Walmart: Vision, Mission, and Values
Walmart Inc. is one of the largest retailers in the US and abroad. The company is known for its low prices and an effective HR strategy. Walmart’s mission is “to save people money so they can live better.” This way the customer can purchase all their items without going to multiple stores, saving time and money running all over town.
The vision of Walmart is to “be the destination for customers to save money, no matter how the want to shop.”
Walmart values the attitudes and conduct that create an honest, fair and objective workplace while operating in compliance with all laws and the company’s policies. Walmart expects their employees to treat customers, suppliers and other employees with respect and fair treatment. Walmart also has a helpline that anyone can call to ask questions or report concerns. The helpline can be used by both employees and customers so that any problem can be addressed and taken care of.
Walmart: Structure and Culture
Walmart has a hierarchical functional organizational structure. The hierarchy uses vertical lines of command. This means every employee has a direct supervisor that they can go to with a problem. This kind of structure makes it very clear on who to go to when a problem arrives. The functional part of the structure is used in the corporate side of Walmart. The company uses groups of employees, such as the IT, finance, or marketing, to carry out different tasks.
Walmart has four main components that guide the corporate culture of the company are: Service to the Customer, Respect for the Individual, Strive for Excellence and Act with Integrity. The implementation of these principles helps customers receive the best shopping experience and helps employees to receive fair treatment from colleagues.
Some of Walmart’s strengths is it has become one of the biggest, most recognized retailers in the world. People know that they can get almost anything they need at a Walmart rather it be at their local town or while traveling away from home. Walmart is also known for their everyday low prices on items so that customers are getting the best deals. Another great strength of Walmart especially right now is their online website and curbside pickup.
Some of Walmart’s weaknesses are their thin profit margins. Walmart is known for low prices and with that strategy there is not much mark up on a product. Which in return Walmart does not make a large profit from items it sells. With trying to keep prices down on products some items are poor quality that make customers unhappy when they purchase them. Walmart’s business model can easily be copied by competitors to try and over power them.
There are many opportunities for Walmart to become even greater. There are numerous large countries Walmart’s have not expanded to. That would help grow their next work of stores and profits. Walmart could also team up with other retailers and for an alliance to help customers consume products Walmart would not normally carry. Walmart is known for their low prices which sometimes means low quality items. Walmart could work to improve their quality standards by providing better quality products.
Some threats towards Walmart are other chain company’s like Target. That offer the same kind of products at a lower price but are higher quality. There is also threats from the bulk buying clubs. Where you can get larger quantity of things at a lower price. Online shopping gives people more choices and easier price comparison. There are also many legal matters that Walmart has been involved with that could threaten the reputation or financial impact of the Walmart empire.
The project aims at improving the company’s effectiveness by achieving three objectives. The first objective is to enhance Walmart’s performance, reputation, and income. Achievement of the objective will stimulate the development of the company by increasing profitability, and improve its relationships with investors. The second objective is to increase customer value through discounts and a decrease in call center waiting times. This will improve customer satisfaction and refine the business model. The final objective is to improve employee satisfaction. The will decrease turnover and associated costs and help to retain talents for future consistent development. Objectives and goals identified in the tables are appropriate for the project since they may help Walmart expand its competitive advantage and achieve higher performance.
Measuring the Success
The success will be measured by comparing the relevant data before and after the intervention. For the first goal, the project authorities will measure company’s reputation and financial performance. For measuring success of the second objective, customer satisfaction will be measured. Finally, employee satisfaction will be measured to assess the achievement of the third objective. All the aspects will measured using reliable instruments developed by scholars. The financial performance of the company will be assessed using ratio analyses measuring profitability, liquidity, leverage, efficiency, and investment performance.
The data before and after the implementation of the project. All significant improvements after controlling for covarieties will be considered a success.
Value for the Organization
The value of the project for the organization is self-evident. First, the project is likely to improve the relationships with investors, as improved financial performance is associated with increased interest in the company’s stock, which is crucial for raising capital. Second, the project will improve customer relations, which can translate into additional sales. Third, the company’s corporate culture will be strengthened, as all the goals are associated with putting increased emphasis on the four concepts of the corporate culture.
Steps, Timelines, and Responsible Parties
The present slide demonstrates a table with operational steps that will need to be taken, responsible parties, and timelines associated with achieving the first objective of the present project. The first objective was to enhance Walmart’s performance, reputation, and income.
One of the steps that the firm will need to take is investment in robotic machines. Notably, modern technologies such as the robotics have the capacity to perform repetitive tasks, for instance, packaging, substantially faster and efficiently compared to humans, who can make errors and get tired. Secondly, the significance of corporate social responsibility for organizations cannot be overemphasized. Nowadays, investors focus more on the ethics and governance of a business and not just its financial performance. The implication is that Walmart should participate more in community ventures to establish a good relationship with neighbors and attract financers.
Walmart has significantly increased its market share through internationalization, especially when there is saturation in the established segments. It is important for the company to continue exploring new opportunities in developing regions across Africa and Asia to meet the objective of increasing the income flow. In addition, adopting referral programs will help the company retain the existing customers while acquiring new clients in places where the retail store is already known. The reputation of the company will also improve if many people are encouraging their friends and families to purchase products from the retail.
The present slide demonstrates a table with operational steps that will need to be taken, responsible parties, and timelines associated with achieving the second objective of the present project, which was to increase customer value through discounts and a decrease in call center waiting times.
The analysis demonstrated that Walmart Corporation needs to increase the satisfaction of its customers. The rationale is that if buyers are happy with the quality of products and services rendered to them, they remain loyal. Offering discounted prices is a practical way of attracting and retaining clients because most people have tight budgets and would be delighted to save. Quick response time is also important as people do not like when they have to wait before they get feedback. Operating for 24 hours will suit different demands and lifestyles, making the retail convenient to a wider market.
The other justification is customer satisfaction is better when the business understands their preferences. Therefore, having regular surveys to know what different segments require will help the retail to please most of its buyers. Employees must be trained on work ethics and etiquette to prevent conflicts with the customers.
The present slide demonstrates a table with operational steps that will need to be taken, responsible parties, and timelines associated with achieving the third objective of the present project, which was to enhance employee satisfaction.
The most relevant asset of any enterprise is its workforce, which explains the need for the implementation of friendly labor policies. Employee motivation enhances self-efficacy and gives reassurances that their hard work is valued. Naturally, people reciprocate positive virtues when they are offered within any context. Performance bonuses are essential in rewarding hardworking employees and increasing positive competition, which results in excellence. The person in charge must ensure that ethical principles are followed in the reward system to promote fairness. The work environment should also be physically, socially and psychologically safe to enhance optimum functioning. Changes in family set-up, such as an escalated number of single parent households, justifies the operational step of adopting flexible policies.
The first objective was to enhance Walmart’s performance, reputation, and income. The identified risks associated with the implementation of this stage is described on this slide.
One of the largest risks in this stage is failure to receive expected income from entering the new markets. Since the endeavor is associated with significant investments, lack of success may lead to problems that will be difficult to mitigate. Thus, it is crucial to carefully assess the cultural aspect of the new markets as well as the competition to ensure that the Walmart will be able to meet the expected key performance indicators. Hiring of local talents for executive positions will help the endeavor.
The second objective was to increase customer value through discounts and a decrease in call center waiting times. The identified risks associated with the implementation of this stage is described on this slide.
The most significant risk associated with achieving the second objective is decreased profitability. While discounts can improve sales, the growth of the cost of revenue may surpass the expected growth in revenues. As a result, the company may experience a decrease in income even though the revenues will be rising. Thus, it is crucial to monitor profit margins carefully during the first months after implementation of the operational steps. If the profit margin drops below the expected minimum, the company should alter the system of discounts to increased profits.
The third objective was to enhance employee satisfaction. The identified risks associated with the implementation of this stage is described on this slide.
According to the analysis, the risks associated with achieving this objective are minimal. However, it is crucial to understand that not all bonuses automatically increase satisfaction of employees. Some bonuses may inadequate, as they are too easy or too difficult to achieve, which can discourage the employees. Additionally, if the bonuses are too low, the employees may become uninterested in achieving the key performance indicators. Thus, the KPIs and the sizes of bonuses should be diversified and carefully balanced not to overload the company’s budget.
Dudovskiy, J. (2016). Walmart leadership and Walmart organizational structure. Business Research Methodology. Web.
Ferguson, E. (2019). Walmart’s mission statement & vision statement, generic & intensive strategies. Panmore. Web.