Team members: Team Roles & Rules

• Annelie Probst
  
• Iva Sostar
  
• Kristen Madler
  
• Fiorela Villanueva
• Mazran Zulkifly (the IT guy)

Team Rules

Contribution of each team member will be equal and will be given the same weight of participation.

Interview Script

Human Resources

1. What kind of qualities do you look for when you hire new team members?
2. Explain Mango's Recruitment process?
   • Employee are hired by the franchise. We provide systems, processes. Using KPIs from Mango.
     
     
3. How do you get new employees on the same motivational goal and service standards?
   
   
4. What kind of training is offered to new employees? **
   • Training is decided based on using competence model
     
     
5. Do you see your employee turnover as being an issue?**
   • Problem with sales assistants.
     
     • Each shop 3 ~ 5 sales assistant leaving every 3 ~ 4 months. Spending lost of money and efforts to find right people. Using website, temp agencies, personal recommendation for recruitment.
       
     • Selling in a shop is not what people in Spain wants. It is also a problems in other countries.
       
     • Same problem with competitors also.
       
       
6. How do you make sure your maintain your level of quality for all employees? **
7. How do you react to high employee turnover which is very common in the retail industry? **
   
   
8. Is there an established career path for retail employees?
   • There is a career path. Sales assistants -> cashier (Better pay).
   • Store managers - 100% promoted from within. Taken from sales assistants with better leadership and management skills.
     
     
9. What benchmarks do you set for your employees? **
   
   
10. How do you evaluate your employees?
    
    • Competence model, evaluated them using it. (Store team competences form)
    • Done once a year.
    • 
      
      
11. To which extent do you empower your employees with the decision processes (managers/store employees)?**
    • Store managers will decide what they want to sell.
    • There is a contract of minimum requirements, etc.
    • Each one makes decisions on their 'local' responsibility areas.
    • Design deparment use daily interaction (via e-mail) with shops to see purchasing patterns, stock requirements
    • Store layout decided by HQ.
      
      
12. What are the key success factors for Mango?
    
13. How do you ensure your employees meet these key success factors?
    
    
14. What is the employee selection process?
    • Hiring, training using competence model. Using for HR. Won't see it in shops until 1 ~ 2 years. Have better perceptions in 1~2 year. Sell better, advice better.
    • Interview using competence model. Induction plan available in shop. Some shops dedicated for training. Not enough time for training.
    • 'Shop deparment' for handling, controlling shops. Assists HR Department for shop level staffing.
    • Who has final decision on interview?
      • Director of shop will participate in selection process
      • HR technician (psychologist) decides, and worker starts immediately.
      • Director of Shop accepts decision by HR Technician (high level of trust)
      • Director of Shops have no time to take care of people. They have to manage clothes, processes.
        
        
15. What is the Mango spirit?
    • Created by Isaac (founder). Came to BCN 13 years old, selling clothes imported from other countries. 1994 - first shop.
    • Isaac decided the value -> Harmony/Conflict, Humility/Price,
    • You have fun working here.
    • How do you implement it to store?
      • Talking, laughing, making decisions together, making money. (behaviour of management, how they understand the business)
        
    • Income 1,400m euro, 1700ppl, 82% women. Management board men.
      
      
16. What is the role of HR?
    • Payroll, labour relations, recruitment, training, commiuncations, implementatoin of intranet (3 years ago), career management, developming all the normal procedrres form the HR deparment
    • Not very powerful dept because it is a family owned company.
    • Owner is very important to making decisions.
    • All top management hiries are decided by Isaac.
      
      
17. What do you get out of the Exit Interview?
    
    • Shop assistants - they don't like the job. It's too hard. Money is not enough. They have to attend other women.. they find other women not sympethetic to them.
    • People who use competetence model they enjoy it very much. They were born to sell.
      
      
18. Basic pay + Bonus
    • Sales assistants
      
      • 07 - Industry standards
      • 08 - higher than industry standards, mostly full-time
        
        
19. Staff timetable allocation?
    • Sometimes it is individual, sometimes group bonus. Depends on the shop.
    • If shop owned by mango, HQ decides. If franchise, franchise owner can decide.
    • 50% franchises, 50% mango. Recently, mango is buying back franchises.
    • Sales not growing, so next 2 ~ 3 years situation is going to change.
      
      
20. Customer behaviour?
    • Sales assistant can influence?
      • Sales assistants can help in order to increase sales
      • Ration per ticket is 1.4... ie. each person only buy 1 product at a time. Objective is to move it to 2 or 3. (no company can achive the objective)
        
        
21. What does 'merchandiser' mean for you?
    • Merchandiser participate with designing process.
    • They are training people, and their 5% creativity are there in the shop.
    • Dealing more with product placement within the store.
      

Corporate

1. Explain the mission and vision of your company.
   • dress modern, urban, young women in cities. Fashion. First year selling clothes for men.
   • To have one shop in each city in the world.
   • 1300 shops +-
     
   • How will that effect strategy (adding clothes for men)?
     • We are trying to use same structure and processes to get the new market. Using same shops, same design teams, diversifying
   • Why adding men?
     • diversification. lots of competition in women, diversifying in men. hard to grow women market.
       
       
2. How do you set Mango's KPI?
3. How do you differentiate Mango's concept from the competition? **
4. What is the competitive advantage of your company?
5. Where do you see the company in the next 5 years?
6. What is your strategy to expand the Mango brand internationally? Will it just be regional (Europe) or worldwide?**
7. Who do you see as your target customer?**
   
8. Describe the organizational structure of Mango.
   
   
9. What are main parameters for review?
   • Client satisfaction, are you being properly attended in the shops
     
     
10. What are your core competencies?

• Know what to manufacturer:
  

• Know what the competitor is going to sell next year (manufacturing)
  
• Zara is in Spain
  
• Mango - china
• Have to be close to clients to see what is wanted in 6 months time.
• Departments handles finding trends
• Know what to sell
• Designed with participation of 100 people in focus groups including sales assistants, merchandisers, directors, stock room workers. No participation from clients. Participation comes from the best employees (who can show better results - eg. sales assistants who sells the most).
  
• Focused on internal employees, best practices.
  
  
1. Mango is selling to everybody. -> focus trying to achieve whole market for women.
2. Org structure of Mango?
   • Process flow:: Board of Management -> HR, Design (Creative), Product Selection (decides which to sell from design department, market oriented), Distribution (make sure collection is going to the right shop, they will move the product. If shops not selling, they will take the products back and send to another place (2~3 times a week)), Sales, Outlet. (each level is cheaper, and the margin is lower)
     
   • Other departments -> Buying
   • Centralized in BCN. Globalization strategy decided here.
     
     
3. We're not selling clothes, but selling satisfaction. Dressing women. Not concern with high quality of clothes (maybe only worn a few times). Main idea is customer. Selling to the women what they want to make them feel better.
   
   
4. Are there any other HR challenges?
   • Designing, selecting best products based on what market wants.
   • Getting this distributed informatoin from the shops to decide what to sell and to have a better selections for the clients.
   • Rest of the business is working fine.
     
     
5. International expansion
   • Step by step. Difficult time in Italy
   • Bigger shops. Not a cheap shop, on main roads, high traffic volume, High level brand.
     
   • Mainly by franchising
   • Perception in other countries is higher than in Spain.
     

Industry

1. What is the growth rate for the retail industry? **
2. Seeing the speed of which retail outlets appear in new markets, what are Mango's strategy to be able to be in front of the 'rest' when opening new retail stores?
3. What is the forecasted expansion of the retail industry?
4. What are the core competencies for the industry? *
5. What are your views on customer service in a retail industry?
6. Who is your strongest competitor and why?
   • In Spain - Zara.
   • Desigual (growing threat), lots of competitors.
   • How do you differentiate yourself from competitors?
     • Compared to Zara, we have better service.
     • Selling better, interviewing clients better, and trying to advise them to be better dressed (We are trying to do). Last year, with research done with clients, Mango scores worse than Zara
     • More people, better train, but bad perception
     • Target: 2 years time, score better than Zara
       
       
7. In what business are you competing?
   
   
8. Do you adapt to the market (Current)? If yes, what extent?
   • 80% of clothes is same in 80% of the market, 20% global
   • Service - Europe, not really clear. Other countries, client service is not a problem. South America, Turkey is excellent. Spain is problem - cannot find capable people to sell.
     
     
9. How profitable is Mango?
   • More than Zara. Using franchises. More profitable
   • How do you define profitable?
     • Return on Investments
       
       
10. What is Mango's future development/threats?
    • Client changing very fast. Wait for sales, wait for outlet shopping. Trying to avoid this behavior from customer of trying to buy when the product is expensive.
    • Moving products by having short collections (take it today, or out of stock tomorrow). Having many different clothes and having collections moving from different shops.
      
    • Each shop is different, depending on the city/location.
    • Important to have the right product in the right shop.
      
      
11. KSI in industrry segment
    • understanding trends
      
      
12. Most processes are internally. Compared with zara, mango grows with franchises. Subcontract manufacturing. Design, selection, distribution done internally.