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Managing Organisation Ecosystems

Industry: FMCG
Organisation: Future Retail

Section E
Team Members:
Aditya Tripathi (003)
Ankit (006)
Ayushi Jain (011)
Isha Gupta (013)
Snehaditya Sen (032)
Tanvi Goyal (034)
I. Describe and analyse the two categories of the organizational Environment- task and
general organizational Environment. Assess the organizational Environment on
stability-complexity dimensions mentioned in the chapter providing evidence for your
inferences.

1. Task Environment: Future Retail is an industry of Hypermarket and Supermarket with


some of the biggest names under its umbrella. The task environment includes sectors with
which the organization interacts directly and that have a direct impact on the organization's
ability to achieve its goals. The task environment typically consists of the industry, raw
materials, market sectors, and perhaps the human resources and international sectors.

We will be going through these by one and dissecting how this impacts the day-to-day
working of future Retail and all its constituents.

a) Industry- the industry gets more competitive day by day. Major players are entering
the market as the need for ease and accessibility trumps the pricing barrier put into
place. People are looking for a one-stop for all requirements to move to newer markets.
The idea of going from place to place for each item seems absurd to the public now,
and thus the notion of these mega markets/ supermarkets gains popularity every day.
With the government looking to create newer markets to boost the economy, the entry
barriers are less, and the stakes are low. The companies are looking to use this to further
their market reach. Thus, the market keeps getting bigger and crowded with newer
competitors looking to make quick profits.

b) Raw Materials- One of those indirect factors that affect the availability of items on the
shelf creates a genuine problem when the supply of raw materials to the producers is
hindered. This causes the markets to move cautiously and check what is available when
and what could potentially affect their items. While the effect is not as prominent as
some other ones, they are still there and are one of the primary reasons many big
corporations keep a keen eye on not just the demand but the supply side of things too.

c) Market Sectors - For large food firms like Kraft and Nestle SA, keeping up with
quickly changing customer tastes is a significant challenge. A few years ago, Kraft
stood at the top of the food chain, with Oscar Mayer, Jell-O, Oreo, and futz among its
portfolio of brands. But Growing consumer worries about obesity and food-related
health problems have had a significant impact. Kraft's profits have taken a hit. The
company is presently focusing on increasing its product line. Rather than advertising
macaroni and cheese or cookies, promote organic and gourmet products as well as
crackers.

d) Human Resources - The human resources sectors are of significant concern to every
business. Research groups say U.S. businesses will soon face a shortage of skilled
workers. For example, Princeton, New Jersey-based Educational Testing Service,
found that the literacy of American adults ranks tenth out of seventeen industrialized
countries. Moreover, younger adults underperform Americans over forty, leading
researchers to warn that U.S. companies will fall further behind in the global economy
without improved adult training and education.

2. General Organisational Environment: Industry sectors that may not have a direct impact
on a company's day-to-day operations but do have an indirect impact are included in the
wide environment. The general environment typically includes the government, social and
economic conditions, technology, and financial resources sectors. These industries have an
impact on all enterprises in the long run.

Examples:
• Changing demographics are a critical influence in the sociocultural sector.
Hispanics have surpassed African Americans as the country's largest minority
group, and their numbers are fast growing, making Hispanics (or Latinos, as many
prefer to be called) a powerful influence in American politics, economics, and
culture. Kroger has already converted one of its Houston stores into an all-Hispanic
supermarket in order to compete with Hispanic merchants, and the growing
Hispanic population is forcing gradual changes in institutions ranging from the US
Labor Department to the local auto parts store.

• Financial resources are a difficulty for all businesses, but for new entrepreneurs, it's
often the first thing on their minds. Ken Vaughan founded a gas-mask company to
take advantage of a boom in the asbestos-removal sector. When the boom ended,
Neoterik Health Technologies Inc. appeared to be doomed. Following the terrorist
attacks on September 11, 2001, Vaughan caught the attention of venture capitalists,
who were eager to invest in a company that could profit off national security
anxieties."

a) Simple-Complex Dimension: Environmental complexity refers to heterogeneity, or


the amount and dissimilarity of external elements relevant to an organization's
activities, as measured by the simple—complex dimension. The greater the complexity,
the more external elements that frequently influence the company and the bigger the
number of other companies in the organization's area. A complex environment is one
in which a company interacts with and is influenced by a wide range of external factors.
Only a few identical external elements influence and interact with the organisation in a
basic environment. In the case of Future Group, environmental complexity is
significantly high because there are a lot of external factors including customer
perception, pressure from the competition, supply and logistic factors, natural factors
like Covid affecting manpower, customer footfall, etc. Further, price and product
perception also affects the business environment of Future Retail which in this case
does not have much control.

b) Stable-Unstable Dimension: The stable—unstable dimension denotes whether or not


elements in the environment are dynamic. If an environmental domain remains the
same across months or years, it is said to be stable. Environmental elements fluctuate
abruptly in unstable conditions. For most firms, environmental domains appear to be
becoming increasingly unstable.

Future Group and most other FMCG outlets enjoy a stable dimension since their day-to-day
operations are predictable and follow an expected pattern of activities. Radical events like the
pandemic or other natural calamities do not occur so frequently as to cause instability. Further,
Future Group has established its brand and trust over the years, and enjoys a faithful customer-
base, so even in the occurrence of drastic environmental shocks, Future Retail has the
‘firepower’ to survive and thrive.
______________________________________________________________________________

II. Describe the organizational culture of the company with specific reference to the
suitability of achievement of the goals

Both these photos depict the work behind the screen at Future Group Limited. The first one shows
the key people office initiatives taken by them to increase the effectiveness and efficiency of the
work environment. In comparison, the second one gives more clarity about the employees, which
is impressive.

Future Group is transforming retail in India and creating new ways to develop, driven by dreams.
Human capital is the initial leverage point in any business, engagement, or connection. Future
Group's enthusiasm, culture, and ideas come from the people that work here. People are partners
in the nation-building process at Future Group, and they help shape the India of their dreams.
Future retail companies want to go into uncharted territory and make up new rules to create new
opportunities and triumphs. Their goal is to have the strength and ability to learn, unlearn, and re-
learn our ability to adapt to achieve a fantastic future.
Future Retail does not want to wait for the future to happen; instead, they want to build future
scenarios in the consumer space and make consuming easier because consumption equals socio-
economic development for our customers, employees, shareholders, colleagues, and partners.
They aim to provide their clients exactly what they want, when, when, and how they want it, rather
than just posting adequate results; we'll write success stories.

1. They want to work efficiently in the Indian economy.


2. They don't just notice trends; we'll set them by combining their knowledge of the Indian
consumer with their future wants.
3. They feel that understanding has contributed to their success and will continue to do so in
the future.
4. We share the vision and believe that the best way to serve our customers and stakeholders
is to create and implement future consumption scenarios that contribute to economic
progress.
5. We shall be the trailblazers in expanding delivery forms, retail realty, and making
consumption accessible to all client groups - classes and masses alike.
6. We'll instill confidence and renewed ambition in Indian brands.
7. We will be efficient, cost-conscious, and committed to excellence in all we do.
8. Our optimistic attitude, sincerity, humility, and drive will be the driving force behind our
accomplishment.

Driven by aspirations, Future Group is fuelling a retail transformation in India and finding
innovative ways to drive growth. In every business that we are in, in every engagement we have
entered, in every relationship, our human capital is the first leverage point. Our people give Future
Group its energy, culture, and ideas. At Future Group, we see people as partners in the nation-
building process, shaping the India of their dreams.
To connect the dots, their goals are highly related to their employee base. To ensure that they have
a good team, Future retail limited conducts competitions and trainee programs to get the best of
employees. 71% of the employees went through properly structured development and action
learning plans.
Reward and recognition play a significant role in getting the employees to do their job and do it
efficiently. Prizes could be monetary like bonuses, commission, etc., and non-monetary can be
done in the form of recognition. It acts as bait for the employees to give their 100% to the
organization and stay loyal. It is one of the initiatives taken by the future retail limited in the form
of “PRIDE.”
Future Retail strongly believes that Retail is their religion, stores are their temples, and customers
are their gods. And this is an outstanding quality that makes them set their priorities straight. This
helps in understanding the target market and creates a sense of social trust amongst the customers.
Also, their customer approach aims at understanding India on its terms. They strive for heart share
rather than just mindshare or market share. This makes them closer to the Indian audience because
they feel closer to the values and beliefs. Indian audience aims to belong, and Future retail limited
know how to provide it properly.
Recently, Future retail limited has been in between controversies because of deals. Future retail
little takes reliance saga to the supreme court because of the difference in information shared
during the contract.

______________________________________________________________________________

III. Trace the diversity, equity, and inclusion initiatives of the company and analyse
whether their efforts have successfully brought about a significant difference on the
ground. You may choose any type of diversity.

The Future Retail Group has gone all out for the disabled population of the country. Shopping is
an integral part of a person’s life. They have been consistently enabling people with disabilities to
shop independently, thus increasing their ability to function like a non-disabled person. Their
initiative Sabke Liye has essentially ensured that accessibility is more normalized. Theirs truly is
a mission that seeks to address accessibility in all aspects, from entry ramps to shopping assistants
to special sale days for people with disabilities. The Quiet Hour for people with autism and their
families is especially noteworthy. Every Tuesday, 23 Big Bazaar and F.B.B. stores dedicate their
opening hours to people on the autism spectrum, allowing them to enjoy sensory-friendly
shopping. The crowd and the constant noise and loud conversations can make it easy to feel
overwhelmed. Some autistic people are susceptible to noise and use noise-cancelling headphones
or ear defenders to shield themselves from it.

Every situation can be stressful for a person with disabilities in a confined and busy environment.
Shopping with a patient friend who knows the best way to assist a person with disabilities can be
reassuring and turn into a fun, carefree day.
Given how intimidating shopping can be for people with disabilities and their families, the
significance is enormous. Over 150 Big Bazaar and F.B.B. stores have been made accessible to
people with disabilities by FRL. The stores provide a shopping assistant trained to communicate
with people with disabilities. There is a priority counter that simplifies billing for people with
disabilities.
It is pretty visible that all of their work has been at a very base level to cause maximum impact to
the targeted group of people. They have also won prestigious awards for their endeavour. Even
though that is not a good enough metric for the effect that any activity causes, it certainly validates
the efforts. It is pretty difficult for disabled people to trust big corporations to practice inclusivity
with the right intention. Still, Future Retail Group has shown that all a company needs is a little
empathy and insight into the people they serve to cause a change. As Som Mittal, Chairman,
National Centre for Promotion of Employment for Disabled People (N.C.P.E.D.P.) puts it,
“Accessibility is the bedrock of a disabled person’s empowerment… No access means no freedom
as far as we are concerned”. Not providing access, said Dr. Meenu Bhambhani, Vice President
& Head – Corporate Social Responsibility, Mphasis disempowers the community in ways we
cannot even comprehend. “When we don’t provide access, we compromise the vast potential of
persons with disability; Easy and convenient access to not only public places but also technology,
services, and products is what will empower the disabled in the truest sense.”
Things as simple as putting a ramp beside the staircases or shutting the music down or having an
hour a week when only autistic people can shop, or having an assistant to help anyone who might
need it with their shopping are low effort tasks that do not require any extra budgets or losses to
the company, yet go a long way to ensure comfort for anyone who might need it. It seems as if the
company used primary research and tried to get into the depth of the issues that neurodivergent
people face to be able to effect changes that would help make shopping a more comfortable
experience for them while ensuring that it is a practice that is normalized to the best of their
capabilities. Every Big Bazaar can be seen with both- auto ways and escalators, along with stairs.
This ensures easy access to people in wheelchairs, the elderly, and parents with prams.
While the qualitative and quantitative impact of any initiative geared towards inclusivity cannot
truly be measured in any terms, it is safe to say that the steps they have taken are so basic and
inherent to the needs of the public that they are sure to have increased the capability and comfort
of their audience to shop. The Future Group is also trying to spread awareness about their
initiatives and impact to normalize them further and ensure ease of shopping at malls and all retail
outlets. They recognized that they could be more welcoming and inclusive to meet the needs of
any type of public and attract more shoppers once their outlets became accessible, which meant
more profits for them and happy shoppers who would have a great time doing something simple
that everyone does.

______________________________________________________________________________

IV. Elaborate on the recruitment process of Management Trainees (MT) in the company
in each of the following:
a. Philosophy of hiring M.T.s and planning to hire them.
b. Sourcing talent, advertising, and branding
c. Identifying competencies and ways of addressing these competencies
d. Experience in the recruitment process and onboarding

a) The G.E.N.I.S.I.S hires the Management Trainees at the Future Group. Program. The
program aims to develop trainees into future leaders through on-the-job training, project
work, and functional implementation.
Philosophy: The Future Group is expanding rapidly and is searching for someone who can
help them maintain their current level of success. They are searching for passionate,
adaptive, self-motivated team players who embody their mission statement. They believe
in the ideology of rewriting rules but at the same time in retaining values. They are looking
for professionals who share the same drive for success and can help them create an
incredible success story by pursuing new growth prospects.
The Future Group is a non-discriminatory employer. They invite people from all areas of
life to join. To that purpose, they have put in place several training programs that will give
personnel opportunities for promotion and growth. It is looking for passionate individuals
and possesses the following skills. These skills are essential for the organization, and thus,
they look for the same set of individuals who reflect the same.
1. Creativity and self-assurance
2. A drive to learn and improve one's skills.
3. Ability to work well in a group setting
4. Resilience in the face of adversity
5. Strong dedication to nation-building
6. Passion for innovation

b) The conglomerate uses various mediums to spread the message across regarding
recruitments of new hires. It uses its website to announce openings, promotions, and other
opportunities available in the organization. Apart from that, prospects are available on
LinkedIn, Indeed.com, other similar sites, etc. The organization also uses offline mediums
to make the potential employees aware of the available openings.

c) Competencies: The numerous people initiatives of Future Group are designed to recruit,
motivate, and empower our workers in various ways. The Future Group has a lively culture
dedicated to customer service excellence and strong ethical standards to create outstanding
value. This attitude should be reflected in their workforce as well. It provides a vibrant and
goal-oriented environment.

Achieving competencies-
• Seekho: A program that promotes persistent performers to advance faster in their
careers by completing their higher education (M.B.A.) in the retail industry.
• Shishya: A program that allows people to develop and improve their skills and
knowledge through various educational and learning activities.
• Happiness Index Program: A high-priority program to create a culture of
employee-level interactions centred on sensitivity and empowerment to attain
happiness.
• Idea Board: Unlike a "suggestion box," the Idea Board is an open place where
employees can freely express their thoughts.
• L.E.A.P. (Leadership Excellence Advancement Program): Our Leadership
Excellence Advancement Program assesses and develops a person's leadership
potential.
• Suprabhat: A residential program that includes Processes & Games, Guided
Meditation, Power Breathing Techniques, Bias Barriers, and Mind Nature. In
conjunction with the Art of Living Foundation, the program helps employees
discover their inner-self using timeless knowledge and new, contemporary
management practices.

d) Experience: The overall experience that the recruitment process of the Future Group offers
is a complete package of learning and self-development. Employees who go through the
process have described it as very quick and efficient.
Testimonial 1
"The first round is technical, followed by the H.R. round. After the in-person call interview
is done, then finally called for document verification."

Testimonial 2
"It was ok. The interview process was high-level and didn't seem like I would get through
it because they were looking for particular kinds of people. The people seemed nice and
sweet."
The Future Group strives to be India's preferred employer, providing exciting new
opportunities and inspiring employees to take on new challenges daily. They hire people
who are passionate about what they do, want to make a difference in the lives of their
customers, and who embody our brand pillars of Indianness, valuing and nurturing
relationships, and leading positive change.
The organization is dedicated to developing and growing its people resources. They work
alongside the energy and excitement of their people to achieve renewed success, thanks to
an empowering, entrepreneurial culture.

______________________________________________________________________________

V. Describe and analyse the C.S.R. efforts of the company to become a socially
responsible organization.

Focus Areas
1. They are eradicating hunger, poverty, and malnutrition: Agro-Based livelihoods, Better
Cotton Initiatives, Agriculture Development, Krishi Vigyan Kendra.
2. Promoting health care including preventive healthcare and sanitation: Health and
Sanitation Development programs, medical camps, programs for H.I.V. Aids, etc
3. Providing safe drinking water: Drinking water programs, construction of check dams,
dykes, ponds, links, channels, wells, and water storage tanks.
4. Promoting education, including special education and employment enhancing vocational
skills especially among children, women, elderly, and the differently-abled and livelihood
enhancement projects: Construction and running of schools and libraries, vocational
training and special education institutes, providing financial assistance and scholarships
for higher education: undertaking and skills and entrepreneurship programs.
5. Women Empowerment and Facilities for Senior Citizens: Setting up centres and
institutions for women & senior citizenship and promoting S.H.G.s amongst women for
undertaking income-generating activities.
6. It ensures environmental sustainability, ecological balance, protection of flora and fauna,
animal welfare, agroforestry, conservation of natural resources, and maintaining the quality
of soil, air, and water: Horticulture plantation, agro farm forestry, afforestation, projects on
nonconventional energy (biogas), animal husbandry programs, forest conservation
projects, water resource management, and soil conservation, promoting micro-irrigation,
etc.
7. Promotion and protection of art & culture: Protection of national heritage, art and culture
including restoration of buildings and sites of historical importance and works of art;
setting up public libraries; promotion and development of traditional arts and handicrafts;
8. Measures for the benefit of armed forces veterans, war widows, and their dependents:
Activities/programs for the use of armed forces and families.
9. Training to promote rural sports, nationally recognized sports, Paralympic sports, and
Olympic sports: Projects/programs promoting various sports activities
10. Contributions or funds provided to technology incubators located within academic
institutions which the Central Government approves: Projects/programs for the
development and upgrading of technology
11. Contribution/Financial Assistance: Contribution to Prime Minister's National Relief Fund
or any other fund set up by the Central Government for socio-economic development and
relief and welfare of the Scheduled Castes, the Scheduled Tribes, other backward classes,
minorities, and women
12. Rural development projects: Rural infrastructure projects and agriculture development
programs and projects.

Schemes
1. Nutrition for all: Adivasi pada in Bhiwandi taluka of Western Maharashtra is a settlement
of underprivileged locals and migrants from other states. Riddled with illiteracy,
unemployment, and other social issues, the accommodation needs external support for the
sustenance of expectant mothers and children from 0-6 years of age. F.S.C., through Future
Group's "Sone Ki Chidiya foundation" and its C.S.R. Partner for this project-"All India
Institute of Local Self Government," has made a sizable fund allocation for various
initiatives to make visible and remarkable differences not only in their nutritional status
but also inculcate the "Habit" of Hygiene on a sustainable basis.
2. National Safety Week: The theme to this National Safety week held between 4th March
2019 to 10th March 2019 is-"Cultivate and Sustain a Safety Culture for building Nation."
"Safety Culture" is the baseline for the success of Safety efforts in any organization. It is
an attitude that every member at a workplace requires to prevent harm to their peers. Safety
pledge within the organization recites as "Safety starts with "S" but begins with "U." The
Company engaged with employees through various activities including drawing, essay,
poster, and slogan competitions on warehouse safety themes, quiz competitions, and
crosswords to highlight the importance of Safety, Health, and Environment at the
workplace and to instill responsibility amongst employees to make their work environment
safer. The organization organized a safety march and mock drill to deepen the
understanding.
3. Trucker Safety: Ergonomic risks due to fixed and challenging seating postures, working
and sleeping in congested spaces, long-term exposure to air pollution, lack of hygiene and
nutritious food, alcoholism, and narcotics result in health issues. Understanding the trials
and tribulations of the Indian truck driver community, F.S.C. organizes a week's training
program and interactive sessions across all operations on the importance of safety, health,
physical fitness, and hygiene for them while upholding their dignity and acknowledging
their role.

Future Group believes in giving back to the community. These create a positive image in the mind
of the employees and potential consumers. From my perspective, the C.S.R. strategies adopted
show that the company is compassionate and treats all people, including employees, well.
Furthermore, it is committed to improving the world and will likely attract more talent. It also
shows how essential employees to take social responsibility.
C.S.R. efforts were undertaken by Future Group also help foster a more productive and positive
work environment for employees. It promotes volunteering and positive efforts from employees.
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