Human resource management

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Human resource management

• Take time to appreciate employees and they will
  reciprocate in a thousand ways.
• Bob Nelson quotes

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Human.....in resource management

• GAME
• DIVIDE THE CLASS INTO 3 GROUPS

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VIDEO

• GALING KAY JINNIE

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Gaining competetive advantage through hrm

• AWITAN, NADINE RUTH F.

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Hrm to retail

• HRM plays a very crucial part in retail because
  it performs critical business functions.

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• Retailers rely on PEOPLE to perform basic
  retailing activities

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• Financial Performance Problems
• Low Profits
• High Costs

• Employee Response
• Decrease Motivation and Effort
• poor Customer Service
• Lower Job Satisfaction
• Greater Turnover

• Retailers Response
• Layoffs
• Freeze on Hiring and Promotions
• Reduces Training
• Salary Freeze
• Greater use of part time employees and more
  outsourcing

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MOTIVATING AND COORDINATING EMPLOYEES

• POLICIES SIPERVISION
• INCENTIVES
• ORGANIZATIONAL CULTURE
• BUILDING EMPLOYEE COMMITMENT
• DEVELOPING SKILLS
• CREATING A PARTNERING RELATIONSHIP WITH EMPLOYEE
• MANAGING DIVERSITY

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VIDEO
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Designing the organization structure for a retail
firm

• DUMARAOS, ALTHEA VERA MARISSE S.

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VIDEO

• ETTPL

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Organization Structure

• Identifies the activities to be performed by
  specific employees
• Determines the lines of authority and
  responsibility in the firm
• The first step in developing an organization
  structure is to determine the tasks to be
  performed

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Four major categories of tasks

• Strategic management
• Administrative management (operations)
• Merchandise management
• Store management

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Strategic management

• Develop a retail strategy
• Identify the target market
• Determine the retail format
• Design organizational structure
• Select locations

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Merchandise management

• Buy merchandise
• Control merchandise inventory
• Price merchandise

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Store management

• Recruit, hire, train store personnel
• Plan work schedules
• Evaluate performance of store personnel
• Maintain store facilities
• Locate and display merchandise
• Sell merchandise to customers
• Repair and alter merchandise
• Provide services such as gift wrapping and
  delivery
• Handle customer complaints
• Take physical inventories
• Prevent inventory shrinkage

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Administrative management (Operations)

• Promote the firm, its merchandise and services
• Manage human resources
• Distribute merchandise
• Establish financial control

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Organization design considerations

• Specialization
• Responsibility and authority
• Reporting relationships

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Retail organization structure
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Retail Organization Structures

• Retail organization structures differ according
  to the type of retailer and the size of the firm.
  
• For instance, a retailer with a single store will
  have an organization structure quite different
  from a national chain.

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Organization of Single Store Retailers

• Owner managers of a single store may be the
  entire organization.
• As sales controlling employee activities is
  easier in a store than in a large chain of
  stores.
• The owner manager simply assigns tasks to each
  employee and watches to see that these tasks are
  performed properly.
• Since the number of employee is limited, single
  store retailers have little specialization.
• Each employee must perform a wide range of
  activities and the owner manager is responsible
  for all management tasks.
• When sales increase, specialization in management
  may occur when the owner manager hires
  management employees.

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Cont. . .

• Common division of management into merchandise
  and store management
• The owner manager continues to perform
  strategic management tasks.
• The store manager also may be responsible for
  administrative tasks associated with receiving
  and shipping merchandising and managing
  employees.
• The merchandise manager or buyer may handle the
  advertising and promotion tasks as well as the
  merchandise tasks.
• Often the owner manager contracts with an
  accounting firm to perform financial control
  tasks for a fee.

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Organization of a Regional Department Store Chain

• In contrast to the management of a single store,
  retail chain management is complex.
• Most managers and employees in the stores
  division work in stores located throughout the
  geographic region.
• Merchandising, planning, marketing, finance,
  visual merchandising and human resource managers
  and employees work at corporate headquarters.

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Cont. . .

• MERCHANDISE DIVISION
• Responsible for procuring the merchandise sold in
  stores and ensuring that the quality,
  fashionability, assortment and pricing of
  merchandise.
• STORES DIVISION
• Responsible for the group of activities
  undertaken in stores.
• Each vice president is in charge a set of stores.
• General Manager the store manager who is
  responsible for activities performed in each
  store.
• Assistant Store Manager for Operations
  responsible for store maintenance store
  security some customer service the receiving,
  shipping and storage areas of the store and
  leased areas including the restaurant and hair
  styling salon

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Organization Structure of Other types of retailer

• The primary difference between the organization
  structure of a department store and other retail
  formats is the numbers of people and management
  levels in the merchandising and store management
  areas.

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RETAIL ORGANIZATION DESIGN HR MANAGEMANT ISSUES

• MEDINA, JINNIE M.

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Retail Organization Design Issues
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CENTRALIZATION

• is the degree to which authority for retailing
  decisions is delegated to corporate managers
  rather than to geographically dispersed regional,
  district, and store managers.

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• Retailers reduced costs when decision making is
  centralized in corporate management.
• FIRST, overhead falls because fewer managers are
  required to make the merchandise, human resource,
  marketing, and financial decisions.

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• SECOND, by coordinating its efforts across
  geographically dispersed stores, the company
  achieves lower prices from suppliers.
• FINALLY, centralization provides an opportunity
  to have the best people make decisions for the
  entire corporation

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COORDINATING BUYING AND STORE MANAGEMENT
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Four approaches large retailers use to coordinate
buying and selling are

1. Improving Communications
2. Making store visits
3. Assigning employees to coordinating roles
4. Decentralizing the buying decision

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Trends in Retail Organization Designs

• CENTRALIZATION
• Retailers are using sophisticated information
  systems to make more decisions at corporate
  headquarters rather than by division staffs or
  store managers.

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• Flattening the Organization
• means reducing the number of management levels
• Outsourcing
• is purchasing from suppliers services that
  previously had been performed by company
  employees.
• Using the Internet

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Special Issues in Retail Human Resource Management
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• To deal with peak periods and long hours,
  retailers have to complement their one or two
  shifts of full-time store employees with
  part-time workers
• part-time workers are
• difficult to manage

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• Retailers must control expenses and thus are
  cautious about paying high wages to hourly
  employees who perform low-skill jobs.
• They hire people with
• little or no experience to work.

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• The lack of experience and motivation among many
  retail employees is particularly troublesome
  because these employees are often in direct
  contact with customers.

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• The changing demographic will result in a
  chronic shortage of qualified sales associates.
• Employing more minorities, handicapped people
  and the elderly.

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• The work values 23-32 years old Generation Xers
  is quite different than those of their baby
  boomers supervisors.

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VIDEO

• ARE YOU EFFECTIVELY