1. Some of the problem described in the case include: discrepancies in time cards, Managers accusing employees of various acts not in parallel with the company standards. High turnover rate. High pressure from management.
These problems are serious in the sense that these are very vital factors on how a business operates. Along with the consumer being happy your employees must also be happy to create an atmosphere in which people want to shop and want to buy. So if your employees are being pressured negatively then the incentive is not positive.
2. Having your sales per hour ratio can be affected by many outside externalities and for their weekly hours to be based upon these guide lines makes it seem unfair. On top of trying to meet a SPH and fear of getting hours cut, their duties included: merchandise stocking along with other non sales related activities. This brought their ratio down unfairly. The pressure is on the hours was never said by management but rather enforced through consequences.
3. The distinction between selling and non selling time is very unclear. The effect was supposed to reflect nothing against the employee if they were not doing a sales related activity. Bu not being able to decipher the difference then the pressures put on the employee were increased. Reading over the memo I am still unclear as to how to tell the difference between the two times.
4. A less aggressive approach may be a good thing. As well as a different way of calculating sales and hourly rate. A clear understanding on how things are calculated. A management style no creating hostility. [continues]
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