Strategic Management Analysis of Walmart

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This report analyses Walmart's strategic management, including its mission, vision, goals, and performance management system. It also examines the retail industry and its threats and opportunities. The report provides recommendations for Walmart's growth strategy. Course code and college/university not mentioned.

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Running head: STRATEGIC MANAGEMENT ANALYSIS OF WALMART
STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Name of the Student
Name of the University
Author Note

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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Executive Summary
The report is based on the analysis of the various factors related to the strategic management
of organization. The company that is taken into consideration is Walmart which is a
multinational retail organization of American origin. The various aspects of the organization
that are analysed in the report are the vision and mission statement of the company. The goals
of the company are analysed in the report. The retail industry of the United States is also
analysed in the report. The threats and the opportunities of the industry are also analysed.
Performance management system of Walmart is analysed in the report.
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Table of Contents
Introduction....................................................................................................................3
Mission, Vision and Goals of Walmart..........................................................................3
Mission Statement......................................................................................................4
Vision Statement........................................................................................................4
Goal Statement...........................................................................................................5
b. Analysis of the Retail industry...................................................................................6
Threats and Opportunities associated with industry trends........................................8
Future Scenario of Retail Industry...........................................................................11
Recommendation related to growth strategy of Walmart............................................12
Performance management system used in Walmart....................................................18
Performance management practices used by Walmart............................................20
Conclusion....................................................................................................................22
e. Memorandum...........................................................................................................22
References....................................................................................................................25
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Introduction
The report helps in analysing the different mission, vision and values of the respective
organization named Walmart. The different kind of trends and factors play a significant role
in the organization and the different threats and opportunities that is faced by the organization
in an effectual manner.
The main aim and purpose of the report is to understand the growth strategy that can
be adopted by respective company in order to reduce the different issues. The strategy of
retrenchment has to be analysed as this will help in understanding the different kind of
functional aspects in an effectual manner.
The structure of the report includes the different kind of performance management
system as this will help in understanding that the success of the organization is achieved by
them in an effectual manner. The different kind of steps are required to be included in the
process as this will help in improving the performance of the organization in an effectual
manner.
Mission, Vision and Goals of Walmart
Walmart is one of the American multinational retail kind of corporation that is
operating as the supermarket chains along with grocery stores that is headquartered in
Bentonville, United States (Walmart.com., 2018). The company was founded in the year
1962 and it was incorporated in the year 1969. The entire supermarket and grocery chain is
spread across 11,718 number of locations worldwide. The operating income of the company
was US$17.301 billion till the year 2017 and there are more than 2.3 million employees who
are performing different activities in different parts of the world.

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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Mission Statement
Walmart’s strategic decisions are the direct manifestation of the missions wherein the
mission statement of the Walmart Supermarket includes that: “Saving People Money so they
can live better”. The main mission of the statement is to satisfy the customers and partners
with the unique kind of experience in shopping by providing them with quality and price and
services that is based on commitment of the employees. Proper commitment is necessary and
essential in nature as this will help the entire company in achieving the different objectives in
a sustainable manner.
The mission statement has helped the company in the process of decision making as
this will help the company in solving the different issues related to the innovation and
creativity that is required to be provided to the competitors.
Vision Statement
The vision of Walmart Supermarket is to be innovative, independent and sustainable
kind of cooperative wherein the different customers can able to choose from various range of
goods as well as services at prices that is reasonable in nature. The respective supermarket
aims to achieve the top position in the entire retail industry that will help the company in
gaining competitive advantage in the supermarket industry. The respective company has tried
to influence the minds and behaviour of the different employees and customers on the basis
of the different financial benefits (Beske, Land and & Seuring, 2014). The employees will be
able to earn proper benefits as to gain their competitive advantage and achieve the vision
statement inn an effectual manner.
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Goal Statement
The goal statement of Walmart is to be the first choice of the target customers in the
entire market. There are different kind of long term objectives that has to be achieved by
Walmart that are identified as follows:
To be the first choice of the different customers
To remain the best and accurate leader in the entire competitive market
To achieve the international standards all along in the market
To make sure that the different customers stick with the entire Primark and this will
help them to attract the customers in an effectual manner as well (Anitha, 2014).
The main goal of the respective supermarket is to provide the customers with cheap
products in the market as this will help them in keeping the environment within the
organization conflict free environment. The other objective of the Walmart Supermarket is to
provide high kind of quality and fashion basics at the value for the money prices. In order to
achieve the different kind of organizational goals and objectives, the respective company will
require to have short and long-term objectives as this will help in provide best possible
services as this will help in solving the different kind of objectives effectively (Ashkanasy,
Bennett & Martinko, 2016).
The mission statement of the Walmart Supermarket meets the criteria of a useful
mission statement of Walmart as they are trying their level best in achieving the different
objectives effectively. The mission statement of Walmart has helped the entire company in
using it in the process of decision making in the different aspects of the organization. The
decision-making has helped the company in analysing the different kind of decisions that will
help the company in providing the customers with innovative kind of services (Bamiatzi et
al., 2016).
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For instance- In Walmart, it was seen that the customers are really happy with the
goods and services provided by them. It was seen that the respective supermarket has
satisfied their customers by offering different kind of products and services to the customers
at a less price then their competitors in the market. The innovative kind of strategies used by
Walmart has helped the company in providing welfare to the employees along with the
different customers in the organization. With the help of innovation, the company has tried to
provide range of goods and services at reasonable prices and this has helped the company in
gaining competitive advantage in the entire market as well (Buckingham & Goodall, 2015).
From the above instance, it can be analysed and identified that Walmart has tried to
implement the different kind of strategies that has helped them in understanding the different
work of the competitors as this will help them in performing better in the entire market in an
effectual manner. The different core values of the customers are provided with proper
importance as this will provide the company with reference to the distribution sector as well.
The mission of the company has helped the company in creating impact on the organization
by providing the employees with different kind of services that are better in nature in
comparison to the other competitors in the entire market as well (Cascio, 2014).
b. Analysis of the Retail industry
Walmart is a major part of the retail industry in United States of America. The
organization operates a range of supermarkets in the country. The United States of America
has distribution channels that are well established for the various types of retail organizations.
The services related to the retail industry provide an environment which fosters strong
operations in business and further spurs innovations. The innovative nature of the industry
helps in increasing the reliability and efficiency. The total sales that were gained from the US
retail industry in the year 2016 is around 2.6 trillion dollars from the 3.8 million retail

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organizations in the country (Çifci et al., 2016). The sales in the retail industry of USA are
increasing every year and with the growth in e-commerce sales. The growth related
opportunities of the US retail market exist for the retail providers of any size. The retail
sector of the country appoints almost one out of the five Americans. The retail stores of the
various organizations are designed in such a way so that they become the face of the industry.
The online sales have been the major factor related to the growth of the retail industry in the
recent times. Business related opportunities in the retail industry are also provided by the
franchising related operations of the various retail organizations (Cuervo-Cazurra &
Ramamurti, 2014). The franchising model has been embraced by all the retail organizations
in the country. The franchising model of retail organizations has been able to provide services
and products belonging to more than 300 business related categories. The retail industry has
been termed as the leading job creator in the country.
The latest trends in the retail industry of the United States has been the change in the
ways of shopping. The customers have become the most important part of the entire business
operations and they decide the services or products that can be offered by the organization.
The trends of online retailing have further changes the situation of physical retail
organizations like Walmart. The competition has also increased in the industry and this
requires the various retail organizations to change their promotional and marketing strategies
(Davis, Yue & Davis, 2017). The trends in the retail market are further dependent on the
buying behaviour of the consumers and the ways by which they choose the products. The
consumers are now enjoying a huge variety of choices that are provided by the online and the
offline stores of various retail organizations of the United States. The brick-and-mortar retail
stores need to compete with the online stores like Amazon who are providing a huge variety
of products to the various customers. The organizations in the retail industry therefore need to
analyse the behaviour of the consumers, the value proposition provided to the consumers
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should also be analysed and changed if necessary. The customers have become the kings of
the retail industry and they are able to change the entire operations of the industry (DeNisi &
Smith, 2014). The online retail platforms have been using the customer relationship related
factors to compete against the various organization in the same industry.
Threats and Opportunities associated with industry trends
It can be seen that there are different kind of strengths, weaknesses, threats and
opportunities wherein these will help the company in solving the different queries and solve
them in an effectual manner (Johnson, 2016). The different kind of strengths and
opportunities has to be in such a manner that will help the company in understanding the
issues and making their strengths as this will help them in reaching the goals in an effectual
manner. There are different kind of threats and opportunities for Walmart in relation to the
industry trend that includes the following:
Opportunities
The different kind of opportunities of Walmart is due to the different kinds of
improvements and expansion program in the different kinds of business practices (Teece,
Peteraf & Leih, 2016). These are the different kind of opportunities that has to be analysed in
an effectual manner as this will help and provide them with different kind of global economic
situation that will help them in presenting the issues and making them the opportunity as to
improve their conditions (Schilke, 2014).
The different kind of opportunities of Walmart are as follows:
Expansion in the different kind of developing countries (Hill, Jones & Schilling,
2014)
Improvement in the different kind of human resource practices
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Improvement in the standards of the quality (Rothaermel, 2015)
The opportunity that has been provided to Walmart to expand the business in different
kind of developing countries, it requires to increase the different kind of economic conditions
that are stable in nature (Ginter, Duncan & Swayne, 2018). However, on the other hand, it
can be seen that there are different kind of opportunities on the different practices of HR is
directly related to the criticisms that is provided to the company’s employment practices. The
opportunity provided to Walmart is required to address the different concerns of the
employees and customers as this will help in improving the standards of the quality and this
has to reduce the bad and ill effects of the low-quality products on the health of the different
customers as well (Rahmandad & Repenning, 2015).
Furthermore, it was seen that the entire company is in the global market that will help
them in increasing their presence in all over the world and this can create huge presence in
the world in an effectual manner (Rouvari et al., 2016). It can be seen that the weaknesses of
Walmart have to be identified as the strengths of the company as this will help the company
in solving such issues and gain competitive advantage in the market in an effectual manner as
well (Lin & Wu, 2014). There are different kind of factors and trends that has to be analysed
in an effectual manner as this will help the entire company in reducing the threats and
weaknesses and turn them into strengths as this will help them in solving the different queries
effectively in the entire global market (Lasserre, 2017).
Threats:
There are different kind of threats to business of Walmart that are linked to the
different kind of retail market conditions along with the different kind of changes in the tastes
and preferences of the customers as well (Birkinshaw, Zimmermann & Raisch, 2016). The

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threats of the respective company have to be ascertained in an effectual manner as this will
help them in understanding the competitive kind of strategic changes that are as follows:
Aggressive kind of condition (Stead & Stead, 2014)
Healthy trend in the lifestyle brand
Individuals online selling (Walmart.com., 2018)
The healthy lifestyle of the different kind of individuals in the entire society are the
different kind of opportunities and threats. It is required for the company to understand the
different kind of threats as this will help them in analysing the issues and solve them in an
effectual manner (Helfat & Peteraf, 2015). The aggressive kind of situations has to be
analysed effectively as this will help in providing different kind of healthy brands to the
customers that will not affect the health of the company (Chen, Delmas & Lieberman, 2015).
The small scale or the individuals online selling is one of the threats as there are
different large retailers who can use different kind of services in order to gain competitive
advantage in the entire market (Slack, 2015). Due to the usage of internet, there are different
small retailers who can use the internet and bypass Walmart Supermarket and use their
restricted website to sell their products and gain competitive advantage as well (Cohen &
Olsen, 2015). There are different kind of other issues and threats that is faced by the
supermarket named Walmart wherein this will create huge issues in the organization and this
will help in sorting the issues effectively.
However, there are different kind of other threats of the Walmart supermarket
wherein there are different kind of options that are required to be analysed in an effectual
manner. The threats include the political issues in the entire global market that can cause
huge issues in the market and this can have direct impact on the entire organization as well.
The different kind of weaknesses has to be analysed in an effectual manner as this will help
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in providing the company with different kind of strategies that will help them in gaining
competitive advantage in an effectual manner. A proper and focused strategy is essential in
nature for the entire company as this will help the different companies in understanding the
different goals and this will help in attaining such goals in an effectual manner (Niesten &
Jolink, 2015).
Future Scenario of Retail Industry
The future of the entire retail industry has a huge potentiality and the growth will be
to its maximum as well. With the implementation of the advancements in the technology, it
has been seen that there will be different kind of implementation of strategies that will help
Walmart in understanding the different kind of requirements in an effectual manner.
In the future, there will be easy buy and easy pay in the next few years and this will
help the organization in attracting more customers in the entire competitive market.
With the implementation of different technological impact, the company will help in
gaining competitive advantage making the payments secured in nature (Villar, Alegre
& Pla-Barber, 2014).
Secondly, with the help of the social networks wherein it includes buy, share and
connect that have the invading effect on the shopping experience of the customers
(Sears & Hoetker, 2014). There will be huge kind of development in the entire
industry that will help the company in gaining huge and critical mass in the entire
competitive market (Wheelen et al., 2017).
The retail industry will become smoother in their operations as this will help the entire
company in understanding the requirements of the customers and provide them with
the omni experience as this will help the different customers in understanding the
different issues and solving issues effectually as well (Bettis et al., 2015).
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These are the different scenarios of the retail markets in the future wherein the
customers will be implementing different kind of solutions that will help the entire company
along with the employees to perform the different kind of actions in an effectual manner.
There are different kind of organizations that are most likely to thrive in the scenario wherein
the organizations include that will help in providing proper digital marketing will be involved
as this will help the consumers in buying different products and services in much easier
manner (Doyle, 2015).
Furthermore, the entire shopping will become a social kind of experience wherein the
different customers can provide a proper overview on the different feedbacks of the products
and services. There will be no shipping delays for the different items that has been purchased
by the different consumers from the different kind of shopping malls. The customers will be
provided with instant gratification as this will help the consumers in understanding the issues
and this will help the consumers in receiving ultimate kind of satisfaction as well (Evans,
2015).
Lastly, it can be seen that with the proper implementation of the different kind of
technological advancements, this will help in understanding the different kind of issues and
solve them with the implementation of technology in an effectual manner. Proper
transformation is essential and this would have helped the entire company in solving the
different difficulties in an effectual manner. proper transformation of the retail store into the
internet technology will help in solving the different kind of transformation and this will
satisfy the requirements of the customers as well (Hoffman, Munemo & Watson, 2016).
Recommendation related to growth strategy of Walmart
Walmart has been some major issues in the recent years of its operations in the
United States. The main problem that had adverse effects on the reputation of the

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organization is the lack of cleanliness in their stores. The restocking of products was another
major issue related to the operations of Walmart as this caused a loss in the sales due to some
of the products being out-of-stock. The design of the stores and the layout has also caused
major issues in the sales and revenue of the organization. The stores of Walmart have not
kept the convenience of the customers under consideration while designing the layouts
(Hortaçsu & Syverso, 2015). The advent of digital and online services has put immense
pressure on the revenues of Walmart and this can be solved by integrating the digital services
within the physical stores. The pricing policy of Walmart also has a negative effect on the
revenues of the organization. The range of products that are offered by Walmart are also not
enough to increase its revenues in the market.
Walmart has implemented many growth-related strategies to maintain its position in
the retail industry of the United States. The major strategy that has been implemented by
Walmart is related to the cutting of investments for the physical stores and spending on the e-
commerce activities. The company has invested more on the online business and they have
also planned to make some changes in their physical stores (Hummel, Kreutzer & Landau,
2017). The CEO of Walmart has planned for many important changes in the various
operations of the organization. The major growth and improvement strategies of Walmart are
as follows,
The experience of the customers need to be improved by making changes in
the stores that are under-performing. The empty shelves of the stores and the
slow lines of checkout have affected the sales in these stores. The company
has been trying to improve its levels of inventory and are opening more
checkout lines in these stores. The organization also plans to improve the
levels of staffing in the organization and observe the ways by which the
customers interact with the associates (Kapoor & Khanna, 2016).
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The organization has also introduced an app which helps the shoppers to
compare the prices of various products and then the differences in cost are
paid to them with the help of gift cards.
The product range of the organization is also being increased and the company
is focussed on curating more products so that the customers are overwhelmed
by the various choices.
Another strategy that was used by the company to solve the issues related to
slow checkout is the introduction of the app named “Scan & Go”. This app
was able to help the customers search the products on their phones while
walking in the stores. The customers were also able to track their spending and
further raise electronic receipts of the transactions (Kozlowski, Searcy &
Bardecki, 2015).
Walmart has given huge importance to the improvement of their e-commerce
strategies so that they can compete with the e-commerce giants like Amazon. Amazon has
given huge competition to the operations and revenues of Walmart in the industry. This has
forced the company to undertake retrenchment strategies like lowering its investments in all
the other aspects of the organization and increasing spending on the e-commerce platform.
The company had merged its delivery related activities with an organization named Sam’s
Club so it can provide same day delivery to the customers (Lattal, 2014). The major
competitors of Walmart in the online industry has also been providing these services to the
customers. The company had also planned to launch the online shopping activities related to
the delivery of products related to home décor and furniture as well. The various efforts that
are being taken by Walmart has been able to place the company in a position where it can
lock horns with its major competitor Amazon.
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The same day delivery service will be provided by the Sam’s Club warehouse chain
which has become an important part of the operations. This partnership was done by Walmart
to increase its sales of everyday essentials and food products as well. This will also solve the
customer relationship related issues of the organization. This strategy will be able to drive the
app based and online sales of Walmart. The customer experiences provided by the
organization can be enriched and further they are provided with easy methods related to
shopping (Lewrick et al., 2015). The deliveries of the products have also been able to
increase the levels of customer satisfaction. The organization has also implemented a
program named Walmart Pickup Program which helps the customers to place their orders
online and pick them up from the stores. The organization has also made partnerships with
companies like Lyft and Uber for the purpose of providing speedy online deliveries of
grocery related products.
Walmart is also formulating strategies which can increase sales of its furniture
products. The organization has further launched an online platform for the purpose of
providing products like collections of curated furniture which can suit the needs of the
various customers. Walmart has also expanded its sales related to products of home décor and
furniture with the help of this online platform. The company has been able to increase its
online revenues with the help of the various strategic alliances that have been made in the
recent times (Li, Tan & Sha, 2016). The strategies undertaken by Walmart has been able to
improve its position in the stock market as well. This will further help the organization in
increasing its online presence in the industry and offer services that are improved in nature.
The e-commerce sales of Walmart in the industry have increased by around 23% due to the
various strategies that are undertaken by the organization.
The global expansion related strategies of Walmart are also important for increasing
the revenues and profitability of the company. Walmart has held the topmost position in the

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retail industry of USA with more than 11,100 stores in around 27 countries. The net sales that
was generated by the company has been more than 483 billion dollars in the whole world for
the last 12 months. The company has recently announced many strategies which are related to
the expansion of its business operations in many other countries of the world (Mann, Byun &
Li, 2015). The company has however faced many issues in the global expansion related steps
that were taken. The organization has formulated strategies related to the rapid growth in the
international market. The revised plans of the organization are however related to the
retooling of the existing stores along with the international expansion related policies. The
company wishes to focus its international plans with the other neighbourhood stores and
supermarkets as well. Walmart has also identified and then closed various stores which were
underperforming in the various international locations. Even after closing a number of
underperforming stores in the various international areas, Walmart has also opened almost
200 new stores in the international locations (Moatti et al., 2015). This has helped the
organization in the fast expansion of international operations. The company had announced
international growth related plans in China in the year 2017, where they had planned to invest
more than a hundred million dollars. The other attractive area for the expansion of Walmart is
India. India is regarded as the fastest growing retail related market in the entire world. This
strategy can further help in increasing the revenues of the company in the industry. The
strategy that has been adopted by Walmart in India is to partner with the local companies and
then operate in the market (Pantano, 2014).
The global expansion has been the main mantra for the largest retailer in the United
States, Walmart. The company is followed by two other major organizations of the country
named, Carrefour and Tesco in terms of total sales. The organization has been expanding its
horizons in countries like, South Africa, Chile and India. The expansion plans of the
company have been quite exciting and helped it to increase its revenue to high levels.
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However, the international growth strategy of the company has faced some major issues as
well. The operating margins of the company in the various countries have become
significantly low (Patel & Pearce, 2018). The operating income of Walmart has been falling
by around 3.3% every year. The organization had to face many issues in their processes
related to international expansion when they had to struggle to deal with the governments of
various countries. The disputes can further lead to the organization to leave the country.
Walmart tried to understand the needs and the desires of the customers by introducing
complicated procedures of consumer analytics and this data was used by the organization to
put pressure on the suppliers. The organization aims to become the retail powerhouse which
sold everything along in the lowest prices. The challenge that was placed by the huge online
sales of Amazon was accepted by the CEO of the organization. The expansion and
modification of the physical stores of Walmart are also a major part of the strategy of
Walmart in the retail industry. The main objective of the organization is to increase the
revenues of Walmart and build the future of the company (Pulakos et al., 2015). The CEO of
the organization had aimed to push hard for change in the existing strategies and increasing
the revenues in the highly competitive environment. McMillon has been leading the entire
transformation related operations of Walmart. The changing demands of consumers had
caused many changes in the strategies and structure of the organization. According to the
CEO of the organization the physical stores of Walmart hold major importance for the future
operations of the organization. The major aim of the organization was to increase the
satisfaction levels of the consumers and to increase their product offerings. In this manner,
the organization has been trying to maintain its loyal customer base and further to increase
their customers as well. The major advantage of the operations of Walmart over the e-
commerce retailers was that they were able to pull the customers with the help of their
physical stores, which was not possible for the online retail organizations like Amazon
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(Rhodes, 2015). The demands of the customers are also quite huge as they want to see a huge
variety of products in the mobile websites and they want a delightful experience in the
various physical stores of the company as well. Walmart aimed at encashing this opportunity
by providing their products online and attracting customers towards their physical stores by
changing the designs and the levels of experience. The organization has also developed the
strategies related to competitive pricing of the various products that are offered to the
customers. The leading position of Walmart in the industry based on the customer analytics
and understanding the needs of the customers have helped the organization in creating a
leading position in the industry. The training that is provided to the employees has also
helped Walmart in gaining its position in the market (Shields et al., 2015). The organization
has also been facing competition related to quality and price of the various products that are
offered by them. The usage of mobile technologies and other expansion related strategies
have therefore helped Walmart in improving its position in the retail industry of the United
States within a short amount of time.
Performance management system used in Walmart
The performance management and employee training related procedures that are used
by Walmart are the major determinants that support the capability of the human resource
department of the organization to support its global expansion. The expansion of the
organization further leads to the increase in the knowledge, abilities and the skills of the
global workforce. The training programs of Walmart have been designed in such a way so
that the effectiveness of handling the daily tasks and the capacity to adjust to the emergent
conditions can be increased. The goals of the organization related to the management of
human resources includes training programs which can be high performance and cost-
effective as well (Srivastava, 2018). The training programs are used address the various
challenges and problems that are faced by the organization based on human resource

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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
management. The training of employees in Walmart involves many different processes which
are described as follows,
Work or task based analysis This type of analysis is used for the
understanding of the skills, specific knowledge and the abilities that are
required to fulfil the jobs. This analysis is used by human resource department
of the organization to analyse the needs related to training.
Cost-benefit analysis This process is used by the human resources
department of Walmart to analyse the type of training programs which is able
yield the best result.
Organizational analysis – This process is used by Walmart to identify the
emerging concerns related to human resource management which can be
integrated into the training programs (Van Dooren & Van de Walle, 2016).
The program design related process of the organization is based on two major
approaches which are used for designing the training related programs. Each approach is used
to design the certain qualities which are prioritized in the various job positions. The two
approaches are discussed as follows,
Results-oriented program design – This is an important approach which is
used to design the training related programs in the company. The goal of the
human resource management is to satisfy the knowledge, abilities and the
skills that are required for each of the jobs.
Process-oriented training program This process is used designing the
training programs which can address the objective of the human resource
management department to maintain the proper performance of the standard
procedures (Pantano, 2014).
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
The delivery of the training programs is related to the tasks and the job positions
which are involved. The organization delivers the training programs with the help of the
following processes,
Discussions – This process is related to the delivery of objectives based on
human resources which is related to the delivery of basic knowledge to the
employees.
On-the-job training – This process is related to the delivery of first-hand
experience to the employees based on the specific tasks and the jobs that are
involved.
Coaching This process is used by the organization mainly based on
managerial and the supervisory programs. The senior managers can coach the
managers who are newly promoted (Kozlowski, Searcy & Bardecki, 2015).
Performance management practices used by Walmart
The process related to performance planning in Walmart has been done based on three
major dimensions which are,
Customer service orientation – Walmart uses the process of customer-service
orientation to address the concerns related to human resource management in
context of the retail industry. The organization mainly emphasizes on the
service that is provided to the customers by the employees and the store
managers. The levels of customer satisfaction are measured based on the
performance of the employees. The results-oriented and decision-making
related process is applied to all the positions of the organization. The major
objective of the human resource department behind using this process is to
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
optimize the resilience of the organization with the help of effective decision-
making process (Moatti et al., 2015).
Problem-solving and analysis – This process by the managers to solve the
various issues that can occur in the organization.
The problems that occur in the performance of employees of the organization are,
The loss of productivity due to absenteeism.
The errors and the inaccuracies in reporting or recording.
The hostility and negativism in the customer relations or the workplace
relations.
The productivity related issues of the organization are related to absenteeism. The
inaccuracies that have been found in the reporting and recording which can lead to bigger
issues are also considered as performance issues of the company. The training programs that
are provided by the human resource management department of the organization helps in
decreasing the inaccuracies that occur in the performance (Hoffman, Munemo & Watson,
2016). The organization also changes the procedures and the processes which can address the
contributors to inaccuracies and errors. The negativism among the employees can lead to
frequent human resource related problems in the various organizations. The productivity of
the employees is reduced due to the issue in their attitude in the organization.
The goals of the performance management strategy of Walmart is to provide quality
customer service which can increase their satisfaction levels. The human resource
management department also aims at increasing the productivity of the employees. The
increased productivity will further lead to the increase in the revenues of the organization.

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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
The value proposition of Walmart is related to providing high levels of service to the
consumers and gain their loyalty towards the company. They also aim to provide the best
quality products at the lowest prices. The company aims at competing with the various online
organizations by providing quality online services along with the physical stores. The stores
of the company need to be designed in such a way so that it can provide unique experience to
the customers (Kapoor & Khanna, 2016).
The key performance indicators of the company are the levels of customer
satisfaction, the revenues that are earned every year, the profitability in operations in the
international locations.
Conclusion
The report can be concluded by stating that Walmart has profitable operations in the
country and this has helped the organization in gaining the topmost position in the industry.
The various innovative strategies that have been undertaken by Walmart have proved to be
major reason behind its success in the domestic as well as the international operations. The
organization has however faced many issues in the industry based on the performance
management related methods, the profitability in the international operations and the
satisfaction levels of the customers. The company has applied many different strategies to
solve the issues that have been faced by the sales after the advent of online retail. Walmart
has maintained its topmost position in the industry and has further been able to capture the
online and offline customers.
e. Memorandum
To: Mr. XYZ, Director of Walmart
From: Mr. AYZ, Strategic Management Consultant
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
Cc: Walmart, 508 SW 8th St, Bentonville, AR 72712, USA
Date: 31/3/2018
Re: Strategic planning for future operations
As the strategic management consultant, I have advised the employees of Walmart to expand
their international growth strategy wherein they can expand their business along with their
different operations in different parts of the world. It has been seen that the respective
company has their own growth strategies that has helped the company in increasing their
presence in all over the world. However, it has been seen that the company has never been
able to expand their business both globally in the offline and online market.
The entire memorandum is designed by me in such a manner that will help in providing the
different kind of suggestions to the chief executive officer and the executive officials of the
company to make them understand regarding the different strategies that has to be
implemented by them as to achieve the strategic goals.
As the strategic management consultant, I feel that the respective company needs to focus on
their expansion and growth strategies in such a manner that will help them in increasing their
sales and revenues in the entire market. Walmart needs to implement the different growth
strategies in such a manner that will help the company in gaining more competitive advantage
in the near future. Different kind of health care and environmental policies has to be
implemented by the company as this will help them in solving such issues and gain
competitive spirit against the different competitors as well.
As I was appointed as the strategic management consultant, I feel that the company needs to
implement different law policies and procedures, this will help them in accomplishing and
achieving the different goals. In the present scenario, the company needs to focus more on the
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STRATEGIC MANAGEMENT ANALYSIS OF WALMART
e-commerce strategy as this will help them in focusing more on the different strategies that
will help them in increasing their sustainable advantage in the entire competitive market. For
the different kind of analysis, this will help the company in workforce development that will
help in analysing the different kind of criteria that will help the company in solving such
issues with the implementation of the e-commerce development. Proper e-commerce
development is essential in nature that has to be adopted by the respective company that will
provide the company proper advantages in order to solve the different issues and gain
competitive advantage in an effectual manner.
Lastly, I would have recommended that the respective company Walmart needs to
recommended that general kind of agenda will help the company in solving such issues and
this will help them in achieving the key deliverables in an effectual manner. The different
kind of higher officials of the respective company wherein this will help the company in
forming strategic goals as this will help the company in providing different kind of outcomes
and reflect on the idea as this will help in achieving the goals effectively.

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