I would like to thank you and your staff for the work performed by your organization, and in particular by your Senior Consultant, Jon Tyner. When Jon first arrived I was contemplating closing my five store medical uniform retail business. The brick and mortar players in this market were undergoing dramatic changes, resulting in tremendous pressure on profitability. Jon immediately jumped right in and helped us to develop and implement various cost reduction and profit enhancing initiatives. As a result, while still in a very competitive and pressure packed market, we have a solid foundation on which to continue operations and a clear direction to maintain and improve profitability.
Our organization has undergone a management learning process driven by the application of your closed loop management system. This has resulted in the implementation of many changes, including not only how we manage our company overall, but in how we manage and control our multi-store operations and productivity each day. These include:
- A robust cash management system, especially the multi-week cash planning tool.
- Rationalization of store locations, rents, key vendors and product lines. All resulting in reduced costs and introduction of up-to-date products.
- A simple budgeting, or predetermined profit planning, system tied into an employee pay-for-performance program.
- Clear and concise job descriptions for our store managers. This has led to a stronger management team and has further assisted our team in developing their roles and performance of their duties. These improvements addressed both labor management and labor cost, as well as improved productivity throughout.
- The design and implementation of an improved daily measurement and reporting process of store activity. This has enabled us to establish tighter control over all stores and review performance against their budgets on a weekly basis. This flash report, the executive level flash report, along with our weekly managers’ meeting has enabled me and our Store Managers to know where we stand and to be held accountable for daily performance “based on the numbers”. Each manager has instant access to their report and is expected to meet or exceed targeted performance standards.
Overall, the enhancements in our communication, management and store processes will provide productivity and profit improvements totaling approximately $518,000 over 3 years.