...Wal-Mart’s Organizational Structure Damaris Medina MGT/230 September 13, 2012 Dan Kassmeier Every company has their own form of organizational structure. Whether the business is big or small, an organizational structure is needed in order to have a successful business. An organizational structure helps put the business in order to make sure there are no problems in the future, but what is an organizational structure? It is how the reporting structure is organized. There are many types of organizational structures. Some examples of organizational structures are, the functional, matrix, and divisional structures (Bateman & Snell, , 2011). When business owners are planning a structure for their business, it is important to know just how complex the business will be. If the business is a major corporation, such as Wal-Mart, then the structure should be able to support the complexity of the business. When a major corporation does not have a structure that supports their complexity, they are likely to have issues with the organization of the business. Thus causing for the business to lack the proper management and potentially fail. An organizational structure will determine how all employees work together. If the business is not under a strong structure, then there will be confusion throughout the whole business. An organizational structure also determines the decisions that the business will make as a whole (, , 1991).If there is no structure, there is no business. There...
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...Organizational Structure Paper MGT/230 May 19, 2014 University of Phoenix Organizational Structure Many corporations around the world makes use and recognizes the effectiveness of using an organizational structure within their organizations. Organizational structure gives a reflection of how an organization positions their jobs and their employees that gives an end result of accomplishing the company’s direction and goals. In larger companies they benefit more due to the multiple task that they present as for smaller companies may not have many task or find it unnecessary for company. Due to this, plans of action need to be set into place so that they can establish and tackle responsibilities for the many different functions that are used by the organization. Typically, and organization is responsible for creating or establishing the skills that the employees have, hoe their duties are preformed, and who those employees need to report to. Different factors play a huge role in what type of organizational structure and organization makes use of. Few factors include; what kind of work the company performs, how big or small the company is, geographic location of the company, the various products the company has, and even what kind of revenue dose the company manage to produce. In this paper, it will discuss the organizational structure for Wal-Mart. The comparison and contrast of different types of organizational structures that differs from Wal-Mart’s type....
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...Wal-Mart is a very large company in the retail industry. It was founded by Sam Walton in 1962. Wal-Mart is a public corporation in America and having more than 7000 store all over the world. It has a variety of large number of departmental and discount stores. Wal-Mart is having a large chain of departmental stores. Its Headquarter is situated in Bentonville, Arkansas (About Us: Wal-Mart). Wal-Mart employs more than 2.1 million associates all over the world and they are serving more than 200 million customers every year. Wal-Mart believes in providing personalized support to its customers and large number of stores enables it to become a choice of customers (About Us: Wal-Mart). According to a list of Fortune Global 500, Wal-Mart topped the list of world’s largest public corporation on the basis of revenue. Organizational structure defines the role and responsibility of each employee in an organization and it shows the reporting relationship of employee that means which employees would be reporting to whom. Along with this, it decides organization’s functioning and a relationship between different departments of the organization (Organization and Organizational Structures, 2008). It is helpful in controlling, coordinating, and motivating the employees to achieve a common organizational goal. There are different types of organizational structures and organizations use any of them or a combination of them. These are flat structure, hierarchical structure, functional structure...
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...Organizational Structure of Wal-Mart Timothy Frost MGT230 May 24, 2012 Howard Kersey Abstract Wal-Mart, the world’s largest retailer, can be viewed as a model of success upon reviewing the internal structure of its organization from within. Comparing the various types of organization structures gives an insight regarding the type of structure Wal-Mart is composed of. As we take a closer look at this company’s structure it enables us to understand better the management functions and elements of control and coordination in place to achieve strategic planning and goals and to implement those into specific actions. We will also explore how this structure affects the relationships among the various departments. I will discuss three objectives throughout this paper. First, I will describe Wal-Mart’s organizational structure and make a comparison to that of other organizational structures used today so as to clarify differences and similarities. Second, I will evaluate how the organizational functions influence and determine its structure. Third, I will explain how organizational design helps determine the best structure. Organizational Structure of Wal-Mart Wal-Mart operates under three divisions, which are Wal-Mart US, Sam’s Club, and Wal-Mart International. Its global operations expands over several continents with numerous subsidiaries geographically located in several countries. These subsidiaries operate under different business names to include ASDA,...
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...prescriptions. The CEO of Wal-Mart thought it would be extremely convenient for consumers to be able to shop at one store for all of his/her needs. This concept helped Wal-Mart to become one of the largest corporations in the United States and also nationwide. The foundation of the organizational structure, function, and design molded Wal-Mart into a successful organization. Sam Walton founded Wal-Mart in 1962. Walton (1962) believed that each Wal-Mart store should reflect the values of its customers and support the vision they held for their community. The organizational structure Walton chose to organize his company is the divisional structure. This structure is made up of separate, semi-autonomous units or divisions. Wal-Mart had different divisions and each division has its own goals to accomplish. A manager oversees their division and is completely responsible for the success or failure of the division. Managers knew they would be held accountable for the results of their department. There are difference and similarities in the divisional structure compared to other organizational structures. For example, in the functional structure the employees are grouped into different departments, which is similar to the divisional structure. However, unlike the divisional structure, the functional structure does not have a manager for each department. The matrix structure is also very different, but has some similarities to the divisional structure. The matrix structure assigns specialist...
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...Organizational Structure Paper Egla Rodriguez MGT/230 May 15, 2012 Robin Sully Organizational Structure Paper In 1962, in Roger, Arkansas, Sam Walton had this brilliant idea that American consumers needed a different type of store so he opened Wal-Mart on the other hand in the same year, Dayton Hudson corporation opened “The first Target store in 1962 in the Minneapolis suburb of Roseville, Minn., with a focus on convenient shopping at competitive discount prices. Today, Target remains committed to providing a one-stop shopping experience for guests by delivering differentiated merchandise and outstanding value with its Expect More. Target currently is the second largest general merchandise retailer in America, with Target.com consistently being banked as one of the most-visited retail Web sites. Organizational Structure is a way that an organization arranges people and jobs so that it can be executed and its goals and objectives can be met. Wal-Mart was constructed into a three product divisional structure. The successful world retailer’s business categories include Wal-Mart Stores, Sam's Club, and International stores. Wal-Mart was built on three beliefs such as great customer service, striving for excellence, and respecting other individual. Like Wal-Mart, Target also strives on customer satisfaction. Targets objective is to make themselves the preferred shopping destination for their guests by giving them vale, innovation, and an outstanding experience. Wal-Mart...
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...Wal- Mart Jose Vasquez MGT 230 MAY 20, 2014 Melanie Behunin Wal- Mart In a variety of business environments around the world, four management functions are usually found. The four functions of management are planning, organizing, leading, and controlling. Planning occurs within these functions of a business, and it helps to deliver strategic value. Organizing will build a dynamic organization and leading will mobilize people. Controlling is part of learning and changing as the organization grows. All four functions of management are the key concept to effective management. Internal and external factors influence the decision-making process that affects management. The competitive landscape is constantly changing; therefore, managers must consider people and businesses around the world. These are used from top-level management to frontline or organizational management. Globalization, technology, innovation, diversity and ethics are factors that affect these business functions. One can examine almost any organization and find this to be true. Wal-Mart is one of the leading retail organizations in the world whose management functions are affected by these factors. Opening its doors in Rogers, Arkansas, Wal-Mart started a profitable business in 1962. The founder, Sam Walton, could never have envisioned where his company would be in the present. Earning approximately $30,000 in 1962, Wal-Mart has evolved into a multi-billion dollar company earning over $15 billion in 2011...
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...Marketing channels Wal-Mart organizational structure Question 1: Explain how organizational design such as geographic, functional, customer-based, product, service, hybrid, matrix, marketing channels, and departmentalization determine which structure best suits your selected organization’s needs. Wal-Mart has a Hybrid design because it has integrated all the designs. Geographic design Wal-Mart is one of the world’s largest retailers with stores in the US and other parts of the world. It is one of the largest employer in the world through its numerous outlets in the United States and other nations. The history of Wal-Mart dates back to the early 1960s when the discount retail industry was emerging. In 1962, Sam Walton risked all his property to secure finances to establish a new venture in the discounts retail industry. In the same year, three other discounts retail stores commenced their operations. These stores included Kmart, Target, and F.W. Woolworth (Wal-Mart, 2012). Functional design The store offers products including clothes, groceries, car accessories, and cell phone services. The organization has diversified its operations to sell almost everything that can be offered. The store is regarded as a one-stop-shop. The shop mostly offers discount on all products, and this has been the cutting edge to remain competitive and attract more customers who help to keep the sales of the company on an upward trend. Wal-Mart’s organizational structure has been well diversified...
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...Management and Leadership Stacy Parks MGT/330 06December2010 Dr. Nick Sherwin Management and Leadership Wal-Mart was founded in 1962 by Sam Walton. Under Mr. Walton’s leadership Wal-Mart has quickly grown to one of the most successful companies of its time. It has also been able to extend throughout America and international markets (Wal-Mart, 2007-2008).This great accomplishment was possible due to Mr. Walton’s attention to effective leadership and management policies and procedures. Wal-Mart’s constant pledge to value people throughout its leadership, management and organization has paved the way to the success of Wal-Mart (Wal-Mart, 2007-2008). Management and leadership are two different concepts that complement each other. There are also differences between them. Leadership is to guide, inspire and motivate. Management is to direct, focus on systems, structures, and relies on control systems (Bateman & Snell, 2009). At times these skills are utilized separately, but more often in today’s business environment one must act as a manager and leader. Sam Walton recognized immediately that the most valuable assets of any organization are the people. Wal-Mart’s leadership ensures that they successfully serve their consumers, and employees. Mr. Walton’s motto is “Individuals don’t win; teams do” (Wal-Mart, 2010). Leaders provide goals and directions while managers execute the ideas behind the visions and goals (Bateman & Snell, 2009). An individual...
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...Running head: ORGANIZATIONAL ASSESSMENT Organizational Assessment Sherry Crowe MGT416 Operations Management A02 Dr. Carson March 19, 2014 Argosy University The Wal-Mart Corporation On May 9, 1950, Sam Walton opened up Walton’s 5&10 in Bentonville, Arkansas. The first store with the Wal-Mart name, opened in Rogers, Arkansas in 1962 and was financed 95% by Sam Walton himself. Since its beginning in Arkansas, Walmart has helped millions to save money and live better. Walmart has changed from being a retail store accessible with set hours to be available anytime and anywhere for their 245 million customers. Walmart offer its 245 million customers retail shopping in 11,000 stores under 69 banners in 27 countries and e-commerce websites in 10 countries (Wal-Mart Stores, Inc., 2013). The company is considered one of the largest employers in the world; Walmart employs 2.2 million associates worldwide. In the U. S., Walmart Supercenters, Neighborhood Markets, and Sam's Club warehouses comprise the choices of Walmart stores to which customers have access (Wal-Mart Stores, Inc., 2013). As Walmart continues growing successfully the corporation has experienced global success, which has led the corporation to be in constant of change of strategies that provide that the corporation continues fulfilling its mission while offering new products, bettering the human resource management and developing its personnel, and expanding its social responsibility by helping the different...
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...March 30, 2015 Walmart’s Organizational Structure Walmart was founded in 1962 by Sam Walton. Walton opened the first Walmart in Rogers, Arkansas. Walmart was officially incorporated in October of 1969 as Wal-Mart Stores Inc. and is publicly traded on the NYSE. Walmart’s main headquarters is in Bentonville, Arkansas and is the largest grocery retailer in the United States. Likewise, Walmart has 11,453 retail stores in 27 countries, under 71banners. The company operates under the Walmart name in the U.S which includes Puerto Rico. It operates in Mexico as Walmex, in the United Kingdom as Asda, in Japan as Seiyu, and in India as Best Price. It also has wholly owned operations in Argentina, Brazil, and Canada. Walmart hasn’t always been successful in entering new countries, mainly in Germany and South Korea whereas in the United Kingdom, South America, and China are highly successful. Walmart employs 2.2 million associates around the world with 1.3 million of them in the US. (Walmart .com) Organizational Structure Every organization takes on some direction, in terms of what customers/clients it serves and what functions it performs for these customers. The organizational Structure of the Wal-Mart Corporation is a divisional structure that has made some changes to its structure in 2010. A divisional structure has three different categories in which are product structure, market structure, and geographic structure. Wal-Mart falls under market structure. This is where groups function...
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...Organizational Design Research Worksheet |Heinz-Divisional Structure-Successful | | | |The H.J. Heinz Company, headquartered in Pittsburgh, Pennsylvania, is the most global of all U.S.-based food companies and one of | |the world’s largest food-processing companies. In more than 50 countries Heinz is considered number one or number two in the market| |position. Beside ketchup, Heinz also sells other products ranging from sauces, meals, snacks, and infant/nutrition. Among them are | |our 15 Power Brands, which comprise approximately 70% of our global sales. A divisional structure is when divisions operate as | |autonomous businesses under the larger corporate umbrella. Because of Heinz using the divisional structure they are able to | |evaluate the performance of each of their departments individually. Because divisions are relatively autonomous, Heinz can take | |action with little to none disruption to its remaining operations. Divisions can maintain a healthy competition among themselves by| |sponsoring separate campaigns, different identities, etcetera. Because Heinz chose a divisional structure they have had their | |divisions work well together because each area is focusing on a single product and there is not the stress...
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...education. As one enters the workforce the values of the organization must then be evaluated. Do the values of the organization measure up to the individual’s values? Does the culture of the business cause one to go against the principles of which he or she lives by? Team C has chosen to evaluate the values of Sam Walton, the founder of Wal-Mart, to the values incorporated in this company and its organizational plan to find whether or not the values are in alignment. Origin and Subsequent The origins and subsequent evolution of personal and workplace values within Wal-Mart are truly important to the structure of this organization. Wal-Mart has developed there business structure back in 1962 on these three basic beliefs: respect the individual, service the customer and strive for excellence. The origin reflects in the original beliefs that Sam Walton instilled in the company from day one are subsequently the same values that have evolved over the years. They may have not evolved in the since where they have changed but they have evolved where they are strictly and continuously enforced by all stores, in all locations, for all customers. Wal-Mart expands from there three basic beliefs and honor there open door policy which allows there to be open communication with management and associates, the sun down rule which focuses on addressing any customer service issues in which may arise by end of business day the best way they can. Then they encourage the grass root...
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...Wal Mart A Proposal on How Wal-Mart Can Reduce High Employee Turnover Tiffanie Jenkins GM 591 Wal-Mart Stores, Inc. branded as Wal-Mart since 2008 and Wal-Mart before then, is an American public multinational corporation that runs chains of large discount department stores and warehouse stores. The company is the world's 18th largest public corporation, according to the Forbes Global 2000 list, and the largest public corporation when ranked by revenue. It is also the biggest private employer in the world with over 2 million employees. The company was founded by Sam Walton in 1962, incorporated on October 31, 1969, and publicly traded on the New York Stock Exchange in 1972. It is headquartered in Bentonville, Arkansas. Wal-Mart is also the largest grocery retailer in the United States. In 2009, it generated 51% of its US$258 billion sales in the U.S. from grocery business. It also owns and operates the Sam's Club retail warehouses in North America. Wal-Mart has 8,500 stores in 15 countries, under 55 different names. The company operates under its own name in the United States, including the 50 states and Puerto Rico. Walton was extremely successful in running the store in Newport, far exceeding expectations. However, when the lease came up for renewal, Walton could neither come to agreement on the existing store's lease renewal nor find a new location in Newport. Instead, he opened a new Ben Franklin franchise in Bentonville, Arkansas, but called it "Walton's Five...
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...Introduction: The biggest challenge for management in the 21st century is not a financial issue or technology that is the issue of human resources development; in that, the important is focus on solving the problem as lack of teamwork, lack collaboration between functional units, working environment undemocratic, lack the stability and consistency in activities of enterprises. To clarify and resolve these challenges, managers need to have an understanding the concept of "Employee relations". In essence, Employee relations is the relationship between people and people within the organization, it is dominated by the fundamental values of the organization and directly impact the performance, quality and innovation capabilities of business, results affect the competitiveness of enterprises. (Sloane & Witney, 2010) According to Bratton (2007), Employee Relations is concerned with preventing and resolving problems involving individuals who arise out of or affect work situations. The employee relations directly related to the work environment, fairness; it is based on communication with the superior and more important as the policy which directly affects the rights and obligations of employees (Bratton & Gold, 2007). A good employee relations is a result of a variety of tactics and strategies of management, it is done to improve communication, increase contact to minimize errors and to promote state in the work of staff (Bateman and Snell, 2011). According to Rhoades et...
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