Nordstrom's Company Structure

Nordstrom has been known in the industry for its Cult like culture and also has a reputation that if a Nordie is able to sustain the culture they will be able to earn best in class income in the retail world. But, due to questionable employee goal setting practices and associated misalignment of management incentives, Nordstrom is facing serious backlash from various factions, particularly from employees and regional labor groups. The situation has overflowed to the media and the resulting negative publicity is hurting Nordstrom’s case even further.

Nordstrom’s is classified as one of the biggest U.S. department stores. Along with Sears, Macy’s, and JC Penny’s, Nordstrom manages each department in their stores as an individual buying center. Every group functions separately from one another, and is administered by a buyer who is in charge of all varieties and styles of merchandise sold. Promotions that can be used in the stores are included, as well. “The company has also benefited from a new computerized inventory system that gives buyers and salespeople the necessary data to make smarter decisions about what is needed in the stores—and what isn’t.” (Lamb, Hair, McDaniel 569). This new and improved system allows the department store to market a greater amount of full priced items, which ultimately increase sales. The buyer is also able to easily determine what items to obtain and exhibit in the store by using this system.

To try and solve conflict within its employees Nordstrom has an open door policy. This meaning that if an employee ever has a concern or complaint they can always go to one of the management members whether it is the store manager, hr manager or the regional manager. Through this the goal is to establish open communication between the employees and the managers. Whenever a problem does arise the goal of Nordstrom is to try and resolve the problem internally and in person without having to take it to court. After the problem is brought to the attention of a member of management an arbitrator is brought in, in order to determine a decision and try to solve the problem all of this according to the “Nordstrom Dispute Resolution Program” presented by Nordstrom themselves. After the complaint or type of conflict is resolved Nordstrom also believes in no retaliation, this meaning that the employee cannot be dismissed or transferred somewhere else unless it is really necessary, and everything should continue the same as before the conflict or complaint was brought

This memo will provide a brief history and financial overview of Nordstrom, a high-end, quality clothing store operating in 28 states with more than 200 stores according to Nordstrom’s Business Wire press release on December 2, 2010 (Nordstrom, 2010). Additionally, an overview of the financial information includes specific details from the balance sheet, income statements, and statement of cash flow for 2007 through 2009 and any latest reporting for 2010. The statements are attached for reference.

I have picked Nordstrom, Inc. the American chain of extravagance retail establishments headquartered in Seattle, Washington. The organization has 349 stores working in 40 states, Puerto Rico and Canada. Nordstrom additionally serves clients through nordstrom.com, nordstromrack.com, and its online private deal website, Haute Look. To develop the business there are new domains Nordstrom needs extend their business as a feature of their general money related methodology. On account of the general microeconomic condition for the nations to be considered for an extension, they need to give extraordinary chances to Nordstrom to enhance their universal nearness. China is the clearest open door. Growing in can be affected by the expense structure and

The following Four P’s should be practiced by employees on Nordstrom Inc. so that they can provide the customers with the best customer experience. The first one is principle. Employees of Nordstrom Inc. should represent the Company with utmost honesty. They should strive to abide by the Company policies, rules and regulations. They should show respect to themselves, the Company and the customer. They should conduct themselves with utmost politeness. Professionalism should also be portrayed in the services they accord to the clients. Nordstrom Inc. should invest in its consumers. The Company should realize that their consumers are their greatest asset.

Nordstrom’s employees and management are the company’s most valuable resource. An article written in the Seattle PI describes exactly why this is true. It states that, “Nordstrom salespeople make decisions as if managing their own business; they are trusted to do what is right. Everyone else in the company is there to help the sales staff make the sale and please the customer” (Mulady, 2009). The way the employees are treated and valued is a perfect portrayal of the company’s mission of providing the best possible customer service and value to the customer.

Nordstrom, Inc is one of the largest upscale apparel and shoe retailer’s in the United States. John W. Nordstrom started the company in 1901 as Wallin & Nordstrom, which was a small shoe store located in downtown Seattle, WA. By 1960, the shoe company was the largest independent shoe chain in the nation. Nordstrom then ventured into women’s apparel and in 1971 the company rebranded itself to Nordstrom, Inc. and became a publicly traded company. (nordstrom.com)

Every company has its own unique organisational structure. This can be described as the system or pattern of relationship in which power and roles are given to the employers and employees. It also involves how the company is designed in order to achieve its goals and its communication channels. A good structure is crucial because the strategic decisions made can either benefit or worsen an organisation (Mullins, 2005). For example, a good structure would encourage and motivate employees in order to keep morale and job satisfaction at the highest possible level so that productive efficiency can be reached. This essay will describe the different designs of organisational structures and assess whether in today’s world, organisations are

Douglas McGregor, an American social psychologist, proposed his famous X-Y theory in his 1960 book 'The Human Side Of Enterprise '. Theory x and theory y are still referred to commonly in the field of management and motivation, and whilst more recent studies have questioned the rigidity of the model, Mcgregor 's X-Y Theory remains a valid basic principle from which to develop positive management style and techniques. McGregor 's XY Theory remains central to organizational development, and to improving organizational culture.

In 1960, Douglas McGregor wrote the book “The Human Side of Enterprise” (The Economist, 2008). In this book he proposed two theories, Theory X, and Theory Y, which are two distinctly different management styles based on motivational factors that influence employee behavior (Mohamed & Nor, 2013). We will discuss Theory Y and its ability to motivate employees.

The study shows the strategic management of Wal-Mart and the Nordstrom, both are the retailer of United States but one is the low cost provider and another one is upscale fashion merchandise as well as leader in customer service. In this paper, we will be comparing the mission statement, competitive strategy of Nordstrom and Wal-Mart by their price, value, growth strategy, customer to employee satisfaction, positioning and long term sustainability.

Douglas Mcgregor, an American social psychologised developed the X-Y theory in his 1960 book ‘The human side of enterprise’. The X-Y theory still remains central to the development of an organisation, helping managers to develop positive management styles and techniques in order to improve the organisation’s culture. Theory X is the Authoritarian management style and Theory Y is participate management style. Mangers who use the theory X management style believe that their workers lack ambition and need incentives in order to increase the productivity. Mangers who implement the theory X believe that their workers take responsibility and are naturally motivated.

McGregor, D. (1960), an American social psychologist, predictable his renowned X-Y theory in his 1960 book 'The Human Side of Enterprise'. Theory x and theory y are still denoted normally in the field of administration and stimulus, and even as more recent studies have questioned the hardness of the model, McGregor’s X-Y Theory skeleton an related basic principle from which to advance positive administration style and methods. McGregor's XY Theory remains central to organizational development, and to improving

McGregors X and Y theory are his model that he used to urge managers to move away from the set of assumptions he called Theory X (people dislike work, lack ambition, prefer to be led than lead) and towards Theory Y. Theory Y assumes people are willing to work, capable of self-control, thrive when given responsibility and the opportunity to self-direct. Les Mills managers display strong Theory Y perspectives and this helps to empower employee’s by promoting continual staff development through a variety of avenues. The “Little Yellow Book” (LYB) focuses on the values the company follows and the ways in which it wishes to do business. The book states the purpose of Les Mills (“To improve the lives of New Zealanders”) and gives direction to the staff, educating them on 5 key business strategies. The book also outlines the way in which employees are expected to behave and the things Les Mills expects of them. The LYB is integral to empowering employees by endowing them with responsibilities and expectations the company has for them. By doing this they are offering employees opportunities for building self-esteem and satisfying