...Compensation Plan Outline Shonia L. Murphy Bus 409 Professor Przybyl 12-01-2014 Introduction Today’s business environment is full of fierce competition from both the ancient and the newly uprising companies. A myriad of Companies around the world are trying to fight for similar customer base and this has seen a vast majority of companies throwing in the towel due to the daunting and exasperating process of trying to reach the top. It is with these profound reasons that most companies have now developed a great array of skills and techniques in captivating the customers to attain the designed goals and objectives (Bhatnagar, 2004). One of the businesses that are known to face such extreme competition is the Wal-Mart Company. Wal-Mart is widely known for its vast range of chain stores that provides the world with the best and most affordable and accessible forms of technology. It is more so known to provide some of the latest stellar digital forms of technology and other appliances that are vital for human use. However, Wal-mart success has been hanging on the balance due to its recent controversy on its compensation plan. For sure this has not been a piece of cake and exasperating has it been for the company to retain back its lost glory. It is because of this that this paper is written to providing stellar corrective measures on compensation plan. Evaluation of the current pay structure used by Wal-Mart Company and the recognition...
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...Running Head: WAL-MART EXPANDS HEALTH BENEFITS Business Case 4 Human Resource Management Foundation – HRM 500 1. How well do you think Wal-Mart’s earlier, more limited health benefits supported the company’s overall business strategy? I feel Wal-Mart’s earlier, limited health benefits did not support the company’s overall business strategy because, in order for employees to want to work for a specific employer, employees must feel they are making a difference in his/her position. Employees must also feel that the organization is meeting some of their important needs. Employees place value in job satisfaction for example, employee earnings and benefits. ‘A job is the primary source of income and financial security for most people” (Noe. 2009, p.294). An employee expects a fair salary for the work he/she performs. If the employee feels his/her pay is not equal or comparable to others, who are doing the same job, can cause the employee to feel a sense of unfairness and dissatisfaction. An employee who feels the organization supports their individual needs are more motivated in displaying positive behaviors and working relationships. When an employee feels good about his/her employer it shows in his/her performance. Employees are more engaged in their position when the organization presents a pleasant working environment and opportunities for growth. One of Wal-Mart’s expectations of their employees is to provide superior customer service. Employees who are satisfied...
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...largest retailers in the world Wal-Mart has grown right before our very eyes. As America’s largest employer, Wal-Mart employs over “1.6 million employees” (Wakeup Wal-Mart, 2010). With that said one would assume that this Fortune 500 Company would have a respectable compensation and or benefit plan for their hard working employees, but sadly this is not the case. Unfortunately although Wal-Mart is famously known for their ridiculously price they are also well known for providing disastrous healthcare coverage plans to their employees. For instance Wal-Mart offers low premiums to their employees for their family coverage. Even though this may seem like a dream come true for many, the fact of the matter is that their high annual deductable cancels low premiums out. In fact, theses annual deductibles are so high that most employees find themselves having to pay thousands of dollars before Wal-Mart’s insurance decides to kick in to pay. Regrettably because of this many employees are forced to seek government help in the form of Medicaid and other subsidized care in order to obtain and afford their medical needs. What is even more alarming though is the way Wal-Mart plans to right their employee healthcare wrongs. To offset their current health care plans, Wal-mart executive are proposing the cutting of “retirement benefits by at least $200 million (by eliminating flat 401(k) retirement contributions, which would cut the company’s retirement benefit cost from four to three percent...
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...Wal-Mart Case Study Dr. Tonya D. Moore MNGT 5650 November 24, 2013 Introduction Wal-Mart can be defined as Goliath in the biblical story of David and Goliath (only he doesn’t fall), the “strategic Corporal,” a self-licking ice-cream cone, the industry benchmark, labor exploiter, cost cutting surgeons with chain-saws, and America’s company. Wal-Mart perceptions are across the board and in essence reflect all of our societal issues and problems in one massive company. They survive and thrive on their ability to shape perceptions of their business model to consumers while exploiting their workforce. Goliath was perceived to be too big of a giant to fall or loose in battle until David succeeded. Wal-Mart is perceived that they are too big to fall by their competitors, society, and the country. They are the largest employer in the country, they own massive supply chain networks, and stores in every town across the country. However, in the case of Wal-Mart, there is no David out there to knock them down. Arguably they are no true competitors in their industry. Because of being this perceived giant, Wal-Mart is able to be a bully with vendors, associates, and competitors. Further, because of being a giant everyone is watching them. Threats and Challenges The simple answer of what threats and challenges Wal-Mart currently faces centers around their associates wages and health care. However, why do they face this challenge instead of what they are doing to...
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...| Wal-Mart Employee Retention | What can be change? | 5/3/2013 Contents Abstract 2 Introduction 2 Factors that make employees leave and organization 3 Factors that can retain employees within an organization 4 Wal-Mart 4 Strategies to help with Retention 6 Conclusion 7 References 8 Abstract Employees are valuable assets and retaining employees can be challenging and is a critical issue. Employee retention is a very important part of any organization. There are many problems that cause the turnover rate in the Wal-Mart organization to be very high. This document will show the different factors that cause the turnover and why they leave to seek other employment. It will also provide methods that will improve and lessen the high levels of turnover in this organization. By improving the retention of the organization, in turn it will obtain the employee satisfaction, increase performance, productivity, and quality of work and increase the brand recognition. Introduction Employee retention is a major issue within many organizations that the human resources have to deal with on a daily basis. It is both beneficial to the organization as well as the employee. “Employee retention refers to the various policies and practices which let the employees stick to an organization for a longer period of time.” (Management Study Guide) Many organizations invest time and money to train employees. Whenever an employee decides to leave an organization...
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...How Wal-Mart is Setting Pay at the Top…and Bottom Introduction Jessika Griffin Kaplan University MT203: Human Resource Management Prof: Andrew Toussaint May 12, 2015 How Wal-Mart is Setting Pay at the Top…and Bottom Introduction Mike Duke had a huge job, which was the CEO of Wal-Mart, which is a highly competitive retail industry. Wal-Mart operates more than 10,000 stores in over a dozen countries, which generates sale too approximately, in the billion dollars frame. Mike Duke, is highly paid for all of his responsibilities. In 2011, Mike Duke received a base salary of 1.3 million dollars along with a cash bonus of 2.9 million dollars. Mike Duke’s Salary along with stocks valued were about 3% greater than the year previous and his bonus was about 25% less. When the company cannot meet there goals Mike Duke doesn’t get the full bonus at the end of the year. His total compensation for the year was totaling around 18.1 Million dollars which would put him as the 82nd highest paid CEO in the United States, according to Forbes magazine. Mike Duke compensation was measured for setting his incentive pay. Wal-Mart always used the metric common which would be same store sales, meaning that the volume of the store and has it been open for a year or more. By looking closer to the sales of each store and determining if the activities were making the store greater. However, Mike Duke incentive pay was total sales for the entire company. However, this changed came when...
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...University Graduate School of Business and Management GB540-03 Economics for Global Decision Makers – Unit5 Assignment Dr. Barbara-Leigh Tonelli. By Ajeeth Pingle 4/05/2011 Wal-Mart Economic Indicators Wal-Mart has become the world's number one retailer. Diversification into grocery (Wal-Mart Supercenters and Neighborhood Markets), international operations and membership warehouse clubs (SAM'S Clubs), has created greater opportunities for growth. But unlike some corporations, whose financial growth does not translate into more jobs, Wal-Mart's phenomenal growth has been an engine for making jobs. Wal-Mart has a history of having become a strong investment for Shareholders. The Company made its initial public offering in October of 1970, when selling 200,000 shares for $16.50 per share. If an investor had purchased 100 shares in the initial offering, those shares would have been worth more than $13 million as of January 31, 2011 and the number of shares owned by that investor would have grown to 204,800 thanks to 11 stock splits. From the beginning, Wal-Mart has created tremendous Shareholder value. The Company raised $3.3 million in its initial public-equity offering. As of April 2, 2010, the Company had grown to a market capitalization of nearly $211 billion. According to About.com (2010), economic indicators are economic statistics that...
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...Compensation Philosophy Paper Name ________ Professor ______ Introduction Compensation is viewed differently, depending on the individual persons perspective (e.g. employee, manager, stockholders, etc.). An employee may view compensation as what is owed to him or her for work performed, while a manager may view pay as an expense. In order for an organization to have an effective compensation strategy, it must consider the various perspectives when creating the organizations compensation strategy. Milkovich, Newman, and Gerhart, authors of Compensation, define Compensation as, “All forms of financial returns and tangible services and benefits employees receive as part of an employment relationship,” (2011, p. 10). In other words, salary is not the only consideration when determining compensation. The cost of such benefits as: employee healthcare, dental, life insurance, retirement plans, etc., must be considered when creating a compensation system. There are many factors an organization must consider when developing a compensation strategy; however, for a compensation strategy to be effective it must; align with organizational goals, reward employee performance, and consider fairness in pay. Analysis When developing a compensation strategy, an organization needs to ensure that its compensation strategy aligns with organizational goals. For instance, if an organizational goal is to increase sales of a particular product in the upcoming year (as compared to the...
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...Integrating Values-The Legality, Morality, and Social Responsibility of Wal-Mart’s Response to Sex Discrimination and Pay Lawsuits Nova Southeastern University MGT5015_Legal, Ethical, Social Value Business September 9, 2012 We certify that we are the author of this paper and that any assistance received in its preparation is fully acknowledged and disclosed in the paper. We have also cited any sources from which were used data, ideas of words, whether quoted or paraphrased. I also certify that this paper was prepared by us specifically for this course. Table of Contents Abstract (Natalie Rondon) 3 Introduction ( Natalie Rondon) 4 Legal Section (Franciso Amado) 5 Ethic Section Utilitarian Ethical Analysis (Kyle Lozito) 8 Kantian Ethical Analysis (Christian Varillas) 14 Additional Ethical Analysis (Natalie Rondon). 18 Social Responsibility Section (Shirley Simmonds). 20 Conclusion (Natalie Rondon). 25 References. 26 Abstract This is a library research paper on the integrating values of Wal-Marts to sex discrimination and pay lawsuits that Wal-Mart has encountered over the years. The paper will discuss the legality of the situation and how Wal-Mart might be able to fix the issues that they are having. The paper will also discuss Utilitarian ethical analysis, Kantian ethical analysis and Socrates and the Socratic method. It will go into detail if Wal-Mart as a company has acted ethical or moral against its employees based on the ethical analysis...
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...CASE STUDY 10 | SHRM Table of Contents EXECUTIVE SUMMARY ........................................................................................................................ 2 ANNEXURE ............................................................................................................................................ 3 INTRODUCTION ................................................................................................................................... 9 INTRODUCTION TO THE COMPANY ................................................................................................. 9 QUESTIONS ......................................................................................................................................... 10 QUESTION 01: ................................................................................................................................... 10 QUESTION 02 ................................................................................................................................... 12 QUESTION 03 ................................................................................................................................... 14 QUESTION 04 ................................................................................................................................... 16 CONCLUSION.....................................................................................................................................
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... Organizational Culture at Wal-Mart Abstract Wal-Mart is an American multinational retailer corporation that runs chains of large discount department stores and warehouse stores. It is also the largest private employer in the world with over two million employees, and is the largest retailer in the world. This paper assesses how viable employee relations practices contributed to Wal-Mart’s success as an employer. It also identifies how benefits may contribute to the success of Wal-Mart’s employment practices. Lastly, it describes how the organizational culture and the use of performance criteria could affect the introduction of a union and why Wal-Mart has not been effectively unionized over the years. Wal-Mart is one of the biggest retailers in the world (Wexley, 2011). Its business is the result of Sam Walton's visionary leadership, along with generations of associates focused on helping customers and communities save money and live better. Based on the ideals of Sam Walton, Wal-Mart founder, respect for the individual is the key to success. That individual respect is expected to be given to customers as well as employees every time. Wal-Mart believes that everyone matters and the strength of diversity increases when every associate is encouraged to meet his or her potential. In 2006 Wal-Mart created the Employment Practices Advisory Panel to evaluate and guide employment practices and diversity ad inclusion initiatives. Wal-Mart empowers their employees to...
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...disadvantages to Wal-Mart of working with unions? Wal-Mart is not known to be union friendly here in the United States. The advantages of Wal-Mart working with unions are most notably the ability to expand into China. With a population of over 1.3 billion people the need to work with China’s union, which our text book notes is a communist monopoly, (Decenzo and Robbins pg 364), is imperative to opening stores there. With this first wave of union employees we can be hopeful that Wal-Mart will start to accept Unions in United States stores and in Canada. Perhaps Wal-Mart can educate the United States Unions on how it would need to be structured in order for Wal-Mart to allow their presence. Wal-Mart being such a large retailer and employer in the United States could potentially revolutionize as well as revitalize the union movement if it would work more closely with it instead of closing stores who speak of unionizing. The disadvantages to Wal-Mart of working with the Unions can include- Higher wages- our text book states that it is common to find 30% higher wages in union businesses. Medical Benefits- Most unions push for medical benefits for its members Loss of the Sam Walton way- By allowing Unions to enter into the Wal-Mart business model the concept of how Wal-Mart does business could change dramatically. Wal-Mart is accustomed to being the Big Dog. They are able to tell suppliers and vendors to change their practices if they want to continue to supply Wal-Mart...
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...Sears Canada and Wal-Mart Canada. Both are Canadian subsidiaries of large American conglomerates. Wal-Mart Canada Wal-Mart Canada was founded in 1994 with the purchase of several now defunct Canadian locations of the Woolco discount retail chain. The advent of Wal-Mart’s expansion has forever changed the retail landscape in Canada. Other discount retailers such as Canadian-owned Zellers, have been hurt by Wal-Mart’s formidable rise. Wal-Mart employs a low cost provider strategy, as evidenced by their slogan “We sell for less, every day”. They sell goods at low prices, but often of poor quality. Prices are kept low by developing special relationships with suppliers, employing many part-time workers, resisting attempts by their workforce to unionize and controlling labour costs, which includes “discouragement” of working overtime. Wal-Mart founder Sam Walton once said in an interview, “I pay low wages. I can take advantage of that. Were going to be successful, but the basis is a very low wage, low benefit model of employment.” A number of Wal-Mart’s business tactics have been under fire by special interest groups and labour unions. In 2005, a store in Jonquiere, Quebec, was closed after workers came close to establishing a union. It would have been the chain’s first. While a spokesperson for Wal-Mart Canada cited profitability concerns, labour leaders decried the store closing as an example of Wal-Mart’s fierce opposition to unions. Wal-Mart has an extremely...
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...Wal-Mart Increases Employee Health Benefits - by Dr. Sanjit Bagchi - Health Care News Wal-Mart Increases Employee Health Benefits Health Care News > February 2008 Economic Development Economic Development > Wal-Mart Email a Friend Written By: Dr. Sanjit Bagchi Published In: Health Care News > February 2008 Publication date: 02/01/2008 Publisher: The Heartland Institute Beset by threats of tailor-made state and local laws intended to force it to increase workers' health care benefits, retail giant Wal-Mart is providing health coverage to more of its employees. In 2008, Wal-Mart will provide employees with $4 co-payments for 2,400 generic drugs and will offer health insurance with monthly premiums as low as $5 to $8. "The non-unionized Wal-Mart has taken a lot of heat on health care, including a custom-made bill in Maryland and copycat bills in other states mandating 'pay or play' rules for employee health coverage," noted Diana Ernst, a health care policy fellow at the Pacific Research Institute in San Francisco. "The company's new plan, however, has drawn praise from even its biggest critics." According to a mid-September news release by the company, "Associates will now have more than 50 ways of customizing their health care coverage options, which will allow them to select various deductibles, health care credits [which enable employees to visit doctors and purchase prescription drugs without paying anything out of pocket], and premiums, depending...
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...community just outside of Los Angeles is composed mainly of African American and Hispanic-Americans are preparing to vote on a referendum公投 that would change the city charter契约 to build a Wal-Mart Supercenter in the vast, undeveloped many in the city. Walmart proposed提出 measure after the city council refused to change the zoning of the sixty-acre plot on which he had the opportunity to build. Numerous social and religious groups who oppose Wal-Mart, and to oppose the referendum. Walmart promised cheap goods and work, but these groups have been skeptical about the types of work and compensation to be offered health care to be provided to employees, and Walmart will have a broad impact on society. Inglewood was pro-union community, and the opposition was based on anti-union positions in Walmart. April 6 Inglewood residents voted to abandon a referendum on the edge of 60.6 percent to 39.9 percent. While smaller, less organized, and with less than Walmart, the coalition of social and religious宗教 leaders won global behemoth retailer. 1. Discuss and evaluate Wal-Mart’s strategy in Inglewood. What were some of its mistakes? Could they have been avoided, and if so, how? 2. Discuss the arguments by Wal-Mart’s critics批判者. Are they persuasive有说服力的? How should Wal-Mart respond? What is your view? 3. What should Wal-Mart learn from its defeat失败 in Inglewood as it faces similar issues in other cases? Loabor practice劳动实践 Key Concepts Politics, Business Communication...
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