The closure of some RONA hardware stores has a direct impact on numerous hardware store owners who are of an age to start thinking about making way for their successors.
For these owners, most of whom are between 54 and 58 years of age, their business’s succession is a concern. Closure of these local businesses has shaken up the industry, awakening old demons and highlighting the challenges facing entrepreneurs—the value of their business and the labour shortage.
An entrepreneurial succession process includes a quantitative and qualitative analysis of the business. The availability of labour is a major component in the equation to define the business’s value.
How can human resources be retained?
Needless to say, the recent announcement of RONA hardware store closures triggered substantial insecurity, feeding the negative climate in the market, particularly for independent RONA store owners, and with reason.
The new generations of workers have very specific criteria when they are looking for a job, a situation that is even more prevalent in the hardware sector. They want to work for an organization with an identity, values, a history and, most importantly, a plan for the future with the material and financial means to maintain its position over time.
Fortunately, there are solutions to attract and retain human resources. For example, entrepreneurs can invest in coaching sessions to keep their resources and develop human resource marketing strategies. But, first and foremost, entrepreneurs need to develop or re-evaluate their succession plan.
In order to be better equipped to counter this shock wave that is rocking the Quebec hardware industry, it’s essential for the industry to reinvent itself and review its methods of communication.
It is crucial to prepare a game plan for the organization, consider its longevity and review personal choices. Owners also need to accelerate the implementation of their succession plan and solidify their relationship with key employees.
Opportunities to seize
The closure of some RONA hardware stores in Quebec is an indication that the Quebec retailer has opted to focus on larger branches. This opens up future opportunities for other hardware retailers and, as a result, smaller businesses.
Now, more than ever, entrepreneurs must act and mobilize to differentiate their business.
Our team of experts can support entrepreneurs in this process. Our entrepreneurial succession specialists have an integrated approach that incorporates the psychological, human and logical challenges; it’s the perfect tool to help entrepreneurs face the challenges head on.