COLLEGE OF AGRIBUSINESS MANAGEMENT

PANTNAGAR

CASE STUDY B. Hritik (58559)

Shreya Sandoriya (58560)
"A bumpy Akash Goyall (58561)
CONTENTS

OVERVIEW
IMPACT OF RECESSION
HUMAN RESOURCE MANAGEMENT STRATEGIES
PROBLEM STATEMENT
MAKEUP STRATEGIES
SMART INSIGHT: ROSS RECK AND HARRY PAUL
 Nebula Hypermarket

Founded in 2003
Became one of the largest and most successful
retail chains in the country in the first 4 years.
run by Mihir Bani
It had been a smooth ride till the recession hit it.
Impact Of Recession
STRATEGIES
on Nebula EMPLOYED
Hypermarket

Reduced purchases Discounts on Fast-moving

Dipping sales revenues products
Reduced sales incentives Training workshops
Diminishing customer Special incentives to sales
facing teams team
Low employee morale Changes in entire system
of HRM
 HUMAN RESOURCE STRATEGY

Hired the first batch of veterans in the

industry as key personnel
Building a - to avoid risk to failure
team
People with prior retail experience
were selected
 HUMAN RESOURCE STRATEGY

"The CORE VALUES formed the basis of all that

Nebula stood for, the VALUE WHEEL, the HOLY
GRAIL for all RECRUITMENTS."

The Value
Wheel Ethics a World beater
Integrity mindset Fun
Enthusiasm Innovation
Entreprene
urial spirit
 HUMAN RESOURCE STRATEGY

Applicants were asked about their past behaviours,

Recruitment decisions and their consequences
Multiple interviews.

function Oriented:
Induction & 2-week orientation program for sales and
Training customer facing teams
buddy programs
 PROBLEM STATEMENTS

The Bell curve largely skewed in the mid year with over
60% employees not able to meet the average
expectations.
Profit-sharing plans got withhold when the recession put a spoke
in the wheel. (Recession affecting the global retail giants had a
significant impact on the retail chains stopping them from making
investments.)
Arising Inter-departmental conflicts causing blaming each others
and reducing Morale of employees
 STRATEGIES

“Even in tough times, we can win

customer loyalty by focusing on
those who aren’t our best
customers.”

By making sure by only offering

what customers value.
 5 rules to gain market
share
1. Focus on customers who are loyal to neither Nebula
nor their competitors
2. To seek continually close the gap between
customer need and what they are being offered
3. Attempt to reduce ‘bad-costs’
4. Form clusters of stores based on similarity of
customer needs and purchase behaviors.
5. Adopt Retooling process (customer research, merchandise
planning, performance management), to better apply the
first four rules.

Tying up with major retail chains across the country

to have a common supply chain and warehouse for
stocking goods.
 SMART The declining sales and the low levels of
morale and productivity at Nebula Hypermart
INSIGHT: ROSS are actually symptoms of the real problem
RECK AND
HARRY PAUL
 This model is often referred to as
Management by the Numbers:

management communicates the

TRADITIONAL performance numbers that employees
are expected to achieve
MANAGEMENT they monitors the actual performance
MODEL numbers to see how they compare to
expectations
management provides objective feedback
on performance backed up by
rewards and punishment
 1. Focus on people instead of
performance numbers
If the management
team at Nebula wants to Right now at Nebula, the front line
turn around its sales employees who do the work are pretty much
numbers and improve ignored.
morale and productivity,
they need to do the
So, the overwhelming majority of attention
following three things:
should be focused on the people who do
the work because it’s their level of effort
that determines the success of the
business.
2. Motivate with trust instead of fear

The opposite of fear is trust which brings out the best in

people. In order to motivate with trust, the management
team at Nebula needs to jump into the trenches and spend
some time working right alongside front line employees
interacting with them and with customers.

The purpose of doing this is to listen and learn—listen to

employees and customers in order to learn what the
problems are that have led to the declining sales and what
needs to be done to solve these problems
3. Encourage front line employees to turn their work into fun

Fun is extremely important because it releases energy

which makes it possible for people to work harder.
As such, the management team at Nebula should
encourage front line employees to turn their work into fun.
On the other hand, when fun is restricted or prohibited at
work, unhealthy and costly symptoms quickly appear—
boredom and negativity set in, people become irritable and
their energy level goes way down.
THANK YOU