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Wednesday, August 15, 2007

Home Depot Under Construction

StreetBlabber has always complained about how Home Depot needs to improve. The company has a poor organizational structure, stores are cluttered, dirty and overcrowded, and most of all customer service is horrible. Its time for a renovation. Fortunately, Home Depot has realized this problem and seeked out help. The solution: military control! Not quite... The company's CEO, Bob Nardelli is incorporating military-style rule from experience. Nardelli isn't the only employee with a military background. In fact, more than thirteen percent of Home Depot's 345,000 employees have military experience (according to Business Week). Nardelli plans to change Home Depot by importing ideas and people from the military into the company. With rivals such as WalMart expanding their home improvement line, and Lowe's offering a better setting for customers, Home Depot needs to step-up. The company recently invested billions of dollars on technology such as self checkout aisles and in store Web Kiosks. Overall, Nardelli wants to create Home Depot, the nation's third largest retailer, into a more centralized organization. Unfortunately, some analysts aren't buying it. Skeptics say that Nardelli's plan will refocus Home Depot from a retailer into a service business. I think that Home Depot is a great model but just needs to focus on customer service and organization of its stores. The company needs to undergo a major transition. Start by remodeling stores... make them brighter, clean, and spacious for customer convenience. Its unfortunate that Home Depot stores are not like how they're portrayed in commercials. Each Home Depot TV spot features a happy customer and a proud employee with an orange apron helping a hand. The company needs to hire more experienced employees... not with military backgrounds but in the home improvement industry. A customer should be able to gain advice on what paint to use or which faucet works best. Lowe's definitely has the better hand but they are still distant to me. Both companies need to step up... a campaign is once again needed. I think these home improvement giants can and will benefit greatly from global warning's effects. Hurricanes, storms, freezing temperatures, and earthquakes. These natural disasters can cause major problems for home owners. We are all at risk of potential floods and other serious damages. Customers will have no choice but to enter Home Depot or Lowe's stores and prepare for a catastrophe or rebuild. This means that there is potential for Home Depot to succeed but they must start now. Hurricane Erin is on the way and a new image can re-gain those lost customers. Similar to an insurance commercial... Home Depot should have a "campaign for preparation"... alert the nation of potential disasters and urge them to prepare by stocking up on items such as storm windows. Getting back to the main point, Home Depot needs to better their customer service and organizational structure. It will take a lot of work but I believe it could happen.

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