DSW DESIGNER SHOE WAREHOUSE

Brandi Lavigne Chinedu Oparaku

Clara Mills Patricia Realmuto Shane McQuillan

Yuji Machida

DSW: Designer Shoe Warehouse

Founded by Jay L. Schottenstein

Shoe Store

Franklin, Massachusetts

20,000 sq. ft.

Major Objectives: Sell shoes with the bigger picture in mind by:

making ethical business decisions

caring about the environment

acting sustainably as an organization

Organizational Structure CEO

Merchandising Info Technology Marketing Store Operations Human Resources

Merchandise Support Assistant

Senior Buyer

Associate Buyer

Buyer

Assistant Buyer

Database Admin.

Security

Project Managment

Quality Assurance

Marketing Operations

Customer Marketing

Interactive Marketing

Photo Studio Sales Associate

Assistant Store Manager

Store Manager

District Manager

Human Resource Management Strategy and Plans

“

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At all levels of DSW, our associates are what make us successful. Our culture is one in which individual initiative is encouraged and quality performance is the standard. We reward and recognize our achievers, and we take pride in the difference our associates make.

Values in Our Employees

Passion

Accountability

Collaboration

Humility

Benefits:

Health and Wellfare

Medical Coverage

Dental Coverage

Vision Coverage

Perscription Drug Coverage

Health Savings Account and Flexible Spending Accounts

Life Insurance

Long and Short-Term Disability

Retirement

401 (k) Plan with Company Match

Additional Employee Offerings

Employee Assistance Plan

Salary Continuation

Electronic Pay

Paid Time Off

Paid Holiday

Associate Discount

Marketing

Products

Shoes: 30,000 different pairs of shoes from 400 brands.

Including men's, women's, and children's.

Athletic, fashion, casual

Designer brands

Winter and rain boots, sneakers, heels, flats, sandals.

Accessories: Socks, hats, gloves,

Handbags, wallets, belts

Variety of jewlery

Customer Demographics

Men, women, and children (mostly women) People of all ages DSW tends to break down their customers based on behavior rather than

demographics: 1. Multi-category

2. Loves the classics

3. Fashion focused

4. Classic deal seeker

5. Fashion on a budget

6. Man of the house

7. Online shopper

8. Shopping bag filler

9. Return trippers

10. Shoe fanatics

Logo

• Easy to read • Straight to the point.

Competitors

JC Penny

Macy's

Payless Inc.

Other apparel stores

Social Media DSW reaches out to the customers through:

Their website

Instagram

Pinterest

Twitter

Facebook

Advertising and Drawing in Customers

Commercials

Billboards

Social Media

Free shipping on their website

DSW Rewards Program

2014 DSW Fall Shoe Marketing Campaign "Where'd you get those shoes?"

DSW: Those shoes. That price. The hunt is over.

http://www.youtube.com/watch?v=jx5QKo3GG0Q#t=16

Product & Service Design

Service System Design Matrix

Major Factors in Design Strategy

Cost

Materials

Quality

Time-to-Market

Customer Satisfaction

Cost

The cost of DSW's Propet Blizzard Boot is $80.00

Materials

Scotchgaurd treated leather upper

Lace-up closure

Padded collar and tongue for comfort

Molded rubber toe for weather resistance

Thinsulate ® lining provides warmth

Vaporex ® heat-retaining cushioned insole

Molded EVA midsole provides lightweight cushioning

Sealtex ® waterproof bootie construction

Self-cleaning rubber sole provides traction

Quality

Sturdy boot made for winter and rain

Waterproof

Tough

Non - tear-able

Time-To-Market

It took about 2 months for the Propet Blizzard Boot to be released to the public.

Within those two months people were hard at work to ensure the best winter boot.

Customer Satisfaction

Customers around the world loved the Propet boot, as it became one of DSW's top selling shoes.

More and more Americans wrote a review of the Propet boot and they all turned out positive.

Service Design

The products that we offer include shoes, boots, sandals etc.

We also offer accessories such as shoelaces, foot insoles, socks etc.

All of these products come with services including cleaning, sizing and delivery.

Deliveries& Returns

Can be completed through our massive online catalog

$7.95 per order; 4-7 business days

2 business day deliver = $14.95

Next day business delivery = $24.95

Return UNWORN shoes within 60 days for full credit of amount owed.

If not returned within 60 days, DSW merchandise credit will be awarded

Must be in original packaging

Allow 14 days to process your return and credit your account

You will not be charged for shipping an exchange.

Services Offered

Wish List - bonus of the DSW Rewards program members can keep track of the products they want

also receive updates to share with friends and family

Premier Member - Achieved by spending a certain amount at DSW rewards include: free shipping and 50% more credits when shopping online

Birthday offers - sent through mail

accounts set up in order to receive birthday offers, such as discounts

Accounts may be created online or in the store and rewards points begin adding up immediately after every purchase. Our customers are rewarded for their loyalty.

Finance and Accounting

Start-Up Expenses

Funding Sources

Estimated Costs

$1,630,000,000

$1,631,739,000

Estimated Profits

Estimated Revenue: $2,370,000,000

- Estimated Costs: $1,631,739,000

Estimated Profit: $738,261,000

Information Management

DSW By the Numbers

349 stores in: 42 states

the District of Columbia

and Puerto Rico

Price Range: $30 - $300

Carries approximately 24,000 pairs of shoes

Mission Statement

"Our core focus is to create a distinctive shopping experience that satisfies both the rational and emotional shopping needs of our DSW customers by offering them a vast, exciting assortment of in-season styles combined with a convenience and value they desire."

"DSW strives to be the retailer of choice for branded footwear and accessories, by exceeding customers' expectations for selection, convenience and value."

Notable Designers Carried

Coach

Anne Klein

Miu Miu

Stuart Weitzman

Prada

Frye

Converse

Reebox

and many others.

Partners

DSW imports from other countries outside the United States such as: Brazil

China

Dominican Republic

India

Italy

Portugal

Spain

Vietnam

Our Competitive Strengths

Breadth of product offerings

Our distinctive and convenient store layout

The value proposition offered to our customers

Demonstrated ability to consistently deliver profitable growth.

Legal Compliance, Ethics & Social Responsibility

Federal Retail Laws

GUIDES FOR SELECT LEATHER AND IMITATION LEATHER PRODUCTS

GUIDES AGAINST DECEPTIVE PRICING

FAIR AND ACCURATE CREDIT TRANSACTIONS ACT OF 2003

State Retail Laws

Part I, Title XX, Chapter 136, Secition 16: Retail stores and shops; Sunday and holiday opening

940 CMR 3.13 Pricing and Return Policies

“

”

Sustainable practices are central to living the DSW core values of Passion, Accountability, Humility, and Collaboration. We're proud of the ways that we're sustainable as a company—at the same time, we're always looking for ways to get better. That's why we established the DSW Sustainability Committee, a group of leaders focused on improving our current sustainability practices.

- http://www.dswinc.com/sustainability.jsp

Ethics and Social Responsibility

Energy Use

Energy-conscious lighting design

Use of ENERGY STAR appliances wherever possible

Motion sensors keep lights, heating, ventilation, and air conditioning systems controlled and monitored

Plans to replace halogen lamps with LED lamps, reducing wattage from 75 to 18 watts

Waste

In-store recycling programs and green cleaning programs

Store construction with a focus on recycling and low-emission materials

Materials

Carpet: adhesive contains no Volatile Organic Compounds (VOCs) and carpet contains recycled content along with a recycling program for carpet replacements

Paint: low and/or no VOCs Lighting: current lighting package as installed is 40% more efficient than

LEED baseline for efficiency

Fixtures: no added formaldehyde Plumbing: fixtures qualify for additional LEED points for efficiency (low flow) Brick: contains recycled content EMS: computer control program of lights and exterior signs HVAC: use of Variable Fan Drives to reduce energy consumption and

longer equipment life

Suppliers and Partners

Code of conduct letters, detailing our expectations and values, are sent to all vendors we import from—they must be signed and returned to verify their compliance.

Business Goals, Measures and Metrics

Growth Strategy& Goals

Expanding our store base

Driving sales through enhanced merchandising

Leveraging our operating model

Provide healthy and safe environment

Help other companies

Encourage help with local organizations (i.e., Lend A Hand, Lead The Way, and the United Way Campaign)

Measures& Metrics

Measures In order to meet the needs of our startup costs we will borrow money from

the bank as well as venture capitalists Metrics Customer satisfaction surveys:

"How likely would you be to recommend DSW to a friend, relative, or colleague?" "All things considered, how satisfied are you with DSW?" "Thinking about the past four months, approximately how much have you spent

on shoes for yourself at DSW and other stores?" "Thinking about the next four months, approximately how much do you plan to

spend on shoes for yourself at DSW and other stores?"

THANK YOU

Designer Shoe Warehouse: Business Plan

Brandi Lavigne, Chinedu Oparaku, Clara Mills, Patricia Realmuto, Shane McQuillan, Yuji Machida

BUS – 123 – 04

12.5.14

1. Business name; Type of Business; Location; Size; and Main Objectives The name of our business is Designer Shoe Warehouse; we are a retail business. As the name implies we sell shoes, however, we also sell fashion accessories such as socks, hats, gloves, handbags, wallets, bags and more. We have over three-hundred locations; however our newest store is set to open in Franklin, Massachusetts. The Franklin location will take up about twenty-thousand square feet and offer a wide variety of shoes and accessories sold on the sales floor to our beloved customers. At Designer Shoe Warehouse we are dedicated to serving our customers. Our main objectives include selling shoes (and other accessories) with the bigger picture in mind. It isn’t enough for us to put shoes on feet and push our customers out the door. We hold our employees to high standards and expect a lot out of them; this is why another one of our main objectives is to make ethical business decisions. It’s extremely important to us that everything that every employee does at Designer Shoe Warehouse is thoroughly thought out, planned, and carried out in the most appropriate and ethical ways. As a highly regarded business, good ethic standing is vital to our company’s ability to flourish. We are also exceptionally concerned with making decisions that are conscious of and caring toward the environment, which is one of our objectives, along with acting sustainably as an organization. 2. Organizational Type and Structure

At Designer Shoe Warehouse our company is organized in a hierarchical structure. With our CEO at the top of our chain of command, there are then heads of each department. The departments including marketing, information technology, marketing, store operations, and human resources. Under our marketing manager, there are positions including, the merchandise support assistant, and a series of buyers including senior buyer, associate buyer and assistant buyer. Within the information technology sector of our business there are positions that include a database administrator, security, project managers, and quality assurance. Our marketing department includes jobs such as marketing operations, customer marketing, interactive marketing and our photo studio. Next, we have our store operation, which encompasses our district managers, store managers, assistant store managers, and our sales associates. Finally, there is the human resource section of our business, comprised of several managers intended to hire and fire employees as well as keep up on how the employees are maintaining social responsibility and high ethic standing.

We chose the hierarchical structure because it was a clear way to show the vertical levels leading to the top authority figure. All of our employees have clearly defined roles and our managers are specially trained in their specific departments. Since the structure visually points to a top authority figure, authority is obvious. No one needs to question who they answer to. As we work our way up the hierarchical structure we see that there is more authority and responsibility with every level. This also helps our employees to know who to report too if problems arise. Another advantage to this type of structure is that our managers are skilled in a specific area. In other types of organizations there maybe managers who are skilled in all areas but their skills in one area are marginal to the skills of a manager in the same area of a hierarchical structure. Our managers are specific to the department; therefore, our human resource managers are experts in human resources, similarly the managers in our marketing sector are experts in marketing. This goes on to describe all of our managers. They know a lot about what they’re doing and the best ways to get it done. A hierarchical structure also provides a clear promotional pathway that makes it easy for our employees to set goals and know what they may have achieved when promotions do roll around. Finally, the hierarchical structure increases and promotes department loyalty. Everyone in each department is working toward a common goal and the hierarchal structure makes it clear who is involved in each department. Bonds and relationships form between co-workers of the same department which increases employee satisfaction, while they work to reach our business goals of customer satisfaction. 3. Human Resource Strategy and Plans At Designer Shoe Warehouse our Human Resource team is dedicated to hiring talented employees who bring the company a fresh look on selling shoes and other accessories. On our website you can find this quote, “At all levels of DSW, our associates are what make us successful. Our culture is one in which individual initiative is encouraged and quality performance is the standard. We reward and recognize our achievers, and we take pride in the difference our associates make.” It is these standards and the differences that our employees make that are the reason our company is so successful. Much of this success is due to the great human resource team we have Designer Shoe Warehouse. Our human resource managers do everything in their power to make sure the employees of DSW give us what we need, and that they get what they need. There are four main values all of our employees must have upon being hired; those are passion, accountability, collaboration and humility. It says on our website, under our career links that “DSW believes that all persons are entitled to equal employment opportunities. We do not discriminate against race, color, national origin, religion, sex, age, disability, genetic information, sexual orientation, gender identity or any other protected classification recognized by state or federal laws.” This is why we base our employment decisions on the four values, passion, accountability, collaboration, and humility. When it comes to passion all of our employees must fuel a spirit of engagement, optimism, excitement and fun. We don’t want employees that come to work because they have to; we want employees that come to work because they want to. Next is accountability; basically we want employees who know that at Designer Shoe Warehouse we own our responsibilities and our behaviors, on a company level; therefore we expect all of our employees to do the same. Every success at DSW is a team success, that’s why we need employees who value collaboration. Employees who are looking for individual recognition for every success won’t necessarily be happy with the way our company is run, because we like to focus more on the company’s success as a whole, though the little successes do count and will help an employee to move up the ladder. Lastly, our employees must value humility, this value ties into that idea of collaboration; each member must use their individual strength to benefit the team as a whole. If each of our employees can do these things for our company we reward our employees. Some of the benefits we provide to our employees only apply to full-time employees. These benefits include health and welfare benefits as well as retirement plan benefits. There are various health and welfare benefits we offer, these include: medical coverage, dental coverage, vision coverage, prescription drug coverage, a health savings account and flexible spending account, life insurance, long term disability and short term disability. We also offer a 401 (k) plan with company match for our full time employees if they so choose to take part in it. Since we place so much importance on our employee values, we find it important to give back to our associates, and employee benefits, we have found, are a great way to do this.

There are other benefits that apply to all of our employees, part-time included. These include an employee assistance plan, salary continuation, electronic pay, paid time off, paid holiday, and associate discounts at our stores. These are again, benefits to show our employees that we appreciate that they care about the same things we do. We are most definitely a company built on values. 4. Marketing

At Designer Shoe Warehouse we offer a wide variety of products, which includes more than just our shoes. On top of the thirty thousand different pairs of shoes from 400 different brands, we also sell a variety of accessories. Our shoe selection includes men’s, women’s and children’s shoes, ranging from athletic shoes, to fashion shoes, to casual shoes. We carry designer brand winter boots, rain boots, sneakers, high heels, flats, sandals and more. The accessories we offer include socks, hats, gloves, handbags, wallets, belts, and a variety of jewelry products. If it’s not clear already, we are very proud, at DSW, of our variety of products, we

know that customers don’t need just shoes, and in order to meet some of the other needs, we have chosen to carry more in our store than just shoes. We have found that all of our customers appreciate that. Our customers are comprised of mostly women; however, we do have male customers, as well as younger customers, who benefit from our children’s section. This is why our customer demographics include customers of all ages. Since most of our customers are women we have chosen to break our customer demographics up into behavioral demographics rather than ones based on gender, race, or socio-economic status. Instead we examine the types of shoes and accessories each customer buys and place them in categories based on their buying habits. The first category is the multi-category. This customer enjoys products from each of the different products we sell, whether it is shoes, hats, gloves, or anything else our store carries. These customers often receive promotions for all of our products, because we know that they will enjoy the variety we provide. Next, we have the loves the classics category. These customers love the high end brands and don’t like mark-down codes. For this reason we can sell more expensive shoes to these customers at full price, without complaint. Third, we have the fashion-focused category. Customers in this category enjoy fashion looks. In fact, the shoe is all about the look to them, if we don’t have their size, they go to our competitors; so in order to please these customers we try to keep a variety of sizes in stock as well. Classic deal seekers make up the next category, which is just what it sounds like. These customers don’t like to pay full price if they don’t have to. They will scour the clearance rack and love anything with a promotion attached to it. Similarly, fashion on a budget shoppers want the best deal they can find, and love our clearance, however are still concerned with the fashion aspect of the shoe. These customers are like a hybrid of the fashion-focused category and the classic deal seekers. Next, we have the man of the house category; this customer loves technology, shoes, and doesn’t mind paying full price. However, in order to keep their interest we send out promotions to customers in this category that are in the form of a QR code that way they don’t have to print out our promotion or even just keep the paper copy sent in the mail. The seventh category is made up of our online shoppers. These customers like to shop online because they can quickly find what they are looking for, or if there’s nothing in particular they need, they can easily access our entire stock in a very quick, and organized way, right on our website. Our next category is our shopping bag fillers, which is our rarest category, but they are important none the less. We love these customers because when they come in, they aren’t just buying one or two pairs of shoes, they’re buying seven or eight pairs, which is great for our sales. We also have our return shippers; these customers buy five pairs of shoes and return three. Shoppers in this category love our return policy and that’s okay because it makes our company attractive to them, and we are still making profit. In the last category are the most important customers to DSW, the shoe fanatics. These are the people who spend thousands of dollars on shoes every year. In

fact the number one customer spent over fifty-six thousand dollars on shoes in one year. We have found that these categories help us to break down and better evaluate our customers’ needs, in order to provide for them effectively. Our competitors include JC Penny, Macy’s and Payless ShoeSource Inc. While these companies do have more employees than we do at Designer Shoe Warehouse, and higher revenue, we enjoy a higher quarterly revenue growth and we actually acquire a higher net income than JC Penny; with JC Penny’s net income actually falling into the negative numbers. Most of our success is definitely attributed to our marketing team. Reaching our customers through commercials, billboards, and social media, and drawing them in with free shipping online as well as our rewards program, our marketing teams have done more than imaginable to create the customer base we have now. Our commercials and billboards have done a lot to gain the attention of potential buyers. Our use of social media sites such as Facebook, Twitter, Instagram and Pinterest also have a huge hand in gaining customers attention. Once our attention has been gained we have been able to market to current customers by the offers we give such as free shipping and the rewards programs which will be discussed further in the following section.

5. Product and Service Design There are five major factors in Designer Shoe Warehouse’s product design strategy. These include cost, materials, quality, and time-to-market and customer satisfaction. In order to demonstrate how we implement these five factors into our product design we have chosen one of our products, the Propet Blizzard Boot. The cost of this boot is $80.00. In order to make the boot, we need materials which include, scotchguard treated leather, lace-up closure of the boot, a padded collar and tongue for comfort, molded rubber toe, Thinsulate ® lining (which provides warmth), Vaporex ® (a heat retaining cushioned insole), molded EVA midsole (which provides lightweight cushioning), Sealtex ® (a waterproof bootie construction), and a self-cleaning rubber sole that provides traction. Next we examine the quality of the boot, based on the intended use and purpose of the boot. We must make sure that the Propet Blizzard Boot is a sturdy boot for winter and rain. We must also make sure that it is waterproof, tough, and durable, so that it won’t tear. The next factor in product design is the time-to-market. We have found that it takes about two months before the product is ready to be released to the public. Within those two months our employees work hard to ensure the best possible boot. Lastly, we must take into consideration customer satisfaction. Customers around the world ended up loving the Propet Blizzard Boot and it has become one of DSW’s top selling shoes. American reviews of the Propet Blizzard Boot have all come back positive.

Product design is not our only concern at DSW; we also focus a great amount of attention on service design as well. All of our products, from shoes to accessories, come with services that include cleaning, sizing, and delivery. Another service we offer, as part of the DSW rewards program, is the Wish List. This service allows customers to keep track of the products they want, receive updates, and share news about promotions with friends, and family. Also offered by DSW is our premier member service. This service can be achieved by customers who spend a certain amount at DSW; the service becomes a reward program once earned. Customers who achieve status of a premier member enjoy free shipping on all orders and 50% more credits while shopping online. Another service we offer to rewards program member is birthday offers. These are typically discounts sent through the mail. We also provide the service that is our delivery program. Shoes may be ordered online through our extensive catalog and shipped directly to the customer. Four to seven business day shipping costs $7.95 for non-premier members. However products can be shipped faster for an added cost. Two business days delivery costs $14.95 and one business day delivery costs $24.95. The final service to be discussed is our return policy. This policy allows customers to return unworn shoes within sixty days of the initial purchase for a full refund of the amount owed. If the product is returned, but not within sixty days the customer still receives in store credit toward any of our DSW merchandise. Products returned must be in their original packaging and we ask customers to allow for 14 days to process returns and credit accounts. Also we do not charge our customers for exchanges done by mail. 6. Finance and Accounting In order to start up our business in Franklin we need startup funds that include land, building, and other expenses like stationary. In total, we need $2,346,000 in order to start our operation in Franklin, MA. In order to purchase the 6.21 acres of land needed for the store, we need $335,000. Building costs total up to $2,000,000 and all other expenses are estimated to be about $11,000, giving us the total of $2,346,000 for startup costs. In order to fund our startup expenses we plan to use $1,000,000 in personal savings, $1,000,000 in loans from the bank, and the remaining $346,000 from venture capitalists.

The next part of our finance and accounting plans is our estimated net profit. This can be found by determining our estimated costs and profits and subtracting the latter from the first. Our estimated costs include $1,630,000,000 spent on goods, $28,000 in personal expenses, $1,346,000 in loan repayment; $350,000 will be spent on advertising, and an estimated $15,000 in other expenses. All of these values result in a cost estimate of $1,631,739,000. The estimated revenue from all of our products and services is about $2,370,000,000. By subtracting the revenue, $2,370,000,000, by the costs, $1,631,739,000, we have found that our estimated net profits would be about $738,261,000.

7. Information Management Designer Shoe Warehouse has three hundred and forty-nine stores in forty-two states, the District of Columbia, and Puerto Rico. Generally our products run from about thirty dollars to three hundred dollars. At DSW we carry about twenty-four thousand different pairs of shoes, not including all of the accessories we also sell. In each of these stores “our core focus is to create a distinctive shopping experience that satisfies both the rational and emotional shopping needs of our DSW customers by offering them a vast, exciting assortment of in season styles combined with a convenience and value they desire.” This focus is presented as our mission statement. Another important aspect of our mission is that “DSW strives to be the retailer of choice for branded footwear and accessories by exceeding our customers’ expectations for selection, convenience and value.” Basically, everything Designer Shoe Warehouse does is intended to provide the best possible shopping experience for customers in each of our customer demographics mentioned previously. We place a heavy importance on pleasing customers through our large variety of stocked products, which we tend to emphasize is comprised of more than just footwear, unlike a lot of our competing shoe stores. We also like to emphasize that we enjoy making shopping as easy as possible for our customers to find what they are looking for through our convenient and organized online catalog and store front. We hope that our stock is found to exceed our customers’ expectations with our twenty-four thousand plus products found both online and in our stores. In order to provide to our customers in the way that we do we carry a variety of brands imported from around the world, and are sure to exercise our competitive strengths effectively. These brands include Coach, Anna Klein, Miu Miu, Stuart Weitzman, Prada, Frye, Converse, Reebok, and many others. Countries imported from outside the United States by Designer Shoe Warehouse include but are not limited to: Brazil, China, the Dominican Republic, India, Italy, Portugal, Spain and Vietnam. However, these brands and imports would mean nothing if it weren’t for our competitive strengths; the first of these being the breadth of products offered. As mentioned before, at DSW we really do place a lot of value and pride in the extensive stock we hold. Another competitive strength in the company is the convenient and distinctive store layout that allows customers to easily locate what they are looking for. The third competitive strength is the value proposition offered to customers. We know that our customers appreciate the value we place in our actions, and that’s why we do it, unlike some of our competitors. Finally, there is the demonstrated ability to consistently deliver profitable growth, as mentioned previously in comparison to some of our competitors who do not always make profitable growth. 8. Legal Compliance, Ethics and Social Responsibility Our company places a great deal of importance on the ethical behavior of our employees, if that has not already been made clear; this is why we are careful to follow all laws and regulations that apply to our business both on a federal and state level. One of these federal laws include the guides for select leather and imitation leather products, which lays out specific guidelines for these products, which applies to many of our shoes, carried in the store and catalog. Another federal law is the guides against deceptive pricing, which our marketing and finance teams are trusted in following. We also must also follow the federal Fair and Accurate Credit Transactions Act of 2003, which is very important to us since so many of our orders are done online by users with credit and debit cards. A state retail law Part I, Title XX, Chapter 136, Section 16: Retail stores and shops; Sunday and holiday opening, which lays out the rules for and against stores being open on or past certain hours on Sunday’s and holidays. The

second state retail law that we follow is the 940 CMR 3.13 Pricing and Return policies. This law also laws out rules for retail shops, in this case how we may price our items and regulations for return policies. Though there are more laws we follow, it would take a novel to go over all of them. Our ethical responsibility stretches farther just legal compliance. In fact, “sustainable practices are central to living the DSW core values of passion, accountability, humility and collaboration. We’re proud of the ways that we’re sustainable as a company – at the same time, we’re always looking for ways to get better. That’s why we established the DSW Sustainability Committee, a group that of leaders focused on improving our current sustainability practices.” Other ways we maintain ethics and social responsibilities include energy use, waste, materials, and suppliers and partners. In order to maintain ethics, we monitor our energy use by using energy-conscious lighting design, ENERGY STAR appliances wherever possible, motion sensors to keep lights, heating, ventilation, and air conditioning systems controlled, and we also have plans to replace our halogen lamps with LED lamps, which will reduce wattage from seventy-five watts to eighteen watts. We control our waste disposal by using in-store recycling programs and green cleaning programs; we also build our stores with a focus on recycling and low-emission materials. These low-emission materials include adhesive carpeting with no Volatile Organic Compounds; paint with low or no Volatile Organic Compounds; and several other materials that contribute to our ethics and social responsibility. We also provide our suppliers and partners with code of conducts letters that detail our expectations and values to ensure that they will respect and follow them as well. 9. Business Goals, Measures, and Metrics At Designer Shoe Warehouse we have several growth strategies and goals. These include expanding our store base, driving sales through enhanced merchandising, leveraging our operating model; to provide a healthy and safe environment for employees, to help other companies in any way possible, and to encourage help with local organizations such as Lend a Hand, Lead the Way, and the United Way Campaign. Our business measures are to meet the needs of our startup costs through money borrowed from the bank, personal savings, and venture capitalists. We will define our business metrics through customer satisfaction surveys which ask our customers a series of questions about their likelihood to recommend DSW and to shop at our stores in the future.