Organizing Function of Management: Sephora Essay

The organizing function of management is one of the key pieces of running a successful business. Sephora, a leading makeup company founded in France in 1970, has become an international presence; its success has, without question, been affected by its organizational abilities. Two of Sephora’s core competencies are extensive knowledge of beauty products and customer needs and their ability to adapt to ever-changing technology. These two areas have greatly affected the organizing function of management within the company and have helped them excel in the international market. Knowledge  To say that Sephora has excelled in the cosmetics industry due to knowledge is very vague; one would ask â€Å"Knowledge of what? † Their success can be attributed to their knowledge in many areas, two of which include their employees’ knowledge of products and services offered and knowledge of their customers’ needs and how to satisfy those needs. Knowledge of Products and Services Every employee of Sephora is expected to have an extensive knowledge of beauty products and practices: To build the most knowledgeable and professional team of product consultants in the beauty industry, Sephora developed â€Å"Science of Sephora. This program ensures that our team is skilled to identify skin types, have knowledge of skin physiology, the history of makeup, application techniques, the science of creating fragrances, and most importantly, how to interact with Sephora’s diverse clientele. (Sephora, 2012) Knowing such a great deal of information about cosmetics may seem unnecessary to some, but it ensures that customers can enter the store with a sense of security – knowing that the employees there are best suited to help them fulfill their beauty needs. Customers don’t have to worry about wasting their time trying to find a product that works or their skin tone and type; the employees are trained to know what works for different people and can steer them in the right direction. This knowledge of products and services provided by Sephora directly impacts customer service. Knowledge of Customer Needs Another factor that has contributed to the success of Sephora is their knowledge of their customers’ needs. They use the Customer Relationship Management process to determine the wants and needs of customers and develop programs that will satisfy those wants and needs (Bateman & Snell, 2009). Sephora recognizes that their customers expect certain things from the company, and they meet not only those needs but go above and beyond to provide the best experience possible for each customer. They do this in many ways, such as using promotional offers and customer loyalty programs. One of the promotions the company always offers free shipping for any online order over $50. They know customers like free shipping, but they are also encouraging customers to spend more money. Recently, they have improved this offer to free 3-day shipping on every order, whereas before they only offered 5-7 day shipping for free. Another promotion offered at Sephora is three free samples of beauty products with every order. Customers are given the option to select three of a number of samples at checkout at no added cost. This allows customers to try out new products that they might want to use in the future. There are two parts to the customer loyalty program at Sephora. Everyone is eligible to become a Beauty Insider, and select customers are eligible to become V.  I. B. s (Very Important Beauty Insiders). Beauty Insiders gain points for every purchase they make that can be used to get deluxe beauty samples either in store or online. Customers that spend a minimum of $350 at Sephora in a calendar year are elevated to the status of V. I. B. This status gives them access to private events, exclusive rewards, special privileges, and a dedicated beauty consultant at a hotline exclusively for V. I. B. members (Sephora, 2012). Of course, none of these needs would be met so efficiently if it were not for the integration of technology. Technology Sephora has been very successful in adapting to ever-changing technological advances and using them to the advantage of the company. The Sephora website was launched in 1999 in the United States, and it is the largest North American store in terms of sales and the available selection of products (Sephora, 2012). In addition to that, â€Å"Sephora has also been recognized as a leading digital brand and continues to advance this arena through mobile and social media initiatives including an active Facebook page, BeautyTalk (its online beauty community), its mobile site, and iPhone App† (Sephora, 2012). These kinds of technological advances allow Sephora to be a very strong Time Based Competitor – as all of these factors allow them to reduce the time it takes to provide products and services to their customers (Bateman & Snell, 2009). In addition to all the formerly mentioned technological capabilities Sephora avails itself of, the company has recently begun to go above and beyond even that by further integrating social media sites such as Instagram and Pinterest into their marketing in April of 2012. Every product on the Sephora website now has a â€Å"Pin It† button that consumers can use to share favorite products with their followers on Pinterest. Their Instagram feed gives customers behind-the-scenes looks at Sephora and the latest beauty trends (Novellino, 2012). As far as in-store technological advances go, a new program has been launched that provides iPads and iPod Touches to sales associates. Customers will also be able to use their own iPhones to scan products on the floor to get more information and read product reviews right in the store. All of this will improve the overall customer experience, proving that Sephora really does pay attention to the needs of their customers and does whatever they can to make the shopping experience more convenient and enjoyable. Conclusion Through their use of knowledge and technology, Sephora has developed a responsive organization that strives to meet the needs of their customers at a fast pace. These factors are crucial to running a successful business that can not only survive, but strive in a global economy. Sephora knows what their customers want, and they deliver through their constant advances in technology and customer service.