Download Improving Single Store Retail Performance and more Essays (university) Psychology in PDF only on Docsity! Improving Performance of Single Store Retails Subject: Management Paper 1 In recent years, with the help of sophisticated information technologies, multi-store retailers have developed a science out of Retail Performance Best Practices by putting into play real-time systems for recording and measuring performance KPIs in the least levels of the organisation. So sophisticated are these systems that they're ready to tell employees, even at the operational level, exactly how they're standing up to the company’s vision, plans and objectives. Using balanced scorecards with lead in and lead out Key Performance Indicators, staff in the least levels of the organisation can track statistics and glean information that permits them to react in time and perform better. Performance based measures are important for any retailer whether large or small and serves to speak the strategy of the business and align employees with the goals of the organization. Managers use performance measures to trace staff against benchmarks and targets. Managers are ready to identify poor performance areas and react in time to form adjustments in resource and skills. Big companies motivate staff using Key Performance Indicators (KPI) because the basis for rewards. And performance measures are employed by Senior Managers to guide future developments and plans. Whether a multi-store chain or franchise or single store operator; measuring performance is vital to identifying opportunities for fulfilment. the matter is that systems employed by large retailers are usually out of scope and not cost-effective for single store owners to adopt. Moreover, dalliance producing spreadsheets that don't produce the ‘full picture’ may inhibit examination of all the facts. Usually single store owners believe their POS systems to trace the apparent KPIs like Average Sale, Sales per Hour, and Items per Sale. However, the figures produced by POS systems are simply a tally of these KPIs and don't show Store Managers how each Salesperson is performing in reference to one another also because the store objectives. Unless you've got something to match someone to you can't identify their area of weakness. Moreover, Salespeople got to be measured on A level playing field to form any sense of the numbers, because they add slow and/or fast periods of the shopping day. Look at the subsequent example in sport. The Manager of a baseball match is interested only in whether his team wins. in fact, knowing by what proportion they win or lose will offer some indication of the team’s performance compared to other’s within the division. Tracking each week’s result will produce important trend information for Managers in order that they can begin to forecast the longer term or check out other avenues for improvement should the team lose matches. Taken from the Coach’s point of view however things look quite different. While the Coach is equally curious about the team winning matches, he/she is concentrated on the strategy which will yield results. The strategy for this team is to run out wide, drive the botch the middle after set plays, and score goals employing a 3-point dummy run from the centres. Thus the Coach must measure how well the team performs consistent with its strategy. Measuring the wide run outs, centre plays, and dummy runs will shed new light on the interior events that happened during the sport. These statistics are measured on a private team member basis to trace their performance and help the coach determine who the simplest players are or whether the strategy us a successful one.
