Sears Holdings Strategy

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Evaluation of performance must be addressed within several different aspects of the SHC. Strategic goals for SHC are related to the achievement of organizational goals to ensure they are applied and attained to the organization as a whole. The Sears Holdings strategy is to develop a compelling and innovative company for employees and consumers. In order to increase a customer focus Sears Holdings first must increase their employee human relations. Over the next year, a cultural transformation is needed to invest in employee training, increase pay and commission structure, and offer a comprehensive benefit package. SHC needs to determine why they are experiencing a large turnover in staff. Over the course of six months, leveraging multiple…show more content…
Deteriorating store conditions push consumers away. To attract new customers and stay competitive Sears Holdings will need to update their locations within a two year period. In year one, Sears Holdings will need to close underperforming stores to trim costs and generate cash to invest. Performing a cost analysis within a six month period will determine profitability of Kmart and Sears stores for leveraging prime real estate locations. Comparing sales trend data for all Kmart and Sears locations within the past five years will determine locations that are profitable and those to close. Simply put, if a location is not profitable, there is a need to liquidate within the end of the year. Slowly closing stores does nothing to increase employee morale and increase traffic flow. A drastic turnaround is needed, so a liquidation of all underperforming locations and selling real estate will increase money for reinvestment. Employees need to observe a reinvestment in their store to increase morale. After raising capital through the liquidation of underperforming locations Sears Holdings will need to hire an architectural firm for year two for assistance in developing their modern retail space. Install better lighting, shelving, and product displays to increase product appeal. Utilizing floor store to expand merchandise offerings and showcase exclusive hardline…show more content…
A SMART goal provides an SHC with more direction and ability to achieve the goal by the targeted completion dates of two years. SMART is an acronym for specific, measurable, attainable, relevant, and timely. Revitalizing stores and improving customer service with knowledgeable sales associates and overhauling merchandise to better align brand strengths and customer demand by launching a multiple front restructuring. Specifically, Sears Holdings can employ audits to determine the effectiveness of the company’s internal control structure. Audits are measureable that support the need to access, develop, implement, and monitor control promotes effective and efficient management operations. For SHC, Unlocking the value of real estate assets is attainable and relevant to build on suggested strategies to influence employee morale, customer traffic, profit, and increase customer service. Measuring the success of implementations after one year will determine the continued growth of a company seeking to be profitable and competitive. Selling real estate will increase working capital and financially improve, so reinvestment can begin in year two. Real estate appreciates in value and many Sears Holding locations are in prime locations, so it is assumed the company will recover the book value of all leverage properties in a timely

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