Retailers Double Spending On Management Training

Furniture World News

Dollars spent for senior executive training by retail organizations have doubled since 1995, according to Michael Patrick, President of MOHR Retail Learning Systems, the largest provider of training programs to the industry. "The new training is generally intended to maximize productivity and build core competencies," Patrick said. "Traditionally, management training was relegated to the minor leagues of strategic initiatives in the retail industry," Patrick said. "After all, merchandising was the business, and it was always believed on-the-job training was best. Besides, one could always recruit top people away from competitors." Why this sudden new interest and investment in management training? According to Patrick, what has driven spending at the director-level and above is a realization that although their merchandising skills may be well developed, retail executives are often poor at executing strategy. "Retailers know they need to catch up in basic management areas such as communicating strategy company-wide. Because growth opportunities are limited and merchandise is increasingly alike, companies have to address productivity in order to improve profits." Patrick outlined other areas of emphasis for the management training initiatives, including: Training managers to work effectively with cross-functional teams, deal with different levels of motivation, overcome gaps in supervision, and balance tasks with coaching and developing. Using specific performance standards, clearly defined competencies and measurement tools. Becoming more business focused and bottom-line oriented, in contrast to the psychological and motivational approaches frequently used in the 1980s. Having retail CEOs, COOs and vice presidents of operations participate in managemen training sessions, particularly those devoted to long-term planning. Despite the industry's newfound commitment to management training, noted Patrick, many large organizations have no development programs in place for senior and middle managers. "Some companies are doing so well with their merchandising and systems that the money is just rolling in. Productivity isn't an issue they want to address in flush times. But success can mask profound weaknesses, and all it will take is a serious downturn in the market to reveal those shortcomings." MOHR"s spending estimates are based on the firm's own market share as well as input from selected retail organizations. Based in Ridgewood, NJ, MOHR Retail Learning Systems, Inc., is a large provider of training programs to retail companies. Among MOHR clients are Bombay Company, Bose, Brooks Brothers, Coach Leatherware, Crate & Barrel, Dayton's, Disney, Escada, Gap, J.C. Penney, The Limited, Reebok, Saks Fifth Avenue, Target, Victoria's Secret and Wal-Mart. MOHR is a subsidiary of PROVANT, Inc., a leading provider of training and development services and products.