skills and
knowledge.
» Engage in workforce planning process
after identifying the requirements of
stores situated across the globe (Tesco
Careers, 2019).
» Interviewing potential candidates for
jobs to determine whether they match
the skills required in the job.
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