Page 122 - DMGT550_RETAIL_MANAGEMENT

Unit 7: Human Resource Management

(iii) Mark n label merchandise, Notes
(iv) Store merchandise, Sending merchandise to store
(v) Return merchandise to vendor
(c) Establish financial control

(i) Provide timely information on financial performance
(ii) Forecast sales, cash flow, profits.
Once the tasks have been identified, the retailer groups them into jobs to be assigned to specific
individuals and determines the reporting relationships. Rather than performing the entire task
mentioned above, individual employees are typically responsible for only one or two tasks.
Care should be taken that employee is not burdened by too many tasks, at the same time to few
task will lead to boredom.
Productivity increases when employees have the proper amount of authority to effectively
undertake the responsibility assigned to them. E.g. buyers who are responsible for the
profitability of a merchandise category need to have the authority to make decision that will
enable them to fulfil this responsibility. They should have the authority to select and price the
merchandise for their category and determine how the merchandise is displayed and sold.

After assigning tasks to employees, the final step is to determine the reporting relationship.
Productivity can decrease when too few or too many employee report to a supervisor. The
number of subordinates is greater when they perform simple standardize tasks, when they’re
well trained and competent, and they perform tasks at the same location as the supervisor.

Figure 7.1: Retail Enterprise Organisational Chart

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Caution Productivity increases when employees have the proper amount of authority to
effectively undertake the responsibility assigned to them.

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