1. Describe J.C; Penney 's culture before and during Johnson 's time in the organization. What were the attributes that Johnson changed, and how did this impact the culture and success of J.C. Penney? J.C. Penney’s culture was based on transparency and loyalty before the entry of Ron Johnson. In the early 2000’s the company start struggling with sales because of the high competition in retail apparel industry. The competition was rising-up fast in retail industry due to expanding in internet sales. Company was struggling with sales because of not updating its apparel according to the fashion. Many young customers of the company labelled it as old-fashioned, uninteresting, and uninspired. After appointed as a CEO at J.C Penney in late 2011, …show more content…
Penney was focused on the external environment. The major goal of the company was to achieve customer satisfaction by giving discounts. Therefore, the organizational culture type that applies to J.C. Penney is market culture. Which has strong external focus and values over stability and control. As company gives values to its employee’s loyalty and never had terminated its old and senior employees before Ron Johnson. Therefore, clan another type of organizational culture is also applies. Which has an internal focus and values flexibility over stability and control. The type of organizational culture that Johnson vision brought under his regimen in J.C Penney was adhocracy. Because he changed the formal structure of the company by removing discounting and focusing on to fashionable look by applying mini-mall concept. Also, he made a quick decision of terminating the old team and appointed his new team outsides of apparel industry. By doing so he wanted to have more control therefore the type of hierarchy culture is also applied to J.C. Penney under his leadership (Kreitner, 2013, …show more content…
Leadership plays an important role in managing the organizational culture. Changing an organizational culture involves strategic planning with long term vision (Kreitner, 2013, p.73). I would recommend Johnson to improve the organizational culture at J.C. Penney, provide artifacts of the company’s goals and culture. Artifacts can be easily observed, changed, and distributed. Communication and collaboration of employees is also very important. If employees are not familiar with the company’s goals and what the company is expect from them they won’t be able to perform good. Successful organizational culture requires a team work. Johnson should establish the espoused values of the company. These are the stated values and norms that are preferred by the company (Kreitner, 2013, p.63). Johnson should set the basic assumption which values employees (Kreitner, 2013, p.65). When employees see they are valuable to the company and they are secure it gives them confidence and in return they give their loyalty to the
In the day and age of shopaholics and fashion trends changing every week, looking into the history of JcPenney, a retail giant, is long overdue. JcPenney was founded by James Cash Penney. Before opening his highly successful retail store, he first worked as a sales person for the Golden Rule Mercantile Company ("J.C. Penney Company,”). After three years as a salesman, the founder of the company and his partner promoted Mr. Penney to a manager and partner of the company. Ultimately, this prompted him to opening his own branch of Golden Rule with a cash only policy which bankers in the area were sure that his plan would fail.
The JC Penney Company is a united states based company and is among the leading companies in the apparel and home furnishings especially in the retail sector. The JC Penney Company is dedicated to fitting the American diversity with quality, value and unpatrolled style. JC Penney has opened up many stalls throughout the country where they offer different products with a wide range of sizes, fits, shapes, occasions, budgets among other considerations. For a very long time JC Penney has been raising in the market until the recent past when it seemed to be making the wrong decisions.it was among the largest American mid-range store. They have been very successful with the expansion of their stores all over the region and even with their expansion
New management sought to boost sales by rebranding JC Penney from the ground up. During this period JC Penney progressively increased spending for store renewals and updates as part of their initiative to regain sales, spending $875 million in 2013 alone. The initiatives put into place by management for rebranding seemed to be an utter disaster, and 2013 was spent trying to stabilize the business. JC Penney attempted to attract a more affluent customer base by decreasing promotions and discounts and rebranding, resulting in a significant decrease in sales. JC Penney showed $1388 million net loss in 2013, worse than the $985 million net loss in 2012.
According to the article “What is Organizational Communication”, there are multiple factors that create this culture. The way both customers and employees are treated because that shows if the employer values them, the written rules and norms as those are the guidelines to running the store, the dominant values and the feeling/climate that is conveyed by physical arrangements or personal interactions as that sets up the atmosphere of the store. Lastly, the freedoms employees are given also affects the culture, and a
The results reflect the company’s primary products of Women’s apparel, Men’s apparel and accessories, Home, Women’s accessories including Sephora, Children’s apparel, Family footwear, Fine jewelry, Service and other. The company is currently under the leadership of CEO Ronald Johnson age 54,
Case Analysis: J. C. Penney Company, Inc. Founded by James Cash Penney in 1902, J. C. Penney Company, Inc. has grown into a major mid-tier retailer. Focusing on providing goods and services for middle-income families, Penney’s competes in several segments. Although men’s and women’s apparel accounts for nearly half of all sales, Penney’s has a diverse portfolio including cosmetics, hair salons, home furnishings and appliances (J. C. Penney Company, Inc., 2015). As one of the oldest retailers in America, Penney’s has recently struggled to maintain the loyalty of existing customers while attempting to attract new ones. Historical Background Penney’s faced a hyper-competitive environment following the recession of 2008.
As we transform to achieve our vision, our culture must keep pace with our business needs and should reflect what our customers want and expect from us. However, an identifiable gap exists between the stated culture of a company, where companies want to be and the actual culture, the behaviors employees actually display. We must rely on our leaders to help bridge that gap and drive the desired cultural shift by employing the techniques that help drive organizational culture such storeytellting and focused recognition. (Clampitt
Have you ever been shopping in J.C. Penney’s and wondered what was this store like in the 1920’s? In the 1920’s the store J.C. Penney was named after a guy named James Cash Jr. and he led the business. J.C Penney was one of the stores that sold fashion clothes and it later became famous, also it was a store people would always go in and buy a whole bunch of stuff and the store would make a whole lot of money off of it. James Cash Jr. became famous because the store was named after him. The store J.C Penney fell and rose again in the 1930s.
Organizational culture is the foundation for organizations to strive and maintain success. Its structure of standards, include planning of human resources, management, health and safety, and the like. Organizations depend on these tactics to gain revenue, marketing strategies, and satisfaction of employees, and build relationships. Management should also be involved to create positive work environments, demonstrate great attitudes, and effective communication to its employees. The organizational culture at Walgreens is based on a variety of components within the organization.
Organisational values can be described as a “belief that a specific mode of conduct is preferable to an opposite or contrary mode of conduct” (Rokeach, 1973). Some organisations describe them as their ‘guiding beacons’ whilst others describe them as part of their philosophy. As Diageo explains ‘Our values are not just words on a page – they are in our DNA. They underpin everything we do and are reflected in the day-to-day behaviour of the company.’ –
Chouaib Elhajjaji Written assignment 3:“Corporate Culture at Herschend Family Entertainment” pages 318 – 320 (Questions 1-5) Due Date : Wednesday 25 November , 2015 GRADE_________________ 1-The characteristics of corporate culture elaborated in this chapter were the following. Corporate culture is shared, a provider of guidance, a provider of meaning in the organization, top heavy, a constellation of values, a dynamic constellation of values, organic, inclusive of life values. Choose three of these characteristics and show how the culture Manby promotes at Herschend Family Entertainment relates with each one.
The Importance of a Company’s Culture The culture of a company is one of the most important and sometimes overlooked factors in an organization. The culture can increase employee engagement and increase productivity which will allow a company to reach its goals, “From productivity and engagement in the organization’s day-to-day, to an employer brand that naturally fuels recruiting efforts, to creating a lasting brand that customers immediately recognize, there’s no escaping it – culture radiates outward into the marketplace” (Straz 2015). The culture can have a great impact on the employees. Employees thrive in a positive working environment and the ability to engage with their managers without fear of retaliation.
Schein (2010) defines organizational culture as shared basic assumptions learned by a group to solve its problems. Perhaps the most important part is that it it considered valid and is taught to new members as the correct way to perceive, think, and feel. Organizational culture can be uncovered through an understating of the following three components: 1) artifacts, “visible organizational structures and process”, 2) espoused values, “strategies, goals, and philosophies”, and lastly 3) basic underlying assumptions, “unconscious, taken-for-granted beliefs, perceptions, thoughts, and feelings.” Taken together, these components demonstrate a more practical way to apply the theory of organizational
Organizational Culture Assessment Executive Summary Organizational culture denotes a set of values, artifacts, beliefs, assumptions, and norms that emerges from the interactions of members of an organization. It is a generic term used to signify a host of behaviors that connote general operating norms of conduct for a corporation and the framework against which organizational effectiveness is evaluated. The aim of this paper was to examine the cultural values of Baxter Healthcare Corporation and report on how the company’s organizational culture affects the way it operates and perform its objectives. Moreover, by using information regarding Baxter’s corporate culture obtained through a face-to-face interview with Baris U. Agar, Ph.D. – a senior
Motivating cultural behavior within an organization builds up binding within the employees of an organization, which automatically makes them put in their efforts in a boosted up manner. This forms teamwork within the organization, which is a massive positive element to beachieved by any firm within the industry. Moreover, good culture within an organization will also ensure that relations within the employees are strengthened, which will automatically increase productivity of each of these employees. Delegates endeavor their level best to perform better than their related workers and win affirmation and vitality about the supervisors. Moreover, good and constructiveorganizational culture will also raise the reputation of the organization within the industry, which will help the management to build a brand value of the firm.