In any store network, there are differences in store performance, in terms of both sales and profitability. An assortment of factors drive this variation — location and demographics, merchandising and marketing support, and staff quality and local promotions. To improve overall corporate performance, it’s necessary to identify store differences, describe best practices, and disseminate those best practices across the store network to standardize and improve operations.
The first step is to use agreed-on metrics to compare store performance. This transparency facilitates analysis, highlighting each store’s strengths and weaknesses. Once a best practice has been identified, it must be codified and described in a way that all store managers can understand and replicate. Finally, the company must disseminate that best practice through publications and face-to-face gatherings, and support it with any necessary changes in store processes and technology.