Leading and Managing Change: Analysis of Tesco's Approach

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This report analyzes change management within Tesco, a UK-based retail giant. It examines the concepts of planned and unplanned change, highlighting how Tesco adapts to its dynamic business environment, including the impact of events like Brexit. The report emphasizes the importance of planned changes, such as those driven by progressive leadership, in improving work efficiency and mitigating risks. It explores how Tesco's HR department supports change through the Kurt Lewin change model, addressing challenges and leveraging opportunities for growth. The report details how HR managers at Tesco support both planned and unplanned approaches to manage business for effective achievements of goals. Furthermore, it discusses challenges associated with change management and the strategic approaches HR can use to implement these changes. The report highlights the importance of systematic change management, error removal, research, and risk management within Tesco. Ultimately, the report underscores Tesco's commitment to adapting to external factors and maintaining a competitive edge in the retail sector.
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Leading and
Managing Change
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
1. Change management in organisation.......................................................................................3
2. The way HR managements can support planned and unplanned change approaches.............5
3. Challenges of the human resource management.....................................................................8
CONCLUSION..............................................................................................................................10
REFERENCE................................................................................................................................11
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INTRODUCTION
Change management is a process that involves addressing the needs and requirements of
organisation and implementing changes in company that can cope up with such change. This
report is based on the case study of Tesco Company in respect to the change management in
organisation. Company is a United Kingdom based retail sector organisation. Company was
established in the year 1919 by the founder Jack Cohen. Headquarter of the company is located
in England. Company owns stores in more than 6800 locations all across the globe. Tesco
Company owns stores in United Kingdom, Ireland, India, Malaysia, Thailand, Czech Republic,
Slovakia, Hungry and Poland. This report will demonstrate the change management in respect to
the organisation. The aim of the report is the demonstrate that weather the change management is
planned or unplanned for the company. This report will also project that how the HR Department
can implement changes as per the planned or unplanned change management process. Relevant
theories related to change management will also project in this report. Furthermore, report will
emphasis on the associated challenges part of the change management process. Strategic
approaches HR Department can channelize to implement the change man agent process and also
to deal with the associated challenges of change management.
MAIN BODY
1. Change management in organisation
Change management is defined as a process to introduce new aspects of conducting
business operations. Changes are always a part of the business environment. The environment
consist the volatile nature that offers multiple opportunities of change management in
organisation. In recent times business organisations associated with the retail sector has
witnessed BREXIT that has driven companies to introduce changes in company to meet up the
new business environment and market situation offers after BREXIT happens (Imran and et.al.,
2016). In case of big organisations like Tesco where leadership is keener towards channelizing
progressive leadership style management always look for changes that can improve the work
efficiency of the company.
Changes introduce by company are further segregated into planned changes and
unplanned changes. Planned changes are defined as such changes that introduces in organisation
on a planned basis. As the progressive leadership always offer changes in company that can
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improve the work efficiency of the organisation. In order to conduct the change as per the
approach of progressive leadership management conducts the precise planning in respect of
implementation of such change in organisation (Harrington, 2018). Such changes can be
summarises as the planned change in the organisation. Many times the change is a part of the
emergence of the certain situation in the business environment and as a result of that organisation
needs to conduct change in organisation. In United Kingdom companies has seen the situation
like BREXIT that has introduced sudden changes in the companies due to several different
factors. It can be stated that planned changes are more significant in nature as compare to
unplanned nature of changes in organisation.
Importance of planned change
Planned changes serve the following importance that can be projected in following
points.
Systematic approach of change management: Change management is an important part of
progressive style of leadership in organisation. Tesco Company is well known for its effective
change management policies that influenced the progressive nature of its leadership style.
Planned changes allow management of Tesco Company to implement changes in more
systematic manner (Van der Voet, Kuipers and Groeneveld, 2016). The aim of the change
management is to improve the work efficiency of the company and to improve the growth
potentials of the organisation in market. Planned nature changes allow company to implement
such changes in more professional manner that also improves the importance of the changes in
the company.
Remove errors: Planned changes allow leadership and management to remove the errors
involve in change management. As the change management process involves introducing new
processes and techniques in the company that can offer better operation efficiency. Due to proper
planning related to changes the process also support the company in addressing errors while
implementing changes in the company.
Proper research: Planned changes also involve proper research about the changes that is
proposed by the management and leadership. As the change always involve risk as it involves
financial resources of the company (Khan and Akbar, 2020). Planning for change also involve
conducting research about the proposed changes offer to company. Planning allows company to
identify all potential advantages associated with the change management in the company.
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Risk management: Planned changes in the Tesco Company always allowed management and
leadership to conduct risk management while implementing the changes in the organisation. Risk
management is an important process part of the change management process. As the change
always offers significant amount risk due to involvement of company’s financial resources and
strengths. It can be projected company can overcome the risk while implementing the change on
the basis of the proper planning for change.
The above point’s project about the importance associated with the planned changes in
the Tesco Company. Planned nature changes allow leaders and management to conduct the
proper planning and control over the change management process. In recent time BREXIT
becomes part of the United Kingdom business environment that has also offered some significant
restriction in the business operations (Makumbe, 2016). Tesco Company needs to modify its
planning and strategies related to business operations. Company has also implemented changes
like information technology, advancement of systems and other key changes on the basis of the
planned approach of change management that has served plenty of growth opportunity to the
company. All such planned changes have also allowed management and leaders to control the
risk while implementing the changes in the organisation. Planned changes allow company to
control the entire change management process that ensure proper advantages of the changes offer
in change management process. Unplanned nature of changes due to emergence of certain
situation in business environment also caters challenges like it improve the risk factor involve in
change management process. It can state that planned changes are more systematic and
professional approach of change management in organisation. Leadership also get to control the
risk involve in change management process in planned changes.
2. The way HR managements can support planned and unplanned change approaches
Human resource management of TESCO is responsible for managing various external
and internal changes or business strategy so that company can earn sufficient amount of
profitability. HR manager of TESCO support both planned and unplanned approached to manage
business for effective achievements of goals (Kamasak, Yavuz and Altuntas, 2016). Kurt Lewin
change model can be used to evaluate the way HR manager of TESCO support planned and
unplanned approached for growth and sustainability of organisation in retail industry. There are
three stages in change management model such as:
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Unfreezing: It is stage where HR manager of TESCO create awareness among employees about
various external changes that need be adapted by organisation so that it can gain competitive
advantages in the market. Most of the people within company tries to resist change due to similar
process, old behaviour to perform particular task therefore manager of TESCO through use
planned approaches motivates individual to work effectively so that company can achieve its
goals. Impact of brexit was unplanned approached that lead to reduces in sales volume and
profitability of firm so manager of TESCO through planning in advanced to protect business
from further reduces in sales has helped in brining changes. HR manager has communicated
employees due to Brexit firm sales have been reduce so quality of products should be provided at
reasonable rates to attract large number of customers (Bathurst and Eweje, 2017). Tesco
managers by planning in advance are able to easily bring changes in business strategy and
remove different challenges of external environments. Manager has decided that in order to
remove challenges of resistance for employees proper training will be provided and have
explained about various benefits company and individual will get for particular changes. Thus,
HR manager of Tesco support both unplanned and planned approaches for smooth operation of
business in retail industry. Therefore HR manager through using both unplanned approached and
planned motivates individual to adapt change so that company can retain its market share. Some
of the employees of Tesco does want to changes as per external environment such as most of the
people like to shop through online therefore Hr manager has decided to trained employees so that
they can deliver services though use of social media or websites. Most of the employees are
resisting this change as they are not comfortable with new methods due to less skills and
knowledge.
Changing: HR manager through using planned approaches is able to bring change within firm
such as inspire individual to enhance their performance, use more digital technologies to market
products and services so that needs of customers can be maximised. Unplanned approaches such
as Brexit and corona virus have given opportunity to HR manager to bring change in method of
marketing and selling of products so that more customers can be attracted to make purchase of
TESCO products and services (James and Montgomery, 2017). Therefore in order to grow and
expand TESCO business in uncertain events HR manager has effective decided various changes
that need to be bring in the firm. For examples: Through effective training and development
program employees of company began to easily use digital technology to market its products and
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services. Hr manager continuous motivates employees and influence them to think innovative
and accept various external changes therefore organisation is able to induce employees to bring
economic of scales so that needs of customers can be maximised. HR manager of TESCO held
different meeting at various point of time so that they can they can shared their problem and
grievance that they are facing while working. So, that planned approached can be used to meet
uncertain events of organisation so that common goals can be achieved. TESCO is one of leading
that continuous accept different changes for better customers satisfaction therefore most of
employees were ready to bring changes within organisation that helps company to retain its
position in competitive market. At this stages employees of Tesco are adapting various social
trends as they have provided proper guidance and direction to offer or market products through
use of social media. Therefore it helps in brining change within firm and employees are ready to
deliver quality services through technology.
Refreezing: HR manager of Tesco plan various strategies to stabilizing new changes that is
made within organisation due to Brexit, change in customers preferences and needs. Unplanned
approaches have helped HR manager of Tesco to influence employees to enhance their skills and
knowledge so that work within firm. Therefore unplanned approaches such as changes in
customers taste, technology development have provided opportunities to change its operation
method so that end user needs can be meet (Steele, 2016). Planned approaches such as definite
organisational structure, policies that need to be followed by employees to perform particular
task so that specific and similar qualities of products can be render at each stores of TESCO.
Standard policies and appropriate structure helps in refreezing employees that means they does
not work as before new changes was bring in the organisation. HR manager through rewards
and enhancing compensation of employees that have effective accepted various changes of
environment and have give best of their capabilities motivated them to not to lost changes.
Therefore planned approaches of effective managements, rewards, recognition of employees
helps in brining different changes in the organisation so that predetermined objective can be
achieved (Uslu and Sinha, 2017). HR manager of Tesco have provide such organisational
culture where employees are motivated to retain change for longer period of time so that
maximum outcome can be gained. HR manager through continuous monitoring and influencing
employees have able to retain change within organisation that helps in effective growth and
success of enterprise.
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From the above analysis of Kurt Lewin change model it can be stated that TESCO HR
manager supports both planned and unplanned as it helps in bringing new changes within
organisation. Brexit, corona virus and digitalisation are some of the unplanned approached that
are accepted by HR manager for smooth operation of enterprise in retail industry. HR manager
of Tesco has used planned approached such as training method, motivation theories to bring
changes in its business strategy as per external environments. It can also be stated that reward
and recognised method are also planned in advance by HR manager in order to reduce
employment turnover and chances of absentees, retention of change within firm (Wilson, 2016).
At last it can be stated that HR manager of Tesco think that unplanned approached has bring
opportunity for firm to expand its market share though making various changes its operation and
steps that need to be taken. Thus, change model stated that HR manager of Tesco through
effectively manage different changes contributed towards growth and success of enterprise in
retail industry.
3. Challenges of the human resource management
HRM (human resource management) of a company faces many challenges in its daily practices.
In this situation, human resource management of Tesco also faces many challenges, problems
and difficulties. This is very common thing for the HRM of Tesco, because HRM of any
company mostly faces many challenges. In this situation, HR manager of company is highly
required to take some appropriate decisions towards properly dealing with such challenges. The
Brexit has highly influenced to the HRM practices of Tesco. For example; now human resource
management of Tesco need to put its high efforts for hiring talented employees in the Tesco’s
workplace (Bamber, Bartram and Stanton, 2017). Before Brexit, the HRM of Tesco was able to
hire people who comes from European Union (EU) member countries. But now HRM can’t hire
them easily in its workplace, because many other European countries are not satisfied with
decision of the United Kingdom to leave the EU. So, these European countries not allow their
people to work in the UK’s company Tesco. Currently human resource management of Tesco is
facing many challenges in its daily practices due to Brexit and other internal and external factors
which has been discussed below;
Lack of talent: Human resource management of company is facing challenge of lack of talent
after Brexit. Basically, there are HRM of Tesco always need to put its huge efforts for finding
talented employees for the company. For example; before Brexit HRM of company was easily
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hire many talented employees in the workplace, because on that time HR was able to hire people
from countries who are members of EU. But when the United Kingdom exit from the European
Union, then many other member countries of EU not allow to their people for joining any
company of the United Kingdom. This is the main reason that, currently HR management need
to put its huge efforts in finding talented employees for the Tesco. Of course, HRM of Tesco still
able to hire employees from other European countries, but not in large number. This is the big of
Impact of Brexit on HR practices of Tesco.
Compliance with law and regulation: Currently human resource management of company is
facing that challenge also which completely has based on law and regulation (Cristiani and Peiró,
2019). For example; different companies or businesses within the United Kingdom was
responsible to follow laws and regulations of the European Union before Brexit. But now HR
management of company is responsible to follow only those laws and regulations which has
provides the parliaments of United Kingdom. This thing has increased complexity in daily
practices of HRM at Tesco. After Brexit, human resource management of Tesco is responsible to
follow employment law, equality act, safety and security act etc. which has passed by parliament
of the United Kingdom. Change previous law and regulation with new law and regulation
process generally promotes very complexities within Tesco’s HRM practices. That’s why this is
also a very tough challenge to human resource management of Tesco.
Limited resources: Before Brexit, the human resource management of Tesco was easily different
resources for systematically running its daily operations. But nowadays, HRM of company need
to put its huge efforts for getting appropriate resources. Currently Tesco is the leading retail
company in the United Kingdom, so its HRM practices also run at very large scale in its business
environment. According to this factor, human resource management is responsible to use wide
range of resources also due to large scale operations (Jacobson and Sowa, 2016). That’s why
company’s HRM is required to put its huge efforts for getting appropriate resources, like;
technology, human resource etc. Before Brexit, government of the United Kingdom was easily
able to purchase lots of technologies from other member countries of European union, but after
Brexit the UK need to pat very high cost for purchasing technology from other countries. This
factor of the United Kingdom is directly affecting to the Tesco and its HRM, because due to lack
of new technology human resource management of Tesco need to put its huge efforts for using
appropriate resources within its daily practices. This is really one tough challenge to the HRM of
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Tesco.
Theory of performance
Theory of performance is very in the development HRM practices of any company. In
this situation, the Tesco is able to again improve performance its HRM, because human resource
management practices of Tesco are something negatively affected through Brexit. For example;
now the HR manger need to put its very high efforts for using appropriate resources in daily
practices. Due of lack of resources, the performance of Tesco has decreased, in which top-level
management of Tesco should give a specific instruction to its HR manager for systematically use
the theory of performance. Basically, theory of performance guide to a HR manager for taking
such steps in its daily operations which can contribute in improving its performance (Uddin,
2018). There are training and development sessions and strategic approaches are also the part of
this theory. That’s why HR manage at Tesco should adopt this theory of HRM.
Advice to HRM
There are human resource management of Tesco is highly responsible to make some
favourable HRM frameworks for properly dealing with change, otherwise change process can
negatively influence to the HRM’s daily practices. HR manager of company need to properly
understand the actual value of change within the workplace. By taking these all steps, HR
department will easily handle and manage the change.
CONCLUSION
It can be concluded that there are managing change is not a small task to the Tesco,
because top-level management of a company always need to put their huge efforts for
systematically managing change. Poor management of change always negatively influence to a
company, in which Tesco’s upper management should properly analyse the actual impact of
change. For example; there are Brexit has highly affected to the company, so this retail company
need to use some appropriate business strategies for properly dealing with different factors of
Brexit. There are HR manager of company needs to be more active in its existing job role for
dealing with various challenges. It is too necessary task to the Tesco and its HRM for gaining
effective results in the market after Brexit.
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REFERENCE
Book and journals
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Cristiani, A. and Peiró, J. M., 2019. Calculative and collaborative HRM practices, turnover and
performance. International Journal of Manpower.
Harrington, H. J., 2018. Innovative change management (ICM): Preparing your organization for
the new innovative culture. Taylor & Francis.
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Jacobson, W. S. and Sowa, J. E., 2016. Municipal human resource management: Challenges and
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James, A. M. and Montgomery, B., 2017. Making the Change: The Consumer Adoption of
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Steele, M. J., 2016. Standard for models and simulations.
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Uslu, B. and Sinha, S. K., 2017. Practical Applications of Validation and Verification Protocols
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