A Comprehensive Report on Tesco's Operations Management Strategies

This report provides a detailed analysis of Tesco's operations management, examining various aspects of the company's strategies and practices. It begins by defining operations management and outlining Tesco's core goals and objectives. The report then delves into different models of operations management, including Total Quality Management (TQM) and Just-in-Time (JIT) inventory management, illustrating how these models are applied within Tesco. A comprehensive SWOT analysis and PESTLE analysis are also included to assess Tesco's internal strengths and weaknesses, as well as the external political, economic, social, technological, environmental, and legal factors impacting the company. Furthermore, the report explores leadership within Tesco, defining leadership and exploring different leadership styles such as autocratic, democratic, laissez-faire, charismatic, transformational, and transactional. Finally, the report differentiates between leaders and managers, highlighting their distinct roles and responsibilities within the organization. The report concludes with a summary of the key findings and a list of references.

MANAGEMENT
OPERATIONS
MIHAELA LIDIA HOREA
D/508/0488 B.M./24889

TABLE OF CONTENTS
 INTRODUCTION
 DEFINE OPERATIONS MANAGEMENT
 TESCO- GOALS AND OBJECTIVES
 DIFFERENT MODELS OF OPERATIONS MANAGEMENT
 PESTLE/SWOT ANALYSIS OF TESCO
 DEFINITION OF LEADERSHIP AND TYPES USED IN TESCO
 DIFFERENCES BETWEEN LEADERS AND MANAGERS
 CONCLUDING REMARKS
 REFERENCES

GOALS AND OBJECTIVES
'Serving shoppers a little better every day' is our core purpose.
Our business was built with a simple mission – to be the champion for customers, helping them to enjoy a better quality of life and an easier way of living. (tescoplc.com)

Define Operations Management
 It is considered as the administration practices of the business that
are able to create the highest level of the efficiency within a firm.
( investopedia.com)
 An area of management concerned with overseeing, designing, and
controlling the process of production and redesigning business
operations in the production of goods or services. (omicsonline.org)

CONT..
 2.Operational management focuses on lots of the different areas but mainly on
the planning, supervising ,organizing within the context of the production,
manufacturing.

Model of operational management
TQM/Total Quality Management
 It is defined as the consumer oriented process as well as aims regarding
the continuous improvement regarding the operations of the business.
 It assures that all the staff members are working towards a common
goal to improves the quality of the product and services (Davies, Ryan
and Rose, 2020).
 It will improve the process of production as well as impact the decision-
making by the utilization of the performance metrics to monitor
progress.

TQM Philosophy
 Focus on customers
 Continuous improvement
 Benchmarking
 Employee empowerment

CONT..
JIT/ Just in Time
Just in time (JIT) is an inventory management method whereby
materials, goods, and labour are scheduled to arrive or be replenished
exactly when needed in the production process.(investinganswers)
For example- Toyota has implemented JIT which allow them to produce
cars only when there is demand. So, this enhances their efficiency.

SWOT
Strength
Tesco is considered as leading grocery retailer within the market of the United
Kingdom. It has high revenue management and sales as compare to the other
groceries as per the annual reports of the year 2018 the profit increases
around 28% of Tesco (Selvarajah and Sukunesan, 2020).
Tesco uses technology that increases the shopping experience of the
customers such as introduce RFID technology that can able to count the
products automatically.
Weakness
It failed the operation within Japan And Europe .
Faces the fraud trials and accounting scandals.
It has the low cost strategy leads to reduce the profit margins.

CONT..
 Opportunities
 It has the online shopping and home delivery services.
 It has opportunities regarding join ventures within region where
Tesco is underperforming.
 Threats
 Firms faces the Brexit referendum consider as a threat for retailer
firms like Tesco.

PESTLE/ TESCO
 Political factors
 Tesco operates worldwide as it is a retailer firm where the global factor of the tesco impacted a lot
as this includes the stability that which a nation operates, tax rates. Because of the financial
stability as a Tesco creates the job for the local people of that nation. Due to this it can increase the
demands for the products as well as diversifies its staff members.
 Economic Factors
 These are the factors that can leverage the profit, prices ,demands and cost. Thus the firm should
be aware regarding any change within polices for example various other factors that influences on
the basis of accessibility regarding finance (Davies, Ryan and Rose, 2020). Tesco should
be aware of the any changes within taxation.
 Social factors - These are considered as the social trend, changes within the UK. As people of the
UK nowadays moves towards one stop shopping and bulk shopping. Thus tesco enhanced the
various number of the non food items that can be offered through sales.

CONT..
 Technological change
 These are the advancement that can brings the several opportunities for the firm. As it includes the
online shopping ,the development of the online shopping facilities as people needs also of the grocery
items at their homes. Tesco provides them more convenience such as self checkout points that can
reduce the labor cost for the consumers. Tesco also reduces is carbon footprint.
 Environmental factors
 Over the time various firms has adopt various ways regarding the environmental issues as well as
adopt ways that aids to benefit society. Tesco is committed regarding to reduce its carbon footprints
around 50 % at the end of the year 2020. Firms also takes various initiatives to minimize the waste
produced within their stores through enhancing social conscience within consumers. (Adler and
Laasch, 2020)
 Legal factors
 Government polices as well as legislation also influenced the performance of the tesco. For example,
the Food Retailing Commission (FRC) in 2004 suggested a Code of Practice should be introduced
which would ban many current practices, for example prices changing without giving notice to the
suppliers of the firm.