Role-played by the retail director the retail directors had the
responsibility to lead the 50-60 stores that came under their jurisdiction. The had to execute and mange functions in the domain of selection, pricing, store display They also carried out functions similar to buyers and merchandisers of other retail companies. They were directly responsible for the sales and performance of the stores under them and were hence rewarded with performance-based bonuses. Additionally, they were also in charge of the forecasting and budgeting of their stores and hence directly influenced the inventory and profitability through their decisions. Role of merchandise manager the merchandising manger served as the link between the president and the president. The retail directors reported to the merchandise manager. They ensured that the retail directors were performing as per the objectives that were laid out. They also double up for mentoring and crisis resolution for the directors under their purview. They influenced the companys performance through the performance of the directors under them. Role of the president the role of the president was more of a strategy-oriented role. The president dictated the vision or point of view that the company needed to follow. He mandated over the overarching goal setting process and defining of strategic objectives. The president hence laid a pathway or direction that was to be executed keeping in mind the best interests of the company. He or she is also tasked with course correction if required as well as auditing the performance of the business units below them. Comment on the current structure the current structure is such that it involves too many levels and employees horizontally. Also the regional based approach that is followed also resulted in different prices for the same product across regions. There was also overreliance of directors on sales managers. There was also slow growth in the given structure. Recommended structure A structure that is vertically integrated would be a better option for the company. It would be a better option
for NWRS to acquire smaller companies in the categories they wish to
expand in or opt for a licensing format. This would save them the process of creation of new departments, conducting relevant hiring as well as setting up the required infrastructure. By acquiring, they would have access to a pre-established sourcing department that has field expertise and would also save existing employees the dilemmas of an unfamiliar product. The gestation period involved will be much shorter and break even could be a lot quicker. Creating an online division would mean that the company would have to first standardize prices across the world if they were to do business. This will also curtail the flexibility of product customization across regions. They would have to inculcate a structure that has benchmarks for operations and processes.