The Daily Telegraph

WORKPLACE FABLES THE INEXPERIEN­CED MANAGER AND THE FIVE WHYS

Mark Price, former MD of Waitrose, shares his workplace fables – true stories from the business front line that can teach us lessons about career success

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The Inexperien­ced Manager received his monthly profit-and-loss statement. It wasn’t good: his business unit had made a loss – again. Sales were well down, and that was reducing his profit.

When the Inexperien­ced Manager heard his Area Manager would be visiting to find out why the losses had started to mount, he studied the profit-andloss reports and sales data in detail.

After he had recited all the informatio­n to the Area Manager, he was asked: “Why are sales down?”

“We have the same number of customers shopping with us as a year ago but they are spending less on each shopping trip.”

“Why?” asked the Area Manager. The Inexperien­ced Manager shook his head: “I don’t know.”

“Find out and I’ll be back in an hour or so,” said the Area Manager.

The pair came back together. “Our customers were buying on average one item fewer than the year before, and our in-store availabili­ty was lower,” said the relieved-looking Inexperien­ced Manager.

“Why is your availabili­ty less good than a year ago and less good than your colleagues’ elsewhere?” asked the Area Manager.

The Inexperien­ced Manager dashed off again, eager to find the answer. A little while later, he returned. “We don’t have enough people on the night shift putting stock out. It’s one of the reasons our pay costs have been low.”

“Why don’t you have enough people on the night shift?” asked the Area Manager.

Once more, the Inexperien­ced Manager went to consult team members and data. When he returned, he said: “We are finding it difficult to recruit enough people.”

“Why are you finding it difficult to recruit?” came the reply.

Once more, the Inexperien­ced Manager disappeare­d, determined to not be asked why another time.

He returned with a full explanatio­n. “We don’t have enough people because we are paying less than our competitor­s, and so are struggling to recruit and keep the people we have.

“And before you ask me why that is, it is because the HR manager was trying to save costs because sales were down.”

Moral of the tale:

Five whys will often lead you to an informed answer.

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