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16/04/2020

7 How Massmart’s manager can use delegation to accomplish the objectives in a certain situation.

The HR department needs to find a temporary accountant for the business, when the permanent business's accountant is going for a sick leave.
This Manager will need to break this issue to the relevant department in the business, not the whole business need to know if some of the work that doesn't concern them.

As this search is meant for the HR, the relevant employee in that department Will need to take a step about the quick situation that need to be attended and start the haunt with different ways and give each of the fellow colleagues a hint up on what need to be done, so that the work can be easier and more fast.

Those assigned for the work need to take into consideration of how much time they have to ensure that the work is done, they know the type of an accountant they are looking for and for how long and all the necessary details.
The manager needs to continually do a follow-up on how far the work is and see if there's no way he/she as the manager can pull triggers or not, but not to sit back and expect everything to fall in place.

Once a temporary accountant has been found, the HR department will soon notice that they have followed all the instructions and period of time given by the Manager to get the work done and then this will show how the manager effectively used delegation to get a temporary accountant for the business.

16/04/2020

6 MASSMART ORGANISING PROCESS, IN TERMS OF:

6.1. Gathering information.

Massmart managing draws up conclusive plans that aim to consummate set objectives within the organization. Information on basic resource availability that includes, but is not limited to, human, financial and physical resources is obtained through intensive and relatively conclusive research, recruitment and data collection processes.
Massmart offers programs for newly qualified graduates (Group Development Program and Store Operations Program) as well as virtual institutions that aim to build a strong talent pipeline, retain key talent and align the learning agenda with the business strategy that act as a medium to attaining viable information on the general human capital.
Financial and physical resource information is attained through qualitative research mechanisms that include annual financial analysis reports and stock intake respectively.

6.2. Identifying and analyzing activities.

Massmart main objective is the achievement of competitive advantage through continual improvement of a high-volume, low-expense business model that enables the provision of low-prices on a range of products to the customer base.
This is achieved through the use of a strategic operating and financial framework, ensuring Group-wide agreements which trickle down to enabling greater extraction of value across divisions, and ensures Group-wide consistent compliance.

6.3 Classifying activities.

Massmart enables sustainable supply and consumerism to partner with willing suppliers to identify and implement opportunities to rationalize private label product packaging primary packaging, they facilitate an environmental advocacy programme, which sees to review sustainability practices of their suppliers, and they integrate emerging farmers into their fresh produce chain as well as practice packaging rationalization and local supplier advocacy.

6.4. Allocating staff.

Massmart management assigns certain staff members to specific fields starting from the counter to the packing section. They make sure that the staffs are not overloaded with work.
There are about 74 staff members per shop. Most females are used on the counter while male workers dominate the packing and stock taking sections.

6.5. Assigning authority and responsibility.

Massmart has Store Managers that assign staff to their different working stations and distribute the Responsibilities that are aligned with the specific post that one is assigned to.
They also do the follow up on the assignments given and check that they are done properly and with dignity

6.6. Facilitating work.

The CEO and Board members of Massmart are the ones drafting plans for each year and set goals targets.
They also make sure that each Massmart store has enough employees and it's well equipped.
The Retail has a financial sector where they make sure that they are growing and there is a budget for the year.

The list of prima Innovation's group members
15/04/2020

The list of prima Innovation's group members

Some of the weaknesses of the Retailer
15/04/2020

Some of the weaknesses of the Retailer

15/04/2020

8. A SWOT analysis for Massmart.

In order to stay competitive and manage the impact of the factors in the environment, a business needs to analyse both the internal and external environment. This is done through the SWOT analysis.

8.1 Strengths.

▪Job creation: Massmart is the largest private employer with more than 2.3 million staff.
▪ 89% of their permanent employees have medical benefits.
▪Savings for customer’s s ales cost ratio of 16.3% which is the lowest and enables them to compete aggressively on price.
▪Help customers 98.9 million kw/h of energy through sale of energy efficient and alternative energy products.

8.2 Weaknesses.

▪ Massmart has a rating of 3.6 from employees, which is low based on their standards.
▪ It experienced complaints related to their treatment of employees, such as discrimination, unpaid wages, working for long hours, complaints of owners being rude and humiliating employees.
▪ There is no differentiation between stores; we see this with them selling the same products at their different stores.

8.3 Opportunities.

▪ Massmart have an opportunity of expanding their online store.
▪Opportunity to offer their Western goods to developing countries, they have with this approach as they are already operating in 14 African countries.

8.4 Threats.

▪ There is competition from global retailers such as Amazon and Target.
▪An increase in social threats from customers that do not like Massmart coming into their communities and affecting small business owners.

15/04/2020

1 Evaluation of how Massmart is:

1.1. Servicing its customers.

• They provide their customers with online services(e-commerce)
• They have a telephone service.
• They train their employees to focus on pleasing the customer.
• They offer a return policy.

1.2. Changing, improving and learning.

• Changing, they now have a leadership shuffle, plenty of digital acquisitions and a new focus on e-commerce and delivery.
• Improving, they have introduced a new delivery service to their customers.
• Learning, Massmart operates in more than 11000 locations across 27 countries, they have stopped introducing their stores overseas because they have failed in converting the country's shoppers and regulators to its low-price, American style trading.

1.3. Adding value for shareholders and customers.

• Massmart cares about their shareholders.
• By offering a better service to their customers.
• Challenging the shareholder’s thinking.
• Make the relationship personal with their customers.

1.4. Actively improving their financial performance.

• They have a professional financial team that provides the business with financial advice in order to improve its financial strategy and create more efficient procedures.
• They also draw up financial statement analysis that helps them renew and analyze the company’s decision to earn income in the future.

12/04/2020

4 Practical motivational strategies that would be beneficial for Massmart and how they can be employed throughout the organisation.
4.1. Providing development opportunities through challenging jobs, promoting opportunities and training, both on and off the job.
• Massmart has opened many stores and companies to create jobs and give back to many communities.
• Massmart has also recorded total sales of R30.4 billon 5.4% of which is foreign stores.
• Increasing also the store networks and looking for more partners.
• Massmart holding also provides accessibility to locals and internationals which has made it one of the top holding in the world.
4.2. Providing two-way communication channels so that management and employees can communicate with each other to share ideas and to discuss concerns.
• Massmart has made call centers and complaints commission available to discuss what happens in a day to day store.
• Management that Massmart has appointed considers staff meetings with employees and speaks about the improvements of the store and how to handle competition.
• Massmart and employees talk about stock arrivals and break down important duties amongst one another
• Leadership, motivation and control are the principles used by Massmart group to prosper in their business.
• Having strong and focused divisions, each leader in its target market and business type.
• Strict adherence to the policy and acquisitive growth criteria.
4.3. Hiring and developing the right kind of managers who are competent and show the right kinds of organizational values and management practices.
• Massmart has hired the top notch managers who have shown best leadership skills to lead with good behavior and success.
• Massmart has top 85 executives and hold 138 degrees and more than 15 years experience in retailing or wholesales.
• Massmart shows that it has kept its 50% offer that managers should be women and black which has made equality and success.
4.4. Having and communicating a clear vision and set of values for the organization.
• Massmart has kept a clear vision that customers and suppliers are always their number are priority.
• It also holds a mission to seek continual improvement of performance and have great leaders with good ethical conducts.
• Massmart has values in diversity, dignity and respect, integrity and trust, stewardship and accountability and entrepreneurship

12/04/2020

HOW MASSMART'S OPERATIONS MANAGEMENT CONTRIBUTE TO THE SOCIETY IN TERMS OF:
3.1. Better quality products and services:
• Investing in the owned brands so that they can continue bringing relevant products at the best quality to their customers.
• Continued maturation of fulfillment capabilities through building a multichannel network to service a wide range of customers and products needs.
• They invest in technology to better serve their customers
• They respond to the customer’s needs and wants by offering the correct assortment of price points.
• They continue to improve their customers’ value proposition.
3.2. Higher standards of living.
Massdiscounters.
This is a way Massmart distributes discounts to RETAILS and it operates through two retail formats:
• GAME, a discount multi category format retailer of general merchandise, fresh food, groceries and liquor
• DRONWIRED, a retailer that operates and sells the complete technological solution in multimedia and Hi-tech.
The following show how Massmart has to deal with higher standard of living with implying and delivering the following strategies:
• Improved forecasting and replenishment capabilities.
• Better use of customer and market data to optimize promotional and pricing activity.
• Improved the employment equity profile.
• Improved mature store’s discount.
Massmart will continue to work on providing access to their proposition to all their customers and on building relevant and cost effective fulfillment capability to support this.
3.3. Improved working conditions.
Massmart as a huge has a whole lot of numbers of employees in their organization and it always makes sure to improve and better their employees working conditions.
The following strategies are used by Massmart to better the working conditions:
• Improvement in working capital performance, in part through the continued adoption of automated algorithm-based on replenishment method.
• Improvement of the employment equity profile of all employees in the business.
• Empower of employees with better data simpler process to be more effective.
• Focus on the optimization initiatives, including space planning and workforce scheduling
Massmart wants to re-open two stores in Zambia and Mozambique in order to create more employment.
3.4. A concern for the environment.
Massmart is a big organization that has a huge impact in the retail industry. This is a summary that shows how to deal with the following as a big retail organization.
How does the Massmart contribute to the society in terms of the concern for the environment?
• Water conservation, Massmart has continued to prioritize water conservation across their standalone facilities, expanding rainwater and condensate harvesting initiatives to a total of 85 builders and Makro warehouse to identify opportunities to minimize our water usage we have rolled out independent water meters to a further 27 sites and have completed you desktop risk assessment of our stores using the Water Risk Filter (WRF).
• Operational waste recycling, Massmart’s objective remains to reduce waste to landfill by prioritizing the separation and recycling of papers, plastics and the board at stores and distribution facilities. Massmart has made considerable effort to improve recycling rates by circulating online waste assessment.
• Environmental supplier advocacy, for the last 3 years, Massmart has facilitated an environmental supplier advocacy program which includes environmental supplier profiling, screening of high risk products (such as timber and seafood) and environmental assessment.

THE THREE PROCESS CATEGORIES FOUND WITHIN MASSMART
10/04/2020

THE THREE PROCESS CATEGORIES FOUND WITHIN MASSMART

THE MOST SUITABLE LEADERSHIP STYLE BASED ON THE BEHAVIOR, WOULD BE "THE DEMOCRATIC LEADER " FOR MASSMART The Democratic ...
08/04/2020

THE MOST SUITABLE LEADERSHIP STYLE BASED ON THE BEHAVIOR, WOULD BE "THE DEMOCRATIC LEADER " FOR MASSMART

The Democratic leadership is when the employees also have a say in the decision making. The leader makes the decision based on the input of each team member. Although he he makes the final call, each employee has an equal say on the project's direction. This leadership style is one of the most effective leadership style for Massmart because it allows lower-level employees to exercise authority they will need to use wisely in future positions they might hold. It also resembles how decisions can be made in company board meetings.

For example, in Massmart board meeting, a Democratic leader might give the team a few decision-related options. They could then open a discussion about each option. After a discussion, the leader might take the board's thoughts and feedback into consideration, or they might open this decision up to a vote.
Team members feel their voice is heard and their contributions matter; the main benefit to this style of leadership is that team members tend to have high job satisfaction because their opinions are valued and they tend to work hard and stay put. Although the decision making process in this scenario can be slower, the results are often great.
On the downside, on those projects where speed and efficiency is critical, as it is during a crisis, time can sometimes be wasted on making sure all team members voices are heard.

07/04/2020

ANALYSIS OF MASSMART CURRENT SITUATION

Massmart has hit times, reporting a bad financial year 2019.
Job cuts, stores closures, reduced capex and clamping down on expenses are all part of widespread cost-cutting measures in the retail group's ambitious turnaround plan, led by the new CEO and Walmart heavyweight, Mitch Slape who took over from Guy Hayward just six months ago, had told delegates earlier at the presentation how disappointed he was at the group's full-year performance.

The group reported an overall loss of R1.3 billion for the year to December 29, 2019, its headline loss came to R1.1 billion. This included the impact of new International Financial Reporting Standards (IFRS) 16 accounting rules. Due to the record loss, the group did not declare a dividend for the year.

Apart of its turnaround plan, the group is looking at closing 34 DionWired and former Masscash division stores, which could affect some 1440 jobs. A section 189 process is currently underway and Slape says the group is having constructive engagement with Unions.
Slape did not give an exact timeframe on when he anticipated Massmart would likely return to profitability. However, he did not say the turnaround " journey could take up to three years "

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