WALMART performance management and compensation

                                      

WALMART is an American multinational retail corporation that operates a chain of hypermarkets, discount department stores, and grocery stores, headquartered in Bentonville, Arkansas. The company was founded by Sam Walton in 1962 and incorporated on October 31, 1969.

This started small, with a single discount store and the simple idea of selling more for less, has grown over the last 50 years into the largest retailer in the world. Each week, nearly 265 million customers and members visit our more than 11,200 stores under 55 banners in 27 countries and eCommerce websites in 10 countries. With fiscal year 2018 revenue of $500.3 billion, Walmart employs over 2.2 million associates worldwide. Walmart continues to be a leader in sustainability, corporate philanthropy and employment opportunity. It’s all part of our unwavering commitment to creating opportunities and bringing value to customers and communities around the world.

MISSION: “to save people money so they can live better.”

VISION: “Be THE destination for customers to save money, no matter how they want to shop.”

Walmart’s Performance Management Practices:

Performance Planning:  Walmart’s performance planning is based on three main dimensions that relate with the needs of its retail business:

• 1.  Customer service orientation
• 2.   Decision-making and results orientation
• 3.  Analysis and problem-solving

Ø Walmart uses the customer service orientation to directly address its human resource management concerns in the context of retail. As it’s a retail sector Walmart emphasizes the customer service orientation in performance planning, to ensure that its services satisfy customers.

Ø The decision-making and results orientation is applied for all positions, although it is emphasized in planning for managerial and supervisory positions. Its main objective in using this orientation is to optimize organizational resilience through effective decision-making.

Ø Analysis and problem solving is also used for performance planning, but more so for managerial positions. Walmart expects managers to effectively analyse and solve problems in the workplace.

Measurements and Standards

Walmart has different standards for different types of jobs and at different levels of the organizational structure. For instance, the company has productivity standards emphasized for warehouse personnel. Decision-making and financial performance standards are usually emphasized in managerial positions. For frontline hourly sales employees, Walmart’s human resource management puts more emphasis on salesmanship. In contrast, standards for problem solving and planning have more weight in managerial and supervisory positions.

COMPENSATION

Benefits: Walmart has a considerable list of benefits. The following is an overview of these benefits:

• 1.    Company-matched 401(k) contributions, up to 6% of salary
• 2.    Associate stock purchase plan with company match
• 3.    Save for retirement, save with exclusive discounts
• 4.    Comprehensive health insurance plans
• 5.    Making time for families with maternal and parental leave i.e. maternity leave , parental and adoption.
• 6.    Education Benefits:

1.             In partnership with Guild Education, our Live Better U program gives associates the opportunity to earn debt-free, high-quality degrees in business or supply chain management for just $1 per day.
2.            Walmart covers remaining costs and other required fees.
3.         Associates can receive college credit for paid training at Walmart Academies. As of 2019, associates have already earned more than $317 million in college credits.
4.           Walmart also offers education benefits for GED, high school completion, language training and professional development.

Incentives:  Walmart offers many incentives for its workers. For example, the company gives recognition to high-performance employees. The optional APU credits are also incentives to motivate workers to improve their knowledge, skills and abilities. Walmart employees can improve their performance and plan a long-term career though continuing education with APU. These incentives address the human resource management objective of motivating workers, especially in aiming for promotion and contributing more to Walmart’s success.