Professional Documents
Culture Documents
Organisational structure helps in maximizing efficiency and profitability of a firm Major or minor business requires this structure By doing so
Organisation chart
Each company tailors a chart that best suits its specific needs structural changes are made to suit their needs
other, the decision-making, lines of authority, and overall size of the company
1. Line Positions
Whether they are the merchandisers who have the responsibility for the buying function,
the sales associates who sell the products, or those involved in advertising and promotion, they are involved in producing revenue for the company.
positions.
Line relationship
In smaller companies there may not be other persons and the decision makers operate the business
2. Staff Positions
Large-scale operations need for advisory or support positions, technically classified as staff positions
Their salaries are often higher than those of many in line positions
They are not lower-level employees even though they do not make the actual decisions.
GMM heads the merchandising division and has the ultimate power to determine guidelines and philosophies concerning product assortments for the entire company
Advises and makes suggestions to the GMM on areas such as fashion trends, silhouettes, fabric preferences, and color forecasts but does not have any decisionmaking powers.
Large retailers that use a combination of line positions with staff positions are called line and staff organizations
on-site classifications, smallest operation, the single-unit small specialty store the specialty store operation with several units the small department store large department stores department store groups large chain operations
off-site operations,
Catalog Web site only retailers
multichannel operations
brick-and-mortar retailers with catalog Internet divisions
On-Site Classifications
a. SINGLE-UNIT SPECIALTY STORES
owner is in charge of the overall functioning of the operation, with the manager performing some specific tasks
Each of the people in the company is either a decision maker or revenue producer
stores and expand their operations with other unit Organisation tables should show these increased number of employees
CEOoperates from this location and leaves the stores to attend to the selling of the merchandise.
This organizational structure allows for a certain degree of specialization in the company but guarantees coordinated store effort.
1. Merchandising- lifeblood of retail operation with upper and middle management 2. Promotion 3. Control 4. Store management carrying out the practices that
were established by the companys upper-level executives
5. Store operation
6. Human resources
redefine their operations and adjust their structures to reflect the changes
some of these major department store groups sell off divisions
are atypical from the rest of the companys stores, their unique merchandise requirements can be decentralized
Catalogs
catalog retailer organization charts feature only those divisions and functions such as merchandising, product development, advertising, warehousing, transportation, and customer service
counterparts, deal primarily with product acquisition, visual presentation, warehousing, transportation, and customer services. e
Multichannel Operations
Retailers, large and small, have become proponents of multichannel retailing. Brick-and mortar companies, concluded that limiting themselves to in store operations will prevent them from reaching wider trading areas. Most have redirected their tables of organizationto reflect all of the selling channels available to them.
In-store operations, catalogs, and on-line outlets are presented in three separate divisions. This is a dept. store, can be adopted to any chain store
The latest trends of retailing has forced the merchants to reorganize their tables to serve the needs of customers and thereby profit themselves
Consolidation of Divisions
acquisition of department stores by major retail groups and so
consolidation of staff
Decentralization
Merchandise distribution, has now been decentralized to