The operational issue that has been identified for Tesco Plc is the issue of waste management. The company operates in the retail sector and like other retailer suffers from the problem of increasing waste from packaging, expired and obsolete inventory as well as the waste generated by the in store operations. The increasing amount of waste being generated by Tesco Plc has been increasing the cost operations and therefore reducing the profitability of the business.
In an action plan, Tesco Plc should go ahead with the implementation of the RFID project and the investment in recycling machines for retail outlets as the company has planned for itself. Additionally the company should also follow up with a change in tits inventory management strategy to JIT specifically for food products by establishing relationships with them and investing in communications technology which will enable it to place orders for products as wand when needed at its retail outlets. This would improve the quality of service provided to the customers as well as decrease the cost of operations and waste management for the company.
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