Zara International: Fashion at the Speed of Light

Case Study #1: Zara International: Fashion at the Speed of Light

Case Questions:

1. In what ways are elements of the classical management and behavioral management approaches evident at Zara International?

Zara International used elements of classical management by combining all three approaches. They used the scientific management approach to carefully select, train, and manage employees efficiently, both operationally and on the retail floor. They used the administrative approach for planning for the future, organizing their resources through quick design and implementation of fashion. They sold their “fast fashion” in small batches to eliminate back inventory that would be impossible to sell. Finally, Zara uses the bureaucratic approach by clearly defining everyone’s roles and responsibilities as it pertains to the organization as a whole. From a behavioral standpoint, they continually need to understand their customers and employees in order to receive the level of consistent productivity with quick and efficient turnarounds. It also appeared that they trusted their employee’s creativity and ability to make sound judgment to create fashions since timing was always a factor for sales.

2. How can systems concepts and the notion of contingency thinking explain the success of some of Zara’s principles?

They matched their management with situational demands – and fully incorporated the notion that there is ‘no one best way’ to do things. Their managers had to constantly manage their resources of materials, employees, and productivity in a fast paced environment that involved many components and locations all within a 24-48 hour time constraint.

3. Zara’s CEO has asked your management-consulting firm for advice on how the firm can make immediate improvements