Course Title: TCF Retail Buying

Part B: Course Detail

Teaching Period: Term1 2008

Course Code: BUSM5587L

Course Title: TCF Retail Buying

School: 350T Fashion & Textiles

Campus: Brunswick Campus

Program: C5165 - Diploma of Textiles Clothing and Footwear

Course Contact : Hector Gauci

Course Contact Phone: +61 3 9925 9139

Course Contact Email:hector.gauci@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Kelly Pascoe
+61 3 9925 9177
kelly.pascoe@rmit.edu.au  

Location:
Building: 511
Level: 1
Room: 7

Nominal Hours: 36

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites

None

Course Description

To provide learners with the skills and knowledge to:

• Demonstrate the nature and significance of strategic planning for the retail organization, emphasizing the importance of developing a marketing plan which reflects the influence and environmental factors, which are specific to retailing
• Explain the planning that retailers must do when managing their merchandise selection and sales budgeting process
• The ability to understand the role of advertising, sales promotion, merchandising and publicity in the operation of a retail business
• Identify current and possible future trends affecting retailing.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

LMTSMGN01A Devlp & Implement a Sales or Mktg Plan 03/7

Element:

LMTSMGN01A/01 Analyse business goals and market trends

Performance Criteria:

• Business goals and objectives are defined and analysed to assist the formulation of a marketing plan.
• Market trends are researched and issues related to the enterprise are analysed.

Element:

LMTSMGN01A/01 Analyse business goals and market trends

Performance Criteria:

• Business goals and objectives are defined and analysed to assist the formulation of a marketing plan.
• Market trends are researched and issues related to the enterprise are analysed.

Element:

LMTSMGN01A/02 Establish strategic directions

Performance Criteria:

• Directions for marketing are assessed in line with the aims of the business plan, customer requirements, market position, objectives, opportunities and resources of the business.
• Sales and marketing strategies are identified and prioritised in order to optimise sales and profit.

Element:

LMTSMGN01A/02 Establish strategic directions

Performance Criteria:

• Directions for marketing are assessed in line with the aims of the business plan, customer requirements, market position, objectives, opportunities and resources of the business.
• Sales and marketing strategies are identified and prioritised in order to optimise sales and profit.

Element:

LMTSMGN01A/03 Develop a sales or marketing plan

Performance Criteria:

• Business resources and appropriate personnel are identified and utilised to optimise effectiveness of the marketing plan.
• Liaison occurs with all relevant personnel, including external specialist advice where applicable.
• Marketing strategy is developed which reflects overall directions/parameters relating to the company business plan, identified long and short term objectives and budget for marketing.

Element:

LMTSMGN01A/03 Develop a sales or marketing plan

Performance Criteria:

• Business resources and appropriate personnel are identified and utilised to optimise effectiveness of the marketing plan.
• Liaison occurs with all relevant personnel, including external specialist advice where applicable.
• Marketing strategy is developed which reflects overall directions/parameters relating to the company business plan, identified long and short term objectives and budget for marketing.

Element:

LMTSMGN01A/04 Implement and monitor sales or marketing plan

Performance Criteria:

• Monitoring procedures are established.
• Financial data is measured and monitored against objectives to ensure progress toward target is achieved.
• Implementation of the plan is monitored to establish overall performance.

Element:

LMTSMGN01A/04 Implement and monitor sales or marketing plan

Performance Criteria:

• Monitoring procedures are established.
• Financial data is measured and monitored against objectives to ensure progress toward target is achieved.
• Implementation of the plan is monitored to establish overall performance.

Element:

LMTSMGN01A/05 Conduct plan review

Performance Criteria:

• Review of the sales or marketing plan is conduced and the results assessed.
• Marketing plan is modified, as necessary to reflect the dynamics of the market place.
• Reporting of review outcomes is assessed in accordance with enterprise procedures.

Element:

LMTSMGN01A/05 Conduct plan review

Performance Criteria:

• Review of the sales or marketing plan is conduced and the results assessed.
• Marketing plan is modified, as necessary to reflect the dynamics of the market place.
• Reporting of review outcomes is assessed in accordance with enterprise procedures.

Element:

LMTSMGN01A/06 Maintain records

Performance Criteria:

• Records of sales and marketing planning activities are maintained and reports prepared, where necessary, in accordance with enterprise procedures.
• Presentations on sales and marketing plan are made at management meetings in accordance with workplace procedures.

Element:

LMTSMGN01A/06 Maintain records

Performance Criteria:

• Records of sales and marketing planning activities are maintained and reports prepared, where necessary, in accordance with enterprise procedures.
• Presentations on sales and marketing plan are made at management meetings in accordance with workplace procedures.

Element:

RUAAG5203BMA/06 Identify the improvements and developments to be made during the planning period

Performance Criteria:

• Services relevant to the development of [plans for the conservation of natural resource are identified and used.
• Possible new improvements and developments are identified and analysed to determine the additional improvements required.
• Plans for future improvements are prepared, costed project by project, and an implementation schedule is prepared.

Element:

RUAAG5203BMA/10 Identify the rights and obligations of the parties to contracts relevant to business operation

Performance Criteria:

• Information is obtained from appropriate sources on the general legal principles underlying contracts and on specific legal aspects of particular contracts as required.

Element:

This unit covers the skills and knowledge required to develop and implement a sales and marketing strategy in a TCF enterprise.

Performance Criteria:

As above

National Element Code & Title:

RUAAG5203BMA Develop a Business Plan 03/6

Element:

RUAAG5203BMA/01 Specify business objectives and targets

Performance Criteria:

• Explicit short and medium-term objectives and targets which reflect the owner’s preferences for feasible enterprise performance and development.
• These objectives to be consistent with the overall purposes of the business (as identified in the strategic plan) are prepared in a form that enables progress towards them to be observed and measured.

Element:

RUAAG5203BMA/01 Specify business objectives and targets

Performance Criteria:

• Explicit short and medium-term objectives and targets which reflect the owner’s preferences for feasible enterprise performance and development.
• These objectives to be consistent with the overall purposes of the business (as identified in the strategic plan) are prepared in a form that enables progress towards them to be observed and measured.

Element:

RUAAG5203BMA/02 Prepare and assess a cash flow budget for the planning period

Performance Criteria:

• Information on past receipts and payments are obtained from previous records, compared with current price and cost trends and compiled in a form that enables projections of future receipts and expenditure to be made.
• An appropriate planning period is selected which takes account of physical production cycles and financial reporting requirements.
• Planners are prepared to determine receipts and payments for the period using most likely production levels, prices and costs.
• Taxation commitments are determined and analysed to minimise the tax paid and to maximise business stability and profit after tax.
• Most likely cash flow budget is prepared and analysed to determine the impacts of varying the timing of receipts and expenditure on net cash flow performance.
• Peak debt is determined and compared with available working capital and adjustments made as required to ensure continuing liquidity throughout the planning period.
• Periods of cash surplus are identified and uses of these surpluses examined.
• Cash flow budget is tested under various yield, cost and price assumptions.

Element:

RUAAG5203BMA/02 Prepare and assess a cash flow budget for the planning period

Performance Criteria:

• Information on past receipts and payments are obtained from previous records, compared with current price and cost trends and compiled in a form that enables projections of future receipts and expenditure to be made.
• An appropriate planning period is selected which takes account of physical production cycles and financial reporting requirements.
• Planners are prepared to determine receipts and payments for the period using most likely production levels, prices and costs.
• Taxation commitments are determined and analysed to minimise the tax paid and to maximise business stability and profit after tax.
• Most likely cash flow budget is prepared and analysed to determine the impacts of varying the timing of receipts and expenditure on net cash flow performance.
• Peak debt is determined and compared with available working capital and adjustments made as required to ensure continuing liquidity throughout the planning period.
• Periods of cash surplus are identified and uses of these surpluses examined.
• Cash flow budget is tested under various yield, cost and price assumptions.

Element:

RUAAG5203BMA/03 Test variations in enterprise mix and operation to assess their effect on Business performance

Performance Criteria:

• Partial budgets are prepared for various feasible alternatives to test their impacts on business performance.
• Non-financial factors affecting decisions on alternatives are identified and assessed in combination with partial budget results.

Element:

RUAAG5203BMA/03 Test variations in enterprise mix and operation to assess their effect on business performance

Performance Criteria:

• Partial budgets are prepared for various feasible alternatives to test their impacts on business performance.
• Non-financial factors affecting decisions on alternatives are identified and assessed in combination with partial budget results.

Element:

RUAAG5203BMA/04 Prepare trial profit and loss statements and balance sheets

Performance Criteria:

• Trial profit and loss balance sheets are prepared for the budget period following accepted accounting conventions, to test profitability and growth potential.

Element:

RUAAG5203BMA/04 Prepare trial profit and loss statements and balance sheets

Performance Criteria:

• Trial profit and loss balance sheets are prepared for the budget period following accepted accounting conventions, to test profitability and growth potential.

Element:

RUAAG5203BMA/05 Identify and plan appropriate risk management strategies

Performance Criteria:

• Sources and types of risks are identified and the probability of their occurrence and consequences assessed.
• Alternative management strategies for production, market and financial risks are identified, assessed and applied as required.
• Compulsory formal insurance is arranged as required for third party insurance on motor vehicles, workers compensation and occupational superannuation.
• The need for personal accident and sickness insurance, personal superannuation and public risk insurance is assessed and effected as required.
• The need for formal insurance cover on assets is assessed and insurance is taken out if risk of loss cannot be reduced to an acceptable level by effecting protection through management practices.

Element:

RUAAG5203BMA/05 Identify and plan appropriate risk management strategies

Performance Criteria:

• Sources and types of risks are identified and the probability of their occurrence and consequences assessed.
• Alternative management strategies for production, market and financial risks are identified, assessed and applied as required.
• Compulsory formal insurance is arranged as required for third party insurance on motor vehicles, workers compensation and occupational superannuation.
• The need for personal accident and sickness insurance, personal superannuation and public risk insurance is assessed and effected as required.
• The need for formal insurance cover on assets is assessed and insurance is taken out if risk of loss cannot be reduced to an acceptable level by effecting protection through management practices.

Element:

RUAAG5203BMA/06 Identify the improvements and developments to be made during the planning period

Performance Criteria:

• Services relevant to the development of [plans for the conservation of natural resource are identified and used.
• Possible new improvements and developments are identified and analysed to determine the additional improvements required.
• Plans for future improvements are prepared, costed project by project, and an implementation schedule is prepared.

Element:

RUAAG5203BMA/10 Identify the rights and obligations of the parties to contracts relevant to
business operation

Performance Criteria:

• Information is obtained from appropriate sources on the general legal principles underlying contracts and on specific legal aspects of particular contracts as required.


Learning Outcomes


Refer to other sections of guide


Details of Learning Activities

PLANNED LEARNING EXPERIENCES-

Underpinning skills and knowledge delivered in lecture, tutorials and seminars:
• Group Activities - Brainstorming
• Research - Field Work
• Demonstrations
• Case Studies
• Practical Work - Workshops
• Audio Visual Material with Discussion
• Simulated Work Tasks


Teaching Schedule

04/02/08 Orientation Week
11/02/08 No formal Classes - Conduct Surveys (YEP-Project)

18/02/08 • Retail Buying Course Orientation: Concepts and Assessments
• Introduction: Skills Required and Strategic Retailing
• Issue Assignment No:1 Major Retail Buying Assignme4nt (1.1DUE WK 11, 1.2 &1.3 DUE WK 16)

25/02/08 Retail Buying Concepts: 1
• Planning the range: Financial
Buying the merchandise –The Open To Buy

03/03/08 Retail Buying Concepts: 2
• Assortment Planning
• The Merchandise Plan – Part.2
Class/Student workshop: Developing the Merchandise Plan Part.2
*Issue Assessment No.2: Retail Environment Analysis (DUE WK 10)
(Develop Merchandise Assortment Plan and Competitive Shop Analysis) Assessment No.2

10/03/08 - 14/03/08 Monday 10th March – Labour Day Public Holiday
Melbourne Fashion Week: (Students Volunteer Program)

17/03/08 • The Merchandise Plan – Part.2
Class/Student workshop: Developing the Merchandise Plan (review work in progress)

24/03/08 - 04/04//08 Easter/Mid semester break (2 weeks)

07/04/08 Individual
Exam No.1: Calculation of the Merchandise Plan (15%)

14/04/08 • Group Work
Research week 1: Assessment No. 2 Retail Environment Analysis
(Developing the Merchandise Assortment Plan & Competitive Shop Analysis)

21/04/08 • Group Work
Research week 2: Assessment No. 2 Retail Environment Analysis
(Developing the Merchandise Assortment Plan & Competitive Shop Analysis)

28/04/08 Group Work
Due in: Assessment No.2: (35%)
2.1 Retail Environment Analysis Report (25%)
2.2 Oral presentation (10 %)

05/05/08 Individual
Assessment No.1:
• Retail Buying Assignment Part 1: Develop the Merchandise Plan / Spreadsheet and Presentation (15%)

12/05/08 Retail Buying Concepts: 3
Negotiation and General Business Principles

19/05/08 Retail Buying Concepts: 4
Store Space Allocation and Evaluation
Retail Buying Concepts: 5
Promoting the Merchandise

26/06/08 Individual
Exam No.2: Retail Buying Concepts (15%)

02/06/08 Final Assignment - Preparation Week (No Formal Class)

09/06/08Monday 9th June – Queen’s B’day Day Public Holiday
Final Assignment - Preparation Week (No Formal Class)

16/06/08 Due: Assessment No.1 R/Buying Assignment Part 1.2: Selection & Ranging/Distribution and Presentation (10%)
R/Buying Assignment Part 1.3: Assortment Plan (10%)

23/06/08 Assessment week (no class)


Learning Resources

Prescribed Texts


References


Other Resources

Essential Learning Resources:

• B.Merrilees & D.Miller, Retailing Management - A Best Practice Approach
• Lynda, Gamas, Poloian, Retailing Principles – A Global Outlook 2003
• J. Diamond & G.Pintel, Retail Buying (5th ed.).
• Lusch,Dunne & Gebhart Retail Marketing (2nd ed.).
• Retail Tenancies, Dr Clyde, Leo Cussen Institute.


Overview of Assessment

Students will produce a report that incorporates:
• The retailer’s philosophy and strategic plan in terms of product category, class and sub class development as well as store allocation.
• Pricing strategies in keeping with the retailer’s strategic plan that explains the retailer’s approach to the development of the optimal merchandise mix by implementation of differentiated strategies including depth, variety and breadth.
• The development of a six month Open To Buy (OTB) / merchandise plan.
• Methods used to develop and implement an assortment plan reflecting the retailers merchandise strategic direction.
• A SWOT Analysis on an assigned Point of Sale Retail Operation.

Assessment timeline: Progressive assessments


Assessment Tasks

ASSESSMENT

Learners need to demonstrate by means of a range of assessment tasks that they can:
Produce a report that incorporates:

• The retailers philosophy and strategic plan in terms of
Product category, class and sub class development as well as store allocation.
• Pricing strategies in keeping with the retailer’s strategic plan.
• That explains the retailer’s approach to the development of the optimal merchandise mix by implementation of differentiated strategies including depth, variety and breadth.
• The development of a six month Open To Buy (OTB) / Merchandise plan.
• Methods used to develop and implement an assortment plan reflecting the retailers merchandise strategic direction.
• Conduct a SWOT Analysis on an assigned Point of Sale Retail Operation.
Assessment timeline: Progressive assessments

Individual: Assignment No.1: Retail Buying / Merchandise Report (Holistic Assignment) (Mark 35%)

• 1.1 Merchandise Plan & Presentation 15%
• 1.2 Selection and Ranging/Distribution & Presentation 10%
• 1.3 Assortment Plan 10%

Student Group: Assignment No.2: Retail Merchandise Strategy - SWOT Analysis (Mark 35%)

• 2.1 Retail Merchandise Assortment Mix – 25%
SWOT Analysis/Written Report
• 2.2 Oral Presentation of findings and conclusions 10%

Individual: Exams (Mark 30%)

• Exam 1. Merchandise Plan Calculation 15%

• Exam 2. Retail Buying Principles 15%

TOTAL 100%

• Learners can make a claim for Approved Prior Learning on entry to the course

• Criteria for your results: HD (high distinction – indicative score 80-100%) or DI (distinction – indicative score 70-79%) or CR (credit – indicative score 60-69%) or PA (pass – indicative score 50-59%) or NN (fail – indicative score 0-49%).


Assessment Matrix

Not applicable

Course Overview: Access Course Overview