Analysis of Walmart CEO's Leadership, Power, and Organisational Impact

This report provides an in-depth analysis of the leadership and management strategies employed by the CEO of Walmart, examining the application of organizational theory and practice within the retail giant. The report begins by exploring the management styles utilized by the CEO, focusing on principles and functions of management, and assesses the steps taken to develop organizational structure and achieve high performance, including the impact of these changes on employees. It delves into the leadership styles adopted by the CEO to enhance organizational effectiveness, specifically transformational leadership, and analyzes the effects of power, influence, and conflicts within Walmart. Furthermore, the report examines the types of motivation used by Walmart, supported by corporate examples and relevant literature, before concluding with suggestions and strategies to increase organizational performance based on the preceding discussion. The report highlights the importance of adapting to market changes, fostering employee trust, and utilizing strategic leadership approaches to ensure long-term success and prosperity.

Organisational Theory
and Practice

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1 ...........................................................................................................................................4
Management styles that state principles and functions of management that is used by CEO of
retail firm.........................................................................................................................................4
TASK 2............................................................................................................................................5
Analysing steps taken by CEO in organisation structure to achieve high performance and
defining changes brought by CEO and its impact on employees....................................................5
TASK 3 ...........................................................................................................................................6
Leadership styles followed by CEO of firm which will enhance organisational effectiveness. ....6
TASK 4 ...........................................................................................................................................7
Analysing effects of power, influence and conflicts at Walmart....................................................7
TASK 5 ...........................................................................................................................................8
The various types of motivation used by Walmart..........................................................................8
TASK 6 ...........................................................................................................................................9
Corporate examples and literature to justify statement....................................................................9
TASK 7 .........................................................................................................................................10
Based on discussion, suggestions and strategies to increase organisational performance............10
CONCLUSION .............................................................................................................................10
REFRENCES.................................................................................................................................12
Books and Journal.....................................................................................................................12

INTRODUCTION
Management is a style where managers and leaders of management team which their
incomparable style handles work structure of an organisation. The utilisation of various styles by
managing authorities play a significant role in making employees work. The top management
plays a vital role in deciding what will be future plans as per situations that would be prevailing
at market place. The organisational theory facilitates study by recognising common threats and
finding solutions for same so that efficiency of production can be enhanced thus leading to better
organisational structure(Amis and Greenwood 2020 ). The report is a study focusing on
evaluation of management style by the CEO of dominating supermarket in retail industry which
is Walmart. The CEO of respective enterprise Carl Douglas is an American business person
playing different roles in Walmart Inc. as a president as well as Chief Executive Officer. The
report is also having an evaluation of managing styles including functions and principles of
management which is executed by CEO of any retail organisation. Moreover, examination of
varied steps is performed which is adopted by CEO to develop organisational structure and
maintain remarkable performance in the marketplace. The effects which employees face because
of new leadership styles is also mentioned.
Walmart: Walmart is an international retail supermarket chain of UK which focuses on
numerous buyers, which was established in 1962 by Sam Walton. It is famous because of its
diverse product line which is attractive and also offered on lower rates. Products offered by
Walmart stores, Inc. facilitates standard of living and reducing the cost of living. It is a fastest
developing firm operating all across geographical boundaries and remaining in top category of
retail organisations in UK.
Recent phases in Walmart: The current scenario of COVID 19 has severely affected
retail enterprises. It is required to emphasise on ways to communicate and cooperate with going
situations to initiate proper functioning. The approach should be followed in which top
management is not bias with subordinates and focus on problems without any barriers. The
emphasis is based on transforming competencies of community and economy. At several times,
organisations has to collaborate with other enterprises to enable better functioning(Billis 2020).

TASK 1
Management styles that state principles and functions of management that is used by
CEO of retail firm.
Management style: A focus is paid by Mcmillion in usage of management style which
functions in direction to procure sheer and valid views in direction of explaining roles and
hierarchies of structure and liberalising employees to question any and everything. Walmart lay
emphasis on deciding level of enterprise which can bring worth to retail business of Walmart.
The leaders and managers keep working in accordance to achieve customers trust, excellence,
respect and integrity.
Principle of management: The managers are required to follow a creative way of
managing employees. In this regards, Walmart is working and because of this they are able to
sustain in market and maintain competitiveness of close competitors. The management team is
finding the causes related to mankind activity which can affect working process. The famous
management economist Henry Fayol has developed 14 principles which acted as a whole
different perspective to management. The fifth principle Unity of Direction is used by
Mcmillion to achieve objectives(Erthal and Marques 2020). The managers as well as employees
should possess a common goal and keep that in mind so that execution process becomes easy. In
pandemic times, a necessitate need urged which demanded large centres for online pick up and
delivery of groceries.
Functions of management: A basic of four functions are followed by CEO of every
organisation. Mcmillion has also adopted these to maintain management of Walmart which can
be explained as: Planning: The vital purpose of CEO is to prepare a plan which can facilitate attainment
of predetermined goals and objectives. It comprises of allotting resources required by
employees that is required in operational work. He also delegates responsibilities to
subordinates to follow a better organisational structure and attain standards of production
in a time allotted. CEO considers fact that for development forward thinking is utmost. Organising: Then comes step where work delegated is to be organised. CEO performs
functions that can make work process smooth. It involves whole organisation internal as
well as external procedure from performing operations in a feasible manner to ensure
express delivery(Fernando and Bandara 2020).

 Leadership: After organising, leader has to supervise functions and timely provide
suggestions whenever work process faces some challenges or delays. The manager must
possess confidence and patience. In Walmart, during times of COVID several new
competencies were expedited.
 Controlling: To monitor operations which works in direction to attain goals and
objectives so that employee quality and performance is developed.
TASK 2
Analysing steps taken by CEO in organisation structure to achieve high performance and
defining changes brought by CEO and its impact on employees.
Divisional Structure:When an enterprise is inclined to diversify its operations in market,
there is a vital need to serve consumers with goods accordingly. The structure is based on
accumulating different divisions according to demands and needs. The structure is bifurcated in
three classes namely:
Product structure: It refers to group of particular goods that are manufactured in an enterprise.
Market structure: It refers to diving workers who work in particular markets to enhance
marketing and reach.
Geographical structure: It refers to specific employees working in a particular geographical
area(HoelCooper and Einarsen 2020).
Although Walmart has changes its structure from geographical to market structure for its
productivity enhancement. As organisation is very huge, it has adopted this structure because it
gives rise to effective productivity and growth. There are millions of employees which demand
this kind of structure. To capture large retail market this structure is required as it involves
strategic implications. From past several years organisation is making a considerable progress
and even in times of COVID pandemic, pick up and delivery facility of an organisation acted as
a kick start boost.
Effect on employees: As millions of employees all over geographical boundaries are
associated with Walmart. It becomes a crucial step to follow code of conduct and work according
to business practices. The various collaborating corporates acts significantly in leading business
and for this CEO Mcmillian develops critical and innovative ideas that can act in same manner.
To achieve goals, employers act with intelligence to achieve integrity and
prosperity(KOSTER.2020).

TASK 3
Leadership styles followed by CEO of firm which will enhance organisational
effectiveness.
CEO of Walmart McMillion has adopted transformational leadership style which is used
by managers to encourage, motivate, inspire work force which will bring innovation and will
shape future of employees and organisation as well which is Walmart. As a manager CEO
McMillion centres on leadership styles that consists of enhancing knowledge, developing new
ideas, responding subordinates and generating an urgent need to learn. As Walmart is dominating
the retail grocery market and is grasping the changes quickly whatever environment is going
with so that attainment of goals can be procured and risks are declined(Koukpaki Adams and
Oyedijo 2020).
Transformational Leadership is defined as a whole varied process that includes group of
individuals segmented in departments so that operations are performed with a feasible step. The
leaders who are eager to take high risks are best suited to follow this kind of leadership. This is a
set of strategic master plan which evolves the leadership manner. The leaders dominates
attractive and appreciable appeal towards any challenges that are coming in way of performing
operations. Transformational leadership is executed with different phases in Walmart which
works towards upgrading mission, vision, objectives and worth of employees as well as
organisation.
Intellectual Stimulation is recognised as a genuine approach that is utilised by CEO of
Walmart McMillion so that employees and consumers are persuaded to follow his approaches
which are considered flexible according to the environment which is drastically boosting up.
When an organisation is scattered all over the geographical boundaries, it is working with
creativity and innovation so that subordinates are ensured of a better working organisation. The
large corporates are required to germinate new ideas which subordinates can adopt. Theses ideas
even work as an intelligence that would result in succeeding over close competitors.
Broad minded thoughts should be only be followed by leaders to ensure with long term
success and prosperity of organisation(Marishane 2020). In this context, Walmart has also
adopted open minded thinking and is performing towards achieving faith and trust which can
bring effectiveness in work process, bring new talent and retaining them for a longer time as

well. Forward thinking helps managers to take organisation to heights by adopting such tactics
which will create welfare to work force as well as institution. With forward thinking, an effective
approach will be conquered on an accurate time. Under this employees are treated equal which
increases their moral support and increases their productivity.
TASK 4
Analysing effects of power, influence and conflicts at Walmart.
When an organisation develops new strategies and executes them in a proper manner it
would surely increase productivity and would create negligible waste disposal at time of
operations regarding products and services which will cause sustainability in environment. When
organisation reuses resources and reduce exploitation of natural resources, a goodwill is
generated in minds of consumers which will increase sales(Moneva Bonilla Priego and Ortas
2020).
Power At Walmart emphasis is laid on supply chain and management of inventory. The
success of enterprise Walmart is because of its executional activities that covers major decisional
areas and operational management strategy of Walmart. The CEO works within determined
vision and mission statements which is aligned for success. As CEO is possess with powers he
can generate polices and other methods which will help organisation to achieve long term
success in whole market.
Conflict In an organisation where numerous employees work, there is an absolute need to
develop such strategies which can reduce conflicts or can resolve them efficiently. It is
considered as a procedure which will reduce the negative impacts on workforce and futuristic
positive impacts are generated. The major reason which creates conflict is different mindset
which can be health, payroll, leaves, mismatch of thoughts and others. Conflict management is
highly required so that operations are carried out efficiently and lead to success. Conflicts in an
organisation leads to barrier in timely achievement of goals. Organisations have several conflict
management theories through which they act upon. Some time back there was conflict related to
non satisfaction of female employees regarding working process and a sue was filed for
comparatively less pay to male employees. This lead to a big issue because of gender biasses.
Later a decision was made after a long time and suers were provided contentment.
Influence Being a large multinational organisation which is operating world wide has
various rules and regulations which are mandatory to be complied. Consumers and other bodies

are highly persuaded by the techniques that is used by CEO of Walmart McMillion to operate its
business operations. It is because Walmart has adopted attractive and innovative tactics of
leadership style that is working in process of achievement(Nguyen Haar and Smollan 2020).
The content concludes that every factor plays a major role in eyes of external individuals
and bodies which plays a major role in building the name and fame of an organisation which is
effectively done by the respective firm Walmart.
TASK 5
The various types of motivation used by Walmart.
Maslow's Hierarchy is followed by Walmart towards motivating their employees.
Motivational Style: The model has five stages which is distributed according to inadequacy and
development needs. The initial four levels define the inadequacy needs and last level is
development need.
Physiology Needs: This is a biological need which is required for sustaining. These
include basic amenities like clothing, food, shelter and much more. They are of urgency which is
required to be achieved for attaining satisfaction.
Security Needs: In process, when above needs are satisfied, people are diverted towards
safety and security of themselves and their families. So Walmart is focusing safety and security
of their employees.
Emotional Needs: In hierarchy, emotional needs arises in which is related to personal
belongingness and socially derived needs. They are diverted towards maintaining interpersonal
relations which can satisfy and enhance their personality.
Self Esteem Needs: The fourth level used by Walmart of Maslow's is to ensure that
employees are satisfied from esteem and honour they seek from organisation and its
management. When above needs are satisfied, an individual desires position and authority.
Self actualisation Needs: This is last stage of hierarchy where an individual demands
accomplishment of his personal well being. In Walmart employees desires to attain overall
potential of their personal being.
Motivating factor which Walmart has adopted
Walmart aims on providing external rewards which motivate employees. The benefits
like financial ones in form of insurance, health care benefits by providing them free health
check-ups. Efforts are made to liberalise employees to purchase grocery or any other stocks from

Walmart itself at low rates as compared for consumers(Pucheta Martínez and Gallego Álvarez
2020). This motivate employees to performinmg better and remaining loyal to organisation
which acts as a healthy sign in market place. All theses factors act as a factor that can attain
gains over rival companies. Because of this Walmart was able to maintain its standards during
hard times of pandemic.
TASK 6
Corporate examples and literature to justify statement.
The accomplishment of mission and vision is only due to transformational leadership
strategy which an organisation adopts and remains consistent with. This is required for every
business as sometimes or other, problem persists and it becomes very essential to overcome them
with a unique technique that will bring change in management and economy. The focus is laid on
meeting objectives along with improving the standard of living of individuals. This can be
attained due to reducing their expenses and increasing their earnings as monetary value plays an
important role. The founder of Walmart, Sam Walton has given an appropriate statement
discussing various pricing strategies which are meant to be very effective. This helps in catering
the attraction of lot of target consumers. Walmart has adopted low price strategy which is
effective in meeting high competition which is prevailing due to rise in substitute organisations.
As Walmart has successfully maintained low pricing strategy which is benefiting consumers,
along with this it is also focusing on changing supply chain management so that suppliers do not
mitigate and join rivalries. Organisation is focused on maintaining loyalty and creating
interpersonal relations to reduce possible hurdles which comes along way of operating in market
place. This has to be dome in very appropriate manner as it is dealing in several countries wherte
different rules and norms are prevalent. The strategic management is a systematic and continuing
procedure that helps organisation to work in long run. In past times Walmart has undergone
many hurdles and has improved with these systematic plans. Walmart is going forward in
digitalisation and taking its operations to online level so that more and more customers are
catered(Subedi and Sthapit 2020). This will help in evading competitors and dominating the
respective retail industry. The changes in technology, shopping pattern, seasonal changes,
fashion trends, temperature, festivities, economic condition of nation, governing bodies, climatic
conditions, tastes, preferences, exchange rate and policies of different nations vary and becomes
a hurdle. But Walmart has been able to overcome these in most of countries because of its

flexible and attractive policies,. These can be adopted and mixed with to attain success and
accomplish the targets and objectives that are pre determined.
TASK 7
Based on discussion, suggestions and strategies to increase organisational performance.
The other topics discussed in the continuing study provides certain suggestions which can
be followed as discussed underneath :
The mission and vision statement is required to be communicated and discussed with employees
so that they are bound top work in accordance of those objectives. They are required to be
peculiar and sheer in perception of employees so that less are the chances of negligence and
obstacles in operational performance. When ever there is any change in such objectives it is
required to be made clear in eyes of employees so that they work in that order to achieve the
same(Subedi and Sthapit 2020). The corporate vision can be made through strategic
implementation and reducing obstacles that might arise when dealing in an environment which is
competitive where retail industry is very wide. The effects are also made which will remain
persistent even after COVID as delegation of responsibilities are made in an effective manner
which will increase competencies of employees and will be able to work effectively in direction
to achieve trust and faith of employees.
CONCLUSION
All in all it can be concluded from the above case study on organisational theory and
practices of Walmart. It can be seen that above discussed various characteristics of leadership
styles and approaches which is utilised by the managing authority is highly required. The
aspects of broad minded thoughts and conflict management strategy helps in achieving the vision
and mission of an organisation. The optimistic and positive leadership strategy would create a
developed and integrated future. The approaches which are used by managers act on behalf of
creating maximisation. Several efforts paid by organisation in respect to employee's benefit plan
plays a significant role in retaining talent and maintaining a good brand reputation in market
place. Above report also concludes that to attain targets and objectives in every economy where
ever it is operating can be accomplished only by having innovation and creative thought process
if top management who is responsible for framing rules and regulations.

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