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It is apparent that sales clerks and rank and file. employees are charged with the prime responsibility of selling, with management personnel serving as a backstop to handle customer complaints and insure customer satis- faction. The selling activities of least cruciality to managers are routine tasks normally performed by rank and file employees, e.g. operating a cash register, writing a sales slip, and wrapping and packing merchandise, However, the very fact that such routine activities appear crucial to over 20 per cent of the managers provides an indication that management personnel are called upon to perform many rank and file tasks. Sales Promotion Competency Ninety per cent of all respondents regard "Presenting the firm in a favorable image" as crucial to their success. The Sales Promotion clusters of display location and adver- tising are ranked above the 50 per cent cruciality level. In all, ten of the 22 Sales Promotion activities were ranked fifty per cent or above in cruciality to success. Buying Competency The most crucial Buying activity was "Determining appropriate quantities to order." It was ranked 81 per 83 cent crucial by all 701 respondents. Twenty—one of the 3“ buying activities were seen as crucial to the success of 50 per cent or more of the mid—managers. Two activities directly related to Buying are economic—type activities: "Using the law of supply and demand in ordering merchandise" (73% crucial) and "Using federal and state regulatory laws in decision-making" (51% crucial). The importance of making decisions becomes evident when Buying activities are analyzed. Judgments must be made as to appropriate quantities of merchandise to order (81% crucial), when to take markdowns (80% crucial), how much markdown to take (77% crucial), determining styles to order (66% crucial), buying to meet customer demand (72% crucial), and determining timing of merchandise purchases (6H% crucial). Activities such as "Selecting buying sources" (24% crucial), "Negotiating with vendors about terms and discounts" (23% crucial), and ”Attending vendors' shows or visiting markets to buy" (19% crucial) are not ranked high. This is because they are, in multi—unit firms, usually performed by specialists in the regional or home office. Operations Competency Safeguarding merchandise and knowing current stock positions are the two major elements in the Operations 84 competency. The prevention of shrinkage, the retail term applied to merchandise that is unaccounted for, i.e., stolen, mispriced, damaged, etc. was found to be crucial to 82 per cent of the respondents. The cluster of activities related to inventory—taking, i.e., supervising 77 per cent, conducting 77 per cent and maintaining inventories 74 per cent, all rank very high in contributing to the success of management personnel. Although inventory matters are crucial, it was reported that only 2“ per cent of the respondents found that analyzing computer print—outs to determine inventory was crucial. However, the figure is important for two reasons. First, 21 per cent reported analyzing computer print—outs, 10 per cent reported that although they don't actually analyze print—outs they must know how to analyze them. Secondly, when computer print—outs were made available to mid—managers, in nearly every case, analysis of the print-out to determine inventory status was crucial. Sixty seven per cent stated that they don't analyze print— outs at all, indicating that the application of data processing to inventory—taking is not wide—Spread in retailing, and other methods of inventory—taking, i.e., actual stock count, unit record, et a1. continue to be very important methods of inventory control. Several clerical—type tasks are also reported as activities of great importance. Activities such as 85 "Recording stock count information" 61 per cent, "Checking condition of merchandise received" 61 per cent, "Keeping files of invoices and purchase orders" 57 per cent, "Organizing perimeter (reserve) stock" 56 per cent, and "Maintaining and using a unit control system” 55 per cent, although basically routine in nature, all contribute to the success of the retail management person. Market Research Competency The market research function is a vital part of the mid—manager‘s job. ”Determining consumer demand" and "Recognizing fashion influences and trends" rank very high (80%) and attention is given to these activities on a daily basis by over 50 per cent of the respondents. An activity linking both of the above, "Keeping informed of public opinion" is also ranked quite high (75%). A second cluster of activities relate to competition and involve shopping local competitors and determining their strengths and weaknesses. Forecasting sales and future events provides a third major cluster of market research activities. Managerial——Plannino Competency The planning function is an important one for managers. In knowing what to plan, however, managers must follow the instructions of their supervisors. Following instruc— tions received the highest cruciality rating of all 202 activities—-99% view it as crucial. 86 Thirteen of the 15 planning activities were seen as more than 50 per cent crucial by the 701 managers. In 11 of the activities (those ranked from 2 to 13) a decision had to be made by the manager. Decision—making appears to be a key to successful planning with problem—solving and logical thinking an integral part of the process. Manageria1——Directing Competency One of the very important duties of the mid—managers is directing others. In this phase of management, the human relations aspect becomes all important. Supervising, communicating ideas, motivating, delegating, following up, and disciplining employees are all activities in which the manager functions in a face—to—face relationship with his subordinates. These activities are not only highly crucial, but are also performed on a daily basis in the great majority of cases. Even though the Personnel Departments of most firms handle tasks such as interviewing, training, and discharg— ing employees, approximately one—half the managers indicated their involvement in these activities. Getting the job done through others is a very important retail management competency needed by students who aspire to management positions. 87 Manageria1——Coordinating Competency It is common knowledge that teamwork is a vital aspect of employees in a retail organization. Very high marks were given to the activities of exchanging informa— tion with superiors, subordinates, and equals in the firm. Although much coordination takes place on a daily basis, a good one—quarter of coordinating efforts take place weekly. Manageria1——Controlling Competency Retailers are very ”figure—oriented." Cost of goods, operating and selling expenses, profits, losses, markups, markdown, and stock turnover are several of the measures used by managers to control the funds or goods committed to them. The analysis of financial data and the decisions made based upon the analysis contribute heavily to the success of the mid—managers. Managerial——Innovatingrgpmpetency The managers appear to be an innovative group con— tunually searching for (95%) and adopting ideas (88%) which will improve their effectiveness and performance on the job. Summary of Crucialness of Activities Table 10 provides a summary of the cruciality of middle management activities according to competency area. 88 TABLE lO.-—Level of cruciality of activities of all middle managers according to competency area. Level of Cruciality Competency Area Nugggilof 0—24 25—49 50—74 75-89 9D-100 Activities % % % % % Selling 19 3 9 6 1 0 Sales Promotion 22 2 10 '9 0 1 Buying 34 6 7 18 3 0 Operations 35 4 14 13 4 0 Market Research 14 l 4 6 3 O Managerial: Planning 15 O 2 6 5 2 Directing 23 O 3 9 4 7 Coordinating 11 O 1 5 4 1 Controlling 25 1 6 ll 6 1 Innovating __4_ _g_ _l_ __1_ _m_ _l_ TOTALS 202 17 57 84 31 13 Of the 128 activities found to be "core crucial" (activities crucial to 50 per cent or more of the middle managers), 44 (34%) of the activities were reported as 75 per cent or more crucial. Of the 44, 32 were managerial—type activi- ties. Twelve managerial-type activities were reported crucial by 90 per cent or more of the mid—managers. Finally, a rank ordering of all 202 activities from one to 89’ 202 according to crucialness to success on the job (Appendix H) indicated that 19 of the 20 top—ranked activities were in the Managerial competency area. ’ Variations in Activities of Middle Managers in Different Types of Firms The third question asked in accomplishing the objec- tives of the study was: Do activities of middle managers differ between retail organization classifications? If so, what are the differences? Are they major differences? In answering this question, responses were categor— ized according to the four types of retail organizations investigated (Table 11). The four retail organizations and the number of respondents in each organization are as follows: Traditional (independent) Department Stores (TDS) 158 Discount Stores (D8) 149 Chain Stores (CS) 288 Variety Stores (VS) 106 TOTAL 701 The null hypothesis, "No significant difference exists in the proportion of middle managers performing the activity when compared by types of firm" was established for each of the 202 activities. When each of the activities was tested by Chi—Square for the null hypothesis, 180 of the 202 activities were rejected at the .05 level of significance. This test reported a difference in the mid— managers' responses and indicated that activities of middle managers do differ according to type of firm. 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J an OHOB cu OUO E GOOHO G Wu O‘mno _L >O..H>..Hmo< E NW .A MSU _L ,A MSU I HA MSU I A n :u .L I H L u 3 9 u 39 u 39 u 49 M m N MMHH H pHNuz M pHNu: N HpHn: H m v1. 0 J U D a ucmEmwwzmr O0 Hm>mH m E m S a .OmschcoOuu.MH HHOON 108 .Hm>mH mo. 0:» ON UmpooOmh mm: :HpcmammmcmE no Hw>mH an Ownmasoo :05: OpH>Huom mg» wcHELompmm mmmwmcmEIUHE mo :oHOnouopa mnu CH mpmem m0:m&mNNHU HCNOHOchHO oz: .mHmmspoamn HHzc 0:9: Op M HOOO pO O OH pm OH MH OH p pM m:OHON>ocsH Oo mm: as COHumLon Oman no pamEmeQwO w:H>onOEH *HH H OO M Op OO pH OO Op O Hp Mp O Hp Opospmama OpmcHeHHm OH OHOH OOHHOOO *Op M pO O HO HO M OO NO H OO HO O OO OOcNEHOOLOO O>OHOEH oO OOOOH OcHOOOOH *OO N OOH O HO OO N OO HO M OO OOH O OO O>HOOOOOO whoa COHHHOOQ HE meE on mums Lou wcHsomem mm H wcHvaoccHleHhmchw: OM mH OM OM pH OM ON MH OM HN HH ON OOHmOcNOm SOHO OOHONH>OO OCHEHOOOO 0» OOHOOL OchO *NM ON OO M HHOO NO O NH HM NH ON OH HH HOHV OOHOOOO Ho mHOOOwH OCHONHOHO *MM HN OO O HOOO OH OH OM OM OH MM OH OH HMNV OHONLO ucm OONNHO OOHNOHNOH *MM MN pO O NH . OH OH HONO HO HH OM OO OH HMOO Ocmg On OOHHOHO Oo mcEHHoO OOHOOH *OM NN HO HN HopO OH HH OH OH OH .OH ON NH HHMO OOHHEHOO HNOHHNEOOONE mmwcHOHO mchO *HH HN mm m HHOH Hp OH mH pm MH p: m: mH mm OOLJOOOOLQ HmEuoc EOHN mpNH>wO pmcp wuwmswmg mcH>opaa< *OH ON OH pN HHNO NN OO NO HH HM pH MH ON HH mOmOmHOOH HOMO co OcHHHOOmO Ocm OOonmco *pH OH OO O HHOO OO OH Om OH HH HO pM O HOHO OchmmoonO NONO HO OOOH>OHO OOHOOEHOOOH OcHNOHOCH *OO OH OO NH HpOO pO MH HO OO OH OO OM OH ANHO OOHHOO mgoum OOHHOE OH ONNO OCHHOH *OO pH HO HN Hopu OO MN HO HH OM pO MH ON OO Ho>ocpsp HooOm OHHOOHHOHNO *OO OH OM OM HO OH ON HMpO OM HH pO pN ON HpHV OOHOOOH :HHO on :OOo: OchHmchmz *NO OH MO OH HO Hp HH HOpO OH HN HO OM ON HHHO mpmoo OcHHHOm OOHNOHNcH *NO HH HO M HHOO OO p HOOO pH OM MO ON ON HNMO HOOEOOOOO wmoH Ocm OHOOHO HHOHOH m OCHNOHOOH *HO MH HO M HOOO HO O HHOO HH ON MO ON ON HOMO 3mg OHHOSOOO OOHNOHSH *HO NH NH mm HOmO OH Om Np Hm ON OO mO OH pO OCOHuommcmpp wwHNm :H Ome300m On 0» mmeOHOEm OCHCHNLB *OO HH HO OH op Hp OH HNOO OH ON OO OH OH HOOO NOON Lo O:OEOOOOOO O O0 mmOcNOHN Os» OcHHHoppcoo HOO OH OO O HOOO MO MH Mp OO HH op MO MH OO OHNEHOOO OOO .mcoHpoapO .wOOmpcmome OOHH OOHHHOH *OO O MO HN Mp OO O HHOO OO OH OO OO OH HOOO mmmcmmxm OcHHHmm OOHHHOHOCOO *Op O OO pN HOOO NO O OO MO OH Hp NH ON HOOO mmmcmaxm OCHONHOOO OHHHHOHOOOO HOp p pO O OO Hp ON OO Op MH Op OO HH HpOO OOHOOOH OOHOOOOHO Ocm OOHOOEHOOCH OcHOOOHHOO pr O OO o HHOO OO N MO OO MH Op Hp MH OO mmumcHOponzm Oo mocmEHOOHOO OcHOmOHO>m pr O pm O mm Om H HHOO mp HH NO mO pH HpOO mmpszO memm mcHNOHmc< *Hm H NO O Op Hp. HN OO HO OH mO OO OH MO xpozpmamq :H Hommsoom wcanmcH mm M OO O pO mO H HO OO O pO pp OH HHpo OCOHONHomOHO . Lo wocmEpomme pmma 59H: OCOHHOLOQO mcHLmQEoo *mm N pO M .pO HO N MO OO N MO MO N OO OOOOOOHOO on Ooccmo ONO» OOHHHHHOHOOOOOOH OcHHOcmO NO H wcHHHOHHCOOIHNHLOONCNS 109 crucial to their success than did mid-managers at higher levels. Conversely, management—type activities were judged by mid-managers at higher levels as more crucial to their success. The null hypothesis, "No significant difference exists in the proportion of middle managers performing the activity when compared by levels of management" was established for each of the 202 activities. When each of the activities was tested by Chi—Square for the null hypothesis, 159 of the 202 activities were rejected at the .05 level of signifi— cance. This test reported a difference in the mid—managers' responses and indicated that activities of middle managers do differ at various management levels. To show variations between levels of management, whenever mid—managers at one level of management judged an activity as lO per cent or less crucial than the average cruciality of all levels, the percentage was indicated by parentheses. Whenever mid-managers at one level of manage— ment judged an activity as lO per cent or more crucial than the average cruciality of all levels, the percentage was bracketed. The significant difference between the activities of four levels of management clearly indicates four levels. But, the question then becomes, "are the four levels equally discrete in each of the ten major competency areas?" As Table 1” demonstrates, for some competencies the levels 110 are very discrete. For other competencies, however, the four levels actually collapse into but two or three levels, e.g., in the Selling competency the responses of mid- managers in Levels 2 and 3 are very similar. In the Selling Competency area, there was a marked contrast between the first and fourth levels with mid— managers at Level 1, the lowest level, indicating that selling activities were very crucial to their success. Sixteen of 19 selling activities received the highest cru— ciality rating from Level 1; 12 of the 19 activities were judged "core crucial" by Level 1 (50 per cent or more of the mid—managers considered the activity crucial). In contrast, Level 4 gave selling activities the lowest cruciality rating with only one activity ranked "core crucial." Levels 2 and 3 ranked selling activities with the same degree of cruciality, each with the same seven activities reported by 50 per cent or more of the mid—managers to be crucial to job success, and both were closer to Level 1 in their responses than Level H. Sales Promotion activities that require planning, evaluating, and approving are less crucial for managers operating at Level 1 and more crucial for managers at Level 3. Such activities require higher level decisions than can be made at Level 1. Level 3, including Buyers and Store Managers, scored Sales Promotion activities more crucial for their level than any other level. One—half of 1211 7 :.HmH05Ho @900: mm mepH>Hpom OQHHHOO 0:» mo psmo Hog m Omphommh H Hw>mH pew H:HmHozpo mHoo: mm mepH>HpoO wcHHHmm mgu - mo pamo HmQ pm Oopnogmp m Ocm N mHm>mH H:HOH05HO @900: mm mepH>Hpom msHHHmm mg» mo meo 9mm MO Ompnommp H Hm>mH .Ammmoozm 90H 0p HOHosao OpH>Hpow mzp OmpHOQmH mummmcms mHOOHE HHO go mace Ho pomv :HOHOHHO whoo: mm OOOOSH Ohm: sm>mm Ocm moan mocmmeEoo mQHHHmm map EH mmHuH>Hpom OH mum: OHOQB “OonHom Ow OOOOO me mom mHoccH Hm Op Np Nm OH mN mcHHHOHpsoo OOH OOH Hm Hm OH HH mchmCHUhooo mp Hm Hp op ON mm wsHOOOHHQ MO MO OO OO MH OH OOHOOOHO ”HmHhmmwcmz l Np Np HO Om O HH nopmmmwm pmxnwz n ON HO OH MH pH OM OOOHOOHOOO OO OO OO HH HN HM OOHOOO OH HM ON NN OH NN OOHHosOHO OOHOO HO ppM ppM OMO p OH OOHHHOO H m m H mmeH>Hpo< mepH>Hpo< HmHospoq mo ambasz usmsommng mo Hm>mH : whoo: HOHOB OOH< HocmmeEoO *.mepH>Hpom =HOH05H0 @900: op powmmmh CH mmhm mocmpmmfioo Ocm pcmEomchE wo mHm>OH mezpmn OCOHHOHHO>II.HH mHOHB 112 the Sales Promotion activities are least crucial to Level 4 (highest level); they are most tasks actually performed by and crucial to, managers at lower levels. Buying activities are not as crucial to mid—managers at Levels 1 and M. They are most crucial to persons at Level 3 which include such positions as Buyer and Store Manager. However, it should be noted that Level 1 reported 30 of the 3“ Buying activities as being 25 per cent or more crucial to their job success, indicating that the Buying Competency is an important one for even the lowest level of management. Operations activities are most crucial for mid— managers operating at Level 3. Twenty per cent (7) of the activities were judged to be 10 per cent or more crucial to Level 3 than any other level. Two activities highly rated by Level 3 and which distinguish Level 3 from the other levels are "Meeting local, state, and federal laws," and ”Keeping proper payroll control." Level 2 followed Level 3 in rating Operations activities as crucial. Fif— teen of the 3“ Operations activities were reported by Level 1 as 50 per cent or more crucial to their success. The Market Research function is more of a responsi— bility for Levels 3 and u. However, there is a subtle difference in the exact nature of the activities at these levels. Level 3 is much more concerned with "Determining consumer demand” (86%), ”Recognizing fashion influences and ' '3 I}.,-:.E":'ie.."{-' '- *tl:£v££tn 113 trends" (85%), and "Forecasting sales for a future period" (76%), all fairly specific activities related to the sales of a department or store operation. Level 4, on the other hand, reports "Keeping informed of public opinion" (82%), "Forecasting future trends or events" (76%), and "Assessing events that may affect the firm" (73%), activities of a more general nature affecting the entire organization, as responsibilities that are most crucial. -Although Level 1 generally scored Market Research activities as less crucial than Levels 3 and D, it should be noted that Level 1 rated one-half of the Market Research activities (7 out of l“) as 50 per cent or more crucial to their job success. The Managerial Competency was divided into the five sub—competencies of Planning, Directing, Coordinating, Controlling, and Innovating. On the whole, activities within the managerial competency become more crucial to job success as the mid—manager moves from Level 1 to Level 4. Levels 2, 3, and 4 are much closer together in their judging of Managerial activities than Level 1. Mid— managers at Level 1 generally viewed managerial activities as less crucial——29 of the 78 activities were scored by them as 10 per cent or less crucial than the average. On the other hand, mid—managers at Level A scored 30 of the 78 activities as 10 per cent or more crucial to their job 11” success. Level 3 reported 16 of the 78 managerial activities as 10 per cent or more crucial. Figure 3 graphically indicates the importance of Man- agerial activities by levels of management. The key find- ing to note is in the cruciality range of 75—100 per cent—— Level 4 reports N6 activities in this range; Level 3, 41 activities; Level 2, 29 activities; and Level 1, 25 activities. It can be clearly seen that managerial activities, although generally most crucial to Level 4, the highest level, are also very crucial to mid-managers at Level 1. Variations in Activities of Middle Managers in Different Functional Areas of the Firm The fifth question asked in accomplishing the objec— tives of the study was: Do the activities of middle managers in merchandising positions differ from the activities of middle managers in operations positions? If so, what are the differences? Are they major differences? There are five basic functional positions within a retail firm: (1) merchandising, (2) operations, (3) sales promotion, (U) control, and (5) personnel. This study analyzed the activities of personnel performing the func— tions of merchandising and operations. These two functions represent approximately 80 per cent of the supervisory and middle management positions in retail organizations. Number of Activities 115 521 Management % h8-L Levels: 3 A 440 uo-_ 36m“ 32“ 28 .. 214 + 2o-* 16*? 4L o-2u% 25—u9% 50—74% 75-100% Per Cent Activities Reported Crucial Figure 3.-—Cruciality of 78 managerial activities reported by four levels of management. 116 In order to answer this question, all middle managers in the study had to be placed in either a "merchandising" or "operations" category. It was very difficult placing some middle managers in discrete "merchandising" or "operations" categories since in several cases, job titles and functions of positions varied depending upon the firm and its organizational strategy. In one firm, a store manager might be considered in "merchandising" while in another firm the store manager might be classified under "operations." Responses according to the functional areas of "merchandising" and "operations," therefore, should be analyzed with this fact in mind. There were 392 middle managers classified in the operations function and 309 in merchandising (Table 15). The null hypothesis, ”No significant difference exists in the proportion of middle managers performing the activity when compared by functional area of employment" was established for each of the 202 activities. When each of the activities was tested by Chi—Square for the null hypothesis, 87 of the 202 activities were rejected at the .05 level of significance. This test reported a difference in the mid—managers' responses and indicated that activities of middle managers do differ according to functional area of employment. In order to show variations between functional areas, whenever mid—managers in one functional area judged an 15.--Marketing activities in ten competency areas and ranked according to 7cruiialness to success on the Job by two functional areas of employment: N = w 2 3 Function 0 d 0 5E é Operations N-392 MDS'O "-309 3 3 3 Activity g g E 5 -- H 2 3% >. H 23% >. 04: m m -o s o m m o 5 o m x 0 as H DE: C: rd n=§ % o x o o o 5 o i‘. E ‘6 ‘s a. 8 E ‘6'; a) 5 go o 0 2mm J; o zmm 9 Selling 1 78 Handling customer complaints 78 21 72 78 10 78 2 70 Insuring customer satisfaction after transaction 7h 29 57 66 19 58 3 6H Interpreting store policies to customers 66 20 68 60 1“ 67 h 62 Greeting customers 66 ll 76 57 1“ 65 5 58' Explaining technical and sales features of merchandise (“7) 30 “3 [72] 1“ 7" 6 57 Approving customer returns and allowances 57 31 N9 58 11 72 7 55' Providing comfort and convenience services to customers 63 29 50 (nu) 19 “l 8 “9' Processing customer returns and allowances NS 51 32 55 27 53 9 ”8 Selling to customers on the floor A7 #1 N0 “8 25 53 10 45 Completing customer sales transactions “5 51 25 UN 32 38 11 N3 Approving customer checks “0 28 56 N6 7 71 12 40 Recording sales on unit control records 6 N1 13 Q3 37 21 13 36* Demonstrating merchandise 30 39 19 ”l 19 39 1“ 31' Recording non—cash transacticns (e.g., 9.“.h. harge) '5 “9 1h 25 26 19 15 29 Operating a :ash register 50 6M 18 28 uu 36 16 27 Writing sales slips £5 52 16 30 35 31 17 21 Wrapping and packing merchuniise 2? ha 13 17 23 19 18 19* Confirming customer delivery dates 17 32 6 21 18 13 19 16 Preparing delivery ‘.ickets l? 35 5 13 20 8 Sales Promotion 1 90 Pre esenting the i‘irm in a ilvorlble imagv- 90 I 9; 88 3 93 2 73 Determining merchandise dis pigll locnt.; n 73 12 76 2 1H 67 3 71 Coordinating advert s'ng w; th merrhu..ii:~ display 69 1, 60 73 12 78 u 67 Planning or 1evisir.g 1cpaztn.cnt or :zcrh 11y.Ji [U 5 76 63 15 61 5 67 Planning and scheduling primdtinnai and special events snles 69 19 PS 63 21 50 6 62 Evaluating eifec tlveness of :.dvcrtlscmrn!s 6h 15 66 58 17 61 7 61 Planning advertising progr:1m;.1nd schvinlus 61 2 M9 60 30 “1 8 59 Cooxdinating adverlisir .g wi h prrsnnal lLing 57 .s 5? 62 16 57 9 58 Deciding what merchandise is to be livvrtised 50 21 50 57 21 H8 10 50 Approving advertising proofs U“ 8“ “l 55 15 56 11 “7 Preparing merchandise fol' display U3 Al 21 5 27 5O 12 45' Requesting display and sign SerVi (32) 27 37 [61] 18 7h 13 "3* Submitting merchandise i‘ac ts: :1nd rough <-opy or advertisements 35 22 30 50 1H H7 1“ “3 Selecting themes for iisplays ND “6 “3 N6 22 H9 15 H2 Working with home office uL sales promrtion planning um 11 36 37 18 29 16 39 Keeping records or merchandise on iispliy ”0 P 29 39 25 MO 17 35 Selecting fixture: for mer hundise displays 29 P 35 38 18 35 18 33* Using adverti: ing: ‘ 37 36 2 28 3O 19 19 33 Checking merchandise returi-ci to stock from display 29 “1 25 38 22 52 20 5 Trimming show cases 2“ u“ 12 25 25 21 21 20* Trimming store windowr 95 3‘ 12 13 13 5 22 8 Preparing information for public relatigns i ll 6 6 8 N 1All figures sn-wn u: purcenixrns ELI r .lei L :lz nearest whole. 118 TABLE 15.——Continued. m Function 0 w 15 a! 8 Operations N=392 MDSG. N=309 c8 3 r1< m 5.33 3 Activity a 2’ o e m u c o.p c n o H H c m 3 h H4 2 m 3 h o p m m o s o m N o 3 o m o H -H a): : H4 0 z e x a o o x o o M m E: E :‘S S p a c: :1 424-) t: w o n n o 3 m o n :3: o 0 mo 0 O 2mm O 0 2mm 9 Buying 1 81 Determining appropriate quantities to order 78 2U 60 85 8 81 2 80* Deciding when to take markdowns 76 13 68 85 13 58 3 77* Deciding how much markdown to take 72 15 67 8U 1U 76 U 73 Using the law of supply and demand in ordering merchanidse 72 1U 6U 77 8 73 5 72 Buying to meet consumer demand 71 18 56 72 10 U8 6 69 Using purchase order and requisition forms 65 29 U8 76 6 8U 7 66 Determining styles to order 6U 22 50 69 9 U3 8 66* Determining shrinkage loss 75 18 62 (56) 31 33 9 65 Following vendors' or company suggested retail prices 62 15 63 68 ll 69 10 65 Buying merchandise for special promotions 67 15 5O 63 15 59 ll 65* Working with buying office 58 lU U6 73 6 76 12 6U Determining timing of merchandise purchases 63 12 56 65 ll 58 13 61* Ordering merchandise from central warehouse 68 50 3U 5U 23 U6 1U 60 Maintaining buying records 57 39 28 6U 21 61 15 58 Estimating markdowns for a month or season 61 19 U9 55 25 U0 16 56 Figuring markon 55 30 U0 58 25 U8 l7 5U Determining markups 5U 2 U2 5U 31 38 18 53* Working with home office or division on buying U6 11 U3 61 9 56 19 53 Computing "open to buy" 56 35 28 U7 27 27 2O 51* Using federal and state regulatory laws in decisionemaking [62] 17 57 (37) 2O 28 21 51 Communicating with vendors about adjustments or returns U6 35 33 58 20 U6 22 U7 Determining prices for individual items U6 19 36 U8 20 3U 23 U6* Scheduling the buying shipment date: 39 23 28 55 16 U9 2U U5* Dealing with vendors' salesmen (35) 1U 52 [57] 8 70 25 U2* Establishing price lines for department 35 21 23 51 20 U0 26 39* Providing information to be submitted to data processing 37 28 27 U1 13 36 27 39* Using vendors' reorder procedures 36 3 26 U1 12 U1 28 3U* Buying from wholesalers U3 15 29 28 10 53 29 2U Ordering from catalogs 21 21 16 28 8 33 3O 2U* Selecting buying sources 18 19 12 32 18 27 31 23* Negotiating with vendors about terms and discounts 15 17 7 [36] 15 25 32 22* Requesting datings from vendors or home office 15 2O 12 3O 1U 21 33 19* Attending vendors' shows or visiting markets y < 6) 10 10 [36] 6 U3 3U 9 Determining trade—in prices 8 9 5 9 6 9 Operations 1 82* Developing and applying measures to prevent store shrinkage 88 U 86 7U 16 66 2 77 Supervising inventory—taking 80 1U 76 7U 12 77 3 77 Conducting a physical inventory 78 21 66 76 22 66 U 77* Insuring store or department cleanliness 82 19 76 7O 17 71 5 7U Maintaining a perpetual or basic stock inventory 71 33 U6 79 19 6U 6 68* Meeting local, state and federal laws [78] 15 77 (56) 19 53 7 67 Establishing basic stock count schedules and reorder plans 66 26 U7 67 21 55 8 66* Using a telephone 58 3 93 7k 1 99 9 63* Keeping proper payroll control r86] 2 68 (3U) 23 21 10 61 Checking condition of merchandise received 58 U9 3U 6U 27 58 11 61 Recording stock count information 58 60 2O 67 37 U8 12 59* Watching for and preventing accident hazards 67 7 89 U9 ll 70 13 58* Insuring adherence to store credit policies 6U 20 58 5O 19 50 14 57 Keeping files of invoices and purchase orders 57 6U 15 58 UU 3U 15 56 Organizing perimeter (reserve) stock 5U 38 U3 59 2U 62 119 TABLE ]5.-~Continued. o 2 Functions ‘1 (u u d o e 2 2 Operations N=392 MDSG. N=309 ~+¢ m ’4 >a 0 Activit ‘” 9’ 3 g u y ciu c z 01:: s a o H ~4_ : m 3 a r1 c m 3 h o p m w o 3 o m m o d o m o H H a): c H :3: n x Q. 0 U K 0 0 M O c E 3 E. ‘8 ‘5 a; 8 E ‘3 ‘5 a) 8 £8 5 0 2mm 9 0 2mm 9 16 55* Maintaining and using a unit control system U7 33 25 [68] 23 5U 17 53* Receiving, checking, and marking merchandise 61 60 18 (U3) U3 22 18 UU* Requisitioning supplies, equipment, or fixtures 52 39 51 (33) 25 U7 19 UU Scheduling inventories UU 15 3U U5 27 U0 20 U2“ Insuring preventative maintenance of equipment and fixtures [551 27 5” (2“) 15 26 21 39 Working with a code system in marking merchandise 38 37 30 O 2U 38 22 37* Controlling perishable goods [U9] 28 U1 (22) 11 19 23 37 Using the retail price accounting system 38 28 2U 36 19 30 2U 35* Scheduling repairs on customer or store mdse. 37 U1 27 32 18 38 25 32 Preparing price tickets 39 56 9 28 38 15 26 31 Reporting sales by the split-ticket system 28 37 12 3U 2U 29 27 30* Insuring proper lighting and heating or cooling [U0] 31 U8 (1U) 1U 16 28 27* Insuring prompt service in customer lunch area [UU] 2U 3U ( 7) 6 6 29 26* Inspecting lunch area for cleanliness [U1] 19 59 ( 9) 13 15 3O 25* Operating an adding machine 20 31 U6 31 13 63 31 25 Controlling warehouse stockkeeping functions 30 57 19 20 68 13 32 2U Analyzing computer print—outs to determine ‘ inventory content 22 10 19 25 9 21 33 20* Scheduling and controlling delivery to customers 23 37 12 15 2U 29 3U 16* Using professional and local shopping services l9 13 21 11 11 10 35 8 Using a typewriter 8 l9 1U 8 16 1U Market Research 1 8O Determining consumer Jemand 77 16 69 8U 1U 77 2 80 Recognizing fashion influences and trends 77 17 7O 8U 11 79 3 5 Keeping informed of public opinion 71 1U 76 78 15 78 U 70 Determining strengths and weaknesses of competitors 72 10 75 69 13 71 5 70 Shopping local competitors 66 1U 70 7U 10 81 6 65 Forecasting sales for a future period 68 20 61 62 21 50 7 59 Forecasting future trenls or events 55 17 U8 62 20 U8 8 56 Searching for new items and lines 52 l0 5O 61 10 59 9 53* Obtaining market information from buying or home office U5 13 U5 62 10 62 10 U8 Assessing events that may affect the firm U9 1U U9 UU 18 38 11 U0* Reading trade publications 31 U 88 U8 2 87 12 36* Using data processing information to forecast ' 29 17 20 UU 1U 33 13 35 Assessing socio—eccnomic trends in the community 38 17 33 31 19 25 1U 1U* Assessing proposed retail legislation 16 28 1U 11 17 5 Managerial——Planning 1 99 Following instructions from superiors 99 0 99 98 O 99 2 91 Reading company memorandums and reports 9U 1 97 87 2 96 3 87 Establishing procedures to accomplish goals 90 6 88 83 9 79 U 82 Determining the goals of a department or area 85 13 80 80 22 68 5 80 Determining responsibilities of employees 8 12 86 75 15 73 6 79 Establishing standards for the department or area 78 12 7U 78 13 73 7 75* Planning for the future from current operations 2 7 79 67 1U 59 8 7U Evaluating proposals and suggestions 76 7 8U 70 9 73 9 72* Determining priorities 76 8 78 65 6 6U 10 65* Preparing budgets [82] 21 66 (UU) 23 28 11 59* Determining a sales budget for a season [70] 2U 56 (U5) 27 28 12 52* Determining expenses for a season [70] 17 61 (30) 22 18 13 50 Deciding action to take based upon data processing information U9 9 U5 50 1U U1 1U UU* Determining finances necessary to accomplish sales budget 52 19 37 35 18 23 15 35* Establishing an advertising budget U2 19 33 (23) 19 12 TABLE 15.——Continued. m . g 3 Functions p a 0 e8 3 operations N=392 MDSG. N=309 *1< m S 2 3 Activity g g E 8 r4 H 2;: g a H 2'8 g h 0:: 3 :2 as: m :3 as: °° .24 D. o o ‘ :4 a) 0 h: w c E a : v.9 : d u.» c m o a p o 3 o o p o d o 0 mo 0 0 2mm a 0 2mm Q Managerial-—Directing l 98 Making proper, timely decisions 99 l 98 97 1 97 2 97* Supervising employees 99 l 98 9U 3 95 3 95 Communicating ideas to others 96 1 98 92 1 97 U 9U Delegating responsibilities to others 96 0 98 93 2 96 5 9U Motivating employees 97 1 97 91 3 92 6 93 Assigning work to be done by others 95 1 96 91 2 9U 7 91* Keeping employees' morale hi h 95 l 97 86 5 88 8 89 Insuring that employees comply with their assignments 92 8 88 8U 5 87 9 81* Instructing employees on store policies and procedures 87 12 86 7U 15 76 10 77* Handling employee complaints 86 8 89 (65) 16 66 11 76* Using "on—the—job" training method 83 1U 78 70 ll 29 12 7U* Evaluating employees' progress 81 8 87 66 13 71 13 7U* Disciplining employees 81 12 81 (63) 15 60 IU 73* Teaching salespeople new merchandise information 68 27 55 80 12 77 15 69 Training new salespeople 71 U2 U2 66 21 58 16 55* Hiring employees [72] 35 52 (39) 2” 23 17 55* Using training aids and equipment 2 20 6U (U5) 17 36 18 55* Training new non— selling employees [67] U7 39 (38) 20 31 l 19 53* Promoting employees [69] 16 65 (30) 27 2O 2O 51* Interviewing job applicants [62] 29 61 (3U) 21 30 i 21 U7* Discharging employees [59] 23 56 (31) 29 21 ‘ 22 U2* Counseling employees on their personal problems 50 12 68 (30) 15 36 23 32* Recommending employees for transfe. 36 19 U6 2U 16 26 Managerial-—Coordinating l 90 Keeping superiors informed 86 2 96 93 l 98 2 89 Exchanging information with superiors in the firm 86 l 9U 92 2 97 3 79 Exchanging information with subordinates in the firm 79 2 93 77 1 91 U 79* Organizing a department or store's effort 85 6 85 72 7 71 5 75 Communicating with other departments or areas 78 U 90 71 U 88 6 71 Seeking cooperation of other departments or areas 73 7 77 67 7 80 7 7O Conducting meetings 7U 8 93 6U 15 68 8 70 Expediting proper merchandise handling 72 32 56 67 25 57 9 67 Exchanging information with equals in the organization 62 8 86 71 U 88 10 66 Reporting on employees' traits and abilities to superiors 69 6 83 6O 5 82 11 U9* Arranging meetings I 52 10 68 U 17 U9 Manageria1——Controlling l 92 Handlingt responsibilities that cannot be , dele ega ed 9U 2 95 91 2 9U 2 85 Comparing operations with past performance or expectations 88 3 91 83 6 86 3 85 Insuring accuracy in paperwork . 8U 17 75 85 9 83 U 81 Analyzing sales figure 85 5 86 13 78 5 77* Evaluating performance of subordinates 85 5 12 (67) 13 76 6 77 Collecting information and preparing reports 79 26 66 7U 9 79 7 75* Controlling operating expenses [91] 9 85 (5U) 20 U0 8 70* Controlling selling expenses [8U] 10 77 (5U) 21 U2 9 69 Working with percentages, fractions, and decimals 69 13 78 69 11 7U 10 69* Controlling the finances of a department or area 77 62 (59) 20 U5 ll 66* Training employees to be accurate in sales transactions 75 35 53 (56) 21 52 12 6U* Analyzing operating costs [80] 1U 73 (U5) 25 31 13 6U* Analyzing a retail profit and 1053 statement [75] 16 69 (51) 26 39 1U 62* Analyzing selling costs [72] 13 66 (50) 22 U0 15 62 Maintaining "open to buy” records 61 37 31 59 27 35 TABLE l5.-—Continued. m g 3 Functions UN 0 o o n h : ~4< m Operations N=392 MDSG. N=309 p a o' m g 85: u AetiVity a)» x: 2 on: M o H H c m 3 h H c m 3 h 04: m m o 5 o m m o a o m o H a 95:: H (a: c x m o o - x o o a o c E 5 a u u C a pin a m o h a o s m o h o 5 o 0 mt) o L) z m m D o Zlntfl c 16 60 Calculating stock turnover 6U 27 UU (U3) 22 52 17 55* Taking part in making store polio U 11 60 (U3) 20 3U 18 50 Analyzing information provided by data processing U9 ll 51 52 10 U3 19 U7* Checking and reporting on cash registers 56 U7 3U (37) 23 39 20 U5* Approving requests that deviate from normal procedures U9 10 67 39 15 50 21 UU Using business mathematical formulas U3 16 U3 U5 11 55 22 39* Adding columns of figures by hand (20) 15 U6 [U9] 10 69 23 33 Analyzing charts and graphs 3U 12 35 30 15 28 2U 33 Dictating letters or repo ts 3U 8 U0 29 12 U0 25 32 Using ratios to determine deviation from _ standards 30 1U 28 3U 13 29 Managerial—-Innovating l 95 Searching for ways to make my position more effective 9U 2 97 96 l 97 2 88 Adopting ideas to improve performance 90 U 92 85 U 89 3 7O Seeking ways to eliminate paperwork 72 12 75 69 8 72 U UU Improving department or area operation by use UU 6 6U U1 8 53 * The null hypothesis, managers performing the activity when compared by functional area of employment, of innovation rejected at the .05 level II "No significant difference exists in the proportion of mid— was 122 activity as 10 per cent or less crucial than the average cruciality of both areas, the percentage was indicated by parentheses. Whenever mid-managers in one functional area Judged an activity as 10 per cent or more crucial than the average cruciality of both areas, the percentage was bracketed. In the Selling, Sales Promotion, and Market Research Competency areas, the responses of mid—managers in merchan— dising and operations functions tended to be quite similar- with the slight difference being one of emphasis. The mer— chandising mid—manager was more concerned with merchandise, e.g., "Explaining technical and sales features of merchan— dise," "Approving customer returns and allowances," "Demonstrating merchandise," ”Coordinating advertising with personal selling," "Requesting display and sign services," and "Submitting merchandise facts and rough copy of adver— tisements," the operations mid—manager more concerned with operations—type activities, e.g. ”Greeting customers," "Providing comfort and convenience services to customers,” "Planning or revising department or store layout." Merchandising mid—managers View the Market Research activities of ”Determining consumer demand," ”Recognizing fashion influences and trends," and "Shopping local com- petitors" as slightly more crucial to them while on the other hand, Operations mid—managers are somewhat more con— cerned with local store matters such as ”Determining 123 strengths and weaknesses of competitors," "Forecasting sales for a future period." The difference in cruciality of activities is espe— cially apparent in the Buying, Operations, and Market Research Competencies. The Merchandising mid-manager Views Buying activities as more crucial to his job success, with activities such as "Determining appropriate quantities to order," "Deciding when and how much markdown to take," "Working with home office of division on buying," and "Communicating with vendors" scored the highest. How- ever, the Operations mid-manager is also involved in Buying and he views 19 of 34 activities as 50 per cent or more crucial to his success. A marked difference was found in the Operations com— petency where clear—cut operating activities such as "Developing and applying measures to prevent store shrink— age," "Insuring department or store cleanliness," "Meeting local, state and federal laws," "Keeping proper payroll control," and "Insuring preventative maintenance of equipment and fixtures" were more crucial to "Operations" mid-managers. Also, to again point out the overlapping nature of the job functions, it should be noted that Mer— chandising mid—managers reported in of the 3“ Operations activities as 50 per cent or more crucial to them. The Operations middle managers distinctly viewed the Managerial Competency as more crucial to their success, 124 reporting 13 out of 78 managerial activities as 10 per cent or more crucial than the average of both functional areas. Figure 3 presents a graphic illustration of this differ- ence. This finding was expected since the Merchandising mid-manager, generally considered a specialist, is primarily involved with product-related activities rather than per- sonnel and accounting-type functions. On the other hand, the Operations mid—manager, charged with the responsibility of supporting the merchandising function, is more concerned with managerial activities such as preparing budgets, determining and controlling operating and selling expenses, analyzing operating and selling costs and retail profit and loss statements, and hiring, training, promoting, and discharging employees. The Merchandising middle managers' responses provide evidence that they also must have management and supervisory skills, for while the Operations mid—manager reported 67 of the 78 managerial activities as 50 per cent or more crucial, the Merchandising mid-manager judged 53 of the 78 as crucial to his success. Hierarchy of Middle Management Positions The sixth question asked in accomplishing the objec- tives of the study was: Are middle management positions in retail organizations discretely organized into levels, or are the positions overlapping and continuous? I . . ' I I I i . l . . l ' I I l u I I i I . ria- . ‘ u’, n I ‘H w. .— m“ m: 5:153:31, .101 fir-.313;ng I' .1»!qu :33: “w 1‘ > '.E' :Lili;..‘? 8.514 gflibfil'f ‘1 . i‘:waé53 ,g‘ L 5. s l ’- v I“) C 0 ~.. ,- r'lli _"Il-E" : . v- n. v Number of Activities 52 -- us -- an“ no ' 36 ~- 32 - 28‘ my 20' 16 " l2“ 125 M = Merchandise 0 = Operations 0—2u% 25—u9% 50—71% 75—100% Per Cent Activities Reported Crucial Figure H.——Cruciality of 78 managerial activities reported by functional area. a 'i’ ;:Prrif 126 The answer to this question was derived from personal interviews with retail executives and an analysis of the mid—manager survey. The evidence is quite clear that retail management positions are not organized in discrete levels, but are overlapping and continuous. Only one executive of the more than 40 interviewed indicated other- wise. That executive held a top-level position in a small traditional department store where management positions were easily defined and differentiated. The retail executives agreed that there was no cri— teria by which you could judge the level at which a mid— manager operated. Although the easiest level to distinguish might be considered the lowest management level (Level 1), agreement could not be reached by all firms as to whether the first level could be truly considered management. A position such as Department Manager in a chain organization is often viewed as the first level of management. However, in many cases, the salary and responsibilities of Depart— ment Managers vary greatly, with some Department Managers actually serving as an Assistant Store Manager, and others earning considerably more than individuals at higher management levels. The finding that levels of management overlap should not be interpreted to mean that a given retail organization does not have a hierarchy of management. Each firm sur— veyed had an established promotion policy and a definite -- «QSIIWI-J'S'ée‘L-b" 93.51.13 2:3. .sonablva .5”: ' ; '93-'-‘~"'-‘1"-"'-£'~" “Fl"- i+f-‘..‘A".-=3=.-ve; =.-:=.: .=.-‘I._.‘- gut-1338652: .- L'" I—Fr" 4" 2"‘_’“V em: 3” ...;.- ,.. . , __ ._ _. _ - '-:.: '-_-._-__--__=.-.,. inn-591. 'TE-J'T '3 I. .siiofjlgim .. LL. _... 111-.29”- 127 hierarchical management ladder. Quite often, lateral move— ment is a promotion in the management hierarchy. In several organizations, an individual initially promoted to store manager is given one of the firm‘s smaller stores to manage. After a period of several years, if the individual has performed satisfactorily and can assume greater responsibility, he is made manager of a larger store. This same procedure may be repeated four or five times until the individual is managing one of the firm's high—volume stores. In this sequence, even though the individual's title remained the same, each move was a promotion and a step up the management ladder: The same illustration can be used for Department Managers who, although they keep their title, move to departments with greater sales volumes and staff. The previously reported analysis of middle manager activities at different levels of management indicated that it was difficult to distinguish between levels. For purposes of this study, all retail middle managers were placed in one of four management levels. Using a con— sistent selection procedure to place personnel at four discrete levels, it becomes possible, because of the wide range of positions and responsibilities, to distinguish between the responses of the upper and lower levels. The analysis indicated that mid-managers at the lowest level (Level 1) tended to judge rank and file—type activities 31”“ £13" hemamsi-qr fillisfl‘mt iml-n'flm.’ 1:3: . ._. ., .-,. ' "-— r- ! fl. ' ... I 'I'v--. acy-I ' .. I.- _.-........ — HI. .. - . ..u. . - I I... I. .. 15511111 I! ”- - I. I}! I - -_ n". 'zs-flA 5"3 warm-119$ . 128 most crucial while, on the other hand, the middle managers at higher levels, especially the highest level (Level A), judged the management—type activities as being most crucial for them. Executives' Belief Concerning Mid—Management Education In addition to the responses of 701 middle managers, the writer interviewed retail executives in 20 multi—unit retail organizations to secure opinions concerning the educational needs of middle managers. The following para— graphs summarize these beliefs: 1. There are great opportunities in the retail trade industry available to the post-secondary graduate. The large retail firms are actively seeking these students for employment in supervisory and management positions. In addition to thenmny job entry positions, there are a wide range of post—entry positions which provide both horizontal and vertical job mobility and provide for the career development of management personnel. 2. The executives reported overwhelming preference for graduates with retail experience. The two major reasons given were: first, the graduate is considered "screened" i.e., he knows both the advantages and disad- vantages of retailing and, therefore, he is more likely to remain in retailing than the graduate with no experience; secondly, the graduate enters the profession equipped with 129 a practical as well as a theoretical understanding of retailing. Management trainee turnover among individuals who have had prior exposure to retailing was reported to be considerably less than those who have had no previous experience. Teachers can be of service to the student and retail profession by discussing not only the glamorous features of retailing but also its negative aspects such as work on weekends, long hours, willingness to relocate, customer orientation, et al. 3. The executives strongly believe that the student should not learn routine rank and file activities in the classroom, but rather on the job. They are in unanimous agreement that the cooperative program with supervised work experience is a necessary and vital part of the post— secondary mid-management curriculum. A. Since many mid—managers have too narrow a View of the retail profession in the opinion of the executives, it was agreed that the mid-manager's post—secondary educa— tional experience should be broadening. They feel that the mid—manager receives excellent training in rank and file—type activities with the firm and, therefore, he should acquire basic concepts of retailing while in school. Post—secondary institutions should not provide highly Specialized training to prospective middle managers since in all likelihood they will not remain highly specialized once they join a large retail firm. ' Rae-:13!” as. . ' -=.::.'..&';v;érm‘ ;. ' 1'3:'-'.".':..:;i-.'-; E- ;' _-"'-*- - - ..-r..-.'-‘-.-'.:= ‘4':- 130 5. The use of computers and allied electronic equip— ment is being accelerated by all large retail organizations. The growing use of computers in these organizations will increase the role of middle managers instead of diminishing their importance. The executivesbelieve thatany "mid— management" program should include at least one course in data processing so that students will gain an understanding and appreciation of the inherent capabilities of the computer. 6. In multi—unit general merchandising firms, the primary buying function is accomplished in the home or regional office. The growth of retail organizations has encouraged the creation of highly specialized merchandising positions in headquarter locations. This has meant that the number of operating positions in a firm has increased at a greater rate than merchandising positions and, there— fore, more operating personnel with administrative and managerial skills are needed. 7. Post—secondary institutions should emphasize training in attitudes since the proper attitude toward one's job, fellow employees, and desire to learn are vital to the success of middle managers. The retail executives indicated that technical competence has not been the overriding factor in the success or failure of middle managers. An entrepreneurial attitude toward "making money” is of greater importance than "A‘s" on a report card. 131 8. The biggest weakness of middle managers is their inability to manage. This deficiency results in the failure of more middle managers than any other reason. Additional glaring weaknesses are the inability to handle administra— tive detail, poor planning and organizing of time and work, an inability to delegate work, and an inability to teach and develop subordinates. 9. The most crucial skill needed by the middle mana— ger is the ability to supervise and manage. Since this skill is so critical, the executives believe that consider— able time should be devoted to insuring that post—secondary students acquire this ability. In addition to managerial ability, the two outstanding qualities needed by the mid— manager are the ability to think (analyze) and to deal with people (human relations). 10. Post—secondary educational institutions should insure that students understand and appreciate the fact that our private enterprise system is the cornerstone of American democracy. To be successful in retailing, the middle manager must, of necessity, understand the "profit" concept. CHAPTER V THE FINDINGS, PART II: TAXONOMY OF RETAIL MANAGEMENT ACTIVITIES Introduction One of the purposes of this study was to establish a taxonomy of marketing and distribution activities per— formed by retail mid—managers. According to Webster's Third New International Dictionary, a taxonomy is "the systematic distinguishing, ordering, and naming of type groups within a subject field."7u The taxonomy of retail management activities ranks activities in order of cru— ciality to success according to major competency areas and depicts similarities and differences in cruciality between types of retail organizations, levels of management, and functional area of employment. The taxonomy could be used as a basis on which more accurate decisions might be made prior to initiating or revising curriculum content in post— secondary middle management education programs. The Taxonomy of Retail Management Activities is presented in Table 16. 7uPhilip B. Gove (ed.), Webster's Third New Inter— national Dictionary (Springfield, Mass.: G. & C. 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The Managerial competency is divided into the sub—competency areas of Planning, Directing, Coordinating, Controlling, and Innovating. The activities within a competency area are ranked in order of cruciality to success according to the composite response of all 70l mid—managers. The ten columns that follow the composite response represent the four types of firms, four levels of managment, and two functional areas of employment being analyzed. In order to provide a scale to determine the similar— ity or differences in activities among firms, management levels, and job functions, a criterion had to be developed. The criterion established for this study assumed that when— ever the response to an activity by one type of firm, level of management, or functional area ranked more or less than 10 per cent crucial from the composite response of all 701 mid-managers, there was a substantial difference which should be noted. For purposes of this study, if the activity was ranked as less than 10 per cent crucial, a minus sign "—” was placed in the appropriate column. If the activity was ranked as more than 10 per cent crucial, a plus sign "+" was placed in the appropriate column. 1A0 An additional criterion was established to provide a core of mid-management activities which would receive serious consideration by curriculum planners. These activities, called "core crucial" activities, were those rated as crucial to job success by 50 per cent or more of the 701 retail mid—managers. Analysis of Taxonomy There were 128 activities which were rated as "core crucial," representing 63 per cent of the 202 activities analyzed. Exactly one~half of these "core crucial" activities were found in the Managerial competency area. The other half were spread among the Selling, Sales Promotion, Buying, Operations, and Market Research compe- tencies. Figure 5 presents a graphic representation of the 64 core non—managerial activities and the 64 core managerial activities. The major factor to be noted is the very high percentage of managerial activities found 50 per cent or more crucial to success. The response of all 701 mid- managers indicated that 85 per cent of the managerial activities listed in the questionnaire were core activi— ties, whereas only 52 per cent of the 124 non—managerial activities were judged as core activities. This finding, indicating the importance of supervisory and managerial skills to the middle manager, was corroborated in inter— views with retail executives responsible for mid—management 141 m.mmouosm sch ou A:HMHosho whoo:v HmHosho whoa so peoo pod om nmeOQme who: moHpH>Hpom mH mo N .moew .zoeomeEoo meHHHmm we» eH "wSOHHow mm nmmmu .mEeHm meHmHnemeoLoE Hmemeow eH whommeme oHnnHE mo mmboodm ooh on AzHMHosao whoozv HmHoseo whoE so nemo Log om nopeoth mmeH>HpoOZZH GZHHHOmBZOo UZHEHuo< HmHe Iowwemz mN HmHoseo meoo Ieoe :H HmHozho @900 no mHmpoe mmeH>Hpo< HmHhmmmemz wN meHmeeOHp Immsw we» eH mmeH I>Hpo< mcH :H mm :m Ipmxemz mNH HwHosho . msoo Ieoe om HmHoseo - _ -eo. onoo so . mHmpoe momHpo< meflnmxemz :NH 142 development. Most of the executives indicated that the greatest weakness of middle managers was their inability to manage. Of the 128 activities ranked as "core crucial" (crucial to the success of 50 per cent or more of the mid— managers), 50 per cent (64 activities) were managerial and, therefore, by definition were not rank and file activities. Of the remaining 50 per cent (6A Marketing activities), approximately 56 per cent or 23 activities were judged to be rank and file—type activities. Figure 6 presents a graphic comparison of the "core crucial" Marketing activities according to rank—and—file type and management—type activities. Some of the rank-and-file type ”core crucial" activities followed by their cruciality percentages are: ”Greeting Customers” (62%), ”Presenting the Firm in a Favorable Image" (90%), "Using Purchase Order and Requisi— tion Forms” (69%), "Conducting a Physical Inventory" (77%), "Checking Condition of Merchandise Received" (61%), and "Recognizing Fashion Influences and Trends" (80%). The fact that so many rank-and—file activities are "core crucial" provides evidence that management personnel are called upon to perform many routine tasks, which are Crucial to their success on the job. It becomes an educa— tional decision, however, as to how to best provide training for students in such tasks. The retail executives were in I hired:- as :II a -.Io;_-'.hm:.m 1A3 H.:HwHo:Lo whoa: me On nown3m moHuH>Hpow oezp IpeoEowwewE muemmmeaoe wohw xewHe oep oHHes :HwHoeeo wsoo _— oe o» newnew moHpH>Hpow weflumxews quploHHm new xewe mpemmoeame wmew noememV .mepH>Hpow mazpluemEmmwewE new oQNpIoHHM new xewh on meflnpooow moflpH>Hpow meflpoxewe :HwHozeo whoo: mOHpH>Hpo< =Hwfloseo m NH Hm mtoo: em m a m mm p.smz H: wproe mzo Hso< meapmxewz =Hwaoseo men go eomewQEOOII.o oesmHm ZOHBOEOKL mmq>DDD>DDD>DDD>DEI DDDDDUDDDDDDDDDD DDDDDDDDDDDDDDDD ACTIVITY (C) DONE BY ME ON THE AVERAGE (AT LEAST) DaIIy Weekly Month! Senlon- nullly Illy (D) ‘7 CRUCIAL . T0 SUCCESS INMY POSITION -< (*1 m 2 O l7. Ordering merchandise from central warehouse ..... D D D D D D D D D 18. Handling employee complaints ............. D D D D D D D D D 19. Inspecting lunch area for cleanliness ........ D D D D D D D D D 20. Selecting themes for diSplays ............ D D D D D D D D D 21. Analyzing sales figures ............... [:1 D D 1:] Cl D D 1:] El 22. Attending vendors' shows or visiting markets to buy D D D D D D D D D 23. Operating a cash register .............. D D D D D D D D D 24. Evaluating performance of subordinates ........ D D D D D D D D D 25. Assessing proposed retail legislation ........ D D D D D D D D D 26. Controlling selling expenses ............. D D D D D D D D D 27. Controlling perishable goods ............. D D D D D D D D D 28. Determining shrinkage loss .............. D D D D D D D D D 29. Planning for the future from current operations data . D D D D D D D D D 30. Recording stock count information .......... D D D D D D D D D 31 Assigning work to be done by others ......... D D D D D D D D D 32 Planning advertising programs and schedules ..... D D D D D D D D D’" 33 Forecasting sales for a future period ........ D D D D D D D D D‘ 34. Ordering from catalogs ................ D D D D D D D D DJ: 35. Supervising inventory-taking ............. D D D D D D D D DJ} 36. Processing customer returns and allowances ...... D D D D D D D D m 37. Communicating with other departments or areas D D D D D D D D D 38. Determining appropriate quantities to order ..... D D D D D D D D D . 39. preparing nag... .................. [:1 D [:1 D E] 1:] [:1 El D" 40. Working with percentages, fractions, and decimals D D D D D D D D [:l 41. Insuring adherence to store credit policies ..... D D D D D D D D [j 42. Requesting display and sign services ......... D D D D D D D D D 43. Collecting information and preparing reports ..... D D D 1w: D [‘S_'] D D D 44. Providing information to be submitted to data processing D D D D D D D D D 45. Preparing delivery tickets .............. D D D D D D D D D“ 46. Using vendors' reorder procedures .......... D D D D D D D D D 1 47. Controlling warehouse stockkeeping, functions ..... D D D D D D D D El-l 48. Reading trade publications .............. D D D D D D D D Us 49. Meeting local, state, and federal laws ........ D D D D D D D D CH 50. interviewing job applicants ............. D D D D D D D 13 Z. Discharging employees ................ Analyzing selling costs ............... Demonstrating merchandise .............. (A) $1- DONE BY ME 09THE AVERAGE CRISIaAL ACTIVITY gOoNTE 113331wa (AT LEAST) success 3}: $115211, D-Hy many msmm, selefismmnuany P5§1¥¥0N KNOW YES} NO . 51 Analyzing a retail profit and loss statement ..... El [:1 E] I] [:I E] 1:] E] El I 52 Figuring markon ................... [:1 D [:1 E] [:1 El El E] [:1 53 Instructing employees on store policies and procedures [I D I; I; lg] 1;] I; 1:] I: . 54 Buying merchandise for special promotions ...... C] D E] C] [:1 1:1 1:] D E] 55 Using a telephone .................. D [:1 [:1 El 1:] El 1:] E] [:1 56. Keeping files of invoices and purchase orders 1:] I] I; 1%] lg] lg] I; E] C] . 57 Making proper, timely decisions ........... E] E] [:1 I] [j [I D 1:] [:1 58. Controlling the finances of a department or area . . . D E] [:1 E] I] [:1 D 1:] El 59. Using advertising mats ................ [:I [:l LEI L9 [__M_| I; 1;] I] D 60. Completing customer sales transactions ........ D E] 1:] E] D E] 1:] D D 61 Keeping informed of public opinion .......... [:1 D D [:1 E] [:I E] 1:] 1:] 62. Deciding how much markdown to take .......... D [:I D [W] IQ D [7;] E] D 63. Establishing procedures to accomplish goals ..... D D D D D D D D D ‘64. Using nominal-ob" training method .......... D [:1 [:1 D [:1 [1 D D [j 65 Using ratios to determine deviation from standards . . D D D D D D 1;] D E} 66. Conducting a physical inventory ........... D D D D D D [:1 D [:1 67 Determining trade-in prices ............. D D D D D D D D D 68. Trimming show cases ................. D D D D D D D D D 69. Expediting proper merchandise handling ........ D D D D D D D D D 70. Recognizing fashion influences and trends ...... D D D D D D D D D 71. Communicating with vendors about adjustments or returns D D D D D D D D D 72. Using the retail price accounting system ....... D D E] E] E] D D D D '3 Following instructions from superiors ........ D D D [:I E] [:I E] E] 1:} '4, Supervising employees ................ D D D D D D I; [:l D 5. Handling customer complaints ............. D D D D D D D D [:l 6. Determining a sales budget for a season ....... D D E] D D E] E] D D 7_ Arranging meetings .................. D D D I; D D I; D D 8, Assessing events that may affect the firm ...... D D D D D D D D [:I 9_ Using the law of supply or demand in ordering merchandise |:l 1:] [:I E] E] E] D D D 3_ Keeping proper payroll control ............ CI [:1 LE] g] I; D 1;] El [:1 L checking merchandise returned to stock from display CI El [:1 [j E] E] D D [I D D I] E] D D D 1:] D D D s 9 e e I; D D I] D D [:1 E] D [:1 D [:1 / (B) (C) (D) geoT 310%: DONE BY {WAETOLNE'XlS-I'Il? AVERAGE CRI'i‘gIAI; ‘1‘ ACTIVITY DONE By Mg SUCCESS L: 3‘; 3%ng if pggggm KNOW ES N0 _‘ 85 Maintaining and using a unit control system ..... D I] [:1 I] D E] E] E] [:I ‘ 86. Scheduling the buying shipment dates ......... E] E} E] [:1 E] [:1 D E] [:I 87. Using data processing information to forecast sales [:1 [:1 I; i; [M] g] 1;] E] D 88. Exchanging information with equals in the organization E] Cl C! [:1 E] E] D D D 89. Training new salespeople ............... D D 1:] 13 Cl E] El 1:] D 90. Providing comfort and convenience services to customers E] El [9 f; I; I; 1;] El [:1 91. Requisitioning supplies, equipment, or fixtures E] D E] D [:1 E] D E El 92. Evaluating effectiveness of advertisements ...... D D D E] E] D D D E] 93. Dealing with vendors' salesmen ........... E] D g I; lg lg] Q B D 94. Taking part in making store policy .......... D D D I] D E] Cl C} D 95. Keeping employees' morale high ............ D D E] E] E] El 1:] 1:] E] 96. Determining strengths and weaknesses of competitors E] I] 1%] [9 [El g] [7:] E] D 97. Scheduling repairs on customer or store merchandise El [:1 E] E} D E] I] El I] 98. Buying to meet consumer demand ............ D I] [:I E] [:I I] E] D [:1 99 Evaluating employees' progress ............ [:1 1:] lg] I; I; I; I; 1:] [:1 100 Determining expenses for a season .......... E! E] I] E] E] D E] [I D 101 Establishing price lines for department ....... [:1 1:] C] [I] Cl C] 1:] 1:] D 102 Determining responsibilities of employees ...... El [:1 I; I; I; I; [At] 1:] [:1 103 Approving customer checks .............. E] E] D D E] I] D 1:] Cl 104 Working with buying office .............. E] Cl C] 1:] E] El El I] [:1 105 Operating an adding machine ............. Cl C] LEI 1%] lg] I; I; D D 106 Searching for new items and lines .......... E] E] D E] E] [:1 1:] D D 107 Handling responsibilities that cannot be delegated . . [:1 [:1 El 1:] D D D D D 108 Deciding what merchandise is to be advertised [:1 E] g] [9 EM] [El I; D D 109 Seeking ways to eliminate paperwork ......... [:1 E] [:1 [:1 D E] D D D 110 Insuring proper lighting and heating or cooling [:1 C] D E] El [:1 [:1 D D 111. Determining styles to order ............. E] 1:] I; I; I; I; I; [:1 C] 112 Training employees to be accurate in sales transactions C] E] D E! E] D D E] D 113. Interpreting store policies to customers ....... D 1:] D E] E] El 1:] D D 114. Organizing a department or store's effort ...... 1:! D g I; g] lg lg] D D 115. Selecting fixtures for merchandise displays ..... 1:! E] D 1:] D D D D D 116. Using business mathematical formulas ......... D D [:1 D D D D E] D 117. Working with a code system in marking merchandise D [:1 [D] g LEI I; I; D D 118. Analyzing operating costs .............. D [:1 D [:1 El [:1 E] D D L__r (A) 3T DONE BY ME C(19THE AVERAGE CRSEBIAL ACTIVITY £003.; 3%? (AT LEAST) suggEss 3;; 313g; i 1,3,1;th KNOW VEs] NO 119. Writing sales slips ................. I] [:l I] E] E] [:1 D [:1 E] 120. Planning as scheduling promotional & special event sales El [:1 [:1 [:1 I] 1:] 1:] E] El 121. Estimating markdowns for a month or season ...... D D I; I; I; 1; IA] D D 122. Maintaining a perpetual or basic stock inventory . . . D D D [I E] 1:] D E] E] 1123- Teaching salespeople new merchandise information . . . [:1 [:1 E] El [:1 E] 1:] 1:] Cl is. spsssupp spsspss ss spppsss ............. El El ED] t; I; I; I; [J D 1125 Developing & applying measures to prevent store shrinkageD 1:] I] D 1:] El [:1 1:] El ;126 Using purchase order and requisition forms ...... D D D D D D D D D 1127. Explaining technical as sales features of merchandise . D D D D I; [s] 1;] D D ‘128 Planning or revising department or store layout D D E El D E] D D D 129 Reporting sales by the split-ticket system ...... D D D D D D D D D 130 Counseling employees on their personal problems D D D D D D D D D 131 Watching for and preventing accident hazards D D E] D D D Cl C] D 132. Exchanging information with subordinates in the firm . D D D D D D D D D 133. Keeping records of merchandise on display ...... D D I; I; I; D D D D 134. Buying from wholesalers ............... D D D D D D D D D 135. Scheduling and controlling delivery to customers . . . D D D D D D D D D 13s. maps sppispsps ................... E] El 1;! I; 1;] 15:1 1;] El E1 '137. Calculating stock turnover .............. I] D D D D D D D D 2138. esmssssssspp pssss pp ppssss ............ 1:] E] El E] E] I] 13 D I] 3139- essssspspspp spssssssspp pips psssppsi spnppp . . . . D D [D] I; Q I; g] El El 1140. Preparing merchandise for display .......... D D D D D D D D D 141. Maintaining buying records .............. D D D D D ‘D D D D Le ssspss-ppp psppp p-ssss ............... El 1:! g I; 1:}; g] 1;] 1:! El 143 miss s pypswsppps .................. 1:1 1:1 1:] [:1 E] E! El 1:: 1:1 Q44 Assessing socio-economic trends in the community . . . D D D D D D D D D 45 Evaluating proposals and suggestions ......... D D I; D g] 1;] D D D 46 Promoting employees ................. D D D D D D D D D 4,7 Controlling operating costs ............. D D D D D D D D D pp. ssppsppp ....... E! 13 lg 19 g 1;! I; 1:] El 49. Negotiating with vendors about terms or J'lscounts . . . E] E] E] D D D D D D /30 Establishing standards for the department or area D D D D D D D D D a 31. conducting meetings ................. D D D D I; D D D D D D D D D D D D D checking and reporting on lush I‘l-yl'HLl i'. ....... (A) NET DONE BY ME 0(ISIDTHE AVERAGE ACTIVITY 1£100quE 33% (AT LEAST) 3;; 3%ng ,lii. KNOW 53. Deciding when to take markdowns ........... D D D D D D D l] D 54. Establishing basic stock count schedules & reorder plans D D D D D D D I] [I 55. Checking condition of merchandise received ...... D D D D D D D D l] 56. Approving requests that deviate from normal procedures D D D D D D D D [I 57 Following vendors' or company suggested retail prices D D D D D D D 1:] D 58. Recording non-cash transactions (e.g. C.o.D., charge) D D D D D D D D D 59. Approving advertising proofs ............. D D D D D D D D D 60. Determining timing of merchandise purchases ..... D D D D D D D D D 61 Obtaining market information from buying or home office D D D D D D D D D 62 Determining finances necessary to accomplish sales budgetD D D D D D D D D 63 Analyzing charts and graphs ............. D D D D D D D D D 64. Disciplining employees ................ D D D D D D D D D 65. Using training aids and equipment .......... D D D D D D D D D 66. Preparing information for public relations staff . . . Cl C] D E] D I] D D D 67. Insuring accuracy in paperwork ............ D D D D D D D D D 68. Insuring preventative maintenance of equip or fixtures D D D D D D D LD— 69. Confirming customer delivery dates .......... D D D D D D D D D ‘ 70. Working with home office or division on buying . . . . D D D D D D D D D 71. Trimming store windows ................ D D D D D D D D D 3 72. Insuring prompt service in customer lunch area . . . . D D D D D D D D D 73. Establishing an advertising budget .......... D D D D D D D D D 74. Seeking cooperation of other departments or areas D D D E] D D 1:] ELL—L 75. Maintaining "open to buy" records .......... D D D D D D D D D 76. Wrapping and packing merchandise ........... D D D D D D D D D 77. Presenting the firm in a favorable image ....... D D D D D D D D U 78. Determining priorities ................ D D D D D D D D D 79. Insuring that employees comply with their assignments D D D D D D D D U 80. Exchanging information with superiors in the firm D D D D D D D D D J 81. Insuring customer satisfaction after transaction . . . D D D D [:1 D D D D 82 Determining prices for individual items ....... D D D D D D D D D 83. Submitting merchandise facts & rough copy for adv'tments D D D D D D D D D BA. Receiving, checking, and marking merchandise ..... D D D D D D D D D 85. Shopping local competitors .............. D D D D D D D D D 86. Training new non-selling employees .......... D D D D ID D D D D i (B) (C) (D) 1&3)T NOT DONE BY 24E 0N 1gp) AVERAGE CRUCIAL DONE AT‘LEA T0 ACTIVITY DONE BY ME SUCCESS BY BUT! DIMY ME MUST Dally Weekly Month! 52.51:;n-Annually POSITION KNOW W 137. Adding columns of figures by hand .......... D D 188. Working with home office on sales promotion planning . E] 189. Using federal & state regulatory laws in decision-making [] 190. Recommending employees for transfer ......... E] 191. Improving dep't or area operation by use of innovations E] 192. Computing ”open to buy” ............... E] 193. Delegating responsibilities to others ........ E] 194. Comparing operations with past performance or expaxatafias E] 195. Deciding action to take based upon data processing info. [1 196. Approving customer returns and allowances ...... 197. Forecasting future trends or events ......... 198. Recording sales on unit control records ....... 200. Using professional & local shopping services ..... 201. Coordinating advertising with merchandise displays . . Daemmmummmumtlauaamcam Dasmmmammmsmmasmmasmlj DDzDDDsDDDzDDDsDUDaDD DDmDDDmDDDwDDDwDDDwDD Umflmmramarmmmrmamrmm DDDDDDDDDDDDDDDD DDDDDDDDDDDDDDDD DDDDDDDDDDDDDDD D D D 199. Reporting on employees traits & abilities to superiors D D D D 202. Analyzing computer print—outs to determine inventory Please list any activities that you believe are crucial to success in your position & which did not appear above. Check columns B, C, D, and E for each activity listed. D D :lDDDDD DUDDDUD DSDDDSD DZDDDZDD DWDDDmDD D>DDD>DD DDDDDD DDDDDD Please feel free to write about activities that you believe are crucial to Success in your position. Please complutv the additiondl research information on the back page. \\-\ \ ‘ ~ 10. ADDITIONAL RESEARCH INFORMATION Sex: __Male __Female Age: __Under 25 __25—29 __30-34 __35—44 __45-54 __55-64 __65 or over What was the highest educational level you completed? __Less than high school __Craduate of a 2-year post-high institution __High school graduate __Bachelor's degree __Less than 2 years of college __Some graduate study __At least 2 years of a 4-year college __Craduate degree When you were in high school, what type of educational program did you take? __College preparation or general academic __Business or commercial (bookkeeping, typing, office practice, etc.) __pistributive education (retailing /merchandising courses w/supervised work experience) __Other (please specify If you attended college, what type of educational program did you take? (Check one and write your major.) __Liberal Arts (Major __Business (Major __No major __pther (Major How many retailing courses have you had in an institution beyond high school? __None __l __2-3 __4-5 __6—8 __9-11 __12-15 __16—20 __21 or more How many years have you been in retailing as an employee having no supervisory or management responsibility? (Please count only fully completed years.) __None __l Year __2 Years __3 Years __4 Years __5 Years __6 or more How many years have you been in a retailing position having at least some supervisory or management responsibility? (Please count only fully completed years.) __Under 1 Year __7—10 Years __26-30 Years __l-2 Years __11-15 Years __31-35 Years __3-4 Years __16-20 Years __36-40 Years __5-6 Years __21-25 Years __41 or more What is the length of your average work week during the year? __Under 40 hours __45-48 hours __57-60 hours __40 hours __49-52 hours __fil—64 hours __91-44 hours __fi3—56 hours __65 or more With what primary function is your position directly concerned? __A store and its operation and not a specific line of goods Merchandising a line of goods, e.g. ready-to-wear, appliances, hardware, etc. _—(please Specify the line of goods __Other (please Specify Name Official title Company Address City County State THANK YOU VERY MUCH FOR YOUR VALUED PARTICIPATION IN THIS STUDY a_»_-a_~<.u chimneys "» APPENDIX C STRUCTURED RETAIL EXECUTIVE INTERVIEW 196 PURPOSE: APPENDIX C STRUCTURED RETAIL EXECUTIVE INTERVIEW 1. To obtain insight into the management hier- archy and functional areas of employment in the firm and provide a check on the management matrix used in the sampling. 2. To secure expert Opinion concerning the definition and criteria of middle manage— ment used by the firm and the retail trade industry. 3. To provide the researcher with general back- ground information about the beliefs of executives concerning personnel needs. 1. Management hierarchy and sampling la. lb. Does your firm have a company organizational chart? Secure a copy if possible. Examine the levels of management in the firm. How many persons are employed at the first level of management? What title designation is given persons at this level? How many are employed in a merchandising function? an operations function? (Continue until all levels of management have been covered.) 2. Definition and criteria of middle management 2a. 2b. 2c. 2d. 2e. Is it realistic to divide middle management into lower middle management, middle management, and upper middle management? Are middle management positions discrete or con- tinuous? (Explain) What is your reaction to the term middle manage- ment? What term or terms would you prefer to use to describe various management levels in the retail trade industry? in your firm? What term is most commonly used by your firm and/ or the retail industry to describe the level we have called middle management? 197 198 Skills and abilities needed by management personnel 3a. 3b. 3c. 3d. 3e. 3f. 38. 3h. What do you consider the biggest weakness of middle managers in your firm? (Probe for some other weaknesses.) What do you consider to be the biggest strengths of middle managers in your firm? (Probe for some other strengths.) What do you look for when you hire a person for the 1st level management positions in merchandis— ing? in operations? for 2nd level management positions? 3rd level? etc. What criteria do you use in promoting manage— ment employees? What do you expect a junior college (two—year post—secondary graduate) to know when he enters your organization? What subjects or topics do you believe are the most important for him to know? What skills and abilities are going to be needed by middle management personnel five or ten years from today? (e.g. Probe the impact of the com— puter and its effect on middle managers.) Do you find the operations function increasing in comparison with the merchandising function? (e.g. Probe the growing specialization in retailing.) '19 seenfi£-: eta-52': P. '19:}. ran-aims}?! Hb'btm . 24’5"‘ia 13d§6? ' - LIL- EW' "clisdi h. APPENDIX D MARKETING AND DISTRIBUTION ACTIVITIES GROUPED ACCORDING TO MAJOR COMPETENCY AREA 199 SELLING: (19) 12 811 127 60 119 198 158 23 103 169 90 176 113 181 196 75 APPENDIX D Retail Management Project 115 Erickson, Michigan State University East Lansing, Michigan RETAIL MANAGEMENT SURVEY [Marketing and Distribution Activities Grouped According to Major Competency Areas] The closely related activities and understandings involved in waiting on customers, acquainting them with available goods, influencing buying decisions, and providing required services. Greeting customers Selling to customers on the floor Demonstrating merchandise Explaining technical & sales features of mer- chandise Completing customer sales transactions Writing sales slips Recording sales on unit control records Recording non-cash transactions (e.g., C.O.D. charge) Operating a cash register Approving customer checks Preparing delivery tickets Confirming customer delivery dates Providing comfort and convenience services to customers Wrapping and packing merchandise Interpreting store policies to customers Insuring customer satisfaction after transaction Approving customer returns and allowances Processing customer returns and allowances Handling customer complaints 200 201 SALES PROMOTION: The closely related activities and under- (22) 20 115 1A0 N 133 81 120 188 68 171 M2 128 166 59 32 108 183 159 92 201 139 177 BUYING: (3A) MUG 98 10A 170 17 71 13M standings which include advertising, display, public relations, and coordination of media with personal selling, all of which induce customers to come to the store and which assist in the advertising and sales of goods. Selecting themes for displays Selecting fixtures for merchandise displays Preparing merchandise for display Determining merchandise display locations Keeping records of merchandise on display Checking merchandise returned to stock from display Planning & scheduling promotional & special event sales Working with home office on sales promotion planning Trimming show cases Trimming store windows Requesting display and sign services Planning or revising department or store layout Preparing information for public relations staff Using advertising mats Planning advertising programs and schedules Deciding what merchandise is to be advertised Submitting merchandise facts & rough copy for advertisements Approving advertising proofs Evaluating effectiveness of advertisements Coordinating advertising with merchandise displays Coordinating advertising with personal selling Presenting the firm in a favorable image The closely related activities and understandings in securing goods for resale, Selecting buying sources Attending vendors' shows or visiting markets to buy Buying to meet consumer demand Ordering from catalogs Working with buying office Working with home office or division on buying Ordering merchandise from central warehouse Dealing with vendors' salesmen Communicating with vendors about adjustments or returns Buying from wholesalers . ‘ I sets a ,. 1 . "“'. . :-:-=w::.::.‘a.'e 2:». :P. ignite '2‘: fin. .4" -.1;.' :‘ii is?“ .I‘ 7'5; '.i-I Fm.— -‘.----"afi.:-. NH :.'.-" '-; .-'-"- :n'é; 3.1-. . 202 Following vendors' or company suggested retail prices Determining timing of merchandise purchases Determining appropriate quantities to order Determining styles to order Negotiating with vendors about terms and dis— counts Scheduling the buying shipment dates Using purchase order and requisition forms Using vendors' reorder procedures Establishing price lines for department Determining prices for individual items Buying merchandise for special promotions Computing "open to buy" Maintaining buying records 9 Determining markups 79 189 28 Deciding when to take markdowns Deciding how much markdown to take Figuring markon Estimating markdowns for a month or season Determining trade—in prices Requesting datings from vendors or home office Providing information to be submitted to data processing Using the law of supply & demand in ordering merchandise Using federal & state regulatory laws in decision-making Determining shrinkage loss OPERATIONS: The closely related activities and under— (35) .t 35 66 122 202 standings which support the selling, sales pro— motion, buying, and market research functions, which include such items as transportation, storage, credit, customer services, protection, & reporting. Scheduling inventories Supervising inventory—taking Conducting a physical inventory Maintaining a perpetual or basic stock inventory Analyzing computer print—outs to determine inventory content Using the retail price accounting system Maintaining and using a unit control system Recording stock count information Establishing basic stock count schedules & reorder plans Working with a code system in marking merchan- dise 8 18A 56 129 155 135 A7 168 13 19 172 97 1A2 A9 105 1U3 55 125 80 91 110 A1 131 27 200 203 Organizing perimeter (reserve) stock Receiving, checking, and marking merchandise Keeping files of invoices and purchase orders Reporting sales by the split—ticket system Checking condition of merchandise received Scheduling and controlling delivery to customers Controlling warehouse stockkeeping functions Insuring preventive maintenance of equipment & fixtures Insuring store or department cleanliness Inspecting lunch area for cleanliness Insuring prompt service in customer lunch area Scheduling repairs on customer or store mer— chandise Preparing price tickets Meeting local, state and federal laws Operating an adding machine Using a typewriter Using a telephone Developing & applying measures to prevent store shrinkage Keeping proper payroll control Requisitioning supplies, equipment, or fixtures Insuring proper lighting and heating or cooling Insuring adherence to store credit policies Watching for and preventing accident hazards Controlling perishable goods Using professional and local shopping services MARKET RESEARCH: The closely related activities and under- (1’4) U.) {JUN 87 161 197 185 96 61 114A 106 70 25 standings which require investigation of the market environment in which the sale of goods takes place and match the goods to the market in which they are to be sold. Determining consumer demand Forecasting sales for a future period Using data processing information to forecast sales Obtaining market info. from buying or home office Forecasting future trends or events Shopping local competitors Determining strengths and weaknesses of competitors Keeping informed of public opinion Assessing events that may affect the firm Assessing socio—economic trends in the community Searching for new items and lines Recognizing fashion influences and trends Reading trade publication Assessing proposed retail legislation OF' 2 Aging! fafihijwflilqa an: fisvlwes: $611.?jfi~ar T" #5:: .. :2 7'1 ._'_"'-' :-- '1. :Ti.’ .‘ =::..- 3:53. gel .1 . .,_ . a . . ; -...«rna 3.. a , . .— “3'." - 204 MANAGERIAL (78) PLANNING: (15) 1 15 178 29 39 76 162 100 173 63 102 150 73 1A5 195 DIRECTING: (23) 10 50 136 164 82 1A6 190 130 7A Determining what needs to be done in a priority order, who will do it, and when and where it will be done. Reading company memorandums and reports Determining the goals of a department or area Determining priorities Planning for the future from current operations data Preparing budgets Determining a sales budget for a season Determining finances necessary to accomplish sales budget Determining expenses for a season Establishing an advertising budget Establishing procedures to accomplish goals Determining responsibilities of employees Establishing standards for the department or area Following instructions from superiors Evaluating proposals and suggestions Deciding action to take based upon data pro— cessing information Overseeing the performance of work. Motivating employees Interviewing job applicants Hiring employees Disciplining employees Discharging employees Promoting employees Recommending employees for transfer Counseling employees on their personal problems Handling employee complaints Supervising employees Delegating responsibilities to others Teaching salespeople new merchandise information Using ”on—the—job” training method Using training aids and equipment Training new salespeople Training new non—selling employees Instructing employees on store policies and procedures Making proper, timely decisions Communicating ideas to others Keeping employees' morale high Assigning work to be done by others ‘..'. .l- -:" 1 -..- I .. ' ll : _..... r- -|_ 'l‘; . I": film-ma s at the“. sa' 0:!- a _ . ‘35: 619931: 15:19. near-.1: fins .3: 1.1.}, I" ' ‘.l' 1d ..31 l " '-.- ‘r ' - .1: 5 . -. . .'.-. 1.111116: v ' '_ '. - - . - ' 11:113.“! . . _w _ 2421‘" BE - 39"" ._‘HT -'.-3' 205 99 Evaluating employees' progress 179 Insuring that employees comply with their assignments COORDINATING: Working with other units of the organiza- (11) tion and the group in assembling personnel and other resources to accomplish the planned objectives. 0\ Keeping superiors informed 180 Exchanging information with superiors in the firm 88 Exchanging information with equals in the organization 132 Exchanging information with subordinates in the firm 199 Reporting on employees' traits & abilities to superiors 114 Organizing a department or store's effort 37 Communicating with other departments or areas 151 Conducting meetings 77 Arranging meetings 17“ Seeking cooperation of other departments or areas 69 Expediting proper merchandise handling CONTROLLING: Establishing standards of performance, (25) measuring performance, and correcting any deviations. 19A Comparing operations with past performance or expectations 21 Analyzing sales figures 83 Analyzing selling costs 118 Analyzing operating costs 26 Controlling selling expenses 1A7 Controlling operating expenses 58 Controlling the finances of a department or area 163 Analyzing charts and graphs 175 Maintaining ”open to buy" records 167 Insuring accuracy in paperwork 112 Training employees to be accurate in sales transactions 137 Calculating stock turnover A3 Collecting information and preparing reports 107 Handling responsibilities that cannot be delegated 12A Dictating letters or reports 2A Evaluating performance of subordinates 152 Checking and reporting on cash registers 156 911 65 40 187 51 116 11 INNOVATING: Introducing new ideas and insuring success— 16 1118 109 191 206 Approving requests that deviate from normal procedures Taking part in making store policy Using ratios to determine deviation from standards Working with percentages, fractions, and decimals Adding columns of figures by hand Analyzing a retail profit and loss statement Using business mathematical formulas Analyzing information provided by data pro— cessing ful change. Searching for ways to make my position more effective Adopting ideas to improve performance Seeking ways to eliminate paperwork Improving department or area operation by use of innovations APPENDIX E JURY PANEL FOR RETAIL MANAGEMENT SURVEY QUESTIONNAIRE 207 Mr. Mr. Mr. Mr. Mr. Mr. Mr. APPENDIX E Retail Management Survey Questionnaire JURY PANEL Edward Ebinger, Store Manager J. W. Knapp Company, East Lansing, Michigan B. Redfield, Buyer J. W. Knapp Company, East Lansing, Michigan Robert Borst, Manager Meijer Thrifty Acres, Lansing, Michigan W. C. Schroeder, District Manager W. T. Grant Company, Lansing, Michigan Harry Kirk, Assistant to the Operations Vice President Federal Department Stores, Detroit, Michigan Virgil Stewart, Personnel Director Sears Roebuck Company, Lansing, Michigan A. B. Dusseau, Manager F. W. Woolworth Company, Lansing, Michigan C. E. Davis, Store Manager Arlan's Discount Store, Lansing, Michigan Samuel Hammond, Assistant Store Manager W. T. Grant Company, Lansing, Michigan APPENDIX E LETTER ACCOMPANYING RETAIL MANAGEMENT SURVEY QUESTIONNAIRE 209 ‘..]. APPENDIX F BLANK RETAIL COMPANY MEMORANDUM TO: (Name of Management Person) FROM: (Name of Company Executive) SUBJECT: Michigan State University Management Study Enclosed is a copy of a Retail Management Survey Form prepared by members of a Research Staff at Michigan State University in cooperation with management personnel from many retail firms. The survey is part of a national study to provide information to assist in the development of retailing education in community and junior colleges throughout the United States. Blank Retail Company is vitally interested in retailing education and'is pleased to be one of several retailing organizations thought highly enough of to be selected to participate in this research project. Since the answers provided in this study will help to shape retail education instruction in hundreds of colleges throughout the United States for years to come, we want to have this form completed by individuals of proven ability and experience. That's why you were selected from our firm. Your answers, therefore, are of great value to this study. The form is self-explanatory and will take thirty minutes to complete. When you have completed the survey form, please return it to Michigan State University in the enclosed envelope. All information will be held in strict confidence. Because of the limited nation—wide sample, a 100% response is needed. Therefore, to follow up and assure Michigan State University in this matter, please detach the form at the bottom of this page and return it to me when you have completed and mailed the survey form. Let's try to have all responses in by Your prompt response to this request will be greatly appreciated. Thank you very much for your participation in this TO: (Name of Company Executive) FROM: (Name of Management Person) I completed and mailed the Retail Management Survey form to Michigan State University on (date) (signed) 210 {nu-e191." H. ._r f; :j 1' '__- l- .11" €115:qu. _.. - a. - "' ..p .n-q 'l-I. _._| n_ 3.4 l;-'-J'E| .. APPENDIX G LETTER RETURNING INCOMPLETED QUESTIONNAIRE T0 RESPONDENTS FOR COMPLETION 211 APPENDIX G RETAIL MANAGEMENT PROJECT 115 ERICKSON MICHIGAN STATE UNIVERSITY East Lansing, Michigan TO: FROM: John H. Carmichael, Director Retail Management Project SUBJECT: Retail Management Survey Thank you very much for participating in our research project to improve retail education. The time you spent completing the questionnaire is greatly appreciated. The questionnaire is being returned so that you can place check marks in the boxes that have been circled in "red.” This information is needed to fully complete the questionnaire and include it in the study. Thanks again for your help. Sincerely, P.S. A return envelope is enclosed for your convenience. APPENDIX H MARKETING AND DISTRIBUTION ACTIVITIES RANK ORDERED FROM 1 TO 202 ACCORDING TO CRUCIALNESS TO SUCCESS ON THE JOB AS REPORTED BY 701 RETAIL MIDDLE MANAGERS 213 2114 mlOHumano mm m . w w mu MH HH wcHprIOLOpcm?cH.wchH>Lmqsm mm mm wuHHHOHpcoo om :H MH mm mm m m mmpmchhondm mo wocm5HOMLwa MCHpmsHm>m pp am wszzm m OH OH O: Hm mH mH mxm» 0» czovxpma gone so: wCHOHomQ up mm MCHHHom O p m m :w 3» OH O mHCHmHmEoo LmEOOmzo mcHHocmm ms mm .Ohooo : O OH on NF 5 mH phogmm n.0a0pm,uo unoEuLmaoO m mcHNHcmeo ms Hm mchcmHm m n MH om ms NH MH menu to acmEHLMQoO Low mOLMOCMum mCHzmHHnmpmm mm Om .anoo H N MH mm mm H o ELHO mcp . 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Kress and Company Chalifaux, Richard, Personnel Director Interstate Department Stores Fraser, John, J., Training Director Abraham and Straus Department Stores Harvey, Thomas, College Relations Coordinator C. Penney Company Katzer, Jeffrey, Management Development Interstate Department Stores McGeorge, R., Director, Management Recruitment and Placement W. T. Grant Co. Zulauf, Addison, Management Training Specialist C. Penney Company 221 :- "Illllllllllllllif