TESCO Human Resource Management: Issues, Theories, and Solutions

This report examines the human resource challenges faced by TESCO, a leading UK-based retailer, focusing on recruitment of talent, managing diversity at the workplace, and performance management, particularly in the context of the COVID-19 pandemic. It analyzes these issues through the lens of human capital theory and dynamic capability theory, providing insights into how TESCO can leverage its human resources for competitive advantage. The report concludes with recommendations for addressing these challenges, such as employee engagement in decision-making and promoting fairness and equality to manage workplace diversity, ultimately aiming to enhance organizational productivity and employee morale. Desklib provides access to this and many other solved assignments.

HUMAN RESOURCE
ISSUES

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................3
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Critically discussing determined issues and aligned them with 2 theories.................................4
CONCLUSION................................................................................................................................7
RECOMMENDATION...................................................................................................................8
REFERENCES..............................................................................................................................10

EXECUTIVE SUMMARY
Human resource is defined as process of managing workers and organizational
performance. The current assignment has been based on TESCO and define three common
challenges that organization as well as its HRM faced. It has explained the approaches in term of
suggestion that management has implemented and overcome the negative impacts of each issue.
It has determined potential challenges that manager has also eliminated by considering dynamic
capability and human resource theories. Each problems has impacted organizational productivity
in negative way, but by using techniques and following suitable suggestions management has
overcome current situation.

INTRODUCTION
Human resource refer to division of a venture that is accountable to find, screen, hiring
and train job candidates in appropriate ways, in order to build a strong and productive workforce
at workplace. They face several issues while working within a company and effort to deal with
each by developing and implementing effective approaches that most of the time accessible in
the world of business and some they develop by analysis overall situation. The current
assignment will be based on TESCO, which falls under category of leading public plus private
limited companies in the UK. It was known as public limited organization in private industry
because it is a limited firm so its shares may be sold on stock. While conducting business
practices into retail industry, supermarket developed effective plans to overcome the negative
impact of external and internal factors and to gain competitive edge. It also works hard to
achieve strategic goal and that is to enhance satisfactory level of all customers. The purpose of
this report is to discuss determined issues using theory link of Dynamic Capabilities, AMO
model and Human capital theories. Furthermore, at last it will define justified suggestion in
regard to each challenge.
MAIN BODY
Critically discussing determined issues and aligned them with 2 theories
TESCO is well-known supermarket brand in the world, which earn a lot of profit and
generate GDP. It run its venture in effective manner, with the help of several functions and
operations. For example, HRM, operations management, marketing, etc. Each department is
accountable to conduct specific activity. While conducting set of activities at workplace with
company, human resource management may deal with three issues that put negative impact on
their performance and strategic decision-making process. These HR problems are;
Recruitment of talent-
It is one of those key challenges that human resource manager within TESCO may face
to complement current employees and to replace staff lost, which is quite essential and beneficial
for brand productivity. Recruitment is defined as process of selecting new candidates who may
work productively and effectively, without making any kind of mistakes as it direct impact on
organizational performance extent (MONICA, 2020). Hiring of talent is the big task and critical
issue because it consumer a lot of time, and require legislation compliances including new terms

and conditions that affect further activities of HRM. During pandemic, it is quite tough for HR
manager to hire new people as they may requite them to reach at those customers who are unable
to take their steps out of home because of illness, age and other reasons. Spread of infection is
one of the biggest threat at restrict human resource teams to take their step back from face to face
recruitment and selection methods (Gandhi, 2021). It posses big threat for everyone at workplace
to work with outsider who may be infected from corona virus. This may also make recruitment
process challenging for department, which decrease their efficiency and productivity level and
lead to losses change that they may grab in term of hiring those individual candidate that have
power to grow venture continually and excellently by working in a team and motivating group
members.
Finding workers with correct mix of skills, abilities, qualities and knowledge is difficult
more than just developing plan about it. This challenge may decrease performance and
productivity of department.
Manage diversity at workplace-
Just like above, human resource management within TESCO may face challenge and that
is managing workforce diversity, which also put negative impact on their strategic activities such
as decision-making, plan implementation and formation of approaches, for which they
accountable (Küskü, Aracı and Özbilgin, 2021). It is more complicated and challenging than
other issues that HR management may face in company. Managing diversity at work area is
difficult due to specific reason and that is different perspectives that individual candidate may
have regarding their work, and roles for which has been hired by the HR team. It included in
category of human resource issue, because TESCO as big brand may conduct its business
activities in varied nations or regions, where individual from variety of background perform
together to achieve strategic aim of company. Its mean that firm may number of candidates and
to manage each performance, HR face issue. Diversity expansion at workplace may bring several
challenges such as conflicts, discrimination, etc. which may lead to decrease organizational
performance and create negative environment at workplace.
It is quite difficult to manage this element in supermarket for human resource manager
and their team members. In recent time, people may expect to obtain essential and beneficial
employment facilities that enhance their satisfaction while working in a firm such as TESCO.
This issue may affect negatively upon HR practices in term of driving their attention towards

formation of tactics and find out techniques that they may utilize to eliminate challenge and
overcome their negative impact, which is quite necessary for management to do so in appropriate
way.
Performance management-
It is one of the most common issues that many companies in the world of business had
faced (Fraij, 2021). Just like these, TESCO is the one who may also face similar issue, which
may negatively impact on its Human resource management decisions and employee growth
planning process. COVID-19 is the main reason behind occurrence of this problem, because HR
manager is unable to deal with it and manage workers performance as everything happen
suddenly, and they do not have much time to develop effective plan through which manager
many manage staff as well as company performance by considering negative impact of chosen
factor. At workplace, human resource management is able to measure the performance at
workplace and develop plan to enhance it even better, but at work from home it is impossible to
do so in right manner. They unable to provide direction and assure that candidates may follow
the same in systematic way, which is essential for TESCO success and growth in retail sector.
HR is not been able to determine areas where further improvements and development are
required that contribute to enhance business as well as candidates performance. They unable to
communicate, coordinate and collaborate with existing workforce, which bring so many issues
for them including current. It may lead to decrease operational effectivenesses of brand in term
of increasing risks of mistakes that directly affect customers satisfaction and retention practices
of workers in the context of them. It is too much difficulty to play this role in effective manner in
supermarket by HRM during pandemic.
Human capital theory-
In the business world, there are different forms of theories and concepts are available that
human resource management within TESCO may take into their consideration for gaining its
benefits in term of getting knowledge about how to deal with HR issues and obtain expected
outcomes quickly without may mistakes. For example, human capital is one of those strategic
models that help to determine key approaches and techniques of managing workers performance
and retaining them for longer time by applying suitable methods (What Is the Human Capital
Theory and How Is It Used, 2021). For example, it stated that human resource is the most
valuable assets that a company had, so because of this reason management may effort to retain

them and add more value for each candidate in term of providing opportunities to develop skills
through training and development sessions. Administration may use several methods such in
term of incentives and rewards and other, to make assure that they have skilled and productive
teams of players, who may contribute to increase the productivity of company and gain
competitive edge. It is the best initiative that HRM may take to enhance workers productivity,
and overcome other problems as well in systematic manner that is really important for them to do
so. They may use digital communication tools to communicate with other people and then give
direction about how to work in right way. This theory posits that employees may contribute to
increase sales when they have appropriate skills and develop new, for which HR management
may work quite hard in varied terms.
Dynamic capability theory-
Human resource management within supermarket may also take this theory into their
consideration and learn from it, which play vital role in organizational progress and continuous
success in retail market, where several companies may already accessible and effort to gain
competitive benefits. It drives the attention of HR manager towards engaging worker in decision-
making and taking their reviews for better productivity. It is one of those solutions that they may
consider and implement in appropriate way. They may focus on integrating staff within TESCO
and attempt to determine their needs. It helps to take strategic action and develop plan in ethical
manner without hearting anyone. Dynamic capability theory define the capabilities of
organizations and their managements which each may use in right way to solve HR issues and
obtain expected results.
Like other theories, it also stated that there are many techniques exist that human
resource management may focus and use when they think it is appropriate for specific condition
and applicable in the context of particular issue.
CONCLUSION
On the basis of above analysis, it has been concluded that organization and its human
resource management has successfully overcome the negative impact of key HR challenges and
retain skilled as well as talented workers forever. They have obtained competitive advantages by
using skills and experience level of each candidate who work hard to increase brand productivity
and operational efficiency. They have created positive and productive environment at workplace
by solving problems and taking initiatives to boost the morale of individual worker effectively.

Human resource management by taking varied approaches into their consideration had obtained
desire outcomes. Furthermore, it has been determined that by taking account of suitable and
useful theories like Human capital, and Dynamic model, HRM has contributed to enhance
organizational as well as workers productivity. By considering and conducting ethical practices,
manager has recruited productive workers and retained existing. As they have utilized methods
of recruitment and selection appropriately and followed ethical concept while taking both terms
into their consideration. From above discussion, it has been identified that human resource
manager has accepted the directions and suggestions stated under chosen theories that enabled
them to solve three HR issues and enhance performance level of individual candidate. They may
use key resource after determining factor and develop plan to work productively, which is also
essential and beneficial to each stakeholder who may connect with brand.
RECOMMENDATION
 It is quite important for human resource management to overcome key problems that they
may face within TESCO, and this is possible when they take appropriate suggestions in
varied terms into their consideration.
 For example, in the context of first HR issue, manager can take effective approach into
their recognition and that is employee engagement into decision-making, which enable
them to determine better ideas about how to recruit people for particular job role without
making any mistake and wasting time on overall procedure. Their engagement may drive
the attention of HR team toward recruiting right people, whom existing workforce know
completely and refer to apply for specific job role.
 Furthermore, in regard to second issue, human resource manager can take action to
manage diversity at workplace by treating everyone fairly and equally, without making
any differences between existing and new staff member who also able to work hard to
reach at desire outcomes, just like earlier workers do so. In term of fair treatment, they
can develop plan to manage workers performance and enhance their performance level.
 Third one is the biggest HR challenge that affect overall process of recruitment, selection,
performance management, etc. so to deal with this management can focus on rapid
change in business environment that enable them to develop effective technique to
prevent venture and workers from negative impact of factors that a business environment
encompass.

REFERENCES
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Online
What Is the Human Capital Theory and How Is It Used. 2021. Available Through:
<https://www.investopedia.com/ask/answers/032715/what-human-capital-and-how-it-
used.asp>