Analysis of Leadership, Management Practices at Tesco: A Report

This report provides an in-depth analysis of Tesco's leadership styles, management practices, and theories. It begins with a background history of Tesco, followed by an examination of its vision, leadership styles (autocratic, democratic, and laissez-faire), and management practices. The report details how these styles and practices are implemented within the company, including the use of scientific and systems management theories. Furthermore, it explores how Tesco achieves its goals through customer-oriented practices, employee training and development, and the application of various management theories to foster a strong organizational culture. The report concludes with recommendations for improvement in leadership styles, management practices, and the application of management theories, aiming to enhance Tesco's overall performance and employee engagement.

Individual Report

Table of Contents
INTRODUCTION...........................................................................................................................1
Main body...................................................................................................................................1
1.Background history of Tesco...................................................................................................1
2.Vision, leadership styles and management practices and theories of the Tesco......................2
3.How the above leadership styles has been achieved and implement by the Tesco..................3
How management practices is achieved and implement by the company..................................4
How management theory implemented in the business activities by Tesco...............................4
4.Recommendation as an improvement in the leadership style, management practice and
theories........................................................................................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES ...............................................................................................................................7

INTRODUCTION
Leadership defined as the ability which lead to a group of people with in the business
environment in an organisation with values and code of conduct in the effective way. Every
business unit need a successful leader for competing with various enterprise in the global market.
Management practices defines as the working method and innovation which used by the manager
of the organisation to improve the effectiveness of the employees work as well over all work
system. Management practices are used to support the structure and culture of the company and
influence by them through using different management practices(Bolden, 2016). Study present
the various leadership style and management practices which used by the Tesco in their business
environment.
Main body
1.Background history of Tesco
Tesco is the British multinational groceries and merchandise retailer company. It was
founded in 1919 by Jack Cohen as a group of market stalls. Headquarter of Tesco is located in
Welwyn garden city, England. Company recognised as the third largest retailer in the world
which is measured through gross revenues. It operates its business operations in the seven
countries across the Asia and Europe and company also a market leader of groceries in the
United Kingdom. The first Tesco shop opened in 1931 at Burnt Oak, Barnet. Tesco grows
rapidly in the market place and by 1939 it had a 100 shops across the United States. Company
diversifies its business activities in various areas such as retailing of books, clothing, electronics,
furniture, toys, telecom and financial services(Tse, 2016.). The core part of the Tesco's
Expansion strategy is innovative use of various technology in the business operations. It is the
first enterprise who builds self-service till and use of cameras to reduce queues and also an early
adopter of the contactless payment card technology.
The main reason behind choosing this organisation as it is the large business retailer in
the UK, Tesco business is customer oriented and its main objective is to provide the products
which offer a value for money to its consumers and also deliver a high quality services. It builds
a customer loyalty through using the cost effective strategy to grow the business activities in the
global market. Company has more than 30% market share of the UK's grocery market. The firm
employs more than 4,60,000 employees across the world which provides product and services to
customers in the global market(Nguyen, 2017). Tesco requires the leadership and management
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skill for business development, supply chain management, store operation and personnel
management which results in the high productivity and growth of the business. Objective of
company to develop the leadership qualities of its employees throughout the organisation which
include from administrators to customer assistant and to the board of directors.
2.Vision, leadership styles and management practices and theories of the Tesco
Vision statement of company
To be the most highly valued business through the customer which they serve, the
communities in which it operates its business activities and its loyal and committed employees.
To growing their business operations with full of opportunities in the global market which can be
possible only through inspiring, earning trust and loyalty from consumers, its colleagues and the
public.
Leadership styles of the Tesco
The manager of Tesco follow the autocratic, democratic and Laissez-faire styles which
are applied in the different layers in around the operation structure of the organisation.
Autocratic leadership style: This type of leadership style is based on the control. In this
manager gives orders to its employees and expect higher productivity from them with little or no
feedback from the employees. Manager of the Tesco use the autocratic leadership style in critical
situations because it helps in making quick decision in critical time on the basis of their own
observation, understanding to problem and experience to solve the issues(Antonakis and Day,
2017). Tesco use this leadership style for increasing their productivity at the large extent. While
using this style leaders do not demand the engagement of employees to make critical and quick
decision.
Democratic leadership style: It is defined as the collaborative style which take employees
suggestion in the decision making process. Tesco support the democratic style of leadership to
make the decision related to organisational structure and various approaches to achieve the goal.
Company adopts this style in order to make the decision more acceptable at each end of
implementation.
Laissez-faire style: This style of leadership is used by the Tesco in the development of the
broader organisational plans such as training needs and its budgets fixing by the departmental
managers. This style creates the innovative environment in the Tesco which helps in improving
the productivity of the firm(Friedman, 2016).
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Management practices of the company
Tesco is the customer oriented business firm which is focused on the management
practice such as personalised long-term relationship with the customers. This practice focused on
providing the best quality goods and services to the customers, for this company adopted a policy
of continues improvement in customer related services and also develop the employees' skill to
meet the consumers need and introduced efficient monitoring system(Hawamdeh and Chang,
2017).
Tesco also use the training and development practice of management to improve the
overall performance of the business enterprise. In this Tesco identify the various training needs
of its employees and then provides the training accordingly which improve the effectiveness of
the employee work at the workplace. Company has a flexible and structured approach to training
and development which helps employees to identify their potential growth in the company
through training programmes. Tesco provides both on the job and off the job training to its
employees(Bailey, 2018).
Management theory of Tesco
Tesco use the scientific management theory for developing the cultural bonding with the
employees and the society through identifying organisation structure. This theory influenced the
structure and processing of the Tesco. Tesco also uses the system theory of management in its
business environment for developing the culture bond within as well as outside the organisation.
This relationship helps to firm in terms of growing their business and loyalty over the enterprise.
The higher cooperation with in the group creates a healthy working environment in the
organisation which helps in accomplishing the business objective of Tesco very
effectively(Waring, 2016).
3.How the above leadership styles has been achieved and implement by the Tesco
The Democratic leadership style is achieved by the Tesco through allowing employees to
take participation in the decision making process and includes the employees views before taking
decision. This style is implemented in the company through empowering employees to make
decision. In these managers of the company directly communicate with employees so that they
can understand organisational goals and make the decision accordingly that encourage the
employees interest towards the work which results in the higher productivity of the enterprise.
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This style develops a feeling among the employees that they are important assets for the
organisation(Samantara and Sharma, 2015).
Autocratic leadership is achieved by the Tesco through observing the activities of
employees and controlling the decision of employees. It is implemented in the organisation
through taking critical decision which is followed by the workers. In this manager take the
suggestion from the employees for their satisfaction but the final decisions are made on
confidentially and power of leaders.
How management practices is achieved and implement by the company
Tesco achieve the long-term practice such as personalised long-term relationship with the
customers through adopting a policy of continuous improvement in customer related service
which is implemented by providing the best quality goods and services to consumers according
to their needs and requirements. Tesco also develop several values added product for competing
with their competitors in the market place(Booth, 2015).
Tesco also achieve the practice such as improving skill of employees through providing
training and development to the employee's. It is effectively implemented through identifying the
various need of employees regarding training and performing work efficiently. Training and
development improve the skill and knowledge of employees for performing their role towards
the accomplishing the business objective of Tesco. Company also provides the training to the
employees on the basis of on the job and off-the job which helps in improving the workability of
the employees.
How management theory implemented in the business activities by Tesco
The scientific management theory is implemented in the Tesco through using
mathematical tools which solve the management issues. This theory cover all the area which
plays an important role in the achievement of the organisational goal such as decision making
and human behaviour. This theory helps in analysing the workflow of the enterprise. It mainly
focuses on the accomplishment of the maximum labour productivity to improve the
economy(Vu, 2016).
Tesco implement the system theory through using human relationship and human
behaviour which helps in increasing the better relationship among the employees which creates
the healthy working environment at the workplace. Healthy working environment motivate the
employees to give their possible efforts towards the increasing the productivity of the firm.
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4.Recommendation as an improvement in the leadership style, management practice and theories
The leadership style such as Autocratic which used by Tesco it has negative impact on
the productivity of the firm because it does not take any other inputs into consideration and no
one is allowed to make the suggestions or to question so as to improve this leadership style
manager need to highly use the participative leadership style which encourage the employees
interest towards their work because they feel as important assets for the organisation due to
involvement in the decision making process(Friedman, 2016).
Laissez-faire leadership style also has negative effect on the employees work because it
allows people to work at their own place. Employees who work under supervision, carefully
monitoring and instruction are often not comfortable working under the laissez-faire style.
Before implementing this style Tesco needs to provide the proper training and development to
the employees and ensure that they can work effectively under this leadership style.
Improvement in the management practices
The management practice such as training and development program which is used by
the Tesco to improve the skill and knowledge of employee towards improving the over all
performance of the company. This management practice takes too much time and money. For
improving this management practice Tesco need to design a training program which is cost
effective and before implementing this program they have to identify the skill gaps which
employees used to meet business objective and also speak with the employees and ask what area
they are interested in developing which helps the trainer to effectively train the employees
according to required level of training need(Friedman, 2016). This process results in improving
the effectiveness of employees work.
Recommendation on management theory
Tesco use the scientific management theory in its business environment for improving the
productivity and profitability of the firm. It has disadvantage in terms of it push pressure on the
employees to perform work faster which results in exploitation of employees and then employees
joined the trade unions which creates conflict between employees and management. For
improving the performance, Tesco need to apply the system theory which builds the better
relationship between employees and management and creates the good working environment at
the work place of the company that encourage employees to work efficiently and effectively
towards the achievement of business objective of the enterprise(Wood, Coe and Wrigley, 2016).
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CONCLUSION
The above study has been summarized with that organisational leadership plays an
important role in the success of the firm in the global market. Organisation with democratic
leadership style improve the effectiveness of employees work because it allows employees to
take participation in the decision making process and through these employees feel as they are
the important assets of the firm. Management practices also has great contribution towards the
achieving the desired level outcome of the company. For example training and development
practice improves the skill and knowledge of the employees and better skilled employees leads to
the higher productivity as well as profitability of the firm.
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REFERENCES
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Waring, S.P., 2016. Taylorism transformed: Scientific management theory since 1945. UNC
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