...Strategic Planning: Tesco - Activity Tesco is a success story - it was the first UK business to make £2 billion in profits when it announced the feat early in 2005. Despite this, the share price fell when its results were announced. Why? Tesco opened its first store in Edgware, North London in 1929. It gets its name from the combination of the founder of Tesco, Sir Jack Cohen and a partner in a firm of tea suppliers who Cohen worked with, T.E. Stockwell. Since that time, the company has grown and has reflected the changes in retailing. Prior to the Second World War, most grocery stores served customers but self service stores were on their way and, once introduced, allowed stores to grow bigger to become the superstores we know today. The company floated on the stock exchange in 1947 with an initial share price of 25p. Tesco became a familiar name on the high streets of the UK and whilst it was able to take advantage of commercial economies of scale through bulk purchase of supplies, the existence of resale price maintenance restricted the ability of Tesco to be as competitive as trading conditions now allow. The system allowed suppliers to insist that retailers sold their products for a set price. Tesco used other strategies to build customer loyalty including the use of stamps that could be exchanged for cash or goods. The Tesco strategy up to this time was encapsulated by the title of Cohen's autobiography, 'Pile it high and sell it cheap', but the increasing affluence...
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...different strategy. Organization’s profits leading to ultimate growth are backed up by appropriate strategy of the organization. Strategic management process is also considered here to understand strategy planning and its implementation. Strategic planning process must involve identifying the organization’s current mission, vision, objectives and goals; SWOT analysis: Internal analysis and external analysis; Strategy formulation; Strategy implementation and the evaluation of strategy. An organization to make a strategy appropriately must fulfill all of the elements in the process. Table of Contents Executive Summary: 2 Introduction: 4 Task 1 The process of strategy planning: 4 Task 1.1 Strategy contexts and terminologies: 4 Task 1.2 Issues involved in strategic planning: 5 Task 1.3 Discourses of different strategic planning techniques: 6 Task 2 Formulating new strategy: 7 Task 2.1 Organizational auditing of Tesco: 7 Task 2.2 Environmental auditing of Tesco: 8 Task 2.3 Significance of stakeholders’ analysis: 9 Task 3. Approaches to strategy evaluation and selection: 10 Task 3.1 Plausible alternative strategies relating to substantive growth, limited growth or retrenchment: 10 Task 3.1.1 Corporate strategy: 10 Task 3.1.2 Competitive strategy: 10 Task 3.1.3 Functional strategy: 11 Task 3.2 Appropriate future strategy for Tesco: 11 Task 3.2.1 Continuous investment in strong UK business: 11 Task 3.2.2 Foundation of multichannel leadership: 12 Task...
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...Introduction The strategic plan developed by organisations must be responsive to the business environment and to the strengths and weaknesses of the organisation. In this paper two techniques that are often used for environmental scanning are applied on Tesco PLC. These techniques consist of the PESTEL analysis and the SWOT analysis. Environmental Scanning in the Strategic Planning Process Hunger and Wheelen (2002) divide the strategic planning process into four key stages, which comprise the following: scanning of the external and internal environment, development of strategies, implementation of strategies, and evaluation of actual results in line to the strategic targets set. The scanning of the external and internal environment is important in order to identify key factors that help in the development of sound strategies (Hunger and Wheelen, 2002, p. 12). For example, an examination of the business environment can help in the identification of opportunities and threats that affect the organisation. PESTEL Analysis Political The UK government has recently adopted a tax measure that affected Tesco. In 2011 the UK government increased the VAT rate from 17.5% to 20% with the aim to increase government revenue by £13 billion per year (BBC, 2011, n. p.). Crossley et al. (2009, p. 3) contend that an increase in the VAT rate leads to lower customer spending. Therefore, an increase in the VAT rate negatively affected the sales revenue generated by Tesco. Sales revenue is...
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...Vision, values and business strategies S T R AT E G Y Introduction Tesco was founded in 1919 by Jack Cohen from a market stall in London’s East End. Today it is one of the largest retailers in the world. Tesco’s core business is retailing in the UK, which provides 60% of all sales and profits. Tesco has the widest range of food of any retailer in the UK. Its two main food brands are its Finest and Everyday Value ranges, each sell over £1 billion per year. The position of Tesco as a leading global brand is clearly illustrated by its expansion of operations into 12 countries including China, Czech Republic, India, Malaysia, Ireland, Hungary and Poland. In 2013 Tesco employed in excess of 530,000 colleagues. This level of success does not happen by chance. Tesco’s leaders have always set high standards and clear goals, never settling for anything less than the best. Tesco’s ‘Every Little Helps’ philosophy puts customers, communities and employees at the heart of everything it does. It prides itself on providing a great shopping experience for every customer it serves, whether in stores, online or in its many other service provisions. Tesco’s core values include a commitment to using its scale for good by being a responsible retailer. In 2010, it opened the world's first zero-carbon supermarket in Ramsey, Cambridgeshire and was awarded Green Retailer of the Year at the Annual Grocer Gold Awards 2012. Tesco aims to be a zero-carbon business by 2050. Tesco’s continuing success...
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...How Businesses Are Organised and Their Purposes Division of work Work is divided up in the Coca Cola business because this makes it much easier for employees so that they can get the job done. This takes out conflicts between individuals opinions towards the work they are working on. This will mean that no one can say anything about each other’s work and they can do the work in piece without any contribution from others unless it is wrong that needs to be improved told by the manager. Lines of control This means that if Coca Cola Company knows what they are doing and they can control the activities being done. The heads of Coca Cola set task to the senior managers then they do the same thing setting the task to the employees. The task is divided up in the different sector such as finance would do the finance task and marketing will do marketing task. This way everything can be controlled easier rather than one person doing it all which is impossible to do every sectors job in a large company like Coca Cola. Communication In Coca Cola the communication are set from the top to the bottom. The directors of Coca Cola will tell the managers what task have to be done then they will tell the employees what has to be done too, this can sometimes go wrong as the message is getting passed by a lot of people in the business. Sometime the communication is passed from bottom to top because if something goes wrong in the factory of Coca Cola the employees will have to inform their...
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...TABLE OF CONTENT I. INTRODUCTION II. Assess how business missions, visions, objectives, goals and core competencies inform strategic planning III. Analyse the factors that must to be considered when formulating strategic plans IV. Assess efficiency of techniques used when developing strategic business plans V. CONCLUSION REFERENCE VI. I. INTRODUCTION Nowadays, business strategy is core element of all firms in over the world. Before building a business, participating in a new sector or new market, successful firms always deliberately research market, trends of customer, their strength and their weakness to create an appropriate strategy. Especially vision, mission, objectives and core competence are important factors in business strategy. This study will show you the analyses and evaluations about different aspects of business strategy and focus on vision, mission, objectives and competences. It will demonstrate for us about the function of SWOT, PESTEL and Porter 5 forces on the business. II. Assess how business missions, visions, objectives, goals and core competencies inform strategic planning 1. Mission Mission statement is a function or commitment that an organization desires to meet expectations of stakeholders. It describes how organizations run their business; identify their customer, identify range of their products/services and how businesses serve their customer. For example: The mission statement of FPT ...
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...To : HR Director From : HR Manager Date : 19.06.2012 Subject : Human resource management strategy plan 1.1 The word strategy means a long term planning or aim to achieve the specific purpose. Human resource management is based in the efficent use of employees. The main purpose of human resource management is to use of skills and abilities of employee in such a way to achieve the desired result of operational objectives that are utmost aim of organisation. Strategic human resource management is an approach that defines how the organisation goals will be achieved through people by mean of HR strategies and integerated HR policies and practices. SHRM may also be defined as, "strategic HRM focuses on actions that differniate the firm from its competitors" ( Purcell, 1999). Hill and jones take a similar view they define strategy as " an action a company takes to attian superior performance". the SHRM means the decision of a business organisation about what to do and what not to do when learning, training developing and organizing human resource. for example samsung recent decision to make a samsung note featuring all the function very similar to computer and ipad.was a strategic decision according to current need of consumer. SHRM focus on peformance of whole organisation instead of individual performance. 1.2 One of the most essential part of organisation is its employees and is obligatory...
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...Strategic Management Patricia Murtagh The University of Sunderland © 2014 The University of Sunderland First published January 2014, revised February 2014 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise without permission of the copyright owner. While every effort has been made to ensure that references to websites are correct at time of going to press, the world wide web is a constantly changing environment and the University of Sunderland cannot accept any responsibility for any changes to addresses. The University of Sunderland acknowledges product, service and company names referred to in this publication, many of which are trade names, service marks, trademarks or registered trademarks. All materials internally quality assessed by the University of Sunderland and reviewed by academics external to the University. Instructional design and publishing project management by Wordhouse Ltd, Reading, UK Copyright © 2014 University of Sunderland ii Contents vi Introduction Unit 1 1 2 5 7 Concepts, models and theories 20 Introduction 2.1 A comparison of concepts, models and theories relating to competitive advantage 2.2 An evaluation of concepts, models and theories relating to strategic choice Case Study: Ciba Vision 2.3 Concepts, models and theories relating to strategic evaluation Case Study: The University of Exeter...
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...Strategic Management Strategic Management Philip Sadler First published in 1993, authors James C Craig and Robert M Grant Second edition published in Great Britain and the United States in 2003 by Kogan Page Limited, author Philip Sadler Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licences issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned addresses: 120 Pentonville Road London N1 9JN UK www.kogan-page.co.uk 22883 Quicksilver Drive Sterling VA 20166–2012 USA © James C Craig and Robert M Grant, 1993 © Philip Sadler, 2003 The right of Philip Sadler to be identified as the author of this work has been asserted by him in accordance with the Copyright, Designs and Patents Act 1988. ISBN 0 7494 3938 6 British Library Cataloguing in Publication Data A CIP record for this book is available from the British Library. Library of Congress Cataloging-in-Publication Data Sadler, Philip, 1930Strategic management / Philip Sadler. – 2nd ed. p. cm. – (MBA masterclass series) Rev. ed. of: Strategic management / James C. Craig. 1st ed. 1993. Includes bibliographical references...
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...Strategy Student name Assessor Name Internal Verifier Name Patrice KABEYA M T Islam Assignments Hand-Out Date Formative/Draft Submission Summative/Final Submission (At least task 1 or outline of the (Task 1, 2, 3 & 4) entire report) th rd th th Week 1: 29 September 2014 – 3 10 November 2014 12 January 2015 October 2014 Evidence Learning Outcome In this assessment you will have the Assessment (Page no) opportunity to present evidence that shows Task no. Criteria you are able to: 1 Assess how business missions, visions, 1.1 objectives, goals and core competencies inform strategic planning LO1: Be able to 1 Analyse the factors that have to be considered understand the process 1.2 when formulating strategic plans of strategic planning 1 Evaluate the effectiveness of techniques used 1.3 when developing strategic business plans 2 Analyse the strategic positioning of a given 2.1 organisation by carrying out an organisational audit 2 Carry out an environmental audit for a given 2.2 LO2: Be able to organisation formulate a new strategy Assess the significance of stakeholder analysis 2 2.3 when formulating new strategy Present a new strategy for a given organisation 2 3 3.1 Analyse the appropriateness of alternative strategies relating to market entry, substantive growth, limited growth or retrenchment for a given organisation 3.2 Justify the selection of a strategy 3 4.1 Assess the roles and responsibilities...
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...CHAPTER 2 1. Define and discuss diversity management. 2. Why diversity management is important and how to institutionalize a diversity management program Diversity Management and Affirmative Action Programs Diversity Pros | Diversity cons | * Stereotyping – eg. ‘Older people cannot work hard’ - Stereotyping is a process in which someone ascribes specific behavioral traits to individuals based on their apparent membership in a group. | * Bring Ideas – knowledge and life experiences to provide a pool of new ideas | * Discrimination - Discrimination means taking specific actions toward or against the person based on the person’s group. | * Social Responsibility – hiring physically disabled show a CSR | * Tokenism – appoint small groups for high-profile positions. - Tokenism occurs when a company appoints a small group of women or minorities to high-profile positions, rather than more aggressively seeking full representation for that group. | * Source of human resources – talented people come from wide variety of background | * Ethnocentrism – look at other social group less favourable than one’s own - Ethnocentrism is the tendency to view members of other social groups less favorably than one’s own. | * Adequate manpower for public holidays – Malaysian context: multiracial cater diff public holidays. | * Gender-role stereotypes – to associate women with certain non-managerial jobs - Working women also confront gender-role stereotypes...
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...The style of organization of both businesses differ greatly as they both organizations operate in different sectors and are in place for different purposes. Hicks farm operates in the private sectors with the main objective of profit. Hicks farm has a flat organizational structure where only two general managers have control over all other employees. Bishops stopfords school is a public sector business which has an objective of providing qualifications to young people. The school has a tall organizational structure which have an abundance of managerial roles including heads of departments and assistant head teachers. Missions and values This conveys the values and overall aim of the business and highlights what it was set up to achieve . This is communicated to the different stake holders of the business including its owners, employees and customers, usually summarized in a mission statement. As bishops stopfords is a public sector business they would set their overall aim in relation to government standards which is achieving 5 A*-C grades at a GCSE level enabling student to go on to higher education. This is overall the main aim of the school but however as founded as a Christian school they school still aim to transmit Christian values such as forgiveness togetherness and peace which staff work very hard to achieve below we can see the mission statement for bishops stopfords “This is a school where academic performance is central to all we do, but we also seek to nurture...
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...Unit 1: The business environment Help sheet 1.1.1 P1 Describe the type of business, purpose and ownership of two contrasting businesses To achieve P1, you must complete Task sheet 1.1.1, a case study, as well as Worksheets 1.1.1 to 1.1.4. You must also write a detailed presentation about two organisations. • You must ensure that the two organisations chosen are very different. For example, a large plc, such as Tesco, and a charity, such as Save the Children. This will make it easier to compare the environments. • It is a good idea to choose organisations that you are interested in, but that also have a large amount of information available. Therefore, spend some time researching a few organisations that might be of interest to see which one will make this task the easiest. • The same organisations will be used for tasks other than P1 so look ahead in the assignment to make sure the information you will need is available. • Once you have chosen your organisations, you need to research them in order to be able to identify the type of businesses they are. You must identify which scale they operate at and what sector they operate in. Make sure you give evidence and reasoning to back up your decisions. • The purpose and ownership of a business can often be seen on its website. However, you may find a phone interview very useful for collecting all the information you need. This can then be used as evidence. Remember to reference your work when necessary. ...
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...gerry JoHnson KeVan sCHoles rICHard WHIttIngton Fundamentals oF strategy ACCESS CODE INSIDE unlock valuable online learning resources Once opened this pack cannot be returned for a refund Welcome to FUNDAMENTALS OF STRATEGY Strategy is a fascinating subject. It’s about the overall direction of all kinds of organisations, from multinationals to entrepreneurial start-ups, from charities to government agencies, and many more. Strategy raises the big questions about these organisations – how they grow, how they innovate and how they change. As a manager of today or of tomorrow, you will be involved in influencing, implementing or communicating these strategies. Our aim in writing Fundamentals of Strategy is to give you a clear understanding of the fundamental issues and techniques of strategy, and to help you get a great final result in your course. Here’s how you might make the most of the text: ● Focus your time and attention on the fundamental areas of strategy in just 10 carefully selected chapters. Read the illustrations and the case examples to clarify your understanding of how the concepts of strategy translate into an easily recognisable, real-world context. Follow up on the recommended readings at the end of each chapter. They’re specially selected as accessible and valuable sources that will enhance your learning and give you an extra edge in your course work. KEY CONCEPT AUDIO SUMMARY ● ● Also, look out for the Key Concepts and Audio Summary icons...
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...BTEC LEVEL 3 Unit 1 THE BUSINESS ENVIRONMENT ASSIGNMENT ONE Within this unit you will consider the different types of businesses and sectors, their strategic plans and consider their main stakeholders. In the second half, you will be considering the impact of external influences (political, legal and social) on businesses. Scenario: You are a junior journalist working for the Business Review. You have been asked to write an article for prospective businessmen and women thinking of setting up a new business. Most businessmen and women you have spoken to are not sure about the legal ownerships and activities of businesses generally. They also feel they require more information regarding how some local, national, international and global businesses operate. You should research two organisations; one should be a not-for-profit organisation and the other a for-profit organisation. (For-profit organisation should be McDonalds; you must now select a not-for-profit organisation of your choice). P1: describe the type of business purpose and ownership of two contrasting businesses. Here you will need to include all the information outlined below: 1. TYPE OF BUSINESS BY SECTOR The type of business in terms of: * Geographical scope (local, national, international or global) * Sector (primary, secondary, tertiary) * Type of goods/services offered 2. TYPE OF OWNERSHIP * Describe the different types of ownerships (Public/private sector; sole...
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