...Wal Mart A Proposal on How Wal-Mart Can Reduce High Employee Turnover Tiffanie Jenkins August 21, 2011 Wal-Mart Stores, Inc. branded as Wal-Mart since 2008 and Wal-Mart before then, is an American public multinational corporation that runs chains of large discount department stores and warehouse stores. The company is the world's 18th largest public corporation, according to the Forbes Global 2000 list, and the largest public corporation when ranked by revenue. It is also the biggest private employer in the world with over 2 million employees. The company was founded by Sam Walton in 1962, incorporated on October 31, 1969, and publicly traded on the New York Stock Exchange in 1972. It is headquartered in Bentonville, Arkansas. Wal-Mart is also the largest grocery retailer in the United States. In 2009, it generated 51% of its US$258 billion sales in the U.S. from grocery business. It also owns and operates the Sam's Club retail warehouses in North America. Wal-Mart has 8,500 stores in 15 countries, under 55 different names. The company operates under its own name in the United States, including the 50 states and Puerto Rico. Walton was extremely successful in running the store in Newport, far exceeding expectations. However, when the lease came up for renewal, Walton could neither come to agreement on the existing store's lease renewal nor find a new location in Newport. Instead, he opened a new Ben Franklin franchise in Bentonville, Arkansas, but called it "Walton's...
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...A summary of Wal-Mart’s financial performance in fiscal year 2008 can be found in Wal-Mart’s 2008 Annual Report, which is available on walmartstores.com. Wal-Mart’s fiscal year 2008 ended on January 31, 2008. Unless otherwise stated, references to years in this report relate to fiscal years, rather than to calendar years. Key highlights from the Annual Report are discussed below. Item 1. Revenue Recognition Wal-Mart Stores, Inc. reported record sales for fiscal year 2008. During this period, total net sales (sales net of sales taxes and estimated sales returns) were $374,526 million, which represents an increase of 8.6 percent over the previous fiscal year. Wal-Mart recognizes sales revenue at the time the merchandise is sold to the customers. Two exceptions to this are layaway transactions and gift card purchases. Sales revenue from layaway transactions is recognized when the item is fully paid for and the customer has the item in his/her possession. Sales revenue from gift card purchases is recognized when the card is redeemed. In addition to sales revenue, Wal-Mart also recognized $1,038 million in Sam’s Club membership fees in fiscal year 2008. Sam’s Club membership fee revenue is recognized over the term of the membership. Membership fees that are not recognized are recorded as deferred membership fee revenue (unearned revenue) and are rolled over until the following fiscal year. Item 2. Income Trends for 2004 to 2008 In order to get a better...
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...Analysis CHAPTER LINK: Chapter 5 Profitability and Risk Analysis of Wal-Mart Stores Wal-Mart Stores (Wal-Mart) (www.wal-mart.com) is the world’s largest retailer. It employs an “every day low price” strategy and operates through three principal stores concepts: 1. Wal-Mart Stores: Discount department stores that offer clothing, housewares, electronic equipment, pharmaceuticals, health and beauty products, sporting goods, and similar items. The number of Wal-Mart Stores decreased at a compound annual rate of 4.1 percent and square footage decreased at a compound annual rate of 3.8 percent during the last three years. The average size of a Wal-Mart Store was 95,750 square feet at the end of fiscal 2002. 2. Wal-Mart Supercenters: A full-line supermarket combined with a discount department store. Supercenters represent for Wal-Mart a move to grocery products. Combining grocery products with Wal-Mart’s traditional discount department store offerings attempts to capitalize on one-stop shopping by consumers and to gain efficiencies in product distribution, stocking, and advertising. Compound annual growth rates during the last three years for Wal-Mart Supercenters are 23.6 percent in the number of stores and 24.5 percent in square footage. A portion of the growth in Wal-Mart Supercenters represents conversions of previous Wal-Mart Stores. The average size of a Wal-Mart Supercenter was 185,180 square feet at the end of fiscal 2002. 3. Sam’s Clubs:...
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...| Wal-Mart Employee Retention | What can be change? | 5/3/2013 Contents Abstract 2 Introduction 2 Factors that make employees leave and organization 3 Factors that can retain employees within an organization 4 Wal-Mart 4 Strategies to help with Retention 6 Conclusion 7 References 8 Abstract Employees are valuable assets and retaining employees can be challenging and is a critical issue. Employee retention is a very important part of any organization. There are many problems that cause the turnover rate in the Wal-Mart organization to be very high. This document will show the different factors that cause the turnover and why they leave to seek other employment. It will also provide methods that will improve and lessen the high levels of turnover in this organization. By improving the retention of the organization, in turn it will obtain the employee satisfaction, increase performance, productivity, and quality of work and increase the brand recognition. Introduction Employee retention is a major issue within many organizations that the human resources have to deal with on a daily basis. It is both beneficial to the organization as well as the employee. “Employee retention refers to the various policies and practices which let the employees stick to an organization for a longer period of time.” (Management Study Guide) Many organizations invest time and money to train employees. Whenever an employee decides to leave an organization...
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...Company overview Wal-Mart (WLMT) is the world’s largest retailer and has been at the top of Fortune 500 listing for many years. The company has operations in all 50 United States and Puerto Rico. A broad, Wal-Mart operates in 14 countries with totally owned subsidiaries in Argentine, Brazil, Japan, the U.K, Chile and Mexico with over 9,600 stores under its management worldwide. Founded in 1962 by Sam Walton, Wal-Mart was incorporated in1969 and publically traded on New York stock Exchange in 1972. The headquarters are in Bentonville, Arkansas. Wal-Mart operates retail stores in various formats around the world and is committed to saving consumers money by offering the lowest prices on broad assortment of quality merchandise. “Everyday low prices” is the company philosophy. Like the yellow happy face that bounces through the aisles in its television ads, Wal-Mart is expanding across the world, planting giant supercenters as well as neighborhood scale markets in its continued effort to serve the world over making the company the largest retail company in the world. Sheer size is clearly a factor. “There is no one bigger” says William Cody, managing director of the Jay H. Baker retaining initiative at Wharton. Considering the global recession, we are experiencing today and competition in the retail industry Wal-Mart is doing very well. The simple formula of low-prices and rocket science logistics to back up its operations is the engine for the company success. According to Ira...
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...Wal-Mart is the world’s largest retailer. It is bigger than ExxonMobil, General Motors, and General Electric. It does more business in three months than its number two competitor Home Depot does in a year. Just to help you gauge how large Wal-Mart has become it does more business than Target, Sears, Kmart, J.C. Penney, Safeway, and Kroger combined. They provide many jobs within communities because there are 8500 stores in 15 countries under 55 different names. Wal-Mart’s goal is to provide low prices to its customers no matter what the cost, but behind the scenes how is it really to work for Wal-Mart? Wal-Mart has the highest employee turnover rate of industry, over 50% turnover rate the first year. That means approximately 50,000 employee’s turnover per month. Overall Wal-Mart’s business model doesn’t care about the high employee turnover because it’s not a bad thing to them since it lowers their payroll cost and means that fewer employees qualify for benefits. One out of 7 Wal-Mart employees has no health care coverage since associates must wait one year before qualifying for health care coverage. Also a leaked Wal-Mart memo shows that Wal-Mart employees spend 8% of income on health care which is twice the national average. Part of the high employee turnover rate contributes to the fact that most walmart associates earn below the poverty line. The average walmart employee working “full time” at 34 hrs a week and earning $10.11 per hour will earn $17,874.48 per year....
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...Company Overview Wal-Mart originated in 1969 under the leadership of Sam Walton. Wal-Mart is the largest superstore chain in the United States. Wal-Mart operates 8,000 stores across three business segments of retail stores worldwide that offer a wide array of general merchandise including groceries, apparel, electronics, and small appliances. In addition, the company is the world's largest retailer and grocery chain by sales and just over half of the company's sales comes from grocery items. The company focuses on offering the lowest prices across its business segments. The Company operates in three business segments: Walmart U.S., International and Sam's Club. During the fiscal year ended January 31, 2010 (fiscal 2010), • The Walmart U.S. segment accounted for 63.8% of its net sales, and operated retail stores in different formats in the United States, as well as Walmart's online retail operations, walmart.com. • The International segment consists of retail operations in 14 countries and Puerto Rico. During fiscal 2010, the segment generated 24.7% of the Company's net sales. The International segment includes different formats of retail stores and restaurants, including discount stores, supercenters and Sam's Clubs that operate outside the United States. • The Sam's Club segment consists of membership warehouse clubs in the United States and the segment's online retail operations, samsclub.com. During fiscal 2010, Sam's Club accounted for 11.5% of its net...
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...Wal-Mart’s Compensation and Benefits Challenges Written by Alanna Warren April 22, 2007 HRM-430 Table of Contents Overview of Wal-Mart 3 Background 3 Retail Divisions 3 Awards and Recognitions 4 Challenges and Problems 5 Pay Gap 5 Health Benefits 6 Problems and Affects 8 High turnover rate 8 Lawsuits 8 Solutions 9 Lowes 9 Wendy’s 9 Recommended Strategy 10 Impediments 11 Impact on Wal-Mart and employees 11 Conclusion 11 Works cited 13 Overview of Wal-Mart Background Wal-Mart is currently the world’s largest retailer and largest corporation. Sam Walton founded the company in 1962 with the opening of the first store in Rogers, Arkansas (Time Line, 2007). Wal-Mart stores provide a variety of services and products for consumers. You can find anything and everything you need from a Wal-Mart store for your house. Today you can even get groceries from Wal-Mart Supercenters. It is like a one-stop shop for all the daily essentials. This makes it easier for consumers to get everything they need without having to go to more than one store. In 1969 the company became Wal-Mart Stores, Inc. (Time Line, 2007). Perhaps the most important year for Wal-Mart Stores, Inc was in 1970 because it was the first year their company stock was traded (Time Line, 2007). Another important turning point for them was in 1972 when they were added to list of companies on the New York...
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...Wal-Mart | Telecommunications and Networks | SAN, VoIP, Wireless Networking | Dominique Jordan 10/9/2011 | Save money. Live Better. This is the famous slogan of one of the largest retail chains in the world. When Sam Walton first founded the company he built the company with three basic beliefs in mind. These beliefs are: Respect for the individual, service to the customer, and to strive for excellence. With beliefs like these how could the company fail. I do not think that he had in mind the turmoil the company would endure in the future. Sam tried to stick by his word and tried to stay true to his beliefs but when a company grows, so does its problems. I am currently employed by Wal-Mart and my role in the company used to be training coordinator. As a training coordinator, I facilitated orientations, administer, maintain and oversee facility training by communicating training plans, monitor and track completion of training by Associates, review training reports and communicate training issues to Management. I also communicate Company personnel information and coordinate personnel-related activities by auditing personnel files; entering, checking and processing payroll; coordinating, recruiting, hiring, training and evaluation processes; facilitating training and maintaining personnel and employment documentation. My current role in the company is an operations zone supervisor. Unlike my counterparts that deal with the merchandising of the store, I deal with the...
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...I. The Theme Wal-Mart was built to save people money so they can live better. Hints to their slogan: “Save Money. Live Better.” Their mission has allowed the company to grow around the world. The culture and the values of their employees help strive for success of Wal-Mart while serving over 200 million customers and members each week(Wal-Mart Annual). We strongly believe that Wal-Mart is the best- positioned global retailer and that they will continue to progress. Cost leadership is the corner stone of how Wal-Mart goes to market. Doing our analysis of Wal-Mart Stores, Inc., we gathered our information and different figures from the Hoover’s online through the Willis library’s website, Reuters.com, and Morningstar.com databases which gave us insight to several financial aspects of the firm, including its stock, cash flows, risk, dividends, sales, earnings, debt, and overall performance. II. Business Analysis Profile of the company “If we work together, we’ll lower the cost of living for everyone…we’ll give the world an opportunity to see what it’s like to save and have a better life.” Wal-Mart founder, Sam Walton, summarized his vision back in 1962 for a new type of discount store that consumers would appreciate. As an owner of a much smaller discount store Walton had the experience, did the research, and then put up 95 percent of the startup costs for his new company in which he and his wife truly believed in. The first store opened in Rogers, Arkansas and was...
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...WMT Group 2 Report Date | S & P Value | Last Price | Intrinsic Value | Economic Moat | Recommendation | 11/29/2010 | 1,187.76 | $53.85 | 60.93 | Wide | Hold | I. The Theme Wal-Mart was built to save people money so they can live better. Hints to their slogan: “Save Money. Live Better.” Their mission has allowed the company to grow around the world. The culture and the values of their employees help strive for success of Wal-Mart while serving over 200 million customers and members each week(Wal-Mart Annual). We strongly believe that Wal-Mart is the best- positioned global retailer and that they will continue to progress. Cost leadership is the corner stone of how Wal-Mart goes to market. Doing our analysis of Wal-Mart Stores, Inc., we gathered our information and different figures from the Hoover’s online through the Willis library’s website, Reuters.com, and Morningstar.com databases which gave us insight to several financial aspects of the firm, including its stock, cash flows, risk, dividends, sales, earnings, debt, and overall performance. II. Business Analysis Profile of the company “If we work together, we’ll lower the cost of living for everyone…we’ll give the world an opportunity to see what it’s like to save and have a better life.” Wal-Mart founder, Sam Walton, summarized his vision back in 1962 for a new type of discount store that consumers would appreciate. As an owner of a much smaller discount store Walton had the experience...
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...History Wal-Mart Stores, Inc. was founded by Sam Walton in Rogers, Arkansas. Sam Walton started his retail career as a Management trainee for J. C. Penny. In 1945, he leased a Ben Franklin Franchise dime store, which lead him to open his store called Walton Five & Dime. By 1962, he owned 15 Ben Franklin stores under the Walton Five & Dime name (Hoover’s). His business idea to sell products at low prices, high volume to benefit the consumers, is what led him to open his first Wal-Mart in 1962. Wal-Mart kept on growing and has become the world’s number one retailer company, with more than two million employees, over 4,000 stores in the US and 6,000 international locations in 26 countries. Type of business Wal-Mart is a retailing business, a multinational corporation that runs a chain of department stores and warehouse stores. The company has three divisions; Wal-Mart Stores US, Sam’s Club and Wal-Mart International. The biggest division is Wal-Mart US because it includes Wal-Mart discount stores, Neighborhood Market by Wal-Mart, Wal-Mart Supercenter, Marketside and Supermercado de Wal-Mart. The most important process for the company is the management of its supply chain. Wal-Mart has been successful with its operations due to the effectiveness of its logistic policies. The company has expanded throughout the world by efficiently using technology to manage and record the movement of their inventory. Business Strategies and Corporate Strategies Wal-Mart has been...
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...unfamiliar with Wal-Mart. Headquartered in Bentonville, Arkansas, with more than 10,150 Wal-Mart stores and clubs worldwide, the company continues to grow and expand. It also owns and operates Sam’s Club, a retail warehouse club for members only. The company sells a wide variety of products from household products, electronics, clothing, toys, jewelry, and also grocery items. The company also provides services such as pharmacy, check cashing, automotive repair, hairstyling, manicures, and pedicures. The store is a giant one stop shop. The convenience of having all these products and services in one place and the low competitive prices that Wal-Mart offer is pretty hard to beat. Wal-Mart will also match the price (with the advertisement) of products sold for less by other retailers. Due to the broad range of products and services offered by Wal-Mart, their customer base consists of both genders and all age groups, which in turn enables the company to serve over 200 million consumers a week worldwide. There is something for everyone at Wal-Mart. In the retail market Wal-Mart is a force to reckon with, putting many local mom and pop stores out of business. Large companies like Target and K-Mart are continuing to restrategize their competitive edge in order to contend with the multi-billion dollar business. Wal-Mart’s existence into the retail market and low prices reduced K-Mart’s profit margin to almost nothing. Competing with the prices of Wal-Mart left K-Mart in a huge disadvantage...
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...Looking Into WAL-MART The Company Every week, 100 million customers visit Wal-Mart stores worldwide, making it the world’s largest retailers. A leader in the discount industry, Wal-Mart posted $218 billion in sales last year as it continued to specialize in selling discounted household goods. The company has 1.3 million employees working at 3,200 locations in the United States and 1,100 locations in Mexico, Puerto Rico, Canada, Argentina, Brazil, China, Korea, Germany, and the United Kingdom. Wal-Mart aims to instill its logo, “Everyday Day Low Prices” in each and every division. Currently the company is broken down into four divisions: Wal-Mart Supercenters, Discount Stores, Neighborhood Markets and SAM’S Club Warehouses. The magnitude and global presence of Wal-Mart allows it to be a dominant player in the retailing market place. It is essential that fundamental relationships within the industry and the company’s environment need to be analyzed in order to efficiently evaluate the correct market price for the company’s stock (WMT (NYSE)). Industry Outlook Household products, retail drugs stores, and personal care segments are expected to produce above-average revenue growth and increase market share in the coming months. The uncertainty between the U.S. and global economies should not affect the sector because many of the products are basic necessities. The retail sector is expected to perform in line with the overall market in the next 6-12 months...
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...1. Read the above attached document. 2. Complete Experiential Exercise 4A, Step 1, page 128. Please note that the instructions guide you to “Table 4-7”. As this instruction is a typo in the text, please replace it with “Table 4-6”. Once you have found “Table 4-6”, please complete the first 18 ratios and then 2 of your choice form the remaining ratios (this will equal the twenty required in the Assurance of Learning Exercise). Financial ratio analysis is one of the best techniques for identifying and evaluating internal strengths and weaknesses. Potential investors and current shareholders look closely at firms’ financial ratios, making detailed comparisons to industry averages and to previous period of time. Financial ratio analyses provide vital input information for developing an IFE Matrix. Step 1: On a separate sheet of paper number from 1 to 20. Referring to McDonald’s income statement and balance sheet calculate 20 financial ratios for 2008 for the company. Use Table 4-6 as a reference. |Ratio |How Calculated |What is measures | |Current Ratio |Current Assets/ Current Liabilities |The extent to which a firm can meet its short| | |=3517.6/2537.9=1.39 |term obligations | |Quick Ratio ...
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