Introduction of Business Operations and Its Functions

University: Leeds Trinity university

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  • Level: High school
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Question :

Companys name- Tesco

Questions- This assessment will cover the following questions:

  1. Tesco is a British supermarket chain of the United Kingdom. Identify the role of management and its various types that contributes in the operational activity of the company.
  2. Examine the scope of management in the process of decision making of the Tesco company.

 Demonstrate the significance of business operation and its relevance in strategic planning of the Tesco company

Answer :
Organization Selected : Tesco


The definition of business operation can be stated as the every activity that happen in a company in order to keep a company running along with earning money. For the functioning of the organization, the need of processes, people, equipment and systems are been understood by the owner of the company and it further dedicates the different operations in the company according to the business plan.

The significance of business operations can be described as, business operations helps in building of right foundations of the business by allocating tasks to the members of the team which should be dedicated to common goal and will bring out a great difference in the business results (Choi,  Chan  and Yue,  2016). The importance of business operations is to maximize the potential of the company by working together with the team to make the processes smooth with the excellent outcome of the business. Furthermore, any arise problem will be got solved by the employees if the company is possessing excellence in operations of the business. Thus, business operations helps in problem solving. Additionally, saving time is the another importance of business operations, as for attaining excellence in business different business operations are applied, and implementations of effective business operations will results in saving of time in the conduction of process to reach to the results.

in this report it has been discussed the definition of business operations followed by the significance of business operations. Furthermore, the report describes the various functions of business operations that are present in the organization, which is been followed by the brief introduction of the chosen company (Korauš and, 2019). For this report the company chosen is Tesco, which is one of worlds largest retailer company. Moreover, in this report it has been discussed the operations' management decision by the company Tesco. The current position of the company along with the recommendations to company which the company should adopt in order to bring future improvements as well as for the sustainable development of the organization.

Main body

a) Functions of Business Operations

Performance of operations of the business are in the hands of stakeholders and founders of the company, and these functions are subjected to change. The adaption as well as overseeing of business operations is been changed by the leaders depending on the level of effectiveness and streaming, departmental responsibilities and on human capital inventory. Therefore, the main functions of business operations are as follows reviewing performance contracts by ensuring compliance, guiding and monitoring the third party do as to cooperate with them with due diligence, management of process for budget and planning, at department or strategic level, performance maximizing by establishment of balances within various group & department, processes of businesses in regard to auditing and re-engineering as well as maintaining of effective communications are the various functions of business operations.

For the organization Tesco, the various business operations are global operations, developments in technology, managing human resources, organization infrastructure, supporting activities as well as out bonding logistics are its various functions of business operations.( Akhtar and, 2018)

The Key Business Operations of Company are as follows


Management of operations key concern is finance for an organization. Production of services as goods must be cried out in so optimized way to make sure that the resources are been used in full extent. Satisfying needs of the customers through, development of products and services by appropriate finance utilizations.


For the developments of competitive advantages from the company's competitors, the company uses various tactics of strategies by making usage of resources optimize. Optimum utilization of human resources, capacity to hold money, sales as well as supply chain configurations are the strategies used by the business.


Controlling, directing, organizing and planning are the various activities which are been concerned with the operation management functions in the organization. Development of utilizable services and goods by conversion of raw material is the prime function of the company's operations management.

Product design

selling of products had became simpler with the implementations of latest technologies. According to the customer needs and trends of the market, proper catering and designing of product is been ensured by the management of operations which shows their main duties. Top notch quality product with high durability is need of the modern customers as nowadays customer are more concern with the quality instead of quantity. (Scott-Jackson  and Michie,  2017)


For the estimation of future occurrence of the events the company uses the software which shows forecasting. Estimation of demand by customers in correlation with the time required for productions is done by forecasting in management of operations. Therefore, production process one of the key concern is the role of forecasting.

b) Introductions to the Chosen Company Tesco

Tesco is an international retail company. Initially it was a market stall in London. But today it one of the largest as well as leading company of retail sector in the world. The company's 60% profits and sales are been attained by its core retailing business. An additional 1 billion year revenue is been generated by two food brands of the company i.e. Everyday Value and Finest.

Poland, Hungary, Ireland, Malaysia, India, China etc. a total of 12 countries in which the operations of the company Tesco are been expanded which makes it a leading global brand. The Best service, clear goals along with the high standards is the functionality assured by the leaders of the company. Therefore, the company includes a workforce of more than 5,30,000 employees. Online as well as physical stores with the provision of great shopping experience is the pride of the company. Being a responsible retailer of the industry, its prime concern is to stay high on its commitments thus for that the organization has opened its supermarket with the concept of zero carbon utilization. Therefore, the company was the first one in the world to take initiative to open through such concept. Furthermore, for this initiative the company was awarded with the Annual Grocer Gold Award for being a Green Retailer. Moreover, along with the aim of business with zero carbon by the year 2050. (Grayson  and Hodges,  2017)

The business strategies are continuously formulated and re-accessed by the Tesco in order to maintain the companies' success. Moreover, for enhancement in customers shopping experience the company's main aim to enhance customer loyalty along with the development in the company's core United Kingdom businesses. Multichannel customer services, innovations, ranges, quality and prices are the strategies used by the company to attain the company's objective and mission.

It is essential that a company must be having a clear vision to attain long term success. Thus, the organization Tesco has core vision which remains constant with the changing environment. Therefore, for this the organization is having the seven core strategies for the achievement of its vision.

Also Read:- Importance of Sustainable Practices and Their Impact over Improving Business Productivity

c) Operations Management Decisions of Tesco


For productions the company's operations management decision is involve its team in production of different products on the basis of forecasting, trends as well as on the basis of market research.

Supply chain management

The company's operations management decision for supply chain management is done by predicting the demand of the product and then by informing its suppliers to provide the same.


For logistic management, the company's operations management strategy is block chain method through which the company inform is supplier with the need of the demand.

Location strategies

The operations' management decision are on the basis of store houses and the company's various ware houses. (Lun  and, 2016)

Quality control

In Tesco, the decisions of operations management is through innovations in the products along with the maintaining of product quality.

Human Resource.

In company Tesco, operations management decisions for human resource are on the basis of excellence as well as on the basis of smartness of the employees. Moreover, the company provides it employees with free meals as well as with high competitive package of compensations.

d) The Companies Current Situation and the way in which it can Improve.

In the current business operations management the company is focusing on the product design, finance management, strategy, operations as well as on forecasting for the future. As in this era the modern customers is in need to get the best quality products, to fulfil their needs the company is continuously working on the design of the product by applying the strategies and operations to produce the product in front of the customer with the best value for money. For this, the company takes the financials of the product adjusted to its production to make sure it could have competitive advantages over its customer. Moreover, the company uses strategies for regular forecasting of customer demand in correlation with the time required for the production of service or commodity, by making sure their will not be any shortage of products. (Steel,  2016)

For further improvements as well as for the sustainable development the company is having several opportunities regarding the same. By adding values to the goods by creating competitive advantage for itself, the company tends to maintain its strategy to bring innovations. Furthermore, the company could invest in the technology like the one it introduces earlier such as RFID system. Although the company can't be totally dependent on the technology and could ignore the capabilities of humans as there are various weaknesses of high technologies. Future group plan of the organization Tesco is the majority focus on the non-food products. For the effectiveness of the supply chain management, employees is the leader instead of technology. Additionally, improvements in non-food delivery services, innovations in non-food inventory systems as well as sourcing of wide ranges of non-food products are the necessary steps the company Tesco can apply in its future growth plan in order to hold its dominant position in the non-food products. Currently the company Tesco is providing online shopping facility (Choi,  Chan  and Yue,  2016). Although, the revenue generated through the online platform is very less in international market. Thus, the company Tesco can enhance its business by showing strong potentials and growth on the internet shopping globally. Thus, the company could improve its capabilities of online retailing as well as online grocery shopping through international expansions.


This report can be concluded as, the definition of business operation can be stated as the every activity that happen in a company in order to keep a company running along with earning money. For the functioning of the organization, the need of processes, people, equipment and systems are been understood by the owner of the company and it further dedicates the different operations in the company according to the busi

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