Whole Foods has been able to utilize the positive assumptions about a person’s work ethic to their advantage. McGregor’s Theory Y tells us that "Managers could accomplish more through others by viewing them as self-energized, committed, responsible, and creative beings.” (Kreitner and Kinicki, 9) By implementing a workplace that is built within the values of Theory Y Whole Foods motivates, engages and empowers their employees, creating a more positive workplace, and happier employees.
Whole Foods builds its human capital by taking the time to select people who they feel will be a "good fit" for the company as a whole, and looks beyond ability and skill to do so. Social Capital is developed by creating a workplace that encourages happy employees. John Mackey has been quoted as saying “when people are really happy with their jobs, they provide much higher degrees of service to the customers. Happy team members result in happy customers”. This results in a positive chain reaction that leads to more business, more money. (Kreitner & Kinicki, 2013, p. 30)
The profile of a 21st century manager can be seen throughout the Whole Foods organization. Managers are seen less as people who give orders and more of team members, coaches and advocates. They understand that in their industry their primary resource is their human capital, and work to keep this resources preforming at its best by investing in quality training and going to great lengths to make sure that their employees are happy in their work environment.
On the Global responsibility pyramid Whole Foods would fall in all four areas. Their goal is to make money and increase profits, but chose to carry out this goal by implementing number 7 which states Grater Good for the Greatest Number in the 7 moral principles table. Whole Foods proves to be a leader in fairness and autonomy. In the article “Whole Foods and the Triumph of Customer Capitalism in Forbs Magazine (9/03/2012), Walter Robb, Whole Foods Market Co-CEO, details the company’s core values: “The deepest core of Whole Foods, the heartbeat, if you will, is this mission, this stakeholder philosophy: customers first, then team members, balanced with what’s good for other stakeholders, such as shareholders, vendors, the community, and the environment. These words sum up the mission of Whole Foods, and allow you to see their intricate focus on the greater good of all.
I really like the management model the Whole Foods has created. For myself I work best in environments similar to this where positivity in the work place is fostered and encouraged. I found a lot of myself within the principles of McGregor’s Theory Y, and because Whole Foods recognizes these concepts I think I would be another happy employee driven to find ways to achieve more within the organization. At the same time this model may not work well for every employee. Some require a more structured management with clearer expectations and guidelines. This is why Whole Foods works tirelessly to ensure that they select the right people for the right positions.
Sources:
Kreitner, R., & Kinicki, A. (2013). Organizational behavior. (10th ed.). New York: McGraw-Hill/Irwin. www.WholeFoods.com http://www.forbes.com/sites/stevedenning/2012/09/03/whole-foods-and-the-triumph-of-customer-capitalism/