MPO

Managing People in Organisations: An Analysis of Tesco Plc

Table of Contents

Introduction1

Brief Profile of Tesco Plc2

People Management Issues at Tesco3

Understanding the Nature of People Management Issues4

Performance Management4

Employee Turnover6

Strategies to Motivate Employees7

Role of Team Leadership7

Job Recruitment and Job Design7

Role of Communication in Maximising Employee Productivity8

Reward and Recognition9

Conclusion10

References12

Managing People in Organisations: An Analysis of Tesco Plc

Introduction

Effective management of people is vital for the success of every organisation. How a company manages its people or human resource; can help in determination of the future position of the company. In the book “What I Learned From Sam Walton: How to Compete and Thrive in a Wal-Mart World” Michael Bergdahl quote Sam Walton the founder of the Walmart that “if you take care of your people, your people will take care of the customers and the business will take care of itself”, (Bergdahl, 2004, pp. 75). The philosophy of the Sam Walton clearly depicts the importance of managing people in organisation; and success of Walmart is simply a living example of the effectiveness of managing people in organisation. Global economy is now moving to knowledge economy, where organisations are dependent on the knowledge of the people. This economic transition to knowledge economy has increase the reliance of the organisation on its human capital. Managing people in organisation has become an important phenomenon, because an organisation can only achieve success in present day competitive business environment, if it treats if employees effectively.

Management of people in an organisation is considered effective, if majority of the employees working in the organisation are motivated and align their personal goals with of organisational goals (Armstrong 2000, pp. 32-88). The alignment of goals is also vital because employees will work with more dedication. Having explained the importance of managing people in organisations, this paper will now narrow down the scope of the study to one specific problem of people's management in a specific UK based organisation. Tesco Plc has been selected in this study, so that one of its people's management issues can be identified and discussed in accordance with the module. The selection has been made because Tesco Plc is the third largest retail organisation of the world while Walmart and Carrefour sustaining first and second positions respectively.

Brief Profile of Tesco Plc

Tesco Plc, listed as TSCO in London Stock Exchange (LSE), is the multinational grocery and general merchandise retailer of British origin. The company is headquartered in Cheshunt, UK. After Walmart of US and Carrefour of France, Tesco Plc is the third largest retail organisation of the world and is all set to become the second largest organisation of the world in term of its revenues (Chiron 2001, pp. 1-22). The company presently operates in more than 14 countries in Asia, North America and Europe; whereas the company is the market leader in four countries including UK (where the company has a market share of approximately 30%), the Republic of Ireland, Malaysia and Thailand (Datamonitor, 2011).

Tesco Plc was founded by Jack Cohen in 1919, in form of market stalls ...