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Learn about organizational structures, divisions, performance measures, challenges, recruiting, developing, and motivating employees in the retail industry. Understand legal issues and promote a diverse and inclusive workforce.
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Retail Management Module 8: Retail Human Resources
Organizational Structure and Employee Tasks Starting at the top: • Chief Executive Officer (CEO) • Management • General manager • Assistant manager • Regional manager • Cashier • Customer service representative The organizational structure of a retail store greatly determines what the daily activities and tasks that specific employees will perform.
Retailer Structures Three types of retailers: • Single store retailer • Diversified retailer • National chains
Divisions of a Retail Business The three divisions: • Executive • Finance • Operations and Sales
Performance Measures Human Resource’s way of Measuring Performance: • Productivity • Employee Engagement • Turnover
Steps of Human Resource Management Two steps: • Training and Supervision • Orientation • On the job training • Programmed instruction • Appropriate balance of supervision • Compensate • Compensation (direct pay) • Benefits (indirect pay) • Direct communication with bookkeepers and payroll is crucial
Challenges in Human Resources Management • Organizational Change • Can lead to lower morale, employee engagement, and productivity • Transformation must be balanced delicately for the benefit of the company’s employees • Liability and Compliance with Laws • Ignoring changing employment laws can lead to liability • Lawsuits, poor corporate image, or downfall of the business • Employee Development • Keeping up on certifications or training courses for promotional candidates • Training can be costly and time consuming
Recruiting Talent • Job description: • Make it appealing to everyone • Provide an explanation as to why the business is hiring candidates for that particular position • Be clear • Recruitment process: • Websites and apps ( for example LinkedIn) • Social media • The company website • Temp agencies
Developing Star Employees • Assessment: • Screening questions can be conducted via phone call or email • Testing (specific to the position, drug testing, etc) • Onboarding: • Offer of employment • Definingcompensation and benefits • New employee orientation • Good onboarding properly prepares employees
Motivating Employees • Communication • Hold regular meetings to update employees on sales goals, changing procedures, etc. • One on one performance reviews • Establish a clear mission statement • Leadership styles • Utilize democratic leadership (not autocratic or laissez-faire) • It will have a motivational impact (especially in sales) • Incentives and bonuses • Monetary bonuses/rewards • Funding of additional certifications or schooling • Hosting dinners or picnics
Diverse and Inclusive Workforce Benefits: • It’s law abiding to have a diverse workforce! • It is morally and ethically the right thing to do • Employees with disabilities have higher retention rates • Social responsibility drives profitability • It promotes innovation
Laws Vs. Ethics Laws: Laws are structured rules utilized to govern all of society Ethics: Ethics are a set of moral values an individual establishes for one’s self and their own personal behavior
Equal Employment Opportunity Law • This act is an amendment to the Civil Rights Act of 1964 which prohibits discrimination based on color, race, religion, national origin and gender • The Equal Employment Opportunity Commission (EEOC) enforces this act What constitutes discrimination under this law?
Employee Health and Safety Laws • The Occupational Safety and Health Act (OSH Act) of 1970 was passed by United States Congress in order to ensure the safety, health, and well being of employees as well as workplace safety • Agencies that enforce this: • OSHA • OSHRC • NIOSH
Sexual Harassment Laws • Definition: Unwelcome sexual advances, requests for sexual favors, and other verbal or physical harassment of a sexual nature • The judicial system within the United States has set guidelines in determining whether or not sezual harassment in the workplace has occurred • Example: When an authority figure or manager makes sexual advances to a subordinate with the promise of a job or promotion. This is termed as quid pro quo
Web Retailing Laws • The Uniform Commercial Code (UCC) has been the statutory law which governs the sale and/or lease of goods and contracts for the same. The UCC decidedly began implementing laws which regulated online retail sales after it became apparent in the 1990’s that e-commerce was here to stay. • Retail managers should become familiar with these laws as retail sales over the internet increase
Quick Review • How does organizational structure determine employee tasks? • Three types of retailers • Single store retailer • Diversified retailer • National retailer • Performance measures • Productivity • Employee engagement • Turnover • What are some challenges in HR? • What is the best way to motivate employees? • Laws and codes in business: • EEOC, OSH Act, Sexual Harassment Laws, Web Retailing Laws