Retail store

A place of business usually owned and

operated by a retailer but sometimes owned
and operated by a manufacturer or by
someone other than a retailer in which
merchandise is sold primarily to ultimate
consumers
 Retail operations

• Operational issues focus on how employees get their jobs done.

Department managers handle operational tasks for their staff.
• Store operations are concerned with maximizing the efficacy of the
retailer’s use of resources on a day to day basis. Retail store
operation is about converting resources into sales and profits.
• Store operation aims at maximizing profits by providing a
satisfactory experience and effective service to customers by
making optimal use of people, space and merchandise. Store
operation is about executing the strategies and policies of the retail
business at the store level on a day to day basis. Store operations
could be seen from four perspectives namely: Product, Customers,
Sales, and Place.
 Retail operations – Significant areas

• Customer service and Accommodation

• Retail selling process
• Store staffing and scheduling
• Retail floor and shelf management
• Store Administration and facilities management
• Warehousing and supply chain management
• Loss prevention
• POS/Cashiering process
• Visual merchandising and display
 Retail Organizational structure

It focus on "who". It assigns employees to handle

specific functions, setting up a chain of command,
assigning supervisory roles and duties and creating
interdepartmental communications. HR manager and
executive management team oversee the
organizational aspects of your business
 How to improve retail operations ?
1. Optimize the layout of your warehouse
2. Conduct regular stock checks
3. Perfect your order rate
4. Get involved with cross-merchandising
5. Report on in store sales
6. Improve the layout of your brick and mortar store
7. Use omni channel related Inventory management system.
8. Review profit margins by sales channel
9. Automate your omnichannel workflows
 Organizing
• Dividing and subdividing duties, arranging
them in groups and assigning them to
different individuals
• Tasks involved are
– Identify the work
– Grouping the work
– Establishing formal reporting relationships
– Providing for measurement, evaluation and control
– Delegating authority
– Coordination
 Retail organizational Structure – Small retailer

Owner/Manager -
Strategic Management
Owner/Manager -
Strategic Management

Merchandise Store Manager – Accounts and

Manager Store management Finance
Merchandise
Merchandise HRM Store Manager – manager
Accounts and
management
Manager Store management Finance
and Merchandise HRM manager
promotional
management
tasks and
promotional
tasks
Retail organizational Structure – National chain retailer
 Retailers on the basis of Form of Ownership

• Independent Retailer
• Chain Retailer
• Franchising
• Leased Department
• Consumer Co-operatives
 Retailers on the basis of location

• Retailers in a Free-Standing Location

• Retailers in a Business-Associated Location
• Retailers in Specialized Markets
• Airport Retailing
 Retailers on the basis of operational Structure
A. Store Retailers
B. Non Store Retailers
1. Direct Selling /Multi Level Marketing (MLM)
2. Online Retailing/Web Retailing/Retailing
3. Telemarketing
4. Teleshopping / Television Home Shopping
5. Direct Mail Marketing and Catalogue Marketing
6. Automatic Vending Machines
 Retailers On the Basis of Merchandise offered

• Departmental Stores
• Convenience stores
• Super Market
• Hyper Market
• Specialty stores
 Retailers On the Basis of Level of Service

• Self Service Store

• Limited Service Retailers
• Full Service
 Retailers On the Basis of Pricing Strategy

• Discount Stores
• Off-Price Shops
• Fixed-Price Shops