Tesco is a global grocery retailer with over 5,300 stores across 14 countries. It has a 30% market share in the UK and is also a leader in other markets like Malaysia, Ireland, and Thailand. Tesco focuses on building long-term supplier relationships and uses systems like TescoLink to share sales data and work collaboratively. It aims to reduce its environmental impact through targets like cutting fleet emissions and packaging. Redesigning its distribution network of 29 warehouses and 2,000 vehicles is key to sustainable growth.

2. Tesco has 5,380 stores in 14 countries across
Asia, Europe and North America and is the
grocery market leader in the UK (where it has a
market share of around 30%), Malaysia, the
Republic of Ireland and Thailand

3. International operations

4. Tesco entered Turkey in 2003 and uses the trading
name "Kipa". Tesco remains focused on building
infrastructure in Turkey to complete its expansion
plans and has already introduced the Tesco Express
format into Turkey. There are plans to increase the
rate of expansion as basic infrastructure is built. The
first Tesco Extra in Turkey opened in Izmir, Turkey,
Tesco Kipa Extra Balçova in September 2010

5. Some local suppliers of
Tesco
CARRIGALINE FARMHOUSE CHEESE LTD.
CONNOLLY MEATS LTD.
THE COUNTRY COOKING COMPANY
IN FOR LUNCH
LOVELY LEE EGGS
WILD ORCHARD

7. Working with suppliers
Tesco value long-term relationships and have more than
1,500 suppliers with whom we have been working for
five years or more.
*They committed to sharing customer views with
suppliers as well as listening to suppliers to understand
their perspective.
For example, during 2007 we developed a system in the
UK called TescoLink through which suppliers can access
data such as store level sales of their products.

8. * They have regular dialogue with their suppliers
and try to develop confident and honest
relationships so that concerns can be resolved and
they can work together effectively.
* They also use formal processes to understand
suppliers' views and identify how we can work
together better.

9. Supplier Viewpoint
Tesco carry out an anonymous survey, called
Viewpoint, to understand what suppliers think
of us and identify areas for improvement
across the business.
For example, They used Viewpoint to survey
200 suppliers in South Korea in 2007. They
ranked us first of their three leading customers
and said we were strong on fairness in work
processes, communications, information
sharing and trust in trading. Tesco identified
areas of improvement, which are reflected in
our 2008 Community Plan projects.

10. As you know Tesco is a global company so they
have many stores at many countries this mean
they have to have good relationship with this
countries goverments and other agencies such as
health agency,tax departments etc..

11. Tesco: Network Re-design for
Sustainable Growth
A new warehouse network
As part of an ongoing network optimisation programme in
the UK, Tesco has made significant infrastructural changes
over the last few years, involving a number of new
warehouse openings, site closures, and management
transfers. Tesco moved out of the Crick regional distribution
centre and the Wincanton-operated Middleton 1 depot to
take on more network capacity at a new composite
distribution centre at Livingston and a new purpose-built RDC
at Lichfield. Tesco has also opened up a new national
distribution centre at Goole for slow-moving grocery and
general merchandise non-food lines.

12. Delivering an integrated transport
solution
Within the transport network, there has been clear
focus on driving efficiencies by developing the
primary consolidation network, whilst the trucking
stations continue to play a key role in allowing
depots to concentrate on their own store pick and
delivery operations.
This set-up naturally allows for better product
grouping, so that products arrive together into store
on one dedicated delivery.

13. Tesco's Environmental Targets
On the environmental agenda, some of Tesco's
challenging targets include:
*
*Tesco’s own distribution fleet aims to reduce emissions per case
by 50% by 2012
*Tesco is a signatory of the Carbon Trust and is now involved in a
trial to measure its carbon footprint across five major food
categories covering tomatoes, potatoes, orange juice, light bulbs
and washing detergents.
*Tesco has a commitment to reduce packaging by 25% on both
branded and non-branded products over the next 3 years. In order
to track progress against its commitment, Tesco has rolled out a
packaging scorecard to suppliers.

14. Technology solutions to drive
service
•New technology developments help Tesco to achieve its
efficiency goals and has included the first phase in the roll
out of Advanced Shipment Notifications (ASN’s) across
the supply chain and pallet-level RFID trials between
distribution centres and stores in Northern Ireland.
*Tesco Link has become the primary IT system for the
sharing of supply chain information and the development
of collaborative supplier relationships, providing Tesco
suppliers with EPoS data, in-store and warehouse
availability levels and service level performance
information.

15. The scale of the challenge
Moving up to two billion cases of product, the Tesco
distribution network holds over 76,000 SKU's and
95% of volumes are delivered via centralised
distribution.
Re-designing the supply chain infrastructure to
ensure sustainable future growth is a key challenge
with 29 warehouses and over 2,000 vehicles
travelling 659 million kilometres across the primary
and secondary transport operations.

16. Specific characters of network (
Commercial )
*İts very hard to control
*Many several companies
*Complicated realations

17. Impacts of Changes
Tesco can survival depends on the local per capita
income level and consumers market situation. In
general when a region's per capita income level
between $500 -1000,supermarket industry will enter
the local market.

18. * The situation of local industries development
will affect Tesco.Because Tesco has a widely range
operate,so if various industries in the region are
underdeveloped, they can not purchase locally
and have to transfer goods from further afield or
establish a local distribution center,it will increase
the cost of delivery of goods
* The local transport facilities and the level of per
capita car possession.it is very important for
Tesco’s turnover,Because like Tesco this kind of
supermarket they always settle suburban areas.

19. Management of network and
individual relationships
Tesco should be trusted to their consumers,and
try their best to meet consumers needs. They
give commitment, such as applying the safe
food, reasonable price and comfortable service
and so on. If they reach their commitment in the
long term, it will be turned into the trust. Trust
which develops through social interaction
between individuals is more important. They will
get more and more clients. Certainly it will be
highly profitable.