Analysis of Leadership and Management in a Tesco Superstore Setting

This report provides a comprehensive analysis of leadership and management within a Tesco superstore context. It begins by outlining the roles of managers and leaders, emphasizing the importance of leadership skills in achieving organizational goals. The report then delves into various le...Read More

Management
Operation

Table of Contents
TASK 01..........................................................................................................................................1
Tesco superstore and the managerial and leadership role:.........................................................1
Role of leaders with the function of manager in Tesco:.............................................................3
Leadership theories and models:.................................................................................................3
The system leadership:................................................................................................................5
TASK 2............................................................................................................................................6
A) Operation Management of Tesco:..........................................................................................6
b) Tesco’s Operation management benefits and the values that helps to reach their success:. . .9
C) Factors of the business environment and the impacts of these on the decision making for
Tesco on their Operation Management:....................................................................................10
REFERENCE:................................................................................................................................12

TASK 01
Tesco superstore and the managerial and leadership role:
Tesco is one of the most reputed retail store in UK. It starts journey since 1919 and still
in market leader for a long time in UK. Tesco is also operating some other countries in
worldwide. So it is become a brand that people can believe on price and quality on both. Tesco is
operating their business in different categories like, in store, online, express, Tesco Bank etc.
they are running with more than 1.5 million of employees in worldwide. So they are running one
of the biggest supply chain in the world and they are managing with efficiency and making
progress of their business in worldwide.
To run a business successfully need to operate it with a range of successful managers
with the appropriate leadership approach relates with the business. As a one of the biggest retail
Tesco is operating in different regions on the world so their customer taste and expectation is
different with base of location and the geography. So the managers of Tesco set their plans
different way to achieve the high rate of success. It is not an easy task for them to manage the
worldwide business with one strategy so they make different strategy to run their business on
different areas in the world. To understand the customer expectation managers of Tesco should
have the leadership skills to perform efficiently
In general sense, Managers are the set of activities that run to reach the organizational
goals and objectives. Managers has some particular approach and ways to reach the goals or
objectives on any particular tasks. Managers are set a target to reach from any project then they
set the processes to reach the goals and objective of the project. So to do that they make team,
build communication, monitoring the work and controlling the process to reach the success.
They allocate the work in to the team like diversifying the works. There are some managers that
allows to their teams to take any role to make decision making for the business or any process
and there are some that not give any chance to make any role on decision making where they
show the process to work as a team to reach the fixed goals and objectives within the process that
they set
For example, a bakery manager of Tesco has the most challenging task is to make the
team works properly to make the right amount of right products on right time. There is a task to
complete the job before the shop start at 8.00Am at morning so the work should be done on any
1

way within the time limit. So the managers show the process and process that should maintained
by the bakery team to finish the task on time
On the other hand, leaders are having some special approach to manage the people and
work to reach the success for the business. Leaders in Tesco not only having the skills and the
competencies but also they should have the knowledge on customer behaviour and the leadership
skills to lead the time when the employees need. Leadership approach build the managers as a
positive and confident person who can guide this big process efficiently. To run the Tesco with
long term success managers of Tesco should have these leadership skills (DeMars, 2006).
For example, a manager of a medium size Tesco store who is in charge of almost 250 to
300 employees. For him it is not easy to manage all people at a time, like if any accident can
happen on stores then he should response on immediate time to solve this. So he should have the
leadership approach in between the autocratic and the democratic. It will help him to make
strong communication between the whole team that he can make the team confidence high to
take some steps on emergency issues
Difference between roles on managers and leaders:
Managers role Leaders role
Managers makes planning for the process Leaders are managing the behaviour of the
employees
Managers do the budgeting Leaders help to solve the problems
Managers are having the impersonal attitude Leaders carries the responsibilities
They do the staffing Leaders give direction
Managers having and showing low emotions Leaders helps to increase motivation
Managers have the control power of the
process
Leaders shows the vision and mission of the
business
Managers is set the process Leaders helps to make effective
communication
2

Managers provides the resources Leaders helps to do team management
Managers are makes rules and regulations Leaders inspires employees to make task
oriented
Managers sets the goals and objectives of the
tasks
Leaders care always in passionate attitude
Role of leaders with the function of manager in Tesco:
The managers that adopt the leadership approach is become the most effective manager
for the business. For Tesco, it very necessary to adopt leadership approach and skills to be a
successful manager.
As a manager, different roles need to play in Tesco. For example, on the time of stock
reduction manager should have the leadership skills to understand the stock that need to reduce
so the stock should get repriced and also the timing of the stock reduce need to favorable with
the store operating time. So all of these works managers need to lead in front to make plan and
process this.
On the other hand, the busiest time of the store need to operate with more staffs and with
experience hand to meet the customer demand. So manager should identify the time by analyzing
the store sells data. So, manager should build strong team to cover the time and also need to
inspire the team as well as need to give motivation to the team members about the way they
should encourage them (Howell, 2012).
Also, on making the branch budgeting managers should keen about the related topics of
the budget. Managers might have less experience on making budget so branch manager should
lead from the front. Branch Managers should help the other managers and employees in the
organization to make the efficient budgeting. To do this leadership approach need to apply by the
branch manager.
On the decision making time managers should apply the leadership approach. Managers
should set the team and have the understand about the organizational culture and environment.
For example, sometime budget need to reduce so managers should have identified the reason and
the situation. When the budget will reduce it can have effect on team and the process so
3

managers should have clear ideas to control and manage the team and all related things to reach
the goals and objectives of the project and mission and vision of the business
Leadership theories and models:
There are various leadership theories are available. The most used and preferable are-
Situational leadership:
Paul Hersey and Blanchard in 1969 they developed the situational leadership approach to
defines the leadership approach that changes and different according to the different situation.
This approach defines the way of behaviour need to do by the leader by understanding the
situation. It can be different on the different situation. By understanding the situation, they might
need to change the ongoing process and decisions.
Situational leadership is one of the most flexible styles. Under this leadership theory,
leaders are making less task oriented. Situational leadership is the supportive theories of the
contingency theories. Leaders should have the skills and ability to modify the behaviour of the
employees.
Situational leadership is based on some styles and these are-
Telling:
Under this level of maturity there is less knowledge is need to have by the employees.
They are not need to get the skill of the working in the process but they need to get clear
direction of the process that they should way of working. Telling makes the relation between the
high directive behaviour and the low supportive behaviour.
Selling:
Selling is the different leadership approach. Selling describes the demonstrations between
the high directive behaviour with the high supportive behaviour. This is not he autocratic
leadership approach. This leadership approach needs the better direction and the process to work
in efficient way. It helps individual to make the skill improvement and increase the confidence
level. The leaders using this leadership skill they can develop the team and influencing the team
very well
Participating:
4

Participating is a leadership approach of situational leadership that describes the way the
employees are participating with the direction of the leaders. The employees are getting direction
about the task they need to do so they get the proper direction for the task and it makes the
employees engagement as well as it improves the managers’ involvements to the task to make
the employees more task oriented to reach the goals and objectives of the project. Participating is
the demonstration of low directive behaviour with the high supportive behaviour
Delegating:
Delegating describes the terms of low supportive behaviour with the low directive
behaviour. People are getting less support and direction to do the task with this leadership style.
The time when managers feels that teams are competent enough to face the challenges and can
do better on task this behaviour comes. On this team get the right to take the decision by
understand the situation need.
The system leadership:
System leadership is a leadership style that describes the leadership that control the whole
things and elements of the business like organizational culture, stakeholders, behaviors and
everything without any managerial control. System leadership is consisting of six dimensions.
Such as-
Ways of feeling
Ways of perceiving
Ways of thinking
Ways of relating
Ways of doing
Ways of being
For Tesco, the leadership skills need to feel the situation because if the managers feel the
need of the situation and the employees it helps them to handle the situation efficiently.
For Tesco, the leadership skills need to understand the perceiving approach. Perceiving
approach includes the listening, observation and the understanding of the overall situation of the
tasks
5

For Tesco, the leadership skills are also should be thoughtful because when the leadership
thinks in different way about the positivizes and the weaknesses of the project. Organizational
leader need to clear the impacts of the task before it sets.
For Tesco, leadership skills should relate the all resources of the task including, people,
materials, equipment, financial amount etc.
Contingency theory
This theory was founded by Australian psychologist Fred Edward Fielder .It focuses on
the importance of both personality of the leader and the situation in the leader operates. In a
variety of contexts the fielder and his associates studies leaders but specially in the context of
military the leaders are studied. The task-motivated and relationship-motivated leadership style
are outlined (Anderson and Anderson, 2013) . The task-accomplishments is refereed to task and
interpersonal relationship is refereed to relationship-motivation. The leadership style is measured
with least preferred co-workers scale. The leaders whose score is high are relationship motivated
whereas the leaders whose score is low are task motivated. This concept is centralized with 3
concept which are s follows-:
Leader-member relations – This represent the general atmosphere of the group and feeling such
as loyalty,trust etc that a group as a whole as for a leaders.
Task-structure- This indicated the clarification o f task and means to accomplishment of task.
The position power – This represents the authority of reward and punishments that leader poses
over the members of the group.
TASK 2
A) Operation Management of Tesco:
Operational Management is the most practiced modern organizational techniques that
every business ensuring to practice in better and improve form to reach their business goals and
objectives to meet the business vision and mission. This the backbone for every business to reach
success. Operation management is deals with the resources and elements of business such as
products, process, services, monitoring, supervising, controlling, management and all the other
elements that relates with the business (Hill, 2011)
6

To operate a successful operational management managers and business should have
clear process and planning to implement it. They need to make the strong relationship among all
the elements to make effective operation management for the organization. Operational
management includes the starting stage to the finishing of the product and the product or service
is deliver to the customers or its consumers. Manufacturing, inventory management, material,
people, people all are counted on this operation management topic.
For Tesco, the biggest retails trade business in whole United Kingdom and the business
they are operating outside UK they are very keen to perform an effective operation management.
Tesco is dealing with the all level of the customers like lower, middle, and upper level of
financial stable customers in UK. All the daily necessary products are available in Tesco. Tesco
gives a believer to their customers that they have all the things that customer need to use in daily
life. So customers are coming without any doubt to do shopping in Tesco and the high class
helpful and effective service make them the market leader in UK. Tesco is providing all the
customer need to make them satisfy. Also, they are operating different customer loyalty
programs with Tesco Club card, Tesco Bank etc. Skilled that need to the operation managers
of Tesco:
Operation manager of Tesco should have different skills and innovative thinking to run
the system and the business. The operation manager of Tesco is always thoughtful that proves
the offers they are giving and maintaining to the customers to make their customer relationship
stronger what have direct impact to their increasing productivity (Chase, 2007). Tesco is giving
different offers to their customer on different time to ensure their customer engagement.
Operation managers doing staffing to ensure that they have the right amount of staff on
right time to the right branch. This is a big deal for them to make cost management and at the
same time giving the best customer service. Their managers performing well on it ensure the
better customer service on all the time.
Also the stock management is another key elements of the operation management for
them. The manager should know about the stock of their product and the budgeting of the branch
to ensure the ongoing process. Tesco is maintaining the technological support to do the stock
management that they get the information about the product availability so it helps them to
restock the product before it goes decline and ensure their promise to the customers
7

Also, the pricing is another important topic for Tesco. Operation management is having a
close look on because they promise that they are offering cheapest on the brand selection to the
other retails in UK. So they are doing more analyze of their competitors and ensuring their
promise to their customers.
Role of leaders and mangers in operations management
Management of resources: Manager and leaders plays an important role for managing the
resources in an organization. The main function of manager of Tesco plc is to allocate the
resources and make proper records so that it will utilize effectively and optimally. On the other
hand, leader will monitor and control in each and every activity for smooth operational planning.
Financial management: Tesco company's manager ensures that all the funds are fully
managed. In this, manager of a company make complete record of all the transaction by
preparing financial statement. It is helpful for determine the actual financial position of a
company in a competitive market. Leader also make complete control in availability of funds and
monitoring every to ensure that funds are effectively uses or not.
Human resource management: Both the leaders and manager of Tesco also manage the
employees by using effective recruitment and selection procedure. Leader make an appropriate
plan for recruiting the right person at a rigjht place. Whereas, manager take the interview and
selection process to check the compatibility of a person.
Cost management: Managers of Tesco plc also perform to minimize the cost by reducing
or eliminating the wastage in the organization. In addition to this, leader also motivate the
employees so that they can perform effectively without making any wastage of cost. Hence, by
managing all the resources and providing effective selection or recruitment while hiring a person
etc. help to manage the operations of firm.
Operational management strategies of Tesco:
Tesco is operating their operation management strategies into some parts. They make
sections to their operation that helps to work in efficiently. There are lots of strategies that they
are operating.
For example, to do the shelling their strategy is divided into some tasks. These are-
Cleaning
8

Tills
Shelves
Lighting
delivering
the main selling point of Tesco is On-store shopping. That’s why they are giving more concern
on the cleaning of shop floor. Because customers should a fresh look when they enter the shop
that makes their mind peace and nice what helps to do more shopping and more profit for the
business.
Tesco is ensuring that all the tills are working. Because on the busy time customers can
buy product by the self-service. Also, the customer assistant is always present to help customers
on the tills in self-service time. So, it helps customers to do check out in quick time and it helps
to sought out the long queue.
Tesco is doing shelving of their products in different way. They use the price tag with the
product to give awareness about the product price also the Tesco brands products are fully
packaged with in details of the product. Most of the time, Tesco is doing shelving as the mid-
range price products are in middle range of the shelves what helps customers get attraction with
the price and the product.
Also, Tesco is doing lighting in bright way to their products and offers that highlights the
product and offers to their customers. Because lighting makes more impact to watch and get
attraction of the product.
Also, Tesco is doing online service and free delivery service what helps customers to
order on line and receive the goods in home. So it gives customer loyalty to their customers.
In order to deliver high quality services to the customers Total Quality Management(TQM)
approach is used by Tesco. It is used in order to compete within current markets. When the high
quality goods and services are produced by the company, they not only please customers but they
also achieve internal effectiveness and reduce the cost of operation.
9

Just in time :This approach will hep tesco to enhance its efficiency and reduce the amount of by
receiving goods only as they are required in the production process,thereby reducing inventory
price. It will help the producers of the company to forecast on demand more accurately.
Kaizen:It will help Tesco to improve quality of products and efciney. By suing this approach the
employees will be considers as best people to identify room for improvement
Six sigma:It will help Tesco to reduce the defects from manufacturing to transactional.
b) Tesco’s Operation management benefits and the values that helps to reach their success:
“Every little help” is the main slogan for the Tesco. Tesco ensures that they are trying
help each other to make a sustainable world. Tesco is running with their biggest shopping chain
in UK (Anderson and Anderson, 2013) The core competence of Tesco are- Retailing, Non-food
business, international growth and the UK market. So they are trying to ensure their progressive
process of their core competence to continue their success and beat their competitors.
Hence, operation management is beneficial for the Tesco company growth because it has two
reason. It will help to improve the productivity of company by which firm's financial position
can be improve effectively. Second, it will help the organization to meet their competencies. In
order to achieve the main performance objective of Tesco operational management plays a key
roles in that. Tesco will ensure that whether the current operation objective is to enhance
customer service or to increase profitability, there will be significant impact on the ways in
which Tesco uses its resources. The number of innovative developments have been made in
operational management to make use of Tesco resources in a new and different manner in order
to increase the level of performance of the company and meet out its objectives. There is a huge
importance that is given to operational management at Tesco. The four basic requirements of
customers i.e. right quality, right quantity, right time, right price, products are made and
delivered to customers. In fulfilling the objective of Tesco that is customer satisfaction
operational management plays a very important role. It will help the Tesco to meet out all the
requirements of customers by making use of operational management.
C) Factors of the business environment and the impacts of these on the decision making
for Tesco on their Operation Management:
10

There are some internal and external factor that has impact on decision making of Tesco.
To analyse this PESTLE is one of the strong tools to defines this.
Political factor:
Tesco is running basically most shares of their business in UK. So the political stability
and the legal issues has more impact on the decision making of the Tesco. After Brexit, Tesco is
bit uncertain because of the unclear issue. Because many of their product that they import from
the European countries so after Brexit the pricing and the supply system may be change what
should have impact on their pricing of these product prices in coming years. Also, the tax issues,
regulatory boards issues are connecting to all the business decision making and Tesco is
including this factors. Political factors includes all those political factors and local/ national
government which make great impact in business operational activity. It include the changed in
the structure if government of a particular country. All these factors make great impact in the
business operational activity.
Economic Situation:
After inflation in 2009 Tesco had a hard time with their products and the customers.
Because they had no choice to do the pricing according to customer buying power. So the
economic situation of the countries has impacts on the Tesco. Because if economic condition is
down then consumers will try to save more than before what will have impact on the Tesco’s
selling. Also, the Government policies, taxation, the interest rates all are involved with this
Social factors:
There are some demographic, cultural attitude factors has impact on decision making of
the Tesco. In UK there are lots of place that has religious majority and minority issues so Tesco
is watchful on these areas before launching the products and service. It also include the nature,
culture and the belief of the society. Tesco deals in diversified culture and geographical areas so
that firm can achieve their desire goals. People's belief, culture and customs also affect the
business operational activity. For example: In India, there will be high demand of saree for the
women but in America and other country their will be high demand of western dresses. Also,
they are operating worldwide so they should have more understanding on the religious and the
traditional factors of these geographical areas before doing product and market development
11

Technological factors:
For the present competitive market technological factors have more impact on the
decision making for nay business. For Tesco, they are trying to update their service by
implementing more technical support to their customers, also they are making their distributional
channel more strong by using the technical facts. Technological change is most evident in how
we communicate, with smartphones and tablet computers becoming commonplace. As a business
owner, you should look at ways to harness technological potential to identify and service new
and emerging markets. For example: Due to coup with the advanced techniques, Tesco plc make
their presence through online stores. In order to this, company launches their product by making
online sites. The online shopping, stock management, performance management, security issues,
marketing of Tesco all the depending on the technological factors.
Legal factors:
All the business legal obligation and stratification are the factors which make impact in
Tesco operational activity. It also include all the internal obligation like health and safety which
also plays an important role in business operations. All the taxation policy, charges which are
applied by the government to business will also affect the operational activity of a firm.
Environmental factors:
It include climate, weather and seasonal changes etc. all these elements affect the Tesco
business operational activity. As per the changes in the environment Tesco need to change their
strategy so that they can attract the customers in a large level. Environmental concerns have
become important in recent years, with the wider impact of doing business increasingly
recognized by consumers as a factor in their buyer behaviour.
Operational management is important for Corporate social responsibility as it will have a
practical impact on the performance of CSR. Ethics in the sectors of business particularly in the
operational management is gaining more popularity. Ethics mainly is related with the aspects of
good life and to make out a decision between right or wrong .In operational management some
examples of ethical consideration can be customer safety,employee safety,waste disposal etc.
Operational management principles,tools and insights can be applied to sustainability in
order to improve environment ,social and economic outcomes. The environmental outcomes
12

include enhancing the state of nature. Social outcomes may have produce an effect on human
safety,health etc.
13