David Jones Essay

David Jones has a skilled, experienced and expertise Board of directors which is accountable for caring the rights, interests and the management of David Jones. Chief Executive Officer and Managing director are responsible for setting strategy, planning and administration for the company on daily basis. Paul Zahra has been â€Å"Chief Executive Officer and Managing director† for David Jones since 18 June 2010. Mr Zahra has more than 30 years’ experience in the Australian retail industry. He has held senior management roles across the retail sector in the areas of buying, stores, visual merchandising, supply chain, store refurbishments, customer service and operations. Directors are from a mix of different backgrounds, knowledge, skills and experience in the areas of retailing, financial services, property management and development, marketing, human resources, information technology, finance and law. Board of Directors Committee Memberships Name Role Audit Remuneration and Nominations Peter Mason AM Chairman and Non-Executive Director Paul Zahra Chief Executive Officer Jane Harvey Non-Executive Director  John Harvey Non-Executive Director Chairman Philippa Stone Non-Executive Director Steven Vamos Non-Executive Director Chairman Leigh Clapham Non-Executive Director Executive Management Name Role Paul Zahra Chief Executive Officer Paula Bauchinger Group Executive – Human Resources Cate Daniels Group Executive – Operations Matthew Durbin Executive – Strategic Planning Antony Karp Group Executive – Retail Services Sacha Laing Group Executive – Marketing and Financial Services Donna Player Group Executive – Merchandise David Robinson Executive – Multi Channel Strategy and Integration Brad Soller Chief Financial Officer 2. Employees According to David Jones , to achieve the highest profits and improve customer satisfaction, the company need to create an effective working environment for their employees following these goals: Every employee is valued; Recognition and reward for their contribution and performance; provide opportunities for employees to achieve their full potential; Obligation to safety, health and welfare, environmental responsibilities; and Support for philanthropic causes that are important to both David Jones’ customers and employees. Therefore, David Jones’ commitment is to realising its vision of being the ‘best place for our people to work’. In FY2012, David Jones invested in a range of advantages to ensure employees feel valued and supported: David Jones Charity Leave Policy: Supporting the philanthropic causes that are important to its customers and team members. Employee Referral Program: To reward any team member whose referral results in the successful placement of an external candidate in a nominated vacancy. Employee Self Service: To help team members achieve their full potential, reduces administration and to meet David Jones’ objective of transitioning to an environmentally sustainable business model. Innovation Workshop: Encourage continued innovative thinking, 150 team members from across the business participated in an innovation workshop at the Company’s annual conference in August 2012. To invest in the future and build the management and leadership capability of line managers, David Jones has established training and development programs. David Jones Executive Leadership Program: is designed to address the development needs of the David Jones’ Executive Committee and Executive Leadership Team, and comprises five leadership modules including a 360-degree leadership survey. David Jones Future Leaders Program: is designed in-house to develop high potential people managers that have been identified as part of the Company’s annual succession planning process. Operations Online Compliance: is designed to ensures that frontline employees remain current in processes and policies that are important to their role, including workplace safety, food safety, customer service and the David Jones Code of Ethics and Conduct. Recognition and Reward: New Executive Incentive Framework New Enterprise Agreements New Frontline Incentive Program Excellence Awards Program David Jones does not tolerate harassment, discrimination or bullying in the workplace. Employees of David Jones can expect to be treated in a fair and professional manner. Unacceptable behaviours under the David Jones terms of employment: Harassment- Discrimination and Bullying. 3. Organisational Culture Diversity Management and the entire David Jones workforce are embraced of and attract diverse, talented and motivated people. David Jones’ diversity supports commitment to a culture that equally embraces: gender, age, culture, religious beliefs, sexual orientation and family responsibilities of our people. David Jones encourages and supports all of our employees to reach their full potential and irrespective of gender. David Jones’ corporate sponsorship of the National Breast Cancer Foundation and the operation of Rose Clinics, while a philanthropic initiative, also serves to demonstrate our commitment to raising health awareness among employees and customers alike. This is representative of our broader commitment to the promotion of women and issues that affect women Equity David Jones has a Share Trading Policy that complies with the requirements of ASX Listing Rule 12. This was lodged with the ASX in 2010 and is available in the Corporate Governance section of its website. Consistent with the legal prohibitions on insider trading, under the policy, all directors, officers, members of senior management, other employees and consultants are prohibited from dealing in David Jones securities while in possession of unpublished price sensitive information about David Jones. HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED is the biggest shareholders with 69,772,020 shares (13. 20%). The 20 largest ordinary shareholders hold 45.  17% of the ordinary shares of the Company. External environment I. General Environment 1. Political and Legal Carbon Pricing Scheme David Jones has a proven track record in reducing its carbon emissions and supports the government of the day in its attempts to move the economy towards a low-carbon future. David Jones conducted its own analysis in 2011 to determine the direct impact on its cost base and participated in roundtable discussions facilitated by the Australian National Retailers Association (ANRA) to review macro-environmental impacts of the scheme. Macro-environmental impacts ANRA advocated that the government release analysis outlining how households would be affected and compensated by the introduction of a carbon price. Subsequent to these discussions, additional information was released, addressing many of the unknown factors in relation to the scheme and confining any detrimental impact on consumer sentiment, which is a key driver of top-line growth for discretionary retailers. Direct financial impacts David Jones count on the Business Roundtable on Climate Change, established by the Federal government, to represent business interests in the development of the Clean Energy Future legislative package, including the carbon pricing scheme. Trading Hours David Jones follow retail industry’s opening hours Monday:9:30am – 7:00pm Tuesday:9:30am – 7:00pm Wednesday:9:30am – 7:00pm Thursday:9:30am – 9:00pm Friday:9:30am – 9:00pm Saturday:9:00am – 7:00pm Sunday:10:00am – 7:00pm 2. Economical Low Inflation rate and high Australian dollar makes foreign imports become cheaper, leads to an increase in profit of David Jones. On the other hand, increase in the value of money also makes customers become interested in shopping online or buy goods overseas, makes customers rate of David Jones fall. Therefore, David Jones should adjust the price of goods for both profitable and consistent with the economic situation and the needs of customers. An increase in the unemployment rate reduces people’s income and also their shopping needs. 3. Social Cultural People are trying to keep a balance between their work and social-life. Besides spending a whole day at work, they are willing to spend more time go to department stores on the weekdays. Based on population data from around Australia, Gen Y has appeared as Australia’s largest demographic with 4. 67 million people. Generation X has also grown to 4. 6 million. And, the Baby Boomer demographic is shrinking; falling by 6,000 to just 4. 11 million people. Generation X and Y are tremendously internet savvy. The internet is the first place that they look when purchasing goods and services. There are more educated people so their knowledge about fashion and fashion demand has increased. They are willing to purchase clothes with good quality from well-known suppliers. 4. Technological New Point of Sale (POS) system: will improve customers’ service experience and reduce transaction times. This system has multi-functionality and will play a pivotal role in David Jones’ OCR Strategy. David Jones also has new Workforce Management and Traffic Analytics System. 5. Natural David Jones is committed to managing its own operations in an environmentally sustainable manner and will meet this commitment by: Investing in efficiency measures and driving behavioural change to reduce the impact that the business has on the environment; Embedding environmental sustainability into the corporate cultural of the organisation; Developing robust  management systems to ensure transparency and confidence in environmental reporting. David Jones’ environment strategy comprises four strategic objectives: Improve environmental outcomes, by reducing greenhouse gas emissions, protecting and conserving natural resources, and optimising water use. Motivate cultural change, by encouraging behavioural change and then by integrating sustainability into decision making at all levels of the organisation. Engage with employees, customers and shareholders, to ensure that interested stakeholders are able to access information about David Jones’ environmental impacts and initiatives, and ensure that the Company’s approach to sustainability reflects stakeholder expectations. Meet and, where viable, exceed the Company’s mandatory and voluntary reporting obligations. II. Specific environment 1. Customers People are willing to dress nicer, fussy and trendy. The way they dress is usually according to the fashion trend. They are influenced from the internet; all the fashion trends are spreading quickly. 2. Competitors : Myer Myer is Australia’s largest department store group, and a market leader in Australian retailing, operating about 65 stores that offer some of the top style and fashion lines in the country. Merchandise (some 2,400 brands) is sourced from suppliers worldwide and includes accessories; women’s, men’s, and children’s apparel; beauty and cosmetics; electrical goods; housewares; and toys. Myer runs stores in about 25 of the top 30 largest shopping centres in Australia, with New South Wales as its top market, followed by Victoria and Queensland. Besides Myer, Target, Kmart and other smaller retailers are also David Jones’ competitors. 3. Suppliers Suppliers are an integral part of David Jones’ â€Å"Home of Brands† strategy, which makes David Jones stand out from its competitors. David Jones is committed to improving and strengthening their relationship with each of their suppliers. David Jones also appreciates suppliers that have understood Australian customers and have adjusted their prices. 4. Regulations ENVIRONMENTAL REGULATION David Jones takes a responsible approach in relation to the management of environmental matters. David Jones’ report has followed with the requirements of the National Greenhouse and Energy Reporting Act 2007 (Cth) (NGER Act). No environmental breaches have been notified to the Company Entity by any government agency. David Jones is committed to protecting the health, safety and welfare of all employees, contractors, visitors and customers. David Jones continues to work towards achieving an incident-free and injury-free workplace. This commitment is supported by the â€Å"SafetyFirst@davidjones† management system and the Company’s safety programs â€Å"SafetyFirst@ davidjones† management system imitates efforts of team members to put â€Å"SafetyFirst† in daily tasks and activities, by identifying and controlling hazards that have the potential to cause incidents and injuries. Safety Information Management system Incident, Hazard and Investigation: provides an on-line system to support the reporting of incidents and the completion of incident investigations, risk assessments and associated corrective actions; Case and Claims Management: focuses on the management of information related to workers compensation claim files, claim transactions and payments as well as Return to Work Plans for work related and non-work related injuries; Risk Management; Audit and Inspections; Training: focuses on core compliance training, safety accountabilities, hazard and risk management and injury management training.