SIRRMRM011
Manage merchandise quality and compliance


Application

This unit describes the performance outcomes, skills and knowledge required to manage merchandise quality and compliance. It requires the ability to review quality and compliance standards, ensure products meet requirements and take action to address quality and compliance issues.

This unit applies to individuals working in merchandise management related roles in a diverse range of retail sectors and business contexts. They operate with independence and are responsible for making a range of operational business decisions that relate to retail merchandise management.

No occupational licensing, certification or specific legislative requirements apply to this unit at the time of publication.


Elements and Performance Criteria

ELEMENTS

PERFORMANCECRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Establish organisational merchandise quality and compliance standards.

1.1. Identify merchandise quality requirements based on organisational strategy and objectives.

1.2. Identify internal and external merchandise compliance requirements.

1.3. Document product quality and compliance standards, including tolerances.

1.4. Develop control systems and procedures that support the achievement of quality and compliance requirements.

1.5. Communicate systems and procedures to relevant internal and external stakeholders.

2. Assess merchandise quality and compliance.

2.1. Monitor adherence to quality and compliance standards during product production and trade.

2.2. Arrange routine product testing against quality and compliance standards as required.

2.3. Seek input from customers and stores regarding product quality and compliance.

2.4. Investigate causes of product faults and implement corrective action.

2.5. Communicate with relevant stakeholders as product issues and faults occur to minimise impact.

3. Evaluate merchandise quality and compliance.

3.1. Source product performance information as related to quality and compliance, including customer feedback.

3.2. Maintain records of product quality and compliance and quality issues according to organisational requirements.

3.3. Record action taken to prevent further compliance and quality issues.

3.4. Document quality and compliance reports and make recommendations for future improvements.

Evidence of Performance

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

develop quality and compliance standards for one product range that details:

quality requirements

compliance requirements:

internal

external

tolerances

develop control procedures for the above product range that details:

product monitoring and testing

corrective and preventative action

reporting

evaluate performance of one product range against quality and compliance standards and make recommendations for future improvements.


Evidence of Knowledge

Demonstrated knowledge required to complete the tasks outlined in the elements and performance criteria of this unit:

key aspects of legal and ethical requirements and considerations as they relate to product quality and compliance:

certification

packaging and labelling

Australian standards

safety

environmental

impact of product quality both positive and negative:

health and safety

brand reputation

customer loyalty

commercial

key aspects of quality and compliance standards:

product specifications

tolerances

sustainability requirements

compliance requirements

quality and compliance control procedures:

product monitoring:

audits

inspection

product testing:

functionality testing

quality testing

safety testing

benchmark testing

corrective action:

product recalls

product isolation

preventative action

reporting of variances

audits of compliance with quality control guidelines

techniques to manage the impact of quality and compliance issues

cost of non-compliance:

penalties

brand damage

role of internal and external stakeholders in product quality control and compliance

role of feedback in identifying quality and compliance issues:

returns

complaints

formats for quality and compliance reporting.


Assessment Conditions

Skills must be demonstrated in a retail environment. This can be:

an industry workplace

a simulated industry environment.

Assessment must ensure access to:

current documentation outlining aspects of legal and ethical issues that relate to product compliance and quality

templates for quality and compliance reporting.

Assessors must satisfy the Standards for Registered Training Organisations' requirements for assessors, and:

have worked in the retail industry for at least three years where they have applied the skills and knowledge within this unit of competency.


Foundation Skills

Foundation skills essential to performance in this unit, but not explicit in the performance criteria, are listed here, along with a brief context statement.

SKILLS

DESCRIPTION

Reading skills to:

interpret complex information relating to specifications, compliance, quality requirements and organisational procedures.

Technology skills to:

access, document and communicate information using digital technologies and systems.


Sectors

Retail


Competency Field

Merchandise Management