Cold Storage mission statement is, “not only do we strive to provide the freshest food produce, the most extensive range of products and wines from all over the world, we also take great effort in making shopping at Cold Storage and Market Place stores exciting, fun and easy! ” It promises customers a wide range of products and great shopping experience. Mission statement states the company’s direction and goals, and what the company wants. It defines the product or service the company provides and what makes it unique. Most importantly, it lets employees now the purpose of the organization and guide them to achieve the company’s objectives.
By understanding company’s mission statement, employees will know what is expected from them and helps them to be dedicated on their Jobs. Having employees who are committed to the company’s mission will certainly have an impact on the service delivery. Process Layout and Service Blueprint Process layout is used at Cold Storage supermarket. The layout aims to improve efficiency by grouping work stations and equipment according to its function and varied processing requirements, and strategically positioned to create a continuous low when customer enters the supermarket. It is flexible and capable of handling a wide variety of products.
Products are grouped and displayed according to categories. Causeway Point supermarket outlet has two separate areas in their layout. Entering the supermarket, customers will see the first area with stations displaying only fruits and vegetables. The layout somewhat guide customer to the next area where rows of shelves, freezers and chillers are positioned to display other products. The checkout counters are positioned in one row and located near the exit. The frontline of the supermarket are the checkout counters. Possible risk exists here because this is where customers have direct contact with the employees.
A possible risk is the quality of service provided by the employee performing the cashier duty may not meet company or/and customer expectations. Different employees have different behavior and skills and so the service delivery may vary too. There is also the risk of customers being frustrated when the queue is long and not moving as quickly as they want. Although the layout is well organized with spacious aisles for customers to move easily, the space between the checkout counter and the nearest helves is not big enough which result in congested queue during peak hours.
However, preventive measures have been taken. Dedicated counters were setup strategically to prevent long queue formation. With a dedicated express counter for few items purchase and two other counters proportioning customers with small children and customers who are either elderly, pregnant or have disability. In addition, during peak hours additional employee is assigned at each counter to assist in packing the purchased items while the cashier focuses in entering/scanning the prices and handle cash or credit card transactions. This speed up the process while ensuring customers from feeling frustrated.
Although there may be a possibility of long queue, with additional staffs and counters, the checkout will be fast and customers will appreciate the store’s effort. Cold Storage has achieved efficiency of operation. The spacious layout allows easy mobility for customers in getting the products they want and the average queue turnaround time during peak hours are successfully reduced by its preventive measure at the checkout counters. The company also achieved quality service as per observation. The cashier exudes armor personality when communicating with customers.
By providing temporary assistance to the cashier during peak period, it reduces the employee’s stress level by providing a conducive environment for staff to achieve the service standard requirement. Quantitative and Qualitative Performance Measures One quantitative performance measure that is relevant for Cold Storage would be calculating its growth rate in sales. By calculating the sales growth rate profitability, it tells if they meet their sales level target. It is one way to gauge how well a company is doing as well as knowing its potential for future sales growth.
Another quantitative performance measure is finding the percentage of sales obtained from new products. This performance measure will indicate whether customers engage in browsing the store and if they manage to attract customer to the new products in the store. If the percentage is found to be low, then the company can take appropriate measures to increase customer’s engagement or implement ways to attract customers to buy the new products, for example, by offering special offer promotions and better display of signage, etc. One qualitative performance measure is by looking at the number of customer complaints.
Monitoring the number of customer complaints will provide an indication on the service level, ability to identify the problems that lead to the complaints and to find a resolution. Customer’s complaints and feedback are a good source of information that identifies problem and appropriate steps to solve or eliminate the issues. Another qualitative performance measure is computing the average output per employee. This measures each employee’s productivity and thus, the company will be able to identify which employee has difficulty in his work or if he has behavioral issues.
Then a resolution an be implemented through various methods such as rewards for the most productive employee, retraining employee who lacks the required skills and disciplining of employees if required. SERVICEABLE Serviceable are the physical factors of the store that can be controlled by the firm to enhance (or constraint) employees and customers’ activities. It influences customers’ perception of the quality of the service experience. Its supermarkets’ entrances have big “Cold Storage” signage with the slogan “The fresh food people”. The store is well lighted with its white walls and floors.
The store’s layout is big and spacious and signed in such a way that it guides customers throughout the store with ease. Several large signage are displayed at all counters. The store is well ventilated and air-conditioned at a Just nice temperature. The signage at the entrance acts as a stimulus that communicates non-verbally to customers about the company and its expected outcome. Serviceable influences the perception and customers will distinguish companies by the way it is categorized. In this case, customers can identify that Cold Storage is the place for fresh food purchases. Serviceable can evoke emotional response.
Environmental factors such as colors, lighting and dcord may have an influence on customer’s mood. Places that cause pleasurable experience tend to make people spend more time and money while unpleasant environments are usually avoided. Cold Storage serviceable evokes a welcoming feeling with its white color, good lighting and spacious layout. Serviceable can also evoke physiological responses. Low lighting might decrease ability to see products and may cause the eyes to strain. “Inhospitable” temperature and a crowded layout will cause discomfort or/and stress to customers which may lead to them to hasten their hopping experience.
Whereas a well-designed spacious layout with the right temperature and lighting will make customers feel more comfortable. Cold Storage well designed serviceable makes customers feel comfortable and encourages engagement in more browsing which may lead to more purchases. Serviceable may influence social interaction between the customers and employees too. Customer’s response to the serviceable can influence the quality of interaction. The physical set up of Cold Storage check-out counter facilitate positive employee-customer interaction as it encourages customers to approach its employees if they assistance.
Storage can redesign their website and app so customers can suggest particular products they would like the store to carry. Using such information, the company will know its customers’ wants and needs by evaluating the suggested products for quality and salability before stocking them. Another recommendation would be providing kid-friendly carts that are video-equipped to entertain the children while parents can shop at ease. This aligns to the company’s mission in making shopping at Cold Storage exciting, fun and easy. However, both recommendations require some investment from the company. (1455 words)
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