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Retail Store Operations

Elements of Retail
• In order to ensure smooth flow of
operations at the store level, it is
necessary that the management
defines processes and has people and
the resources to implement them.
• The task to be performed and
processes are usually defined in a store
operations manual.
• This document lists tasks to be carried
out at the store level, it states the
responsibility and time period in which
these tasks to be carried out.
• A well prepared manual or a blue print
Tasks to be performed in Retail
• Store administration and
management of premises.
• Managing inventory and Display
• Managing receipts
• Customer service
• Managing promotions, events
Management of Premises
• Managing the operations of a store
starts by determining how the tasks
pertaining to the premises are to be
• Durations of the hours for business
needs to be determined.
• It also needs to be specified with whom
the responsibility of opening and
closing the store lies with.
• Some considerations to be taken into
account while determining the business
hours like target audience, store
• Security of the store premises and the
merchandise in the store is equally
• Security of the premises is necessary to
in order ensure miscreants do not spoil
the store.
• Security of merchandise is needed to
ensure that the shrinkage is minimal.
• Inventory shrinkage may arise due to
theft by employee, customers or by
error on the part the store at the time
Store Administration
• Store administration deals with various aspects
like store premises, maintenance of the store
frontage, and the display windows etc.
• It is also responsible for the store personnel
• Time – keeping for staff, keeping track of
holidays, and shifts that the staff may require to
work for.
• House keeping practice to be maintained as per
the standard decided by the management.
• It involves the task of cleaning the store and
arranging the merchandise before the first
customer can walk into the store.
• It is also important to maintain high standards
of house keeping during operating hours, it is
responsibility of the respective department
Permissions and Licenses to
run retail establishment
• Registration certificate to be issued by
municipal corporation
• Dairy license for milk and milk products
by public health department
• License for rationing for food grains ,
pulses from department of food and
civil supplies
• License for weights and measures from
Inspector of weights and measures,
state government
• VAT registration
• Etc etc etc
Managing Inventory and
• Responsibility with respect to
merchandise at the store level involve
receiving and inwarding the goods.
• In case of large retailers it is done using
hand held scanners.
• Delivery challan, invoice copy, modvat
copy should be checked received along
with goods
• Procedure to be followed for shop soiled
goods and customer returns also needs
• Integral part of managing inventory
at store level is displaying it
• The best merchandise may lie unsold
if it is not displayed in a manner that
is appealing and convenient for the
• SKU replenishment should be done
timely so that the product is always
on display.
Managing Receipts
• It involves defining the manner in
which the retailer is going to receive
• Most common method of receiving
payment in India is through cash or
credit card.
• Some stores have co branded cards
which can be used for payments.
• Billing should be fast, convenient and
easy for the customers
Customer service
• Customer service policy to be adopted by
store is decided by the top management.
• CS does not have to begin and end at the
customer service counter in the store.
• Each person on the floor can ensure that
the every customer who comes in contact
with him or her, is comfortable and has a
pleasant shopping experience.
• More no of billing counters and when
required or concept of express check out
needs to be adopted for customers who
have bought limited no of products
• Mobile cashiering and fast lanes concept are
still to catch up in India.
Managing promotions and
• Events and promotions are very much
part of the retail marketing scene.
• This may require hiring additional staff,
running short term training programme
on features and the promotion, the
hours and the merchandise.
• Many times retail store may have to tie
up with local partners to promote the
store and organize an event.
• POP/ POS display has to be managed at
store level.