Operations and Project Management Analysis: TESCO Case Study Report

This report provides a comprehensive analysis of TESCO's operations and project management strategies. It begins with an introduction to operations management, highlighting the importance of efficient resource utilization. The report then delves into the implementation of operations management principles within TESCO, a major retail company, critically reviewing its practices. It explores the application of the IPO model and various principles such as distribution, logistics, and inventory management. The report also examines different approaches to operations management, including flexible specialization, mass customization, agile manufacturing, Six Sigma methodology, and lean principles, evaluating their effectiveness in the context of TESCO's operations. Furthermore, the report details a continuous improvement plan, addressing quality control, promotional events, and inventory management. The second part of the report focuses on project management, specifically the application of the Project Life Cycle (PLC) stages, and analyzes project methodologies, tools, and leadership within the PLC framework. It critiques the effectiveness of PLC through theoretical and practical exploration, concluding with an evaluation of the theories and models related to PLC. The report uses the case study of TESCO to demonstrate how theoretical concepts are implemented in a real-world business setting, providing practical insights into operations and project management.

Operations and Project
Management

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Review and critique of implementation of operations management principles in TESCO....1
M1 Six sigma methodology and lean principles in TESCO........................................................4
P2 Continuous improvement plan based on review of operations management principles........5
M2 Analyse effectiveness of continuous improvement plan.......................................................9
D1 Continuous improvement plan for achieving improved efficiency.......................................9
TASK 2 ...........................................................................................................................................9
P3 Application of PLC stages in project and producing support document................................9
M3 Analyse project methodologies, tools and leadership within PLC for project....................13
D2 Evaluate PLC through practical and theoretical exploration...............................................13
P4 Review and critique the effectiveness of PLC......................................................................13
M4 Analyse theories and models of PLC .................................................................................14
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................16

INTRODUCTION
Operation management comprises planning, design system and conducting activities to
deliver products and services in market to fulfil demands of people. It is essential that executive
responsibility to utilise resources that is funds, material and manpower efficiently. For this,
different department are constructed by management to execute activities and complete project
timely. Present report is based on TESCO Plc, is retail store which has headquarter in United
Kingdom (Burke, 2013). It is a third largest British multinational firm which provides groceries
and different variety of products and services in according to requirements and needs of people.
This assignment specifies implementation of operations management principles in organisation.
This helps management to prepare continuous improvement plan. Besides this, project life cycle
which is applied in system with use of different theories and models of management.
TASK 1
P1 Review and critique of implementation of operations management principles in TESCO
TESCO Plc is a famous trading firm and market leader of groceries in UK. Company
have different branches that is supermarket, hypermarket, convenience shop to provide
appropriate products and services to people. TESCO has stores in Asia, Europe, Ireland,
Hungary and Thailand which help management to have good market reach and customer base to
enhance sales and profitability.
Difference between Operation and Operations Management:
Operation Operations Management
This concept defines organisation
responsibility is to manufacture products and
services in according to requirements of people
(Fleming and Koppelman, 2016).
This tactic specifies administration duty to
manage system and execute business activities
properly to utilise resources efficiently.
Operations is permanent process which defines
resources assigned to conduct tasks in respect
to policies and procedure specifies by head
personnel.
Operations management is ongoing function
which require to be modified and altered in
according to conditions prevailing in market.
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IPO Model :
Input – Process – Output analysis model, can be used by TESCO in order to
demonstrate the whole functional process. It is a diagram which helps in different factors like
planning, processing and troubleshooting. In this, manager of the company needs to use IPO
model to create their standout presentation. In addition of this, it also help in attaining intangible
benefits. Input in which TESCO is bringing their products from suppliers after that process of
packaging, labelling and many more are accomplished within their business and at last they sell
their products to their customers through their stores in various countries and areas. By using this
process it help organisation to work with the process which will saves time and its productivity.
Operation Management Principles:- These are different rules which are implemented
by superior in TESCO are stated beneath: Managing operations: It is administration responsibility to have complete knowledge
about different management concepts to make appropriate decisions. TESCO Plc is retail
store which require to have adequate products for which superior need to design system
to conduct production process and deliver quality products and services to customers. Distribution and logistics: This is essential principle which management require to give
appropriate concern to timely deliver products and services in market. It is essential that
TESCO Plc have adequate items available in store in according to demands and
requirements of people (Garel, 2013). For this, management conduct appropriate
activities of warehousing, transportation and distribution channel are used by company. Operations planning: This aspect specifies management need to acknowledge
manufacturing techniques to conduct business activities properly. Top personnel require
to use different tactics from strategic to tactical level so that goals and objectives are
accomplished within defined time.
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 Manufacturing management: This tactic defines different practices and concepts of
management which are used by organisation to make system function properly. It is
essential that appropriate working environment, process layout, material requirement
planning, routing and many other aspects. This help superior to conduct appropriate
activities by providing facilities to employees.
Inventory management: This principle goal is utilisation of resources efficiently so that
appropriate products and services are delivered in market. It is essential that management of
TESCO Plc uses appropriate techniques to have adequate inventory of products in store to fulfil
requirements of customers (Kerzner and Kerzner, 2017).
Different approaches to operations management: These are various approaches which
are used by superior of TESCO Plc are stated beneath:
Flexible specialisation:A competitive strategy where an organisation equips themselves
with multi-skilled workers, innovation executives and multi-use equipment. For adjusting their
business activities very quickly because today's business environment and marketplace is
carrying a rapid changing nature. TESCO is using various tools of business operations like Slack,
Zendesk and many more in order to enhance their effectiveness within the existing market.
Mass customisation: This method produce custom-tailored products or services to
achieve buyers diverse as well as changing requirements at near mass manufacturing costs. It is
enabled by technologies like lean production, product modularization and internet. TESCO is
using these technologies in order to customise their services as per customers wants and needs
which will increase the effectiveness of products and services of this company.
Agile manufacturing: This approach can be considered as the new strategy due to this
customers of TESCO are frequently getting the products in a way they want it. Mainly all the
service, products are customised in certain period of time as per the requirements of consumers.
Therefore, TESCO has found that this approach is useful for them and helping them in
manufacturing or customising their products in order to attract customers in an effective way.
Six sigma: This method help in managing quality which aid in enhancing business
products, process and its services by discovering and removing defects. It assist TESCO in
managing quality control in order to gain effectiveness in productivity. Six sigma involve define,
measure, analyse, improve and control of business operations in much effective sense. This
process where defining of issues, analysing the production, using improving approach in all the
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areas and then continuously monitoring them can help project manager of TESCO and with the
help of this improvement can be done in much effective manner.
Lean production: Its main purpose is to cut costs by making enterprise more responsive
and efficient to market requirements. In this, management of TESCO mainly concentrate on
eliminating wastage by maintaining quality of their products and services. This lean
manufacturing is used in all the aspects of enterprise from designing till its distribution.
Taylor's theory of scientific management: This concept was propounded by Frederick
Taylor which defines that executive goal is to enhance economic conditions by improving
productivity of workers. Management of TESCO Plc require to have motivated members which
conduct tasks effectively and complete work within defined time. For this, superior maintains
relations with employees and provide them appropriate instruction and guidance to make them
perform tasks effectively. Along this, employer duty is to give compensation and incentives to
subordinates in according to their outcomes to increase their morale and dedication towards job.
Thus, quality products and services are provided to customers to satisfy their demands and needs.
Operation process in service sector and manufacturing sector organisation: In
manufacturing industry management conducts activities for production of products to fulfil needs
and demands of people. While in service sector, which gives facilities such as transportation,
insurance, banking and so on. These are businesses which didn't have production of items. Thus,
operation process is to make arrangement and provide services to people.
Relationship between operations and other business functions: Management conduct
activities and implement appropriate tools and techniques in system to manufacture products in
according to requirements of people (Beringer, Jonas and Kock, 2013). Operation department
help other units that is marketing and sales people to deliver quality items. Along this, they
require support from finance team to provide them adequate funds to purchase material for
production process.
Operations management approach helps executive to conduct business activities in
effective manner and accomplish requirements of organisation.
M1 Six sigma methodology and lean principles in TESCO
In TESCO, administration uses operation management approaches to conduct business
activities and deliver adequate products and services in market. Six sigma methodology which
comprises five elements that is design, measure, analyse, improve and control. This help
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company to use appropriate techniques in manufacture quality items and reduce errors and
defects. Along this, lean principles which are define value by conducting market survey to
acknowledge needs and requirements of people (Gunasekaran and Ngai, 2012). This benefit
management to order products from suppliers and make flow of things to fulfil demands of
customers. Thus, company is able to pull large number of buyers and enhance sales and
profitability.
P2 Continuous improvement plan based on review of operations management principles
TESCO is a leading business organisation in retail sector. They are operating their
business in a very smooth manner within 11 marketplaces of different nations. Presently, TESCO
is providing wide varieties of products which involves financial services, food, clothing,
electronics and many more. Team of TESCO has kept its focus over launching their stores in all
over the globe. Stores are well- stocked with goods from their suppliers. They also provide
grocery delivery services as well as it has more that 40,000 product line which its retail sector
exhibit. They are operating their business in Hertfordshire, Welwyn Garden City, UK and
England. TESCO is originally a United Kingdom as their products are diversified geographically
in the areas like retailing in books, electronics, petrol, toys, telecoms, internet services and so on.
This company is having various subsidiaries like TESCO Bank, TESCO Stores Ltd, Spenhill,
Booker Group and etc.
Continuous improvement is process which has four steps which are plan, do, check and
act which are executed by management. Alterations and modifications in system are made by
superior to conduct operations in according to situations prevailing in market. It is essential that
superior implement latest tools and technologies to manufacture quality products and provide
quick services to customers. TESCO Plc is retail store which provide groceries to people need to
have adequate items available in store in according to requirements and choices of buyers. Along
this, manager require fresh and quality products to grab attention of large number of people and
enhance sales and profitability (Pemsel and Wiewiora, 2013).
Continuous improvement plan: This program defines activities which are conducted by
management to make changes in strategies and system to
Improvement Anticipated outcome Recent performance
level
Improvement in
strategies
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Quality Grocery products are
non-durable things
which require proper
preservation by
management of
TESCO. If, customers
didn't get quality
products than this
impact on image of
firm.
TESCO is leading
retailer in UK, as
quality products are
delivered to customers
which help manager
satisfy requirements of
people.
TESCO should make
changes in
technologies to
provide online services
and quality products to
consumers.
Promotional events TESCO uses less
promotional tools
which define that
people didn't have
information about
products availability
which affect on sales
volume of firm.
TESCO require to use
appropriate
promotional
techniques to maintain
its position and
reputation in respect to
rival brands.
Management require to
use online advertising,
social media and
various other
promotional
techniques to increase
market reach and
customer base.
After sales service In TESCO, manager
doesn't have design
separate system for
customers request and
problems. This
impacts on sales of
company, as buyers
problems are not listen
and even they didn't
get after sales services.
People require to get
warranty period and
after sales service
from company to get
appropriate facilities
from management.
Management require to
establish a separate
team for buyers
queries and provide
appropriate services to
people.
New Product development model: NPD is being considered as a complete process of
which helps in developing a whole new product in existing market. Here, TESCO plc has kept its
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focus over developing a product i.e. Energy Powder. New product development model contains
different stages and these are : idea generation, screening, testing, strategy analysis, development
of product, test marketing lastly commercialisation.
Concept of Kaizen: Kaizen is being considering as an effective approach of continuous
improvement which helps in making small to big changes within an organisation through which
better results can be framed out. Manufacturing department of TESCO has used this approach
with keeping an aim i.e. reduce defects, improve productivity, motivates employees to perform
effectively and also support innovation.
Supply Chain management: Being one of the largest retailer in all over the world, it is
much important for TESCO to have a strong supply chain management system in order to keep a
proper flow of goods and services. This includes storage of raw materials, Work in process stock
so that it do not cost much to TESCO because it has been found that more stock than
consumption, may get damage. Apart from this, less stock might create issues in developing a
good image.
Enterprise Resource Planning systems: This is a management system which may help
TESCO Plc in different business purpose and processes. Finance, marketing, procurement, HR,
supply chain and many more in one system every single company looks to have. Thus, ERPS
gives an opportunity to TESCO to look into all these factors and it helps in clearing the vision of
top personnel. System majorly helps management team in order to take right decision in real time
frame.
Process Re-engineering: It is another approach of management strategy, made in 1990s
which is used by the companies in order to analyse and design proper workflow. On the other
hand, it has also been analysed that TESCO has kept its aim as to significantly rethink over how
organisation can deliver right customer service to its consumers.
Customer Relationship Management: This is being considered as a technology i.e.
used by TESCO where they can create good interacts with consumers. Customer Relationship
Management (CRM) helps customer executive in staying connected to consumers with 24*7.
With the help of this, TESCO may improve there bond with users for a longer period of time.
Total Quality Management: It is the continuous process of reducing and minimising
production, supply chain and customer satisfaction related errors. This approach ensures that
every organisation is required to improve and develop all factors at work place for maximising
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customers satisfaction level. In context to TESCO, its manager is using this approach for
improving products, services, culture and process of the firm for long term. As a result it
contributes in success organisation through large number of satisfied customers.
Lean principles: This approach defines management maintains relations with suppliers to
have sufficient raw material and products in company. TESCO is retail store which provides
groceries require to order things in according to demands and needs of buyers. Company goal is
to provide fresh and quality items to customers. For which, superior require to timely deliver
products in outlet (Ramasesh and Browning, 2014). These are different lean principles which
helps management maintain reputation and image of firm in market is stated beneath:
Define value: This tactic helps manager to conduct market research to identify needs and
desires of buyers. Along this, income level of people are also acknowledged by superior to make
appropriate decisions about setting adequate prices. TESCO offers groceries at reasonable rates
to attract large number of people and enhance sales volume and profitability. For this,
manufacturing cost reduction is technique which helps management to determine prices
accordingly.
Map value stream: This is another principle which specifies that management assess
areas which comprises adequate number of buyers for their products. For this, map is appropriate
tool which gives complete information about near locations, so that activities can be organised
accordingly. This helps TESCO to enlarge its market reach to increase customer base and sales
to enhance profitability (Mir and Pinnington, 2014).
Create flow: This tactic defines management responsibility is to utilise resources
efficiently for execution of business activities properly. It is necessary that employer allocate
manpower and design system to conduct manufacturing process in better manner. This help
TESCO to expand business and deliver products in according to needs and wants of people. For
this, adequate distribution channel is used by company to have sufficient items available in store.
Establish pull: This is important principle which helps management to use different
promotional techniques such as online advertising, personal selling, electronic media, etc. These
are tools which are used by TESCO to inform people about variety of products to attract large
number of buyers and enhance sales.
Pursue perfection: Management require to maintain reputation of firm by satisfying
buyers and construct loyal customers (Pade-Khene, Mallinson and Sewry, 2011). It is essential
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that changes in system that is latest technologies and equipments are used by TESCO to deliver
quality products in market.
M2 Analyse effectiveness of continuous improvement plan
Continuous improvement plan helps management to make changes in system to provide
adequate facilities to buyers to satisfy their needs and requirements. Lean principles helps
superior to give value to customers by identifying market areas which have good number of
buyers. This help management to deliver products in market and use promotional techniques to
inform people about items. Along this, another goal of superior is quality which is maintained by
TESCO by making alterations in promotional tools and techniques to provide quality items.
Company even provide after sales service to buyers to satisfy them and construct loyal
customers.
D1 Continuous improvement plan for achieving improved efficiency
Continuous improvement plan helps management of TESCO to acknowledge outcomes
and compare it with market conditions to make changes in system accordingly. This tactic
benefits company to implement appropriate technologies in system to provide quality items to
buyers. Along this, promotional techniques and after sales service are used to grab attention of
large number of people and provide them adequate facilities to satisfy their needs and demands.
TASK 2
P3 Application of PLC stages in project and producing support document
Project Definition:
Project is an effective activity which help in creating new and unique products and
services with the purpose of attaining success at market place. By preparing project manager of
Tesco can easily enhance their performance by developing new products and services. In context
of Tecso, sales of the company become stable in past few year which made the top level
authorities to aim for developing a new products in order to enhance the overall sales of the
company at market place (Turner, 2016). In past few years, it has been analysed that in United
Kingdom, there are less number of energy powder has been made by companies. By looking at
this, TESCO decided to develop a product in grocery sector in coming 2 years. Energy Powder
which boost up the energy of old aged people. This may help them in improving customer base
in all over world. In this context, the main objective of this project is to promote their product in
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demographic segment (55- 75 age consumers). In this company target old age people enhance
their sales by offering their products at international level. Project manager has kept his focus
over a task which is attaining the above set aim. In this the main responsibility of project
manager is to allot equal task to skilled workers so that they can easily perform their duties and
attain set aim in appropriate time frame.
 Initiation of the project: Under this, project manager conduct survey for analysing
customers needs and wants towards the new products of the company. In this, most of the
respondents of the survey were in favour of TESCO to launch a new products for old age
people. After conducting a research it has be analysed that many companies has
formulate energy powder for old age people but they were not effective in equality. This
made Tesco to develop a whole new product (Energy powder) in market. On the other
side, customers taste and preferences are continuously change towards the company
product and also affect entire aim of the firm. Thus it is important for TESCO to keep
update about consumers taste and needs in order to improve their overall performance
level at market place.
 Project planning: The main aim of TESCO is developing a new product where it is
important phase in which top personnel of TESCO frame program and distribute duties
and targets to employees in according to their skills and capabilities. This help superior to
overcome risks and make system function in respect to market conditions. This concept
defines management responsibility is to utilise resources efficiently. For this, employer
distribute members in different department to make them function in team. In project
management, system engineering is activity conducted by superior to organise work of
groups into managed sections. In this context, the detailed budget of Tesco are as follows:
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Along with this, many companies serve energy products which made high market value
that is major risk in-front of TESCO. Thus, it is important for company to review and monitor
entire process of production, plan and project as per continuous basis so that they can easily
remove all the obstacles. With the help of this company can easily improve their quality products
and make them valuable in front of customers. Apart from this, cost benefit analysis is also
consider as an important tool through which company can easily analysis product strength and
weakness with the aim of improving their profitability. For attaining the same, Tesco serve
quality products to customers at affordable cost. This will help in inviting larger number of
customers over there.
 Execution: Under this, project manager carry out a plan and activities as per project aim.
With the assistance of this manager can easily attain set target. If plan can effectively
execute then Tesco can easily enhance their sales and productivity as well. For attaining
the same, manager set activities along with start date and finish date which help them in
accomplishing project goals. Market research is appropriate technique which helps
TESCO to identify choices and requirements of people. This help manager to have skilled
staff to provide quality products and services to customers.
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Apart from this, Gantt chart is also an important bar chart which execute as well as performed as
per vertical axis and time are set on the basis of horizontal axis. With the help of this, project
manager easily perform all the activities of the project in appropriate way.
 Monitoring and control: In this phase, the main KPI is to provide customers satisfaction
because as per the survey which was done by Tesco, existing products that was made by
rivals were not effective in nature. This influence the company to develop a whole new
product (Energy powder) to improve energy level of old age people. With the help of
this, sales and customers satisfaction can also get enhanced. In this context, the various
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issues are also faced by the company at the time of developing new product i.e. lack of
training programs, improper collection of data towards the products and many more. All
this are create negative impact on the overall performance of the company. Thus, Tesco
should provide better training and development programmes to workers so that they can
easily execute their activities and attain their set target in effective manner.
 Closure: This is last stage of PLC which helps management to acknowledge capabilities
of employees by comparing outcomes with standards. Feedback from customers is taken
by evaluate quality of products and services (Chen and et. al. ,2011). This help superior
to make changes in system to provide creative and unique items to people. Along with
this project manager evaluate entire performance of the activities with the aim of
reducing the chances of arising issues. This will help in improving the effectiveness of
the project.
M3 Analyse project methodologies, tools and leadership within PLC for project
Project documents, benchmarking and improvements which are made by management to
make system function in according to market conditions. These are different tactic which help
superior to manage projects properly by designing system and providing appropriate duties and
tasks to members in according to their capabilities. Critical path method is used by management
to design chart which specifies different activities which are conducted to complete project
within defined time (Lindström and et. al. ,2012). Along this, Gantt chart is another tool used to
make appropriate procedure of activities that will be conducted to attain objectives properly.
D2 Evaluate PLC through practical and theoretical exploration
Project life cycle is theory which define different activities which management is divide
people in team and conduct appropriate activities for completing project within defined time.
Gantt chart: Management of TESCO to distribute activities and provide fixed duration to
conduct operations properly. This helps superior to break down work into small parts so that
project gets completed timely (Chen and et. al. 2011).
P4 Review and critique the effectiveness of PLC
Project life cycle helps management to organise activities in systematic manner.
Companies faces problems and difficulties in respect to new product launches which require to
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be manufactured in according to needs and wants of people. In this context, Tesco produce new
product i.e. energy powder for old age people.
Market research is appropriate technique used by management to identify opportunities
for enlarging business to increase customer base to enhance sales and profitability. This tools
also helps superior to acknowledge competitor's offerings to make changes in system
accordingly. Along this, feedback from customers is taken by management to assess their
choices and requirements to provide appropriate products and services. This also benefit
management to make changes in technologies to deliver quality items in market. Besides this,
superior launch new and creative items to increase their customer base and sales volume.
Project life cycle methodology, work breakdown structure and Gantt Chart are
appropriate techniques which are used by management to conduct activities and complete
objectives within defined time. In TESCO, these are techniques used by superior to launch new
business idea and increase business in different market segments to provide different variety of
products to people to fulfil their needs and requirements. This help company to expand their
customer base to improve profitability (Cruz and Marques, 2011).
M4 Analyse theories and models of PLC
Project life cycle is theory is used organisation to conduct operations properly for
completion of projects within defined time. Gantt chart and work breakdown structure are
concepts which are used by management to give series to activities to execute them in systematic
manner and smoothly. Large and small scale projects are different as both have distinct
objectives, funds and scope. Large scale projects have more number of activities than small
scale. Thus, PLC have
CONCLUSION
From the above report, it can be comprehended that management responsibility is to
conduct appropriate business operations to accomplish objectives and goals. It is essential that
administration formulate strategies and implement appropriate tools and technologies in system
to conduct activities effectively. Superior uses different operation management approaches and
principles to utilise resources efficiently. This helps management to construct improvement plan
for enhancing functioning of system. Besides this, organisation have different projects which are
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conducted with help of project life cycle stages. Thus, PLC is theory used by manager to make
adequate project plan and work breakdown structure.
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REFERENCES
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Kerzner, H. and Kerzner, H. R., 2017. Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
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project management performance and project success. International journal of project
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practice for developing countries: investigating the Dwesa and RUMEP projects.
Information Technology for Development. 17(3). pp.187-212.
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Online
Management Theories & Concepts at the Workplace. 2018. [Online]. Available
through:<http://smallbusiness.chron.com/management-theories-concepts-workplace-
17693.html >.
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