Organizational Change and Leadership: Tesco and Marks & Spencer

This report provides a comprehensive analysis of organizational change and leadership, focusing on the case studies of Tesco and Marks & Spencer. It explores how these companies have adapted to internal and external drivers of change, examining the effects on their strategies, operations, and leadership decision-making. The report delves into various aspects, including the comparison of organizational examples to understand the impact of change on strategy and operations, the analysis of internal and external drivers and their impact on leadership, individual, and team behavior, and the evaluation of measures to minimize negative impacts on organizational behavior. Furthermore, it examines the long-term implications of change drivers, barriers to change, and the evaluation of leadership's decision-making. Different leadership approaches to manage change within the organizations are also discussed. The report incorporates models like PESTLE analysis and force field analysis to provide a structured understanding of change management, offering valuable insights for students and professionals alike. The report concludes with a discussion on dealing with change in the organization through incorporating the various approaches of leadership and analyzing the extent of these approaches through applying the models.

Understanding and
Leading Change

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
LO1..................................................................................................................................................3
P1 Comparing organizational examples to know the effect of change on its strategy and
operations.....................................................................................................................................3
M1 Various drivers for change and the types of organizational change they have affected.......5
LO 2.................................................................................................................................................5
P2 Analysing of the internal and the external drivers to change in the impact of leadership,
individual and team behaviour.....................................................................................................5
P3 Evaluating the measures which can be incorporated to minimize the negative impacts on
organization behaviour.................................................................................................................6
M2 Critically analysing the long term implications of internal and external drivers of change
in the context of organization......................................................................................................7
LO 3.................................................................................................................................................8
P4 Elaborating the several barriers for the change and the evaluating the impact of the
decision-making of leadership to the context of organization.....................................................8
M3 Evaluating the resisting forces and driving through incorporating the force field analysis..9
LO 4...............................................................................................................................................10
P5 Dealing with the change in the organization through incorporating the various approaches
of leadership...............................................................................................................................10
M4 Analysing the extent of the approaches of leadership to the change in organization through
applying the models...................................................................................................................11
CONCLUSION..............................................................................................................................12
REFERENCES................................................................................................................................1

INTRODUCTION
Understanding and leading change is a fact that is commonly known to assist the
participants or the organizations for the problems that comes in the way of developing
or starting the business (Carter and et.al., 2018). However, it becomes quite difficult for
the firms to identify the problems according to the situation as the business environment
is changing. It is important for the firms to identify these as it need to grow and become
successful in the long run. The report will be based on two organizations namely, Tesco
and Marks and Spencer. Tesco is a British multinational organization that is engaged in
retail business of groceries and products of general use. Similarly, Marks and Spencer
is engaged in selling merchandise, home and beauty products etc.
The report will highlight the different issues, effect of change on the
organization's strategies and operations, influence of causes of change on behaviour of
the organization and how these changes impact the leadership decision-making (Jones
and et.al., 2020). The report will explain how to use different leadership styles to make
changes in the project. Different leadership approaches that the organizations takes up
to manage the change in the firms will also be highlighted in the report.
MAIN BODY
LO1
P1 Comparing organizational examples to know the effect of change on its strategy and
operations
The process of organizational change is practised by the organizations to meet
their objectives or goals. In order to fulfil these goals, it is important for the firms to build
an effective plan so that work is done successfully. The environment is dynamic in
nature that is it keeps on changing. This makes it important for the firms to identify the
demand and preferences to make strategies and policies in order to make the business
successful. Operations of the business depends upon its size, nature and share in the
market. The company like Tesco and Marks and Spencer needs to carefully research
about the impact of variables on the operations of the business. Tesco offer its
customers cheap prices and good service to create their brand image. The company
achieves customer satisfaction by satisfying their employees who work in order to fulfil
the needs of their customers. Marks and Spencer do everything to make their

customers feel interested to buy their products and will prioritize their customer service
over anything else. This will result in earning brand loyalty for the customers
(Priyadarshi and et.al., 2020). There are certain specific changes which the companies
like Tesco and Marks and Spencer adopt. Following is the comparison of the two
organizations:
Strategy
Marks and Spencer – The major change in the company of Marks and Spencer came
with more and more selling of its products online and more food items being delivered
directly to the home. This created the accelerated growth in the company. The company
claims that the transformation is the reason for the change by increasing competition
from providing discounts in various consumer markets. The company is focusing on
reducing the cost of selling the products and other costs that hinder the growth of the
organization and further achieve the goals effectively and efficiently. It also makes an
effort to reduce the waste and create waste management techniques to attract the
conscious customers. It focuses on special group of customers according to their age
and preferences to attain a special position in the industry.
Tesco – It was important for Tesco to identify its marketing mix and the company did so
by introducing new farm based products. This helped the customers who are conscious
about the cost of the products offered by the company (Rosnizam and et.al., 2020).
Prior to the rebranding process the cost of the baskets of products based on farm
products was a bit costlier. New prices for the products increased sales for some
products and increased customer satisfaction for some products.
Operations
Marks and Spencer – The company of Marks and Spencer is constantly engaged in
making changes and introducing a totally new structure for the organization that is being
improved by reducing the dependency on different roles, clearing the leadership styles
and fulfilling the needs of different customers.
Tesco – in order to reduce the queue in the shops the company has organized self-
scan checkouts to adapt to the changing environment. Every customer tries to spend
less time as possible in any shopping store. This technology would facilitate the

customer satisfaction and make the customers happy ans satisfied by reducing their
time spent in shopping for the company's products.
Different changes occurred in the two organizations which can be analysed using
the PESTLE analysis. Political factors like political instability has created concern for the
two business. Economic factors like inflation and taxation allows the company to create
different policies to manage their prices along with the costs. Social factors like
customer satisfaction and technological factors like online business helped the business
to run successfully. Environmental factors like waste management techniques in the
business and other factors like different laws and legislatures comes under the legal
factors that influence the firm's performance.
M1 Various drivers for change and the types of organizational change they have
affected
There are different factors like technological up gradation, preferences of the
consumers, rules and regulations etc. influences the change in the two organizations,
namely Tesco and Marks and Spencer. For example, Tesco has to adopt the self scan
checkouts from the shops in order to adapt the changing technology and reduce
pressure of the competition. This helps the companies to increase customer
satisfactions by offering wide variety of products and reducing the expenses as wide
range of products requires huge amount of costs (Wolberger and et.al. 2018).
In order to maintain competitive edge in the market of UK, marks and Spencer
has adopted online mode of shopping for its customers. Various drivers of change have
been the waste management techniques in the organization that reduces the waste and
also the cost that is highly helpful in the maintaining good position of the company in the
industry.
LO 2
P2 Analysing of the internal and the external drivers to change in the impact of
leadership, individual and team behaviour
To the success and the failure of the business there is the significant impact of
the internal and the external factors. To maintain the viability in the companies business
should adapt to it while the leaders was not able to control the external variables
(Cortellazzo, Bruni and Zampieri, 2019). The internal factors affecting the firm there is

the significant control by the executives and the owners of the companies. To the
success of the business there will be the big effect for the handling of the internal
issues. Economic, technological, political and the social are the factors which external
influence the organization. The way of interaction of the organization with the external
factors define the performance of the team which affect to the internal variables ( Locke,
Feldman and Golden-Biddle, 2022). To the environment of team there is an effective
communication between the leaders and the learners who were effectively
communicating and learning. To the companies and the team will be benefited through
the interchanging of the leading ideas. Thus, to become the world's largest retail
supermarket Tesco has effectively and successfully applied the methods. To the
transformation of the Tesco there is the contribution of the both internal and external
factors. The primary causing are following:
 Leadership effect : To achieve the peal performance and the team member's
motivation the change in the drive will enable to explore the novel methods by
the leaders of Tesco (Rodríguez-Sánchez and et.al., 2020). To forcefully execute
for the change the leadership of Tesco will shift from the democratic to
authoritarian.
 Team behaviour effect : In the Tesco to the behaviour of the team there will be
the significant impact due to changing drivers. There is the need of the
improvement in the productivity and the functioning of the team leader as
opposed by the member (Locke, Feldman and Golden-Biddle, 2022). There
should be the modification of the strategies by the managers and the companies
in regard to the new situation.
 Individual behaviour effect : There will be the less motivation of the employees
and the employer in the participation of change while the implications of changing
drivers (Cortellazzo, Bruni and Zampieri, 2019). To the changes the behaviour of
the individual will have the negative attitude.
P3 Evaluating the measures which can be incorporated to minimize the negative
impacts on organization behaviour
To rationalize the negative effects of the emerging change in the behaviour of the
organization Tesco can follow the number of steps:

 Strong Plan development : The workers will adapt the new practices by
enhancing the leadership and the developing of the strategies and the plans by
Tesco (Locke, Feldman and Golden-Biddle, 2022). There should be also the
training and the educational programmes developments by the managers and
the leaders in the organization. The change in the implementation resistance will
be reduced and to the new changes and the practices the workers of the Tesco
will be accustomed.
 Effective Leadership : To the mitigation of the change in the negative impacts to
the behaviour of the organization the most effective strategy is the effective
leadership. There will be the successfully adaption of the organizational changes
in the Marks and Spencer by developing the suitable leadership by the
executives (Rousseau, Hansen and Tomprou, 2018). Through demonstrating the
best practices and providing the examples by the leaders that will compete by the
team members or the workers. The minimizing of the change the style of
leadership includes critical element.
 Effective communication of change plans : To the process of the spread of
the misconception there is the worst outcomes to the change management. To
the management communication there is the consistent and the clear innocent to
the gossip of staff (Locke, Feldman and Golden-Biddle, 2022). The change in the
Tesco will minimize the negative impact through adapting the various
communication tools and communication plan. It will help in the easy and the
well-informed to organization employees.
M2 Critically analysing the long term implications of internal and external drivers of
change in the context of organization
Tesco will become the world largest retail supermarket by deploying the efficient
and the successful method. To the transformation of Tesco there will be the lead of both
internal and external factors. The sections are as follows:
 Customer value creation : Adding the value in the shopping experience Tesco
will able to attract new customer and will also able to maintain the existing
customers is the goal of Tesco (Rousseau, Hansen and Tomprou, 2018). For its

consumer Tesco want to enhance the experience of shopping by implementing
the self checkout system.
 Customer base expanding : Due to the rapid expansion of the client base there
is the success of the Tesco (Rodríguez-Sánchez and et.al., 2020). Through the
introduction of the self checkouts the customers will no longer wait in the long
lines for their purchase payment. There will be the convenient and the fast
process by utilizing the self checkout.
 Competition : To the development of the majority of the industries there is the
frequent catalyst between the company's competition (Rousseau, Hansen and
Tomprou, 2018). Over the rivals, Tesco has developed the technology of self
checkout for acquiring the competitive edge. Through the adoption of the system
Tesco will able to differentiate itself from other brands.
 Innovation in technology : To the success of the organization it is important to
adapt the latest technology (Rodríguez-Sánchez and et.al., 2020). It will also help
in increase in the efficiency in the operation through introducing the system.
LO 3
P4 Elaborating the several barriers for the change and the evaluating the impact of the
decision-making of leadership to the context of organization
 Employees involvement : To change the management the involvement of the
employees is considered as the most prevalent hindrance which was faced by
Tesco. To the change in process the employees were actively engaged, there is
the inherent change of fearful by employees (Pel-Littel and et.al., 2021). To the
process of transformation many of the companies failed to involve the employees
in the operations and the activities. To the total change of resistance a new
culture was embraced and to the unknown the dread was promoted. To the
component change the involvement of employees is necessary as this also effect
in the decision-making of the organizational leaders.
 Ineffective planning of cultural shift : To the individual the impact of change
was unaware by the planning staff. For administrative of the organization there is
the exclusively focus on the planning by the team (Dobbins and et.al., 2018).
Also, at stage of work area duties, job reporting structure and to the job

obligations. On the intuitions and the emotions based the team of planning
identifies the things. To the forming of a change to the gap it ignores the factors
such as the reasons, feeling of people and the operations.
 Inadequate strategy for communication : The efficient communication strategy
was lacked by certain businesses (Dobbins and et.al., 2018). There will be the
adaption and follow of the change by the employees once the top leader adopted
the change. To the introduction of the change it considered as the dumbest
method and also for the strong opposition change. To the decision-making of the
leadership barriers impact the organization.
M3 Evaluating the resisting forces and driving through incorporating the force field
analysis
For and against the forces change there is the balanced between both to the
asserts of organization in the Kurt Lewin's Force field theory. In the companies there will
be brought in the change by the managers through providing of the perspective (Mak
and Chang, 2019). Tesco should include the change management in driving forces:
 Effective leadership : Dubbed participatory, Democratic form of leadership was
adapted by the management of Tesco to which there is the recognition of the
views of the employees in the process of decision-making (Dobbins and et.al.,
2018). The change was managed in the organization as the people in Tesco was
encouraged by the leadership.
 Customers : Multitude of factors were attributed to the success of Tesco. It also
increases the customer base of the company (Mak and Chang, 2019). At the
checkpoints there is the crowding of relieve, the self-checkout was designed. For
the payment on the purchases the customer do not have to wait in queue.
 Ineffective Planning : The another resistant force for the integration of change is
ineffective planning. To the management and the implementation of change it
influences the organization (Dobbins and et.al., 2018).
 Human resource : Enhancing of the quality and the skills in to possibility of the
business is the primary objective of the human resource in Tesco. To the
success of the organization the guarantee was provided and for maximizing the
potentiality by the workers.

 Technological factors : Thus, the business wishes to flourish, it will be critical
for improvement of technologies to the business with the advancement of
technologies (Mak and Chang, 2019). Using the self checkout Tesco will able to
increase the efficiency in the operations.
 Communication strategy absence : There is no effective strategy of
communication by the Tesco. To bring the change it is considered as the most
illogical way that defines how tremendously the changes were faced by the
opposition (Dobbins and et.al., 2018). Thus, there is the began to adjust the
change accordingly by the people once there is the announcement of change as
frequently believed by the senior executives.
LO 4
P5 Dealing with the change in the organization through incorporating the various
approaches of leadership
To the organization such as Tesco the approach of leadership situation and the
transformation can be incorporated for the change managing.
 Situation Leadership Approach : To lead the people there is no ideal way as
claimed by the approach of situation leadership. The qualities of the followers
should be determined and the leadership style must be highlighted (Galli, 2018).
To the depending on the preparation of the followers the leaders were teached to
show the most successful leadership in the situational approach. From the
followers the optimum performance will be extracted by the leaders such as the
degree of confidence, willingness and the followers skills when there is the match
of leaders behaviour with its followers. In order to manage the change the
approach can be adopted by Tesco for the promotion of the most effective
leadership in the culture of organization.
 Transformation Leadership Approach : There is the good change to the both
social system and the people in the leadership style. The main goal is to convert
the followers into the leaders and this ideal will lead in the change in the
disciplines in the both beneficial and the significant way (Swanson and et.al.,
2020). The group of members in the transformation leadership were encouraged
in the emerging of the individual who were looking beyond there self-interest and

self actualization for the benefit of the institution's or the teams largely. To absorb
the same beliefs and the values to the followers there is the promotion of the
moral growth by the leaders. To the positive change there is the encouragement
of the employees through the leadership approach. This helps the Tesco in
managing the effective operations.
M4 Analysing the extent of the approaches of leadership to the change in organization
through applying the models
To improve the competitive power and to reduce the resistance change there is
the desire to Tesco to implement the progressive of self checkout. The Kotters change
model can be implemented by the strategic manager as the new initiative (Pieroni,
McAloone and Pigosso, 2019). Over the short period of time the progressive of change
initiative can be implemented. To the adjustments the change was suitable in context to
the organization, it includes the change in technology in the endeavour change.
 Sense of urgency creating : To maintain the position of leadership in the
market Tesco decided to enhance the providing of the service to the customers
and to improve in the competitive market. Due to evolving of the technology there
will help the company in enhancing the customer services and the cutting down
of cost (Oreg and Berson, 2019). Tesco is closely monitoring the system of self
checkout which was launched by the Marks and Spencer as a new technology.
To the change initiative Tesco implemented the system of self checkout.
 Distinct vision creation : Becoming profitable is the new vision of the company.
Embracing technology, excellence customer service delivering is also the focus
of company (Pieroni, McAloone and Pigosso, 2019).
 Team forming for the coalition of power : To the meaning of the effective
change there is the representative of authority and power to the area of trade
union, area manager and the supervisor in forming of group (Oreg and Berson,
2019).
 Vision communication : Companies website was used for the creating of the
vision. To the discussion of the aims meetings were held with the workers and
from the area manager the information falls to the supervisor.

 Visions carrying out for empowering others : To feel the self checkout system
importance the training and the educational programs was conducted by the
change managers (Pieroni, McAloone and Pigosso, 2019). The obstacles were
overcomed by assisting the employees. Workers who were obstructing the
progress the sessions of special education was organized. Individuals who work
to achieve the goals were rewarded by the company.
CONCLUSION
It has been concluded from the above report that, the implementing and the
initiating of the change problems can be meet through the participations of the
understanding and the leading change. The report compared different business
organizations such as Tesco and Marks and Spencer which impacts the change in the
operation and the strategy of organization. The current report assessed the different
drivers for the change in the given organization and also assessed the affect of change
to the organization. Further, the report evaluated the ways the external and the internal
drivers of change affect the individual, team and the leadership behaviour within the
organization. Moreover, the current report evaluated the measures which were taken for
minimizing the impact of change to the behaviour of organization. The report also
applied the appropriate models and theories for critically evaluating the change in
response to organization. Further, the report explained the different barriers for change
and determined how the decision-making of the leaders influenced to the context of
organization. Moreover, the report used the analysis of force field for resisting and
driving the forces and show the influence of decision-making. Thus, the current report
applied the approaches of leadership for dealing with range of changes to the context of
organization. Lastly, the report evaluated the extent to the approaches of leadership
which deliver the change in the effectiveness of organization by applying the
appropriate framework and models.