Formal Rational Approach of Tesco Shop

A number of planning theories have been developed in the process of describing how an organization should plan for the use of their resources. The formal/rational approach is one of these models. The model’s process entail an organization realizing that a problem exist, evaluating as well as developing a planning criteria, creating alternatives, implementing alternatives and at the same time monitoring its progress (Robbins & Judge, 2007). The approach tends to assume that expansion of strategies occurs due to systematic and structured planning where logic processes are followed.!The theory can be effectively applied in the case of Tesco Shop. The shop is always faced with a number of problems such as shortage of resources, making decisions on investment opportunities. The theory can be applied by the management of the company in the planning process of resolving various problems that the firms will be faced with in the future. To start with, the theory can help to identify various solutions that are available to the firm. Given there are different alternatives that can be used to resolve an individual problem, it is vital to outline all of them. Once the alternative solutions are identified, the management can evaluate the alternatives in terms of their viability in the organizational context and the resources needed to implement each and every solution (Brooks, 2002).! After proper evaluation is carried out, the theory will be applied in identifying the best solution among the alternatives. The alternative chosen should be the one that best suit the needs of the organization. Resources needed to implement the chosen alternative are then chosen and assembled. The next step involves implementing the alternative chosen in resolving the problem facing the firm. Monitoring the process of the alternative in resolving the problems will be the next step where the theory can be applied within the shop. Thus, the theory can be applied in the systematic planning of the shop when it is faced with a problem and a solution is needed.! Tesco makes use of a rational approach in its strategic planning process. When it comes to making decisions regarding investments and expansions, the approach is used as a guiding principle. The approach is used in providing logical and systematic steps that are to be followed by the management when developing different strategies for the firm. It helps in taking into consideration various available alternatives that are available to the firm and making a decision on the best alternative to be used by the shop. In order to improve its strategic planning process, the approach should take into consideration the impact of changes in the external and internal environment on the strategies of the firm. The firm should make use of the approach to identify potential impact of possible changes to the solution identified so that proper measures can be put in place to protect the company from negative factors.

Дата добавления: 2015-11-16