Strategies for assisting American Apparel

The strategies I would recommend for assisting American Apparel to move the organization in a new direction would be to hire a Marketing Director to revamp their advertising and marketing techniques. A Marketing Director is the main factor is taking charge of leading the company’s marketing efforts by implementing marketing plans, providing guidance by developing new brand strategies build awareness for the brand, develop price strategies to maximize profits and market share. Having AA to start by using free social media platforms, pop-up shops & discount stores. The company can focus on utilizing free social media platforms such as Facebook, Instagram, Twitter, and Pinterest to advertise sales, promotions, and locations of where their discount stores and pop-up shops will be. This offers great communication with their consumers regarding sales, promotions, consumer trends, continues with brand recognition and offers them to broaden the market to focus on. The company can use its Facebook site to provide fashion tips and news about new products and to communicate with its 14 million-plus Facebook fans (Pride, Hughes, & Kapoor, 2017). Another way to entice customers to purchase or to further brand recognition is to offer free shipping or to offer a percentage off or a certain dollar amount off their purchase. Macy’s also maintains multiple Twitter accounts to highlight special in-store events, announce discounts and clearance sales, and recruit college students and graduates for internships and job opportunities (Pride, Hughes, & Kapoor, 2017). Starting a pop-up shop can serve as a hybrid for businesses looking to ease their way into a new niche while minimizing potential losses. Launching one is approximately 80% less expensive compared to opening up a traditional brick- and-mortar location, according to StoreFront (Retail Touch Points, 2018). Based on my analysis I would offer these strategies as a great way to improve their overall advertising and marketing techniques as American Apparel has suffered many problems: poor money management, in debt, high loans rates, bankruptcy, competitive market, weakening of brand recognition and CEO accused of sexual allegations.

2. Identify the key functional organizations that will be involved in implementing your chosen strategy (marketing, operations, accounting, sales, HR, etc.). What role does each functional organization play in implementing the strategy?

The key function organizations that would be involved in implementing the strategies would be the marketing, operations, accounting and sales departments. As a Marketing Director holds ultimate responsibility for the organization’s marketing activities and oversees the development and delivery of a fully integrated marketing strategy for the business (Selection, 2017). An Operation Manager oversees the production of goods and/or provision of services. It’s an operations manager’s job to make sure an organization is running as well as it possibly can, with a smooth efficient service that meets the expectations and needs of customers and clients (Totaljobs, 2018). Accountants carry the primary responsibility for financial records, making sure the appropriate taxes are paid by federal and state deadlines, oversee efficient use of funds and related tasks (Jobdescription.net, 2018). The sales manager job description portrays a professional in the integral role of producing revenue for a company. A sales manager directs, analyzes, renders business and personnel decisions and promotes customer satisfaction (Jobdescriptionwiki,2018). The HR department is an element within a company that deals with the human aspects/needs of workers I believe the Marketing Director interacts and work with each department: operations, accounting sales and HR; they all work together on one accord to further the success of the company.

3. Develop a basic (high-level) plan to improve organizational performance, which should include the goals for profitability based on specifics from your financial and environmental (SWOT/TOWS) analyses and should explain in detail how the goals are in alignment with the company mission/vision and values.

A basic (high-level) plan to improve organizational performance would consist of American Apparel offering several incentives to assist with achieving these goals. American Apparel can have to recruit events and publicize them on their free outlet platforms like Facebook, Instagram, and Twitter to advertise the event. Recruiting events can bring in employees that are a great fit for the company. American Apparel can offer a positive and harassment-free work environment.

American Apparel can also make sure they are following the rules and regulations that are set forth in Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, (ADEA), and the Americans with Disabilities Act of 1990, (ADA). AA can have an employee’s recognition and reward program. For example, this recognition and reward program can reward/recognize each employee’s work anniversary and/or a job well done with a card and gift card. AA can have employee gatherings, where they can engage with them through conversation and activities. This can be viewed as a team-building exercise. American Apparel can have meetings with their employees to assist with new ideas. Asking the employees for their opinion and ideas can help them feel involved and valued. American Apparel can offer frequent career development opportunities, which would develop employee skills and offer potential opportunities for promotions. Training is always a great way to improve performance. AA could also issue employee surveys to see how well they are succeeding as an organization by being evaluated by the employees. As there is always room for improvement. American Apparel can offer scheduled evaluations for employees to know how well their performing and possibly where they need improvement, this is where training or revamping would come into play. These goals are aligned with the company mission/vision and values as AA was committed to making high-quality clothing for men, women, children, and babies without using cheap “sweatshop” labor and exploiting workers, believe in art, design, technology, employee care and limitations in the industry and value on improving their brand and appeasing their consumer market.

4. How do the strategy and performance improvement plan affect the organization’s functional departments (marketing, operations, HR functions, etc.)?

The strategies and performance improvement plan (PIP), affect the organization’s functional departments: marketing, operations, accounting, sales and HR because all departments and employees need to work hand in hand and together for the overall success of the company. If an employee is disgruntled or isn’t producing well it will show in the work, they produce or how well they represent the company. If an employee is performing poorly training can be offered.

5. What specific KPIs will you use to effectively measure the success of the strategy? Explain how/why these KPIs align with the identified strategy and with the organization’s mission, vision, and values. You should provide at least one KPI for each objective of the strategy. The KPIs that will be utilized to measure the success of these strategies will be for management to keep track of online traffic, how many times their post was liked, how many customers are new or returning and hashtag trends. Management can also measure if these strategies are successfully met by reviewing their sales revenue. A great tool to assist with keeping track of social media likes or hashtags is called Icon square and Twitter Counter. Icon square allows you to track how many times people liked, commented on, or uploaded a photo with your hashtag on Instagram. With Instagram becoming more and more important to retailers, knowing how many followers you picked up due to your pop-up shop is a great metric to track (Khan, 2018). Twitter is an ideal tool if you want to track your hashtag and branded conversation on Twitter. You can correlate your offline activity with how many followers you picked up and how they engaged in actions like retweeting and favoring your tweets (Khan, 2018). AA can also have consumers fill out surveys online, these quality assurance surveys would show how their overall business is performing. American Apparel could track sales revenue by purchasing a sales report software that would allow them to conduct a sales metric to check the sales over time, average order value over time and the sales product all of these features can be utilized. AA could also measure if having discount stores and popup shops while utilizing free social media platforms was successful by seeing if their inventory turnover has increased or decreased. If their inventory turnover has increased this means that sales are booming, and the product is moving off the shelf. Another way management can measure the success would be to see if their overall consumer platform has increased and even if they get more consumers visiting their actual stores. The best metric that truly gauges the success of a pop-up shop is the number of people that visit the store (Retail Touch Points, 2018). These KPIs align with the proposed strategies as American Apparel had already begun its growth strategy of building a good online sales platform (Mehta, 2016). These KPIs are aligned with the proposed strategies as AA mission, vision, and values are being committed to high-quality clothing for men, women, children and babies, to believe in art, design, technology, employee care and limitations in the industry and value on improving their brand and appeasing their consumer market. As the success of a business will determine rather or not the business will survive the retail market.

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