Critical Analysis of Employee Engagement Strategies and Their Impact on Organisational Performance

Assignment Brief

In this paper, you are required to work upon the business report that carries the following aspects to focus in detail:

• Identify and particularly illustrate the nature, features, and variables of the research problem within the context of business management

• Design and compile a research proposal based on the planned research framework

• Follow a proper research format and give relevant evidence

Instructions 

Work Based Project 2, Assessment 1: Proposal

Student Guidance Notes

Using the attached proforma, a Work Based Project 2 Proposal must be prepared and submitted for approval before the commencement of the Work Based Project Report. The individual elements of the proposal as outlined below:-

Provisional Project Title and the Aims and Objectives of the Proposed Project

This short section needs to be well defined, precise and clearly written.  It may well contain phrases such as;  ‘an investigation into …’…  ;  ‘a critical analysis/appraisal of …’. ;  ‘to establish/analyse the impact of …’..  ;  ‘a comparison between …’.  .. The proposed project should have an overall aim, accompanied by a set of objectives, which will describe how that overall aim is to be achieved.

(Suggested word count 100 words)

Background and Context of the Issue/Problem

You are advised to start with an introductory section which sketches in issues which form the background of the topic/the organisation/ the type of problem.  You can then outline the purpose of the study, what you are seeking to investigate, why you are doing the study and why it is worth doing.  You need to justify what you are doing.

(Suggested word count 500 words)

Summary of Relevant Theory

A summary of theory, and key factors arising from theory, relating to the area of the research.  It is important that you link different areas of literature/comment showing a consistent thread of logic connecting the different sources you use. This section can include academic, professional and legal sources.

(Suggested word count 500 words)

An Outline of how you intend to Investigate the Issue/Problem

This section of the proposal should outline of how you intend to investigate the issue/problem. It should be noted that you must only use secondary data for this project; you will not be collecting primary data.

You may wish to describe secondary data sources that you intend to use and comment on their relevance to the project. You should also detail your proposed secondary data analysis techniques (calculations, graphs for quantitative data, sources of comparison for qualitative comments).

(Suggested word count 300 words)

Proposed Timescale

You need a realistic and achievable schedule, which commences with initial research and concludes with submission of the final work based project report.

(Suggested word count 100 words)

References

You need to include some evidence of preliminary reading for this work based project proposal.

Sample Answer

Critical Analysis of Employee Engagement Strategies and Their Impact on Organisational Performance

Provisional Project Title and Aims and Objectives of the Proposed Project

This proposal is titled “A Critical Analysis of Employee Engagement Strategies and Their Impact on Organisational Performance: A Study of Tesco PLC.” The main aim of the study is to explore how employee engagement initiatives influence productivity, motivation, and overall business performance in the retail sector, with a focus on Tesco PLC. The specific objectives of the research are to identify the key employee engagement strategies adopted by Tesco, to assess the effect of these strategies on employee satisfaction and performance, to examine the challenges faced by Tesco in sustaining engagement levels, and to propose evidence-based recommendations for improving engagement and performance outcomes through secondary data analysis.

Background and Context of the Issue/Problem

Employee engagement has emerged as a vital concept in business management, especially within competitive sectors such as retail. It is widely recognised that engaged employees demonstrate higher levels of motivation, innovation, and commitment to organisational goals (Kahn, 1990). However, maintaining engagement in large-scale organisations can be challenging due to structural complexity, high workloads, and fluctuating market demands. Tesco PLC, one of the UK’s largest retailers, offers a valuable case study for exploring this issue.

Tesco employs more than 300,000 people across its UK operations, with many in customer-facing roles that require high energy and interpersonal interaction. Over recent years, Tesco has faced several operational and cultural challenges, including workforce reductions, changes in management structures, and a growing emphasis on automation and digital systems. These developments have led to growing concerns about declining staff morale and engagement. A 2023 report from The Guardian highlighted that retail employees often feel underappreciated and overworked, contributing to rising turnover rates. At the same time, CIPD (2022) reports that employee engagement is directly correlated with improved service delivery and customer satisfaction, making it a critical factor in retail success.

The rationale for this study is that Tesco’s ability to maintain high employee engagement levels directly impacts its operational effectiveness, customer experience, and long-term profitability. Employee engagement not only enhances individual performance but also fosters loyalty and reduces absenteeism (Harter et al., 2002). Given Tesco’s reliance on its workforce to sustain its market position, understanding how engagement strategies translate into performance outcomes is crucial for effective business management.

This study will therefore investigate Tesco’s current engagement initiatives, assess their effectiveness, and identify gaps that might hinder optimal performance. The findings will also have wider implications for other retail organisations facing similar challenges in maintaining motivation and productivity across diverse teams.

Summary of Relevant Theory

The concept of employee engagement has been discussed through several theoretical frameworks that connect individual motivation to organisational success. One of the earliest and most influential models is Kahn’s (1990) Psychological Conditions of Personal Engagement, which suggests that employees are more engaged when they experience meaningfulness, safety, and psychological availability in their work. This model applies strongly to Tesco’s environment, where front-line workers’ sense of value and security influences their daily performance.

Another key theoretical perspective is Maslow’s Hierarchy of Needs (1943), which highlights how employees seek to satisfy different levels of needs, ranging from basic physical security to self-actualisation. In Tesco’s case, the organisation addresses lower-level needs such as job security and fair pay, but engagement is enhanced when employees also achieve recognition, belonging, and personal growth through training and career development opportunities.

The Job Demands–Resources (JD-R) Model developed by Bakker and Demerouti (2007) further explains how engagement results from the balance between job demands and available resources. For Tesco, high customer volumes, shift pressures, and limited autonomy represent job demands, while managerial support, recognition programmes, and opportunities for development act as job resources. When resources outweigh demands, engagement levels increase, leading to improved organisational performance.

Social Exchange Theory (Blau, 1964) also provides a useful lens for understanding engagement. It suggests that when an organisation invests in its employees, through fair treatment, rewards, and development opportunities, employees respond with greater commitment and productivity. This reciprocal relationship is particularly important in service industries where employee attitudes directly influence customer perceptions and business outcomes.

Together, these theories provide a framework for analysing how engagement strategies shape motivation and performance within Tesco. They also highlight that engagement is not a single initiative but a continuous process of exchange, support, and personal fulfilment within organisational systems.

Continued...