Tesco: A Report on Management, Leadership, and Operational Strategies

This report provides a detailed analysis of management and leadership within Tesco's operations. It begins with definitions of management and leadership, differentiating their functions, and analyzing management by objectives. The report delves into management role theory, leadership traits, and various leadership styles, including autocratic and democratic approaches. It also covers hard and soft management skills, the transformation process in operation management, and the evaluation of quality, including its costs. Furthermore, it explores the role of managers in total quality management, the just-in-time approach, and capacity management methods. The report then presents a case study of Tesco, examining its organizational structure, leadership strengths and weaknesses, and the application of management theories. It concludes with operational recommendations for future improvement, highlighting the impact of capacity management adjustments and providing insights into areas such as employee motivation and communication. The references provide the sources used in the report.

Management
And
Operation

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1 (LO1 and LO3 ).................................................................................................................1
1. Definition of management and leadership role.......................................................................1
2. differentiate management and leadership functions................................................................2
3. Analysis of management by objectives...................................................................................3
4. Three management role theory ...............................................................................................3
5. Two traits and styles of leadership .........................................................................................4
6. Hard and soft management and leadership skills ...................................................................5
7. Transformation process in operation management.................................................................5
8. Evaluation of term quality and its four costs of quality .........................................................5
9 Role of manager in total quality management ........................................................................6
10. Just in time approach and waste reduction in operations .....................................................6
11. Capacity management methods ............................................................................................7
12. Conclusion ............................................................................................................................7
TASK 2( THIS COVER LO2, LO4)...............................................................................................7
1. Introduction of selected organisation......................................................................................7
2. Explanation of department which include the role of operation.............................................7
3.Background of the management team......................................................................................8
4. two strength and two weakness leader approaches.................................................................9
5.Three role and duties of management in organisation...........................................................10
6.One real occasion where the role of management was excellent to apply different theories
and model of management approaches.....................................................................................11
7. theory of leadership style as applied by the manager on this occasion.................................12
8. transformational process common in organisation...............................................................13
9.impact of two adjustment fror capacity management on the organisation............................13
10. Two operational recommendation to management for future improvement......................13
CONCLUSION .............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODUCTION
Operation management is basically concerned with planning, supervision and organizing
process which plays an important role in achieving higher profitability. It is a multidisciplinary
management area which manages every function related to finance and marketing. It is
concerned with the whole production system and convert the inputs such as raw material, labour
and energy into output in the form of goods and services. Effective management operation define
the role and responsibilities of production department. In this assignment TESCO is undertaken
for further study, it is a British multinational grocery was founded by Jack Cohen in 1919 which
is headquartered in Welwyn Garden city, Hertfordshire, UK. This company is measures as third-
largest retailer by its gross revenues. Under this assignment various role, characteristics and
responsibilities of leader and manager is defined and further the theories, approaches and models
of leadership will be discussed(Aithal, 2016). At the end the factors affecting operational
management and decision of manager and leader will be described.
TASK 1 (LO1 and LO3 )
1. Definition of management and leadership role
Management is defined as the process of planning, organizing, directing, staffing and
controlling the people and operations of organization to attain specific objectives and goals.
According to M.P Follett management is defined as the art of things done through others.
Leadership is a process of influencing people to achieve objective and define vision for a group.
It is ability of get a work done through others by influencing them positively to accomplish the
task. Leadership and management plays a vital role in TESCO, a multinational grocery with
supermarket, hypermarket, superstore and convenience shop in accomplishment of tasks and
activities. With the help of leaders and mangers an organization can achieve its objectives.
managers are the effective decision makers who analyse the environment and then prepare
strategies for workers and employees under them(Ambler, Witzel and Xi, 2016). Leaders are the
one who have influencing powers which helps in motivating the employees for effective and
efficient working.
Role and characteristic of leader and manager
Role of leader
 A leader create favourable performance conditions for employees to accomplish the task
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 Leaders support and build teamwork skills within the workers A leader represents vision to organization and help the department in fulfiling their
duties.
Characteristic of leader
 A leader should have positive attitude towards employees and organization.
 Leaders should have focused approach so they can implement the strategies and can
ensure employees teamwork efficiently. A leader should have good communicative skills.
Role of manager
 Manager look after the role and responsibilities of employees
 they monitor the organization and analyse environmental changes which can affect
productivity and well being. A manager allocate funds where required and assign task to the staff.
Characteristic of manger
 A managers should be knowledgeable and can provide solution to employees regarding
technical and general problems.
 A manger should be confident enough about its abilities and experience to take decisions
2. differentiate management and leadership functions
Management and leadership functions according to John Kotter
Basis Management Leadership
Meaning Management is a process of
controlling and dealing people
within an organization.
It is defined as the process of
leading and influencing people
Focus Manager focuses on
developing long term and short
term strategies for employees
to accomplish the task
Leader focuses on motivating
the workforce and creates a
vision to attain TESCO's goals
and objectives.
Employee relation Manager distribute power and
authority to some employees
Leaders develop power in
employees by encouraging
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them to move forward.
According to John Kotter Management and leadership is very important for organizations
to operate the functions smoothly.
3. Analysis of management by objectives
According to Peter Drucker management by objective is a process which define the
balance between employees and organizations objectives. It define that organizations objectives
should be challenging and motivating. There are 5 steps which define management by objective Revise or determine organizational objectives: The initial step of management is to
determine the objectives, vision and mission of organization. If these are not formulated
then a company can not define role and responsibilities to its employees. Translating the organizational objectives to employees: The second step taken by the
management is to define organizational goals to the employees. Companies Objectives
should be clearly recognizable at all the levels so that everyone can understand their
responsibilities. stimulate the participation of employees: Third step is to encourage participation of
human resource by sharing the values and objectives of organization so that employees
can understand the value of authorised work which is assigned to them. This approach
will help in increase the involvement of others(Andersson, Forsgren, and Holm, 2015). monitoring of progress: Fourth step taken by the management is to monitor the progress
because the goals and objectives are smartly measurable. Employees performance should
be also analysed if they lack anywhere then managers can provide them training and
development programmes.
 evaluate achievements: The fifth step is designed by management to improve
performance at all levels. Employees are being motivated with the help of performance
evaluation and reward achievements in return of goals and objectives.
4. Three management role theory
Management roles are defined in different context as per Henry Mintzberg such as: Interpersonal contact: It define the contact of manager and people as board of directors,
customers and suppliers within the environment. A manager Figurehead all matters
internally and externally and represent the company. Managers maintain interpersonal
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contact by motivating and foster positive environment and also act as liking pin between
high and low level, this positively contribute in organization. Information processing: Management involves processing of information, managers
provide linkage to the employees by exchanging the information with subordinates.
Managers are responsible to monitor and gather all internal and external environment
information(Bah and Fang, 2015). Managers work as spokesman and represent the
company outside by communicating on corporate policies and relevant information for
external parties.
 Decision making: The role of TESCO's manager as entrepreneur is decision making.
They also allocate finance for machines, material and other resources and assign task to
employees.
5. Two traits and styles of leadership
Leadership style Autocratic: This style of leadership focus on efficient results, leaders make decisions
alone and order employees to follow orders. In autocratic leadership style employees are
demotivated because their ideas and knowledge is not given value. But this leadership
style can be useful for inexperienced employees.
 Democratic: This leadership style define a democratic leader who ask for feedback and
ideas from employees before making decisions. With the help of this leadership style
employees feel motivated and satisfied by contributing their thoughts. It is also known as
participative leadership.
Leadership traits Good communicator: A leader should have good communication skills so that
organizations vision and mission can be clearly defined. This skill is very useful to share
ideas and thoughts. Lack of communication skill can lead to discouragement for
employees so it should be very sharp and polite.
 Confidence: A leader should be effective and confident enough to positively influence
others. Employees follow leaders decision and ideas to accomplish task and objectives. If
a leader is unsure about his decisions then surely the subordinates and others will not
follow him.
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6. Hard and soft management and leadership skills
The skills of management are very important to resolve, handle and operate
organizational issues these skills are differentiated into two parts such as:
Hard management skills
Hard management skill are defined as technical skills such as language knowledge,
degrees, certificates, accounting, machine operations, software knowledge etc. these skills are
enhanced with the help of training, coaching and books knowledge. The hard skills help in
operating the machines whenever needed and typing skills of manager help in writing mails and
content related to plans and policies(Virglerová, Dobeš and Vojtovič, 2016).Manager should
have the knowledge about different Language so they can communicate with employees and
customers.
Soft leadership skill define abilities and behaviour of leadership such as communication
skills, flexibility, self-discipline, team work, time management etc. these skills are unbuild
within an leader and with the help of these skills a manager can easily influence employees for
team work to accomplish task and activities.
7. Transformation process in operation management
Transformation method is a process of converting inputs into output this process is
divided into three stage as:
Inputs: The first step of this process is taking actions in progress by using capital,
material, equipment, facilities, labour, supplier and time these factors are used for manufacturing
and execution of different tasks. proper utilisation of these inputs is very important for an
organization to accomplish further requirements.
Transformation system: This includes alteration, transportation, storage and inspection.
Transformation system is affected by external environment. Here warehouses, effective mode of
product supply is determined.
Output: it define services and goods which are facilitated to buyers in order to satisfy them.
Outputs should be effective which can satisfy consumer needs and requirements.
8. Evaluation of term quality and its four costs of quality
Quality refers to the measurement of excellence and being free from defects and variation
in a product. Quality is measured by certain standards which a consumer willing to have in the
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products. For an organization to manufacture quality product is important because they enhance
loyalty for brand.
Cost of quality
Prevention cost: This cost is highly recommended in order to keep a quality problem
from occurring. Prevention cost include proper training of assembling and statistical process
control and focuses on preventing scrap cost(Bocken, Rana and Short, 2015).
Appraisal cost: This cost is defined as the expense incurs at the time of inspections such
as production material inspection from incoming and outgoing from their work stations.
Internal failure cost: This cost incur because of defective product production. The
defective product are appeared as scrape or reworked goods.
External failure cost: this cost incur after production and supply to the consumers. It
appears in the form of warranty claims, field service and cost of losing customers.
9 Role of manager in total quality management
Total quality management refers to the continuous efforts made by the management to
improve system and ensure quality of products. Managers take care of production and
manufacturing quality to satisfy the consumers(Teece, 2018). Total quality management creates
a process which is based on customers feedback and various research so that products can be
manufactured according to consumers requirement.
Role of manager in total quality management
Facilitator: The manager can support quality team by communicating the core principles
required in the products. The line managers provide facilities to other managers in removing
barriers and new implementation.
Role model: Mangers behave as role model in total quality management by using
customer preferences, flow charts, cause and effect digram to improve quality of products. After
preparing all detailed charts the reports can be provided to staff and management defining the
improvement needed in future.
10. Just in time approach and waste reduction in operations
Just in time approach define inventory strategy of receiving and ordering materials only
when they are needed. This approach save time and money on overhead expenses and it has the
capacity to compete with others and minimizing the waste by improving production efficiency.
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11. Capacity management methods
This is defined as the management tool which is applied by organization to use proper
technology to meet future and current need of organizations. It included capacity management
method, service capacity and component capacity.
12. Conclusion
From the above analysis, it can be monitored that leader and manager play an effective
role to develop and design strategies and plans fro the development of the organization. They
organize and conduct training and learning session so that the employees can make improvement
in the skills and knowledge an make contribution in the growth of the firm(Schaltegger, Hansen
and Lüdeke-Freund, 2016). When the employees are working in a team then they provide
guidance and motivation to the workers so that they can effectively attain their set objectives in
set period of time.
TASK 2( THIS COVER LO2, LO4)
1. Introduction of selected organisation.
Tesco is a British multinational groceries and general merchandise retailer and its
headquarter is in Welwyn garden city, UK. This company was founded by jack Cohen in 1919.
Tesco is the 3rd largest company in all over the world measured by gross revenues and 9th
largest company measured by the revenues. In united kingdom this company Tesco provide
home shopping services with the Tesco.com website.
2. Explanation of department which include the role of operation.
Operation management is considered as the organisation function which is effective in
managing the process of creating the goods and services. This operational management includes
planning , coordinating, controlling and organizing all of the resources which is required to
produce the goods and services(Saleem, 2015). In operational management production
department play an essential role in organization. With this context production department is
considered as the group of function within an organization with having responsibilities of
manufacturing of goods. In production department machine setup, specialist, maintenance
personnel and machine operators are included(Deasy and et. al., 2015).
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In Tesco, Operations produce the product and manage the quality and create the
services for its customer. In organisation production department play an different role with the
context of operation management. Different role of production department is explain below:
Minimizing the production cost: The production department in an organisation work
effectively in term of minimizing the cost in organisation. The role of operation of transferring
raw material into finished goods work effectively. In this, when the cost of producing the
product is high in production department then cost can be reduce by Tesco at the time of
transferring raw material into finished goods. Provide proper knowledge to the employee in term
of reducing the cost.
Quality of product: The role of production department is to make sure that the finished
good meet the quality standard. In this operations which are uses make sure that raw material
which is used in making the product are good which can provide the quality product to
organisation. Quality product of Tesco attract more customer to buy more product. Organisation
provide proper training to its so that the quality of product can be improved.
In production department operation play its different role in Tesco.
3.Background of the management team.
In general management team include the individual at high level of management who have day
to day task of managing the organisation.
Tesco apply the hierarchical organisation structure. In this structure various structure,
positions and obligations are divided into various part to ensure that th work will be done
efficiently and smoothly.
11 member of Tesco executive committee are led by group chief executive Dave lewis. It
management team shows highly hierarchical showing its wide business scope(Deas and et. al.,
2016). Board of directors consists 10 members and significant changes take place on the board.
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Illustration 1: Management team of Tesco
(Source: Management team of Tesco 2019.)
4. two strength and two weakness leader approaches.
Leader define as the person who lead the people in organisation to achieve the goal of
organisation. In an organisation leader influence the employee in various ways. Leader set the
clear goal, vision, mission in organisation. In an organisation leader has its different kind of
approaches from them there is trait approach.
Trait approach is define as the way in which studying the personality in which more
focus on the traits of an individual as a marker of personality(Prajogo, 2016). It is also known
as the measurement of traits, which can be habitual pattern patterns of behaviours, thought and
emotions.
Strength and weaknesses of trait theory of leader
Strength Weakness
 This trait theory work effectively in
term of providing the guidance to
 This theory can not identify exactly
that which characteristic are required.
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