Thread regarding Neiman Marcus Group layoffs

Could the company have had a better strategy?

I wonder if Neiman Marcus could have handled the pandemic any better, or whether the management could've been better? I am a just a simple worker who does not know too much about business, but I think there are examples of other companies that had a much better strategy during the pandemic conditions. Perhaps I'm wrong, but I would like to know what is your opinion.

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Post ID: @OP+1a2DWSTR

9 replies (most recent on top)

Neiman Markus operating model is absolute.The same model which put Jacobson, Kmart, Sears and Ralph Laurel / under GVR leadership/ out of extinction.Bankruptcy and reorganization is only smoke screen before curtains fell down.Between that will be more games like selling used purses and belts, reintroduce yourself campaigns / customers already forget who you are/ then selling Bergdorf Goodman with corporate wall art, issuing junk bonds while waiting miracle to happen to find new owner.Only this time Sax fifth Avenue not interested anymore.

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Post ID: @2Hjhy+1a2DWSTR

Perhaps by treating and respecting the associates in the trenches would they would have more loyalty. Or maybe not leaving them with a health insurance bill of over 2k? Maybe not forcing none hourly employees to essentially work for free while the store isn't open? How about the micromanaging over that work phone that customers complain we are on too much not knowing we are forced to contact the same list of customers over and over via email that they have now managed to micromanage how we do that and from all of this we barely get responses. Oh, I also forgot to mention that the word TERMINATED is a word I've heard more times in 3 years than in my entire retail career. It's no wonder people call in so much because we simply cannot take it anymore and many are quitting and retiring early or taking as much FMLA time as we can to get away from that horrible place. When NM finally terminated me it was honestly the most relief I've felt in a very long time. I can now pick up the pieces of a job that shattered my mental health for 3 years. NM you will not be missed and anyone thinking of joining the NMG run! Run for your lives! This place is not for the faint of heart and if you have a history of mental health DO NOT apply there because you will be greatly disappointed! So they pay hourly a bit more than Saks so what it was honestly the worst place I have ever worked in any job in over 20 years. Good riddance to bad rubbish!!!!!

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Post ID: @4lnj+1a2DWSTR

GVR will likely leave NM within the next 24 months. His employment history shows he never stays too long. Likely already looking for the next payday. He has done nothing to enhance the culture, image or moral at NM. He did emerge the company from bankruptcy, but stiffed 2800 unsecured creditors of around 3 billion $$$!!! No wonder good vendors all want to transition from wholesale to a lease business model. They don’t want to risk another bankruptcy. If he stays too much longer NM will be buried next to Barney’s in the retail graveyard.

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Post ID: @3lns+1a2DWSTR

The original question on this thread - could management have done a better job in the pandemic? The answer is yes. More than three years and our online business is still meandering. And he’s hired people that are not big enough for the roles - chief merchant, outgoing Chief digital officer - and you can’t win with that. Store hire is in over his head too. They’re all part of the GVR past and that’s k–ling the future. Stores finally getting to right model but it took a pandemic to get there and we moved way too slow before that. There’s no ability to make a decision. Would love to sit in on a meeting of the GVR team as it has to be disappointing and amusing all at the same time.

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Post ID: @3pxx+1a2DWSTR

KWK set direction and failed. GVR sets no direction and has failed. It’s time for a third act and to get someone else in here.

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Post ID: @3ffh+1a2DWSTR

The real culprit in NM’s demise was KWK. She inherited a well run, growing, profitable luxury retailer. Her strategy of opening up too many last call stores, cusp stores, the Target alliance, China start up, all failed miserably. She was trying to open up NM to a lower income audience. Never was going to work. Her only success was buying My Theresa, a luxury brand. She handed over a mess to GVR. He was pre determined to fail as the ship already was too filled with water to float...

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Post ID: @2mqp+1a2DWSTR

No. You can’t defend GVR. He’s been here long enough to roll out a strategy - Ignite to Win! And it was all about digital. But then we lost ground in that very space. He can blame the pandemic, the bankruptcy, the people he hired or whatever but better companies and leaders find a way. We haven’t. It looks like Hudson Bay has. And Nordstrom. We need someone who inspires follower-ship and provides direction. He’s the luckiest CEO around - made $$$ while going bankrupt and getting a new board that doesn’t seem to hold him accountable either. All the while cutting jobs, benefits and keeping the very best for himself. So don’t say let’s be fair - you may be his friend but be objective.

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Post ID: @2eyl+1a2DWSTR

Let’s be fair. GVR has been here just over three years.

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Post ID: @2sgr+1a2DWSTR

I agree. We botched it. If anyone read the Fortune article and the WWD information we missed the chance to grow online. GVR has been here for almost four years and yet we just churn. We have no strategy. Online business went down during the pandemic - how could that be?
From Forbes:
E-commerce has indeed been a bright spot in the luxury world. While HBC doesn’t disclose financial results anymore, its digital unit is now a roughly billion-dollar business, outpacing that of its stores. Nordstrom, whose brick-and-mortar business is languishing, saw e-commerce rise 24% last quarter, while Macy’s also thrived online.

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Post ID: @2rvs+1a2DWSTR

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