...phoenix.edu CST Organizational Structure of Home Depot The company that I am actually really familiar in organizational structure is Home Depot, since I used to work there. “The Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank. Along with investment banker Ken Langone and merchandising guru Pat Farrah, the founders’ vision of one-stop shopping for the do-it-yourselfer came to fruition when they opened the first two Home Depot stores on June 22, 1979, in Atlanta, Georgia.” (The Home Depot, 2012, para. 1). They started in a large open warehouse which carried thousands of products, with nationally known brands along with the Home Depot brand. The Home Depot has given great customer service right from the start and has employed knowledgeable people to help offer assistance and answer any questions customers have with home renovation projects. The Home Depot has seen an incredible growth and today is one of the largest home improvement retailers in North America. On an international scale, Home Depot has expanded to Canada, Mexico, and even in China. The competition consists of Ace Hardware and Lowes, which is the main competitor. There are three structures used within businesses: simple, functional, and multidivisional structures. Simple structure is mainly used within smaller companies, and usually the head of the company makes all of the decisions and the employees follow directions from the head of the company. The functional structure is where the business...
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...Home Depot and PepsiCo Founded in 1978 by Bernard Marcus and Arthur Blank, The Home Depot is an American home improvement and construction product retailer. It operates stores in all fifty states, the District of Columbia, Puerto Rico, the Virgin Islands, Guam, Canada and Mexico. It is the largest home improvement retailer in the United States, next to Lowes. Founded in 1965, PepsiCo is an American food and beverage corporation formed between the merger of Pepsi-Cola and Frito Lay. PepsiCo has gone on to expand to include Tropicana, Quaker Oats, Gatorade and many more. Each generating sales of one billion dollars each and distributed in more than 200 countries (PepsiCo). As of 2011, PepsiCo employs approximately 297,000 people worldwide (PepsiCo). This paper will assess the above mentioned companies areas of leadership, management, organizational learning (training), and culture and compare and contrast to the structure The United States Army and Macy’s Department Store. Home Depot Leadership: In 2000 Marcus and Blank were replaced with Robert Nardelli, who pushed hard to make the company more efficient, bringing with him many new metrics to centralize operations, and to meet quarterly goals he even cut jobs of associates. Nardelli, a former General Electric top executive, arrived at Home Depot with a leadership style that was already outdated, an autocratic top –down style of command and control. Under Nardelli, Home Depot went from a retail business to a new contracting...
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...Management Analysis The CEO and leader of Home Depot is Craig Menear. He has more than three decades of experience in the retail and hardware home improvement industry, more than half of which have been with the company. This makes me a smart choice to lead the best home retailor in the country. At age 57 he has a vast experience and knowledge of his craft which makes him the obvious choice to lead The Home Depot. He should be in this position for many years to come seeing how in 2013 under Craig’s leadership, HomeDepot.com sales grew 50 percent and accounted for $900 million of the company’s total sales growth of $5 billion. The Home Depot has a functional structure which maintains a CEO with a small corporate staff along with managers in organizational areas such as production, accounting, marketing, R&D, engineering and human resources. Separating the organizational areas of a company allows for specialization in each functional area. However, this separation can have a negative effect as it makes communication between these areas more difficult. The multidivisional structure consists of different divisions which represent separate businesses which corporate officers that dictate responsibilities to lower level personal. This allows officers to monitor each businesses performance more effectively. Officers can easily compare divisions and help improve the performance of a poorly performing division (Celinski, 2014). The Home Depot typically promotes from within the company...
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...THE HOME DEPOT’S ORGANIZATIONAL COMMUNICATION Organization Communications Mgmt 305 Potomac College Abstract This paper will analyze the culture of The Home Depot and its communication practices. This will be accomplished by examining the dimensions of the organization’s structure. The Home Depot’s sociability, power distribution and job autonomy, degree of structure, achievement rewards, opportunities for growth, tolerance for risk and change, conflict tolerance, and emotional support will be used to determine if the organization has a Theory Y culture. Introduction Home Depot is considered to be one of the top ranking home improvement organizations. The mission statement of this organization was formulated around being “committed to maximizing long term shareholder value while supporting management in the business and operations of the company, observing the highest ethical standards and adhering to the laws of the jurisdictions within which the company operates” (Homer TLC INC, 2010). The Home Depot transformed the “home improvement industry” by providing a well round reputation for products, corporate governance and strong values within the community. The purpose of The Home Depot remains to build relationships, have social responsibility, and concrete ethics as an organization. Employees are respected, offered growth and reputable incentive plans. Public policy makers and Home Depot collaborates on ideas to assure prosperity in our society. Home Depot delivers...
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... HR587, May 2010 Session Table of Contents Executive Summary…………………………………………………………………….…………………… 2 Assessment/Diagnosis………………………………………….……………..………………….. 3 Analysis of the Change Strategy…………………………………………………………………………….…..………… 4 Results/Outcomes………………………………………….……………………,………………. 7 Evaluation of the Effort…………………………………………………………………………………….……….. 9 References………………………………………………………………………...…………….. 13 Appendix A……………………………...…………………………………………………………………. 14 Appendix B……………………………….……………………………………………….……………….. 15 Executive Summary Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank. From the start, associates were able to offer the best customer service in the industry, guiding customers through projects such as laying tile, changing a fill valve or handling a power tool. Not only did store associates undergo rigorous product knowledge training, but they also began offering lessons so customers could learn how to do it themselves. Home Depot is still guided today by those values established by its founders, excellent customer service, taking care of people, entrepreneurial spirit, respect for all people, building strong relationships, doing the right thing, giving back to communities, and creating shareholder value. (Corporate Website, 2003). I will be concentrating on the Human Resource department of the organization. They restructured their HR department by cutting down their HR functions believing that it they could create jobs in other sections of the company. ...
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...Running Head: Home Depot Talent Practices at Home Depot Shaniekia Moore Strayer University Dr. Sheila Letica Talent Management HRM 532 January 20, 2011 Lockwood, (2006) determine that in a competitive marketplace, the talent management process is one of the most important driver for organizational success. Home Depot maintains its’ competitive edge by using their organizational talent in the Do It Yourself industry. This is achieved by having an exemplary organizational structure of values, principles, and beliefs. In achieving that status, Home Depot’s emphasized the importance of employees’ knowledge of the business and their enthusiasm, (Grow, Brady & Arndt, 2006) and hiring of dependable and knowable older workers (Silzer, & Dowell, 2010). In addition to be effective in maintaining that competitive edge Home Depot has various programs that focused on a wide array of leadership development. They encouraged cross-functionality across the company (Gandossy and Verma, 2005), groomed internal talent to allow for peer tutoring from other executives (Gandossy and Verma, 2005) underscored the importance of human capital and engaged store associates in creating a superior customer experience (Silzer, & Dowell, 2010). The key channels that Home Depot developed for recruiting talent, is focusing its recruiting efforts on older workers by partnering with the senior citizens group, American Association of Retired Persons (AARP), (Tucker, Kao, and Verma...
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...Home depot has been doing well over the past couple years throughout their existence, ranked #1 in the local companies on the 2013 fortune 500 rankings. The strategy for home depot is making room for improvement, by focusing on employee turnover, which is costing them million of dollars dealing with high cost of employee trading. The home depot, has a mission and vision statement of eight corporate values which are designed to guide employees by Taking care of customers, Giving back to the community, Excellent customer service, Creative shareholder values, Building strong relationships, Having a entrepreneurial sprit and Having respect for all people. It is a do it yourself kind of market that represents a 100 billion dollar market sales. Home depot has a foundation of key competitors that attracts many professional buyers. These competences our considered as up to date technology, which is the internal and external environment, that allows competition between other competitors like Lowes, Menards, and Ace hardware. Home Depot has also been able to establish and successfully execute a market saturation strategy coupled with low prices and high services. Being able to execute on these three pillars has been the hallmark of Home Depot's strategy and will carry the company into the future. As Home Depot continues to expand, the cost of prime real estate will rise as they compete head to head with their main competitor, Lowes. Also tied to the market saturation strategy...
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...Business Ethics MGT 610 – Organizational Behavior Instructor – Jun 9, 2014 Business Ethics This paper will attempt to decipher the leadership style and techniques used by Robert Nardelli during his tenure as the CEO of Home Depot. To help decipher his leadership style, the paper will incorporate three leadership theories discussed within our text. The first leadership theory is the “Trait Theory”. Assumptions from the great man theory lead us to believe that people are born with inherited behaviors; certain traits, characteristics, and behaviors indicate that an individual is a born leader. A great leader is also born with a natural mixture of leadership traits. The second leadership theory is “Behavioral Therapy”. Assumptions with the behavioral theory indicated that leaders are groomed and prepared; they do not come prewired with innate leadership characteristics. The behavioral characteristics of a successful leader is a learned and honed skill attained through intense mentoring and practical experience. The last leadership theories this paper will discuss are the “Situational and Contingency Theories. Assumptions with the situational theory are, as the name suggest and based upon a leader taking the best course of action while taking into account the situation at hand. Based or dependent upon various situational factors, assumptions of contingency theory include proficiency and behavior of followers and the style of leadership the...
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...Risk Assessment Introduction Home Depot was founded in 1978 by two individuals and they are Bernice Marcus and Arthur Blank. The two wanted to change the way people thought and took care of their home and their gardens. They created the do it yourself concept and that way of thinking has caught on and has spawn across the globe. Home Depot headquarters are in Atlanta, Georgia. Today Home Depot is the largest home improvement retailers. It has over 2200 stores throughout the United States and that also includes Puerto Rico, U.S, Virgin Islands, Canada, Mexico and even China. Home Depot employs 317,000 individuals in all off the stores. Home Depot sells anything from carpenter needs, carpet, appliances and most everything that a person would need to complete their do it themselves projects. Strengths and Weakness The Home Depot stores has a variety of areas where their strengths and weaknesses are greatly measured and used to help make their business and their stores strive and be successful. The first area that is going to be mentioned is the stores. To begin the strengths of Home Depot it has to start will all of the employees. It also builds it strengths around their merchandise that they carry. They want to make sure that they have everything that a do it yourself person to do their construction that they need to do. Projects are what people want to do to make the necessary improvements to their homes and landscapes. Home Depot wants to make their customers feel...
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...The Home Depot Home Depot’s Plan Home Depot had several intentions in regarding the use of its organizational talent to gain a competitive advantage in the Do It Yourself Industry. The first of these is to ingrain the importance of corporate success through human capital. In the current economic environment, corporate success and growth; even survival, is dependent on the firm's ability to create employees that are motivated, skilled, and committed. The concept of how important human capital is to corporate success can be summed up with a quote from Nobel Prize-winning economist Gary S. Becker says that “The basic resource in any company is the people. The most successful companies and the most successful countries will be those that manage human capital in the most effective and efficient manner” (Brocaglia, n.d.). The Home Depot embraced this idea when the company considered its organizational talent as a competitive edge. The second of these intentions is first-class customer service through engaged employees. Employees are the first line of defense and influence when it comes to a firm's level of achievement in customer service. Customer service and satisfaction become the competitive advantage that allows for retaining customers longer even through severe price competition; and that satisfaction should be paramount through all stages of customer interaction (IBM, 2007). By placing such an emphasis on a satisfying customer experience, The Home Depot adds...
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...THE HOME DEPOT, INC. Introduction 1. Identify the company’s mission, vision, and primary stake holders. 2. Identify the five forces of competition and how it impacts the company. 3. Create a SWOT analysis for the company identifying the major strengths, weakness, opportunities and threats. 4. Based on the SWOT analysis, recommend how the company may capitalize on its strengths and opportunities, and minimize its weaknesses and threats. 5. Discuss the various levels and types of strategies the firm may use to maximize its competitiveness and profitability. 6. Determine the recent corporate governance issues that are currently affecting the company’s decisions and report how the company is or should be handling the issues. 7. Use 4-5 external sources as part of your assignment. Introduction Home Depot, Inc. is the world’s largest home improvement retailer with 2,246 retail stores in all 50 states in United States, the District of Columbia, Puerto Rico, Virgin Islands, Guam, 10 Canadian provinces, Mexico, and lastly China. HD (Home Depot) provides employment to approximately 321,000 full time employees. HD stock is traded on the New York Stock Exchange (NYSE:HD), is included in the Dow Jones industrial average and Standard & Poor’s 500 index. This company sales a range of building materials, home improvement and lawn and garden. (Poor's, 2011) Home Depot was found by Bernie Marcus and Arthur Blank, on June 29, 1978. Their vision was to create and...
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...A resurgent Kmart, home of the blue light special, is buying the once-dominant Sears department store chain in a surprising $11 billion gamble it is counting on to help both better compete with Wal-Mart and other big-box retailers. Led by Kmart Holding Corp. chairman Edward Lampert, the new Sears Holdings Corp. would be the nation’s third largest retailer. Both chains would survive, but several hundred stand-alone Kmarts throughout the country are expected to be transformed into Sears stores. The goal: A quick kick-start to sales away from Sears traditional base of shopping malls. Lampert and Sears chairman and CEO Alan Lacy, in announcing the deal on Wednesday, promised up to $500 million a year in savings within three years from store conversions, back-office job cuts, more efficient buying of goods and possible store closings. Shares of both Kmart and Sears, Roebuck and Co. surged on the news, but some analysts are skeptical that it amounts to a home run. “Both have been broken in some sense,” said Dan Hess, president and chief executive of Merchant Forecast, a New York-based independent research company. “Kmart has to learn to survive in a Wal-Mart world and Sears needs to learn to survive in a world of Home Depot and Lowe’s.” Lampert, 42, was as an assistant to Robert Rubin at Goldman Sachs & Co. before leaving to form a hedge fund at the age of 25. He orchestrated the deal and will lead a new board that will be dominated by Kmart directors. “We need to have a very...
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...Hermes is the UK's leading consumer delivery specialist handling more than 160 million collections and deliveries each year. Hermes has 80 Depots throughout the country and 240 sub depots. Hermes provides a range of flexible and affordable delivery options to home, work, neighbour, safe place or ParcelShop. This multi-channel approach offers a convenient and hassle-free delivery experience that achieves high levels of satisfaction and ultimately creates brand value. Within the UK, Hermes operates a network of nearly 10,000 couriers that provides high-quality doorstep delivery. This flexible, friendly and local approach means that couriers understand the habits and preferences of individual customers, ensuring that up to 95 per cent of parcels are delivered first time. For the past 2 years running the company has received the unrivalled accolade of ECMOD Best Home Delivery Service - an award that is voted for by client side companies for the suppliers that 'really made a difference to their business in the past 12 months'. In Germany, the Hermes Logistik Gruppe (HLG) has become the country's largest independent home delivery service in the Business to Customer and Customer to Customer sectors. Hermes offer different types of delivery and service depending on the client/customer needs here is a list of the list of main services. · Standard –This is a fully tracked service over a 2 to 3 day delivery, with first time rate at 94%. This can be tracked online with a unique...
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...Weekly Summary Write a 300-350 word summary of how this week’s material relates to you professionally and to organization. Post to Weekly Summary Thread. Day 7 1 Learning Team Instructions Create the Learning Team Charter. Select one of the following Virtual Organizations to use throughout the course for strategic plan development: • Riordan Manufacturing • Huffman Trucking • McBride Financial Services Day 7 Individual Internal Risk Assessment Resource: University Library’s Datamonitor 360 Access the University Library’s Datamonitor 360 and look up one of the following companies: • Wal-Mart Stores, Inc. • Jet Blue Airways Corporation • Hewlett-Packard Company • The Home Depot Prepare a 1,050- to 1,750-word paper identifying the key capabilities of your selected company. • Discuss the firm’s strengths and weaknesses in marketing, human resources, management, research and development,...
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...Weekly Summary Write a 300-350 word summary of how this week’s material relates to you professionally and to organization. Post to Weekly Summary Thread. Day 7 1 Learning Team Instructions Create the Learning Team Charter. Select one of the following Virtual Organizations to use throughout the course for strategic plan development: • Riordan Manufacturing • Huffman Trucking • McBride Financial Services Day 7 Individual Internal Risk Assessment Resource: University Library’s Datamonitor 360 Access the University Library’s Datamonitor 360 and look up one of the following companies: • Wal-Mart Stores, Inc. • Jet Blue Airways Corporation • Hewlett-Packard Company • The Home Depot Prepare a 1,050- to 1,750-word paper identifying the key capabilities of your selected company. • Discuss the firm’s strengths and weaknesses in marketing, human resources, management, research and development,...
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