Walmart's Strategic Management and Control Systems: A Case Study

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RESEARCH AND ANALYSIS PAPER- PART
II

Table of Contents
INTRODUCTION............................................................................................................................. 3
BACKGROUND................................................................................................................................4
ENVIRONMENTAL CONTRAINTS................................................................................................ 4
STAKEHOLDERS..........................................................................................................................4
FUNCTION OF MANAGER.......................................................................................................5
PLANNING AND STRATEGIC MANAGEMENT..............................................................................5
ORGANIZATIONAL STRUCTURE AND DESIGN.............................................................................7
FOUNDATION OF CONTROL.......................................................................................................7
REFERENCES...................................................................................................................................9

INTRODUCTION
Wal-Mart Corporation is one of the largest retail organizations with the mission and vision to
provide the good quality products at low prices (Banerjee, 2015). The company can serve with
the customer to save their money. The study provides the strategic plans and elements that
help in controlling the systems of the organization. The stakeholders involved in the Wal-Mart
direct on the environmental constraints and strategies which can be used for the organizational
settings.
Management is the process through which the working people and resources can accomplish
the organizational goals (Bratton & Gold, 2017). This can be helpful in investigating the
direction to set the business with the correct the mistakes that are driven by the organization.

BACKGROUND
According to Hill et al (2014) Management in the organization function on the basis of things
that are provided to them efficiently. The best way to manage the teams within the Wal-Mart is
ensured. The needs of the customers and stakeholders are met effectively. This can present the
strong value on the company with the effects of Sundown rule (Hill et al., 2014). This rule can
derive the observance that company provide in order to present best answer to the question or
concern before the close of the business.
ENVIRONMENTAL CONTRAINTS
Wal-Mart still stands an advantage over the competitor in terms of keeping the environmental
sustainability efforts. The utilization of the generic strategies can help in conducting the
business. As a retailer the environmental impact extends far beyond the operations to the
supply chain (Bryan et al., 2018). The environmental constraints are faced in terms of all along
supply chain, from farming to manufacturing the product and its consumption. The Wal-Mart
has focused on reducing the impact and creating a more circular economy. For example:
farming plays a major role in GHG emissions, deforestation and water usage. This can direct on
the dispose approach with the one where resources are preserved. The suppliers, customers
and non-profit organizations draw the strengths such as for the stores and logistics
infrastructure (Millhouse et al., 2019).
The constraints of comprehensive metrics regarding the supply of the products, improving the
sustainability in U.S. dairy farming, problem faced in the feed utilization and dairy welfare has
directed on the cost of the production of the products (Rodrigue, 2017). There has been
virtually no improvement but has manage to serve the large database.
STAKEHOLDERS
The role of the managers can be dignified with the belief that Wal-Mart has on the customers
and associates. However, it is found to be critical in terms of communicating with the needs
through open communication. The policy that is upheld by the organization to meet the certain
requirement is open door policy (Caraway, 2016). This policy allows the stakeholders or

associates to suggest the voice and concern with the management without feeling threatened
or retaliated against other. The founder of the Wal-Mart, Sam Walton believed that effective
leader is the one which lead to the other members within the organization not legging behind
the desks (Caraway, 2016).
FUNCTION OF MANAGER
The role of the managers within the Wal-Mart can undertake the power of teamwork and
ability to work together. This can direct on diverse setting which in turn result in conflict and
serving the customer, managers and leader to pull together the team to serve the customer
(Rodrigue, 2017). The key functions of the managers are to accomplish the organizational goals
with the help of working people and resources. The management at Wal-Mart utilizes the four
functions to be important. They are striving for excellence, respect for the individual and
service to the customer.
The planning within the Wal-Mart can direct on the daily routine to access the organizational
functions of the business plan. However, the function which is important for the manager is to
assemble and coordinate with the people, physical attribute and other information (Daft, 2015).
This can organize the people and attract the organization and customer to its stores because of
their desire to achieve success.
The stimulating stage is where the ability within the human resource of the Wal-Mart is
foreseen. This can help in classification of the leaders in the organization. The last stage of
management functioning is controlling. This can direct on the making the necessary changes
and organizing the success by controlling the function such as controlling the job to plan,
organizing, leading and controlling the activities of the organization to set the goals which can
be achieved (Bratton & Gold, 2017). Thus, it redirect on the equal employment opportunity
through monitoring the work and providing the evaluation of feedbacks by employees.
PLANNING AND STRATEGIC MANAGEMENT
The strategic formulation of the management plan for Wal-Mart focuses on the goal of saving
money for the people and destined to the products that customer want to shop (Bryan et al.,
2018). The vision statement directs on the improvement of the previous statements that was to

direct the hear t and minds of consumers and employees. The key strategy to provide the
quality products at affordable prices may subject to meet the supply chain benefits. Further,
training to the staff in order to improve their efficiency and increase the sales can be directed
within the range (Bull et al., 2016).
Strength of Wal-Mart
The company has core competency in utilizing the information with the support of the
customer over 56 years. The company has directed with logistics system by acquisition and
merger for the business (Bull et al., 2016). The expansion of the operations and profitability can
meet with the lower prices and deal with the products that provide the competitive advantage
over its rivals. This can formulate on purchasing the products with the range of availing
discounts on the products and lower the cost of the product and selling the product at
affordable rates.
Weakness
The range of the methods that are applied can result in managing the controversies that are
being faced by the organization. The key issue encounter is the inappropriate treatment
towards employees. The key competitors (ASDA, Dollar and Dollar General Stores and Kmart)
try to store the key area to control the target and manage the niche market against Wal-Mart
(Bull et al., 2016).
Opportunities
The strategic opportunities direct on the health conscious behavior and fresh and organic
products. This can meet with the complementary services through which the range of the
health insurance, travel agencies, coffee stores and other. The mergers and acquisition to the
business can direct on the strategic alliances and meet with the top retailers in the market
(Millhouse et al., 2019).
Threat

The company ignores the problems of the employees which in turn result in the not satisfying
the work environment of the company along with the demand overtime. The company is highly
believed to meet with the solutions to the issue with the increase use of the self-checkout
machines but it also requires support from the workforce which is hindered. Thus, it can affect
the political context of investment or funds in the business (Caraway, 2016).
The Manager at Wal-Mart can use rewards to reinforce the employee’s behavior and continuity
in the organization. The rewards are outcome of the work which is carried out by the
employees in the positive manner (Rodrigue, 2017). This can direct on the typical way of
supervision and managing the workplace level such as pay bonuses, promotions, special work,
department fixtures, and time off.
ORGANIZATIONAL STRUCTURE AND DESIGN
Wal-Mart has a hierarchical functional structure which pertains to be vertical lines as
commanded throughout the organization (Hill et al., 2014). The design for the organization
structure of the organization is depicted as:
Figure 1: Organizational structure and design
Source: Daft, 2015

FOUNDATION OF CONTROL
There are certain control systems which are utilized in the management of Wal-Mart. The use
of the control systems and operations can be handled by the effective use of the technology
(Daft, 2015). The foundation to the control systems that the Wal-Mart has established is that
they want everyone within the organization to be committed towards their goal. This can direct
on the total customer satisfaction and strategic control on systems that are being set
accordingly. The systems that are used are Radio Frequency Identification (RFID), Electronic
Data Interchange (EDI) and financial control system (Caraway, 2016).
One of the control systems in Wal-Mart is the financial control system which directs on the day
to day operational feedback for the business. The performance of the business has managed by
rerouting the financial balance within the department. The stores of the Wal-Mart can be
tracked with the sophisticated companywide satellite systems (Banerjee, 2015). This control
system helps in providing the share of profitability and information regarding inventory
turnover rate among the associates. Thus, it may provide the deep insight to the retail business
and moreover improving it. This control system can help in undertaking the immediate action
on the underperforming stores in the business. Thus, the managers and associates can meet
with the solutions to raise the performance of the Wal-Mart in order to mitigate future
implications (Bratton & Gold, 2017).

CONCLUSION
The entire research directs on the effective practice of providing the quality products at the
cheap rates. The strategic actions and directions that are being utilized by the Wal-Mart are
controlled with the help of the EDI, RFID and finance accounting systems. This has been
founded in the entire research.

REFERENCES
Banerjee, D. (2015). Walmart Stores Inc.-A Strategic Analysis. International Journal in
Management & Social Science, 3(12), 202-225.
Bratton, J., & Gold, J. (2017). Human resource management: theory and practice. Palgrave.
Bryan, G. A., Brooks, C. C., Brightwell, D. B., Enssle, B. D., Jones, M. A., & Eaton, J. L. (2018). U.S.
Patent Application No. 15/916,829.
Bull, J. W., Jobstvogt, N., Böhnke-Henrichs, A., Mascarenhas, A., Sitas, N., Baulcomb, C., ... &
Carter-Silk, E. (2016). Strengths, Weaknesses, Opportunities and Threats: A SWOT analysis of
the ecosystem services framework. Ecosystem services, 17, 99-111.
Caraway, B. (2016). OUR Walmart: A case study of connective action. Information,
Communication & Society, 19(7), 907-920.
Daft, R. L. (2015). Organization theory and design. Cengage learning.
Hill, C. W., Jones, G. R., & Schilling, M. A. (2014). Strategic management: Theory & cases: An
integrated approach. Cengage Learning.
Millhouse, A., Meredith, J. S., & Ellis, L. (2019). U.S. Patent Application No. 16/032,532.
Rodrigue, J. P. (2017). A review of The Rule of Logistics: Walmart and the Architecture of
Fulfillment. By Jesse Lecavalier.