Exploring Motivation Theories and Leadership Styles at Tesco

This report examines various motivation theories, including Taylor's, Mayo's, and Maslow and Herzberg's theories, in the context of Tesco's operations. It explores how Tesco utilizes these theories to motivate its employees across different sectors, such as customer service, warehouse, and logistics. The report analyzes Tesco's implementation of financial and non-financial rewards, career development programs, and feedback mechanisms to enhance employee satisfaction and performance. Furthermore, the report contrasts different managerial and leadership styles, highlighting the differences between management and leadership and their importance in a modern global business environment. The report also investigates factors influencing individual behavior in teamwork, such as ability, gender, race, culture, perception, attribution, and attitude. By examining these elements, the report provides a comprehensive overview of Tesco's approach to employee motivation and management.

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Managing people in organization
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Lecture’s Note

Managing people in organization
Table of Contents
Three Motivation theories relevant to Tesco.........................................................................................3
Taylor’s Motivation theory................................................................................................................3
The Mayo's Theory of Human Relations...........................................................................................5
Maslow and Herzberg’s human need theory......................................................................................6
Compare and Contrast between two different managerial and leadership styles....................................7
Factors of individual behaviour in Teamwork.....................................................................................13
Ability.............................................................................................................................................13
Gender.............................................................................................................................................14
Race and Culture.............................................................................................................................14
Perception........................................................................................................................................15
Attribution.......................................................................................................................................16
Attitude............................................................................................................................................17
Summary.........................................................................................................................................17
References...........................................................................................................................................19
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Three Motivation theories relevant to Tesco
In order to recognise the requirement of the customers and to support the growth of the
organization, the management of Tesco needs motivated employees who additionally should
be well-trained and professional. Tesco realised that the employees are needed to be
motivated for long-term sustainability. Thus, in Tesco, there are different types of levels and
sectors exist such as customer assistants in the store, department manager, warehouse
employees, and logistics staffs (Battu, 2013). Apart from that, with the help of the
motivation, the workforce can be drawn to achieve the great outcome which also reduces the
labour cost. Therefore, three major motivation theories are discussed below for better
understanding
Taylor’s Motivation theory
One of the earlier motivational theory was introduced by the engineer Frederick Taylor in the
year 1911. As per indicated by Taylor, the people who are working in the organization
requires money for daily expansion. Besides that, many years ago in the car assembly
industry, a unique approach was introduced as workers were paid piece rate according to their
jobs. As a result, this approach enhanced a massive profit to the organization(Kiesner, 2010).
On the other hand, according to the motivation theory of Taylor which mainly includes the
employees who are motivated solely by the payment for the work they do. In addition, he also
determined that most of the employees do not enjoy the job rather they are encouraged by the
reward of monetary payment by the organization. After getting the reward from the
organization, the employees are being motivated and give their best performance. This idea
or concept of this motivation theory was adopted by Henry Ford and other entrepreneurs who
were paying to their factory workers according to the number of produced or manufactured
items. Due to the strikes of disgruntled employees, this theory was losing favour, and the
workers became irritated which lead to halted production process. Apart from that, the reward
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strategy of Tesco is very much similar to the theory of Taylor. The only motivating factor is
the financial reward packages within Tesco. Besides that, in both personal and professional
lives money an essential motivating factor(Santhanam, 2002). Thus, Tesco went far away or
beyond the theory of Taylor and provided more than a simple pay increment. By influencing
targeted and relevant benefits, Tesco supports an individual lifestyle of their employees.
Apart from this, there are many non-financial factors can effectively increase the
performance of employees by motivating them. One of the major non-financial motivation
factors is the desire to serve people that can significantly increase the level of the customer
satisfaction. Although, some employees have the courage to improve personal skills and
achieve promotion with the help of effective customer service. In the case of content within
the work, the employees are effectively motivated and encouraged for creating a proper
working environment. In addition, the employees are being communicated and asked for
opinions for making value-added services offered by the organization. The employee
motivation is also critically influenced by the effective and adequate training and developed
provided by the organization. With the help of adequate training session, the employees can
gain skills, knowledge and sense for job satisfaction(Santhanam, 2002). Moreover, Tesco
openly invites the employees in order to join in the staff satisfaction survey for analysing
opportunity through every possible aspect of their jobs. Along with that, Tesco can
successfully evaluate essential elements from the survey to make sure correct things to the
employees to keep them motivated. Thus, some major benefits available to the employees
include following supports of Tesco:
Career Break: this facility allows an employee to take leave between six months to five
years with the right of return to the job.
Lifestyle break: with the help of this facility, an employee can take four-twelve weeks off
work and ensures the work back at the bottom.
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Pension scheme: this award winning scheme includes long-term benefits for the employees
after retirement from the job.
The Mayo's Theory of Human Relations
The social needs of the employees are investigated by the motivation theory of Elton Mayo.
In other words, Mayo explained the significance of social needs and desire of an employee
during the professional career in his motivation theory. Enough payment is not only the basic
element of productive motivation but also the fulfilment of social needs of the employees also
equally important and significant(Mustafa, 2008). In other sense, in order get the best
outcome, the employees are needed to be motivated by social factors. The management of an
organization should consider the social needs of an employee for more effective productivity.
Mayo additionally stated that the managers and directors of the organization need to delight
their employees through care and affliction that explains a point of interest which motivate
the employees to provide their best outcome in the workplace. The motivation of Mayo is
based on his assumption with the research with employees at the Hawthorne plant of the
Western Electric Company situated in Chicago. He additionally suggested that the motivation
is only improved by making and feeling workers important and the management should also
provide a degree of freedom to select the preference and identifying their social requirements.
The theory of Mayo is implemented at Tesco which is an extreme factor of the employee
motivation. Besides that, the line manager of Tesco holds a team meeting in the regular basis
in order to carry out value awards(Mustafa, 2008). This award can be distributed by any
employee to other staffs of the organization as by saying only ‘thank you; and rejoicing
achievement. Moreover, Tesco additionally promotes the motivation by development and
training opportunities. Moreover, Tesco offers an effective strategic career planning to the
employees in order to achieve success in the professional life. In the year 2009, Tesco
successfully appointed near about 3000 managers who clearly indicated Tesco was focusing
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on initial employee development programs. Moreover, Tesco implemented 360-degree
feedback which impasses the development of the employees by reviewing each and every
aspect of behaviour. With the help of the 360-degree feedback tool, the employees can
recognise their strength, behaviour and weakness in the workplace. One of the original aims
of this business tool is that ‘take people along with you’ to done task effectively.
Furthermore, all employees of Tesco have own Personal Development Plan which is
influenced by the 360-degree feedback tool. Due to this tool, the managers are offering
meaningful motivation along with opportunities for continuous personal development of the
employees. In addition, it also enables people to adopt responsibility for the professional
development. Though the assistance of two-way relationship, an employee is committed to
the organizational values and works with other as partners for improvement of the
business(Maslow and Stephens, 2011).
Maslow and Herzberg’s human need theory
According to Abraham Maslow and Frederik lrving Herzberg, people are driven by different
types of psychological forces which create an impact on the behaviour. In addition, Maslow
stated that human are motivated by five essential needs, and he also created a pyramid which
includes five levels of needs of human. This pyramid is also called Hierarchy of Needs, and
five levels of the pyramid are Basic or physical needs, security need, social need, self-esteem
and self-fulfilment (bottom to top). Each and every level of the pyramid includes personal
significance. According to the Maslow’s Need theory, Tesco provided services to their
employees. The basic need includes a place of work, daily and monthly payments and
essential offers such as lockers for keeping personal belongings. On the other hand, Tesco
additionally provides the formal contract as a security of employment including sickness and
pension scheme. In addition, a sense of belonging including a union is also provided by
Tesco in order to ensure health and safety issue in the workplace(Weygandt, 2009). Apart
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from that, in the case of social needs, Tesco effectively provides and promotes group working
and team working at every level of the organization. In addition, long services are encouraged
by effective teamwork and group task. Along with that, with the help of 360-degree feedback,
Tesco emphasise respect and self-respect for other inside the organization and admire other
workers for hard work. Besides that, in order to recognise self-assessment and contribution,
this appraisal system helps Tesco and celebrate achievements and success. Moreover, Tesco
provides Personal Development Plans, opportunities for getting promotion and long term
career progress, recognition of interpersonal skills and abilities. With the help of Personal
Development Plans, Tesco meets the first level of Maslow’s Pyramid of need which is self-
fulfilment. Besides that, Tesco also planned for Talent Planning meetings for more improved
career discussions. Moreover, the fast-track management is another effective program which
helps the employees to achieve the higher level of the professional career(Weygandt, 2009).
At the end of the motivation theory, employee only can be motivated through effective
mental and financial support of the organization. Besides that, with the help of effective
motivational theory, Tesco able to boost the employee's performance which directly
influences the organizational performance. Moreover, Maslow Hierarchy Need theory is the
best way to motivate all employees of Tesco.
Compare and Contrast between two different managerial and leadership styles
Management: There is no variation between the managing and leading process of any
organization in organizational leadership in the twentieth century. A leader is a person
having the uppermost post in a company, and he holds authority and power in the business.
Management and leadership have a various role and different approaches, responsibilities and
behaviour and that was the novel and different idea(Brown, 2009). There are differences
between management and leadership which have been described in many kinds of literature
and those dissimilarities could not give any perfect understanding. Kotter, Nanus and Bennis,
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Martin and Bartol, Locke were incapable of making a perfect understanding between
management and leadership. Even they did not suggest any clear division between these two
concepts. Organizing, planning, budgeting, staffing, coordinating, directing and reporting
come under the system of the management and are being consisted in the heads of
management. Management is classified as scientific conceptions, and it is a tactic to get done
things by people which are the matter of argument. The importance of the management is to
complete the things positively in time. Looking through the above-described perspective,
management procedure is about instructing, guiding, persuading, influencing and other
abilities attached with the behavioral talents through a various process. The nature of the
business is complicated in a modern global situation and to achieve the rare qualities like
self-motivation, self-awareness, self-knowledge is very difficult, though all these qualities are
crucial for the responsible and better management. Those abilities help to nourish the system
of management and to persuade the staffs to the more developed working environment and
ensure to increase the profit of an organization(Brown, 2009).
Leadership: Leadership is hard to explain; a leader can do everything that he should do that
is much difficult to explain. As there are no planned or fixed situations, leadership qualities
may vary by different situations and if the situation gets change. Depending on the situation
in workplace leadership qualities will vary for any person, so the definition of leadership
remains always in a variable state (Webster, 2007). There are many individuals who have
tried to explain the concept of leadership style, so different types of definition of leadership
has been developed that has been observed by Stodgdill. The chief concepts of leadership are
inspiration, vision and followers and these three conceptions are considered as the
fundamental notions. There are no similarities between these concepts of leadership with
management, and those concepts of leadership belong to the outside boundary of
management. Yukl has tried to clarify and justify the importance of a leader in a business
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organization and explained the persuasive outlook is tough and the leaders do not borrow
from the management system itself. He implements and makes procedures to help the
management for gaining the quantitative aim. A leader has the dynamic approach having
targets and missions for the company, but the management authority does not possess the
same qualities as the leader. The visions of the leader are grip-able and more impressive than
the management administration so, they have to think outside of the boundary also and also
capable of adjusting everything in advance by their insightful vision.
The management system plays an important role in an organisation, and there are various
types of management which are included in a company. Out of the different management
systems, two most significant management systems are Human resource management (HRM)
and marketing management. HR management is decorated to enlarge the employee
performance in order to serve the strategic objectives of the employer. The management
system is concerned for the people management focusing on systems and policies within the
organization (Valtysson, 2010). HR manager keeps his worker under his observance and
guidance and helps the staffs when they need the assistance of the authority. As the HR
management team possesses a great power of judgment, the manager of Tesco recruits new
staffs to increase their manpower which helps for the growth of the productivity. HR
management is responsible for many tasks such as employee recruitment, development and
training, rewarding, performance appraisal. The management helps to maintain balance
within the requirements of the product and practices in the company. HR pays attention to
talent management, acquisitions and mergers, succession planning, labour and industrial
relations, inclusion and diversity (Pearson, Taylor and Freeman, 2007).
HR authority plays a significant role in a company. Within many roles, there are some
important roles such as-
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Humanitarian Role: HR manger should explain ethical and moral obligations to the staffs
and should not behave with them bad or think them machinery or tools (Miller, 2011).
Mediator: the management takes the role of the peacemaker, so they are capable of giving
the solutions to the employees and also resolve the conflict among management, individuals
and groups.
Counsellor: HR manager should help their employees for any sudden arising problems like
health, physical or mental problem, etc.
Problem solver: the main role of HR manager is to solve the problems of the workers and
the activities of the overall HR management (Kotler and Keller, 2012).
Spoke person: HR management should take the responsibilities of a spokesman who should
explain an overall and clear picture of the company.
If any company is based on autocratic style, the HR management does not focus on the all
over staffs and their problems, so this type of style is not helpful for the employee
satisfaction. It can effect on the man power of the company as they are the main source of the
productivity of their products. On the other hand, if any company based on transformational
style, the HR management can focus on the needs of the workers and by that process, they
will be helpful for the employees and the company both (Karsh and Templin, 2013).
Another significant management system is marketing management which can be described as
an organisational discipline. This management concentrates on the real application of
marketing techniques, methods, orientation inside the company and on the marketing
activities and resources. The different roles of marketing management are crucial for the
improvement of the company like Tesco.
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Marketing management helps in maintaining and raising the standard of living of people.
Marketing is a creation and delivery to improve the standard of living in a community.
Nowadays poor section of a country also can use the advanced products for the appearance of
new marketing techniques.
Marketing management helps to move, exchange and transfer the goods all over the globe.
Retailers and wholesalers are interlinked for the marketing, and with the help of them,
services and goods can be available to the clients. Marketing management helps both the
consumers and producers (John, 2015).
Marketing management is a system by which many people can involve for buying and selling
products, and this is also helpful for the people and company who can make their profit by
doing this business. But marketing management should control their staffs as the employees
cannot increase the rate of the product as per their wish. If the staffs do that, the company
may face loss and bad impression from the customers.
Among the various leadership styles, two most important leadership styles are transactional
and transformational leadership (Taylor, 2008). Transactional leaders work in the particular
environment, and their work is in the clear and proper structure, and it is also transparent
what type of quality a leader wants from his employees. Transactional leadership is very
helpful for the staffs as, under this leadership style, leaders discuss the subject matter in
which the employees have to work (Hope, Harrold and Brown, 2004). This type of leadership
helps to fulfil every requirement, get done things in time and give the award for the
encouragement of the workers. The style is based on punishment or reward giving process. If
any employee could satisfy the leaders by successfully completing his or tasks, the leader
gives reward to that employee. But anyone makes some mistake; they will be punished by the
leaders. Though transactional leadership has a significant outlook, under this leadership,
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leaders and followers cannot make any emotional relationship or commitment with each
other. They only have the transactional relation which is based on giving and takes policy
only. The only motif of this leadership style is to get done the work successfully, the leaders
who possess the top position in a company order on their staffs. The style is based on only
passive management and helpful for reducing the shortfalls and emphasising on a huge
output. Through this process, the leader can manipulate his followers by giving reward or
punishment (Burns, 2012).
Transformational leadership is concerned with various relations, objective and duties in order
to the diverse atmosphere but a political leader engages with the followers through emotions,
involvement, commitments, trust and identifications. The transformational leadership
develops when the vision, mission and development ideas of leaders and followers match
with others for the growing up of an organization. In the transformational leadership,
followers and leaders move forward to the development procedure with the help of
motivation and trust. The relation between leaders and staffs depends on justice innovation,
fairness, equality, motivation and integrity that end values cannot be exchanged between
followers and leaders by the transaction. The transformational leaders work for ethical and
social manners (Evans, 2013).
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