How to integrate the specificities of some food departments into a retail store organization?

Abstract

Purpose To understand the impact of product specificity on organizational practices of retailers at the store level. Design/methodology/approach An Aokian framework is used that enables one to discriminate between food products according to their informational properties, and to connect these properties with organizational choices of centralization/decentralization. Findings Emphasizes the existing tension between the dominant “assimilation” organization pattern and the “encapsulation” pattern which fits better in with some specific product departments. Research limitations/implications Proposals are confronted with empirical data coming from professional press and experts interviews. Further empirical research is needed to consolidate the findings. Practical implications The paper points out the need to differentiate the management of departments according to their product specificity. Originality/value The paper stresses the impact of product specificity on department organization. It can be useful for the design of organizational mechanisms: work organization, incentives and career paths.

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