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Importance of Leadership in Tesco

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Tesco plc, exchanging as Tesco, is a British multinational basic supplies and general stock retailer and central command in Welwyn garden city, Hertfordshire, England, United Kingdom. Parts of Tesco extend from business advancement inventory network administration and advertising to back store activities and individual administration. Every area of expertise requires administration and administration abilities. Here from word administration means leadership and from word administration abilities means management skills.

Leadership is the capacity of an individual to influence and guide the employees or workers or any followers of an organisation. However management means getting things done efficiently and effectively. To achieve this efficiency and effectiveness leadership is important. Leadership is important part of carrying a management process which includes planning, organising, coordinating and controlling. Leader is a man who begins the work by imparting the arrangements and plans to the subordinates from where the work really begins. With leadership, it turns out to be anything but difficult to achieve the reason and in the meantime accomplish a larger amount of productivity too. There is no disavowal to the way that leadership is vital. Following are the points that express the importance of leadership in Tesco -:

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Helps in motivation of employees – Great leaders inspire representatives to buckle down and address authoritative issues through some methods. A few leaders may motivate representatives to buckle down, while different chiefs may make workers fear the outcomes of not buckling down. The two strategies work to drive inspiration and one may work superior to anything the other relying upon the administrator’s particular style and the way of life of the association. Moreover employees could also me motivated by the following methods –

Provide chances to speak up – First factor in employee motivation is knowing they can make their voices heard when they recognize issues that need understanding or chances to work in an unexpected way. As in Tesco, Stephen who is a store manager adopts democratic leadership style in which he gives his employees chances to speak up. He consults his staff and moreover while planning a major stock reduction programme he encourages his managers to give ideas to make plans. This helps in best motivation of employees.

Actively involving the employees – Great leaders perceive that authority doesn’t travel one way however is multi-directional. While it can originate starting from the top at basic circumstances, the best situation is permitting choices, data, and assignment to fly out from distributed or from the base up or from peer to peer, where the aggregate inclusion of the entire group help fathom main problems continuously on the forefronts. As the leadership style of Tesco is democratic , therefore their method of working is decentralized and data is passed from higher management to the lower representatives and everybody is allowed to speak and permitted to start and contribute powerful thoughts for the development of the association. The Tesco management engages their representatives and they are viewed as a vital advantage for the association.

Giving incentives to employees – Incentive something that prompts or has a tendency to impel to activity or more prominent exertion, as a reward offered for expanded profitability. Employee can be motivated by various incentives like bonus, treat, profit sharing, employees recognition, etc. Tesco persuades representatives by giving them rewards and advantages like offering an entire bundle of different approaches to profit, shield their future and care for their wellbeing by giving paid occasion, a staff rebate card which is issued following multiyear benefit and a award winning annuity plot .

Leadership helps the employees to understand what should be done – The leaders in the association need to attempt is to set up why the association exists and what it needs to accomplish. Leaders are to clear up and impart the vision and mission of the association to the employees. This vision and mission viably furnishes representatives with a comprehension of the authoritative bearing and enables them to obviously comprehend their parts and duties. In Tesco , at the point when the bread kitchen extended its item run and Berian expected to guarantee that every one of the items would be on the racks by 8.00 am, instead of implement a arrangement, he swung to the group for thoughts. The group tackled the issue by consenting to part break times so that profitability could be kept up. Berian’s approach created a positive result and expanded group.

1(b.) A leadership style is a leader’s style of giving guidance, executing designs, and influencing the employees. The style of leadership can change depending upon the nature of work. There are major three types of leadership styles are –

Autocratic leadership style – This leadership style is characterised by “I Tell” philosophy.

a) Centralisation of power -This leadership style is focused on the manager. In this the leader holds all authority and responsibility.

b) No flexibility -In this authority, leaders settle on choices all alone without counselling subordinates. Normally this leadership style does not have any flexibility.

In Tesco, normally the leaders use this leadership style when they have to take immediate decisions and control the situation. Martin utilizes a more autocratic style if something needs accomplishing especially or in a quick time allotment. At times spending plans should be lessened rapidly keeping in mind the end goal to make cost funds. Martin will advise supervisors what should be done and by when, so they would then be able to resubmit their financial plans in line with desires.

Democratic leadership style – Usually this is “I share” philosophy.

a) Involvement of employees – In this the leaders take gives initiative to employees and persuade them to give ideas and by working on that ideas, leaders take decision.

b) Encourages growth of employees – a leader always persuade their employees to participate in decision making which will further enhances the growth of employees.

Laissez faire leadership style- this style is also known as hands off style.

a) Decentralisation of power – In this leadership style the leader delegate the power to its workforce to complete the work.

b) Full of freedom – There is full freedom for employees to make decisions and do their work in their own way. In Tesco, Martin,

c) Tesco’s may leave an accomplished departmental chief to build up a financial plan. This could be since he assumes that the supervisor has a decent learning of the requirements of the division and of the business


Tesco leaders should be helpful inventive and creative prepared to grasp change and with a long haul vision for accomplishment. Tesco urges every one of its administrators to lead by example. Tesco gives a profession structure which permits employees to advance through the organisation.

Question 2

Five types of leadership powers

Power implies a wide range of things to various individuals. For a few, control is viewed as degenerate. For others, the more power they have, the more fruitful they feel. For even others, control is of no enthusiasm by any stretch of the imagination. The five bases of power were distinguished by John French and Bertram Raven in the mid 1960’s through an examination they had led on control in positions of authority. The examination demonstrated how extraordinary sorts of intensity influenced one’s administration capacity and accomplishment in a position of authority. These five bases of power are –

  • Legitimate – This originates from the conviction that a man has the formal ideal to make requests, and to anticipate that others will be agreeable and respectful.
  • Reward – This outcomes from one individual’s capacity to repay another for consistence.
  • Expert – This depends on a man’s abnormal amounts of aptitude and learning.
  • Referent – This is the consequence of a man’s apparent engaging quality, value and appropriate to others’ regard.
  • Coercive – This originates from the conviction that a man can rebuff others for rebelliousness.


This type of power enables to connect thought of duty to the administration. Most chiefs in associations execute a specific level of reward and discipline. Legitimate control is normally in view of a part. Individuals dependably keep running with the pack and generally comply with the one individual with control which is exclusively in view of their position or title. In legitimate power the leader have all the authorities and if the employees don’t follow the their leaders it can result into serious action and disciplinary action.


This power depends on “do this and get that”. Reward power can likewise be utilized to expand resolve. Consider giving a trophy to the most noteworthy entertainer or the group with the least measure of errors. On the off chance that utilized well.


Expert Power is the point at which an individual has inside and out data, learning, or skill in the zone that they are in charge of. This kind of power is frequently the best sort of power. Good leaders try to utilize the best kind of power at the right time. They likewise look for others that see how authority and vision function so as to setup a structure for progress.


This is the power and capacity for a person to draw in others and to construct steadfastness inside them. Referent Power is additionally the intensity of regard. This can happen through time if a leader is fruitful and has an outstanding reputation of accomplishment. Referent Power is additionally made through the estimations of the person.


Coercive Power is constraining somebody to accomplish something without wanting to or setting up “results” to worker activities. Coercive leaders depend on dangers, tormenting, and “or there will be consequences” dialect to “rouse” those that are underneath them. This sort of conduct frequently prompts dread and disappointment.

Question 4

Transformational leadership

Transformational leadership is the most vital initiative style as it changes the associations decidedly and transformational leadership is useful for the leaders and the association to bring and actualize positive changes in the associations. The transformational initiative accomplishes solid duty of the representatives and high efficiency at the season of progress so this leadership style is exceedingly viable for the associations. The transformational authority causes the pioneers to grow inspiration and high resolve in the representatives. It is a two route process through which the representatives and the leaders raise each other and workers endeavour to meet the desires for the leaders.

Transactional leadership

Transactional leadership is an idea in which there is a trade between the followers and the leaders. The transactional leadership is one where the leaders are in charge of praising and punishing the representatives. The transactional leadership is one which encourages the connection between the representatives and managers, as there is a harmony between the duties of workers and the businesses. Likewise the transactional leadership is a best style for the associations since this initiative style encourages the leaders to build the inspiration level of representatives and furthermore to punish those workers that are not performing admirably so these representatives will likewise enhance their execution and it will be an awesome wellspring of learning for alternate representatives that how they can enhance their execution keeping in mind the end goal to being remunerated for their enhanced execution.

Difference between transactional and transformational leadership

  • Meaning – Transactional Leadership is a kind of authority whereby prizes and discipline are utilized as a reason for starting the leaders. Transformational Leadership is an initiative style in which the leader utilizes his eagerness to impact his devotees.
  • Concept – In transactional based leadership the leader lays weight on his association with adherents but in transformational Leadership leaders lays weight on the qualities, convictions and necessities of his supporters.
  • Nature – Transactional Leadership is responsive while Transformational Leadership is proactive.
  • Best suited for – Transactional Leadership is best for a settled environment, however Transformation is useful for the tempestuous condition.
  • Works for – Transactional Leadership works for enhancing the current states of the association. Then again, Transformational Leadership works for changing the current states of the association.
  • Style – Transactional Leadership is bureaucratic while Transformational Leadership is appealing.
  • Number of leaders – In Transactional Leadership, there is just a single leader in a gathering. As opposed to transformational administration, in which there can be in excess of one leader in a gathering.
  • Main focus – Transactional Leadership is focussed towards arranging and execution when contrasted with transformational initiative which advanced development.

Transformational leadership at Tesco

As it has been talked about that Tesco is experiencing different social issues and these social issues are affecting the execution of the representatives and furthermore the Tesco is losing the trust of certainty. The transformational leadership when connected to Tesco will help the leaders of the Organization to grow clear vision and impart this vision adequately to the workers. Additionally the transformational leadership when connected in the Organization will fabricate a string connection between the workers and pioneers. Additionally there will be more prominent collaboration among the representatives and they will be profoundly energetic to enhance their execution and to work for the accomplishment of authoritative objectives. Likewise the transformational leadership will be useful in understanding the necessities of each other and to give the representatives more prominent adaptability to play out their day by day assignments and to work past their self-interest.

Transactional leadership at Tesco

The transactional leadership can be connected to the Tesco keeping in mind the end goal to build the inspiration level of representatives since it is fundamental that workers ought to be renumerated for their execution as they will feel abnormal state of fulfilment, and awesome inspiration when they are being compensated for their execution. It is the obligation of the directors that they should create strategies that must be utilized to gauge the execution of the workers and to remunerate them in like manner. Then again it is the duty of the chiefs that they ought compensate the representatives as well as give helpful input to those workers who are not performing admirably and these workers ought to be given legitimate trainings or they ought to be rebuffed for their poor execution . Such a training at Tesco will assist the leaders with developing a positive culture in the organization and in addition such administration rehearses assist the organization with increasing the dedication and inspiration level of representatives and furthermore assist them with improving their execution and increment efficiency of the organization.


Tesco is one of the biggest retail location in UK and it has been working in substantial number of nations. Over the most recent couple of years the organization has earned enormous benefit through expanded deals. As of late it has been confronting a few issues that have brought about diminished deals, shutting of a portion of its stores and losing trust of clients. The organization has realized a few changes in its way of life, and these progressions have contrarily affected the development and profitability of the organization, the most critical contemporary issue being looked by the organization is the shortcoming in initiative style and this has prompted the diminished confidence of the representatives, low efficiency, and poor association with the providers and different partners. Additionally the shortcoming in the leadership style has adversely influenced the interior and outside correspondence of the association and a large portion of the arrangements and techniques are not being imparted appropriately to the representatives, consequently bringing about the absence of straightforwardness in the association. The authority examination of the organization demonstrates that there is an absolutist initiative honed in the organization and this administration style makes impediments for the workers to partake in the basic leadership. The hypotheses of leadership expresses that value-based, transformational leadership would be most suitable for Tesco. This leadership hypotheses would expand the inspiration level of representatives, increment their spirit and responsibility by including them in basic leadership and furthermore by giving them adaptable culture and adaptable workplace with the goal that these representatives can build the profitability of the organization, thus empowering it to win the trust of workers.


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