Preview

Major Issues and Problems at Nordstrom

Satisfactory Essays
Open Document
Open Document
261 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Major Issues and Problems at Nordstrom
Major Issues and Problems at Nordstrom
Nordstrom, though successful in pleasing their customers and provided superior customer service when compared to other industry players, it appeared that the company sacrificed the employees' satisfaction with their work. One of the major problems cited in the study was the failure of management to professionalised the relationship between management and employees. By advocating an atmosphere of "family" camaraderie within the organization, the company went beyond the limits and scope of work the employees. They were expected to work beyond the prescribed working hours without pay in order to comply with company requirements. Performance in retail outlets such Nordstrom was limited to the amount of sales the employee could generate and ignored other intrinsic qualities that the employee might possess in order to perform well at work. By concentrating solely on numbers, the company developed a company culture where quantity mattered more than quality. The lack of transparent performance measures also spelled trouble for the employees of the company.
As a consequence of adopting a policy that calls for employees' complete commitment to the company, work-life balance issues became a prominent feature in the lives of the employees. The case stated accounts where almost all employees practically spent their waking hours doing work for the company 24/7 just to meet the sales quota. Family and the private lives of the employees did not figure in the plans of Nordstrom to make the workplace healthier. The employees were only motivated by dangling bonuses or material rewards that to some extent had their

You May Also Find These Documents Helpful

  • Good Essays

    A strong operating performance is one of Nordstrom’s biggest strengths. Nordstrom displays a steady revenue growth, which is caused by the strength of Nordstrom full-line stores as well as the growing online business and improvements to Nordstrom Rack stores. Due to the strong operating performance, Nordstrom gains more confidence from investors than their competitors. Multi channel operations are also a strength that Nordstrom displays. Products are available through the company’s full-line stores, discount stores ‘Nordstrom Rack’, ‘Jeffrey’ boutiques as well as the internet allows the company to improve sales and inventory turnover. Nordstrom also allows customers to purchase items online and then pick the items up at a store the…

    • 612 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Nordstrom vs. Macy's

    • 1282 Words
    • 6 Pages

    In the 1980’s Nordstrom’s experienced a boom. This was due to many factors but one of the most prevalent was their amazing use of customer support. Over almost anyone else Nordstrom’s prides itself on having some of, if not the best, customer support. This is helped by them recruiting managers from the ranks of salespeople thereby encouraging their employees to work harder while maintaining high moral.…

    • 1282 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    In the Nordstrom way book that I have just concluded I have found a lot of clear new tips, alongside of understanding a business from the ground up. In 1901 the first Wallin & Nordstrom store opened, from 1901 to present in 2017 this company is still thriving. It may not be run by the same people but the fundamentals of the store are the same as the store in 1901. The Nordstrom family had gone through a lot of processes to get where the company is to this day. Through the entirety of this book all of the success can be based off of hard work and creating the gold standard of customer service. The Nordstrom Way focuses solely on doing whatever may be needed to satisfy the customer. Using your own initiative, provide your customers with the exceptional…

    • 677 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Nordstrom was founded in 1901 by John W. Nordstrom and Carl Wallin. From the companies beginning, the business philosophy of Nordstrom has been to provide the best possible service, selection, quality and value to its customers. This philosophy has remained unchanged for over 100 years. Today the mission of Nordstrom is still the exact same.…

    • 10090 Words
    • 41 Pages
    Powerful Essays
  • Good Essays

    Return on equity measures a company’s profitability by calculating how much profit a company generates with the money shareholders have invested. It is important to consider ROE and not just net income in dollar term because it helps for making comparisons among different investment amounts.…

    • 970 Words
    • 4 Pages
    Good Essays
  • Good Essays

    BUS 620 Week 3 DQ 1

    • 411 Words
    • 2 Pages

    After reading the article “Conservative Nordstrom to sell trendy Topshop fashions,” respond to the following:…

    • 411 Words
    • 2 Pages
    Good Essays
  • Good Essays

    The economic crisis that started in 2007 affected the business of upscale department stores countrywide. Upscale department stores understand that the items they sell are considered discretionary items, so when there is an economic downturn, they are one of the first industries to be hit. When looking over the Nordstrom Annual Reports from the last few years, there are two things evident: this company has a lasting strategy and they work hard to continuously evolve this strategy. Their strategy includes constantly evaluating risks in the market such as economic conditions, competitive market forces, availability of merchandise, and growth. With an incredible sense to stay ahead of the trends, minimize turnover time, and serve their customers with an uncanny ability, they have easily become one of the top department stores in the country. Nordstrom’s core strength revolves around their customer-first attitude, customer loyalty and their aptitude for merchandising. “Going forward we want to be more than just customer focused. Instead, we’re working to become a truly customer-driven organization.”[1]…

    • 710 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Nordstrom Financial Analysis

    • 5459 Words
    • 22 Pages

    In the year of 1928 Nordstrom emerged onto the retail scene and soon after became one of the premier department stores within the country. This was achieved by the owner’s quest to provide exceptional customer service not available at other stores, provide a wide range of modern inventory and promote expansion within the company. Nordstrom is a publicly traded company whose stock has been on the rise for a quite some time. With one minor period of decrease during the economic crisis, Nordstrom has been able to bounce back…

    • 5459 Words
    • 22 Pages
    Powerful Essays
  • Powerful Essays

    This is an important area of study because of how relevant shopping and customer-employee interactions are to our everyday lives as citizens and consumers. Additionally, the study is useful to scholars of sociology, as well as audiences interested in the sociological theory of how retail employees might act in given circumstances. The study found that when different perspectives came into conflict, the first priority of Macy’s employees was to maintain the company’s culture of professionalism, politeness and civility. I speculate that this is because the cost of a “performance breakdown” is particularly severe in culture, but less so with respect to politics or…

    • 1682 Words
    • 7 Pages
    Powerful Essays
  • Good Essays

    Nordstrom Vs. Technology

    • 329 Words
    • 2 Pages

    The retail industry is rapidly changing due to technology advancements and consumer demand. Consumers have shifted to ecommerce spending rather than with brick and mortar stores. Nordstrom, a leader in the retail industry, is facing growth issues in retaining consumers under this transition. Despite this major shift in ecommerce spending, Nordstrom has been able to tap into the market by offering a seamless online shopping experience, similar to the experience customers receive in store. Bloomingdales and Macy’s, Nordstrom competitors, are also facing these issues but are less successful in adaptation. The overall trend will force expansion in their online presence, to mitigate the risk of market share loss. Amazon,…

    • 329 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Nordstrom Employee Issues

    • 478 Words
    • 2 Pages

    Nordstrom values fair and honest dealings with their customers, coworkers, suppliers, competitors and other business partners. Directors are expected to uphold these values by avoiding conflicts of interest. Conflicts of interest also may arise when a Director, or a member of his or her family, receives personal benefits such as gifts as a result of his or her position as a Director with Nordstrom. Directors should use good judgment at all times to avoid relationships that could create a real or perceived conflict of interest.…

    • 478 Words
    • 2 Pages
    Good Essays
  • Good Essays

    Week 5 Checkpoint

    • 1016 Words
    • 5 Pages

    How do you think the functional employees feel? Support how you might feel if you were in their position by citing points from the case study?…

    • 1016 Words
    • 5 Pages
    Good Essays
  • Better Essays

    | |performance is perceived to be related to |of their employees. The theory focuses on |…

    • 1463 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Workplace Stress Analysis

    • 1257 Words
    • 6 Pages

    In some business fields the treatment of employees varies vastly from the majority of jobs in other fields one key example of this is the technology industry. Google as one of the largest tech companies to emerge from the so called “silicon valley” in California takes a unique view on the treatment of their employees. In a memo entitled “The Google Workout” written by Eric Schmidt, the ceo of Google incorporated, lists “we provide first-class dining facilities, gyms, laundry rooms, massage rooms, haircuts, carwashes, dry cleaning, commuting buses. Programmers don't want to do laundry” serving as a small list of the amenities Google supplies their “Knowledge workers” (Schmidt). The forward thinking practices of Google seem to point out a different way of maximizing efficiency in employees as opposed to the by the numbers nine to five approach that is primarily used today. Google’s technique has propelled them to the top of many articles hailing them as the future of workplace environments bringing the tech company some effective publicity.…

    • 1257 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    marketing 4ps

    • 429 Words
    • 4 Pages

    I, Sangita hereby declare that the research work presented in this project report entitled “EMPLOYEE SATISFACTION IN ORGANIZED RETAIL SECTORS (VISHAL MEGA MART).” for the fulfillment of the award of Master of Business Administration from Teerthanker Mahaveer University; Moradabad is based on my project work in Moradabad. The project embodies the result of original work and studies carried out by me and the contents of the project do not form the basis for the award of any other degree to me or to anybody else.…

    • 429 Words
    • 4 Pages
    Satisfactory Essays