Business Challenge:
Like many retail organizations, our
client–a Fortune 500 retail
giant–recognized that excellence in
the buying organization translates into revenue growth, customer
(guest) satisfaction, and profitability. One strategic source for
new buyer talent was current employees in related merchandise
analyst roles. Yet not all employees in such roles had the skills
to successfully transition to a buyer role; mistakes became costly
for the organization and for the individuals. Our client faced the
dilemma of how to identify and select the right talent to invest
in.
Solution:
Working together with the company's merchandising and HR
leaders, MDA consultants shadowed the best performers, learned
about the challenges of the buyer role, and helped to craft
behavioral competencies demanded by the work. We developed
and installed an internal assessment center that mirrored the roles
and tasks of buyers, allowing the company to assess an individual's
skill level and potential for performing the buyer role well before
investing in their training and development. The assessment center
included negotiation simulations, line reviews, structured
interviews, a presentation exercise, and other measures.
Results:
The assessment center we established for buyers has withstood the
test of time. The center continues to run after 10 years and has
been an integral management tool for selecting individuals with the
most potential to be successful. With slight modifications to
make the center more amenable to an age of technology, the model is
expected to endure into the foreseeable future. The assessment
center approach reduced the number of selection errors, increased
the ROI for buyer training, and improved selection consistency
among diverse merchandise leaders.