Developing Organizational Vision


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Vision is an ambitious explanation of what an organization wants to achieve in the near future. It acts as guide in order to choose the future course of action for the organization. Strategic directions are regarded as the course of action that helps the organization in achieving its goals as well as objectives (Brown, 2013). Developing organizational vision and strategic directions are considered very advantageous for the organization such as Tesco.

Tesco is British multinational grocery store whose headquarter is situated in London (Hitt, Ireland and Hoskisson, 2010). It is the third largest retailer in the world in terms of market share and second in terms of profitability. It majorly deals in the furniture, grocery, food and clothing etc. (Anbalagan and Arulappan, 2009). The market share of Tesco is around 30%. The present report will focus on the developing vision for the Tesco along with the how it can be communicated it to its potential stakeholders. The implementation of vision as well as strategic direction will be discussed in the research statement (Criswell and Catwright, 2010).


Group of persons who has certain interest in the functioning of organization is known as its stakeholders (Kantabutra, 2010). Some of the important stakeholders of Tesco include its customers, suppliers, shareholders, government agencies, financers etc. (Martins and Terblanche, 2003). They play the important and diverse roles in relation to the vision of the organization; of which some are enumerated below:

Customers: They are considered as the most valuable asset of the organization as all the products of Tesco are designed in keeping the taste and preference of customers in mind (He, 2012). A consumer wants the best quality of product in minimum possible value along with satisfying after customer care service. Tesco delivers all such facilities to its consumer so as to build a trustworthy customer base in order to achieve its vision in agreed point in time (Kohtamäki, Kraus and Mäkelä, 2012).

Government agencies: Government plays an active role in the activities of Tesco due to its operational excellence and commercial strategies. The various policies and procedures help Tesco in determining and framing of its vision as well as strategic direction (Warren, Howat and Hume, 2011).

Employees: They are the major workforce who invests their time and efforts to make the organization successful. The major expectation of employees from Tesco is job security, respect, adequate compensation etc. Tesco tries to fulfil all the requirements of its employees so as to provide strategic direction (Smith, 2011).

Investors: These are the persons who grant their money in the organization so as to get better return on their speculation as a cause of revenue. They play very significant role in creating the vision and providing strategic direction to the organization like Tesco (Rowley, 2003).

Several factors are there that can create the everlasting impact on the vision and the strategic direction of Tesco (Criswell and Catwright, 2010). Some of the factors include political, economic, legal, environmental and technological which are mentioned as:

Political factors: include tax policy, labour law, government supports that deals with the public. It lays a great impact on the vision of Tesco as they provide direct and indirect support from the government at the time of financial crisis in terms of lending of loans and grants to Tesco which has been observed during the course of action of recession (Randall, 2005).

Social factors: cover the aspects of change in lifestyle pattern, attitude, style, taste and preference of the consumers etc. (Hitt, Ireland and Hoskisson, 2010). They play major role in planning the vision and providing direction to Tesco. With the help of this factor, organization will be able to produce goods and services to meet taste and preferences of residents of UK as a result to which they have attained high profitability ratio (Adair, 2010).

Technological factors: technology plays an important role in order to deliver good amount of profits to Tesco. It has been found that the profit of the organization has increased by 21% due to investment made in technology which laid a great impact on the vision of Tesco. It has been seen that with the help of new and improvised technology retail giant has delivered best quality goods and services to its clientele (Kohtamäki, Kraus and Mäkelä, 2012).

Economic factors: comprises of changes in taxation policy, interest rates, inflation, exchange rate etc. This factor has influenced the vision and strategic direction of the Tesco up to a great extent. For instance, investment may be discouraged if rate of interest is higher. This is because it may charge additional to the borrower (Gilmour and Stancliffe, 2004).


Vision is the reflection of the image of the organization. The vision statement is usually prepared for the period of 5 to 10 years in order to communicate value and purpose of an enterprise. This provides direction to the employees so as to how they have to act for achieving the goals of the association (Anbalagan and Arulappan, 2009). The vision of Tesco is “to create value to its customers for the purpose to earn their lifetime loyalty”. For achieving its vision Tesco has a seven part business tactic which showcases how the needs and taste of consumers are changing as per the time. Vision is very important for the organization such as Tesco to see where it will stand in future (Smith, 2011). With lack of vision it will not be able to stand competition for the long time. Strategic decisions as well as directions of the organization are guided by its vision. Tesco possess some major elements that showcase what position it desires to acquire in future. The elements are mentioned as:

  • Desire to be recognised at local and global level.
  • Business with ample growth opportunities so as to earn more profits (Rowley, 2003).
  • Innovative and creative ideas and thought process etc.

In regard to this, one more vision can be created for Tesco is to frame business policies and products in such a manner so that it will be able to enhance customer loyalty along with implement modern and innovative ideas in their service deliverability.

The most significant assets of Tesco to earn loyal and trustworthy customer base in order to earn attention from the society (Hitt, Ireland and Hoskisson, 2010). The main aim of the vision is to ensure that goals and objectives are achieved. All the major stakeholders of the business enterprise must be encouraged to attain the desired goals. Vision, mission plays an imperative role in the success of organization which is recognised by the administration of Tesco (Warren, Howat and Hume, 2011).

In order to develop the strategic direction of the organization such as Tesco, there are number of steps which are required to be taken by me as a manager. Tesco is very well aware of what matters most to the society and according to that it take care of all the people involved along with keeping track of timely feedbacks (Criswell and Catwright, 2010). This proves advantageous for retail giant so as to create strategies, plan etc. and look forward for more opportunities. In order to solve queries of customers as well as to listen them I can use methodologies such as survey, researches, events, home visits etc. Tesco has formed number of tactics keeping employees in mind, as they play an active role in growth of the organization (Martins and Terblanche, 2003). I along with my team has created an annual anonymous viewpoint survey, which has to be answered by its employees in order to know about their views and suggestions regarding the working of the enterprise. We have also introduced the Knowledge Hub for sharing the best practices among the members of the staff. These all help Tesco in developing the strategic direction for its smooth functioning in the organization (Randall, 2005).


It is very vital for the organization to exchange a few words regarding its vision to its stakeholders for inspiring and motivating them, as they are very important for the success of the business enterprise. Appropriate communicate strategy plays significant role in engaging stakeholders in communicating its vision effectively (Brown, 2013). The main rationale behind communication is that it should be meaningful and two-way with proper feedback from both the parties involved. There are number of communication styles which can be adopted by Tesco such as verbal, non verbal, written etc. Various techniques can be adopted by company for the same (Anbalagan and Arulappan, 2009). The management can adopt the system of video conferencing in the case where all the stakeholders are not available at the same time and at same place.

Even written methods can be used which comprises of notice boards, in-house magazines, annual reports, published literature etc. to easily communicate the vision with its stakeholders (Kohtamäki, Kraus and Mäkelä, 2012). Tesco can even look forward to adopt face to face methods such as meetings, reviews, interviews, feedbacks, annual general meetings etc. for adequate communication. Presentation, e-mails along with external support and expertise can be used by the administration of Tesco as some of the communicating methods (Gilmour and Stancliffe, 2004). In order to build support and assistance for the vision, Tesco can adopt numerous steps which are mentioned as:

Communicate clearly and effectively: It is very important for the management of Tesco to communicate its vision clearly and effectively to all its stakeholders in order to ensure that they understood it in right manner. This acts as assistance in fulfilling and supporting the vision of the organization in prescribed framework of time (Adair, 2010).

Value and develop people: Appropriate vision can only be realized if the organization is well aware of the importance of people in the functioning of company. For this, Tesco required to have strong and reliable channels of communication, as the vision can only be attained by teamwork. Sense of accountability is very necessary in the employees of Tesco in order to support the vision (He, 2012).

Maintain and develop field of influence: Adequate resources are required by Tesco in order to make sure that the vision is accomplished on time with cost effective basis. So that it incur less amount of financial burden on the functioning of the business enterprise (Martins and Terblanche, 2003).

Developing the organization: All the decisions along with the alteration in the vision that are needed by the organization are entirely depend on the analysis of the organization (Randall, 2005). The evaluation of Tesco is totally depending on its vision statement. In order to support it, education, training and development of the employees of Tesco is very necessary. It has even adopted some crucial steps by eliminating it employees who lack certain knowledge and skill (Criswell and Catwright, 2010).

Language: It is necessary to use simple and easy to understand language so that people can understand it without posing any difficulty. With the help of this aims and objectives will be attained in set period of time.

Equality issues: It is imprortant on the part of management to treat each and every workforce equally in order to avoid any type of equality issues within place of work.
Challenging behavior: Management has to face challenging behavior in terms of resistance of change among employees, so they need to adopt necessary actions for reducing the same.

External stakeholders are the person who influence and get influenced by the actions of the organizations, but they are not part of it. So it is important for the organization to communicate its vision and strategic direction to them also. There are number of ways which Tesco can adopt for the same (Kohtamäki, Kraus and Mäkelä, 2012). Business enterprise can adopt the technique of one-to-one conversation which comprises of maintaining personal connection in order to communicate vision and receive its feedback too. Tesco can adopt multiple form if media for the same. This will help in creating better understanding of vision in the minds of external stakeholders (Gilmour and Stancliffe, 2004).

Public relation campaigns, advertising, brochures etc. are some of the ways to exchange a few words with external stakeholders while covering the large section of them in short span of time. Visual presentations such as slide shows, power point presentations etc. are some of the methods which can communicate vision and strategic direction of the organization (Warren, Howat and Hume, 2011). While communicating, adequate emphasis on language is required. Correct phrasing of sentences, use of proper words is very essential for the purpose of communicating in right manner. In addition to this, management can use some interesting ways such as theme song, memorable and catchy slogans and metaphor can be created for this purpose, as this will leave ever lasting impression on the external stakeholders of Tesco (Smith, 2011).


The behaviour of the leader in Tesco plays an important role in promoting its vision to the concerned persons. Leaders are considered as the role model by the employees of the organization in order to embed the vision (Anbalagan and Arulappan, 2009). There are number of leadership styles which can be adopted by the leaders of Tesco such as autocratic leadership, democratic, participative style of leadership and laissez-faire. Autocratic leader are the one who takes decision without consultig their subordinates and carry out finctioning as per their will. On the other hand democratic leaders are ne of the most suitable as they consult their staff prior takinbg any action. In the similar manner, in laissez-faire leadership style freedom is given to employees and directions are provided as and when required (Hitt, Ireland and Hoskisson, 2010). The leader of Tesco has adopted the democratic style of leadership (Rowley, 2003). In this case, the entire workforce is also drawn in the process of decision making concerning the vision of the organization.

However, at the end final decision is taken by the leaders after consulting all its staff members. For promoting the vision in much better way, it is required by the leader to properly communicate the vision for generating better understanding in the minds of workforce (He, 2012). Leaders are the person who manages the changes prevailing in the organization. In Tesco, active role is played by the leaders in terms of managing the different type of changes which may take place due to carrying out of the vision. In order to develop as well as communicate powerful thoughts it is required by the person in charge to perform better so as to achieve desired results (Adair, 2010). They have to follow some steps such as observe, reflect, write and speak by the person in charge of Tesco to draw and motivate the employees in the direction of the growth and development of the organization (Warren, Howat and Hume, 2011).

There are various things which are required to embed the vision in the Tesco. It is essential to create appropriate vision statement, which comprises of the values as well as defines behaviour of the employees with each other in the organization (Martins and Terblanche, 2003). This statement comprises of value of the potential consumers of Tesco along with internal community and suppliers. The business enterprise can even mould its organizational culture as per the vision of the organization. If the language is not going very well with the vision of the organization or is not consistent, then in that case management can replace it for the proper embedding of the vision for the long run (Randall, 2005). Tesco can adopt the tactics of employee empowerment in order to successfully set in its visualization for the future. Organization can even adopt various approaches for managing change in the business enterprise such as top down approach, bottom up approach, consultative style etc. in order to easily implant as well as embed the vision in the organization without creating any hurdle. (Smith, 2011).

Vision is very imperative in order to derive the organizational objectives of an organization which helps in setting the strategic direction of the business enterprise. Strategic direction acts as a link between the vision and objectives of the Tesco (Kohtamäki, Kraus and Mäkelä, 2012). Strategic direction refers to the course of action that helps organization in achieving its goals and objectives. On the other hand, vision is where the business enterprise wants to see itself in near future. Vision helps Tesco in achieving its direction (Gilmour and Stancliffe, 2004). Stakeholders of Tesco such as Consumers, employees, suppliers, investors, government etc. also plays a very crucial role in deriving the organization objectives in order to set the strategic direction. This is due to the fact that prominent role is played by the stakeholders in setting up of the vision as well as strategic direction of Tesco. By considering vision, business enterprise will be able to set its strategic planning which is being set up by top level of management. This is due to the fact that it is their first and foremost duty to set operational objectives as lower management can only follow guidelines (Warren, Howat and Hume, 2011). The strategic planning process that is adopted by the organization such as Tesco for the purpose of execution of its plan is as follows:

Goals and missions: It is the first step that can be adopted by the management of Tesco in order to implement the strategic plan (Hitt, Ireland and Hoskisson, 2010). Missions are considered as the aspirations of the organization, whereas, goals are the desired outcomes. Setting of both of them helps in proper execution of planning process of business enterprise (Adair, 2010).

Formats and contents of strategic plan: Next step is to adequately format the contents of the strategic planning. The key contents of strategic planning are its vision, mission, values and strategies. So all these should be in proper format so as to execute the strategic planning process of Tesco (Brown, 2013).

Development of plan: After deciding on the contents and format of the planning process, management should lay focus on the development of the adequate plan for the attainment of desired outcome (Anbalagan and Arulappan, 2009). For the development of successful plan, full preparation of business plan is required by the Tesco including product development, market research of its products and services, management team building etc. (Criswell and Catwright, 2010).

Resource allocations: Resources are very important in the strategic planning process of the organization. They play very important role in the development and execution of the plan (He, 2012). Adequate allocation of resources such as financial resources, technical, human resource etc. helps in achieving future growth of the organization such as Tesco. It helps in proper distribution of wealth for the purpose of strategic planning (Randall, 2005).

Targets and criteria for success: Last but not the least, the final step of strategic planning is setting up of targets and criteria for the success of the whole course of action. The criterion which is to be adopted should be SMART which implies that it should be specific, measurable, achievable, relevant and time bound (Martins and Terblanche, 2003).


Attributing the above facts, it can be rightly said that stakeholders plays a very prominent role in developing the organizational vision and strategic direction of the organization such as Tesco. Various methods can be adopted by the management in order to communicate the vision to its stakeholders including external stakeholders. Behaviour of leaders also influences the promotion of vision within the business enterprise along with the analysis of vision embedded in the organization. The vision of Tesco helps the organization in translating the various objectives of the association in order to set the strategic direction as well as it outline the strategic planning process of Tesco for the purpose of implementation of vision along with the strategic direction.


  • Adair, J., 2010. Strategic Leadership: how to think and plan strategically and provide direction. Kogan Page Publishers.
  • Anbalagan, M., and Arulappan, A., 2009. Organization Values, Vision and Culture. Deep and Deep Publications.
  • Bonn, I., 2005. Improving strategic thinking: a multilevel approach. Leadership & Organization Development Journal.
  • Brown, P., 2005. The evolving role of strategic management development. Journal of Management Development.
  • Criswell, C., and Catwright, T., 2010. Creating a Vision. Centre of Creative Leadership.
  • Curado, C., 2006. Organisational learning and organisational design. Learning Organization.
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