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More than one Option

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Two times today I was reminded that the skills and experience that FMCG jobs provide, can open up many more options than you think.

The first came in the form of an email from one of my clients. They required me to start the search for a Marketing Manager to replace one of their employees who was leaving to start their own business.

Leaving a stable secure role with a Blue Chip employer to jump into the relative unknown world of managing cash flows, negotiating leases and trying to make a profit was the option they had decided to take.

The second was a call referring a candidate to a role I was looking after. The call was from another candidate “Harry”, whom I had been working with to secure a senior sales management role. I always welcome referrals and in this case it was a strong candidate with great experience so I immediately rang his number and booked him in for a chat.

So I asked “Harry” if he had secured a role since our previous discussions. He explained that he and few other senior FMCG experienced ex-colleagues had put a syndicate together to launch a retail concept. He was a bit secretive with the details and explained he couldn’t say much at the moment.

In the above two cases the people obviously had experience,  resources and the ability to take the leap of faith and start these businesses. But what if you are young, keen have the ability and desire but not the capital to make the dream of running your own business happen?

Well this opportunity is now being offered by Bakers Delight in the form of a new concept called MTO – Manage To Own targeted at young inspiring entrepreneurs.

The idea is for potential franchisees to get the training and management experience of running a Bakers Delight franchise and once they have successfully completed the program, which would take around 12 months, they are assisted by Bakers Delight to purchase their own franchise business.

The program overcomes many of the financial constraints for potential franchisees by paying them while they do the 5 month Franchise Training Program and also while they get the practical skills by managing a Bakers Delight for 6 months.

I think it is a great idea as takes out much of the risk associated with taking on a small business, not only because it is part of a franchise system, but also because you have the security of an income while getting the experience required to be successful.

It also gives you the opportunity see if you can cope with the early starts and if you can count to 13.

Tim

Posted under Retailers

The Age has picked up on the Coles Trading Terms issue in today’s paper and online. In an article by Ari Sharp it highlights the tension between Coles and Suppliers and indicated that there are ongoing demands for more terms and the offer of nothing in return. That is except if you count maintaining your listings or reducing your losses as nothing.

Bend Over

The money is being earmarked by the buyers as for “Store Refurbs”, and there is no negotiation, it is take it or leave it.

Have a read of The Age article and comment if you dare!

Tim

Posted under News, Retailers

Is this the worst job – being a Coles National Account Manager or Business Manager.  Competing against a heavily supported house brand, reduced promotional activity, reduced ranging, delistings and on top of that a request for more trading terms.

Request is probably not the correct word though is it?!

Any Comments, anonymous of course – use a  name like Idi Amin or Robert Mugabe.

Tim

Posted under News, Retailers

It’s pretty quiet on the jobs front, not many new roles but not a huge amount of candidates either. Last year we experienced and extraordinary December/January period where the recruitment process barely came to a stop as companies pushed to secure the best available talent even if it meant doing a reference check on New Year Eve.

So is January just going back to normal, just a slow start as people return to work and put out the fires and will start thinking about HR and recruitment in Feb/March?

I don’t have the answer, but I haven’t seen anything that points towards a great year for the job market. It will be much slower than last year and good candidates will still get good jobs and average candidates will have to work harder and wait longer to secure their next role.

We have seen more companies trying to recruit themselves through SEEK and print advertising in the past 3 months. This may continue but you need resources to do this and the success is more hit and miss than you would think. Remember to do those reference check guys.

Any feedback is most welcome.

Tim

Posted under Jobs, News, Retailers

Woolworth’s has established a scheme where over 115,000 of their employees will be allowed to spend up to $1000 at any Woolworths store from their pre-tax income. The spending must take place before 9th January 2009.

Given that the employees are probably pretty loyal, it is questionable if this will boost sales by very much. It is a nice gesture at Christmas time however. I think that the money being dished out by Rudd over the next fortnight is going to give a bigger boost to sales, particularly in Big W.

Tim

Posted under News, Retailers

Another month’s results from the ACCC’s Grocery Choice web site and Woowlorths is now the cheapest. So what does this mean?  The front page of the web site tells us the news;

• Woolworths cheapest on total grocery basket in 59 of 61 regions (up from 21 last month)
• Nationally, the price difference between Coles, Woolworths and Independents has narrowed
• ALDI cheapest on basic staple products

By the way this is what they do;(from the web site)

“Price information is obtained from an independent monthly survey of approximately 500 products from 600 supermarket outlets across Australia. The results of each monthly survey will be made available on the GROCERY choice website on the first business day of the following month.” Read More…

Posted under News, Retailers

Hardware buying supermarkets, we have seen that, supermarkets investing in hardware, watch this space.

Mitre 10 has been struggling for the past decade to have an impact in the Hardware channel, particularly in metropolitan areas. The Australian Financial Review has reported that Mitre 10 and Woolworths are in discussions regarding a capital injection or outright purchase of entity.

The AFR also indicates that Mitre 10 will be holding a shareholders meeting during its National Convention next week on the Gold Coast. With the vast majority of shareholders in attendance this is an ideal opportunity to present a restructure or buyout proposal.

Hardware should not pose any ACCC issues for Woolworths as this is one of the few areas that WOW do not participate in in the Australian market.

Tim

Posted under Retailers