Tools to control access to information in the IEM system. No-compromise reliable control.
Anyone who has read more than one book on management knows the term ‘delegation’.
Google and Wikipedia are still accessible to all, so in short,
delegation is a principle of assignment of responsibility or authority to other people in lower
levels of corporate hierarchy to carry out specific activities, in which they are competent. Aside
from other additional bonuses, such as motivation growth and responsibility of personnel, this
allows to make fast and competent decisions.
Thus, it’s reasonable to expect that if decisions on
customer policy are made by people working with those customers on a daily basis, then those
decisions will have much better quality, than if they are made by some aging senior vice-president
for strategic marketing in customer relations in between his midday coffee and afternoon golf.
This is exactly the logic that is used by Just in their everyday activities – they delegate total independence in commercial activities within their regions
to their regional stores (Voronezh, Kazan, Nizhniy Novgorod – as of
December, 2010).
Refusal to delegate authority is usually based on fear of losing
control. And it’s not in vain – considering traditional sense of justice of the Russian population and the
growing efficiency of law enforcement.
Capabilities of the system exclude that risk: all the
stores in the chain work in a single informational space within the Ultimate and according to
strictly standardized business processes that are supervised from the headquarters.
The main
office can see online all the transactions in general and of each store. A store, however, can only
see what’s under its own supervision, and nothing more. A 100% total control.
Yet, it takes only
about two hours to add a new store to the system. Compare that with the time (and finances) it takes
to work with a geographically-distributed system.
Having said that, the branches enjoy a complete freedom in setting
their own prices, putting together a product range, and in engaging customers. The branch manager is
responsible to the main office for achieving general economic indicators – and that’s what interests
beneficiaries of a business in the first place.
Is this effective? Yes. Who, if not the locals,
would get into the nitty-gritty of the local market situation? Who, if not them, would have the best
chances to make quick and correct decisions? And please note, with zero risks of losing control.
This is how we, together with our customers, make maximum use of the synergy of advanced management concepts with IT innovations, enriching each other (in all senses).
One great property of a good idea – besides providing a solution
to a specific problem, which contributed to
its birth – is that opens up new and unexpected
horizons.
Same here.
On the basis of this well-proven branch management technology, Just is
planning to launch a franchising project in the nearest future.
Why not? Everything is in place. The level of business processes standards is hardly inferior to that of McDonalds, the IT system capabilities allow the company to grow almost infinitely, while the growth itself will be financed by franchisees.