Star Field HyperMall: Partnerships and Supply Chain Management - Assignment Example

Star Field HyperMall: Partnerships and Supply Chain Management Ans1) The s were obviously not satisfied with the services and this was, as itwould be to any other general manger, a concern for the management (Bee, 1995). True, the complaints were not as elaborate and narrowed down as they should have had been yet; their presence alone was a matter of concern for the company. The example of the remark by a customer is a crystal-clear indication that not only are the customers exasperated but on the verge of reacting. Such matters are essential and crucial and need to be handled as soon as possible so as to avoid loss of consumer loyalty (Cook, 1992). The customers basically complained about the following points: Rudeness of Staff Quality of food Problems with the facilities Reliability The StarField Hyper Mall is a multinational chain with brilliant success across Europe. This was its first time in settling in the United Kingdom market and this involved endeavors that were different comparatively from other of its branches. One of such endeavor was its absolute helplessness over the fact that most of its partners did not have offices here in this country. As there was an adequate absence of services and partnerships, the company had to look for other partners from the local service industries. This involved new associations and new partnerships and the work that followed was not tested from past experiences but relied on mutual interest. Identification of problems Customers complained of the ‘Rudeness of the staff’, ‘Problems with facilities’ and ‘Reliability’. These are drastic complaints for each of the three complaints directly involves the company’s image. The rudeness in the attitude of the staff affects the customer-company relationship most effectively though. The staff is but ambassadors of the company and if they are found to default in their ethics and handling, it leaves an overall embarrassing reflection of the company’s image (Ali, 2003). Although the staff themselves mostly complained of such faults in attitude on the ‘help staff’, the implications affect the whole company. As the complaints fail to detail the rudeness, a hypothetical situation and subsequent assumptions have to be made in order to cater to this problem. The rudeness of the staff can range from the lack in listening to disability to help a customer in need. It can fall into many categories and can be a direct implication by any staff member of the company, be it the ‘help staff’, the counter staff or even the security. The customer could have had problems with the helping staff unable to provide them with timely assistance or failure to listen to them. The term rudeness can fall into different braches and can indeed include the act of prolonged waiting or refusing to listen intently and helping according to what exactly is demanded. The same categories of wait can fall in for the counter staff who could have had been busy elsewhere or there must have had been a failure to attend resulting in prolonged wait. On the other hand, the security could have had been too ‘drastic’ leading the customers to get the wrong impression of being subjected to hostility. The security personnel could have had been too rude or physical resulting in the penetration of the comfort zone of the customers. Lastly the method of questioning could have had been a problem too and the content of the questions answered could have had been personal. Problems encountered with facilities could have had been a result of everything described above, with the customers complaining of the staff by terming them as facilities. However if the customers complained of the ‘material facilities’, it was as much of a surprise for the company itself as these facilities were all new. Facilities such as the trolleys, guidance systems, parking lots, escalators and elevators all could have had accounted for such complaints. Again, a hypothetical situation would have to be placed so as to understand what gave birth to them. The parking lot could have capacity problems, guidance problems or the basic material could have been the reason resulting in an uncomfortable ride along the lot. As for the trolleys, the strength, flow and materials could have had played their part into resulting in the complaints. The guidance systems, automated and manual could have had malfunctioned resulting in loss of valuable time and energy for the customers. Lastly the escalators and elevators could have had malfunctioned, giving birth to the complaints. The automated system throughout the facility could have had encountered technical faults resulting in a more what collapse of the flow of the system. Lastly the quality of the material goods was questioned. This, as described above could have had been a result of the new partners. The quality could have had been on either the packing or the content of the goods bought. All could have had been on the account of manufacturing faults or transportation of the goods to the racks back at the facility. The working of refrigerators for the refrigerated products and the ovens for the bakery products all could have had malfunctioned resulting in loss of the freshness of the product. To sum it, as it is said in the case study, the problems in reliability, resulting in responsiveness and general lack of consideration of the staff would have had all played their part in arousal of such a predicament. Solutions The staff, as mentioned above is but an ambassador for the company, reflecting the company’s ethics and image in their actions. If the customers found them rude and left them with a bad taste and hostility, than this directly affects the company’s image. A thorough training of the staff must be held as soon as possible, guiding them to traits and ethics that are mandatory for able customer-company relationships. They must be taught and than strictly monitored with immediate and strict punishments if required. As far as the material facilities are concerned, all need to be checked for technical and mal-functioning. Any problem in either the software or the hardware needs to be checked by trusted companies and experts. These too must be kept on a strict check and a technician must be available on the spot at all times to cater to any problem that might occur. Lastly, the quality can be and must be improved by a better check of the manufacturing process down to the basic levels. Care needs to be taken to use the absolute best material so as produce goods that signify the trademark quality of the StarField HyperMall. The products need to be checked to be upto the mark and any faults must be reported instantly. Only with all the above described checks could customer satisfaction be attained and the image of the company preserved. Ans 2) StarField HyperMall clearly has problems with its suppliers. Here in the United Kingdom, the company has the unfortunate absence of its regular partners’ offices forcing it to find new partners and self-hiring. Gaining and valuing a partnership at such a macro level is indeed as difficult to handle as to establish for this involves interdependence (Mentzer, 2001)). As seen in the case study, establishment of the new contacts has not been a favorable predicament for the company for not only has it faced losses due to the ethical problems of the new staff it had to employee but also faces defaming due to the lack of quality of its products. The problems in hand do not involve the flow of supply of the companies and thus does not fall into the logistical or cost-cutting processes of supply chain management. However as obvious as it is, the Logistical Activities are seemingly at a trade-off here for not only do we see an increase in opportunity cost of the firm but also increase in its accounting costs. Before committing to the new partners, a company such as StarField HyperMall needs to account for several factors. As told, the interdependence results in subsequent losses among the partners regardless of who is at fault (Joel, 2009). The interdependence also results in defaming of the parent company even if the small partners end up making mistakes. As obvious as it is here, the StarField HyperMall is taking the risks by joining in with the partners and thus it should have had gone to lengths to ensure that these decisions do not end up unfavorably for its image or its working. The credibility of the supplier or the partner is very important. If it is a new company, a company as huge as HyperMall must not take the risk by employing it even if it comes in with a significant cut in costs. For such companies and franchises that can risk little when it comes to image of the parent company, these risks are rare and discouraged ergo a new company as a partnership is not only unreliable but also un-appreciated. HyperMall must do an intricate and detailed research on the suppliers of food and beverages in the local industry, pulling in information such as past records and current associations so as to get a better picture of the company. Reliable companies must have had been shortlisted with good records of past associations and better credits to its name. Another possibility to further enhance its capabilities and guarantee a better and more smooth working of the business environment, HyperMall could interview the past partners of the shortlisted company and accounted for any complications and problems the companies could have had faced. Also, the financial records of the company in question could have had been analysed using the data avaialible from the company itself in person or through the internet. This is essential to get a better understanding of how would the company handle a problem such as a shortage in inventory or transportation if such a need comes. All such complications must be dealt with before hand as testing them on the spot would not only result in losses but a loss in credibility. If the company had an immaculate partnership with its old and new associates and was stable financially, it could have been forwarded to the concerned authorities for consideration of the proposed partnerships. An even better image of the firms and its proceedings could have had been better harnessed with consumer ratings. These ratings can be in the form of awards or regulatory bodies or polls and questionnaires. Customer ratings are essential as a company such as HyperMall for as it intends to penetrate the market, it also needs customer loyalty to earn its place in the new industry. However, as the company has already associated itself with companies, what it can do is pinpoint the exact partners that are playing their part in the stated problems and either warn them or look in for better alternatives. If however, it is left with no choice but to replace them, the company needs not to be hasty and must go through all the above detailed choices and tests before making the final decisions and entering into any new contract. Lastly as it is obvious in the case study, the Mall has faced many problems regarding the behavior of the staff employed. Before committing to any security or staff company, the Mall needs to be well aware of the training the staff has gone through. Business involves ethics and certain mandatory responsibilities that the staff must abide by in order to have a healthy customer and business relationship. Every minute details inclusive of the body language of the employees, their ethics and morals, their speech and choice of words and lastly and indeed most importantly, their personality all account for the company’s image. Even though cost-cutting is essential in Supply-chain Management, the opportunity cost is more important (Ayers & Odegaard, 2008). Mega-giants such as the StarField HyperMall must weigh the opportunity cost against its cost-cutting and only than make decisions that affect it. In essence, all of the above stated tests are essential before the company commits to any new substitute supplier. All the complaints of the customers as well as the staff must be catered to as to have more smoother and comfortable workflow and better understanding of the complications of partnerships and business. References Bee, F. & Bee, R (1995) Customer care. Great Britian: The Guernsey Press Cook, S. (1992) Customer Care Excellence: How to Create an Effective Customer Focus. United Kingdom: Kogan Page Limited Ali, M (2003) Practical marketing and public relations for the small business. London: Kogan Page Limited Mentzer, J. T. (2001) Supply chain management. USA: Sage Publications Joel D. Wisner, J.D. Tan, K. Leong, G. K. (2009) Principles of Supply Chain Management. USA: South Western Cengage Learning. Ayers, J. B. & Odegaard, M. A.(2008) Retail supply chain management. USA: AueBach publications Read More