(c) Marius Janson1 Colruyt Core Beliefs Catholicism Right to Privacy Social Action by church State...

(c) Marius Janson 1

Colruyt

Core Beliefs

Catholicism

Right to Privacy

Social Action by church

State Responsibility

Right private property

Right of workers

(c) Marius Janson 2

Colruyt

Cont’d

Living Wage

Job Security

Worker Responsibility

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Colruyt

Socialism/Marxism

Learn to question ideas Learn to argue rationality

Reject rationality as sole determinant

Accept Emotionality

Question different models

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Colruyt

Post Modernism

Marxism and Catholicism are two Grand Narratives which individuals use to explain the world and direct action

Modernism

“in any science which legitimizes itself by referring to some grand narrative such as the rational subject”

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Colruyt

Cont’d

A work or view becomes postmodern if it was first modern

Post modernism is XXX and recurrent

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ColruytPost modernism does not hold in inevitable progress arising from human action

Rationally argued positions do not constitute the totality of knowledge

Lyotarch holds that discussion and conflict lead to new inventions

Dissension is kept alive by equal access for all to information

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Colruyt

Cont’d

Message interpretation is contextual and fluid and culturally dependent

Need information from multiple sources

Flemish and French cultures

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ColruytCommunication

“It is urgent that we learn to communicate. Check whether words mean the same for all parties; they seldom do. …achieve understanding of the position of the other…”

Business Model:

+10

-10

1

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ColruytRole of IT

Organize operations around the computer

What we cannot do with the computer we won’t do at all

IT has commercial consequences: Some products cannot be sold.

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Colruyt

ISID

…how do I stay informed? I turn on my monitor and scan memos which upper management have received and sent. I scan one hundred memos and that gives me good insight in to the issues. Then I make my rounds….


Colruyt

ISID

…to understand society one needs many models - economic, social, capitalistic, Marxist, etc. They embody a collective intelligence which is activated by open communication among individuals. It occurs in meetings, on the telephone and by using ISID. Communication is key to company success….


ColruytISD

a) User describes how IS improves the job performance

b) Calculate IS contribution to company

c) Calculate IS development cost

d) Calculate how much he is willing to pay for IS development


ColruytCont’d

e) Calculate maintenance cost

The request goes to steering committee and then to IS department


Colruyt

First the IS department planned IS development and selected

projects

Second the users selected the systems

Led to an enormous increase in IS development


Colruyt

Outsourcing

“Because of the huge outlays the role of the IS department and outsourcing have been debated vigorously. In the end we concluded that outsourcing inevitably leads to a loss of control.”


Colruyt

Work Roles

“…shows me a competition’s flyer, stating a lower price, then I give an immediate price reduction.”

Clerks also exercise power over job choice -

customer checkout

reshelving


Colruyt

Cont’d

Decision Making

Independent decisions

group decisions

Consensus/Dissensus


Colruyt

Emotions

“Someone says, “I feel discouraged you backed me into the corner.” That person speaks about his emotions. When others understand these emotions that creates an environment for human interaction. Rationality and emotionality should be open for discussion.


ColruytCorporate Norms

Incorrect Flemish/French translation. Led to unpleasant exchange of ire between translator and employee.

Colruyt intervened and set limits to exchange. Criticizing is fine but no invectives.


Colruyt

Development and Training

1) Questioning during meetings about situation, decisions, and

rationality of assertions create high levels of stress and safeguards are needed to keep stress within acceptable limits.


Colruyt

2) Training involves self-empowerment

self-expression

assertiveness

communicative

competence


Colruyt

Organizational Structure

1) Hierarchical but flat

2) Functional groups that form around a specific problem and then disband

3) Management does not emphasize the hierarchy

4) Power is not assigned from the top but instead acquired by individuals


Traditional Supermarket Colruyt Discount Supermarket*Modernism, which is based on the concepts ofinstrumental rationality, informs the company'sideology.*Socialization of the individual into larger groupentities.

*Postmodernism, which is based on questioningthe grand narratives, informs the company'sideology.*Attention is on the individual.

*Fordism-mass production and mass marketing ofhomogeneous products.*The aim is mass consumption of a limitedassortment of products.

*Postfordism-small batch production of manyheterogeneous products and niche marketing.*The aim is individualized production andselective consumption from among a very largeassortment of products.

*Rigid organizational structures coupled with top-down command structures and bottom-upcommunicative structures.*The organizational structures are based onbureaucratic concepts.*Employees mistrust management.

*Flexible organizational structures couple withnetworked command and networkedcommunicative structures.*The organizational structures are based ondemocratic concepts.*Employees trust management.

*Planning - short term.*Spatial centralization - product pricing on system-wide basis.

*Planning - long term.*Spatial decentralization - product pricing isdetermined on a store-by-store basis.

*Managerial decision making - consensus seeking.*Managerial decision making - rationalism.

*Managerial decision making - consent seeking.*Managerial decision making -deconstructionalism.


Table 2. Labour Structure

Traditional supermarket Colruyt discount supermarket

Employees focus on a single task witha high degree of task demarcation

Employees focus on multiple tasks with a lowdegree of task demarcation

Employees have little formal education Employees have much formal education-storeclerks have high school diplomas and managerspossess university degrees

Little on-the-job training Much on-the-job training

Little job rotation An extensive job rotation policy

Limited worker job responsibility Extensive worker responsibility-clerks performmultiple assignments ranging from checkout dutyto reshelving and cleaning the store=s interior

Limited worker empowerment Extensive worker empowerment-clerks decidewhen and how to perform their multiple jobresponsibilities

A hierarchical management structurewith decision making located at thetop of the organization

A flat management structure with decisionmaking throughout the organization

Limited job security for full-timeemployees

Much job security for full-time employees

No job security for part-timeemployees

High employee turnover Little employee turnover

Homogeneous labour markets Heterogeneous labour markets

*Adapted from Clegg (1990)


Figure 1: Approximate Colruyt Organization Chart

Presidentand Board of Directors

DirectorPersonnel

DirectorFood Distribution

Director Warehousing

DirectorTechnical Services

District Manager

Store Manager Section Manager

Shop-Floor Employees Shop-Floor Employees

DirectorSales


Table 3. Interactive System for Information Dissemination

Characteristics and specifications

Monthly volume Documents: 100,000 Printed pages: 1 100,000

Response time On-line documents: 1 second Archived documents: 15 seconds

Data base storage Recent documents: direct access storage Old archive: optical disk

Data base structure Three VSAM file types: Glossary: Keywords, Document numbers Text: Texts, Documents numbers Title: Keywords, Document numbers

Document search On keyword with Boolean operators

Document confidentiality Restricted: Keywords and contents accessible onlyto individuals named in the document

Nonconfidential: Keywords and contents accessibleto anyone

Document access Restricted: 5% Confidential: 15% Nonconfidential: 80%

Terminals Total number: 700 Per store: 3


Subject Traditional Supermarket Colruyt Discount Supermarket

Product offered

Wide product assortment offered instandard package sizes.Inventory is replenishedperiodically.Supply driven inventory policies.

Stockouts are infrequent.

Extensive product assortment offered at below-competitor cost and in many different package sizesmade possible by using IT.IT-based daily inventory replenishment.Demand driven inventory policies using IT-basedhistorical customer purchasing figures.Stockouts are rare

StoreEnvironment

Aesthetically pleasing store interior.the intended message - a pleasingstore interior corresponds to qualityproducts.

Sober store interior lacking any but the most basicarchitectural features.The intended message - a sober store interior enableslow prices.

Support

Customer assistance is limited tofriendly service at the checkout.

Average to long customer waitingtimes are the rule.

Clients receive IT-based assistance throughout thestore.Clients are assumed capable of making rationalpurchasing decisions when provided the correct andright amount of information - product contents, productunit cost, and product preparation guidelines.Short customer waiting times made possible byextensive IT application - during slack times checkoutclerks restock shelves.

Policy on Costreduction

Cost reductions are achieved bypaying low wages, few benefits, andby using many part-time employees.

Cost reductions are achieved by employing few butmainly full-time employees, by improving employee andorganizational efficiency and effectiveness, and bybargaining for large-volume based product costreductions.

Adapted by Clegg (1990)

(c) Marius Janson1 Colruyt Core Beliefs Catholicism Right to Privacy Social Action by church State...

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