 Features of Management

1. Management As a process –
a) In 1969 , A Frenchman opened a perfume store name ‘shop 8’.
b) In 1993 , They acquired 38 perfumeries name Sephora stores .
(Continuous Process)
c) In 1998 , The company launched its first website , but later company website was
out sourced. (Integrated Process)
d) The company website aimed to offer better visuals , products information and
communication mechanism for clients. (social process)
2. Management As an Activity –
a) Sephora launched its mobile app to provide knowledge about the product.
b) Beacon technology allowed users to a more specialized and engaging customers
experience.
c) Sephora merged All its stores under one roof to create one-Omni retail
department.
3. Management is Goal Oriented - Every organisation has certain set of goals to be
achieved. Sephora’s aim was to gain customers especially the younger generation.
For this, Sephora partnered with teenage-messaging application Kik in 2016.
4. Management is Universal Process – Sephora operating 2300 stores and with various
competitors in the market all across the world, Management exists in every
organisation irrespective of its size or nature of operation. They’ve also had
particular marketing and digitalization team for different countries as their language
and culture are different.
5. Management as Art and Science – Sephora has used the management as science by
expanding which is the target of every firm for business growth , And as an Art
Sephora has launched many new things like Colour IQ , Fragrance IQ , and they’ve
also leveraged both AR and VR for instore and online make up trials.

 Objectives of Management
1. Organizational Objective - The organisational objectives is Growth. From
opening a single store in France to establishing 2300 stores across the world,
Sephora was successful in achieving in its growth objective.
2. Personal Objective – The personal objective of Sephora is to provide its
clients satisfactory products when it comes to satisfaction they’ve made
many Technological gadgets or application through which customer can take
trials of each and every unless it’s a fulfilment of their desire.
3. Social Objective – The social objective of Sephora is to utilize the social
platform which is increasing day by day. Sephora has focused upon educating
its customers through social media like Instagram, Snapchat and Facebook.

 Importance of Management
1. Optimum Utilization of Resources - 1000 stores in 23 countries 288 brands
were offered, representing over 20,000 products.
2. Cost Reduction - Pricing was identical to that of departmental stores ,
Promotions involved offering samples rather than discounting.
 3. Growth And Survival – Sephora has started with one perfume store in 1979
and as of 2018 , Sephora has 2300 Stores , 17000 Products and 25000
Employees around the globe, it has survived in the with its adaptation of new
technologies (AR,VR) and Utilization of new tools like Google Analytics 360.

 Levels of Management
1. Top/Strategic Level Management - Julie Bornstein (CMO of Sephora),
Debora Yeh (SVP of Sephora), Laughton (EVP of Sephora), Cris De L (CEO of
Sephora).
2. Middle-level Management - Anne Veronique Baylac (Chief Digital Officer of
Sephora)
3. Lower/Supervisory/Operative-level Management - Employees and sales
representatives.

 Functional/Areas Of Management.
1. Financial Management - Monitoring financial resources with a view to achieve
organizational goals and objectives. Sephora had the large amount of capital which
was used to invest in new product or expansion of business in new country .
2. Personnel Management -  Focuses on hiring and developing employees to become
more valuable to the company. Sephora might has the great HR team for selecting
the efficient employees for the growth of the company.
3. Production Management – It is related to application of principle of management in
business executed by the middle level management. In case of Sephora , Anne
Veronique Baylac (Chief Digital Officer of Sephora) is the head of middle level
management and responsible for applying planning, organizing, directing and
controlling the production process.
4. Marketing Management -  Focuses on the practical application
of marketing orientation, techniques and methods inside and outside the firm.
Sephora has the experts in marketing they’ve used almost all the new tech and
software for the Marketing and customer analysis. They’ve used Digital Marketing
since its inception , They’ve used Beacon for Customer Behaviour Analysis , They’ve
for almost every new and old social medial platform for its advertising.

 Functions/Process of Management
1. Planning- It is process of making plans for something. In case Sephora ,
the growth of Sephora has been totally dependent upon its planning
from having a single store of perfume to acquiring 38 perfumeries and
merging them into 12 Shop and 8 Store cannot be done without
planning .
2. Organizing- In simple words it is the process of dividing work into sections
and department. Sephora was expanded around the world so they had to
apply different strategies for different according to their skin tone and
language.
3. Staffing – In 1997 Sephora had 54 retail stores and employed 1500 people. For
the management of those brands Sephora increased there staffing into
countries .In 2018 Sephora employed over 25000 people all over the world.
 4. Directing- After acquisition in 1997 Sephora looking for bright future in
digitalization then CMO and Chief digital officer launched there website
initially it was outsourced. After digital advancement Sephora had expansion
in 33 countries .After digital advancement they launched mobile app after
that Colour IQ , Skincare IQ ,Fragrance IQ , use of Social media for branding
purpose, beacons in 2015 , Sephora assistance, beauty hubs in 2017 By
constant direction of management. Sephora able to diversify business and
technique of business growth.

5. Controlling- There was a time when Sephora was not able to educate their
customer about the different products and their speciality , so they created
website and mobile through which they can educate their customer about the
products and recommends according to their skin type .

 Managerial Skills
1. Technical Skills – Sephora has always been surrounded by technology ,
Machines and Bots. In 2012, Colour IQ for scanning client skins , Skincare IQ
to find out the skin complaints, Fragrance IQ for the trial of different
perfumes, and then many more like beacon , Sephora Assistant.
2. Human Skills – Sephora has utilized the Human Skills in a great extent, When
it comes Marketing of products and Digital Marketing , Their employees has
been always ready to contribute and try something new for marketing. They.
Always came up new marketing strategies like Websites , Different IQ
applications for trials and utilizing new tech .
3. Conceptual Skills – Sephora is great at conceptual skill which means the
problem solving skill . Sephora has always done analysis and understood the
need of its customers . And they’ve faced various problem like Customer
were not able identify the suitable products for their skins so Sephora
launched Skincare IQ application which used to scan the faces of customers
and on the basis of that it recommends suitable products for customer, They
were many problem came but Sephora has come up with the solution.

 Macro Environment
1. Economic – The economic condition of the company is never stable its always
fluctuating. The data collected from the integration of CRM and Google Analytics
helped Sephora to discover that 70% of the customers who visited the company's
website purchased the products within 24 hours of reviewing them on the
website. Sephora found that its online advertising or digital marketing enhanced
its in-store purchases. There were about 3.9 times more returns from the
advertisement expenditure. The company also found out that if a customer
visited its website one-day prior to his/her purchase, there was a 13%
enhancement in its in-store purchases. The major observations were received
from Singapore and Australia.
2. Social – The social factor consist of customer who buys products based on many
factors which includes their demographic location, ethnic background, social
status, immediate needs, lifestyle changes and trends. Sephora has always under
 stood the customer basic need on which they buys products for they had
launched Mobile application and 3D augmented reality Mirror ‘Sephora Virtual
Artist’ , Through this application One could try a particular shape of lip colour or
a particular set of eye lashes.
3. Technological – The Technological Factor includes developments of wireless
communication and business techniques, smartphone applications, etc. Sephora
has used the technological factor very well ,

 Colour IQ - The new technology scanned the customer's skin and assigned a Colour
IQ number. The number could be used in-store or on mobile applications to
Personalize the product assortments. Sephora leveraged Colour IQ and sent emails
to the customers.
 Skincare IQ - Skincare 1Q was an augmented reality facilitated quiz pertaining to
customers' skin complaints. On completion of the quiz. the application searched
through Sephora's diversified product ranges and came up with recommendations
on skincare products based on the customers complaints.
 Fragrance IQ – Customers could find matches based on their perfume preferences
and style. Sephora partnered with `Inhalio’. Insta Scent worked on sensory
technology and used a dry air delivery system wherein customers could explore
fragrances emitted from a nozzle. The customers could smell up to 18 scent families
without even applying them.

 Micro Environment
1. Suppliers – Like many other companies Sephora is also dependent upon its
supplier of many suppliers for equipment, raw material, etc to maintain their
production of perfume and other beauty products.
2. Competitors - Sephora faced various challenges from its competitors which
includes L‘oreal, Amazon, International players of herbal companies such as
Forest Essentials, Khadi Naturals and Biotique. These companies served to be
a major threat due to their new product launches and innovative techniques
to attract customers.
3. Customers – Sephora has always Targeted 25-35 year old women many of
who "grew up" with the company.
4. Marketing Intermediaries – There is always an agents, wholesalers and
retailers , marketing services agencies; ,physical distribution companies for 
consignment of the goods , and for Import-Export of goods.
5. Financial Institutions- The financial institution always plays a big role in case
of expanding of business. In case of Sephora also took the help of many
financial institutions like central banks, retail and commercial banks, internet
banks, credit unions, savings, and loans associations, investment banks,
investment companies, brokerage firms, insurance companies, and mortgage
companies.

Analysis By Group – 2 ,
ANUJA , BHARVY,
SHREYA,BRIJESH,
NIKHIL,SIDDHARTH