American College BSBMGT517 Project: Tesco Operational Plan

This project analyzes Tesco's operational plan, examining various models and methods employed. It explores the role of operational plans in achieving organizational objectives, including budgeting processes and the development of key performance indicators (KPIs). The project also delves into the relevant legislation and regulatory context, as well as organizational policies, practices, and procedures directly related to operational planning. The analysis includes a SWOT analysis of Tesco and discusses how operational plans can help the company identify weaknesses, increase profits, and achieve its goals. The project also covers the use of SMART KPIs and the importance of complying with health and safety, anti-discrimination, and equal opportunity legislation. The project concludes by summarizing the importance of a well-defined operational plan for business success. This assignment, contributed by a student, is available on Desklib, a platform offering AI-powered study tools and resources for students.

Manage
operational plan

INTRODUCTION....................................................................................................................................3
MAIN BODY...........................................................................................................................................3
Possible models and methods for operational plans............................................................................3
Role of operational plan in achieving organisational objectives.........................................................3
Explain relevant budgeting process including managing and operational plan...................................3
Alternative approaches to developing key performance indicators to meet business objectives........3
Legislation and regulatory context relevant to operational plan of company......................................3
Organisational policies, practices and procedure that directly related to operational plan..................3
CONCLUSION........................................................................................................................................3
REFERENCES.........................................................................................................................................4

INTRODUCTION
Operational plan can be explained as plan which prepared through components of an business
firm and clearly defines actions which will going to be taken for supporting strategic objective as well
as plans of upper management (Towbin And et. al., 2018). Moreover, operational plan is classified
within two categories i.e., single use plan which only address current period of specific issues.
Another is ongoing plan that carry forward to future periods and get changed as necessary. This report
is based on, Tesco which is an British multinational groceries and general merchandise retailer. It is
part of retail industry founded in 1919 by Jack Cohen and headquarters in Welwyn Gardern City,
Hertfordshire, England, United Kingdom.
There are several topics which will going to discuss within this reports, model and methods for
operational plans. Along with this, role of operational plan in accomplishing organisational objective
will also highlight. Moreover, budgeting process will elaborate which include managing and
operational plan. Alternative approach for key performance indictor will also discuss which assist in
meeting business objectives. In the end section, legislation and regulation for operational plan of
company will high along with policies, practices and procedure which are directly related to
operational plan.
MAIN BODY
Possible models and methods for operational plans
Operational plan can be explained as plan which prepared through components of an business
firm and clearly defines actions which will going to be taken for supporting strategic objective as well
as plans of upper management (Shi and et. al., 2017). It is important for Tesco to prepare operational
plan in effective manner as it help them in accomplishing organisational objectives. These plan
consider strength, weakness, opportunity and threats for company :-
SWOT analysis of Tesco – It help company in identifying their strength, weakness, opportunity and
threats :-
Strength Weakness
 Market leader
 Online presence
 Brand image
 Diverse business Unit
 Financial Scandal
 Slow growth in Europe
 Market concentration in UK
Opportunity Threats

 International expansion
 Market growth
 Technology advancement
 Rise in Minimum and living wage
 European market
 Decrease in disposable income
 Inflation
Types of operational plans – these generally define specific needs or requirement of company.
Operational plan generally develop for planning of following area :-
 Production and manufacturing
 Human resources
 Processes
 Distribution
 Location and Facilities
 Equipment
Role of operational plan in achieving organisational objectives
There are several role of operational plan in achieving organisational objectives because while
doing planning each and everything decided in advance which help in conducting daily basis activities
in appropriate manner. Some role of operational plan are mention below which help in accomplishing
objectives of Tesco :-
 Budget – It is also part of operational planning in which decide that what financial resources
are needed for completion of organisational objectives (Nakamura, 2019). Because clear
comprehensive budget is useful way of preventing business wasting money as well as
resources. In simple term it can be said that, clear budget provide assistance to Tesco in
achieving their objectives in more effective manner.
 Backup plan – Business environment is dynamic in nature which result in several changes
taking place. Operational plan help in making backup plan also while doing planning related to
all other activities for accomplishing objectives. Because in organisation several modification
take place which require backup plans.
 Identify weakness – With the assistance of operational plan it become easy for Tesco to
identify their weakness because while doing planning it is essential to determine weakness as it
may become threat in future. Along with this, they can take major steps to overcome with
these weaknesses and gain opportunities available within market area.
 Increase profit – Operational plan help Tesco in conducting their activities in effective manner
as well as also in accomplishing objectives within required time period (Li and et. al., 2019).
Along with this, with daily basis activity will going to conduct in proper manner then

respective retail company serve their customers properly and make them satisfy which result in
increasing profitability.
These are major role which played by operational plans within Tesco and help them inn
accomplishment of objectives in effective manner.
Explain relevant budgeting process including managing and operational plan
Budgeting is a process of creating a plan through which spending of money is decide this plan
is called as budget. Budgeting use to managed the expenses with the revenue. Budgeting requires
forecasting for the future experience and projects. The forecasting of the budgeting plan can be of
months or years (Thani and et. al., 2019). The budgeting requires financial skills as well as budgeting
can be of Long term, short term and current budgeting. In context of Tesco, operational budget is
more suitable within this revenue as well as associated expenses in daily basis operations are budgeted
in detail. It is divided into major categories like revenue, salaries, non-salary expenses, benefits and
many more.
For most large scale organisations budgeting process generally begins with 4 to 6 months
before starting of financial year, while few may take fiscal year for completing it. It is important for
Tesco to set budget as well as implement variance analysis on monthly basis. Company start
budgeting from initial stage and then go through series of stages for final implementation of budget.
There is common process of budget which Tesco can implement and also involve communication
within executive management (Selvy and et. al., 2016). Step is establishing objectives and targets,
developing a detailed budget, compilation and revision of budget model, budget committee review
and approval. With the assistance of budget Tesco will be able to manage their work in more effective
manner by allocating funds in appropriate manner to each and every activity.
Alternative approaches to developing key performance indicators to meet business objectives
KPI is measurable value which demonstrates that how effectively an business firm can achieve
their objectives. Key performance indicator will be use by organisation at different level for
evaluating their success at reaching targets (Jian and Zhe, 2016). High KPI keep their focus on overall
company performance whereas low KPI focus on procedure in division like marketing, HR, sales and
so on. Company can use KPI when they need to track progress towards goals over a period of time. In
an organisation key performance indicator play important role as in meeting objectives of business.
Tesco can use SMART key performance indicator approach for meeting their objective in effective
manner. This will be most suitable approach for them which help in accomplishment of Tesco
objectives in more appropriate manner. Explanations are as follows :-

 S (Specific) – It is important for Tesco to first determine that they objectives are specific for
achieving.
 M (Measurable) – While working on specific goals and objectives it is important for company
to measure their progress (Lee And et. al., 2019). Motive behind this is to identify that what
more efforts are needed for achieving goals.
 A (Attainable) – Most important is to see that goals are realistically attainable if they are not
then company have to implement some changes in their working so that goals will achieved in
more effective manner.
 R (Relevant) – Goal should be relevant to company because only relevant goals will result in
success as well as long term sustainability of business firm. Thus, it is important for Tesco to
design goals and objectives which are relevant to their vision as well as their accomplishment
will be successful for business.
 T (Time Bound) – In this step, Tesco will decide that in what time frame company have to
achieve their goals and objectives. So that, these achievement will result in success and
profitability of business.
Thus, SMART Key Performance Indicator will be most suitable approach for Tesco as it will help
them in accomplishing their goals and objectives in more effective manner.
Legislation and regulatory context relevant to operational plan of company
Every company need to comply with related legislations and regulation as well as it is crucial
that an organisation operational plan abides through these standards. Foe ensuring operational plan is
compliant Tesco need to collect information related to legislative and regulatory environment. Below
mention are some legislation and regulation related to operational plan of Tesco :-
Health and safety legislation – It refers to work health and safety or occupational health and
safety. There are some set of requirement for all workplace related to health and safety such as :-
 Activities in company will perform in such a manner that it will not have any negative impact
on health of staff members (Lee, 2016).
 Sufficient information and training have to be provided so that work will be done in safe way
without any harm.
 Moreover, manager of Tesco have to ensure that equipments and machinery have to be kept in
safe condition.
It is responsibility of organisation that their employees are safe and secure while conducting daily
operations of company. While developing and modifying operational plan it is important for Tesco to
ensure that their activity will not result in any harmful impact on staff members.

Anti-discrimination and equal opportunity legislation – It is important legislation which
Tesco have to implement within their working as they should have to provide equal opportunities to
each and every staff. There should be no discrimination on the basis of age, gender, cultural, cast and
many more. In addition to this, Tesco have to ensure that while developing and modifying operational
plan noo activity will result in any discrimination in direct or indirect manner on employees (Begen,
Puterman, and Wu, 2019). In simple term it can be said that, it is important to implement anti-
discrimination and equal opportunity legislation so that operational plan will implement in effective
manner without any unethical practices.
These are the legislation as well as regulation which Tesco have to implement within their
working for ensuring that their operation plan will done in effective manner without any unethical
practices.
Organisational policies, practices and procedure that directly related to operational plan
Policies and procedure provide support to company at its wide level for operational system as
well as procedure of company. Along with this, it is essential for Tesco to document their policies and
procedures as well as these have to be taken into account while doing planning operations (Rigby,
Macchiarella and Mirot, 2017). Moreover, policies of company inform staff members related to
overall aim of organisation like consistence, fairness, ensuring quality, regarded to particular aspects
of operations. Procedure support policies through providing specific guidelines to personnel related to
actual implementation of policy as well as perform specific functions. Apart from this, policies and
procedures may also determine process which followed for developing as well as improving
operational plans that includes risk assessment, contingency planning, monitoring as well as
performance management. Thus, in simple term it can be said that, for Tesco it is important to follow
policies and procedure in effective manner so that operational plans will designed in effective manner
and result in accomplishment of goals as well as objectives.
CONCLUSION
After going through entire discussion it has been summarised that operational plan is important
for working of an business firm. There are several models and methods of operational plan which play
important role in achieving objectives of company. In addition to this, there is requirement of
preparing proper budget while doing operational planning so that no extra expenses will occur and
activities will completed in appropriate manner. Apart from this, while doing operational plan it is
essential to implement legislation and regulation within working so that things will conduct in more
effective manner.

REFERENCES
Books and Journals
Towbin, A. J. And et. al., 2018. Building and Implementing an Operational
Plan. RadioGraphics, 38(6), pp.1694-1704.
Shi, F. and et. al., 2017. Optimizing train operational plan in an urban rail corridor based on the
maximum headway function. Transportation Research Part C: Emerging Technologies, 74,
pp.51-80.
Nakamura, M., LEXER RESEARCH Inc, 2019. Operational plan optimization device and
operational plan optimization method. U.S. Patent Application 16/487,208.
Li, Y. and et. al., 2019, October. Train Operational Plan Optimization of Rail Transit Connecting to
Airport Ground Transport Center. In International Conference on Electrical and Information
Technologies for Rail Transportation (pp. 663-674). Springer, Singapore.
Thani, P. R. and et. al., 2019. Integrating biodiversity conservation and ecosystem services into
operational plan of community forest in Nepal: status and gaps. Banko Janakari, 29(1), pp.3-11.
Selvy, B. M. and et. al., 2016, August. Using model based systems engineering for the development of
the Large Synoptic Survey Telescope's operational plan. In Modeling, Systems Engineering, and
Project Management for Astronomy VI (Vol. 9911, p. 99110D). International Society for Optics
and Photonics.
Lee, S. And et. al., 2019. Text Big Data Analysis and Summary for Free Semester Operational Plan
Document. The Journal of Korean Association of Computer Education, 22(3), pp.135-146.
Lee, K. N., 2016. Analysis of Operational Plan and Economical Validity in Aquacultural for
Contingency Red Tide. The Journal of Fisheries Business Administration, 47(3), pp.35-52.
Begen, M. A., Puterman, M. L. and Wu, H., 2019. Development of an operational and tactical
decision support tool for a Canadian beverage firm: a case study. European Journal of
Industrial Engineering, 13(2), pp.245-263.
Rigby, K. T., Macchiarella, N. D. and Mirot, A., 2017. Enhanced Scenario-Based Training for
Unmanned Aircraft System Operational Missions. In AIAA Modeling and Simulation
Technologies Conference (p. 1309).
Jian, C. and Zhe, T., 2016, August. Study on Operational Plan by Case-Based-Reasoning. In 2016
International Conference on Robots & Intelligent System (ICRIS) (pp. 409-413). IEEE.