Strategic Management: Evaluating Tesco's Business Plan and Strategy

This report provides a comprehensive analysis of strategic management principles, focusing on Tesco as a case study. It assesses the processes organizations use to determine their strategies, evaluates the impact of internal factors such as human resources, organizational structure, culture, assets, and management, as well as external environmental variations like economic conditions, technology, political factors, climate change, and market dynamics on organizational strategy. The report reviews Tesco's strategic plan, examining how the company adapts to changes in its business environment to ensure long-term sustainability and competitive advantage. It emphasizes the importance of understanding change management and implementing changes effectively within the organization. Desklib provides students access to similar solved assignments and study tools.

STRATEGIC
MANAGEMENT

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
Assessment of the process used by organisations to determine their strategy............................3
Evaluation of the impact of internal and external environmental variation on organisational
strategy........................................................................................................................................5
Review of Strategic Plan of Tesco ( Business Plan)..................................................................7
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Strategic management is defined as the continuous process that involves the planning,
analysing and motivating all the resources which contribute to the overall growth and meet the
purpose of achieving their objective. These aspects keeps changing as per the time so it is
important for the company to have he continuous emphasis for framing appropriate strategies for
meeting the success in the large market (Trofimova, 2020). They also offer various advantage
that includes the setting of objectives, analysing the competitive environment and access the
internal factors in order to implement the strategics in a appropriate manner. They also emphasis
on running the business venture with proper policies and measures. This also includes the
strategic management for taking appropriate feedback by which they can monitor the planning in
order to reach to their desired goal. Tesco is the chosen organisation for this report, It is the
retailing company that is established in 1919 and the headquarter is in Welwyn Garden City,
Hertfordshire, England, UK. This report will analyse the concept of strategic management and
also analyse the process that is being used by the company for determining the purpose of such
strategies. Furthermore, It will analyse the internal and external environment on the business
strategies and it also cover the strategic action plan for the business with the change in the
internal and external environment.
MAIN BODY
Assessment of the process used by organisations to determine their strategy.
Strategic planning refers to the certain strategies that are being used by the firm of
creating business strategies and further implement in the workplace. This also focuses on
analysing the results of executing plan for meeting the purpose of attaining objectives and goal
of the business. Formation of the strategies is defined as the process of choosing the correct
action so that they can achieve the goal and objectives of the organisation. There are certain steps
which are indulged in determining the business strategies:
 Setting objectives of organisation:The main consideration of forming the certain
strategies is to meet the final goals and objective of the company. These aspects are
considered as the medium to reach to the desired position. This focuses on objectives on
which the state is being medium to reach at the desired position is related to the process.
This also involve the both fixation of the goals with the medium that is being accessed by

the firms for attaining the goal of the company. There are certain objectives which influce
the overall decision-making of the company. It is also considered as the wider term that
emphasis on the distribution of the certain aspects for meeting the purpose of attaining
company's objectives, It is vital for the company to have the effective analysis that impact
the decision while choosing the certain objective of the company.
 Evaluating the environment of organisation: After fixing the goals of the company it is
vital to have the effective analysis of economic and industrial environment in which the
company is operating their business. It is significant to have the qualitative and
quantitative review of existing product. In this, organisation needs to have the proper
emphasis about their competitors strength and weakness. The management have to keep
tan eye on their rivals by which they can grab the certain opportunities for the suppliers
or the market.
 Setting Quantitative Targets:It is the aspects in which company needs to have the
quantitative target value. This also leads to set the setting quantitative targets for long
term customers. It is also necessary for the business to add some values for meeting the
quantitative targets which results in getting the effectiveness and efficiency of strategies
within the organisation.
 Aiming in context with the divisional plan: It is the aspects which focuses on the
contribution of each and every department so that this also helps in performing the
business strategies accordingly (Mahadevan, 2020). This is also leading to have effective
analysis of macroeconomics and understaffing the market trends. In this, strategies are
being developed as per the strategies which is being developed so that organisation can
divide the work and the certain roles to the various business units which results in getting
all the work in right approach.
 Performance Analysis: It is the main consideration by which the different between the
actual and the desired performance can be effectively analysed. The management perform
the certain functions that are being preformed in past or present and analyse them in an
appropriate manner. This also helps in analysing the gap between the actual and the
desired performance so that the company can effectively meet the certain strategies which
is leading to attain the organisation desired goal of the company. Company can perform
certain actions for estimating the current and future tends of the market.

 Choice of Strategy: it is the final step of process of strategy formation and this is the
best course that is actually chosen after the business goals, organisational strength and the
limitation integrated with the external opportunities.
It is analysed from the above discussed various steps of process of analysing the
strategies at the workplace. There are certain process that is being followed by the management
of Tesco. So, majorly the prior objective is to analyse the environmental factors, quantitative
targets that are being analysed and also leading to achieve the quantitative targets by the
organisation in order to enhance their overall organisational performance as well. After analysing
the work which is being operated in the several departments, overall performance of the
company and the certain decisions taken by the firms in developing strategies by deciding the
best best for the business growth.
Evaluation of the impact of internal and external environmental variation on organisational
strategy.
All the business venture is having the direct impact of micro and macro environmental
factors that is related to the human capital of the company as how they are working in the
business in order to attains the goal of the business. These are the certain aspects which is related
to the organisation and their working. Thus, the management can access the change it by having
proper planning and changing processes. External aspects can not be controlled by the
management.
Internal Environment Factors Human Resource:It is related to the success of the company which depends upon the
experience, capabilities and the knowledge. For this purpose, the HR department require
to recruit the potential candidates within the organisation and they must emphasis on the
training of the staff as well and volunteers. This can be said that training plays an
signifiant role in the development of the employees. Organisation structure: There is the certain technology which is becoming the
organizational structure that includes the small number of employees and the managers. It
is the general way by which all the work ned to be carry out with the mission of the
company that is also distributes among the employees. Organisational Cultures: It shows the attitude and the ability of the staff which is
directly related to the success of the company. It create the values to the overall system

by the company is running their business venture in the market. It is also responsible for
managing the overall HR policies and the certain practices (Khalifa, 2021). In this
context, the employees is having the negative attitude separately on the capabilities of the
business in improving the overall strategies in the target market and respond to the
business at it whole. Whereas the positive working environment helps in attracting the
potential customers at its own. Assets: these are the resources of the company which make strong internal factors of any
business and also helps in uplifting and pleasant working within the premises. The proper
availability of equipment is leading to have the certain aspects which are beneficial to the
business and the internal business environment. When the company is running their
business in short supply or nor meeting the standards of the business which hinder the
staff in their overall performance and all the machinery is not meeting the satisfaction
level of the customers.
 Management: It is based on the leadership style and the certain working of the business
which implies of having effective team and also impact the overall morale of staff and the
culture of the business. In the modern era, it includes the involvement f the worker in
decision-making process with the view that employees can effectively match the view
point of the employees. This also helps in earning the overall profits by meeting the
working for the purpose of attaining business goal.
External Environment Factors Economic Condition: As per the overall economic condition which can effect the overall
spending power of the consumer and increase in the interest rate or the huge
unemployment rates leads to reduce the overall consumption of the goods and services in
the market place. Technology: From over the long period of time, there is leading advancement in the
technology and this is the factors which is giving huge pressure to the business. When the
entrepreneur or the owner do not use the advance technology within the set time frame
and results in reducing the overall market share. Innovation in the technology used by
the Tesco leads to increase the overall sale of the company. Political:Change in the government consideration or the policies leads to have the results
in gaining the overall change in the business structure. This has been found that business

aspects is dependent on the financial assistance of the government. In context to Tesco,
change in the government policies impact the funding assistance in a short span of time. Climate Change: These are the aspects which is leading to have the change in
recognisable only if it is evaluated on a decade by decade. This also leads to change the
climate that will not affects the business in an similar manner(Bandarian, 2020).
 Market: the constant change in the external aspects also leading to have the emphasis on
external factors of environment and considered as the strength for competing in the
market. In the entry or the exit of the firms, they change their marketing stratgies, product
line or the prices of the goods. It is also important for the managers to have direct
emphasis on the competitors so that they can be aware of all the actions which is being
performed by the rivals.
Review of Strategic Plan of Tesco ( Business Plan)
Business environment is defines as the sum of total market and the certain factors that
make continuous change in the certain factors such as change in demand, technology, rules and
regulation of the government bodies and many more. Fir the purpose, It is successfully ensuring
the long term sustainability that is placed in the business environment. It is necessary to work
based on the size, scope to change in the effective and efficient manner. It is the necessary tool
essential for Tesco to understand the concept of change management and the certain
implementation in the changes within the organisation. This also not provide the competitive
advantage but is is also leading to have the benefits to the business but also leads to improve the
abilities and performance for operating their certain job role in the current business environment.
In order to have the new technologies, It is found that need and wants of the consumer required
to fulfilled the overall demand of the consumer by which product can provide the goods and
services as per them that results in the higher profitability and the productivity of the company.
When the Tesco do not give the attention to attract such factors which also leading looses the
results with in the organisation.
Leaders and the managers of the company plays the vital role in implementing the
changes at the workplace. In context to Tesco, they are working with effective approach and
motivate themselves for adopting the certain opportunists and advance technology which also
leads to increase the overall profitability of the company. With this, it has been seen that leaders
and the managers are providing the positive and influencing working environment to their

workers and also leading to have better growth and providing proper guidance as they are open
minded for meeting the purpose of accepting the change. Leaders of Tesco continuously
understanding the meaning of change management to their prospective employees as they
believe that giving information to the workers when let them adopting the new technology in an
appropriate manner. This is also leading to have the right approach to the managers who are
focuses on participating of their workers in decision-making process. With this, they are offering
continuous feedbacks and suggestions which is leading to encourage their loyalty of the
employees for the effective working within the workplace. Tesco is also having able to take
better decisions which also boost the overall trust of the employees which is helpful for the
accomplishment of the business goals.
From the above analysis, It is seen that the process of change management helps in
allowing the organisation for managing the difficulties changing process which leading to
resolve the risk associated in the trends and the mindset of the individual. Furthermore, it is
evaluated that the large business such as TESCO with the helps of using change management
model and this also shared the approach for accessing the change and aligning with the resources
in an effective manner.
CONCLUSION
From the above report, It is concluded that strategic management is significant which is
leading to gain the competitive advantage in the market. Strategic management also gives the
guidance to the employees which is having the certain resources by which they can dominance in
the rejective market. For meeting the purpose of making decision-making which is also
necessary for them in order to analyse the impact of internal and external factors in the business.
Business environment includes the certain various factors that is not easily predict by them.
Thus, they are highly influence certain factors in various ways. By implementing the right
strategies company can overcome from the certain challenges that they are facing by using the
any change in certain operations and also results in the growth and development of the company.

REFERENCES
Books and Journals
Adamova, G.A., Khabib, M.D. and Teplyakova, M.Y., 2020. The Problems with Information
Support of Strategic Management. In Complex Systems: Innovation and Sustainability
in the Digital Age (pp. 33-41). Springer, Cham.
Bandarian, R., 2020. Explaining the competitive advantage in strategic research and technology
management for research and technology organisations. International Journal of
Business Continuity and Risk Management, 10(1), pp.23-46.
Gómez-Caicedo, M.I. and Alarcón-Villamil, N.O., 2020. Importance of the implementation of
processes derived from Strategic Management. A case study. Journal of the
International Academy for Case Studies, 26(3), pp.1-7.
Khalifa, A.S., 2021. Strategy and what it means to be strategic: redefining strategic, operational,
and tactical decisions. Journal of Strategy and Management.
Kouamé, S. and Liu, F., 2021. Capturing emotions in qualitative strategic organization research.
Strategic Organization, 19(1), pp.97-112.
Mahadevan, K., 2020. TLP for Strategic Management 2020-2021.
Olano, M.L.R., Calimag, M.M.P. and Hapan, M.F.Z., 2020. Strategic Management Practices of
Medical Technology Deans: Tackling Organizational Challenges Through Sun Tzu’s
Art of War.
Trofimova, N.N., 2020. Strategic aspects of anti-crisis management of enterprises during the
COVID-19 pandemic. Vestnik Universiteta, (11), pp.59-66.
Velikorossov, V.V. And et. al.,2020. Strategic management.
Westney, D.E., 2021. MNCS and cross-border strategic management (pp. 301-318). Oxford
University Press: New York, NY.