CHAPTER 9: RETAIL ORGANIZATION AND HUMAN RESOURCE MANAGEMENT

Hi, we are now at second last topic of retail management. For today the chapter is all about retail organization and human resource management. The value profit chain and human resource management  is satisfaction mirror towards employee satisfaction and loyalty due to the fairness of management, the quality of one peer in the workplace, employee empowerment, and monetary compensation translate into high levels of customer service and loyalty plus recognize that employees interact with customers, not management.

a retailer must concern toward market segmentation before build and organization.

Human resource management in retailing is to recruit, selecting, training, compensating and supervising. There was a direct and indirect cost of employee turnover. For direct cost include separation cost, exit interview, replacement cost for advertising, screening, new employee orientation, and training cost. While for the indirect cost include of customer dissatisfaction, reduced suggestion selling, pricing errors, reduced morale among co-workers.

Component of compensation are including total compensation, salary plus commission, and profit sharing

There are several attitudes may affect employee behavior which is the sense of accomplishment, enjoyment of work, attitude toward physical work condition, attitude towards the supervisor, confidence in company, knowledge of business strategy, recognition of employee role in achieving a corporate objective.

Styles of supervising retail employee are management assumes employees must be closely supervised and controlled only economic inducements motivated. Next, management assumes employees can be assigned authority and be self-managers of motivation is intrinsic. Lastly, management applies self-management approach.