When Mr.Ram
Bansal took over the handbag department at RK & Company New Delhi, he
established several important goals for the department. One was to increase sales without increasing
the number of salespeople or the way they were paid. Unlike some retail supervisors, Mr.Bansal
was not in a position to use commissions to reward improved performance. All his employees were paid a straight wage
without commissions and all members of the staff were union led. He also wanted to improve customer service
and employee satisfaction.
This
arrangement offered few motivational options and had a negative effect on
employee attitudes. In other
departments of the company, customers were often shown a dressing room “cop”
who asked how many garments were included and gave them the appropriately
colored tag. The original sales clerk
rarely appeared for additional customer service. Many sales people in the company were
painfully aware of the lack of personal commitment to their job and
customers. One employee commented,
“There’s a lot of talk about increasing customers.” Mr.Bansal knew he had to make some changes
in order to improve the sales production in the department.
His first step
was to give full-time employees their own counter area and their own line of
merchandise. He also increased the
responsibility of the sales staff for managing their own inventory and their
own line of merchandise. Any sales
person who needed information was encouraged to offer the buying staff
suggestions, was encouraged to talk with buyer of handbags. Previously, the sales staff had felt they
were not supposed to talk to buyers.
Every week,
Mr.Bansal brings the staff together for a meeting. At these meetings, he emphasizes the
importance of customer service and reviews any change in departmental policies
and procedures. He also encourages
employees to discuss problems and ask questions. These meetings provide Mr.Bansal with an
opportunity to publicly recognize the accomplishments of employees.
1. Discuss these
needs with reference to Maslow’s hierarchy of needs.
Psychologist Abraham Maslow first introduced his
concept of a hierarchy of needs in his 1943 paper "A Theory of Human
Motivation"1 and his subsequent book, Motivation and Personality.2 This
hierarchy suggests that people are motivated to fulfill basic needs before
moving on to other needs.
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