Walmart's Organizational Structure

In: Business and Management

Submitted By brandonperry
Words 992
Pages 4
It all began in 1962, Sam Walton opened his first Wal-Mart store in Rogers, Arkansas. This was when grocery stores were becoming popular and he wanted to take a different spin on the idea. He followed behind Kmart and Target. Today Walmart has over 8500 stores in 55 different countries and employees over 1.4 million people. Walmart has set a precedent that others have tried to follow, but have not been as successful. Walmart has built its empire on the “one stop and shop.” Walmart offers everything from groceries to clothes, cell phone service, tires, oil changes, and even gas at discount prices. Walmart’s organizational structure has been successful and is still growing. It is evident in the amount of revenue generated each year, their marketing strategy, and the number of new stores they open yearly.
Walmart vs. Target vs. Kmart
Walmart’s structure consists of a board of directors and below the directors is the senior management. This type of structure is vertical. The board consist of 15 members, including the head chairperson Sam Walton and Mike Duke the CEO. The committee also has inside directors. Target is another store that also has vertical structure with a board of directors. Kmart is on a smaller scale due to recent financial and restructuring of their organization.
Target is also a discount store, but they offer a different spin. They are more focused on the style. Target’s corporate strategy is one that has changed little over the years: to provide high-quality, stylishly designed items plus all the essentials for life, displayed in a clean, organized and welcoming environment; “The one-of-a-kind experience comes that comes from our department store roots and ongoing commitment to great prices and stylish innovations” (Adeyemo, 2008). Target’s size is most beneficial because they can cater their services and products to change with…...

Similar Documents

Organizational Structure

...Presentation Outline Stephanee Robins HCS/325 Version 1 October 31 , 2011 Vivian Perez Presentation Outline Long-term Care Services Expansion Introduction/Thesis: I. The Impact of Organizational Structure on Communication (internal/external factors) A. What internal factors need to be considered? 1. Strengths 2. Weaknesses B. What external factors need to be considered? 1. Opportunities 2. Threats C. What is the importance of communication on the organizational structure? 1. Planning and Decision Making 2. Five-step Process II. The steps involved in organizational planning and functions of management A. Steps used to properly plan and implement change within the organization I. Steps in organizational planning are: 1) Identify and define the problem 2) Generate and evaluate possible course of actions 3) Choose a preferred solution 4) Implement the solution 5) Evaluate results II. Functions of Managements are: 1) Planning 2) Organizing 3) Leading 4) Controlling B. Steps of organizational planning and functions of management could be applied in the scenario and would be of a lot of help too. It can help in the scenario because there would be implementing a new long term care service and with the new expansion we will need to hire and train several new employees. I would use the steps of organizational planning for analyzing the pros and cons of bringing a new long...

Words: 463 - Pages: 2

Organizational Structure

...Organizational Structure Nicole Pruden Mgt/230 Julie Morgan June 17, 2012 University of Phoenix Axia College   Organizational structure is a key part of any business. Structure of the business is a prerequisite of developing a long lasting company. Success is not going to just fall at the feet of an owner. An organizational structure is the pattern or arrangement of jobs and groups of jobs within an organization. This pattern pertains to both reporting and operational relationships, provided they have some degree of permanence. All sorts of different organizational structures have been proven effective in contributing to business success. How an organization is setup can directly impact how successful the organization is in achieving those goals. Without an appropriate organizational structure, a business will not succeed. In my company, functional organization structure seems to make a permanent resting place. The functional structure organizes employees into departments based on the function they perform for the company--accounting, production or quality control, for example. The functional structure groups employees together based upon the functions of specific jobs within the organization. In this structure, employees enhance the knowledge and skills of each other in their particular departments. Another type of structure in an organization may be a divisional one. In divisional structure, each functional group is organized into its own division...

Words: 1563 - Pages: 7

Organizational Structure

...Organizational Structure Organizational Structure The following paragraphs will describe the organizational structure of Summerlin Hospital and Medical Center that is part of Universal Health Services. “Universal Health Services, Inc. (UHS) is one of the nation's largest healthcare management companies, operating through its subsidiaries acute care hospitals, behavioral health facilities and ambulatory centers nationwide, in Puerto Rico and the U.S. Virgin Islands. Founded in 1978 by Alan B. Miller, Chairman and CEO, UHS subsidiaries today have more than 65,000 employees. UHS maintains one of the strongest balance sheets and is rated amongst the highest in the hospital services industry by Moody's and Standard & Poor's” (UHS, n.d.). Organizational functions (such as marketing, finance, human resources, and operations) will be discussed to determine the influence they have on how UHS conducts their daily business. While discussing UHS organizational structure, other organizational structures will be compared and contrasted to UHS. Organizational design (such as geographic, functional, customer-based, product, service, hybrid, matrix, marketing channels, and departmentalization) determines what organizational structure is best for any organization. UHS organizational design will be analyzed to ascertain which design is most appropriate for the organization. The three primary organizational structures are functional, matrix, and divisional. UHS utilizes...

Words: 1352 - Pages: 6

Organizational Structure

...Organizational Structure MGT/230 Organizational Structure When dealing with the structure of an organization there are two main structures each company follows. One is the Horizontal Structure and one is the Vertical Structure. With a company such as Starbucks the company falls under what is known as the Horizontal Structure, meaning they use a “functional” form of organization versus a hierarchy. According to Bateman and Snell (2011), this means the jobs and departments are specialized and grouped according to business functions and the skills they require. This kind of function influences the type of organizational structure much like blue prints determine the type of building will be made, whether it is a one story home or a ten story office building. The final step in the structure of the business is the actual design, known as the organizational design. All these factors combined determine what type of business structure each company will fall into. Horizontal versus Vertical Structure With a company such as Starbucks that operates over 17,000 stores in 50 different countries (“Starbucks”, 2011) the Horizontal Structure works the best for operational purposes. The company does have a Chief Executive Officer (CEO) but he does not run a hierarchy. There are departments that are organized to run different aspects of the business from Human Resources to Marketing and Sales. With organizations such as small businesses or the Federal Government who both run on...

Words: 1092 - Pages: 5

Organizational Structure

... which may be related to job structure, lifestyle features, and individual personality. Burnout is not just a result of long hours. The lethargy and depression of burnout can occur when an individual does not have control of how they carry out their job, lack of social support, and working toward goals that are not reachable. Failing to adjust responsibilities to match stress levels, or failing to take a break once in a while could cause a great deal of burnout, mental and physical health problems. There are various individual, job role, and organizational methods that can prevent burnout. Recognizing that you are no longer interested in the job that you do, will prevent burnout. If you are no longer passionate about your job, avoid coworkers by isolating yourself, and cannot enjoy your accomplishment you may need to find another job. Making time for you everyday is another way to prevent burnout even if it is for five minutes. Seeking support is another great way to prevent burnout. Talking to a friend about your work situation and feelings can be a big help. Lastly, knowing your own needs and feelings can help. Know what you need and try to cater to those needs throughout the day and as much as possible. After a self-assessment of personal and work-related stress, I have noticed that I adjust better to work-related stress than personal stress. I have noticed that I may overact and say things I may regret later when I am dealing with a personal and stressful......

Words: 803 - Pages: 4

Organizational Structure

...Organizational Structure MGT/230 Organizational Structure Organizational structure is a necessary component for operating a business efficiently. There are five main types of organizational structure, departmental, functional, regional, product, and matrix. “Organizations are set up in specific ways to accomplish different goals. The structure of an organization can help or hinder its progress toward accomplishing these goals” (Writing ,2013, p.1) Each of these structures has components that contribute to the success of a company. Departmental and functional structure is defined as organizational structure divided and or grouped into areas of expertise, according to the specific function of managing thereby ensuring that a company operates more efficiently. (Tutorialspoint, 2013, p. 25). Grace Centers of Hope is a nonprofit organization based in Pontiac, Michigan. This organization is divided into several departments to handle different functions. Regional or geographical organizational structure is designed to provided goods or services to a vast number of individuals, all over the country and also globally. This structure is designed to meet the specific needs of a specific group of people based on their specific location. For example a company based in California that manufactures gutters for houses will provide one type of gutter for California residents and a different type for a resident of Chicago based on the climate that is unique to each...

Words: 968 - Pages: 4

Organizational Structure:

...Organizational Structure: The Energy Industry April 16, 2012 University of Phoenix MGT 230 The power and energy industry consists of the many very large old companies. This industry is also marked by its tremendous geographic coverage in which companies may service several states within the United States. As a result of this large physical scale these companies have evolved different organizational structures in order to manage resources more efficiently. One of the best examples of how the energy industry has structured its organizations specific to the industry needs can be seen through the Duke Energy Company. Duke Energy, like many energy companies is a very old company starting in 1904 (Duke, 2012). In its early days the classical vertical hierarchical structure was sufficient for the organization. But as the company grew in size and spread its coverage across large geographic areas, the need to structure the organization became imperative. Today, Duke Energy utilizes a matrix organizational structure in which there are many specialized departments but members of these departments can be given assignments or projects from other departments and managers. This increases the efficiency of work because human resources can be utilized to complete work that would otherwise be sitting idle. The main drawback to this structure is that leadership and management often conflict and there are problems with authority being seen clearly within the workplace. Essentially...

Words: 1110 - Pages: 5

Organizational Structure

...Organizational Structure University of Phoenix Organizational Structure Organizational structure is the way a specific organization sets its roles and responsibilities so that it can operate efficiently and pursue its strategic goals. It defines the hierarchy of an organization and determines how roles, reporting structures, and processes, procedures, products, systems, customers, and possibly geographical responsibilities are commissioned and monitored. Organizational structure also directs how information flows throughout the organization. Two types of organizational structures exist, vertical and horizontal. The vertical structure deals with the individuals who possess the authority or right to make decisions. Board of directors and chief level executives, or the top management team, make up the top of the hierarchy. The vertical structure also identifies the span of control, delegation, responsibility, authority, and accountability. The horizontal structure deals with line departments and staff departments set up to work directly with the organizations key products, services, and customers. Within the two types of organizational structures exists four organizations, functional, divisional, matrix, and network. The functional organization allows jobs to be departmentalized around job functions like human resources, customer service, and marketing. The divisional organization allows jobs to be departmentalized around products, customers, or regions...

Words: 1424 - Pages: 6

Organizational Structure

... Organizational Structure Diane Leahy MGT/230 September 2, 2013 Christi Monk Organizational Structure Edwards Lifesciences is a global medical manufacturing corporation that uses a hierarchical form for its organizational structure. Its top management is comprised of an executive leadership team and a board of directors. The board of directors is comprised of Edwards CEO and other medical professionals. Management works its way down with senior leadership teams and on down to functional teams or business units. Its US location is broken up into business units that function almost as separate businesses. Each business unit has its own purchasing, human resources, finance, marketing, clinical, research and development, and manufacturing departments. Resources are not shared between the business units. Other organizations are not structured the same way. Johnson & Johnson, another global medical device company is also structured in a hierarchical form. “Johnson & Johnson has more than 250 companies located in 57 countries around the world. Our Family of Companies is organized into several business segments comprised of franchises and therapeutic categories.” Johnson & Johnson, 2013). They operate under a decentralized management approach and manage for the long term. This is similar to the organizational structure of Edwards Lifesciences as both organizations structure their companies around their product lines. Johnson & Johnson’s board...

Words: 1137 - Pages: 5

Organizational Structure

...Organizational Structure Paper The selected organization for this topic is Bank of Guam. Bank of Guam also known as “The People’s Bank,” was charted on March 13, 1972 ("About Bank Of Guam ", 2014). It was the first locally owned bank on the Island of Guam and founded by Mr. Jesus S. Leon Guerrero. Mr. Leon Guerrero initially worked as the vice-president of the Bank of America branch in Guam. During his employment there he grew concerned that the banking needs of the people of Guam were not met and decided to open a bank of his own. ("About Bank Of Guam ", 2014). This paper will provide a description of Bank of Guam’s organizational structure while comparing it with two other organizational structures. It will also identify different organizational functions of the bank showing how they influence and determine the organizational structure. In addition, an explanation of how organizational designs help determine which structure best suits the needs of the bank will be provided. Organizational Structure Banks provide financial products and services to their customers and need to have the best organizational structure to thrive. There are four types of organizational structures which are functional, divisional, matrix, and network. Functional organizations group positions based on the business functions and skills. Divisional organizations divide their company into departments based on their customers, geographic regions, or products. Matrix organizations...

Words: 1146 - Pages: 5

Organizational Structure

...Organizational Structure Human Resource Management Foundations HRM 500 August 10, 2014 Willis retailers prides itself on excellent customer service and superior products for our consumers. We are successful because of our customers as well as our employees, which is why we must attain the highest quality people to give the highest quality customer service. As an HR manager, several tasks are given to recruit the right the people for the right positions and that includes job analysis, job design, selection and performance review. This paper will discuss the approaches and strategies that will be utilized and the advantages and disadvantages of each. Job Analysis Approaches There are several approaches to job analysis that can be used with our organization that would be beneficial, but each analysis has its pros and cons. The Position Analysis Questionnaire (PAQ) approach was developed by McCormick, Jeanneret and Mecham in 1972 is a standardized job analysis questionnaire containing 194 questions about work behaviors, work conditions, and job characteristics that apply to a wide variety of jobs. It measures job characteristics and relates them to human characteristics. The analysis is divided into six categories: interpersonal activities, work situation and job context, miscellaneous aspects, information input, mental processes, and work output. (Noe 2014) Although tedious in its format the advantages to this approach are that it’s extremely reliable which...

Words: 2161 - Pages: 9

Organizational Structure

...Organizational Structure Latoya Dale MGT/230 October 28, 2014 Chenise Hamilton Organizational Structure Organizations are set up in specific ways to accomplish different goals, and the structure of an organization can help or hinder its progress toward accomplishing these goals. Organizations large and small can achieve higher sales and other profit by properly matching their needs with the structure they use to operate. The three main types of organizational structures are functional, divisional, and matrix structure. Organizations have to pick the structure that will work well with their company. These things do not come all at once overnight, companies have to try and see what works for them. Structure Caesars’ Entertainment has developed the functional structure. “Functional structure is set up so that each portion of the organization is grouped according to its purpose. In this type of organization, for example, there may be a marketing department, a sales department and a production department.” (Writing, 2014) While every department within the organization is responsible for themselves, they must all work together to make sure the business is successful. The CEO of Caesars’ Entertainment has appointed regional presidents because they are familiar with a specific area. The regional presidents are responsible for targeting the correct market. “Organizational structure provides guidance to all employees by laying out the official...

Words: 1223 - Pages: 5

Organizational Structure

...: When the project is completed and the team members are released from the project, going back to their former functional position may not be available. It may be difficult for those released resources to catch up with new developments that occurred during their prolonged absence. 11 Chapter-3 Organization Structure and Culture How will approved projects be implemented? • Organizing Projects within a Matrix Model 1. 2. The Matrix model is a hybrid organizational form in which a project horizontally crosses over several the functional units. Matrix structure is designed to utilize resources working on multiple projects as well as being capable of performing normal functional duties. Two chains of command: Project managers and functional managers. Matrix structures achieve smoother integration by recognizing the legitimate authority of the project manager. The functional manager ensures the project tasks will be assigned and completed per the project schedule and per the promptings of the project manager. 12 3. 4. Chapter-3 Organization Structure and Culture How will approved projects be implemented? • Different Matrix Forms 1. Weak matrix: very similar to a functional approach with the exception that there is a formal designated project manager responsible for coordinating project activities. a) Project manager acts as a staff assistant who develops the schedules and checklists, collects information on work status, and facilitates project completion...

Words: 3236 - Pages: 13

Organizational Structure

...Organizational structure Thomas Stewart MGT/230 2/2/2015 Lastacy Whitman The organizational structure of the company that I work for uses the vertical structure. Before this class I did not even know there were different structures that companies could have. I work for Verizon Wireless, which is a fortune 500 companies. This company has a board of directors’ that means it is owned by the stockholders. Stockholders have the ability to elect board members to oversee the organization. Verizon Wireless has a CEO who is Daniel S. Mead who was elected to be by the board to lead the company. Verizon Wireless also has a top management team that is labeled regional president. There is the New York metro area where I work at, and in this region the area is broken down into districts where there are district managers. Each district manager has several stores under there control that are controlled by store managers. Last and what I feel is most important each store manager or what can also be called front line managers has front line employees. They are called front line because they deal directly with the customers everyday. The span of control in my company is the right size, its narrow to permit managers to maintain control over subordinates. For example there are larger stores that have thirty employees, in these store there will be one store manager and three assistant managers. While there will be a small store that has ten employees, one store manager, and one...

Words: 1015 - Pages: 5

Organizational Structure

...Organizational Structure The organizational structure of a business depicts its hierarchy, strategy, and efficiency. Every business has a personalized form of organizational structure; whether it is, conventional, functional, divisional, matrix or network. Understanding a business's division of labor and areas of specialization (such as marketing, finance, human resources, and operations) reveal how the business is structured and influenced. And the organization's design (such as geographic, functional, customer-based, product, services, etc…) helps determine the structure which best suits a company for optimum effectiveness. Every organization has a structure. A conventional organization consists of tiers, like in a pyramid, this also showing its structure and hierarchy. The top is a president or CEO, moving downstream by finance, research and development, marketing, and personnel, then working its way down the corporate ladder to the different types of division or labor, which breaks the workers into different specializations (Bateman & Snell, 2011, p. 277). Google Internet company has a vertical structure for its organization consisting of executive officers, then senior leadership, followed by the board of directors. Google Internet Company has three main authorities, which according to Bateman & Snell, "have the legitimate right to make decisions and to tell other peo0ple what to do" (2011. P. 278). Google's executive officers consist of Larry Paige and Sergey Brin...

Words: 1123 - Pages: 5