Business Issues and the Contexts of Human Resources at Tesco

This report provides a comprehensive analysis of business issues and the contexts of Human Resources, specifically focusing on Tesco. It begins with an introduction to HR's role in a changing business environment, followed by an assessment of factors impacting organizations and their HR functions, such as budget, senior leadership, technology, and customer preferences. The report then analyzes the forces shaping the HR agenda, including culture balance, technological advancements, employee needs, and awareness. It compares tools for analyzing the business environment like SWOT, Porter's Five Forces, and PESTEL. The report also explains key stages in strategy formulation and implementation, including aligning business and HR needs, developing HR strategies, organizational performance, and design. Finally, it evaluates business performance, the role of HR in business planning and change management, and assesses different sources of business and contextual data. The report concludes by summarizing the key findings and recommendations for effective HR management within the context of Tesco.

Business Issues and
the Contexts of
Human Resources
INTRODUCTION...............................................................................................................................3
TASK 1.................................................................................................................................................3
1.1 Assess a range of different factors which impact on an organisation’s business and its HR
functions............................................................................................................................................3
TASK 2.................................................................................................................................................4
2.1 Analyse the forces shaping the HR agenda..................................................................................4
2.2 Compare tools for analysing the business environment...............................................................5
2.3 Explain key stages in strategy formulation and implementation and the role of HR....................6
2.4 Examine HR’s contribution to business ethics and accountability...............................................8
TASK 3.................................................................................................................................................9
3.1 Evaluate business performance and role of HR in business planning and the change
management agenda..........................................................................................................................9
3.2 Assess and utilise different sources of business and contextual data for planning purposes......10
CONCLUSION..................................................................................................................................12
REFERENCES..................................................................................................................................13

INTRODUCTION
Human resource is the division of business which is charged with screening,
recruitment, training of job applicants, administering employees benefit programs and many
more. In addition to this, Human Resources play essential role in assisting companies which
are dealing with fast-changing business environment as well as greater demand for quality
staff. In simple term it can be said that HR is important division of company which play
essential role in accomplishing desired goals and objectives. Moreover, there are numerous
business issues in relation of Human Resource and it is important to manage these in proper
manner. This report is based on Tesco which is part of retailing industry founded in 1919 and
its founder was Jack Cohen. They are serving in UK, Ireland, India, South Korea, Czech,
republic, Slovakia and Hungary as well as it is headquartered at Welwyn Garden City ,
Hertfordshire AL7 1GA, England.
Report will be going to assess range of distinct factors that impact on company and its
HR function. It will analyse the forces which shape Human Resource agenda as well as
compare tools for analysing business environment in proper manner. Furthermore, key stages
in strategy formulation and implementation of HR role and responsibilities will discuss.
Moreover, contribution of HR will be elaborate in relation of business ethics and
accountability. Along with this, end section of report will be going to evaluate business
performance and role of HR in business planning and the change management agenda.
Moreover, it will assess and utilise different sources of business and contextual data for
planning purposes.
TASK 1
1.1 Assess a range of different factors which impact on an organisation’s business and its HR
functions
Human resource is important division of an organisation and there are several functions
which played by HR department in organisation such as recruitment, selection, training of
employees, planning, induction and several other. But there are numerous factors which
impact on performance of organisation as well as HR function. It is important for an business
firm to determine these factors in effective manner and there impact also because these may
have both positive as well as negative impact. Explanation of these in relation of Tesco are as
follows :-

 Budget – It is important for organisation as well as Human resource division to
conduct work in after preparing budget because it have wide impact on there
performance. Moreover, viewing Human Resource as non-revenue generating
division may result in low budget allocation for HR activities. Although, with some
more money for training and recruiting, retaining good staff may be difficult.
Business firm can also select to outsource several functions like payroll, resulting in
loss direct control to payroll procedure. In simple term it can be said that, Tesco have
to prepare flexible budget which can get change as per the requirement because
exceeding expenses may result in negative impact on performance of business.
 Senior leadership – Human Resource department of company set policies which are
based on inputs of senior management. But in case senior management believe that
Human Resource professional don’t have knowledge about budget, finance,
operational issues as well as Hr may the last to know about implementation of
policies. Thus, attempts from Human Resource for involving within decisions may
affect process and policies which sometimes can be ignored. Leaving Human
Resource to enforce policies which may give negative impact on morale of
employees.
 Advancement in technology – This factor has wide impact on both organisation
performance as well as Human Resource function. Because advancement result in
several modifications as training is required for staff members so they will be able to
work on latest technology. In addition to this, HR manager also have to implement
changes in there policies as per the latest technology.
 Customers taste and preferences – It have wide impact on performance of busines
firm as they have to implement taste and preferences of customers in there working so
they will be able to produce products as well as services in respective manner.
Because making customers loyal part of company is motive of Human Resource
division. They will only get satisfy when there needs and wants will satisfy in
appropriate way.
Thus, above mention are the factors which have wide impact on both organisation as well as
Human Resource division of company. In simple term it can be said that, considering these
factors in working of business firm may result in gaining positive outcomes in effective
manner.

TASK 2
2.1 Analyse the forces shaping the HR agenda
Main role of human resource leader is to acquire resources for keeping up with
accelerating demands of an business firm as well as to make sure growth and stability of
company. There are some forces that shapes the HR agenda explanation of these are as
follows:-
 Culture balance – It is important to bridge the gap within business needs as well as
personnel at disposal of business firm is paramount to efficiency at that organisation
functions. In addition to this, it includes training, communication, building safe
working environment as well as sense of ownership and performance.
 Technology advancements – Technology breaks ands makes person. Moreover,
breakthrough within technology may result In overpower individual especially with
robots, artificial intelligence, sensors and many more. Thus, it is essential for an
person to be remain update with technological innovations.
 Employee needs and recognition - Prior to everything, the principal plan of HR is to
employ the most appropriate. That cycle is straightforward yet perplexing. The
procurement must have aptitudes that are serious which will help accomplish the
organization's objectives. Among numerous things, the most importantly a worker
requires in excess of a check is acknowledgment of his ability. The worker is building
his vocation by serving in an association. Along these lines, it is essential to esteem
and clean the representative's expertise and give a stage to their turn of events. Not
exclusively should a HR esteem his ability yet ought to take into account their
necessities. To do that, HR must form a decent connection with the worker. They
should connect well with them and attempt to oblige their requirements which suit the
association.
 Awareness – It is important to ensure that employees are aware of company goals if,
most of the staff are not aware of objectives. If staff members will feel included with
organisation then it will be easy to accomplish desired goals and objectives. Along
with this, awareness related to important aspects must each and every employee have
because it will provide assistance to them in gaining better results.
Above mention all these forces have wide impact on Human Resource agenda of Tesco as
well as it is essential to for company to determine these factors in effective manner because
these will result in gaining effectual outcomes.

2.2 Compare tools for analysing the business environment
Business environment includes both internal as well as external factors which have
impact on functions of business environment such as customers, employees, managements,
supply & demand as well as business regulations. There are several tools which business firm
use for analysing business environment such as SWOT, Porter’s five force as well as
PESTEL. Explanation of these are as follows :-
SWOT analysis – This is an tool which provide assistance to organisation in
comprehend the strengths, weakness, opportunities as well as threats. In SWOT analysis,
strength and weakness are internal factors of an business firm whereas, opportunities and
threats are external. By analysing internal and external both factors an business firm will able
to conduct operations in better manner as well as able to gain opportunities and minimise
threats which are available in business environment.
Porter’s five force – This tool was introduced in 1997 and main motive behind this is
to analyse competitive environment of business as well as show potential profitability of
strategy. It includes five forces competitive rivalry, threat of substitution, threat of new entry,
buyer power and supplier power. In addition to this, it is important for an business to analyse
competitive forces in effective manner because they have both positive as well as negative
impact on working of business firm.
PESTEL analysis – This is an tool which provide assistance to business firm in
analysing macro environmental factors that have impact on organisation. PESTEL stands for
political, environmental, social, technological, economical and legal. All these factors have
both positive and negative impact on working of organisation. Thus, it is important to analyse
factors in effective manner along with their impact on working of company.
SWOT, PESTLE and Porter's Five Forces investigation instruments are generally
arranging strategies. They are exceptionally valuable for associations to pick up bits of
knowledge, so as to effectively execute ventures. SWOT and PESTLE are straightforward
and simple to utilize systems, while Porters Five Forces is more perplexing and requires a
more extensive top to bottom investigation. PESTLE and Porter's Five Forces just think about
outside elements in their investigation, though SWOT will consider both inside and outer
elements. SWOT can be utilized to supplement a PESTLE or Porter's Five Forces
investigation to feature any qualities or shortcomings of the discoveries, neither PESTLE nor
Porter's Five Forces can be applied to SWOT.

2.3 Explain key stages in strategy formulation and implementation and the role of HR
The formulation of strategy is stated as very vital aspects of surrounding scanning as
well as this aids in determining, finding and balancing overall external opportunities along
with internal weakness and strengths of entity. In context of TESCO, there is a need to
formed new tactics to trained existent staff in order to perform main functions. Moreover,
there are specific key stages which are essential part of whole strategic development as well
as execution in respect of HR department of firm.
 Aligning of business and needs of HR: There is needs of HR department to know
about whole tactics as well as objectives of entity in deeply manner for forming a
specific strategy of HR department. For example: In respect of TESCO, the entity’s
vision is to enhance teh value of consumers as well as gaining faith & loyalty of its
clients. Therefore, HR department in this respect have to put potential for
communicating the value of its personnel.
 HR Strategy Development: After knowing about the business goals as well as model,
there are needs of determining potential opportunities as well as threats which are the
portion of macro environment for enterprises. Within TESCO, there is requirement of
expertise human resource thinking as well as identifying required involvement so that
there may be leverage of firm’s performance.
 Organisation performance: It is key process in which there is administration of pre-
determined targets for managing whole firm performance. This assists to develop a
rationale as well as relate for another HR activities and generation of opportunity
which as affirmative affects upon firm’s performance. For TESCO’S hr department,
there will be formation of competencies set that possess through managers of line.
Also, there are requirements of personal improvement procedures where person
strength & weakness may be determined.
 Organisational design and structure: It are stated as size, shape and structure of
entity which is based upon consumers desires. This shows procedures of whole
administration which can be a competitive advantage source. Within TESCO, HR
department role is to assure that there should be appropriate modification developed
into firm’s structure for enhancing contribution of every staff towards attainment of
higher client’s value.
 Strategic resourcing: There is requirement of attaining transparency by whole firm’s
structure which is essential to strategies of resources. In case TESCO have efficient

clarity then this will assist to describe competencies as well as knowledge level for
determining whole strategic resource needs.
 Organisational development: Development responds will have intent to maximise
business competencies as well as their usages towards enhancing effectualness of
entity. Within TESCO, there is a need that at personal level, there is contract upon
whole development requirements as well as there may be facilitating of vital
proficiencies of people based on needs. At team level, this will represent person
capability to perform effectively with others as well as related with team proficiency’s
key stages into development of tactics and their execution into HR skills role to attain
whole business goals.
 Organisation culture: It is considered as aspects that are conducted within entity.
Within TESCO, there is democratic leadership style which facilitates even
opportunities to staff for facilitating its vision to develop several decisions which
affects them. Therefore, there may be choice which can be facilitated for deciding a
manner that utilised for intent of facilitating training.
2.4 Examine HR’s contribution to business ethics and accountability
In business ethics as well as accountability both go hand in hand. In addition to this,
giving team list of ethical responsibilities will not going to results in affecting behaviour if
informal culture at company is to wink at unethical behaviour. Moreover, creating healthy,
ethical culture as well as hold employee’s accountability when they behave or act in unethical
manner. In work ethical responsibility is related to the obligation that every staff has to do the
right thing. Scope of this obligation varies totally depended on position. Whereas,
accountability is about answering actions as well as decision and accepting responsibility for
mistakes. HR of Tesco have there wide contribution in business ethics and accountability
explanation of these are as follows :-
 Ethical standards - The main reason for the organization's moral guidelines is to give
an unmistakable manual for conduct. They ought to preferably be reported in a code
of qualities, a set of principles and supporting arrangements, which together comprise
a code of morals. Since this is commonly viewed as a HR work, HR is entirely
positioned to guarantee that this establishment part of morals is cutting-edge, assessed
every year and surely knew inside the association and to guarantee this is a
compelling aspect of the association's morals program.

 Allocation of role and responsibilities – Human Resource division have their wide
contribution in allocation of role and responsibilities which result in providing
accountability to every individual in organisation. In addition to this, such practices
provide assistance in conducting work within effective manner, increasing
productivity and accomplishing desired goals and objectives in better manner.
 Ethical awareness - Moral mindfulness is an exceptionally compelling component
(regularly under-appraised) that serves to elevate moral conduct and to lessen
untrustworthy conduct. The best case of the last is the impact of noticeable policing,
for instance, the private security vehicles that watch a few rural areas. Their essence
may not bring about many (or any) lawbreakers really being caught, however it serves
to raise moral mindfulness and, in this manner, goes about as an impediment to
wrongdoing being submitted here.
 Operational ethics - Coordinating moral guidelines into the organization's tasks is
truly significant as it impacts whether and how morals is rehearsed. This
proportionally affects moral principles, moral mindfulness and a moral culture, either
supporting and constructing or subverting and disintegrating them.
TASK 3
3.1 Evaluate business performance and role of HR in business planning and the change
management agenda
Proper business planning is considering an important activity as it provides assistance
in attainment all the set goals and objectives in allotted period of time. Mainly, business
planning is referring to how a company is going to develop and operate in an appropriate
manner (Shorrock and Williams, 2016). As, it is also focus on the elements that make
profitability and at the same time also determine risks. In relation to Tesco, business planning
is an ongoing process that anticipation and preparation for changes arise within the company
at the time of implement its activities. With the help of this, organisation can also enhance the
overall performance by managing all the changes. In this regard, HR also play a significant
role in facilitate the changes that contributes in reducing the possibilities of arising any kind
of negative impact over the company. Mainly, HR is referring to an internal department that
focus on hiring, training and at the same time also paying of employees for accomplishing set
goals and objectives. In relation to this, there are some important role that played by HR sin
business planning and change management are as follows:

 Vision and values: At the time of business planning, HR is responsible to ensure that
employees are focus on its vision and values and perform their task accordingly.
Along with this, HR manager also develop strategy on the basis of organisational
vision and values that drive employee motivation and behaviours as well. They also
provide all the necessary information about business planning to its workers in order
to make them aware and also understand the importance of business culture. With the
assistance of this, Tesco can easily attain their set targets and at the same time also
established its competitive image at market place.
 Selection and staffing: When all the goals and vision are set HR manager is
responsible for recruiting right person in the right place (Leotta, Ruggeri and Kudo,
2016). As it help in improving the performance level of employees at working area. In
Tesco, manager take decision to select right one so that all the targets can be easily
attained. It may also reduce the chances of arising any kind of issues and conflicts at
the time of implementing business planning.
 Proper training and development: In business organisation, HR manager play a
significant role in providing proper training and development activities. By providing
proper training to employee’s mat aid in developing their knowledge and
performance. As it makes them able to attain its goals and objectives faster
(Wehrmeyer, 2017).
 Organisational development: Strategic business planning is including changes within
the workplace in which HR manager of Tesco develop strategies to handle changes
and at the same time also keep aware to employees. In this regard, manager also
communicate with their staff members and share all the information about planning.
With the assistance of this, workers can easily execute their activities and tries to
accomplish their targets in an allotted period of time.
All these are the major role of HR manager which help in managing changes and also
eliminate the chances of arising negative impact of changes at working activities. This can be
effective in managing conflicts and mismanagement between employees. With the assistance
of this, workers handle the changes and execute their task activities accordingly. It may
directly contributes in enhancing the overall performance of the company at market and also
retain workers for longer period of time.

3.2 Assess and utilise different sources of business and contextual data for planning purposes
It is one of the important activity for business to analyse their actual performance in
market place so that they can easily accomplishing their competitive image. For analysing the
same, various sources and contextual data is used by company that support in them in
implementing as well as preparing an effective planning purposes (Madera And et. al., 2017).
In context to Tesco, process of data analysis is consider as an important process of turning
data into appropriate or meaning full information. By this business organisation can make
effective and informed decisions that directly contributes in increasing the possibilities of
accomplishing competitive image of company at wider market. In relation to this, using
internal and external data are the essential elements that contributes in good decision making.
As there are some contextual data can be used for proper planning purposes such as:
 Industry information: It is one of the important source of contextual data that help in
business planning purposes. As Tesco operate their business in retain industry which
engaged with the business of retailing. Along with this, company offer range of
personal banking products and services to its customers as per their needs and wants.
Tesco is the third larger retailer in the world next to Wall-mart.
 Trends in HR: In business organisation HR play a significant role because it focus in
human resource and people management with the aim of keeping them engage and
exceptional work (Morley, Heraty and Michailova, 2016). In this regards, there are
some appropriate trends within the HR such as using people analytics for making
decisions, focus on improving the job applicant experience, focusing on employer
branding, cultivating authentic workplace cultures, Ups-killing to invest in the team
and business growth as well. Different HR trends in business planning is also related
with providing holistic health benefits to workers, establishing work-life balance,
offer flexible working spaces to workers, Embracing leadership from millennials,
taking stand with their employees and many more. All these are contributes in
analysing the proper information that provide assistance at the time of planning
purposes. As it support in improving workers performance and at the same time also
make them more productive. With the help of this, all the predetermined goals and
objectives can easily attained.
 Employee turnover and retention: It is significant for company to retain their
employees so that company can enhance their positive brand image and make
competitive benefits at market place. In this context, Tesco operates in around 7000

stores in over the world and in UK, company provide about six different stores format
to their customers. As Tesco employed number of employees in which its employee
turnover has increased around 344 thousand employees in 2019. In addition to this,
company generate annual revenue from its key market i.e. UK by selling quality
products and services to its targets customers as per their requirements.
 Government information: Tesco operate their business in over the world but in UK its
brand presence is very strong as people attracted through its quality services that they
offers in market place. As political condition is stable in nature that provide assistance
to company in expanding their operational activities (Cooke, 2018). In relation to this,
reduction in import controls has significant effects over the Tesco in which company
have greater access to importing their goods and services cheaply from different
countries. With the help of this, company can easily maximising their profitability
level and established its competitive image as well.
Thus, these type of contextual data help Tesco in developing an appropriate planning
purposes that support in attainment of all the predetermined goals. Along with this, it is also
beneficial in managing as well as handling the changes that occur within the company. This is
the reason that, HR manager is responsible for analysing market and business environment so
that firm can easily attain their goals and also capture competitive success.
CONCLUSION
After going through overall discussion, it has been concluded that Human Resource is
important department of an organisation as it plays essential role in relation of both company
as well as its employees. In addition to this, Human resource is the division of business which
is charged with screening, recruitment, training of job applicants, administering employees
benefit programs and many more. Along with this, it has been determined that there are
numerous factors which have impact on organisation as well as its HR function. Moreover,
HR agenda in organisation are shaped through several forces as well as there are numerous
tools which can be utilise for analysing business environment and its impact on working of
company. Moreover, human resource division of company have its wide contribution in
business ethics as well as accountability. HR is the key players in business planning and
change management in company.

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