Retail Organisational Management Structure Expertise
Many organisations outgrow their management structures several times in the life of the company. This is not so easy to see if you’re preoccupied with operational tasks! Foley Retail Consulting have been asked several times to assess the suitability of the organisational structure of a retail company when those responsible for the business are unconvinced of the company’s fitness for the future.
The current size of the organisation and what growth is planned presents an organisational challenge for every retail company. Finding a balance between an affordable management cost and being able to absorb growth smoothly requires very good planning. Major activities like rapid expansion, marketing including the new age medias, category management best practice, e-commerce and customer centricity mean that retail board structures have changed shape and average age dramatically in the last 15 years.
Foley Retail Consulting understands best practice in management structures for differing retail concepts, we can deliver logical reporting structures with a detailed responsibility matrix that allows both empowered teams and good controls. Different geographies have developed management structures in quite different ways in the past 10 years, for example emerging markets tend to hold financial control at more senior levels than more mature markets, however FRC has understood enough about differing business cultures over the years to be both progressive and cautious at the same time, when reorganising retail management structures.
The secret is always to put the right structure in place and populate it afterwards not the other way around. Sometimes an impartial outsider who understands the requirements but has no emotional attachment to the people can more easily manage that.
We at Foley Retail Consulting always attach KPI’s to any new structure and have on two occasions put a bonus scheme together to really motivate high performance. For example, the bonus programme with a consumer electronics company we have created in Belarus was an outstanding success with a 12% increase in sales occurring very shortly after implementation! On another occasion, we have developed a discount food retailer scheme, which worked well.
Finally, job descriptions are the last piece of the jigsaw puzzle in this arena. Often a topic that can be overlooked in importance! A good clear and up-to-date job description can be an ideal tool for management to constantly bring themselves or their subordinates back on track in terms of priorities. Well-written short and concise job descriptions are also essential for shaping training requirements and forcing the whole organisation to focus on the activities that bring the greatest business results.
Get in touch today for a free health check on your structure!