Unlocking retail's unsung heroes: The indispensable role of store managers as strategists

"Each of you is the CEO of a multimillion-dollar business." It would be natural to assume that this statement was made while addressing an executive roundtable, a boardroom of trustees or a conference room full of entrepreneurs. But in fact, it was made while recognizing a group whose contributions are too often overlooked: retail store managers.

When Walmart sent a message to store managers announcing its recent decision to redesign its bonus program — alongside a substantial increase in average salaries — it also noted, "We see an investment in you as an investment in our culture, our core values and in the day-to-day experience of every associate in every store. Investing in you is an investment in our future."

As this sentiment from the largest employer in the United States reinforces, frontline leaders serve as the linchpins of organizational success. Store managers are the day-to-day embodiment of overarching organizational culture, responsible for orchestrating operations, nurturing talent and driving customer satisfaction.

And yet, almost half of frontline retail employees and two-thirds of frontline managers say they are thinking about leaving their jobs in the next few months, according to a report from McKinsey. The same report also found that retailers with lower frontline turnover have higher comparative store sales, reinforcing that store managers are strategic partners and the drivers of business results.

To combat the threat of manager attrition, forward-thinking retailers are more focused on store managers than ever. These efforts are increasingly supported by the embrace of digital retail intranet solutionsand mobile tools that help these key employees directly contribute to the overall culture, strategy and success of the business.

Supporting store managers as strategists across customer and employee experiences

Store managers play a pivotal role in bridging the gap between a retail brand and its customers, serving as the direct architects of the customer experience within each store. As such, it's essential to provide them with access to centralized communication channels, knowledge resources and relevant content.

Providing store managers with the tools and resources they need to excel in an increasingly complex environment not only enhances their own job satisfaction but also helps organizations better execute innovative tactics on the frontlines to gain an edge in the competitive retail landscape. "Stores will serve as not just showrooms and service centers but also hubs for speedy fulfillment," McKinsey predicts. As the store environment becomes more advanced and multidimensional, it will be crucial for retailers to centralize knowledge resources and build thoughtful ways to access the latest information. Today's store managers should have access to immediate, store-specific data such as sales, inventory, competitive intel and more, so they can make strategic decisions on promotions, staffing and merchandising that drive profitability and customer loyalty in real time.

In addition to connecting the brand to customers, store managers also act as a crucial conduit between frontline employees and senior leadership. By making relevant corporate communications as well as desired values and behaviors more visible to frontline staff across mobile intranet and digital signage, store managers can strengthen the connection between frontline employees, and senior leadership. Enabling retail employees to share their experiences, insights and achievements can help break down communication barriers and offer senior leaders valuable insights at a more granular level. In turn, this kind of engagement helps senior leaders better reward and recognize the contributions of workers across their stores.

Access to data helps managers organically grow a better culture from the ground up by offering flexibility and greater learning accessibility. To ensure everyone on their team can work effectively, store managers should have a centralized repository of training materials at their fingertips, making it easy to assign relevant modules, track their progress, provide feedback, and ultimately help employees grow within the organization. Granting retail store managers access to tools that help with scheduling, reporting and compliance also reduces their administrative burdens, which can help increase job satisfaction and performance.

The future of retail is on the frontlines

"This investment is about belief. We believe in you," Walmart's note to store managers went on to say. "We believe you're the keepers of our culture today while you're also helping to identify and grow the future leaders of our company. You're the reason our associates can build something special."

As retail's challenges continue to evolve, it's imperative that organizations recognize the pivotal role that store managers play and explore how technology can help elevate them to strategic partners. With a single source of truth for communication, training and productivity, retail brands can empower store managers to increase employee engagement, streamline operational processes and ultimately elevate customer satisfaction levels. By fostering a cohesive brand culture across dispersed store experiences and equipping managers with the tools they need to excel, retailers not only enhance job satisfaction but also cultivate environments that resonate with customers, positioning themselves for success.