Organizational Development application concepts to introduce change at Old Navy - Term Paper Example

Download file to see previous pages The company tends to offer its customers with denim, sunglasses, blouses, shirts, handbags and other fashion products at cheaper prices than its competitors in its physical stores and through its websites. Customers have been observed to prefer its fashionable style and the prices at which the company offers its goods and services to a large extent (WhaleShark Media, 2011). Issues Likely to be Faced by Old Navy Retailer Stores There might be losses to the retailers in the form of external threats such as theft, damage or loss of merchandise along with transaction fraud which is considered to hamper the Old Navy Retailer Stores at large. It has been noted by Aberdeen research reports that approximately 60% of the retailers experienced a write-off of nearly 1.75% of the total inventory (Aberdeen Group, “Retail Loss prevention System”). ...
For instance, it might consist of part time or temporary employees’ related issues, including employees’ dissatisfaction with the working conditions resulting to high turnovers of the employees which can hinder the successful operation of the organization in its long-run. These problems in conjunction to poor performance may prove to be quite problematic for the retailers since such employees tend to be in direct contact with the customers. This may further impact on the brand image of the company influencing the aspect of customer loyalty as well (Purpura, “Security and Loss Prevention: An Introduction”). With the rising trend of use of the information technology, the maintenance cost for the companies is surmounting day by day. Maintenance cost is considered to be an important factor in the profitability of the organization (Haroun & Duffuaa, “Maintenance organization”). Rewards systems are considered to be another issue for the retail organizations. The main objective of the reward system is to attract potential employees and retain the productive ones, to draw out good performance and to maintain commitment to the organization (Koala Consulting and training, “Reward Systems”). Each organization must have reward systems as without such systems, companies will not be capable of having talented staffs in the organization. At times it has been noted that an incentive scheme which is capable of enhancing the sales of the organization and motivating the staffs may as well have a negative impact upon the teamwork within the organization. Therefore, this can be considered as an issue for the retail organization. With the increasing effect of globalization, more and more companies are coming up with their product offerings which are giving rise to ...Download file to see next pagesRead More