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Emma’Z

Case Study Dr. Shady Hana, 2022

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Part 2

Emma’Z Current Situation After decades of learning, trial and error, and growth and decline, Emma’Z is at a unique situation with

the Pandemic impact created a situation where they could not continue with business as usual.

Currently Emma’Z Holding total employees are over 100’000 employees, in several business units:

1- Emma’Z Holding (E’ZH), where all strategic leaders of the entire group are allocated.

2- Emma’Z retail (E’ZR) including Emma’Z original (E’ZO) and Emma’Z Econo (E’ZE) brands, with 1000

stores spanning across Canada and the US and looking to expand worldwide.

3- Emma’Z Supply chain (E’Z SC), Purchasing and transporting all products sold in all stores, running

150 semi trucks, and looking to expand by selling supply chain and transport services to other

players in the market.

4- Emma’Z Processing (E’ZP), five processing facilities producing 50% of all store’s needs, and looking

to expand to a 100% in the next three years.

5- Emma’Z Agriculture (E’ZA), three farms producing year around vegetables supplying stores with

25% of their needs and looking to expand to 100% in the next five years.

listed below are specifics of the different business units.

For financial, Headcount, Salaries, , Social media analytics, Customer and Employees satisfaction surveys

pleaser refer to the posted Excel Sheet.

Emma’Z Holding A new Invention based on a solid collective financial advise from all finance professionals in all business

units, leading to the establishment and redistribution and allocation of resources. “Creating a holding

entity is something that we should have done twenty years ago” Said Vikash.

Now the holding entity is the home of all the organization strategic leaders, and this year is the first year

where the organization leaders are coming together around the same strategic planning space, where

they are realizing how much did they miss by not doing that earlier throughout the previous years.

Currently the Holding is employing over 300 employees out of which 10 strategic leaders, 12 leaders of

managers, 50 managers of others, and 250 individual contributors. (Mainly IT, Admin, accounting, payroll

staff)

Part of what was realized when putting together the holding structure was the resources redundancies

that were created across the organization, also, the conflicting, overlapping policies and procedures

between different business units.

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The privately owned giant can’t keep going on as is and they must come to a determination on one of

the below directions within the next 6-12 months, in their initial strategic planning meeting, E’Z Holding

strategic leaders came to a list of possible solutions to the current situation.

1. Offering the organization for an Initial Public offering (IPO)

2. Rightsizing the organization

3. Sellout the most cost/least profitable business unit, especially with Walmart offer on the table

4. Outsource / offshore options

5. Others

While everybody looked at the VP HRM for recommendations, she surprised them with a personal good

news that she is going on a maternity leave in 3 months time and that she is recommending YOU as the

consultant/s to support the organization making such determinations and decisions while she is away.

Emma'Z President &

CEO

VP Finance

Finance Director

Accounting Director

VP Retail

Director Emma'Z Orginal

Director Emma'Z Econo

VP Supply Chain

Director Warehousing

Director Transportati

on

Director Purchasing

VP Processing

Director Processing Facilities

VP Agricluture

Director Farms

VP Support

HR Director

Admin Director

Legal Director

IT Director

Maintenance Director

Marketing Diector

Director Compliance

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Emma’Z Retail Emma’Z original (E’ZO), and Emma’Z Econo (E’ZE) are the two flagships carrying the brand all over Canada

with around 1000 stores split 80/20 between E’Z O and E’ZE, valued at $18 Billion, and generating 21.2

billion CAD in annual revenues, employing approximately 95’000 employees; Retail operations

headquarter is based in Mississauga ON, and Retail support services (Maintenance, Legal, Admin, HR, and

purchasing Temp offices) is based in Vaughn, ON

The operations model currently is a result of the exceptional growth level in the past years, currently:

Stores are open 8:00 Am – 12:00 midnight, three shifts 8:00 Am-4:00 Pm, 4:00 – 12:00 Midnight, and

restocking and inventory shift 12:00 midnight – 8:00 Am

Below is the current store operations headcount plan and structure

Store 1 Store 2 Store 3 Store 4 Store 5

Store manager .33 .33 .33

Asst. Store Mgr.

4

HR, Admin &It Mgr

.25 .25 .25 .25

HR Supervisor 1

Purchasing mgr.

.20 .20 .20 .20 .20

Purchasing Supervisor

.50 .50

Associates 70-90

Secretary 1

Sample Store organization structure

Store Manager (1/3)

Assistant Store Manager (4/store)

Associates (70-90 per store)

HR, Admin and IT (HRAI) Mgr (1/4

per store)

HRAI Supervisor (1 per store)

Purchasing Mgr (1/5 per store)

Purchsing supervisoer (1/2

per store)

Store manager secretary

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“It feels like I am back home, my entire family members and neighbours from my village are all working

here” as stated by tens of employees sums up the reality of recruitment, selection, and hiring situation in

Emma’Z retail, where 85% of employees come from the same ethnic background which presents strength

as well as opportunities.

“We have never been challenged this way in the past 30 years, during the pandemic several times an entire

store almost came to shut down, wen one employee came down with symptoms, as all employees in all

shifts are either married, friends with, or living together” said the oldest store manager in the system.

Retail Employees’ satisfaction survey conducted in 2021 is showing a total satisfaction rate of 69% second

least, while the current retail employees turnover rate is averaging 70% (Original 65%, Econo 75%).

HRM Division is unable to keep up with the growth level and employee’s turnover, meanwhile United

Food and Commercial Workers (UFCW) union made two attempts at Emma’Z retail employees to set up

a union shop in the past three years that did not workout because of the employees’ turnover rates.

“Changing Government Restrictions is making the Retail business less appealing by the hour for investors”

Vikash Said, minimum wages increase, essential services announcements, client’s capacity changes and

limitation, shifting to online shopping, and curbside pickup, and home delivery model, and employees’

safety, liabilities, and turnover.

Last week, Walmart offered to purchase all Emma’Z Original 800 stores at a 150% of it’s net worth, while

the Offer expires in two months time Emma’Z holding need to decide what do they intend to do about

that offer.

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Emma’Z Supply Chain Emma’Z Supply chain (E’Z SC) Started In 2001 after the organization realizing the significant cost of the

supply chain management, and transport to the retail empire, and that vertical integration would save

Emma’Z at least six figures annually.

Currently E’Z SC is employing over 300 employees, mostly AZ truck drivers, challengingly operating 150

Semis (A semi-tractor-trailer truck, also known as simply a semi-trailer truck, semi-tractor truck, semi-

tractor-trailer or tractor-trailer truck, is the combination of a tractor unit and one or more semi-trailers to

carry freight. A semi-trailer attaches to the tractor with a type of hitch called a fifth wheel), Generating

$180 million annual revenue, servicing basically two main client E’ZE and E’ZO, as well as the processing

and agriculture business units.

E’Z SC is looking to expand further in the next few years by selling supply chain and transport services to

other smaller size players in the market. by adding more transport capacity by increasing the number of

Semis to 300, adding E’ZSC Air to the mix, acquiring three cargo planes and an air field storage space, ,

and introducing futures contracting with local and international suppliers ( a futures contract is a

standardized legal agreement to buy or sell something at a predetermined price at a specified time in the

future).

E’Z SC Employees’ satisfaction survey conducted in 2021 is showing a total satisfaction rate of 74% third

highest, while the current E’Z SC employees turnover rate is averaging 10% (Not Including Warehousing

employees).

Supply Chain VP

Contracting Director

Purchasing Mgr (2)

Purchaser (5)

Ordering Director

Ordering Mgr.

Ordering Supervisor (2)

Finance Director

Finance Manager

Finance Specialiest (4)

Operations Director

Transport Supervisor (7)

AZ Driver (300)

Warehousing DIrector

Warehosing Mgr.

Warehouse supervisors (2)

Warehouse employees

(outsourced 150)

SC VP Assistant

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Emma’Z Processing Started in 2002 with an idea from E’Z’s soup kitchen operations that found its way to the president, and

he decided to act on it, Emma’Z Processing (E’ZP) processes all fresh vegetables, and fruits coming from

E’Z Agriculture, as well as beef, poultry , and other types of meat; producing 50% of total stores needs,

Currently employing over 550 employees in 5 processing facilities, out of which three are strategically

located next to E’Z Farms, and two are in Mississauga ON. E’ZP is generating an average annual revenue

of about $100 Million, currently they are producing 50% of all store’s needs, and looking to expand to a

100% in the next three years.

by adding five more processing facilities outside of Ontario, Increasing processing automation, and use

of state-of-the-art packaging technology.

E’ZP Employees’ satisfaction survey conducted in 2021 is showing a total satisfaction rate of 76%, The

second Highest while the current employees turnover rate is below 6% (in all five facilities).

Currently the facilities are working four days per week, two ten hours shifts per day 5:00-15:00 and 14:30-

22:30, facilities are closed for maintenance, cleaning, and sanitation Fri-Sat.

UFCW and Unifor made several unsuccessful unionization attempts at Emma’Z processing employees,

employees rejected the notion of unionization.

” We are happy with everything the way it is, and we are not looking to change it” several comments held

that meaning in the employee satisfaction survey.

E'Z Processing VP

Mgr. HR& Admin

HR Specialiest (5)

Legal Counsellar

Director of Production

P.Facility Manager (7)

P. Facility Supervisor (30)

P. Facility staff (350)

Director of warehousing

Warehousing manager (5)

Warehousing Supervisor (12)

Warehousing associated (25)

Director of Quality Control

Quality assurance Mgr.

(4)

Quality COntrol Supevisor (10)

Lab Mgr. (2)

Bioligest(2)

VP Assistant

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Emma’Z Agriculture Started in 2003 at the notion of vertical and horizontal integration discussed in a meeting Between Vika

and E’ZO CFO, who engaged the idea almost immediately, by adding this last piece to his empire.

Emma’Z Agriculture (E’ZA) is currently operating three farms in Ontario, employing over 300 employees,

mostly international farming workers who are living on the farms, The farm operates on a 12 hours shifts,

seven days a week starting at 5:00 Am, workers are working on rotating schedules five days a week.

E’ZA is generating an average annual revenue of $335 Million; utilizing state of the art techniques and

green houses E’ZA produces year around vegetables and fruits supplying stores with 25% of their needs

and looking to expand to 100% in the next five years by adding five more farms outside of Canada.

E”ZA recent employees’ satisfaction survey is showing a total satisfaction rate of 63% the lowest, while

the current retail employees turnover rate is averaging 40% (in all three farms).

E'Z Agriculture VP

Director of Farming

Farm Mgr. (5)

HR& Admin Mgr. (2)

Farm supervisor (15)

Farmer (300)

Director of warehousing

Warehouse Mgr. (6)

Dirctor of logestics

Ordering Mgr (2)

VP Assistant

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E’Z Headcount

Strategic Leaders

Leaders of Managers

Managers of Others

Individual Contributors

Total HC

Emma'Z Original

30 400 11000 68,000.00 79430

Emma'Z Econo

20 100 5300 18,900.00 24320

Emma'Z Processing

1 25 100 450 576

Emma’Z Supply Chain

1 5 25 300 331

Emma’Z Agriculture

1 3 50 350 404

Total 53 533 16475 88000 105061

*Not Including E’Z Holding

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Appendences

Clients Satisfaction Survey

Only Retail clients were surveyed, Respondents Sample Size N=590'000

1- Overall satisfaction is calculated automatically from the other questions

2- How Likely would you recommend others to shop at E'Z?

3- How would you rate your overall satisfaction of the products availability and variety?

4- How would you rate our spectrum of services?

5- How would you rate the Quality you are receiving (Products, service)?

6- How would you rate the value for your money you are receiving?

7- How would you rate the overall cleanliness in our premises?

8- How would you rate the friendliness of our team members?

Social Media Analytics (Quarterly Report)

1- Overall

Satisfaction 2- Recommendation 3- Products 4- Service 5- Quality 6- Value 7-Cleanliness 8- friendliness

E'Z O 80.6 87 89 67 82 95 66 78

E'Z E 87.6 93 95 76 89 98 69 93

Retail

Social Media Accounts Analytics Quarterly report

SMA Introduced garadually in 2017

LinkedIn Facebook Twitter Instagram LinkedIn Facebook Twitter Instagram LinkedIn Facebook Twitter Instagram LinkedIn Facebook Twitter Instagram LinkedIn Facebook Twitter Instagram LinkedIn Facebook Twitter Instagram

Since 2017 2018 2018 2019 2017 2018 2018 2019 2017 2018 2018 2019 2017 2018 2018 2019 2017 2018 2018 2019 2017 2018 2018 2019

Success Snapshots

Total new followers 500 250 125 50,000 100,000 35,000 14,000 2,500 625 1 8 51,126 100,258 35,125 14,000

Total followers 25,000 12,500 6,250 2,500,000 5,000,000 1,750,000 700,000 125,000 31,250 31 375 2,556,281 5,012,875 1,756,250 700,000

Total engagements 1,000 500 250 100,000 200,000 70,000 28,000 5,000 1,250 1 15 102,251 200,515 70,250 28,000

Total website traffic 15,000 7,500 3,750 1,500,000 3,000,000 1,050,000 420,000 75,000 18,750 19 225 1,533,769 3,007,725 1,053,750 420,000

Comparative Change (Quarterly basis) 10% 5% 3% 1000% 2000% 700% 280% 50% 13% 0.01% 0.15% 1023% 2005% 703% 280%

Compliance

AODA % 95 98 97 98 98 97 96 95 95 87 76 75 54.4 38.8 19.2

TTLAgriculture Processing Supply Chain RetailHolding

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Employees Satisfaction Survey Questions

*Employees Survey results available in the supporting documents Package (Excel sheets)

Organization relation and employee satisfaction survey

1. Is there a clear understanding of the strategic objectives of the organization?

In research conducted by QuestionPro, 36% of employees said that better visibility of organizational

goals would amplify their satisfaction and job performance.

2. Is it clear to you what your role demands in meeting the company objectives?

When employees have a sense of direction how they fit in the long-term broader company vision it does

impact job satisfaction positively.

3. Do you believe that there is an opportunity for individual career growth and development within the

company?

If the employee is directionless in terms of growth, eventually the employee will leave sooner or later.

4. Will you be working for the same organization in the next 2 years?

A satisfied employee acts as a word-of-mouth promotion tool for the organization, hence this question

is of immense significance and if the answer to this question is no, it should ring alarm bells within the

organization and call for immediate corrective measures.

5. Are you satisfied with your job overall?

This will give you an overall average overview of employee’s perceptions towards the organization.

Employee Satisfaction Survey

S# Aspect Holding RetailSupply

Chain Processing Agriculture

Average Q

TTL

Sample Size Percentage 100% 89% 78% 85% 75% 85%

S1 Organization relation and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

90.2 70.6 76.2 74.2 73 76.84

S2 Teamwork and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

91 90 89 94 90 91

S3 Information and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

85 75 78 77 67 76

S4 Relationship with the supervisor and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

73 57 67 72 43 62

S5 Job passion and self-evaluation employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

82 70 82 78 56 74

S6 Feedback and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

54 60 72 74 50 62

S7 Fairness at work and employee satisfaction survey Holding RetailSupply

Chain Processing Agriculture

63 60 52 60 59 59

Total Categories Across the Organization 77 69 74 76 63 72

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Teamwork and employee satisfaction survey

Research has proved that teamwork culture has a direct impact on job satisfaction; we have underlined

3 questions that have to be part of your employee satisfaction survey:

6. Do you relish being a member of your team?

7. Is your team an inspiration for you to do your best at the job?

8. Does your team provide you support at work whenever needed?

Information and employee satisfaction survey

This part often goes unnoticed in organizations especially when the employee is a recent hire they

depend highly on the information.

9. Do you struggle to get information to make better decisions at work?

10. If something unusual comes up, do you know who to go for a solution?

11. Does the organization inform you about all the resources and tools to perform your duties well?

Relationship with the supervisor and employee satisfaction survey

12. Do your seniors, managers encourage you to give your best effort?

13. Do you feel you are rewarded for your dedication and commitment towards the work?

14. Do you feel that your opinions are heard and valued by your superior?

15. Do you feel there is a scope for personal growth such as skill enhancement?

Job passion and self-evaluation employee satisfaction survey

16. Do you experience personal growth such as upgrading your skills and learning other tasks apart from

your regular to-dos?

17. Does the management involve you while taking leadership related decisions?

18. Do you think you are valued by your manager?

19. Do you think you go beyond your limits to fulfill a task?

20. Do you think your job makes a positive difference in other’s life?

21. Do you think you have had enough training to solve customer issues?

22. Do you think the management respects your personal family time?

Feedback and employee satisfaction survey

23. Do you receive constructive feedback from your manager?

24. Does your manager praise you when you have done a good job?

Work/Life balance and employee satisfaction survey

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25. Do you think the environment at work helps you strike the right balance between your work life and

personal life?

26. Does your job cause an unreasonable amount of stress for you?

27. Do you think your manager understands a healthy balance between work life and personal life?

Fairness at work and employee satisfaction survey

28. Do you think your manager treats all the team members equally?

29. Do you think the organization has fair policies for promotion for all employees?

30. Do you feel that the management is just towards administering policies concerning employees?

References https://www.styledemocracy.com/canadian-retail-history/

https://edenffc.org/

https://www.canadashistory.ca/explore/business-industry/the-rise-of-retail

https://www.bankofcanada.ca/rates/

https://www.questionpro.com/blog/employee-satisfaction-survey-questions/