CONTEXT
Miss Macaroon is a niche bakery business based in Birmingham, specializing in high-end macaroons. The business was founded by Rosie Ginday, a trained pastry chef with a strong passion for social entrepreneurship. Miss Macaroon operates as a social enterprise, with profits reinvested to support training and employment opportunities for unemployed young people, particularly those from disadvantaged backgrounds.
Over the past three years, Miss Macaroon has expanded its operations by opening pop-up kiosks in major shopping centres across the West Midlands, alongside its flagship shop in Birmingham. The business now operates four outlets and plans to expand to eight within the next two years.
As part of its growth strategy, Miss Macaroon is planning to launch an online customization service for macaroons, allowing customers to design bespoke gifts for nationwide delivery. This service will be supported by an investment in a dedicated e-commerce platform and new packaging facilities at its Birmingham headquarters.
The planned expansion and introduction of the online customization service will lead to restructuring within Miss Macaroon. Proposed changes include:
- Appointing a regional manager to oversee operations across all kiosks.
- Reducing the number of store manager roles.
- Reducing the number of shop assistant roles
- Increasing the number of production staff to meet the growing demand for customized macaroons.
- Recruiting additional delivery drivers to support the nationwide shipping of online orders.
- Hiring a digital marketing team to manage the e-commerce platform and drive online sales.
Currently, each kiosk has a store manager and a small team of customer service assistants. Under the new structure, smaller kiosks will be managed by production staff, who will also take on some managerial responsibilities. The flagship shop in Birmingham will continue to have a dedicated store manager and expanded customer service team to handle high foot traffic.
While the proposed restructuring aims to streamline operations and support growth, it has caused concerns among current employees. Many staff members feel that the reasons for the changes and their implications have not been clearly explained. This has led to feelings of uncertainty, reduced morale, and a loss of trust in senior management.
Rosie Ginday believes that regular team meetings and newsletters have adequately communicated the rationale and benefits of the proposed changes. However, feedback from staff suggests otherwise, with several employees voicing frustration over the lack of consultation and clarity about their future roles.
In addition to managing these internal challenges, Miss Macaroon faces significant upfront costs associated with its expansion plans, including:
- Hiring of the e-commerce team and associated IT software
- Training costs for bakers to become shop managers
- Training costs for delivery driver roles.
Some long-serving employees who joined Miss Macaroon in its early days are resistant to changes in their roles, citing discomfort with new responsibilities. Rosie is committed to ensuring the success of the expansion while addressing these employee concerns. To this end, she has engaged your consultancy to help manage the restructuring process and ensure a smooth transition as the company continues to grow.
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