Creating a Procedure
Manual
A rule book for running the business
During last month's Retailer's
Notebook, we discussed the advantage of implementing several "weapons" that
can assist the independent retailer in becoming a stronger and
more profitable business.
We began by stressing the importance
of staff meetings for any and all businesses, regardless of the
size of the staff. It was explained, from our personal experiences,
that what would begin as gripe sessions would soon evolve into productive
one hour team building sessions. During these sessions
you would be able to see the quality of your staff improve as
a part of your ongoing effort to distinguish your business from
the competition.
As these staff meetings developed
from gripe to growth, there would be ample time during the meeting
for the introduction of written policies. These policies would be
the written rules of your store, and cover things such as dress
codes and employees requesting additional days off.
Policies are
closely related to procedures, as they are the written instructions
of how to perform certain tasks. The reason for these written details
can best be demonstrated in the children's game in which the first
child tells something to the second child, who in turn attempts
to repeat the statement to a third child. This passing of information continues to the last child who has the assignment of saying aloud
the statement as best they understood it.
This game usually draws
quite a laugh as the statement of the first child bears little
resemblance to that of the last child.
As retailers, we often
do the same thing with our employees. We have given instructions
to one person who is then asked to instruct a second person, and
from there the information works its way through the entire staff.
Unfortunately, our instructions frequently have the same results
as the children's game. Over a period of time, the details and
the quality of the efforts are lost.
The policy and procedure
manual, in a written form, should evolve over a period of time
as the need for each situation to be resolved occurs, or the opportunity
for advancement is found. The manual will have greater value,
and a higher level of success, if all of the employees are involved
in determining which procedures should be created. And this is even
more evident if the employees are involved in the actual creation,
and monitoring of the procedure.
There are many situations in
your business where a procedure could be utilized. Starting at the
front door, if you have assigned cashiers in your business, your
best cashier could be an excellent resource for information in creating
a list of skills to be mastered by all of the cashiers. Again, from
our personal experiences our procedure was titled, "50
ways to be a better cashier" and contained all of the areas
of concern.
The individual that created
our list was able to review
it with a new cashier every day so that she would be able
to determine within two weeks if the new cashier was mastering
the necessary skills. With all of our cashiers, maintaining this
skill list was also an important part of their semi-annual job
performance review.
There can be procedure instructions
that detail how to write a repair ticket for any item that a customer
brings into your store, how to stock shelves, the appropriate documentation
of the sale of products that are restricted by law, and how to be
proactive in a situation involving shoplifting.
While you
may think that you have a clear expectation of how a procedure
should be performed within your business, each of these instructions
should receive repeated review and revision as you experience
ways to improve the operation of your business.
These documents
can also be important tools in regards to the management of your
employees. As you create the policies and procedures of your business,
a notebook containing each of these items can be easily stored
near a check out stand or time clock to allow your employees to
refer to them as necessary.
If you create each written procedure
in a manner that requires the employee to sign and date the
document, you can also put a copy of the signed document in their
personnel file. In the event of a problem, you would now have the
necessary material to demonstrate that you have properly trained
your employees. This documentation could come in useful in the event
that you are subject to an OSHA inspection or audit by your workman's
compensation insurance company.
These procedures can also cover
many of the basic, everyday chores. It was once noted that the
Marriott Hotel chain uses a written procedure with over 100 steps
listing how to clean a room after a guest has checked out. And when
closing your store at the end of a business day, if you or an employee
have ever forgotten to turn off some equipment, complete a computer
function, or perhaps left a door unlocked, you will begin
to see the benefit in having written procedures in your business.
During this and the previous
month's edition of Retailer's Notebook, we have examined the benefits
to you and your business by having staff meetings, as well as written
policies and procedures. In the coming issues of Retailer's Notebook,
we will discuss how to create job descriptions, job specifications
and the benefits of having them.