Strategic International HRM: Performance Management at Tesco (BUS 300)

This report provides an analysis of Tesco's strategic international human resource management (IHRM). It examines the company's HR policies, particularly focusing on performance management across its global operations. The report explores the advantages and disadvantages of implementing a uniform performance management system in a multinational context, considering factors such as cultural differences, legal requirements, and the need for employee training and development. It highlights Tesco's approach to employee training, organizational culture, and its alignment with business objectives. The report discusses how Tesco adapts its HR practices to various international locations, including Hungary, Ireland, and Malaysia, to ensure effective communication and adherence to local laws. It also touches on the challenges of coordinating activities and the importance of performance appraisal techniques in different parts of the company. The conclusion summarizes the key findings, emphasizing Tesco's IHRM strategies and the impact of uniform performance management systems on its global operations.

STRATEGIC
INTERNATIONAL
HUMAN RESOURCE
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
CONCLUSION ...............................................................................................................................6
REFERENCES ...............................................................................................................................6

INTRODUCTION
Strategic international human resource management, the human resource functions are
actively involved in the strategic activities of a firm. It is the linkage between the international
human resource management in relation with the strategic needs of the business. The
organisation undertaken under this report is Tesco which is an British multinational groceries
and general merchandise retailer and it is headquartered in United kingdom (Noe and et. al.,
2017). The report will analyse the HR policies of the organisational and it will also examine the
concept of performance management and its effectiveness in the business.
MAIN BODY
The advantages and disadvantages to a firm in attempting to pursue a uniform system of
performance management across its international operations.
Human resource practices comprises of means by which human resources personnel can
develop the leadership of their staff. That can be facilitated by development of extensive training
courses and motivational programs for example devising different systems that can direct and
assists management in performing present performance appraisal. Where as human resource
policies comprises of providing guidelines that are adopted by organisations. Tesco organisation
model involves and offers training and development to all the employees across different global
location so that their efficiency and effectiveness of their employees can be enhanced as per
needs so uniform performance management cannot help the business as the skills set of
employees differ from different locations. . They have developed their organisational culture by
extending their logo every little helps to prove their commitment towards employees and
customers. The human resource strategy of the business resolves around providing work
simplification, challenging unwritten rules, rolling out of all the head office employees and
performance management which is related with achieving steering wheel target (Morschett,
Schramm-Klein and Zentes, 2015).
Performance management can be elaborated as an process that focusses on creating a
work environment that help the employees to perform to the at their best abilities. It also ensures
that the goals are met in an effective and efficient manner. In order to enable performance
management in the several subsidiary locations tesco ensures that each and every employees gets
an opportunity to understand their role in contribution to the organisation objective and goals.

They tend to provide an innovative induction programme in order to cater the different cultures
and styles of learning of their employees and so that these employees from across the different
cultural background can be coordinated together to work under a common place. In order to
enhance the skills of the employees across different locations. Under the organisation frontline
employees are treated as ultimate reflection of tesco to their customers but they tend to believe
that all their employees have a crucial role in turning core value and customer commitment in
reality on a continual basis. A human resource lead business strategy have helped the
organisation to get an edge over their rivalry in the market.
The organisation have been adopting certain human resource practices for instance they
have increased the role of training within the organisation which involves more training which is
because of the proactive approaches of their human resource department. By providing training a
priority in the management the business is able to provide rise in human resource management in
the firm. The human resource department of the organisation tends to focus on creating
opportunities that can facilitated organic learning and development of intellectual capital that can
be done in order to enhance their core competencies. Employers are focusing on extortion of
best possible performance from their employees that will help them to increase skills of their
current employees at different subsidiary location and will also assist them in recruitment of
employees and will help in establishment of culture of highly skilled work force across different
geographical locations (Brewster, Mayrhofer and Farndale, 2018).
As the business is operating under several job locations such as Hungary, Ireland and
Malaysia it is important for them to direct there HR practices in such as way that facilitates
communication among different location stores so that their work can be coordinated in an
effective manner. They tends to study laws in different nations so that they can adhere to the
companies laws and regulation in order to avoid legal complications. It will impact the decision
of the human resource department for example they will have to design the working schedule of
their employees as per the laws of the country which their employees will be working and in
order to eliminate the different cultural difference the Human resource department is enabling
induction programme at several location along with training and development programs so that
employees can work under healthy environment and can also eliminate the cross cultural
difference among them. In order to coordinate the activities among different location the host
country manager of the stores that are situation at different location have the obligation to report

the information about their performance to the head office that is situated in the Unites states.
This helps the organisation to coordinate among different location and it also help them to
enlighten the host manger about the gaols and objective of the business so that all the group
efforts can be coordinated towards achievement of overall business objectives (Collings, 2014).
The international human resource strategy of the organisation is directed towards
achieving performance management comprises of an ongoing process which involves
communication between a supervisor and employee which occur in a business environment
which is done in order to accomplish the business strategic goals. As the MNC is hiring a large
number of employees all across the globe they tend to incur higher cost therefore they tend to
expect that their employees to perform distinctly and create and contribute and add value to the
overall organisational activities. As the tesco consist of headquarter and subsidiaries that are
situated at different location the HR manager are required to use different type of appraisal
technique for each and every part as their decision will directly impact the various organs of the
company. In the performance management the human resource department faces certain
cahllenges that increase the complexity of the process such as difference between host and
cultural adjustment and uniformity of data performance so these process needs to taken with care
in the MNC by the human resource manager. The major disadvantage of a company using
uniform management system is that it will not be able to suit the overall business as the business
operate in different location then the manger have to adopt different different methods of
different parts as per the situation. As the core business of the organisation and their subsidiaries
may not work in same business therefore using uniform data and performance management
system is not feasible along with the environment situation of every location may differ from one
another so the system for management should also be designed as per the current need and
situation (Mello, 2014).
There are certain advantage of enabling a uniform performance management system
across the internation operations. The process involve clarifying expectations and establishing
goals and also provide uniform feedback and reviews system across different locations. By
encouraging high level of performance and evaluation systems that business will be able to
identify the needs for training and also will help in identification employees with high potential
in the work force across the several locations. Performance management helps business in
international market by enabling higher level of performance that can facilitates competitive

advantage as it focusses on directing employees behaviour towards the achievement of
organisational goals that is done by monitoring their behaviour. It also helps in ensuring that the
business is complying to the legal norms as under the process the business tends to minimise
costly performance that related to litigation by suing appraisal systems that enable the business to
use fair and accurate rating.
Performance management also helps in establishment of coordination among the
organisational strategy along with the behaviour of the employees. It is believed that people tend
to engage themselves in behaviours in that they perceived that they will be rewarded. In order to
get rewards the employees tends to perform at a more efficient level in the business firms.
Under the report I have come across various advantage and disadvantage that are
associated with the performance management system across the international operations. The
major disadvantage is that the operation is taking place at several locations and the certain
factors tend to create complexity in the entire process such as environment situational and
different process that take place in different location. Because of the Human resource department
have to adopt different system for enabling higher level of permanence management in the
business. Where as major advantage is that the business can establish uniform feedback and
review system across different locations that will help them to evaluate the performance of
employees across all the location and also helps in directing their efforts in the direction of
achieving overall organisational goals.
CONCLUSION
From the above report it can be concluded that tesco is a British multinational groceries
and general merchandise retailer operating in different part of the globe. It have adopted certain
HR practice and policies such as providing training and development in various location so that
there employees can work more efficiently. Along with certain advantage and disadvantage of
uniform system of performance management have been elaborated.
REFERENCES
Books and Journal
Noe and et. al., 2017. Human resource management: Gaining a competitive advantage. New
York, NY: McGraw-Hill Education.

Morschett, D., Schramm-Klein, H. and Zentes, J., 2015. Strategic international management
(pp. 978-3658078836). Springer.
Reiche and et. al., 2016. Readings and cases in international human resource management.
Taylor & Francis.
Stone, D.L. and Deadrick, D.L., 2015. Challenges and opportunities affecting the future of
human resource management. Human Resource Management Review.25(2). pp.139-145.
Mello, J.A., 2014. Strategic human resource management. Nelson Education.
Collings, D.G., 2014. Integrating global mobility and global talent management: Exploring the
challenges and strategic opportunities. Journal of World Business.49(2). pp.253-261.
Brewster, C., Mayrhofer, W. and Farndale, E. eds., 2018. Handbook of research on comparative
human resource management. Edward Elgar Publishing.