Tesco’s ‘Steering Wheel’ Strategy

Tesco’s ‘Steering Wheel’ Strategy

Role of core purpose, values principles and goals in the growth of an organization

The case describes Tesco’s ‘Steering Wheel’ strategy and explains how it enabled the company to emerge as the largest retail chain in the UK. In 1997, Terry Leahy (Leahy) took over as CEO of Tesco. He aimed to make Tesco a ‘Value Retailer.’ Leahy named the strategy he wanted to adopt as ‘The Tesco Way’ which comprised of the company’s core purpose, values, principles, goals and the Balanced Scorecard. Tesco adapted the Balanced Scorecard approach to meet its own requirements renaming it the Steering Wheel which had four quadrants – operations, people, customers and finance. The case highlights the approach of implementing the ‘Steering Wheel’ strategy in Tesco and the benefits reaped by the company after implementation. 


  1. Role of core purpose, values principles and goals in the growth of an organization

  2. Process of implementing ‘Steering Wheel’ strategy

  3. Benefits of ‘Steering Wheel’ strategy

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