If you own or run a business, you’ll know that an engaged team is fundamental to its overall success. Ensuring you recruit the right individuals and commit to keeping them trained, motivated and engaged is the key to maximising their effectiveness, reducing staff turnover and as a result, increasing profits.
For those working in the retail industry, staff engagement can also play a large role in the reduction of potential stock loss. We can all make mistakes, so it should be no surprise that administrative or human error is one of the most common causes of retail stock loss, second only to theft. If you consider that more than half of retail employees work part-time and a third are under the age of 25, it’s also understandable that another common cause of stock loss is through inexperienced or untrained staff making mistakes.
Whilst we’re sure you’ll be committed to training your staff to offer your customers the best possible service, differences in how individuals use your systems and processes mean that this is another common cause of stock loss or error for retailers across the country.
So, with so many challenges facing you as a retailer, how can you go about tackling stock loss by reducing the amount of errors your team are making?
High staff turnover can often bring issues for any employer; new employees need to be trained, have time to learn the systems and become accustomed to their new role. The problem is that if this person is part time, seasonal or beginning their new job at an extremely busy time for the business, all of which are common for retail roles, things can sometimes fall between the gaps which is inevitably when mistakes can happen.
Keeping hold of your staff and minimising turnover should therefore be a priority. There are a number of different ways you can do this but they all have just a few things in common:
- Keeping your employees engaged
- Continually investing in your employees through training and support
- Rewarding your employees for accuracy and good performance
Starting on the right foot
We’ve said that employees can often be part time, seasonal or starting at a busy time of the year, but no matter what the circumstances it’s vital you invest in the right training from the very first day to ensure their induction into your business is seamless.
Ultimately, you want all of your processes to be carried out correctly and in the same way no matter who’s conducting them, so having an extensive programme of staff training in place from the outset will help to achieve this.
It’s a commitment, never a one-off
An isolated error can be small, but if repeated over a longer period of time, can soon turn into a larger issue. It’s therefore essential that your training is not only given on day 1, 2 or 3, but continues into the months and years after. This will help to ensure that bad habits or shortcuts are nipped in the bud way before they become a feature of your bottom line.
Understanding your stock losses
Effective stocktaking should be at the heart of understanding where you’re losing stock and why. Only once you have that understanding can you put in place the changes and procedures your business needs in order to maximise the potential profitability of your stock.
We’ve been working with retailers for more than 30 years to do exactly that; understand and identify their stock losses, put in place changes to address and issues and increase their bottom line profits.
For more information on how we can help your retail business do exactly the same give us a call on 01637 874609 and we’ll be happy to answer any questions you have.