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The impact of organisational structure, culture and management, and ICT on the performance of a business

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Introduction

A1. How the organisational structure, culture, and management style inter-relate in the business and evaluate their impact and that of ICT on the performance of the business: There is a clear relationship between the structure, culture and management styles in Tescos here are some examples showing this: Tescos uses power culture which has a top down (tall structure) whereby objectives are determined by the individual or individuals. This structure is also linked in with an autocratic management style as this structure tends to have a 'them and us attitude' which depends on where individuals stand in the hierarchy. Tescos has also adopted role culture which is structured in a hierarchal way and is divided into a number of functions which ties in with a democratic style because of the multidirectional flows of communication between organisational members means there is more likely to be a team approach. This also inter relates with the 'flat structure' Tescos has adopted which refers to the number of levels within the hierarchy of an organisation whereby everyone's role, position and responsibility is made clear so that there is a clear chain of command. These cultures help Tescos to meet a range of objectives from being market leader to maximising sales and profits. ...read more.

Middle

ICT: Tescos website is one of the most regularly visited in the UK with over one million registered users. The site offers over 20,000 different products for sale, including groceries, CDs, DVD'S, videos, electrical goods, flowers as well as personal finance. Tescos's say: 'The information on our website forms an important part of our commitment to corporate social responsibility. It illustrates the steps Tescos takes to contribute to the communities we serve, whilst outlining some of the specific achievements we have made in reducing our environmental impacts during 2000/2001' (Terry Leahy, Chief Executive, Tescos PLC, 2001) One major way in which Tescos are improving relations with their customers is through their website by providing a substantial amount of information online. The site outlines the company's aims and objectives and states its responsibilities to customers, suppliers and investors. It also contains useful information on issues that are of concern to consumers such as organic farming and GM foods. The website enriches the customer's browsing experience by providing additional features that are unique to their websites. Tescos website contains a rather large collection of news release articles, which provide detailed information on the company's activities over the past few years, together with notes to editors. ...read more.

Conclusion

This connection line means Tescos can interact with their customers by computer and assist them with any problems without them having to come into the store. Tescos can also benefit from this service as they can meet some of there objectives by finding out what customers want and by addressing any complaints or problems customers are experiencing and challenge these problems by putting a new system in place so customers are no longer experiencing these problems which gives customer satisfaction. I actually e-mailed Tescos with an enquiry to experience how the system works, how they would deal with my enquiry and the speed at which they would do this. Unfortunately I didn't receive an e-mail back to enclose in this document to show this. Although I have taken into consideration that Tescos receive hundreds of e-mails a day and may have problems with replying to them all in relation to time management. Tescos have created excellent communication channels within the business and outside the business which enables them to achieve its business aims effectively for example their website helps them to build strong relationships with customers, which is one factor that helps Tescos to stay ahead of competition and remain the leading supermarket ahead of Asda and Sainsbury's who are currently in second and third place. ...read more.

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