Organizational Behavior Case 1A: Trader Joe\'s Keep Things Fresh Trader Joe\'s T

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Organizational Behavior

Case 1A: Trader Joe's Keep Things Fresh

Trader Joe's Trader Joe’s is a prime example of effective management. In an industry dominated by big players They have carved out a niche for themselves Quick Facts 5500 Employees Privately owned Founded in 1958 353 Locations in 28 States What Trader Joe's Is Doing Right Planning Nothing at Trader Joe’s happens by chance. Everything from the foods they stock to the way their employees dress was meticulously planned by the organizations founders. They created a new style of grocery store that could offer lower prices of new and exotic food items. They do this by not overstocking their inventory; they keep only what sells on the shelves or they will only carry one brand of a certain item. By organzing their business this way they have gained much customer loyalty. Their name spread through word of mouth which lessesned the need for advertising, they passed those savings along to their customers, lowering prices again. Strong Employees Strong Managers Trader Joe’s keeps it’s organization’s good will with the public by hiring workers who are willing to go above and beyond what is required to help shoppers. They hire these outgoing workers by offering insurance and retirement plans. They keep strong leaders within the company by only hiring managers that have worked for the organization. The Customer is Always Right Trader Joe’s thinks of themselves as a “food democracy” where the customers decide International Pressures Being an internationally owned company comes with risks. The growing demand for local foods to support American farmers could be viewed as a threat to Trader Joe’s. During the recession there has been a backlash against companies that are owned abroad. More and more customers are trying to “buy American” in an effort to revitalize the economy. Successful Managers in a Casual Environment Symbolic by their Hawaiian shirts, Trader Joes’ employees work in a very non-traditional and casual working environment. In an environment such as this is would seem very difficult to be a successful and practical manager. The company enrolls their future leaders in Trader Joe University’s training programs. They teach employees the loyalty necessary to run the stores according to company and customer expectations and teach managers to instill in their workers to be focused on the customer. Competition Trader Joes’ biggest competition is the mega grocery store, Whole Foods. Whole Foods keeps their shelves stocked with between 25,000 to 45,000 products while Trader Joes only keeps about 2,000 products. However, Trader Joes’ still made about $1,750 per square foot in 2009, more than double of what Whole Foods made. By presenting customers with fewer options, they don’t feel overwhelmed and are more likely to buy something than if they had too many options. Where Improvement is Needed The only thing that might hurt Trader Joe’s in the future is their lack of advertising. They don’t talk to reporters, widely advertise new openings, have commercials or anything similar.

Questions:

1.Describe methods used by Trader Joe's that shows they know the importance of human capital. Write 100 words.

2.How does Trader Joe's design jobs for increased job satisfaction and higher performance? Write 100 words.

3. In what ways does Trader Joe's demonstrate the importance of each of the four major responsibilities in the management process: Planning, organizing, leading, and controlling? Write 100 words.

Please write in your own words. Don't copy from anywhere and Chegg's solution.

Explanation / Answer

1) Trader Joe's attempts to discover and contract work force who are responsible, educated, and cordial to be their representatives. Dealer Joe's also give benefits for the representatives to influence them to remain working in TraderJoe's. So it tends to be said that Trader Joe's knows that by utilize qualified personnel can influence a critical outcome to the client to benefit they have provide. Since Trader Joe's attempts to gain qualified work force they endeavour toretain their representatives. Merchant Joe's knows that holding responsible, knowledgeable, and inviting workers will be noteworthy to the client benefit they give.

2) Trader Joe's outline occupations for expanded employment fulfilment and higher execution is to values their workers and endeavours to offer the most astounding quality. Merchant Joe's urged every worker to taste and find out about the items and to draw in clients to share what they've encountered. Accordingly, most customers were fulfilment the group part set aside the opportunity to prescribe things. Dealer Joe's give benefits incorporate restorative, dental, and vision protection, organization paid retirement, paid excursion and 10% representative markdown. By offering these great advantages, representatives are cheerful and will buckle down with a specific end goal to accomplish higher execution.

3) Trader Joe's exhibits arranging by expecting to convey unique products effortlessly inside a fun, loosening up condition. Their organizing abilities were obvious because of their way to deal with find unusual foods from around the globe, contract specifically with makers, label their items with infectious expressions and by keeping up a little stock of each item. Their initiative was exemplified by contracting representatives with job aptitudes, for example, being "goal-oriented and courageous" and giving a laid-back air both to their specialists and clients. Their employees had higher pay rates than those that worked for their competitors and had awesome advantages. Since supervisors were enlisted from within, they had an extreme information base of how the framework works. Also, the representatives were urged to taste and find out about the products to have the capacity to impart to their clients, making a more involved worker to client relationship. As to Joe's control, they could control land costs by purchasing smaller stores and avoiding "prime" areas. Their "one in, one out" policy to dispose of ineffectively offering items or have increasing expenses replaced by new items-controlled expenses and furthermore indicated their customers that they're listening when an item isn't preferred. Also to these factors, by controlling the general population they procure from the get-go, they can have the control of the organization's definitive success considering they will be their future pioneers.

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