Walmart Inc.: Enhancing Operational Efficiency and Strategy Analysis

This report provides a comprehensive analysis of Walmart's operations management, focusing on key characteristics such as sustainable growth, customer service, and resource efficiency. It explores statistical techniques like ABC Pareto analysis and the bullwhip effect used in inventory and supply chain management. The report examines current facility locations and the process of determining new locations, considering factors like logistics and competition. It also delves into Walmart's work system design, job design feasibility, and the rationale behind new change implementation processes. Network planning techniques, including PERT and CPM, are discussed, along with tasks that may not align with the operational strategy. Finally, the report addresses project lifecycle elements, management issues, and Walmart's approach to project management, highlighting the importance of communication and collaboration. This document is a valuable resource for students, and Desklib provides access to a wide range of similar solved assignments and study materials.

Operations
Management
Student Name
Institution Affiliation

Quality Characteristics of
Walmart
 Achieving sustainable growth in the
supply chain practices
 Provision of high quality customer
service, respect for workers, and strive
for excellence
 Enhancing efficiencies in the use of
resources under procurement and stock
management (Bjelland & Wood, 2015).
 Unique retail services to the market

Statistical Techniques
 ABC Pareto Analysis: Used by IT department in
categorizing items of value to enhance efficiencies
in the use of resources under procurement,
customer relationship management (CRM), and
inventory management.
 Inventory Information System: A database set for
storing and administering all data categories and
accurate warehouse inventory management.
 Bullwhip Effect: A supply chain management
technique to forecast yield supply chain
inefficiencies in the company.

Statistical Techniques
Application Examples
 ABC analysis suits in inventory management
for stock in and stock outs are accurately
recorded and stored in the system.
 Inventory management information system
ensures that all product categories offered by
Walmart are accurately recorded while in the
retail stores.
 Walmart uses the bullwhip effect in
forecasting future demand and supply thus
avoiding inefficiencies.

Current Facility Location
Currently, Walmart’s location is in various
places. Walmart stores are located in the US
and other international markets where it
operates. The main facility location areas are:
 Cullman
 Bentonville
 LaGrange
 Illinois Highway
 North Iris Street

Determining a New Location
 Identification of dominant location factors:
such factors include logistics, competition,
political risks, and labor among others.
 Development of location alternatives: On
realization that one of these factors is
dominant, identification of a location that
satisfies market needs is required.
 Evaluation of location alternatives: Managers
evaluate all locations and decide on the best
facility location to launch.

Concepts Related to Capacity
Planning and Facility Location
 Services level: The level of services
offered in this retail firm determines
what quality of service is acceptable.
 Demand in the market: Rate of demand
affects the strategic location decision of
a facility by the management.
 Workload and system capacity: This
depends on timing to plan and decide
on a location.

Current Work System Design
 Manages movement of goods and services
to enhance efficiency and proper flow of
commodities in and out of the premise
 Encourages personnel management in
terms of training and development, proper
compensation, and enhancement of equity
and fair treatment
 Division of labor and specialization is used
to limit errors from occurring

Walmart’s Job Design
Feasibility
 Technical: Walmart invests a lot in
technology; as a result the company has
been very innovative of new products that
suit market needs
 Economic: In terms of financial stability,
Walmart is feasible and reports a lot of
profits per annum.
 Behavior: The business operations of
Walmart are guided by an ethical code of
conduct that enhances integrity.

Elements of Rationale in the Work
Design Competitive Advantage
 Clear and open: A solid work design which is
clear and open to all motivates employees,
who raise productivity hence gaining a
competitive edge over rivals firms
 Equity, fairness, and full of opportunities: A
work design that enhances equity and
fairness creates a competitive advantage to a
company (Muñoz, Kenny, & Stecher, 2018).
 Inclusive of all: Where all stakeholders take
role in work designs, this leads to excellence

Defend New Change
Implementation Process
 Helps in cost minimization thus preventing
Walmart against financial constraints in its future
growth plans
 Helps in enhancing total quality control given the
specific strategies used in relation to scouting
quality and products demand (Muñoz, Kenny, &
Stecher, 2018).
 Helps in minimizing time used in decision making
and the overall ordering period
 Enhances flexibility in the new system used by
Walmart in replenishment

Rationale for the Change of
Implementation Method
 Need to minimize costs associated with
outdated implementation processes
 Need to enhance flexibility in the logistics
and supply systems of the company
 Need to boost product quality
manufactures and sold by the company in
the market
 Need to save time wasted when ordering
the retail products by customers