The finding of this paper shows that Tesco has been able to create values in its strategic human resources management practice in the Indian market. Strategic HRM has supported Tesco to develop strategic behaviors and competencies along with the evaluation, refine and redesign of business strategies. India practices collectivist culture that focuses on several rules and norms of accurate employee behavior and their rewards in the workplace. In this culture of India, staffs receive recognition and rewards based on their seniority, conformity, and efficiency of Tesco values rather than based on professionalism and creativity.
Tesco categorizes its employment management system into three classes: exporting, adaptive, and integrative. Tesco in India is giving more focus and concentration on its human resource management practices and principles than ever before. Tesco treats every single staff as its asset and values them as family members. It is essential for businesses to suit the local culture (such as Indian culture) within the organizational culture (Tesco culture) to make the effective hiring and firing process. If Tesco fails to ensure higher cultural fit and predict long-lasting of employees in the workplace, it will be difficult for a business to achieve its organizational goals. There are diverse and complex frameworks of employment laws in India that must be navigated by Tesco carefully in practicing its HRM.
Table of Contents
2.0 How Tesco is creating values by its strategic human resource management practice in India.
3.0 Impact of regional and national culture on Tesco HRM practice in the Indian market
4.0 Organizational model of employment applied by Tesco in the Indian market to create its value.
5.0 What is being practiced by Tesco in India- HRM policies or Personnel Management or both?.
6.0 Importance and significance of local culture in recruitment and termination process of Tesco in India
7.0 Examine the differences in employment laws in India in terms of HRM changes in the Indian Tesco business system.
8.0 Recommendations for Tesco HRM practice in India to ensure its higher organizational performance
The aim of this paper is to critically analyze the strategic human resource management (SHRM) of Tesco Plc in India. Tesco is the biggest retail in UK and third position among the world retail companies. Tesco is now operating in 14 countries, where India is one of them. As Tesco is a British company, India is its international market. Thus, in term of practicing and developing principles of HRM in its India market is different in comparison to the market in the UK.
This paper first explores how Tesco is creating values using its HRM strategies in its Indian market. Then, this paper talks about the impact of local culture in India on Tesco’s HRM practice. Next, this paper used an employment model to discuss how Tesco is using to create values and discusses whether Tesco is using HRM or personnel management or both. Then, this paper talks about the importance of local culture in India in terms of recruiting and terminating people by Tesco, and how local laws in India affect the HRM practice by Tesco. Finally, this paper recommends Tesco how can improve its HRM practice to improve its organizational performance in the Indian market.
2.0 How Tesco is creating values by its strategic human resource management practice in India
Strategic human resource management means a close relationship between human resource strategies and business strategies in an organization like Tesco in India. Strategic human resource management plays a significant role for a firm like Tesco in the international market like India to meet its organizational goals. For developing strategic human resource management a firm like Tesco needs to develop business strategies by matching the human resource strategies in the Indian market. Following this firm like Tesco in India needs to develop strategic behaviors and competencies along with the evaluation, refine and redesign of business strategies.
HRM strategies are closely related to business strategies. For example, Tesco’s differentiation strategies in the Indian market are related to its strategic issues like innovation, growth and decentralization, and this strategy is at a time related to its human resource strategies including flexible jobs, shorter planning horizon, and hiring skills required. In the same way, the cost leadership strategy of Tesco in its India market is related to its business strategies like focus efficiency, stability and cost control, and it is similarly related to its HR strategies including job specialization, longer planning horizon, and building skills for current staffs.
Tesco is creating values for its staff and managers in terms of understanding and maintain their roles and responsibilities and importance within its business in India by the effective practice of HRM. First, Tesco in India develops a force for an objective assessment that creates value y ensuring opportunities for genuine learning and development and improving core competencies for business. This strategy also helps Tesco to lead over the competitors in the Indian market, and ensure future growth in the competitive business environment in India.
Secondly, strategic human resource management provides a standard framework for decision-making for Tesco in Indian market. This strategy supports the staff of Tesco to contribute to Tesco’s operational decision-making and move its business in a single direction. This strategy also provides a vision for Tesco, sets objectives, determines strengths and opportunities and mitigates threats and weaknesses. Thirdly, Tesco’s strategic HRM practice in India support in understanding of bad buy-in that leads Tesco to ensure growth and be a hero in the market of India. Finally, strategic HRM practice by Tesco in India offers an organizational perspective that develops an optimal strategy for Tesco and helps Tesco to deal with its operational factors in the Indian market………………………