Tesco uses verbal communication such as face-to-face and over the phone conversation. The advantage of verbal communication is that it allows employees to communicate important information easily with each other within the company. Another form of verbal communication that can be done face to face is board meeting. At Tesco, board meetings can allow attendees to communicate information about future plans and developments within the company. They can also use face to face communication with customers, in order to obtain instant replies. However, the disadvantages of face to face communication is that when dealing with customers, the customer may not understand properly or could misinterpret what the member of staff is trying to say.
As well as verbal, Tesco also use written communication, such as letters. An advantage of using letters is that they can easily reach and communicate with their customers about financial issues or bills. However, a disadvantage of using a letter is that it might not get delivered to the specific place Tesco want it or on time, which could cause problems. Another disadvantage of using a letter is that it might get lost in the post and never get in to the destination.
Tesco also use reports as a form of written information to communicate between staff members within the company. The advantage of this is that they record and show information of what happened during an entire week or month in a store. A report often contains information, sales figures and bar graphs to show the overall performance of something and Tesco use reports to convey information about how they performed annually every year to show people their profit/sales etc. A disadvantage of using reports is that writing involves gathering lots of data and information, which can be time consuming.
Another method of written communication that Tesco use is social media. Tesco uses platforms such as Facebook and Twitter, in order to engage with their customers and promote their products and services. They tend to post daily, and interact with followers online through comments and statuses. This is an effective communication technique as many of Tesco’s target audience/customers will use social media, and it is an easy and free way to reach out to customers and encourage communication between the company and the consumers.
Communication can benefit a large business like Tesco when carried out effectively. Effective communication means that customers can enjoy a good relationship with Tesco if complaints are dealt with quickly and effectively. Another benefit is that if staff understand their roles and responsibilities, tasks and deadlines will be understood and met. Staff motivation will improve if managers listen and respond to suggestions made.
Tesco’s hierarchical structure allows them to achieve their aims and objectives as all members of staff have a clear understanding of who they report to and where to go if they have questions. The manager of each store can communicate Tesco’s aim and objectives to their span of control to ensure everyone is working towards the same goal.
Tesco is a profit making business and will therefore measure their success in how many sales they make each year or how much their profit increases. There are different factors, which contribute to how successful Tesco will be. For example:
• Employing staff- as the business grows; Tesco will employ more members of staff, depending on how many stores they have worldwide. This signifies the business is successful as they are expanding the company and the number of employees they have, if they weren’t successful, they wouldn’t need the extra staff.
• Developing products- Tesco have developed their own range of products, which is called Tesco value. By being successful it allowed Tesco to branch out and create their own product range, not only being able to do this financially, but having the resources, staff and initiative to do so, proves that Tesco is successful.
• Advertising- Tesco market their products in numerous different ways, whether that’s through TV advertisements or social media use, they have managed to build the brand into a household name, which is recognised worldwide. If Tesco weren’t so successful, they wouldn’t have the funds to be able to market their products so often.
• Organisational structure- Tesco follow a Hierarchical structure, which ensures that Tesco’s employees have a clear understanding of their role and allows them to be more successful.
By expanding their product range it will help Tesco gain more customers and increase their sales as these products are Tesco’s USP and are not available to purchase from rival supermarkets like ASDA. Also by employing more staff it is contributing to how efficient the business is run and therefore helps them to be successful. However, these factors will be costly, and they may not get enough customers to cover these costs and gain the return of the investment.
I believe out of these factors developing products is the most important when it comes to success. Without expanding the product range they wouldn’t have such a vast range of products to sell/promote and therefore wouldn’t be able to satisfy their customers’ needs or achieve their aims and objectives.