Report explaining the different types of stakeholders and how they influence the Business.
1.0 Terms of Reference
2.1 The task that we were given was to make comparisons between two different organisations and evaluate how much the stakeholders influence major decisions made within the business.
2.0 Procedure 3.2 Research 3.3 Relative information gathered 3.4 Analysis made between the two organisations 3.5 Report Written
3.0 The two Organisations
4.6 Tesco 4.7 Sainsbury’s
4.8 I have chosen the above organisations as they are both very similar business setups, therefore they should be slightly harder to evaluate than other businesses that I could have chosen; meaning that I
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With the matter of efficiency and proficiency, all organisations need their employees to be working at an acceptable rate, otherwise, the company won’t get their money’s worth out of the member of staff and we all know the old saying ‘time is money’ don’t we. Another way in which employees at either Tesco or Sainsbury’s can have an effect on company matters is by presenting ideas to their superiors, by which they might agree, give a positive response and tell their own superior; sometimes forgetting to mention it was someone else’s idea depending on how good the idea actually is and how much they care about personal gain. The other option they have is to completely reject your ideas and thoughts; if this is the case then the best thing to do would be to tell someone else about it (normally the person above your own superior) or to go away and take what they said on board and improve your idea. 6.12 Suppliers: Most businesses need a supplier of some sort, Tesco and Sainsbury’s are no different. Tesco Plc are an extremely large organisation, and therefore need to keep expenditure to a minimum, as if supplier costs get too high then profit margins will undoubtedly decrease, meaning prices will have to go up in order to retain a sustainable
The workers of Tesco PLC are interested in the level of profit which is due to workers would want to receive a higher wage, incentives and more flexible work hours. So, the workers will feel motivated to do better among all the other workers. As this could lead to a promotion to move up in their career at Tesco PLC. The workers would want to be working in clean and safe environments and that their job at Tesco PLC is secure. Therefore, from this the level of profit is important as this can be reinvested for the higher wages or can be reinvested into the store to fix any issues. For example, more cleaners in case of a hygiene issue.
In the following report we will be going over our analysis and findings during the process of our study of Sainsbury’s internal and external environment.
The main source of data presented in this paper is the official website of Marks and Spencer. The details of links are provided at the end of this paper under the title of References.
Suppliers are interested in supplying Tesco with goods because of the business they get from them and the profit that they receive. They influence Tesco because if the suppliers go out of business then Tesco will have to find new suppliers that may not offer the same high standards as the previous supplier.
Tesco's suppliers provide them goods for their stores in order to sell which is really important, because without them Tesco would not have anything to sell. Tesco make sure to have good quality suppliers who can offer better stock than their competitors. Suppliers help Tesco because it deliver them with the stock for their company to run and be successful, also Tesco helps their suppliers by providing them money because they have large unpackaged orders at a time and also the suppliers will achieve good name because they supply their goods to Tesco and this is a successful high-street.
Suppliers- Suppliers are also main stakeholders who influence the purpose of Sainsbury’s. Suppliers want their prompt payment. They supply steady orders and get paid by Sainsbury’s. They work for such company’s who respect them and value them.
Tesco is a Public Limited Company which means anyone can buy shares from the stock exchange. http://www.shareview.co.uk/4/Info/Portfolio/Default/en/Home/Products/Pages/Buyandsellshares.aspx you can buy shares on this website. Tesco has to
Tesco is very fortunate as there are few other large supermarket companies. This means that the food retail market is quite disciplined as the supermarkets have a set approach to price setting. Discipline stops them destroying each other in a profit war.
Based on your Week 3 collaborative learning team discussion, submit, individually, a 350- to 700-word summary of the
Assignment Brief: Add a further section to your article that provides an in depth explanation covering the points of view of the different stakeholders and provide a clear link between these points of view and the aims of the two organisations. For each stakeholder you have identified, explain how much influence they have on the aims and objectives of the two organisations.
Bargaining Power of Customers: Tesco frequently consults their suppliers and discuss pricing arrangements. Tesco also ensures that all aspects of their supply chain benefit from their relations with Tesco.
Tesco also have a contract with logistics company Eddie Stobart so that they can transport goods from the manufacturers to the warehouses quickly and from the
As a business Tesco needs to be aware of the social markets around them as and when they arise. For instance in August leading up to the new school year in September they will have school uniforms, stationary and other school equipment in stock. If they didn’t then parents may choose to do other shopping such as groceries in competitors stores who do provide such merchandise or who are closer to specialist retailers to save on multiple trips. This could impact on the businesses profits, especially if the store was in an area which had a high, school age population.
To make further comment we need to investigate further by looking at industry, competitors and economy. There may be other factors causing this ratio to decrease such as a general decline gross margin profit in retail sector affecting all companies, high inflation causing less demand, increasing competition etc. We should do further investigation to make further comment.
1. What is your evaluation of each of the three businesses? What is your evaluation of the managers who run them?