Sourcing Journal – Out with the old, in with the new. Easy to say. Difficult to accomplish. That’s what retailers are finding as they attempt to adapt legacy mindsets, processes, operations and systems for today’s demanding consumers and omnichannel environment.
A recent report from retail consulting firm BRP, which incorporates responses from 500 North American retailers, takes a look how well these firms are recognizing the need for substantive changes, and to what degree they’ve been able to adopt them thus far.
Of the retailers that have recognized a need for change, some have focused on their org charts, specifically moving employees around to create an organization that better reflects one business rather than several silos focused on a single channel.
Of those surveyed, 50 percent of retailers say they’ve undergone a similar reorg but the changes still need improvement. Another 25 percent anticipate changes along these lines over the next two years and another 11 percent plan to undertake the challenge in the next three to 5 years. Only 8 percent say their company’s reorganization is already working well.
As these stores integrate their teams, BRP said planners are no longer solely focused on their sectors and more concerned with the health of the entire organization. Another benefit is that lessons learned can now benefit the whole retail group rather than a single sector.
Read Full Article: Silos Within Retail Firms are So 2016. This Year it’s Integrate or Die