BAMBARG CASE Solution
Introduction
This case mainly discusses the impact of change that was resulted by theemployee’s resistance. Harry Lew, who was analyzing the recent sales of the department store,was favoring the opening of Wednesday late night. After analyzing the sales, he was convinced to open the store late night on Friday, because it tended cover the cost of late night opening, despite of the employees resisting this change. Bamberger was initiated in the year 1947. It has since become a well-recognized departmental storewith its major consumers comprising of upper-middle class segment.
Problem Statement
After implementing this late night policy on Wednesdays; the consumer sales services started to decline and the employees had gotten demotivated. Along with that, there was also a condition that if this change does not serve the purpose, then they would discontinue this experiment. The employees were demotivated they were also resistant towards this change. Under these circumstances; it was not easy for the department store to implement this change effectively.
Quantitative Analysis
Descriptive Statistics Analysis
For quantitative analysis; we have used descriptive analysis to analyze the sales of Bamberg’s store. In this analysis, I have analyzed the sales before Wednesday opening, after Wednesday opening, and finally, we have analyzed the difference in before and after Wednesday. opening.
a. Sales before Wednesday Opening
The sales before Wednesday opening were analyzed for twenty seven weeks. The weekly sales before Wednesday opening was following an increasing trend, so this was a normal sales of the store, and for further analysis, we would see what change will the late night Wednesdaysopening bring to the company’s sales. The mean before Wednesday opening was positive and was on an increasing trend. Further refer to appendix 1.
b. Sales after Wednesday Opening
The sales of the company after Wednesday opening was increasing, which can clearly be seen in the appendix 2. Whereas, the increasing sales means that Wednesday late night opening was an effective decision. As departmental store opted for this on request of consumers,because they were not able to meet their shopping needs while following the normal store timings. The mean after Wednesday opening, was also increasing and was positive.Further refer to appendix 2.
c. Change in Sales before and After Wednesday Opening
The change in sales shows that the sales throughout the week was increasing; whereas the sales of Saturday was negative because it was a weekend day, and the overall change was positive and increasing, i.e. 253019.42.Further refer to appendix 3.
Qualitative Analysis
a. Advantages of Opening Store late night on Wednesday
As it was consumers’ demand to open the department store for late night to meet the shopping needs. So opening the store for late night resulted in an increased sales and greater consumer satisfaction. It was likely to increase the ROI of the store and the loyalty of the consumers as it was satisfying their needs. Mostly consumers stick to those brand that are easily available and meet their demand on time. This option had increased the shop hours for consumers who were willing to shop after the business hours. It was consumer’s demand as well, because after going through hard day routines; the consumers wanted to shop after their specified time.
b. Disadvantages of Opening Store late night on Wednesday
Opening the stores till late night on Wednesday tends to increase the cost for the store. It will increase the company’s employees as well as its operational cost. The company is willing to maintain its business needs but its employees are resistant towards this change, because they want to work on their regular schedules. Along with that, late night openings were reducing the consumer services’ quality which was happening due to the late night store operations’ impact on the employees as they were gettingdemotivated.
Recommendation
After analysis, I would recommend the department store to initially train its employees and give an attractive remuneration to them for working late night on Wednesdays. Along with that, the store manager should set 2 working employees’ shifts, so that they can manage the working hours and improve their consumer’s service. Opening the storestill late night on Wednesdays is a good option because the change in sales shows positive results. Italso depicts this option’s suitability for the company. It would increase the store’s sales and its consumers’ loyalty, because the consumers prefer those brands that meet the demand of the company on time.............
Appendices
Appendix 1:
Appendix 2:
Appendix 3:
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