A web based source of all the hr information required to support small to medium sized businesses
A web based source of all the hr information required to support small to medium sized businesses
Managing performance of individuals and teams in multiple store locations is particularly challenging. One needs to set up systems and processes which allow people to be managed at a distance, giving them autonomy and authority to run and operate their individual business units.
It means setting up processes that focus on assessing and improving employee performance in a retail/hospitality setting to align with business objectives, drive sales, and enhance customer service. It focuses on strategies that empower employees to perform at their best while ensuring that company goals are consistently met.
Running a retail/hospitality business comes with unique challenges, including:
These hurdles highlight the need for effective procedures and processes to build a resilient and high-performing workforce.
Outlined below are the key elements of an HR Strategy to deliver success in any retail or Hospitality business.
Defining job roles, performance standards, and goals during induction sets the foundation for success. Employees need clarity to excel in their roles.
Example: Provide detailed training modules, job shadowing opportunities, and role-specific performance checklists. By the end of induction, employees have a clear understanding of their responsibilities and how they will be measured, ensuring alignment from the start.
Regularly monitor individual and teams KPIs such as sales figures, customer satisfaction scores, and task completion rates. Typical retail KPIs might include:
Stat: More than 70% of companies who properly leverage KPIs see performance improvements.
Feedback should be consistent, timely, and actionable to address issues early and reinforce positive behaviours. In particular, when attempting to keep frontline employees engaged, moments of feedback matter a great deal.
Example: Costa Coffee’s weekly reviews with Team Members include structured conversations about progress toward goals, recognition of achievements, and a focus on actionable improvements. These regular interactions build trust and maintain performance momentum.
Training is a key factor in maintaining engagement with front line employees. Continuous training equips employees with the skills they need to excel and adapt to new challenges.
Research: LinkedIn’s 2024 Workplace Learning Report shows that 90% of organizations are concerned about retention and the top strategy to address it is training. Other research indicates that more than three-quarters of employees stay longer if given opportunities to learn.
Foster an open-door policy where employees feel comfortable sharing concerns or seeking guidance. This builds trust and engagement. You can also use 360-feedback collection software to regularly collect feedback, even anonymously.
Example: Hilton Hotel’s open communication culture includes regular team huddles and anonymous feedback channels, ensuring employees can voice concerns or share suggestions without hesitation.
When employees’ goals align with organizational objectives, it drives both personal and business success. This makes it easier for employees to invest their energy in company goals and coupled with regular two-way feedback can significantly increase engagement.
Example: At Apple, employees participate in quarterly performance reviews that double as goal-setting workshops where personal targets are mapped directly to store-level sales objectives. This alignment fosters a sense of shared purpose and motivation.
Acknowledging achievements boosts morale and motivation. There are a variety of ways to approach developing incentive programs that reward high performers and create a culture around setting targets that are realistic and aspirational in equal measure.
Don’t let performance issues linger. Develop structured performance improvement plans for employees who need support.
Encourage teamwork to build a cohesive and productive environment. Collaborative teams often outperform individual efforts.
Example: At Costco, team collaboration is reinforced through cross-training initiatives, where employees learn multiple roles, fostering adaptability and teamwork.
Use employee management tools to track performance, optimize scheduling, and gather real-time customer feedback. When it comes to tech, there’s no shortage of options, whether you’re looking to optimize employee shifts to put your best performers on during your busiest hours, or recommend personalized training to help employees develop specific skills.
Continuous evaluation ensures your performance management strategy stays aligned with changing business goals and employee needs.
These individual actions will collectively drive productivity and performance in any customer facing team.