Analysis of Leadership and Management in Tesco Operations Report

This report examines the operational management of Tesco, a major retail service firm. It delves into the roles of leaders and managers, exploring approaches like TQM, Lean production, and Six Sigma, and how these contribute to achieving business objectives. The report analyzes the importance of operational management functions such as control and distribution, process design, capacity management, logistics, and scheduling. It also investigates factors within the business environment that impact operational management and decision-making, including CSR, sustainability, stakeholder management, and organizational culture. The report provides insights into how these elements affect Tesco's operations and its ability to meet its goals, providing a comprehensive overview of the interplay between leadership, management, and external influences in a real-world business context.

LO3 Demonstrate an
appreciation of the role leaders
and managers play in the
operations function of an
organisation LO4 Demonstrate
an under

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 3.................................................................................................................................................1
P4 Several approaches to the role of leaders as well as managers..............................................1
P5 Importance of value of operation management in business objective....................................2
LO 4.................................................................................................................................................3
P6 Factors within business environment that impact on OM and decision making....................3
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Operational management is considered as the administration of the business practices
that can be used for converting materials as well as labour into the goods as well as services
within an efficient manner to get the maximization of the profit of Tesco. The teams of the
operational management attempt cost accompanied by revenues to accomplice the net profit sale
(Drew, McCallum. and Roggenhofer, 2016)
The managers as well as leaders are considered as the greatest assets of the Tesco. The
firm is expanded within the market with the help of the strategies of leadership as well as
managers. Tesco is a retailer service firm that gives service such as groceries ,clothing, furniture,
electronics and many more. It is known as the ninth largest retailer as it was established in 1919
as well as currently it has around stores all over the world. Present report focuses on the Several
approaches to the role of leaders as well as managers.
LO 3
P4 Several approaches to the role of leaders as well as managers
TQM It is termed as the process that may focuses on detecting errors and decreases the
errors within the manufacturing, supply chain system, assuring the workers to enhance their
training performances. The main focuses of the TQM approach is to enhance the productivity of
the firm that involves several gods and services through Continuous improvement of the interior
practices of the entity. The standard set is known as the part of the TQM approach that can
impact on both standard and priorities of the entity. The principle included within the process of
the TQM is known as integrated system, consumer focused, involvement of the employees. The
errors and weak areas are identified by the managers and after that makes the development plans
where leaders is to plan out the process and also brings continuous modification within their
actions. (Mortenson, Doherty. and Robinson, 2015)
Lean production
This is the theory that focuses about several methods to get the consequence. The output
is also impacted by several factors, one of the crucial factor is to decrease the waste within
manufacturing system as well as maximizing profit and productivity. There are several principles
of the lean production for example recognizes value regarding consumers as firms needs to
acknowledge the value of the consumers that are based on goods as well as services. Here within
this approach managers as well as leaders of the Tesco makes their staff members aware
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regarding the efficient use of the resources as well as decrease or reduces the wastage. With the
help of this method it helps to increase productivity and also encourage the staff members to
enhance their skills.
Six sigma
It is known as one of the foremost techniques that is used to make businesses process
more efficient and effective ways. In addition to this, it is a continuous improvement process as it
offers tools as well as techniques to decrease eliminates defects, reduce variance as well as
recognizes the root causes of errors, enables firm to create better products as well as services for
the buyers.
Role of managers
In operational management the role of the managers is to recruit potential candidate ,they have
to recruit right people for right job.
They have to manage the resources as per skills as well as potential.
Managers are the persons who identify the process to reduce the cost of the goods as well as
makes possible to sell those goods at lower prices as get a high margin to remain competitive
within world. A manager of the operational department required to focus on the objectives of the
entity instead of focuses on several departments as well as divisions goals. In order to fulfil this,
operational leaders must applied areas of flexibility into all the operations as well as change
adapting departments as well as teams. (Gharabally, 2015)
An operational manager of Tesco focuses on quality as they needs to pay attention on quality ,it
aids their staff members to meet the expectations of the leaders
Role of the leaders
In the department of operational management , role of the leaders is to evaluate the needs of the
staff members of Tesco as well as motivate them.
The main aim of the leaders is to motivate the employees and at the same time enhancing the
potential as well as productivity of the staff members.
The leader also focuses on the path that can be shown by them to the staff members of Tesco so
that they can easily follow that path and also achieve the desired outcomes.
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P5 Importance of value of operation management in business objective
OM plays a crucial role in achieving busines objectives. In that daily tasks are performed
which help in achieving goals and objectives. Likewise, in tesco there are some objective formed
which are defined as :
To sustain in market for long term
To increase sale up to 15% in next quarter
To maximise profit up to 10% in next 3 months
To gain satisfaction of customers in retail sector.
To grow and expand in different markets.
there are various functions of OM which are identified as below
Control and distribution system-
Transforming raw material into finished goods- this is a function in which raw materials are
transformed into finished goods. this means that in tesco raw materials are processed in different
ways and then products are manufactured. It leads to achieve goals and objective. (Shi, Gadh,
2015)
Process design- it is a function of OM in which different processes are design as per organisation
needs.
Capacity management- in this it is related to managing operation capacity within organisation.
Logistics and inventory – this is a function of OM in which logistics and inventory is maintained.
Scheduling – here, a schedule is prepared of doing operations.
There roles of OM in achieving aim and objectives. By increasing efficiency of OM tesco
will be able to sustain in market for long term. moreover, operation allows in converting raw
material and increasing sales by producing more products. besides that, by making changes in
OM process cost of production is reduced. this enables in increasing return on investment.
However, by offering products as per customer needs their needs are satisfied. it enables in
retaining them. in this way OM in tesco helps in growth of organisation.
LO 4
P6 Factors within business environment that impact on OM and decision making
In every business there are certain external factors which highly affect on its operations
directly. These factors also affect on decisions taken by leader and manager. Therefore, it is
necessary to identify those factors so that its impact is analysed. basically, there are 4 factors
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which can affect on Tesco. Also, as company operate in retail sector it will impact on entire
industry as well.
CSR- it is responsibility of business towards society and community. CSR is a self regulating
model which support organisation to remain accountable towards stakeholder, public etc. It is
directly related to operations. Thus, any change in CSR policy or practices can highly affect on
operations. thus, it also influence on decision taken by manager. here, an example is taken of
tesco that in order to reduce carbon footprint, company decided to implement CSR practice of
reducing use of plastic. so, it was highly carried out within company. the manager has to change
operation in efficient way. there are some negative and positive of CSR on retail industry. the
positive effect is of CSR is customer retention is gained. the companies are able to retain them
for long time. But its negative affect is that many practices of CSR are to be implied. thus, there
is change in business operations (Fahimnia, Tang, Davarzani. 2015)
Sustainability- this is another factor which affect on OM and decision making. sustainability
refers of avoid use of natural resources to maintain ecosystem. when sustainability is to be
maintained then operations are modified. manager has to change their decision. for instance, in
tesco sustainability is maintained by reducing use of plastic in packaging. it has resulted in
creating positive affect on company. However, there is positive and negative impact of
sustainability on retail industry. its positive effect is that many companies are using solar panel to
conserve energy. with that they are able to save and maintain ecosystem. But on other hand,
negative affect is that chemical and toxic waste is generated by them that pollute environment.
Stakeholder- It is an organization or group or an individual group that can impacted through an
outcome of a task. They are the one who are interested within the success of the projects .They
can be with the outside the firm that can be sponsoring that specified project.
Within making the complex or crucial decisions of the business, stakeholders are the one who are
involved within the decision-making. They can understand the business issues as well as needs
regarding the outcome. Stakeholders can enhance the quality of the decision and ultimately, it
leads impact the decisions of buying .They are also expertise the decisions and resolving issues
to provide rise he decision through identifying them. On the other hand the also impact
negatively it has also negative impact on the project because of the stakeholders.
Customers are also one of the major stakeholders that impact the Tesco negatively and positively
Customers are those who purchase the goods as well as services as consumers of Tesco are both
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online and face to face consumers. Consumers are adults, children, have high incomes ,low
incomes all of them are crucial for the success of the firm. Consumer wants to purchase low
prices for their goods as they need good quality products as well as services, fair treatment and
also easy access to the online websites and stores. Consumers can become loyal towards if their
needs are satisfied but also consumers (Drew, McCallum. and Roggenhofer, 2016)
Organisational culture – it refers to system of shared value, beliefs which state that how people
should behave in organisation. it highly impact on operation and decision making. for example-
in tesco there is culture of trust and respect. this has forced manager to take effective decision to
maintain that culture. however, positive effect on culture on retail sector is it has led to create
positive culture within industry. but on contrary negative effect is that staff is not able to
maintain work life balance.
CONCLUSION
from above it is summarised that OM is process of converting raw material into finished
goods and creating value. there are many OM approached such as lean. six sigma, TQM etc,
which is followed. here, role of the managers is to recruit potential candidate ,they have to
recruit right people for right job whereas role of the leaders is to evaluate the needs of the staff
members of Tesco as well as motivate them. moreover, functions of OM are Control and
Distribution Systems, Transformation of raw material into finished goods/services, Process
design, etc. Besides that, there are some factor which affect on business operations like CSR,
sustainability, stakeholder, etc.
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REFERENCES
Books and Journals
Arpaci-Dusseau, R.H. and Arpaci-Dusseau, A.C., 2018. Operating systems: Three easy pieces.
Arpaci-Dusseau Books LLC.
Drew, J., McCallum, B. and Roggenhofer, S., 2016. Journey to lean: making operational change
stick. Springer.
Fahimnia, B., Tang, C.S., Davarzani, H. 2015. Quantitative models for managing supply chain
risks: A review. European Journal of Operational Research.247(1).pp.1-15.
Gharabally, S., Apple Inc, 2015. Devices with profile-based operating mode controls. U.S.
Patent 9,183,534.
Mortenson, M.J., Doherty, N.F. and Robinson, S., 2015. Operational research from Taylorism to
Terabytes: A research agenda for the analytics age. European Journal of Operational
Research. 241(3). pp.583-595.
Shi, W., Gadh, R., 2015. Real-time energy management in microgrids. IEEE Transactions on
Smart Grid.8(1).pp.228-238.
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