Organization Structure and Justice

Organization Structure

Introduction

Tesco has been one of the leading and largest companies in the UK retail and grocery industry that has also become well known multinational corporation due to international expansion of its chains and business across the border. Around 65 percent of its business lies outside UK and its 12 international subsidiaries have become the main driving force behind Tesco's growth and profitability. Tesco has invested heavily in innovative technologies in order to improve the efficiency of its supply chain management system and overall performance. It believes in taking up the organization structure and skills of the host countries and economies in which it is operating and believes in development of as many leaders as possible to take care of its international subsidiaries and business. The information and knowledge sharing system is very effective and is shared and distribute through intra firm networks of telecommunication and also face to face transmissions (AIM Research).

Discussion

Hierarchical Organization Structure

It believes in effective organization change, learning and innovation as per the market requirement but the organization structure of Tesco is highly bureaucratic with a typical hierarchical structure due to its large size and multiple layers of management and leaders. Managers and employees at Tesco are reporting to more than one people before the information finally gets in the hands of the main boss. It organization structure is quite complicated and huge with so many different levels of management. the decision making power is in the hands of the managers and roles are mostly delegated from top to bottom and people are expected to follow them. there many teams, sub teams and manager and sub managers dealing with every day issues and problems of the business at Tesco. Each level of management is controlled by one manager due to large size of Tesco. And the chain of command at Tesco is like a pyramid that has a large base of employee and low level workers who are supervised by the immediate but smaller level above them who are in turn again supervise by the level present above them and the chain goes on until it reaches the top level of CEO that is Terry Leahy. If there is a problem at Tesco it will have to move up to the higher management after passing through all the levels in between until it reaches the right destination. Since Tesco has a large business with large number of workers and now that it has spread across the border, there is a crucial requirement to have close and strict control on the workers so that they know what they are supposed to do and are well aware of their duties and task without waiting to be told as that might result in waste of time (Studymode). At Tesco worker have well define roles and responsibilities and know what they are responsible for and authorized to do. For instance workers at Tesco do not wait for the manager to tell them to set the stock on shelves ...