Organizational Behavior Analysis: A Management Perspective on Wal-Mart

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This report offers a comprehensive analysis of Wal-Mart from a management perspective. It begins with an introduction to organizational behavior and the rationale for choosing Wal-Mart as a case study, emphasizing the importance of ethical practices and the role of managers in addressing challenges. The report examines Wal-Mart's organizational structure, comparing administrative and modern organizational theories. It delves into the role of managers in handling risks and challenges, including employee satisfaction and training. Furthermore, the report discusses Wal-Mart's ethical practices, highlighting its commitment to worker dignity and ethical leadership. It also explores the management functions, including planning, organizing, and controlling, and how these are implemented within the organization. Finally, the report addresses the impact of politics and the social environment on Wal-Mart's global expansion and operations.
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Running head: Management Perspective 1
Management perspective
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Management Perspective 2
Contents
Introduction.................................................................................................................................................3
Rational for research methodology.............................................................................................................4
Case of Wal-Mart.........................................................................................................................................5
Organizational structure and theory........................................................................................................5
The role of the manager and their performance to address the challenges and risks.............................5
The role of ethics and ethical practice of Wal-Mart.................................................................................5
The role and legitimacy of the management function.............................................................................6
Impacted by politics and the social environment....................................................................................6
Conclusion...................................................................................................................................................7
References...................................................................................................................................................8
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Management Perspective 3
Introduction
Organizational behaviour is vital part of the organization which seeks a comprehensive
understanding of how individual and organization can improve the effectiveness of the
organization. The role of the leader is integral within an organization as it helps to provide the
solution of the challenges. The case study of Wal-Mart will be chosen in this assignment for
analysing the organizational behaviour. A rational for the research methodology will be provided
which will be helpful to understand the reason behind choosing the Wal-Mart. There are
different organization theories that assist to increase the productivity of the employees as well as
the organization. One specific organization theory will be described in the context of Wal-Mart
and comparison will be done by taking another theory. The role of research strategies in the
evaluation of case study is vital as it helps to determine the way of evaluation. The report also
aims at understanding the influence of amendments in the environment of organization on its
management approach and the strategies of corporate. At last, the study will emphasize the
importance of ethical practices towards community, stakeholders and community (Derr, 2012).
The significance of the organization maintains the entire welfare of the organization.
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Management Perspective 4
Rational for research methodology
It has been found that the researchers in recent years have opted more collaborative approach to
case studies and acknowledge various methodologies that have different benefits and drawbacks
which are not compulsory conflicting but complementary. It is vital to emphasize that case study
research is problem driven before methodological driven. The research methodology of case
study is being chosen because the information about case can be collected in relevant and
effective manner through internet. As per Flyvbjerg, (2011), the selection of case study can be
determined on the purpose of the study such as random selection and information oriented
selection. Random selection is able to avoid systematic bias in the sample. Information oriented
selection include the selection of case on the basis of expectations (Stjelja, 2013). The research
case study is based on Wal-Mart and the case study of Wal-Mart is being chosen due to its
organizational behaviour. As it has been observed that Wal-Mart has certain organization issue
but by applying the effective strategies, this organization was able to remove the issues within
the organization (Sethi, 2013). The qualitative research has been opted for this research
assignment and the research on Wal-Mart is being done by taking help of various journal articles,
newspaper, and annual report of the organization and internet sources.
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Management Perspective 5
Case of Wal-Mart
Wal-Mart is the well known retailer in United States and also one of the widest multinational
companies in the world. The low cost structure is most effective of Wal-Mart and has been doing
excellent despite of the current market instability. The case of Wal-Mart has been taken for this
assignment.
Organizational structure and theory
The organizational structure of Wal-Mart is effective as it has a hierarchal functional
organization structure. It has been evaluated that this structure has major two features such as
hierarchy and function based definition. There are various organizational theory such as classical
theory, scientific theory, bureaucratic theory, modern theory and administrative theory. Wal-
Mart has adopted the administrative theory which is based on the concept of departmentalization
which shows that the different activities are being performed for attaining the common purpose
of the organization. The main focus of this theory within the organization is to improve the
efficiency of management first so that the process of the organization can be standardized and
can be moved to the operations level. It is the level where the leaders of the organization are
performed to learn the changes and execute those in their daily jobs. It has been evaluated that
apart from administrative theory, Wal-Mart uses the modern theory because it considers the
organization as an open system. It defines that an organization continuously interacts its
environment for sustaining and growing in the market. Wal-Mart can get benefitted by adapting
the modern theory within the organization as it considers the organization as a system which is
dynamic.
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Management Perspective 6
The role of the manager and their performance to address the challenges and risks
The world has changed rapidly due to advancement in technology. The role of manager in the
organization is vital as he or she manages the entire organization by providing correct guidance
to the employees (Noe, Wilk, Mullen & Wanek, 2014). The managers of the Wal-Mart are well
efficient and skilled as they perform theory duties ethically. However, it has been evaluated that
Wal-Mart has seen so many issues regarding employee satisfaction which has led it to disruptive
condition. In such case the role of manager in the organization is problem solving which worked
to handle the situation at that time. As per Sethi, (2013), the illegal practices and the corruption
practices are conducted by the company in term to save their business. Training is the major
process that enables company to develop efficiently of the employee because training can
develop the hidden skills of the employees (Aguinis & Kraiger, 2009). The managers of the Wal-
Mart are focused towards training and provide them on-job as well as off-job training so that new
employees of the organization do not get stuck while performing the tasks. It has been found that
various challenges and issues are faced by Wal-Mart such as out of stocks of demanded products,
poor services, and higher rate of the products and lower pay of the employee. In such condition
the manager of the organization handles the condition and analyzes the issues. The pay scale has
been increased by the organization to satisfy the employees and focus is on the quality part so
that the customers are satisfied. Training program has been developed to make them trained
about the working style of the organization and the open communication is developed by the
manager so that the employees can share their views and ideas (Obisi, 2011).
The role of ethics and ethical practice of Wal-Mart
It is the belief of Wal-Mart that all people deserve healthy environment, safety and equality.
Wal-Mart has recognized these risks and the value of the supporting workers in the global supply
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Management Perspective 7
chain. The two programs has initiated by Wal-Mart to promote the dignity and the respect for the
men as well as women employee who support the organization to make the products. High
standards of worker dignity is being settled up by the organization which help to work
collaboratively with other companies to improve the conditions of working and the opportunities
of the employee for workers around the world. It has been found that the transformation
leadership is applied at Wal-Mart (Stankevičiūtė, Grunda & Bartkus, 2012). The role of the
leaders in maintaining the ethics responsibility of the organization is integral as the acceptance
and the reversal of project impact defines that the leaders at Wal-Mart are not unwilling to take
the huge decision in the context of organization (Crofoot, 2012). Ethical leadership is considered
at Wal-Mart to emphasize the dignity and the rights of others. It has been found that the leaders
of the organization are more focused towards the satisfaction of the employee and Sam Walton
firmly believed in the fact the happy employee are more enthusiastic to make customers happy.
Although, there have been some allegation against the decision of Wal-Mart, at last the leaders
have taken the concern head on and have initiated number of employee engagement programs.
Mike duke is taken the initiative step by creating the president’s global council of women
leaders. This initiative has improved the image of the company in which the contributions of
leaders were huge.
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Management Perspective 8
The role and legitimacy of the management function
The management functions of the organization is controlling, planning, staffing and organizing.
The leaders of the organization make decision by keeping consideration of employees of the
organization. It develops the planning process that enables the organization to understand where
it wants to go and how they want to get there. The various alternatives are examined by the
management of the organization before taking action against the situation. Planners are the team
which has been made by the organization to take corrective action when required and
continuously evaluate the growth of their plans (Wexler, 2011). The organization function is to
execute the workforce diversity plan and management keeps the safety plan not only for the
employee of the organization but also for the customers. The various acts have been
implemented by the organization to maintain the safety within the organization. The adoption of
latest technology has been embraced by the organization for which employees are getting
training. Training is the integral process of the organization because by taking help of this Wal-
Mart enables employee to learn new trends for making satisfy the customers. Wal-Mart has been
integrated with the concept of diversity which includes the various activities such as career
advancement system and diversity training. It has been found that the leaders of the organization
provide the inclusion training to new management associates for the purpose of enhancing the
various identity groups which is helpful to promote the good team works (Campen, 2016). In order
to fulfil the management function of controlling, the leader of Wal-Mart is more focused towards
the equal employment opportunity. There are specific mechanism within the organization such
as evaluation of managers, gender disparities and evaluation of feedback the employee as well as
customers (Wal-Mart, 2016). The customer behaviour is controlled by the management of Wal-
Mart by making the products that are likely to be bought together. The manager of the
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Management Perspective 9
organization supervises the staff at the stores for checking the things. The managers are
cooperative to solve the issues of the employees. This attitude of the leaders is helpful for them
to perform their job in perfect way. However, there are various problems of being a leader such
as managers have to take the responsibility for managing the organization and checking the
stores as per demand of the customers so that the customers do not get dissatisfied due to
ineffective services.
Impacted by politics and the social environment
It is the responsibility of the global ethics to promote the culture of Wal-Mart of integrity.
It involves the enhancing and upholding the policies for ethical behaviours for entire
stakeholders. The social environment has huge impact on the working environment of the Wal-
Mart. In the term of global expansion of Wal-Mart, it might have to face number of social
challenges. There are various countries in all over the world where people do not prefer
travelling for buying their daily rations. Therefore, it would lead the organization into great loss
because it is not possible for the organization to open up the store in every corner or nook (Herold,
2010). It has been analyzed that in certain countries, the small retailers are being the cause of
threats because they cover the huge customers who do not want to go far from their home. Wal-
Mart continuously benchmarks in opposition to other companies and across industries (Bergdahl,
2010). It prefers to consult with corporate governance experts which assist it to take right
decision and it initiate to get engaged with key stakeholders to strength the process of Wal-Mart.
There are number of issues are being faced by Wal-Mart in expanding to other international
markets. The changes in political terms may influence the activity of the organization. For
instance, the restrictions on foreign direct investment in multi brand retail in number of countries
can be the cause of barrier of expansion. The organization is facing number of law suits filed by
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Management Perspective 10
its employees due to HR issues. It has hampered the image of the organization in the view of
outsiders. It has been found that the Wal-Mart has involved in number of legal issues such as
discrimination at the time of promotions, low pay and lack of proper training and development
programs (Reinsch & Goltz, 2014). These unethical terms have huge adverse impact on the
organization but the leaders took initiative to improve the productivity of the employees. Various
initiatives have been taken by the leaders of the organization including increasing the pay scale
and providing the training and development program (Salas, Tannenbaum, Kraiger & Smith-Jentsch, 2012).
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Management Perspective 11
Conclusion
In the limelight of above discussion, it has been concluded that the function of the management
in the organization is integral. Wal-Mart is the multinational retailer company that has been
chosen for this assignment. It has been analyzed that the company includes the major five people
skills that is customer attention, motivation, developing others, listening and communication. On
the other hand in the term of work process, it involves the six work forces like team
development, sense of urgency, plan of organization, continuous development and resolution of
concerns. The rational of methodology has been given in this assignment to describe the why
case study is opted for this assignment. The selection of case study can be determined on the
purpose of the study such as random selection and information oriented selection. The role of the
managers of Wal-Mart has been discussed in the context of facing the challenges of the
organization. The various alternatives are examined by the management of the organization
before taking action against the situation. Wal-Mart has been integrated with the concept of
diversity which includes the various activities such as career advancement system and diversity
training. The role and the legitimacy of the management function and the impact of political and
social environment on Wal-Mart has been emphasized.
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Management Perspective 12
References
Aguinis, H., & Kraiger, K. (2009). Benefits of training and development for individuals and
teams, organizations, and society. Annual review of psychology, 60, 451-474.
Bergdahl, M. (2010). How Wal-Mart Minimizes Strategies with HR Practices. Retrieved on 20th
March , 2018, from: http://michaelbergdahl.net/pdf/How%20Wal-Mart%20Minimizes
%20Risk%20by%20Aligning%20Business%20Strategies%20with%20HR
%20Practices.pdf.
Campen, M. (2016). The fisheries potential of a new prairie reservoir: A managment
perspective (Doctoral dissertation, University of Lethbridge (Canada)).
Crofoot, A. (2012). Wal-Mart: Rolling Back on Ethics, Neumann Business Review Journal, Vol.
1, No. 1, PP 1-20.
Derr, C., L. (2012). Ethics and Leadership, Journal of Leadership, Accountability and Ethics,
vol. 9, No.6, PP 66-76.
Flyvbjerg, B. (2011). Case study. The Sage Handbook of Qualitative Research. N. K. Denzin and
Y. S. Lincoln. Thousand Oaks, Sage: 301-316.
Herold, R. (2010). Managing an information security and privacy awareness and training
program. CRC press.
Noe, R. A., Wilk, S. L., Mullen, E. J., & Wanek, J. E. (2014). Employee Development: Issues in
Construct Definition and Investigation ofAntecedents. Improving Training Effectiveness
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Management Perspective 13
in WorkOrganizations, ed. JK Ford, SWJ Kozlowski, K. Kraiger, E. Salas, and MS
Teachout (Mahwah, NJ: Lawrence Erlbaum, 1997), 153-189.
Obisi, C. (2011). Employee training and development in Nigerian organisaitons: Some
observations and agenda for research. Australian Journal of Business and Management
Research, 1(9), 82.
Reinsch, R.W. & Goltz, S. (2014). You Can ’t Get There From Here: Implications of the
Walmart v. Dukes Decision for Addressing Second-Generation Discrimination,
Northwestern Journal of Law & Social Policy, Vol. 9, No. 2, pp. 265-301.
Salas, E., Tannenbaum, S. I., Kraiger, K., & Smith-Jentsch, K. A. (2012). The science of training
and development in organizations: What matters in practice. Psychological science in the
public interest, 13(2), 74-101.
Sethi, P. (2013). The Wal-Mart affair – where implausible deniability is the coin of the realm,
Corporate Governance, vol. 14, No. 3, pp. 424-451.
Stankevičiūtė, E., Grunda, R., & Bartkus, E. V. (2012). Pursuing a cost leadership strategy and
business sustainability objectives: Walmart case study. Economics and
Management, 17(3), 1200-1206.
Stjelja, M. (2013). The Case Study Approach: Some Theoretical, Methodological and Applied
Considerations (No. DSTO-TN-1188). Defence science and technology organisation
edinburgh (australia) land operations div.
Wal-Mart. (2016). Promoting Good Governance. Retrieved on 20th March, 2018, from:
https://corporate.walmart.com/2016grr/promoting-good-governance.
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Management Perspective 14
Wexler, L., (2011). Wal-Mart matters. Wake Forest Law Review, vol.46, No.1, pp. 95-121.
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