Tesco is one of the leading retailers inUK, sharing the market with the likes of Next, Marks and Spencer and Wal-Mart UK. The company sells food based as well as non food products. The main products being provided by the retailer include 40,000 food products as well as known food products like electronic, home entertainment units, clothing, kitchen furnishings, soft furnishings and beauty based products.
The company is based in Hertfordshire in UK with an employee base of 318,300 people as of 2007. The Tesco group operates the company through multiple formats of stores which include Extra, Superstore, metro and Express as well as supermarket and hypermarket formats of stores. Aside from this the Tesco Plc has its operations in the region ofUK, Europe and Asia, however majority of the operation of the company are based inUK. “The group recorded revenues of £42,641 million during the fiscal year ended February 2007, an increase of 8.1% over 2006. The operating profit of the group was £2,648 million during fiscal year 2007, an increase of 16.1% over 2006. The net profit was £1,892 million in fiscal year 2007, an increase of 20.5% over 2006.” (‘Tesco Plc’, 2007)
The Tesco Company had been facing problems in terms of wastage and this is the specific operational issue which is being targeted in this paper.