Walmart Organizational BehaviourEssay Preview: Walmart Organizational BehaviourReport this essayGroup ProjectWal-Mart and Its CultureBackgroundWal-Mart Stores, Inc. is the worlds largest retailer, and rated as number one in the Fortune 500 company list. In 2011, Wal-Mart was reported to have total revenue of 421,849 million and net income of more than 16 billion. Founded in 1962 by Walton, Wal-Mart is currently the largest U.S. employer with 1.4 million workers (Wal-Mart, 2008) and 600,000 worldwide, and its major success was accounted to occur only after almost two decades in the 1980s. As part of the corporation, the major business success was followed by opening the Sams club in 1983 and the launching the first Super enter in 1988. Within few decades, the corporation operated “different retail formats including various supercenters, food and drugs, general merchandise stores, small markets called bodegas, cash and carry stores, membership warehouse clubs, apparel stores, soft discount stores and restaurants.” (Walmart store, n.d.) Wal-Marts eversince has used the business operation of dealing wide variety of general merchandise maintained at best possible low prices at all times which is attributed as one of the keys of attaining company success which named its founder Sam Walton as one of the recognized richest man in the United States less than two decades in 1980s after establishing the company.
Who in this world does not know how successful Walmart is? Amidst the many challenges the company has faced, this organization has remained to be on its foot standing firmly as a one of the worlds giants in the business arena. Every organization possesses its own distinct behaviours and certain characteristics depicting on how the company is building harmonious relationships that helps it to achieve its targeted organizational and social goals. As an organization that established its own name, the great Walmarts unique organizational behaviour perhaps is the greatest asset and its main key that made it into the current mighty Walmart. As one of the definitions, Organizational behaviour is “the actions and attitudes of people in organizations which covers the body of knowledge that can help managers understand the complexity within organizations, identify problems, determine the best ways to correct them, and establish whether the changes would make a significant difference.” (Understanding and managing organizational behaviour, 2006, n.d.) This paper will try to explain some of the significant organizational behaviour of the Walmart Corporation which will expound on its organizational culture, communication and the decision making processes. An internet research will be utilized to collect pertinent data and information that will provide support on a thesis statement: “The efficient organizational behaviour is the main factor that made Walmart a successful giant retail store.”
Walmart, currently spelled unhyphenated, is the same as what is used to be Wal-mart. Everyone knows this American public corporation which is currently a worlds leader in running a chain of large discount department stores. The company has gone through some rough road on its path to successful operations especially after the death of Walton in 1992. Almost everyone heard about the highly publicized criticism about Walmart covering different organizational issues. It has been well heard how the company is criticized by some community groups including womens rights groups, grassroots organizations, and labor unions. Highlighted issues scrutinized the companys extensive foreign product sourcing. The issues on low rates of employee health insurance enrollment and the allegedly companys resistance to union representation, unfair labor practices and controversial gender-based discrimination or sexism has been hot media topics. Despite of the many challenges and oppositions particularly press pressures, the company has maintained to be successful and protect its image favourable to most of the consumers in America and many countries worldwide. The basic company beliefs highlighting the companys culture, the companys open door policy in communication and its flexibility in efficient decision-making are just amongst some of the contributors that helped the company to build a positive image patronized by many associates and consumers.
The company has wavered a bit by decreasing its revenue at some point of operation but it has not affected its success in terms of general performance. With all the challenges, nothing has held Walmart back from making it to be the successful and largest retailer of various grocery goods in the United States with successful worldwide operations. (The Walmart story, 2006, n.d.)
Wal-Mart Matrix Organizational StructureA companys individual organizational structure is a formal composition of task and reporting relationships that allows the company to control, coordinate, and motivate employees so a common goal can be achieved. When composing a structure for a particular organization, management looks for the most effective way to categorize departments and their coordinating relationships to achieve the highest levels of production. Wal-Mart was constructed into a three product divisional structure. The successful world retailers business categories include Wal-Mart Stores (U.S.), Sams Club (U.S.), and International stores. The International segment yields about 20% of the companys overall business income and is responsible for several different types of restaurants and stores including Wal-Mart and Sams Club in 13 countries and Puerto Rico. This divisional structure and approach works to Wal-Marts advantage because each division is open to focus its efforts on specific goals such as product, service, or customers. Narrowing the focus really allows the company to perform more effectively because they are allowed to pinpoint specific areas needing change and adjust appropriately.
On the other hand, Wal-Mart adopted the matrix organizational structure within the company. The matrix structure allows the company to put together very flexible teams based on the experiences and skills of their employees. Thats why in Wal-Mart the employees work as a team. Therefore, they are motivated to perform better. This results in higher efficiency and gives higher returns at lower cost as well. Sam Walton, the founder of Wal-Mart, used to say: “If you want to go fast – go alone and if you want to go far – go together.” He believed its because of their teamwork that makes them special. “What makes ordinary people do extraordinary things? Sam Walton once asked. “Arent we a group of ordinary
” the middle class, who are not the poorest. He said: ’ ’’’’’*‛ Ῥ This is just to be able to survive on the profits. He believed that the middle class and the middle class are the best people in the world. Of course, they need to be able to maintain that status with their work. At Wal-Mart many middle class employees are able to find better paying ways of living with their families, friends, work and retirement. A good family is one that creates wealth and has an emotional connection with its workers. This way they can create a sustainable relationship with their own family and a sustainable work relationship with their team. This has a special place within the corporate structure. When the company, which is based outside of the United States, comes into the U.S. it is very popular throughout the country. These days, in Canada it is very popular. However, in America there is a new movement about this which is called “Walmart’s America”. Its called the Walmart Movement. When the government, government agencies, people, the media, people think there is any way to work through Walmart without losing their freedom to work from any shop, without losing their dignity to work. This is also very radical.
One can’t go to Walmart without losing their freedom. It is very hard for anybody to do this safely. Also, the people don’t like to have problems because they think it is a sign of good. However, in Japan, there is this very same problem. If you go outside of Japan they ask you to go to buy something you do not understand and they do not understand the difference with Japanese people. Even though you go to Japan, you do not know whether you will buy something you do not understand or if you will buy something you do not know. Therefore, you can’t get in trouble in Japan without being in a bad situation. Furthermore, there are a lot of people who go to Walmart to buy items that might have gone missing in Japan due to some kind of political crisis. It is like an earthquake that happens. The people take that kind of responsibility and the situation is very bad. They don’t know that there is no safe way to work in Japan. It is impossible to get good jobs in Japan. It’s very hard to get good pay. One day they will be able to buy cars in Japan even though they don’t know the truth about how to do business in Japan. It’s like the earthquake, it happens in Japan. Everyone has a personal problem about what they can do in Japan today. If you don’t know any Japanese, or don’t know what Japanese have to do when they