More Culture Changes at Sears Holdings
By George Anderson
Aylwin Lewis, president and CEO of Sears, is looking to change the culture at the retailer, making it second nature for associates to greet shoppers and work as a team.
The focus on serving the customer and building teamwork is part of the “performance-based culture” that Edward Lampert, chairman of Sears Holdings, is looking to instill throughout the organization.
Group performance is linked to the company’s plan to cap bonuses for top executives at $5 million a year or $15 million over three years. Mr. Lampert is looking to tie compensation for all employees directly to the company’s ability to make a profit. Last year, the company cut benefits and bonuses to some salaried employees as it sought to improve bottom line performance.
According to a Chicago Sun-Times report, Mr. Lampert told shareholders at the company’s annual meeting last week that the new management team in place at Sears Holdings has been put there to turn the business around.
“We took a lot of time putting this team together,” he said.
Moderator’s Comment: Should bonuses paid to retail employees, regardless of their position in the corporate hierarchy, be tied to group (company, department,
store) performance measures alone? How do businesses go about creating company-wide compensation plans that all employees can understand and support? –
George Anderson – Moderator