Assignment Sample on Management Report on Tesco

Introduction

Organizational change is needed in any organization such as Tesco for the growth of the organization and sustainable market presence in the globe. This report is going to shed light on the analysis of Tesco’s change management based on Carrefour with ‘strategic alliance’. The organization is bringing changes for lowering the project cost and giving greater satisfaction to the employees. Tesco has made a strategic alliance with Carrefour to bring some changes to the organization. The critical reflection on a change process is to be described in this report. The recommendations on lessons learned for future change will be also discussed. The critical review of relevant theories and paradigms will also be discussed in this report.

Overview of the organization

Tesco is an England-based company which was founded in 1919 by Jack Cohen. It specializes in the grocery and retail sectors. The headquarters of Tesco is situated at Cheshunt which is in the UK. Tesco generates annual revenue of 62.54 billion Euros as per the 2010 report. They have 472,000 employees as per the 2010 report. They are one of the best retail companies in the UK (tesco, 2021).

Recent change process of the company

It has been observed that Tesco has brought some changes in terms of Strategic alliance with Carrefour Company. As per the view of Hughes et al. (2018), change of an organization generally gets developed by some sustainable phases, and Tesco’s organizational change is no exception, so the change of the organization is going to be evaluated by implementing Lewin’s change management model. Lewin’s change management model works in three steps to implement the changes in an organization which is described below:

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Unfreeze

This is the first step in implementing Lewin’s change management model which describes how an organization should understand that the change is the most necessary factor for the growth of the organization. As per the view of Lacerenza et al. (2017), it involves breaking down the previous work process of the company to build up a new work process. Therefore, in the very initial phase, Tesco has critically apprehended that the sales revenue has been declined by reported profits of £1.3bn. The company understood what needs to be changed by surveying and understanding the problems. Tesco ensured strong support from their team which consists of senior management of the company. It has created the need for changing the work processes in the organization. As per the view of Rudolph et al. (2018), it is needed for the organization to understand the concerns and doubts regarding their work, and Tesco has effectively dealt with this concern.

Change

This is the second step of Lewin’s change management model which implies an identification of the changes and applying those changes in the organization. This is also one of the most necessary factors for change enhancement of the organization. As per the view of Leithwood et al. (2020), in this phase, the organization (Tesco) has evaluated the scenario of the issue, and as per that the organization has made changes. In this phase, the organization has noticed they need to focus on the price cut of products and alongside it also aiming to sustain the profit section, and based on this perspective the organization has deliberately decided to get involved in a strategic alliance with Carrefour. In this phase, the organization has bought the strategic marketing change and operation sustainabilities as well. It also has been identified that the organization has empowered its employees which helped them get positive output and operational processes (Rudolph et al. 2018).

Refreeze

This is the last and final step in Lewin’s management model which implies refreezing the organization after implementing the changes inside the organization. It is the most important part of any organization because the organization cannot change the process again after doing refreeze. Tesco anchored changes in the organization by strategically aligning with Carrefour, and also have made changes by getting tied up with global suppliers, and by sharing their own-brand products (Reiche et al. 2017). Refreezing is last phase, where the organization has locked the change by making a bond paper with its partners and suppliers by mean of formal agreement has yet been signed. It also has been identified that the company is hoping to confirm a deal in the next two months.

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•         Critical reflection on the change process

In order to critically reflect on the changes, the Kolb’s reflective model is going to be used. Kolb’s reflective model will helps to evaluate the learned facts based on the experience of changes.

Concentrate experience

I have observed that strategic alliance plays a crucial role in any organization and it also has helped Tesco to get a sustainable benefit in term of dealing with price cutting. I have experienced that change or organizational change generally gets developed by passing through some phases, and change eventually helps organizations to get effective sustainable results to survive in the market. I have also noticed that in change processes, the relations between the employees and the management play a very big role as it majorly helps to cope up with the obstacles. I have seen this change which has happened in Tesco’s workplace and the leaders of Tesco are very grateful that as a leader, they brought these changes which helped them and their organization grow (Andriani et al. 2018).

Reflective observation

As per the view of Reiche et al. (2017), this part is the questioning of the arising problems. The questions can be what have failed and what can be done is being questioned in this part. The participation of the employees in the decision-making process of the organization also plays a crucial role in the growth of the organization. I have observed that Tesco gets involved in the change of organizational operation in a sustainable way and this change has been supported by the leaders of the organization. Therefore, based on this perspective I have also concluded that the leaders have a sustainable rate of adaptability which is capable of managing the change processes. This also helped Tesco grow and expand its business to a new height.

Abstract and conceptualization

I have experienced what are the facts Tesco has found and conceptualized. There are many ideas which Tesco has got from their managers as well as their employees. This is the part of getting that idea for implementation.  While elevating this change, I have observed that the manager of Tesco has broadly believed that “By working together and making the most of our collective product expertise and sourcing capability, we will be able to serve our customers even better, further improving choice, quality and value.” —- This fact is illustrating that the organization has sustainable collaborative nature in the work couture, which has helped it to get a sustainable rate of success regarding this change. Therefore, the main conceptualization of this phase is, in change of an organization, there is a vital role of unity which used to be managed by the leaders and managers of an organization.

Active experimentation

As per the view of Leithwood et al. (2020), this phase of Kolb’s model helps to “gives rise to a new idea, or a modification of an existing abstract concept”. Tesco tried out different strategies from different mindsets which helped them reach a greater height as well as their employees were also happy regarding their work processes. I do think that before the final implementation of change the origination needs to do experiment with various pricing strategies, as strategic alliance can create various issues with the business reliability and thought processing as well. However, the change could be done in a sole manner, instead of getting merged with Carrefour, and this could help the organization to maintain its consistency.

Benefits of change

Tesco got many benefits after applying enhancing the change in the organizational operation by implementing Strategic alliance. As per the view of Andriani et al. (2018), organizations needs to enhance their change management processes, as it helps to manage the sustainability of the organization. The benefits of Tesco are:

Work efficiency improves

Tesco has improved its work efficiency by applying these models which helped them gain new customers and their employees are also motivated to work for the future of the company. As per the comment of Managers, it has been identified that Tesco has dealt with this change by working untidily with its employees.

Productivity improves

As per the view of Lacerenza et al. (2017), the productivity amongst the employees has improved because of an improved relationship between managers and the employees. This helped Tesco very easily innovate new products. However, it also has been identified that this change has led the organization towards vast operations and sales across Europe with 36% of increment.

Increasing profit margin

The profit margin of Tesco has been improving at a significant rate because of improving work productivity and increased efficiency. This also has helped Tesco keep a healthy profit margin in order to take their business to the next level. However, the organization also gets successful in the change phase, which has helped to deal with cut price.

Potential Issues and Risk with change

It has been observed that many potential issues and risks happen regarding the changes made in the organization. As per the view of Rudolph et al. (2018), Tesco also faced many issues when they changed their organization completely. The issues and risks regarding the changes are described below:

Employees’ resistance to change

It has also been observed that many employees at Tesco resisted changing with the company. This has made Tesco fire many employees and they also recruited other employees which are a big issue for them.

Changed Leadership affects employees

It is one of the major risks in an organization regarding the change process. The leaders in Tesco were not very good with the employees because they had to change their behavior according to the change. It made Tesco get rid of the leaders as well as they also recruited many to make the organization grow (Oberer and Erkollar, 2018).

Recommendations on lessons learned for future change

There are many recommendations that can be drawn regarding the growth of the organization. Tesco has learned some lessons which they should implement in the future for the benefit of the organization. The lessons are that employees need support from their managers. A good leader is needed for the growth of the organization. The focus should be on the processes, not the tools. Proper training should be given to the employees in order to make the organization grow etc (Hughes et al. 2018).

Conclusion

It has been identified that organizational change is needed because of increasing work efficiency by introducing organizational change, such as business operation and many more. Tesco has made many organizational changes by applying Lewin’s change management model and Kolb’s reflective model which has some benefits as well as risks. The recommendation is also given for the future change in Tesco in this report.

Reference

Books

Goodwin, D.K., 2019. Leadership: In turbulent times. Simon & Schuster.

Journals

Andriani, S., Kesumawati, N. and Kristiawan, M., 2018. The influence of the transformational leadership and work motivation on teachers performance. International Journal of Scientific & Technology Research7(7), pp.19-29.

Cote, R., 2017. Vision of effective leadership. International Journal of Business Administration8(6), pp.1-10.

Hughes, D.J., Lee, A., Tian, A.W., Newman, A. and Legood, A., 2018. Leadership, creativity, and innovation: A critical review and practical recommendations. The Leadership Quarterly29(5), pp.549-569.

Lacerenza, C.N., Reyes, D.L., Marlow, S.L., Joseph, D.L. and Salas, E., 2017. Leadership training design, delivery, and implementation: A meta-analysis. Journal of Applied Psychology102(12), p.1686.

Leithwood, K., Harris, A. and Hopkins, D., 2020. Seven strong claims about successful school leadership revisited. School leadership & management40(1), pp.5-22.

Moldoveanu, M. and Narayandas, D., 2019. The future of leadership development. Harvard Business Review97(2), pp.40-48.

Oberer, B. and Erkollar, A., 2018. Leadership 4.0: Digital leaders in the age of industry 4.0. International Journal of Organizational Leadership.

Reiche, B.S., Bird, A., Mendenhall, M.E. and Osland, J.S., 2017. Contextualizing leadership: A typology of global leadership roles. Journal of International Business Studies48(5), pp.552-572.

Rudolph, C.W., Rauvola, R.S. and Zacher, H., 2018. Leadership and generations at work: A critical review. The Leadership Quarterly29(1), pp.44-57.

Websites

Tesco, (2021), TESCO Home page, available at: https://www.tesco.com/ [accessed on 21st april, 2021]

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