Master of Business Administration

Research Method

An Investigation into the Effectiveness of Training in Waste Management Process within Tesco Plc

Supervised By Submitted By Submitted To Word Count

Barry Goode STU 22782 IBAM 3,975

Submission Date 26 April 2011

Contents
1. Introduction to Problem ............................................................................................................. 3 1.1 Reason for doing research ........................................................................................................ 4 1.1.1 Organisational Perspective ................................................................................................ 4 1.1.2 Cost Benefit ...................................................................................................................... 4 1.1.3 Efficiency and Effectiveness .............................................................................................. 5 1.1.4 Profit and CSR .................................................................................................................. 5 1.2 Individual Perspective .............................................................................................................. 6 2. Research Questions .................................................................................................................... 6 2.1 Hypothesis ............................................................................................................................... 6 2.3 Core Objective ......................................................................................................................... 7 2.4 Specific Objectives .................................................................................................................. 7 2.5 Observational Outcomes .......................................................................................................... 7 2.6 Limitations ............................................................................................................................... 8 3. 4. Literature Review ...................................................................................................................... 8 Methodology............................................................................................................................ 10 4.1 Difference between Qualitative and Quantitative Research ..................................................... 10 4.2 Research Strategy................................................................................................................... 11 4.2.1 Qualitative approach ........................................................................................................ 11 4.2.2 Quantitative approach ...................................................................................................... 11 4.2.3 Primary Source ................................................................................................................ 12 4.2.4 Secondary Source ............................................................................................................ 12 4.2.5 Internal Source ................................................................................................................ 12 4.3 Validity.................................................................................................................................. 12 4.4 Reliability .............................................................................................................................. 13 4.5 Generalisability ...................................................................................................................... 14 5. Reflections ............................................................................................................................... 14 5.1 Appraisal of Resources ........................................................................................................... 14 5.2 Ethical Implications ............................................................................................................... 15 5.3 Audit of Researcher Knowledge and Skills ............................................................................. 16 6. 7. Time Scale & Resources .......................................................................................................... 17 References ............................................................................................................................... 20

1. Introduction to Problem In the era of globalisation where people are much aware of the environmental problems, the companies are paying special attention to environmental problems, especially waste management. Lot of research has been done on managing the waste like ISO, TQM, JIT, Lean Management, Muda, and Kaizen which are adopted by many companies. In current era of modernisation almost every business has adopted the techniques and acquired the technology to minimise the waste issue. Tesco Plc is also paying to its social responsibility and installed one of the worlds leading waste management system. According to the Daniel Jones Guru of Lean Tesco is having worlds best waste management system. Although Tesco is using best available technology and replenishment system, still the waste rate is getting high and high it was 531,000 tones every year. Tesco has invested 800,000 in four recycling plants. The company is going under 3500 projects to cut its waste. Tesco is committed to have Zero Carbon by 2050, the company has invested in recycle bag and it paying huge amount on green bags (club card points). Tesco has devised a daily, weekly and monthly waste management program. There are waste management committees in every store which works under the supervision of the manager, and reviews of monthly waste are supposed to be carried out. The authorized waste by Tesco authority to express stores is 100 a week, however in many express stores it has been observed that the waste % is very high (vary from 1%-15% of the sales) and is increasing every year. This thing is affecting the company profit and company is forced to invest more and more in recycling of this waste.

There may be many factors which are causing high percentage of waste; however the most important factor to be considered is training. Training is vital in efficient and smooth operations of the business. Tesco has setup a complete training program for its employees, starting from the induction and 8 week in store training. The employees are supposed to take refresher course setup by Tesco at regular interval of time. Amongst the training there is complete introduction and guide line to the waste management training. How to shelve the product, using rotation technique in case of perishable goods? Over shelving; transferring time limit for perishable goods from chillers to freezer. Tesco has setup an efficient procedure for waste management and laid out complete training program (including refresher courses) for employees during his/her stay at Tesco. Tesco is committed to minimise its waste and lot of research in this area is under way and different factors are considered in this regard. However it is very important to consider and analyse the effectiveness of the training which is provided in stores to control the waste percentage.

1.1 Reason for doing research

1.1.1 Organisational Perspective 1.1.2 Cost Benefit Tesco is UK leading retailer, however is facing an increase number of waste in express stores. If we analyse the waste figure for the Zone 5 it varies from 2 % to 12 % of the sales, which is very high and is effecting the Tesco commitment to zero carbon policy. The high percentage of waste is also affecting the budget of the stores; they have to cut down other expenses in order to show performance (e.g. working hours of employees). Cutting of employees rota surfaces more critical issue related to operation, customer service and speed. If the true cause or effectiveness of the training can be found out then the policy can be revised to reduce the cost of waste and training.

Tesco is also spending huge amount on the training of its employees. According to Learndirect (2009) Tesco has announced the increase of 23% in training budget; it is already spending 3 million on training its manager and future leaders. If the amount spend on the training of manager and employees is not paying off especially in controlling the waste, everything including time and money spent goes in vain. 1.1.3 Efficiency and Effectiveness Due to the high percentage of waste, different stores in zone 5 have cut down the rota on the top managements instruction in order to reduce over spending in waste head. This is leading to the problem related to customer service. If the deficiency in the given training is found out the company can revise the training implementation procedure. Which will help in reducing the waste and its effect on the employees in term of working hour and motivation will be settled. When proper number of employee will working on the shift it will help in reduction of the waste and will increase the efficiency and will speed up the operation and customers will get better services. 1.1.4 Profit and CSR It is very important to analyse why the waste percentage is very high in stores, although proper system for waste management and training has been adopted. If the training is provided properly and implemented as per rule it is hoped that it may give better results in controlling the waste. This can add up more profit to the company (after current waste percentage reduction from 2-15 % to 3-5%) and will strengthen its cause of environment friendly and will help in minimising the recycling and elimination of waste expense.

1.2 Individual Perspective It is very important from individual perspective to undertake this research, as this work will reflect the learning and understanding during MBA. This research is expected to open new job opportunities for us in future. Being a part of Tesco family it is my duty and responsibility to contribute in improving process by giving my opinion and suggestion based on my research, observation and whistle blowing (as per Tesco philosophy of Every Little Helps). As an employee I am aware and know the difference between the proposed training and provided, also the inside problems of store which are contributing to high percentage of waste.

2. Research Questions The research will be done on Tescos Express stores and doing so following research questions will be considered. Q1: Does the training provided in effective way? As laid out? Q2: Does the training provided is effective in reducing waste? Q3: Does waste percentage is affecting the profit margin of stores? Q4: Does training and waste percentage affect employees performance? Q5: Does the training provided is sufficient for controlling waste? 2.1 Hypothesis H1: Proper training can help in waste reduction. H0: Money spent on training has no difference at all. In H1 the training is independent variable, while the waste is dependent variable.

2.3 Core Objective The core focus of this research will on the effectiveness of training in waste management process within Tescos Plc express stores. 2.4 Specific Objectives The study under the specific objectives will focus on the impact of training on Tesco Express stores. 1. Training provided is efficient or not? 2. Is it meeting the standards set by the company?

3. How it is helping in reduction of waste percentage? 4. How waste Percentage is affecting stores budgeting? 5. How waste percentage is effecting employee motivation and work? 6. How training and waste cost effecting overall profit margin? 2.5 Observational Outcomes It is quite clear that outcomes predicted now may slightly vary from the actual results. However based on the work experience and previous research on this issue following outcomes are predicted: Training provided is not up to mark It is not meeting to the standards which are mentioned in Tescos training guidelines Store management are not 100 % committed to the training and waste guidelines Due to this the training has not big effect in controlling the waste rate. There may be some other factors which may surface during the research which are contributing to the waste other than training .e.g. low staff, supply chain etc. however the training is considered to be most influential in controlling waste percentage.

y y y y

2.6 Limitations During the research process following problems may be faced. Access to the Tesco critical data Support from the Management or the staff for interviews and questionnaires Not true response ( during interview and questionnaire)

y y y

3.

Literature Review Climate change is the biggest problem faced by world these days (country monitor,

2009). Increasing legislation demands the companies in reduction of the environmental impact of product and manufacturing. EU and UK government are passing strict law for environmental protection. Site waste management program was introduced in UK in 2008. Companies are investing huge amount in recycling and dumping plant. When we talk about the waste management it is very important for the company to have well design supply chain, replenishment system and most important is effective training. Waste management is the biggest issue which entire globe is facing. Lot of research has been done to improve the performance of the business and reduction of waste. Like TQM, JIT, Kaizen, Lean management. Different companies are using different techniques still they are facing the problems related to the waste. However companies and many countries of the world especially in Europe are paying special attention to this problem. There are many factors which can be the reason for the waste, however the training is considered as very important amongst them. According to the McLean (2006) when a manager is properly trained and he has knowledge of the business and can explain the process to other it will help the business to work well. According to Overton (2010) the increased learning can also increased the existing capacity of learning and development and helps in improving the proportion of staff being trained in the business.

The "Skills for Growth" report (Nov 09) shows that the one percentage point increase in the proportion of employee trained is connected with an increase in productivity of 0.6 percent point. Which in turn worth 6 billion a year to UK economy so the companies can save lot of money in business. Taylor (1947) also stated that the training should be taken systematically. The training provided to the employees should consider the other aspect of the business. David and John (1999) stated that the training which addresses the whole part of business and its linked part is consider to be more successful than any other. Lather (2009) stated that it is very important to align the training given with the organisational objectives. So the employees are when given on job training especially in the retail and manufacturing they should have given the training about reducing the waste in effective way. When proper training is provided to the employees and it is aligned with the strategy of the organisation, it pays off in term of operations cost reduction and profit. If the proper and effective training is provided it may help in reducing the waste and will help in increasing the profit of the company. 3.1 How proposal fit into wider debate? Effective training is very important for the smooth running of the business and profit. The training needs to be align with the company strategy and focuses on all aspect of the strategy. Then the business will pay off and will be able to solve it problem easily. Effective training is very important, if the employee is trained in effective way; he will perform better and will learn more. This learning will add more and more value to the organisation and business will get sustainability and competitive advantage.

If the employees are given training which is not aligned with the strategy or the training layout set by the company then there are more chances of the problems. e.g. in case of the Tesco they have world best replenishment system, supply chain designed the training and development of employee and spending millions of pounds on training. However the training provided in the stores is not properly managed and supervised. In many cases it has seen that the new recruits and even the old employees are given the training course along with the answer sheet. In this case there is no learning and when there will be no learning, training provided will not be sufficient to handle the issues when employee faces the real situation. This thing is resulting in to higher number of the waste. The literature related to the training theories like cognitive learning theory and waste management techniques will be used (Daniel Jones Six principle for lean management).

4.

Methodology Choosing a right research methodology is very important in conducting the research,

the theories of the training and the Daniel Jones Six principle for lean will be discussed in detail and the Tesco training and waste management will be compared against them. there are two types research methodology. Quantitative and qualitative 4.1 Difference between Qualitative and Quantitative Research According to International Journal of Market Research (2010) the difference between qualitative and quantitative research is based on methodology used. Quantitative approach is more subjective and is seen in more depth; e.g. how consumer thinks? On the other hand the quantitative approach is objective and based on measuring things. e.g. measuring the consumer attitude and behaviour, however in both approaches assumption is made, but we need to find out actually what consumer really thinks..

4.2 Research Strategy For assessing the effectiveness of training on waste management, we will use a mix approach by using both qualitative approach and quantitative approach. 4.2.1 Qualitative approach While using the qualitative approach we will select the stores manager, and duty managers from zone 5 stores (randomly) to get their opinion on the training layout set by organisation vs. actual training given in Tesco and its effectiveness in managing waste. We will compare the data provided in interviews with actual figures of waste and money spend on training, or if there are any savings or improvement after spending more on training. We will try to collect both verbal and non verbal data using the interviews, company training and waste management material, the actual training provided and some of the existing case studies. Being a part of Tesco we will try to getting the data by observation while working in store and team. The non verbal data will be taken from daily, weekly and monthly waste display section on board. The qualitative approach of interviewing store managers, and duty managers will give more reliability and acceptability to research. However the data gather by using interview will be less a compared to the quantitative data gathered from majority of employees (manager to customer assistant). 4.2.2 Quantitative approach For quantitative data collection a questionnaire will be made out and will be given to employees in Zone 5 stores (randomly). The questionnaire will be shared in Tesco face book discussion forum to get the actual picture of the matter. The data gathered using the quantitative method will be used in graphs and charts and we will try to interpret the results using Instat software against the actual figure spent on training and waste. The problem in this approach could be conflict in filling the survey due to lack of honesty in giving

information, however these things will be judged while comparing interview, survey and observation results with actual figures of training and waste. Data will be gathered using the following sources. 4.2.3 Primary Source y Interviews (Store manager, duty managers) y y Questionnaires Observations

4.2.4 Secondary Source y Internet y y y Previous Case studies Books Journals, Article, Magazines etc

4.2.5 Internal Source y Tesco data ( training and waste management procedure vs. actual figure) y Manager and colleagues

4.3 Validity Validity of the research refers to the strength of the work produce; it shows that the information presented in research is correct, carrying great weight and valuable. According to Dawson (2002) the methods researcher uses for analysing the data depends on whether he/she conducts quantitative or qualitative research. The choice for selecting the methodology will be influenced by personal and methodological preference and educational background. Validity and reliability are very important in case of quantitative data. It is very important to choose the method which will prove the desired result and should be free from errors, it should be stable and consistent and free from personal bias from researcher or the

respondent. On the other hand the quantitative research is personal process, and different people may interpret their findings in different way. Following the criteria for the validity of the research the data gather under both qualitative and quantitative technique will be accurate and free from personal bias. The stores mangers, and duty managers will be interviewed from different stores, and will be served with questionnaires as well on the other hand the techniques of observation will also be used. The techniques of interviewing, questionnaire are widely acceptable by researcher and scholars. Therefore it is presumed that the data gathered under these techniques will be accurate and consistent. 4.4 Reliability Cohen et al (2003) argued that reliability of the research is concerned with the precession and accuracy. Reliability is connected with the three things. 4.4.1 Reliability and Stability Cohen et al (2003) stated that the result or finding of the research using a specific method would be stable and consistent, and will not change if done in similar spam of time using same technique. 4.4.2 Reliability as internal Consistency Cohen et al (2003) stated that the test or instrument used under this section would be done twice, and should be split into two halves and the result found from each halves should be correlated highly with other. This can be done using SpearmanBrown formula: Reliability =2r/(1+r) 4.4.3 Reliability as Equivalence

In this method reliability is achieved using equivalent forms. The interpretation of the data gathered will be done using Instat software and the result will be displayed in the form of tables and graph and it is expected that the data gathered using the same test will be consistent and reliable. The techniques used e.g. summarising the case studies (qualitative) graphs; tables (quantitative) are accepted as the accurate way of presenting the information. Hence the results furnished will be accurate, consistent and reliable. 4.5 Generalisability According to Collis and Hussey (2003) the Generalisability is the extent to which the researcher can come to conclude one thing (frequently population) based on the information about other (often a sample). Lowe (2005) stated that generalisability is the ability of the researcher to draw the conclusion from small sample of population as a whole using the research data that has been gathered. Therefore the generalisability means that the conclusion or results from on sample can be used or implemented on other study or sample analysis. In order to asses the effectiveness of the training in waste management process in Tesco the study results will be based on the sample of all the Tesco stores in Zone 5 which will represent the scenario of the whole population (Tesco zone 5 stores), which are based on the sample of 30 calculated using statistical method.

5. Reflections 5.1 Appraisal of Resources There is no special finance or budget for this research, the researcher will travel in Tescos Zone 5 stores to gather the data. Therefore there is no such potential threat except the cooperation and honesty from the manager and questionnaire filling persons. The researcher has laptop, printer, and latest softwares and researcher has access to the online library of

Wales University, British University and IMA so there is also not big problem regarding the literature. However there may be a problem in getting the time from the manager and staff from Tesco Zone 5 as everyone is having busy schedules. Also if the sample size needs to be increased then time management could be a problem. 5.2 Ethical Implications UK and EU has huge number of law than any other region of the world which will force the researcher to work in the certain limits, hence there could be some ethical issues which need to be solved and will be solved using the guidelines of the supervisor for dissertation. Data protection The company may be hesitant in disclosing the data; however complete assurance will be provided that data will use for academic purpose only. y Privacy and Confidentiality The employees may hesitant to disclose the correct information due to threat of privacy, however the person interviewed or served with questionnaire will be marked as XYZ instead of there name and will be confidential. y Personal bias It will be closely observed that no personal bias could be part in the research either from the participant of research or researcher. y Utilization of Research The utilization of research can be effect the research work; however it will assured to the organisation that the data will be highly confidential and will be used for academic purpose only, however a copy of the research work will be provided to Tesco head office which may benefit the organisation.

5.3 Audit of Researcher Knowledge and Skills The researcher has sound knowledge of the chosen subject and related issue, the researcher is aware of the important theories related to the training and the waste management. The researcher has the ability or skill to read wide range of books, journal, article and can easily show that knowledge in his work, which has been appreciated in different subjects during MBA. The researcher is always very keen and inclined to the learning and will learn new things during his research and will try to implement in his research. The research has strong communication and IT skills. He is also very good in planning the thing and using resources and time management. So it is expected that researcher will be able to perform very good in his dissertations.

6. Time Scale & Resources

Time Line

Task/Activity

Resources

Action Plan

Progress Evaluation/ Feedback from tutor

12 May 2011

Resource planning, Planning approach Time, to start dissertation, and finalising the Tutor, objectives

Computer, Will start the dissertation after finalising At the end of week the objectives with the supervisor.

19 May 2011

Literature Review

Online library, IMA, Will collect the relevant data from books, British Library, journals, Articles, Magazines, Research publications and Tesco data using UOW and IMA online facility, British Library

26 May 2011

Writing Review

Introduction

&

Literature Online library, IMA, Will start writing the dissertation, and British Library, Time, literature review by choosing related Skills concepts, theories and framework and its

implication on broader level 02 May 2011 draft the research methodology and Online library, IMA, Using the material from online and tutor strategy British Library, Time, guidelines, drafting of methodology will Skills, tutors, 09 June 2011 Questionnaire Designing & Interviews Questionnaire, Surveys, reviews be done Questionnaire will be finalised after

Research consulting the tutor, it will done by and keeping in mind the questionnaire

knowledge based on demands according to the topic and literature review and previous standard or format Topic 16 June 2011 Data entry, analysis, Results and Instat, MS office, and Entry of the results and comparisons will related softwares be done from questionnaire, interviews and observations 23 June 2011 Discussion on Results, interpretation, Previous data results, literature review, framework Will test hypothesis based on the data results and will discuss it under the light of the literature review and comparison will be done with any other related result found in past. Will conclude the discussion based on

editing if required

30 June 2011

Conclusion & Recommendations

Knowledge of

previous work and skills to extract the focus 07 July 2011 Final Drafting, prints, binding etc Printer, paper, binding etc Internet, laptop

14 July 2011

Submission

literature and results after evaluation and then will suggest recommendation for process improvement and any further research need to carried out Will make print out of dissertation after final draft and will present to tutor for final feedback Final submission will be made prior to deadline of the submission

7. References Cohen, L,. Manion, L,. & Morrison, K., (2003) Research Methods in Education 5th Ed. London, New York Taylor & Francis Routledge. Collis, J,. & Hussey, R. (2003) Business Research: A Practical Guide for

Undergraduate and Postgraduate Students. Hound mills, Basingstoke, Hampshire, New York Palgrave Macmillan. David. B, Garrick, J. (1999) Understanding Learning At Work, London ; New York Routledge. Dawson, C. (2002) Practical Research Methods: A User-friendly Guide to Mastering Research Techniques and Projects. Publication: Oxford How To Books, Ltd., 2002. Green beneath the hype, Country Monitor, Vol. 17, no.29, pp5-5, Jones, D. (2005) when lean means more, New Zealand Management, 52(3), pp.7-9 Lather, S, A. (2009) Enterprise Risk Management. Vol.1, no.1. Lowe, M. (2007) Beginning Research: A Guide for Foundation Degree Students London, New York Taylor & Francis Routledge. Overton, L. Source: e-learning age (2010), p20-21 Qualis? The qualitative understanding of essence (2010). International Journal of Market Research, Vol.52, no.6, pp757-773. Site Waste Management Plans - Q&A. (2008) Contract Journal, Vol. 442, no. 6670, p30-30 Tesco CSR (2010) [online] Available at: < http://cr2010.tescoplc.com> [Accessed 11 March 2011].