Conceptual Framework for a Multidimensional Index for Evaluating the In-store Operational Performance Within Retail Chains
Abstract
The current paper presents a conceptual framework for developing a multidimensional index designed to assess the operational performance of retail chains. Traditional tools such as Key Performance Indicators (KPIs), the Balanced Scorecard, Data Envelopment Analysis (DEA), and the Altman Z-score provide only partial insights and lack comprehensive integration of financial, operational, behavioral, and external dimensions for the organization. The proposed index addresses this gap by combining a wide range of internal and external indicators, including sales potential, staff efficiency, customer behavior, inventory management, financial sustainability, and location-related factors.
The methodology incorporates various statistical and analytical methods to ensure statistical validity. This framework supports comparative analysis, predictive modeling, and the evaluation of targeted interventions. By integrating big data analysis techniques and machine learning, the index serves as a scalable and adaptive management tool, aiding in the development of strategic decisions within dynamic retail environments.
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