The mission of classical
organizations like JC Penny’s chain of outlets (stores) is to secure its
position and credibility in the market that the said Organization has been
enjoying for long. The pioneer of JC Penny’s Company had developed the chain of
stores with his extra hard-work and persistent struggle. He was the man of
great courage, valor, and determination. He had built up the Whole Empire of
his Giant alike business with his passion and craze to take his business higher
and higher in the market. The present stake-holders and Heads of JC Penny’s
company are also eager enough to keep the pace of their age-old chain of
business sustained and developing by a constant input approach to their chain
of outlets.
The present Heads, C.E.Os
do believe in constant variations in terms of design, style, and presentation
of their items on the shelves of their stores. Once, these stores were a part
of the tradition of most of the Americans. The times they liked to shop their
routine groceries, clothes, and furniture. In the modern ages, there are multiple
shopping centers available all through the U.S which provides multiple
opportunities to its customers to rush and come, shop and enjoy the multiple
activities available in those centers by all the time (24/7). The real mission
of all the key players of JC Penny’s is to showcase its all products in a new
and innovative manner to attract its regular customers and let them not to
leave them and go some other outlets in further.
Taking great care of its
customers is the prime mission and objective of JC Penny’s company. The company
does not compromise over the demands and requirements of its valuable customers
as the company’s whole standing in the market depends upon its credibility and
goodwill.
Vision
of strategic audit of
jcpenney
The vision of JC Penny’s company is
also very crystal clear as nothing is hiding in their minds as the major
key-players of the said company are permanently making various strategies to
sustain and enhance the turnout of its customers.
Globally known and
recognized Research Analysis Devices are utilized and chosen to refine the
novel ideas, present them in a new and qualitative manner. The ambitious and
aggressive attitude will surely bring the expected customers to our premises of
a business (such as the outlet's stores of us).
The administration of the
company believes in designing creativity, creativity is the factor that keeps
the customers motivated, energized, high-spirited with the running of time as
well. In order to keep the customer more captivated and engaged with our
outlets, the heads of the company are ready to entertain and refresh them to
its full. They are an enthusiast to plan cultural activities and festivities
for their valuable and regular customers.
Their grandparents were
once the customers of the same store and now they have started buying their
products in a very traditional manner. These customers need to be taken care of
on a special basis. They should feel the age-long relations between them and
their company which would ensure their permanency in the customer’s friendly
zone. A Customer-Friendly Zone can only be created the time he is being cared
to the level he feels extra comfortable with his company’s management. To
improve and sustain the quality of its products, JC Penny’s management has
decided to invite its customers to write down to their company all the
suggestions and complaints about what they have in their respective minds.
The Heads of the said company have
decided to prioritize the suggestions and complaints of the customers to be addressed
and fulfilled fully in accordance with the will and pleasure of its customers.
This would invoke a new spirit and energy in its customers to re-trust their
company and start feeling their age-long bonding with their company.
Core-Values
of strategic audit of
jcpenney
There can be many values and ethics of
some company which has been playing its vital role
For a long time. Such companies are
normally following certain rules and ethical codes, values for themselves.
Core-Values of every single company is lying in its principles and norms. They
should never ever compromise over the quality of the products being served to
its valuable customers. The quality must not be provided at times but should be
assured on a permanent basis to be developed and produced in a proper
standardized manner with a sustainable approach towards the durability of that
particular product so far.
Quality assurance is a mechanism that
is claimed and repeated so many times orally. But the time it comes to
practical assurance of quality in a certain product. It requires a lot of care
and a sense of responsibility for it.
The sense of responsibility does
require a lot of maturity in its handlers. The handlers/key players, Executives
of the company need to be persistent in feeling their respective sense of
responsibility. Developing a sense of responsibility makes you more dutiful,
purposeful, target-oriented and challenging by nature. It also makes you
explore new and new horizons of your care and maturity.
An ignorant sort of person can never
feel a sense of responsibility. And would never be able to serve and lead the
number of persons /masses/people in his life. Such type of person is never
recommended to serve as Executives/Heads and C.E.O s in any company. Because
dealing with customers requires extra care and an unusual sense of taking
liability and responsibility.
The customer must have felt that
nobody is more important and significant than him on the very premises of its
commercial activities at certain outlets. In most of the marketing and public
domain companies, customer-caring behavior is taught, trained and delivered on the
prioritized level. As without customers and the support of the customer, the
toll number of customers can never be increased nor improved.
It is only the customer
itself who makes and damages the repute and credibility of its service provider
by his conduct. If the primary or conventional customer is all satisfied by its
company then there is the biggest chance of growth in the toll number of
customers by the end of the day. So the real success of a key player’s values
lies in its moral strength.
Moral values and ethical
codes of him do let him achieve the hearts of its customers which is the
ultimate goal of every single team leader indeed. The key player always needs
to impress and morally attract his customers by knowing more and more of its
desires. Providing the customer with great care and attention would change the
customer’s behavior altogether.
In such conditions, the
customer would never ever be in a position to part or leave its primary
company. Every customer requires peace of mind, satisfaction, respect and
honor, protocol, entertainment by its company.
There are certain
companies around the globe that provide extra promotional packages for
long-term customers. The promotions are made to rejoice and entertain the
conventional customers so that they may proudly quote themselves as old users
of a certain product. The oldest the users become, the more they try to promote
their old product/ company in all means.
Operating
Guidelines of strategic audit of jcpenney
There have been so many tools to move
and shake the credibility of one’s products/services so far. Traditionally or
modernly, the tools to grow your business do vary from person to person. There is
no certain setup rules for the enhancement and growth of your business/market. It
is the very choice of the leaders/heads of certain products/services to choose
any of the tools in order to make his business grow. The rules are never
followed in a very strict manner in practical business and commercial affairs.
The only factor which is followed in the operational network of promoting one’s
product/services is to serve the customer and please the customer.
The prior guideline being
operated by any team leader is to facilitate and please the customer. The
customer must feel a sense of pride for himself that he is the proud user or
utilizer of certain products/services. This pride in the product would be
invoked in him through the leadership and guiding quality of the product’s
manager/introducer. This is the real leader who makes its customers feel great
and different about their products/services.
It is also the prior
responsibility of Team Leader/Head to please his customers to its full. The
leader should try to make them feel out of this world. As they should think
that they are the best buddies who are using such extra-super products/services
so far. They should try to relate themselves more and more with their
products/services. They must be felt that both customers and their relative
products are nothing without each other. This is also the very responsibility
of a leader /head to make his customers feel good and easy with their
products/services and boring /incomplete without using these products/services.
These are called the real operating guidelines issued and commanded by the Real
Heads/Executives of JC Penny’s as well. They are all trying to make their
services and products better to adequate the desires/requirements and needs of
its valuable and regular customers in all means.
Core
Competencies of strategic audit of jcpenney
Although there are so many
competencies seen and witnessed in the core management team of JC Pennies’ so
far. Yet the best of its capacities and potentialities is power and courage to make
the right decisions at the right times. Decision –making at its real-time,
generally on time makes it the most beautiful and strong point of any
organization’s leading team. This is the
very quality of decision making which makes you different, decisive, and
well-administered, enlightened and foresighted in your approach.
The real Administrator and
Team Player believe firstly in his own self. Then he takes the decisions on
time by all the time. Suppose there is a need to launch a new design for the
shelves which has already been created by the Graphic Designer so far. Then it
is the very responsibility of a Team player to launch it in its Stores before
the time the real opportunity gets out of the hands of Executives even.
For instance, In the
Modern World, social media has emerged as an impressive tool to make our
services/products famous all through the globe within no waste of time. At this
step, even the role of the Leader comes first as he is the one who will make the
decision to float multiple news/events and festivities timely on social media
to keep his customers charged/energizes/ motivated and in high spirits.
Nothing can be better than the self
capacities and competencies of Core-Team Players in any company. The same
leading role is being well played by the team leaders of JC Penny’s as well
which is worth appreciating in all means.
Goals
of strategic audit of
jcpenney
Despite the alarming facts about our
present Company, JC Penny’s decline in the Store’s industry, one must not be
hopeless of its brightening future in the coming days. Its whole management/
leading team still believes in restoring it’s gone by glories with all
enthusiasm. The Heads of JC Penny’s are of the opinion that this is all just a
transitional period of jerks and recession. Otherwise, our chain of outlets is
meant to make progress again in its market. JC Penny’s has been and will be a
Success Story once again in the traditional and conventional market of U.S.A.
Its executives will keep no stone
unturned to make it progress once again. In the days of crises even, our Morale
is no less even and we are looking forward to our goals with full
determination.
Current
Problems that conflict with the Organization’s Core Values
No doubt that we had certain values
which were our strengths once but today these stronger points are playing as
our weaknesses in getting less attention from modern-day customers. For
instance, we used to carry our own designs and styles in presenting our
products all the time. These styles and designs permanency and difference was
the soul of our attraction once. But in modern times, you need to change your
design and style in almost every single month to avoid monotony and boredom
among the customers so far.
In terms of mission,
JCPenney has always believed in one firm statement which is; “To be the leading
provider of style and value to middle America”. This undertaking is based on a
significant matter which is solely the desire to take the company’s sales and
profits at the sky-high limit. The spirit of this organization has always been
to put the customer first and provide a service that one desires for itself.
Hence, it describes the mission of the company which has only changed with time
in a quite positive manner. In the previous mission statements given by the
company did not pay heed upon capitalizing the important words like “We”
“Customer” “Associates”, but these have been capitalized now. Thus, explaining
the complete belief system of JCPenney into one line, which is only to provide the
best.
Although, the motive
behind the JCPenney’s mission statement is to deliver the excellent quality of
product and service to its customers but still it needs to put a due effort in
stabilizing its objectives and strengths. Due to these weaknesses, long-term
survival is at the stake and steps must be taken in order to address and combat
these issues. For which aspects like value chain and return profitability must
be talked about more.
Current Organizational Level
Strategies
In order to understand the
current organizational level strategies, it is first important to understand
the internal and customer environment of the company. Where the Internal environment keenly focuses on
the utilization of exclusive in-house and selective distribution as well. An
in-house distribution, all the international and private labels are being
entertained whereas in the selective distribution all the national labels are
housed. Thus, for the stocking, distribution, and utilization of the products,
a product identification system is used called Radio Frequency Identification
(RFI) system. JCP employs an efficient distribution system that has been
combined by both strategy and practice to formulate an information system. This
system is implied as one of the main striking strengths of the JCP Company.
Along with that, the company has also worked on its effective internal systems.
But the most significant relationship that this company has formed is its
excellent customer relationships. It has introduced several customer rewards that
can be availed on doing shopping through credit card systems. A number of
customers have availed this offer and they are quite satisfied with it. This
program allows the staff of the company to carry out research on consumer
behavior and can verify their choices and likable environment.
However, for the Customer environment, the company has
launched a full-fledged Business Improvement Plan. The consumption habits of
each and every customer are recorded on the basis of its age, gender and
relationship status. As the consumer is basically, the “buyer” for the whole
family system thus their values and lifestyle depict the picture of their
family orientation and the kinds of activities they are involved in.
Marketing Strategy of strategic audit of jcpenne
There are four major areas
of focus for the JCP company which are primarily based on the; associate focus,
profit growth, sales growth, and customer relationship. All of these priorities
are directly related to the mission statement of the company and relies on the
CUSTOMER FIRST survey. A link to this survey is mentioned at the bottom of the
receipt for the consumers to access it easily and give a rating to their
overall experience in the store after shopping. This score is quite significant
for the store and they are much eager to raise it each year. Recently, the
company has been able to raise it from 60% to 65%.
Another marketing aspect,
noteworthy for this organization is to achieve the highest rating in the aspect
of courtesy and respect. This area is directly correlated to the consumer’s
associate behavior for which a Greet score has been launched. It checks whether
the consumer was greeted upon the time of his arrival and departure or not. In
this scenario, the score of 68% has been achieved up so far and another Thank
you score has also been introduced. Up till now, this score has been raised
around 95%, by saying Thank you to the customer after they check out. Besides
these other objectives are also kept in focus to study consumer behavior and
satisfaction. The ease to find out the merchandise in the aisles has also been
rated in the store which has achieved 45% only up till now. Moreover, the
pricing, signage, employee availability and speed of checkouts all have been
rated and recorded where all of these must-have almost 55% score.
The four major aspects of
CUSTOMER FIRST JCPenney have been working to lower the turnover rate to 60%
whereas the consumer satisfaction level to 100%. It also provides incentives
and certifications to the employees involved in the training programs. The
concern for the organization is to retain the new hires as much as possible and
making sure that employees are well equipped with the knowledge of policies.
Products of strategic audit of jcpenney
The power brands which the JCPenney is
recently focusing upon are as follows;
St. John’s Bay
A.N.A
Bisou by Michele Bohbot
Stafford o MNG by Mango
Liz Claiborne
Allen B. by Allen Schwartz
Decree
Arizona
Linden Street
Cindy Crawford
Another mainstay of the
company is to work on the strategy of offering good/better/best options to its
customers. At first, the company was much more occupied on strengthening its
promotional strategies but now the major concern is the in-house distribution
and merchandise value. The company has started marketing endeavors with major
promotional magazines like People’s Stylewatch.
In a World where changing
priorities has been a matter of concern for major organizations, the JCP has
stayed on its original goal. Thus, advertising with the comedian Ellen
DeGeneres’ a mature and intelligent face was not its basic priority but the sexual
orientation of the celebrity. This surely helped the company’s name to grab
some eyeballs and the sales growth increased heavily.
Alignment with Goals Structure
The goals of the JCP
Company have been changing dramatically with time as these reflect the image of
the organization according to the prevailing times. The goal structure has been
shifted from not only the promotional value but more inclined towards the
customer target market, store environment as well as the image of the company.
The aim of the JCP is to
be first and foremost for its consumers and to provide customer-oriented retail
therapy to its buyers. A number of objectives have been set up the company to
achieve these goals;
A keen focus on consumer
loyalty and satisfaction
To raise the OSAT score by
70% at the end of each fiscal year
To make stores and
merchandise more accessible to its customers
In order to achieve these
goals, it is quite important for the company to listen to the concerns of the
buyers. One of the majors complains area that has been identified is that the company
has only focused on its promotional devices up till now which needs to be
changed. Also, the quality of products and services has not been up to mark in
recent times and the pricing system has been deranged.
Comparison with Competition
of strategic audit of jcpenney
The main competitors to
the JCP in this respect have been Macy’s and Kohl where Macy’s has topped the
race. In every way, Macy’s has proved to be efficient like pricing, profits and
sales growth. Whereas, the JCP and Kohl have performed equally in all regards
leading from the promotions, pricing, characteristics and the products
available at the stores.
A strength for JCP in this
scenario is the low pricing range for its products which are quite high in both
Macy’s and Kohl. This has helped JCP to win a huge chunk of the buyers and
clients as compared to the other two major store companies.
SWOT and GAP Analysis
of strategic audit of jcpenney
Strengths of JCPenney of strategic audit of
jcpenney
As JCPenney is one of the
leading store organizations, it has quite major strengths that make it
successful in the market world. These qualities not only help the organization
to maintain its market share in the available markets but also help penetrate
the new horizons.
Strong
Dealership- The Company has managed to become a part of the vast successful
markets and cultures to promote the company’s products
also invests in the
training of new hires and employees (Kalpande, 2010).
Skilled Workforce- The
Company is investing a huge share of its profits in the training and learning
capacity of its workforce so that they are well aware of its policies.
Reliable Suppliers- The
Company has an excellent supply of raw materials which helps to overcome any
issue available in the supply chain area.
High Customer
Satisfaction- The company policies have always directed its employees to give
their best in terms of serving the buyers.
Strong Distribution
Network- The Company has managed to build a reliable distribution network for
itself and so does the potential market.
Weaknesses of JCPenney
There are numerous areas
where the company needs to focus upon. These are;
The attrition rate in
Employees- The Company is suffering from a high attrition rate in its workforce
which has led to the slow development in its employees.
Bad Quality Products-
Although the company receives a good deal of raw materials still the products
which the company has to offer are not very commendable and a lot of complaints
are usually received from the consumer end.
Limited Product Range-
There are huge gaps in the range and variety of products available at the
stores. Hence, the customers do not get the choice to choose from a range of products
which results in the failure of stores in market share.
Opportunities for JCPenney
Taxation Policy- If a new
taxation policy is introduced, it can help a lot for the company to raise its
profitability.
Decrease cost of shipping-
The Company can work upon finding new means of transportation for its goods and
products so that it can save its major chunk of time and money not only for
itself but consumers too.
Threats facing by JCPenney
Shortage of Workforce-
There is a dire need of the women workforce in the global market hence posing
threats for the JCPenney too.
Intense Competition- The
number of store markets has been dramatically increased thus JCP needs to
introduce more schemes to prove itself equal to the other market places.
Limitations for JCPenney
The SWOT Analysis does
provide a fair share of the limitations present in the study. For JCPenney
there are few given;
SWOT Analysis does not
provide a full view of the competitive advantage or how to achieve it.
It is only a static
assessment and does not involve the status quo in the changing of its
perspectives.
It may give an over-emphasized
view on certain aspects which may not be that critical.
Suggest and Evaluate Strategies
In order to make the company
strategically stable, there are numerous factors that need to be focused upon.
The new strategies introduced will help the company to walk on the steps of
success by improving the financial expectations of the organization.
Financial Tactics- These
include chores of daily work such as operation, marketing framework, and
manufacturing with the help of efficient labor.
Task Ownership and Action
Items- The action items must be recognized and identified in the case task
ownership and strategic planning. Each employee must be trained according to
the situations prevailing.
Deadlines and Milestones-
Effective milestones and deadlines must be created for the employees and the workforce.
These will help to get the results at the given time and schedules.
Resource Allocation- It
must be the foremost part of the strategic planning instead of focusing on the
cost’s reductions. This will help the company to reach sky-high success as it
will control the overall picture of the market scenario.
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jcpenney
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