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Monday, November 4, 2013

Business Plan & SWOT Analysis





Lower Ground Floor
Business Plan & SWOT Analysis


Joel Armstrong




Menswear - Lower Ground Floor
Business Plan - Contents


Page
3. Business Plan
Vision
Mission
Values
Market Analysis
4. Current Status
Staff
Placement
5. Promotion
Operation Management
6. Staff
7. Visual Merchandising
8. Products, Price, Promotion
SWOT Analysis
9. Money / Sales
SWOT Analysis
10. Operations
SWOT Analysis
11. Staff
SWOT Analysis
12. Store / Visual Merchandising / Products
13. Action Plan
14. Interview Questions


Menswear - Lower Ground Floor
Business Plan


Vision:
To create an environment where customers, staff, and products are all connected effectively, efficiently, professionally and passionately, to increase customer satisfaction and profitability.


Mission:
To connect customers with our amazing product


Values:
Efficiency, results, positive attitude and service – TCE, team work, self sufficiency, mastery, and purpose


Market Analysis:
One of the major issues I see for retailers in my position is a lack of focus and understanding in connecting customers with appropriate product. Many Regent St businesses including Our business, rely on extensive marketing to sell products, this seems to be acceptable, as the sales people throughout Regent St can be very casual and unfocussed when I have tried to make a connection with sales assistants and products. The sales person can and should do much to enhance the customer's experience and interaction with the product. In order to add value to products, to extend sales, create a professional environment, and give the customer a higher quality of service than any of our neighboring businesses we must focus our attention on planning, controlling, organising and leading key areas of retail sales and sales people which will give us an edge on our competition.


Menswear - Lower Ground Floor
Business Plan – Current Status


Staff
  • Four full time staff, one part time
    • #1: MSW specialist, competent at controlling, organising, and planning, self directed and able with direction to direct others
    • #2: Full time sales assistant with good knowledge of shoes, with direction he could financially control the Accessories and TH Collection, strong sales person
    • #3: Full time sales assistant, excels at administration, replenishment. Needs direction with standards and sales
    • #4: Part time sales assistant, will do a professional job with direction, will be leaving the position in three weeks
  • Structure
    • Very little structure or understanding of role within the Lower Ground Floor
    • Few goals, or expectations from management, and mainly self management of operations, systems, KPIs
    • Each employee has a strength and a weakness relating to the role they need to be doing


Placement
  • Lower Ground Floor. Part of a new three story store.
  • The Lower Ground Floor is an extension of Menswear on the Ground Floor with interchangeable product. MSW is the first product to be seen at the bottom of the stairs and neighbored, by floor space:
    • Tailoring 35%
    • Accessories 15%
    • TH Collection 15%
    • MSW 35%
  • As Lower Ground Floor is an extension of Ground Floor menswear and denim, the Lower Ground Floor menswear is the focus by the majority of customers (as the first department at the bottom of the stairs).
  • The MSW product is similar to that on the Ground Floor, however either side of Lower Ground Floor MSW are higher: price point, quality, customer specific, design and fashion focused products, eg., suiting, footwear, watches, wallets and runway collection 'one off pieces'
  • Placement of TH Collection and Accessories is behind the staircase and therefor needs assisted direction from staff to be found by customers
Promotion
  • Currently Lower Ground Floor MSW pulls customers downstairs as a continuation of Ground Floor MSW and Denim, were people are introduced to the 'Customer Experience'
  • Downstairs, customers are introduced to a more luxurious atmosphere – softer lighting, more intimate scale and higher quality of fixtures, including lighting, change rooms, and glass cabinets
  • Lower Ground Floor MSW, is neighbored by Tailoring, not a distinct difference visually from MSW, though it has more formally dressed manikins, more repetition of product, higher price points, and walls are covered in suiting fabric
  • Manikins are styled throughout the Lower Ground Floor in area appropriate
  • Promotion of products upstairs and in the window is done solely by the Visual Merchandiser
  • Promotion of Tailoring, Accessories, and TH Collection pieces on the ground floor is done by a sign at the top of the stairs and merchandised on unlabeled garments on manikins and in the windows


Menswear - Lower Ground Floor
Business Plan – Operation Management


Staff
  • The Lower Ground Floor needs a structured hierarchical team based on specific areas: Men's Sportswear, Tailoring, and accessories / TH Collection
    • MSW – 1 full time specialist, 2 full time 'second in command' – '2IC'
    • Tailoring – 1 full time specialist, 1 part time 2IC
    • Accessories / TH Collection – 1 full time specialist


  • All staff members must:
    • Understand their job position and requirements via a job description which they are held accountable for
    • Understand the discipline process
    • Understand where they are expected to be with regards to – work output, systems and operations knowledge, product knowledge, individual and area KPIs, tailoring knowledge, product placement in store, how to sell vertically and horizontally
    • Understand their responsibilities: Completing task sheets morning and night, making financial targets, to support and train one another in all areas and floors of the business
    • Be able to train others in all of the above


  • Staff must have full awareness and accountability for their individual and area targets and KPIs, this will be placed on a board in the stock room and updated daily (as part of task sheet)
  • Area specialists are accountable for money mapping and pushing financial targets in assigned area
  • Area specialists must communicate with Visual Merchandisers and staff about changes in their area

Menswear - Lower Ground Floor
Business Plan – Operation Management


Visual Merchandising
  • Floor Management and Specialists must be aware of Visual Merchandiser changes, when, where, why they are being changed, styling, themes, colours, – to then be communicated to the whole menswear team
  • Greater movement of staff upstairs and downstairs to create awareness of products
  • Changes in staff positions need to be recognised by Specialists and Managers, and training of where key pieces are merchandised and specific standards need to be done at the beginning of each day
  • Better signage of Tailoring, Accessories and TH Collection on the ground floor, on the manikins, in the window
  • Specialists and Managers must communicate with Visual Merchandisers with feedback about the previous week, what sold well, how it was sold, outfit creation within wall merchandising, how sales can be maximised

Menswear - Lower Ground Floor
Business Plan – Operation Management


Products / Price / Promotion
  • Area Specialists and Management will take a mentoring role with new staff to the Lower Ground Floor, 1 on 1 training through all areas in fits, colours, FAB, themes, prices, meaning, standards
  • Top sellers are introduced and 'sold' in morning meetings
  • Movement of products by Visual Merchandisers must be monitored by Specialists, Managers and staff to understand where top sellers and key 'add ons' are placed
  • Communication with Buyer regarding future buys, replenishment, KIR, volume planning for seasons and sales. Response to the Buyer on customer response by the Regent St customer
  • Communication with Marketing regarding the customers and their response to current external promotion, price and in store design
  • More communication directly with head office, and management about planning of products, price points, and promotions
  • Lower ground Floor Staff must wear formal attire, collared shirt and tie
  • Alterations, suit bags and promotions and their availability are set in stone - what is free, how much must be spent to attain them – written down


Menswear - Lower Ground Floor
SWOT Analysis - Money / Sales
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
Advantages
Disadvantages
Not yet exploited
Walls blocking goals
We are hitting targets in the Low Ground Floor with minimal management

In the past we have had good motivation from staff to make targets

The salesperson takes the customer through the whole process, greeting to till, they have full control of the sales process

Staff are confident with money

Staff are confident with sales
Management and staff have no time to focus on targets

Not enough staff, or not enough autonomy with staff currently to have one person working in the office on targets

Sales are missed because of a lack of focus on extending sales, missing customers, using upstairs, knowledge of where products have been moved

Staff have a lack of understanding of their role – what is expected of them

Lack of ability to extend sales


Sales people extending sales vertically and horizontally

Better understanding of where products are including upstairs product

Better understanding of how walls are merchandised to expand sales, wall themes, sizing issues

Controlling of sales including: UPT APT targets, and continued regular monitoring

Better understanding of priorities by staff – job descriptions




Non-compliance by staff to focus on 'Money, Customer, Products'

Lack of motivation





Menswear - Lower Ground Floor
SWOT Analysis - Operations
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
Advantages
Disadvantages
Not yet exploited
Walls blocking goals
Good understanding by staff of current operations and processes

Staff enjoy autonomy and initial direction and will follow task sheets

Most of the operations can be controlled using task sheets
Not enough staff to complete operations

Not enough operations are detailed or understood so often are forgotten about

Communication about discrepancies are not clear from management
Follow up / Monitor operations not done properly

Structure of the day and a better knowledge of what is expected can be created by task sheets

Organisation and leadership of operations can be taken over by staff when controlled by the task sheets




Lack of cooperation or leadership/follow up from staff and management


Menswear - Lower Ground Floor
SWOT Analysis - Staff
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
Advantages
Disadvantages
Not yet exploited
Walls blocking goals
Good staff dynamic, positive vibe

Good knowledge of products and how to sell them

Potential leadership ability

Good focus, time management, operational and organisational skills

Good service of customers when an interaction takes place
Lack of staff

No time for training, controlling leading, organising, planning

Unmanaged, unfocussed, staff

Ground floor staff are very casual and unfocused when they are in the basement





Leadership within the staff, through task sheets

Job descriptions monitored and controlled

Money, Customer, Product focused through targets

Accountability created through task assigned sheets
Staff not wanting to become autonomous

Staff not being interested in mastering key operations or attaining goals

Staff wanting to do as they have always done



Menswear - Lower Ground Floor
SWOT Analysis - Store / Visual Merchandising / Products
STRENGTHS
WEAKNESSES
OPPORTUNITIES
THREATS
Advantages
Disadvantages
Not yet exploited
Walls blocking goals
Strong brand, marketing, advertising and public perception of the store and product

Strong links to American culture, leisure, casual lifestyle, pop culture, casual businessman chic

The 'Preppy' look lends itself to tailored wear

Strong presence on Regent St

Well received and perceived brand, store and product

Popular with Holiday Makers and locals, because of the fun, holiday, youthfulness of the brand

Strong visual 'story' created by Visual Merchandisers
We are seen as a casualwear store, opposed to a suiting or formalwear store

The position in the basement gains us less foot traffic, Tailoring could use more promotion

Promotion in the windows is predominantly casual

Little communication between Specialists, Staff and Visual Merchandisers about planning or current layout of store

Lack of knowledge of products: Where they are, how to extend a sale / UPT, why they are merchandised as they are

Lack of knowledge of fits and sizing


Tailoring could have a greater presence upstairs

Communicate with visual merchandiser about future plans for the Lower Ground Floor and Tailoring

VM's vision for future movement of stock

Outfit creation and explanation of how to create higher UPT

More education on each individual wall for increased sales

U/stairs and D/stairs knowledge for all MSW staff

Knowledge of standards throughout the store - training
Competition from neighboring businesses

Little focus on tailoring in our windows and marketing

The size of the Regent St store and the constant movement of stock can disable multiple sales

VMs and staff not having time to communicate about what is (not) working and what is being done


Menswear - Lower Ground Floor
Action Plan


1. Current status


2. Ideal Status


3. Operation Management
Staff
Visual Merchandising
Products, Price, Promotion


4. Training and Maintenance System


5. Questions


Menswear - Lower Ground Floor
Interview Questions


“How is change going to be brought about?”


“How is the training process going to work?”


“What are the main priorities of your management?”


“How is new information going to be delivered to (new) staff?”


“How are the systems / operations going to be maintained?”


Time Line


Introduce
Task sheet (and understanding of accountability)
Discipline process
Targets (post sale)
Focus – Money, Customers, Products


Job Descriptions
For responsibility and accountability, all staff need to be autonomous and understand the vision for the Lower Ground Floor
Assign positions
Specialists
MSW, Tailoring, Accessories & TH Collection
Specialist's responsibilities, expectations,
Communication channels and Hierarchy – with VM's, management, training (new) staff