X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

So Macy’s has just introduced a detailed new plan that management hopes will “position the company for increased sales, profitability and cash flow,” reducing expenses by about $400 million a year.As part of the initiative, the department-store company will lay off about 7,000 positions across its operations, with the biggest cutbacks taking place in its central offices.It seems that a big part of the new strategy, called “My Macy’s” is to make shopping at locations across the country a more local experience. The stores will now be grouped into 69 geographic “districts” each representing about a dozen units, instead of the four regional divisions now in operation.The company started the My Macy’s pilot program last year that created 20 of these districts, and apparently, some of the chain’s highest sales were at stores within this framework.While all of this is localization is happening – and this is where we start to get a little confused – the company is streamlining its central operations. “Central buying, merchandise planning, stores senior management and marketing functions” will all be done out of New York City.So Macy’s is becoming less centralized and more centralized at the same time, right?But we guess the most important question is: Will more of a local focus on individual markets make a difference? Or will shoppers even notice…or care?

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.