Question Your Store Manager has had a stressful month.

Question

Your Store Manager has had a stressful month. It is the end of the financial year and sales revenue in the Timber and Plumbing & Electrical departmentsis down on targets, almost certainly due to increased competition from smaller competitors for trade contractors’ business.

Just this week, the Store Manager held a meeting in which she yelled at all thedepartment managers and told you and them to work out a way to improve revenue. Obviously, the outburst did not make much sense as the department managers, in such a large business, do not have the capability to raise much revenue directly. Marketing and distribution innovations that could have an effect are mainly a head office responsibility. The Woollongong store’s inability to counter the threat from smaller, more nimble trade suppliers has been the main reason for the revenue deficit.

Naturally, the atmosphere around the store and in the management team is subdued and a few managers have discussed leaving the organisation; other managers have responded by pushing unreasonable sales demands onto their sales staff.

You are now feeling pressure to do something: to act contrary to budget planning and cut costs or to increase pressure on others to offset poor performance in other areas.

In your opinion, this leadership behaviour was disrespectful to all the managers, created unnecessary concern about job security and undermined trust. There has been a clearly negative flow-on effect down through the store, which is now affecting people at a lower level. You are justifiably angry at the manager’s behaviour and blame her for making a bad situation worse with poor leadership and poor emotional awareness.

In your written response to the above scenario:

●     Describe what you think is the best way to respond to the Store Manager’s behaviour. Describe how you would model positive leadership behaviour.

●     Describe the principles of emotional intelligence that the Store Manager did not demonstrate.

●     Describe how the Store Manager should have acted and communicated.

●     Describe the connection between the Store Manager’s behaviour and store morale. Describe what effect the Store Manager’s behaviour could have on store performance.