Sears Roebuck and Co. commonly known as Sears is a multinational departmental store. Sears serves almost all of North America with 1320 stores distributed in America and Canada. Founded in 1886 as a watch company, Sears continued to grow and expand all over North America providing customers diverse merchandise including apparel and home services. (Searsarchives.com, 2014) Sears gradually became the most preferred brand in US, it underwent massive expansion and enjoyed high profits which peaked in 1960. It was later bought by Kmart in 2005 and now operates under the umbrella of Sears Holdings Corporation. The story is deemed newsworthy because Sears is declining due to decrease in its market share and decreasing revenue. (Sharf, 2014) Another
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Based on this Mission Statement Sears provides customers with a great social customer shopping experience. Sears is the initiator of introducing open concept stores such as Sears Grand stores, which carry diverse merchandise it has to offer. It has the objective of regaining the maximum market share, which was lost to other department and branded stores. Added to this the problems of Cash flow. The major branded products that the Sears sell are of Kenmore and Craftsmen. (Searsholdings.com, 2014) Macys, Nordstrom Wal-Mart and Target are considered as the most significant competitors to sears, with their new stores and modern marketing they are giving a tough competition to Sears. Due to a massive size sears has the best and biggest partners in the corporate world and it continues to exert its influence in bargaining with suppliers. Sears itself is part of Sears Holding Corporation and is considered a sister company to Kmart, LANDS’END and Parts Direct to name a few. Sears is now flourishing under the leadership of its CEO Edward …show more content…
A decentralized approach is when there is less hierarchy of authority and control and there are fewer rules to follow. In decentralization decision-making and authority is pushed to a lower level in the hierarchy, there is wider span of control, and this means a lot of subordinates working under a single person. Decentralized approach if implemented appropriately brings about great advantages. However if not then there can be negative consequences which will be analysed later in this paper.
One of the major disadvantages of the decentralization approach that were indicated in the article are is that it creates problems regarding the coordination due to the higher power is not concentrated. The problems created due to the wide span of control is lack of communication and collaboration.
Lampert once wrote to the media via email that “Decentralized systems and structures work better than centralized ones because they produce better information over time.” (Kimes, 2013) Lampert observes that through the approach he will be able to evaluate the individual parts of Sears and can easily exercise
Based on this Mission Statement Sears provides customers with a great social customer shopping experience. Sears is the initiator of introducing open concept stores such as Sears Grand stores, which carry diverse merchandise it has to offer. It has the objective of regaining the maximum market share, which was lost to other department and branded stores. Added to this the problems of Cash flow. The major branded products that the Sears sell are of Kenmore and Craftsmen. (Searsholdings.com, 2014) Macys, Nordstrom Wal-Mart and Target are considered as the most significant competitors to sears, with their new stores and modern marketing they are giving a tough competition to Sears. Due to a massive size sears has the best and biggest partners in the corporate world and it continues to exert its influence in bargaining with suppliers. Sears itself is part of Sears Holding Corporation and is considered a sister company to Kmart, LANDS’END and Parts Direct to name a few. Sears is now flourishing under the leadership of its CEO Edward …show more content…
A decentralized approach is when there is less hierarchy of authority and control and there are fewer rules to follow. In decentralization decision-making and authority is pushed to a lower level in the hierarchy, there is wider span of control, and this means a lot of subordinates working under a single person. Decentralized approach if implemented appropriately brings about great advantages. However if not then there can be negative consequences which will be analysed later in this paper.
One of the major disadvantages of the decentralization approach that were indicated in the article are is that it creates problems regarding the coordination due to the higher power is not concentrated. The problems created due to the wide span of control is lack of communication and collaboration.
Lampert once wrote to the media via email that “Decentralized systems and structures work better than centralized ones because they produce better information over time.” (Kimes, 2013) Lampert observes that through the approach he will be able to evaluate the individual parts of Sears and can easily exercise