Chapter 9 Flashcards
output generated by employee activities … one measure of productivity is the retailer’s sales or profit divided by its employee’s costs
EMPLOYEE PRODUCTIVITY
the number of employees occupying a set of positions during a period (usually a year) divided by the number of positions
EMPLOYEE TURNOVER
an executive responsible for the selection and pricing of the merchandise assortment offered through the catalog and internet channels, the maintenance and design of the retailer’s website, customer call centers, and the fulfillment centers that fill orders for individual customers
PRESIDENT OF DIRECT CHANNELS
person in a retailing organization responsible for the purchase and profitability of a merchandise category
MERCHANDISE BUYER
a retail employee responsible for allocating merchandise and tailoring the assortment in several categories for specific stores in a geographic area
MERCHANDISE PLANNER
programs undertaken by employers to understand what potential employees are seeking, as well as what they think about the retailers … developing a value proposition and an employment brand image … communicating that brand image to potential employees, and then fulfilling the brand promise by ensuring the employee experience matches that which was advertised
EMPLOYMENT MARKETING
the process of managers sharing power and decision making authority with employees
EMPOWERMENT
OBJECTIVES OF HR
PRIMARY = build basis for sustainable competitive advantage
SHORT TERM = increase employee productivity
LONG TERM = job satisfaction & commitment, employee attitude → customer satisfaction & loyalty → long-term performance, reduce turnover
ORGANIZATIONAL STRUCTURE
-identifies the activities to be performed by specific employees and determines the lines of authority and responsibility in the firm
STRATEGIC MANAGEMENT
-develop overall retail strategy
-identify the target market
-determine the retail format
-design organizational structure
-develop private-label merchandise
-develop internet/catalog strategy
-develop global strategy
MERCHANDISE MANAGEMENT
-buy merchandise (choose & negotiate with vendors, select merchandise, place orders)
-control merchandise inventory (develop budget plans, allocate merchandise to stores)
-price merchandise (set initial prices, adjust prices)
STORE MANAGEMENT
-recruit, hire, train personnel, plan labor schedules, evaluate store & personnel performance
-maintain facilities, locate & display merchandise, sell merchandise to customers
-handle customer complains, take physical inventory, prevent shrinkage
ADMINISTRATIVE MANAGEMENT
-marketing
-manage HR
-manage supply chain
-manage financial performance
-visual merchandising
-management information systems
-general counsel (legal)
CENTRALIZATION VS. DECENTRALIZATION
Centralization – authority for retailing decisions is delegated to corporate managers rather than to geographically dispersed managers
ADV – reduces costs (overhead falls), achieve lower prices from suppliers, provides opportunity to have the best people make the decisions for the entire corporation, increases efficiency
DISADV – difficulty adapting to local market conditions, problems responding to local competition and labor markets, personnel policies make it hard for local managers to pay competitive wages
Decentralization – authority for retailing decisions is assigned to lower levels in the organization
EMPLOYEES
Recruiting – employment marketing (i.e. Starbucks – “Love What You Do”)
Hiring – recruit the “right people”
Training – increasing investments in management training programs & developing leaders, increasing attention to college graduates & generation Y, not historically a priority
Motivating – policies & supervision (indicate what employees should do), incentives (commission, bonus, stock options, healthcare benefits), organization culture (set of values, traditions, & customs of a firm that guides employee behavior)
Retaining – empowerment, opportunity to provide a better service, employees are more committed to the firm’s success, create partnering relationships
