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Strategic Management of 7 Eleven Company

5199 words (21 pages) Essay in Management

08/02/20 Management Reference this

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Strategic principles:

Recruitment and selection process of 7 eleven:

Eleven Orientation and Training Process:

Performance Management:

Pay and benefits:

Occupational health and safety:




This particular report focuses on 7 eleven company which is a Japanese owned American international chain of a convenience store.  The company has its headquarters in Dallas, Texas. The company was founded in the year and 1927 and was initially known as Totem the store. This very report thus discusses 7 eleven company in order to understand its strategic management concept and the reason behind its success. The report thus highlights the strategic management planning and strategies considered by the company and the ways in which the managers have implemented those strategies efficiently within the workplace. The paper, therefore, includes the strategic planning or the company along with the strategic principles that help them to achieve the leading position in the market. It also discusses the recruitment and selection process of the firm. In addition to that, the orientation and training process is focused to understand how the company strengthens its human resource. Apart from that, the performance management, pay and benefits and the occupational health and safety policy of the organisation is also studied in order to strengthen the report.

Strategic principles:

Behind every successful company, there are many strategies and planning, which guide them to get their desired goals. These strategies also help them to survive in this competitive market. The main chain store function is operating its business for 24 hours a day (Ayentimi et al. 2018). The main success of 7 eleven lies behind the 24*7 provided to the customers.

7 eleven deeply feel that the meaning of convenience is full satisfaction of customer to do everything that is why they introduced “convenience for the customer”. They provide some free facilities to their customer such as the parking lot without fees, open free charge toilets for the customer. If Customer buys something they also provide free handful, water bottle, fan tunzi. The convenience stores always open from seven am to eleven pm (Zhao and Ding, 2018). However nowadays to develop a small business, it will be open for 24 hours. Golden hours of each shop are different according to the different store location. To buy drinks and lunch, a hugenumberof customers go to the convenience store.

Importantly, provide a better service to every customer is the main efficient key of the centre. In the retail market, this efficiency key plays a wide role via an individual role. This type of business model is the most diverse and lively model because they (convenience store) sell not only food and beverages, magazines, health care products, tobacco, the newspaper but they also sell three meals a day, pre-order code, ATM and payment services, and another financial ticket (Bosak et al. 2018). They launched a received email service recently.

7 eleven products are classified in various category. These products are classified according to the time morning-night, afternoon, evening-last nights. Their worker fallow according to the acronym – ICARE

I- Integrity

C- Customer focus



E- Excellent execution

7 eleven marketing principles depend on this factor –

  • Smile soft service
  • New and fresh management
  • Clean store
  • Complete presentation


  • Large demand and potential market
  • Great working relationships between various companies
  • Changed People’s consumption habits


  • Large numbers of stores
  • Original products which are more attracted by the largest no of customer
  • Good brand image
  • Excellent capabilities of product exploitation
  • Updated product information


  • Higher price from another shop
  • Large no piece is not available.

According to the development level of business, the company has a big no efficient network. They can manage their management through it. This network is created by three steps – collect data of selling commodity, order forecast, release order. At first, collect data from a shop of selling commodity create a sense of required commodity then according to the required order the forecast (Zhao and Ding, 2018). After that, they release the order. They create a unique distribution system. 7 eleven improved their transport facilities, therefore, they can increase the amount of delivery of goods and reduced their delivery times. The market is more compatible that is why time and service is more important for this company.

Recruitment and selection process of 7 eleven:

Day by day 7 eleven company becoming more famous. Their products are well connected with American culture. Presently, they areincreasing their business and takes place as a marketplace leader (Bavik et al., 2018). As an employee working in 7 eleven company’s is a great opportunity. They select someone by following this procedure –

  1. Recruitment planning
  2. Strategy development
  3. Searching
  4. Screening
  5. Evolution and control

1) Recruitment planning: – Recruitment process in 7 eleven, first step is the recruitment planning. According to a vacant post, they create a vacant list with job specifications, education and experience skill (Gai et al. 2018). Experience is the most valuable factor for this company.

Identifying vacancy:-

  • Number of posts
  • Positions
  • Duties                                          
  • Experience and qualification

After the identification of the vacancy, they do research about the vacant post. They analyse that nowadays, these posts are important or not. If these are important for the organization then they are setting the parameter and specification of these posts –

  1. Physical qualification
  2. Mental qualification
  3. Emotional qualification
  4. Behavioural qualification
  5. Level of experienced
  6. requirement of skill

2) Recruitment strategy: – 7 eleven HR team consider some following point for making Recruitment strategy. These are –

  • Recruitment types
  • Source of recruitment
  • Geographical dimension

It is a long process but this is very important for 7 eleven company to choose the right candidate. 

3) Searching the right candidate: – if 7 eleven set their recruitment strategy then they are able to search their right candidate. There are two sides to do this process, one is the internal source and another is an external source. Recruitment through internal source refers to hiring a man within the organization through promotions, transfer, and the previous applicant. External sources are direct recruitments, advertisements, professional associations.

4) Screening: – it’s a very important part of the recruitment process in 7 eleven organization. Getting After candidate source screening is a most important part, to see the potential of a candidate through biodata. It can be done by observing these point –

  • Cause of leaving the job
  • Longevity
  • Career progress.

5)  Evolution and control and finalize the candidate: – it is the last stage of the selection process in 7 eleven to get selected. In this process, the company told the candidate about all fact (discussed below) about the job –

  • Pay scale of this post
  • Duties
  • Responsibilities
  • Administrative duties
  • Overtime and etc.

Someone for getting a job in 7 eleven company, they must be fallow some condition. This is-

  1. Beat 21 years old
  2. Have a US citizenship
  3. Power to maintain and obtain all licenses necessary for a store operation.
  4. Don’t have a criminal record
  5. Understand the need of store day by day
  6. Have retail, management, operations experience
  7. Service in a branch of us military service
  8. Multi-unit management experienced about 5 to 10 years.
  9. Ownership experienced own business.

If everything goes right then 7 eleven starts the training. This training takes place for 8-10 weeks. This computer-based teaches everything about the whole business while giving you a better experience. After the completing of successful training, someone might be grateful.

Eleven Orientation and Training Process:

An orientation is a process of introducing all the relevant information about a company to a new employee. It also tells the working process and policies of a company. The goals of 7-eleven’s orientation are to familiarize a new employee with the organization’s history and future plans and inform them of the relevant procedures and policies of the company. Effective orientation increases an employee’s commitment and decreases his turnover (Bailey et al. 2018). The employees of 7-eleven have become more productive by the orientation process as they understood their job role. 7-eleven provide employees with education and introduction to the organization. It helps the employees to understand the core values and integrate the philosophy, mission, and goals of the organization. They create a rapport and provide a pleasant environment. In addition to this, 7-eleven encourages strong relationship and friendship among people. It is very important to give an opportunity to team members so that they get to know each other and help each other. 7-eleven do the same and the workplace remains professional. This will enhance their business and work environment (Collings et al. 2018). They also give detailed information about its accomplishments and plans, to a new employee. Moreover, they inform the employee about the company’s goals, visions, desires, expectations, market positions and aims. They let their employees know “how business is going on and how things work around here”. Every employee wants to fit in and the company demonstrates him or her the strategy of how to behave and operate in the organization.

Apart from these, 7-eleven even pays the employee during his training period. First few days they give the candidate a basic training where get to know how the things operate there. One of the most important job and commonly used job training is job shadowing (Bui et al. 2018). The manager of 7-seven creates a team, which consists of a new employee and an existing experienced employee. The existence employee tries to give any knowledge that he has gained about how to work perfectly and efficiently. The new employee can see how the job is going around. Many times, the new employees are put into seminar classes where an experienced trainer shows them some videos about caring for food and beverages. They also show them some marketing strategies about how to sell a commodity. When a new candidate is hired, the manager of 7- eleven take him to the restaurant directly where he shows some basic functions that the candidate will expect to fulfil (Banfield et al. 2018).

Every manager should be aware of their responsibilities and should follow those with care. They give an explanation about “how to become successful?” by which most employees have become motivated. Employees are offered extra incentives for their performance so that they can do a better performance.

Performance Management:

The process of creating a job ambience so that people are not able to perform according to their power is called performance management. The performance management of 7-eleven is noteworthy as its formal review rituals have been around for years. Evaluation of performance for 7-eleven employees will be incomplete without instruments that measure and calculate how workers interact one by one with customers (Cardoso, 2018). The 7-eleven always greet their customers with a smile and whenever a conflict occurs with suppliers for proving low-quality foods, the managers are able to resolve that conflicts. It is one of the merits of 7-eleven. They always think about how to give an enjoyable dining experience. The company’s owners and managers need to balance the profit and customer satisfaction.

The first stage in performance management is defining the individual goals and put them in a work, which 7-eleven does. The goal-setting process collaborates between managers and his employees. Every employee fulfils his or her goal. If any worker fails to fulfil his goal, he is further trained by high-level workers or experienced employees. The second stage is monitoring the goal progression (Pattanayak, 2018). The managers are very much aware of each employee’s goal progression. If the goal target is missed, he himself coached the employee with proper guidance. It is therefore very important for an employee to track his or her own goal progress. The managers, as well as shop owners, take follow up of everyday work. After a week, they work on the weak points of employees and further review the progress for about one week. In this way, they enhance each employee’s motivation and their work power. The appraisal process is very essential in business. The higher authority of 7-eleven constantly listens, observes the task of the employee, and gives them proper feedback.  To give a constructive analysis of the employee’s work, the manager uses coaching tools, which help them to find the mistakes (Bendickson et al. 2018). To give a proper feedback about what an employee learned is the most important part of the appraisal, that 7-eleven do. This is an important factor in employees’ growth and the entire organization. 

The workers of 7-eleven always paid for extra work. If the performance of an employee exceeds the expectation, then he is rewarded through bonuses, incentives, and salary increment. They also use the strategy of pay for performance compensation as it encourages all the employees to work together and reach the common goal. Therefore, the performance management system of 7-eleven includes the following factors:-

a) Create a clear job description for a new employee

b) Recruit an employee which has more potential than others

c) Identify the strengths and weakness of the employees

d) Offer the job to the selected candidates and tells them about salary, bonuses, paid holidays, overtime benefits, terms and conditions, and other organizational perks (Bastida et al. 2018).

e) Welcome the new employee with greets

f) Provide an effective orientation to the new employee

g) Provide training and ongoing education

i) Provide feedback

j) Conduct a performance development planning discussion in every last week of the month

k) Provide the opportunities for career development such as transfer, lateral moves and job shadowing for staff (Schmidt et al. 2018).

l) Utilize peer reviews

m) Practice pre-emptive management

n) Set regular meetings to discuss the progress level and outcomes

o) Discuss the plan for the next step of the business

p) Discuss all the company data with employees: – Customer involvement, revenue, marketing success etc.

All these strategies of effective performance management are simple and are working wonders in 7-eleven company. Every employee of 7-eleven is hard working and they become successful in achieving their goals and targets (Lepak et al., 2018). For this reason, positive reviews of the company retained for years.

Pay and benefits:

Providing more salary rather than extra benefits is the most convenient process of recruiting. However, there arise certain questions such as what can help 7 eleven retain employees? How would 7 eleven stop employees from leaving the company if a competitor is offering a more salary to them? With a comfortable salary package including a number of perks can be an added advantage of decreasing employee turnover as well as it’s enhance the improved work habits. Benefits might attract the employee to stay on the job, even during critical times.

The pay scale of this company is very low, for a fresher person 7 eleven is a very good choice to start his career but for long time career, this company is not suitable due to its low pay scale. To survive with such a low pay scale is not possible. In this company, employees are not getting any benefits (Fesharaki and Sehhat, 2018). They do not have paid holiday, they do not get any compensation for their overtime work, no paid sick holiday also. The security system of 7 eleven company is very bad especially for that employee who works in the third shift. If somebody faces any problem during the working hour, enough securities are not there to help him out (Haneda and Ito, 2018). In this company, every employee has to work very hard to have a small reward, so that is very discouraging for the employee. During the night shift if any employee having any health problem the company will not provide him with any medicine or doctors consult or even rest for some time.

The managers of 7 eleven gas station are also required proper training because many time they do another thing except their own work such as surfing the internet, watching YouTube on mobile etc. The managers at times behave rudely with the staffs and workers, so the staffs and workers are not always ready to give their 100 per cent effort at workspace (Plumb et al. 2018). In this company, another negative aspect is that some managers or upper management persons only favour their own person so in spite of doing hard work many employees do not get the proper reward so in this case company’s HR department has to play a big role.

The work environment of 7 eleven company is very busy work environment. During the working hours foods, drinks, coffee, are always free, but during this busy working hours company does not give any break to its employee so sometimes its very tiring for the workers (Kang et al. 2018). As because it’s a gas station so the employee always faces many alcoholic and drug addicted people every day so that is also very disturbing for the employee. The security system of 7 eleven company has to be developed for the sake of its employee.

The employee of 7 eleven company does not get any facilities regarding health insurance. Even this company does not have pick and drop facility for the employee, which is sometimes very problematic for night shift employee (Rostami et al. 2018).The employee of this company does not get any compensation for their overtime work.  

In 7 eleven company employee gets flexible working shift so according to their requirement, they can change their work shift. The employee gets weekly wages so it helps the employee to run their family.

The 7 eleven company hourly wages rate and other wages rates are very low so the company employees are not satisfied with their pay scale and other facilities (Stewart et al. 2018). The benefits of this company are the employee of this company always interacts with people so the requirement of customers always gets noticed. This interaction with the customer becomes a very interesting part of the employee.

Occupational health and safety:

7 eleven highly cares for its employees as they are well aware of the fact that the employees are the backbone of the organisation. As a result of this, the company considers certain health and safety policies within the workplace that helps to keep the employees secured. The workplace health and safety policy of 7 eleven helps the organisation to preserve the best possible work conditions of the employees. The company has its commitment towards following of legal standards, create a workplace environment free from hazard since every employee working in the firm has the right to feel safe, and secured at work (Sunday et al. 2018). In addition to that the occupational health and safety policy is applicable to all the prospective and current employees of the organisation including the contractors, clients and volunteers.

7 eleven considered two aspects while establishing their occupational health and safety policy. These two aspects are preventive action and emergency management. As per the preventive action, it can be considered as an action that the company considers in order to avoid injuries or risk related to the conditions of the workplace (Archibald and Marshall, 2018). The managers, therefore, conduct periodical risk assessment and job hazard analysis to understand the factors that might harm the employees. According to the analysis result, the company sets its preventive measures.

On the other hand, the emergency management of the company describes the plan adopted by the managers to deal with the sudden catastrophe that might come up in an organisation such as earthquake, explosion or fire (Rahmani et al. 2018). This might occur as a result of human carelessness or natural forces. The emergency management of 7 eleven consists of functional smoke alarms and sprinklers.  These are inspected on a regular basis to avoid risk. The company further keeps internal as well as external technicians available all the time in order to repair leakages, blackouts and any other sort of damages.

However, the occupational health of 7 eleven company is very poor especially in night shift the employee maximum time faces the violence of alcoholic and drug addicted persons. No security is there to protect them from this violence. In this company, especially the night shift employee shows protect against this problem then the management has also taken a proper step (Shamsa et al. 2018). In 7 eleven company the workers and the employee fights among themselves so the occupational health and safety are very poor in this company. In recent times, the company try to change its organizational environment.

The women employee also faces sexual harassments, which sometimes become very scary. All the employee of this company jointly protested against this bad occupational health and poor safety situation (Harney et al. 2018). They reported that the company does not provide any training and safety measure to handle all these types of violent situation. Now the company decided to give safety measures to its employee.

These occupational health and safety policies play an important part in employee retention. When an employee feels safe and secured working at a workplace, their level of confidence rises automatically (Godfrey et al. 2018). They feel motivated to work in a particular workplace, as the company is able to provide them with healthy work. Providing workplace health and safety policy to the employees are also beneficial for 7 eleven.  In such a way, the company is not only able to retain the existing employees but also attract new employees towards a business (Blum, 2018). This helps to attract and retain the skilled workforce within the company and further increase the organisational productivity.


The previously mentioned topic can be concluded in this way that, the pay scale of 7 eleven company is very low. This company can be a good choice for a fresher person but for a long-term career, this is very difficult to survive with a low wage. Although all the workers get a weekly wage. The employee does not get any paid vacation, any compensation for their overtime work, any paid sick leave. The employee is getting very low reward against their hard work

In terms of the facility, the employee does not get any facility such as no pick and drop facility, no medical support, even if somebody gets any health problem especially during Night Shift Work Company will not give any medical facility.

Occupational health of this company is very poor. The managers require proper training to handle the workers and the company should give strict instruction to all its managers to focus their own work and don’t do any misbehave with other employee and workers.7 eleven company should also provide training to all employers and workers to handle violent situations and provide safety measures also. 7 eleven company should always provide sufficient security to protect its employee from a violent situation especially during night shift work.    


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