1. Analysis of Avenue Retail’s
Management
R.A.D Consulting
Ruby B.
Andrew P.
David C.
2. Problem:
Avenue Retail has had recurring problems with
management and employee relations.
Purpose:
To analyze possible sources of Avenue Retail’s poor
management.
4. Background
● Employees turnover due to:
○ Low wages
○ No benefits
○ Irregular schedules
○ Unreliable hours
● However, management is the biggest issue
○ Disrespectful interactions
○ Unethical behavior
○ Problematic communication
● Low employee morale and motivation
● Poor relations between management and subordinates
5. Workplace Culture - Company Values
● Jane Sanders founded Avenue Retail with the purpose to be a
retailer that “helps people save money and live better.”
○ She claims the company’s culture is how they work together
to fulfill this purpose.
● Avenue Retail’s beliefs are:
■ Service to our customers
■ Respect for the individual
■ Strive for Excellence
■ Act with Integrity
6. The Real Workplace Culture
● Avenue Retail’s beliefs may certainly tailor to the customer but
the employees don’t believe they’re treated with that same level
of respect.
● Which has lead to a 70% first year employee turnover rate.
● Suggestions to improve employee satisfaction:
1. Develop a Desired Career Path
2. Provide sufficient compensation for labor
3. Keep frustration with management down
7. Managerial Training
Sources of Management Position Selection
In the Avenue Retail Leadership Academy:
❏ Participants go through 6 weeks of training
in which they develop skills in
communication, leadership, international
scoping, and global thinking.
Issue with this training method:
❏ It’s not enough time to expect a manager
to become competent in all these
departments.
❏ Employees may not give as much respect.
8. Regulations and Policies
Managers are the ones to enforce policies therefore, they should
know the policies.
Employees, but especially managers should be trained in legal issues
regarding:
■ Harassment
■ Discrimination
■ Retaliation
■ Safety
■ Wage and hours
■ Employee privacy
9. Regulations and Policies continued...
Performance Evaluations
● Avenue Retail conducts yearly evaluations
● Potential issues: specific feedback, validity, fit with strategy
“Really nothing negative to say, My manager pointed out that I had shown "exceeds expectations" in all
categories.”- Sales Associate in Addison, IL
Promotion Policy
3 Basic Criteria
1) An above-average performance rating
2) At least one year of job tenure
3) A willingness to relocate.
Among these candidates, local supervisors
have full discretion over whom to promote.
10. Methods of Manager Job Selection
Halo Effect: You see an employee doing something right, and assume
they will be able to do another task without proof.
It is easy to train how to do things (technical), and more challenging not to
teach competencies like:
❏ Leadership
❏ Communication skills
❏ Ethics
❏ Conceptual thinking
❏ Innovating thinking
❏ Team work oriented
11. Summary of Analysis
Avenue Retail’s poor management and employee relations
may be due to:
1. Lack of employee-friendly workplace culture
2. Insufficient managerial training
3. Poor enforcement of regulations and policies
4. Ineffective methods of management job selection
