How we structure our business

Massmart’s strategy is to be considered a leader by all stakeholders in our chosen markets and become sub-Saharan Africa’s most trusted retailer. Massmart‘s business model empowers our Divisions to take trading decisions suited to their individual operating needs, within a strategic operating and financial framework set by the Group.
 
This has several advantages:
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The framework guarantees consistent compliance with the best governance standards and national legislative requirements. It commits each Division to implementing Massmart’s core strategy of being a high-volume, low-margin distributor of quality branded consumer goods for cash, and ensures expansion plans add net value to the Group.

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Divisions are enabled to extract greater value from being part of a larger Group with greater access to goods and services or negotiating better terms and rebates with suppliers and service providers. The Divisions are differentiated as retail or wholesale formats that address different customer and market profiles.

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Decentralised decision-making is given effect through a Group Executive Committee reporting to the Group Chief Executive Officer (CEO). The Committee’s members comprise the CEOs of Massmart’s four operating Divisions and a Group Executive from each of Massmart Holdings, Channel and Shared Services. Massmart Holdings’ Executive Directors are also represented on each of the four Divisional boards as non-Executive directors.

For more information on good business ‘Transparency and accountability’

 
The business model operates through the following four units:
1
Massmart
Holdings
performs the Group management role and defines the strategic and broad operating principles that guide the Group’s activities.
2
Massmart
Channel
consists of formal trading and functional forums where ideas on collaboration across Divisions are shared.
3
Massmart
Shared Services
implements collaborative agreements reached by the Channel Forums. The most important are Group supplier negotiations for all products sold across the Group.
4
Massmart
Divisions
report directly to the Chief Executive Officer and comprise Massdiscounters, Masswarehouse, Massbuild and Masscash.
Massdiscounters Masswarehouse Masscash Massbuild
General Merchandise Discounter and Food Retailer Warehouse Club Food Wholesaler, Retailer and Buying Association Home Improvement Retailer and Building Materials supplier

 

 
Dedicated to adding value
Massmart’s strategy is to be considered a leader by all stakeholders in our chosen markets and become sub-Saharan Africa’s most trusted retailer. Massmart‘s business model empowers our Divisions to take trading decisions suited to their individual operating needs, within a strategic operating and financial framework set by the Group.
We are dedicated to adding value through:
Operational excellence
Working towards achieving everyday optimal performance. This is seen in logistics and business-to-business (B2B); stand-alone store formats; innovation and ecommerce; and our private label portfolio.
Growing talent
We work towards nurturing talent and creating opportunities for our employees, customers, suppliers and business partners through learning and career development; our emerging talent programme; our nurturing talent campaign; and our Supplier Development Fund.
Is what we, as Massmart employees, have committed to do in everything we do, every day, to earn the trust of our colleagues, employees, customers, suppliers and business partners.
Good business
We aim to champion social and environmental leadership through energy efficiency; supplier advocacy; education initiatives; school nutrition programmes; developing suppliers; and employee health and wellness.
Sustainability
 
As a result we:
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Grow sales, grow profitability and increase customer loyalty
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Embrace the requirements of the relevant governance and regulatory frameworks
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Advocate more sustainable practices and product choices in all the business decisions we make
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Be the employer
of choice
Our desired outcomes:

Customers advocate Massmart banners as ‘must-go-to’ shopping destinations

Investors and suppliers advocate Massmart as a ‘must have’ retail partner

Government, academia and civil society advocate Massmart as a ‘must-be-like” social and environmental leader