CCC announces cuts. 250 people lost their jobs

The CCC group changes its sales strategy, deciding on drastic costs and restructuring, especially in the IT department and in Modivo organizational structures. According to the website “DaHandlu.pl”, these changes are aimed at improving the profitability of a company that tries to adapt to changing market conditions.

CCC exemptions: 250 people lost their jobs

Dariusz Miłek, president of CCC, announced a reduction in the number of IT employees from 550 to 300. Thanks to this operation, the company will save up to PLN 80 million. Similar changes in Modivo will reduce the expenditure on the management by another PLN 80 million. As Miłek admits, the key element of the strategy is the elimination of unnecessary projects, including those implemented in the IT department.

– Elimination of unnecessary projects, including in the IT department, is crucial. This year, our expenses are about PLN 80 million lower. We reduced the IT team from 550 to 300 people, focusing on one IT section, which supports the most important needs of the channel from the network. Until now there was a technological race – who implements more projects, who has better solutions. The projects did not end, did not clip, lasted too long and were too expensive – enumerated the president of CCC, Dariusz Miłek.

CCC spent PLN 80 million on unsuccessful investments in e-commerce

The next step in restructuring is a change in the approach to e-commerce, which did not bring the expected results. Although the company has invested PLN 80 million in the development of online sales, the results were disappointing.

-E-commerce has not noticed growth in the last two years-says Miłek. – lasts at 9 % total sales, and in the Fashion segment reaches 22 percent. However, no large e-commerce network has an extensive network of stationary stores, because it is not always a model that works.

In addition, the company tested a solution in which 52 stores were to serve as the collection points ordered online, but this concept was also not very popular with customers.

– The fact that we have 100,000 pairs of shoes in the back room and we can deliver them in three minutes, did not impress – admitted the president of the CCC Group and announced a new approach to sales.

CCC group with new ideas

According to the website “DaHandlu.pl”, the CCC Group plans to adapt its stores to new market realities, and the main goal is their greater efficiency and adaptation to consumers’ behavior. The company focuses on a more balanced strategy that will allow development in both large cities and in smaller towns.

– Our stores will not be exclusive boutiques, because we want them to remain friendly to customers and also available in smaller towns – sums up Miłek.