The Six Box Model Of Tesco

Six Box Model The model I will use to compare the two companies will be the six box model. According to Marvin Weisbond this model is used to identify and solve problems. When an organization uses the six box model they will begin by looking at how the organization is being managed and where the company would like their management style to be. There are six categories of an organizational life, purposes, structures, relationships, leadership, rewards, and helpful mechanisms (Ian Palmer 123). The six box model will help assess the organization’s current management style and will help implement the proper change using the six box model.

Siemens six box Theory:

Purposes: What business are we in? (Ian Palmer 123). The organizational style at

Relationships: Tesco has improved their employee relationship between management and employees. The work environment has become more fulfilling because of the greater responsibility and variation in job.

Leadership: Terry Leah the CEO of Tesco in 1997 was considered a visionary leader that changed the structure of the Tesco organization A visionary who changed the face of shopping (Alex Brummer 2010). According the article A visionary who changed the face of shopping the leaders at Tesco want to create strong teams and want the employees to be committed to the goals and vision at Tesco. Tesco is focused on providing quality goods and services to customers, but also has developed a workforce by training them to be leaders that will promote teamwork and help ensure that the employees will go the extra mile to help customers. By having employees believe in the values and become better leaders this will create a better place to work where quality service is

This will give employees the feeling of job security and help safeguard their future. Tesco provides paid holidays, staff discounts and benefits for family members.

Helpful Mechanisms: In restructuring the company by implementing many different helpful mechanisms Tesco has gained a positive profit and has achieved its goal of becoming a leader in the industry.

SWOT Analysis

Tesco SWOT Analysis

Information retrieved from: Tesco Company Profile - SWOT Analysis. Retrieved from http://www.euromonitor.com/tesco-plc-in-retailing/report

Strengths Weaknesses Opportunities Threats

Increase Market share

Brand value

Tesco online services UK market reliance

High debt

Danger of serial acquisitions Non-food retail

Health and beauty

More growth internationally Price war due to UK structural change

Iceland/Asda challenge

International expansion

Siemens AG SWOT Analysis

Strengths Weaknesses Opportunities Threats

Good Reputation

Diversified portfolio

Big influence on the market High transaction costs

No focus on private sector

Structural inertia Emerging new markets

Technological developments

Technological lock-in of products Highly regulated industry

Ethical pressure

Prices of raw material fluctuate