Strategic Analysis Report: Comparing TNT and Tesco Strategies

This report offers a comprehensive strategic analysis of two prominent companies: TNT and Tesco. It begins by defining and explaining key terms such as mission, vision, and objectives, and then provides a detailed look at the missions, visions, and objectives of both TNT and Tesco. The report explores TNT's commitment to customer satisfaction and its aims regarding SMART objectives, while also examining Tesco's global expansion plans and customer-focused strategies like the Tesco Clubcard. Furthermore, it delves into the meaning of business strategy and the effectiveness of a strategy map, using TNT as a case study to illustrate how companies achieve market positions and competitive advantages through strategic planning and execution. The report also highlights the importance of internal factors like employee training and development in supporting organizational goals and concludes with a reference list.

Running head: STRATEGIC ANALYSIS
Strategic Analysis
Name of the Student
Name of the University
Author Note

1STRATEGIC ANALYSIS
Table of Contents
Explanation of the Terms Mission, Vision and Objectives.............................................................2
TNT’s vision................................................................................................................................4
Aims and SMART objective of TNT...........................................................................................4
Tesco’s mission............................................................................................................................5
Tesco’s vision..............................................................................................................................5
Tesco’s objectives........................................................................................................................5
Meaning of business strategy and effectiveness of strategy map....................................................5
Reference list................................................................................................................................8

2STRATEGIC ANALYSIS
Explanation of the Terms Mission, Vision and Objectives
The term ‘mission’ sheds light on the reason of existence of something. As said by Ekpe,
Eneh and Inyang (2015), organisational mission defines its purpose to exist in a particular market
and to whom it is dedicated. Based on organisational mission, the nature of a particular business
is determined.
The term ‘vision’ refers to mental perception of someone or organisation with which in a
particular environment it is aspired to be something. In terms of fulfilling vision, it is necessary
to actualise the mental perception (Goetsch and Davis 2014). Hence business vision or
organisational vision defines what is its intention to be in the future. In which kind of
environment an organisation operates, is necessary to take into consideration in the context
business vision.
The term ‘objective’ is considered as a managerial commitment in terms of achieving a
specified result within a specific time limit. Objective is a changeable factor with the
advancement of time and situation. Organisational objectives are regarded to specify clearly
which quality and quantity of performance is intended to achieve within which time limit with
which person (Goetsch and Davis 2014). Hence organisational objectives need to be very clear in
stating its goal by a specific time limit.

3STRATEGIC ANALYSIS
Figure: The Role of Mission, Vision, Strategy, Goals and Objectives
(Source: Gurley et al. 2015)
The significance of organisational mission, vision and objectives are represented with the
example of TNT which is the fastest service provider in express delivery. Due to the reliability
and reusability of providing service, it becomes market leader of Europe. However, an
organisation cannot be market leader overnight. It requires to set business mission, vision and
objectives. Then with sufficient data and information, feasible market strategy needs to be made
in accordance with the specified organisational mission, vision and objectives (Kenny 2014). For
success of an organisation, human resources are considered the most important capital. Hence, it
is necessary to determined how to invest human resources in the business. Without having
organisational mission, vision and objective, it is not possible to develop strategy regarding
human resources and marketing management. Business strategy is organisation wide planning
towards fulfilling business mission, vision and objectives.

4STRATEGIC ANALYSIS
TNT’s mission
The existence of TNT is to meet customer’s expectation regarding transfer of goods and
documents throughout the world. It is dedicated with its delivery network in creating an
extraordinary customer value through providing the most reliable and efficient solutions in
quick. TNT believes their existence for their stakeholders. Hence it always takes a good care in
creating a unique value for them so that they stay in their organisation for long term.
TNT’s vision
The vision of TNT is to have uncontested space in its market. In this reference, the
organisation pays less attention to focus on making new customers. Instead of it the organisation
prefers to repeat their service. The organisation believes in consumer retention as they think that
old customers are the base of getting new customers.
Aims and SMART objective of TNT
It is found that TNT fulfils every aspect of SMART objectives in terms of ensuring
profitable growth. SMART objectives mean the objectives are specific, measurable, achievable,
relevant and time effective. The objectives of TNT support its mission, vision and focus on
efficiently transferring goods and documents. TNT aims to behave with the customers
responsibly in order to win their satisfaction. In this way TNT operates towards fulfilling their
objectives is necessary to take into account. Some of the examples are notifying below.
● TNT customer care executives always attend the call from customers within ten
seconds. This approach or objective suits TNT’s mission of providing customers
efficient solutions. Exceptional customer care service of TNT distinguishes itself
from competitors.

5STRATEGIC ANALYSIS
● One of the premium objectives of TNT is to promote carbon efficiency up to 45%
by 2020. This objective has been initiated first in 2007. Such an objective is also
the reflection of TNT’s aim which focuses on reducing the environmental impact
on business.
Tesco’s mission
The core mission of Tesco is to make what matter better, together. The another important
mission of Tesco is to promote daily lives of the customers.
Tesco’s vision
Tesco has a vision to be expanded in all over the world. In addition, it wants to acquire
the first position in the global market of retail industry.
Tesco’s objectives
In order to fulfil mission and vision Tesco follows effective communication plan at
global context. In addition, the organisation undertakes an aim to promote their communication
with the customers. Tesco’s one of the premium business innovation is Tesco Clubcard which
stands for Tesco membership. The owners of Tesco membership have received discount up to a
great amount. This is a way, Tesco improves their relationship with customers and promotes
their sales.
Meaning of business strategy and effectiveness of strategy map
Business strategies refer to the organisation wide workforce planning towards fulfilling
organisational aim and objectives. Business strategies are also considered as long terms plans

6STRATEGIC ANALYSIS
regarding target markets, environment and products. As opined by Cascio (2018), the base of a
competitive strategy lies in having a specific market position. Therefore, TNT business strategies
ensure in acquiring a market position which distinguishes themselves from the other marketers in
the industry. In this reference the organisation performance of TNT is the assurance of speediest
and the most reliable and reasonable service. One of the premium business strategy of TNT is to
develop their core competencies (Chang 2016). In this context, TNT ensures in recruiting highly
efficient staffs who are able to provide service beyond the expectation of the customers. As a
result, customers stay loyal towards TNT.
Some of the important areas are necessary to take into account regarding business
strategies of TNT. It is necessary for TNT to strengthen the integrity of delivery service. TNT
can ensure their revenue growth in looking into which territories can offer the highest return on
investment. Based on this, international operation of TNT mainly operates in Europe, Asia,
North America and South America. TNT needs to develop strategies in terms of taking
competition advantage. Offering effective customer oriented service is important consideration
in this context.
Strategy map of TNT is necessary to take into account in terms of accomplishing the
requirements and expectation of the customers (Hu, Leopold-Wildburger and Strohhecker 2017).
On the other hand, it is required to let every stakeholder be highly engaged within TNT in terms
of meeting organisational aim and objectives. Hence, it can be defined that strategical map is
practical framework of monitoring organisational performance for maximising organisational
profitability. Training and development programme is one of the important consideration in this
reference. It is because kit is necessary to ensure the everyone in the organisation is focused in
executing their responsibilities in supporting organisational mission, vision and objectives. For

7STRATEGIC ANALYSIS
providing exceptional express delivery service, the company is awarded by the Hall of Fame.
This award is given to the companies who made the record of extraordinary performance in the
parameter of Kaplan-Norton Balanced Scorecard. According to Balanced Scorecard, ‘what gets
measured, gets done’ (Cooper, Ezzamel and Qu 2017). It motivates organisation in linking
operational activities to the business strategy in terms of providing measurable impact.
Figure: Strategy Map
(Source: Hu, Leopold-Wildburger and Strohhecker 2017)

8STRATEGIC ANALYSIS
Reference list
Cascio, W., 2018. Managing human resources. McGraw-Hill Education.
Chang, J.F., 2016. Business process management systems: strategy and implementation. CRC
Press.
Cooper, D.J., Ezzamel, M. and Qu, S.Q., 2017. Popularizing a management accounting idea: The
case of the balanced scorecard. Contemporary Accounting Research, 34(2), pp.991-1025.
Ekpe, E.O., Eneh, S.I. and Inyang, B.J., 2015. Leveraging Organizational Performance through
Effective Mission Statement. International Business Research, 8(9), p.135.
Goetsch, D.L. and Davis, S.B., 2014. Quality management for organizational excellence. Upper
Saddle River, NJ: pearson.
Gurley, D.K., Peters, G.B., Collins, L. and Fifolt, M., 2015. Mission, vision, values, and goals:
An exploration of key organizational statements and daily practice in schools. Journal of
Educational Change, 16(2), pp.217-242.
Hu, B., Leopold-Wildburger, U. and Strohhecker, J., 2017. Strategy map concepts in a balanced
scorecard cockpit improve performance. European Journal of Operational Research, 258(2),
pp.664-676.
Kenny, G., 2014. Your company’s purpose is not its vision, mission, or values. Harvard
Business Review. Sep, 3.