Professional Documents
Culture Documents
The vision, mission statement and goals are interrelated and state
what an organisation is seeking to achieve whereas the strategies
and tactics show how it will achieve them. Tesco’s core purpose
(mission) is simple:
www.thetimes100.co.uk
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www.thetimes100.co.uk
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www.tesco.com
Monitoring and evaluating performance These KPIs are used to assess current performance, make
comparisons with previous performance and help managers respond
Strategy, vision, values, aims and objectives are meaningless if when targets are not being met. For instance, following investigation,
their impact is not monitored and evaluated. Tesco uses a range an explanation for narrowly missing the staff training target was given:
of methods to collect data and evaluate progress against targets.
It uses its Clubcard scheme, along with telephone based research ‘Although narrowly missing this target, Tesco have also
and an online panel of customers, to determine what customers heavily invested in our colleagues in the UK this year through
want and how satisfied they are with Tesco’s performance. our ‘Building a Better Tesco’ plan. More than 250,000
colleagues in-store have received customer service training,
Its Executive Committee assess the progress of large-scale with additional technical training for 36,000 colleagues.’
strategies. All of its business units have ‘stretching targets’ which are
aspirational targets for certain KPIs. The performance of all business
units is monitored continually and reported monthly to the board of Monitoring healthy options for customers and colleagues supports
Tesco’s commitment to helping employees and customers make
directors. The following table shows how Tesco monitored its
healthy choices and lead healthier lives. In a revolutionary scheme,
performance against targets using KPIs for the 2012/13 period:
using data from its Tesco Clubcard, it has developed a 'healthy little
differences' tracker. This measures the health profile of a 'typical'
Community Area of focus Target Actual Variance shop by measuring the nutritional value of what customers buy. This
promise
will be used to set targets to improve customers' health by
Supporting Staff and customer £13.5 million £14 million +£0.5 million comparing how the profiles vary across different groups in society
local fundraising
and how healthy initiatives impact on customers' shopping over time.
communities
Donate at least 1% Minimum 1% 2.2% +1.2%
of pre-tax profits to Conclusion
charities and good
causes Tesco is one of the largest retailers in the world. This success has
not come about by chance but is the result of effective leadership
Buying and Supplier viewpoint: 74% 71% -3%
and management. The setting of a clear vision is central to Tesco’s
selling % of scores that
products are positive to the success, supported by a commitment to establishing and
responsibly question ‘I am monitoring specific objectives and devising strategies to ensure
treated with these are achieved. All aspects of the business are regularly
respect’
monitored and, when necessary, plans are adapted to ensure
Caring Reduction in carbon 3.5% 4.9% +1.4% targets are ultimately met. At the heart of all Tesco does is a
for the emissions (CO2e) commitment to being a responsible retailer. This is demonstrated
environment from our stores built through its focus on its ‘Three Big Ambitions’ and ‘The Essentials’
before 2006 year
to show how it is using its scale for good. Every decision taken
on year
considers these areas to ensure customers, communities,
Caring Reduction in carbon 32% 33.4% +1.4% suppliers and staff are treated fairly and with respect. Tesco’s
for the emissions (CO2e) values underpin all that Tesco does and, in turn, keeps customers
environment from new stores
satisfied with their shopping experience and loyal to the brand.
built after 2006
and with Tesco 2. Explain how Tesco’s values help support its seven part
customers strategy. (4 marks)
with healthy
3. State Tesco’s core purpose and analyse the
options
importance of strategic planning in helping it to achieve
Creating % of staff being 6% 5.8% -0.2% its core purpose. (6 marks)
good jobs trained for their next 4. Using data in the case study, evaluate the extent to which
and careers job using ‘Options
Tesco’s vision and values affect its success. (8 marks)
Scheme’