Htoo Wai Lin Aung

Diploma in Business Management and Administration

The Process of Management

Wal-Mart’s Management Process

Assessor

Tr. May Thiri Khit Oo

 Table of Contents

Page
1. Introduction 1

2. Functions of Management Process 1

3. What is Wal-Mart, Inc.? 2

4. Management Processes at Wal-Mart 2

4.1 Planning Management at Wal-Mart 2

4.2 Organizing Management at Wal-Mart 3

4.3 Leading Management at Wal-Mart 4

4.4 Controlling Management at Wal-Mart 5

5. Conclusion 6

References
1. Introduction

Management is a process that brings scarce human and material resources together and
motivates people to achieve common organizational goals. It is not a one-time act but an ongoing
progression of complementary activities. Management measures are taken to make economic and
efficient use of human resources, machine, money, and resources. The functions of management
are a systematic way.
Management functions include the management and staffing of managers to effectively
achieve business goals. There are four management functions. They are planning, organizing,
leading and controlling. All of the world's top successful businesses have systematic and critical
management processes. Nowadays, Wal-Mart, Inc. is one of the most successful businesses in
the world. Therefore, I would like to present the prominent management process of Wal-Mart,
which is famous in the world.

2. Functions of Management Process

The functions of the management process help the work of the managers to focus on their
efforts to achieve productive results. The following are four common functions of the
management process:

 Planning: Planning is about goals. It sets the direction for action from decisions and
other approaches to the future.
 Organizing: An organization is a formal structure of positions or roles for people to fill
in an organization.
 Leading: It is a skill that can influence people for a specific purpose or reason.
 Controlling: Control is the key function of management to balance and improve the
overall performance of an organization.

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3. What is Wal-Mart, Inc.?

Wal-Mart, in full Wal-Mart, Inc., formerly Wal-Mart Stores, Inc., American operator of
discount stores that was one of the world’s biggest retailers and among the world’s largest
corporations. Company headquarters are in Bentonville, Arkansas. In 1962, the first Wal-Mart
store was founded by Sam Walton in Rogers, Arkansas. By avoiding the direct competition with
the Retail stores such as Sears and Kmart, it focuses on its early progress in rural areas.
As the company grew and prospered, the company developed new retail models,
including Sam's Club Discount Warehouses (1983) and Wal-Mart Supercenters (1988). Wal-
Mart became the largest retailer in the United States in 1990 by emphasizing quality control,
customer loyalty, cost control, and efficiency in its distribution networks.
Wal-Mart has starts with a small single discount store, but 50 years later, it’s become the
world's largest retailer. Customers and members are visited and purchased on the following
10,500 stores and clubs that are opened under 24 countries and 48 banners of ecommerce
websites every week. With revenue of $ 559 billion in fiscal 2021, Wal-Mart employs more than
2.3 million people worldwide.

4. Management Processes at Wal-Mart

Wal-Mart is a combination of leadership, innovation and success. Wal-Mart operates all

products from its stores and stock, enabling them to process payments with the same idea,
providing them with affordable and superior customer service. Promotion can be reduced in
prices. They were invested in their unique cross-docking inventory system. The company looks
to its founder, Sam Walton for a company "purpose”: “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.” Below are some of the successful management processes used by Wal-Mart.

4.1 Planning Management at Wal-Mart

Planning is the process of determining the goals of an organization and defining plans for
its success. The plan is a detailed blueprint for goal achievement, with the required resource
allocation, schedules, defines tasks and other functions. Successful organizations in business
need to use a variety of planning to achieve the goals of senior management. Wal-Mart has a

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number of planning processes in place to manage multiple management plans to achieve its goals
and objectives. It absorbs legal issues, ethics and corporate responsibilities into its management
plan. At Wal-Mart's strategic planning stage, they are highly prudent.
Wal-Mart has developed innovative planning programs that help the company understand
what they want to achieve and what to focus on along the way. One thing that can never fail its
focus is Wal-Mart's drive to always make sure that they are always one of the most valuable
companies. Wal-Mart will continue to push the value button by using the company's size to push
vendors for better product costs. As Wal-Mart gets on the road to success, its strategy also
improves. One of the strategic plans is to calculate our approach to get more customers to buy
when in store. Wal-Mart always considered new ways to attract the customer in the store. So
they came up with a solution that could improve account management and supply chain
management. So the products are designed to be put on the shelf so that customers can buy them.
As the company gained momentum in the retail sector, it became a major target for legal
issues. Therefore, new legal planning processes have been added. Corporate responsibility also
affects Wal-Mart's management plan. Wal-Mart has a great reputation for corporate
responsibility. Wal-Mart makes donations where needed around the world. Wal-Mart also has a
green goal. Their environmental goal is to supply 100% renewable energy, to make zero waste
environments and to sell our products that conserve our natural resources and the environment.
As a socially responsible organization, their management plan in this area is unique.

4.2 Organizing Management at Wal-Mart

Wal-Mart’s organizational structure and management determine the company's

operations. Now, the business is mainly in the retail business, including operating in the e-
commerce market. The organizational structure of the company sets limits on how the business
handles its problems. Structural features facilitate the company's strategic implementation in
gaining a large share of the retail market. Wal-Mart’s organizational culture determines how
people respond to workplace challenges.

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 The organizing functions managed within Wal-Mart are the result of executive authorities
and their management, the roles and responsibilities offered by the employees and the effort that
the whole company put forward into it. Organizational strategies are based on factors such as
physical assets, financial position, human resources, knowledge and technology. Wal-Mart
effectively manages its physical assets in a way that lowers the prices of its products and
services, maximizes profits, and increases customer satisfaction compared to other competitors.
Wal-Mart has gained valuable insights into various demographic data through its internal
and external data centers. These demographic ratios include population, age, location, density,
and unemployment. The company is responsible for the selection or loss of any technical
product, control assets and accounts using online technologies and updating information
collection intermediaries. The company plans strategic actions to address technical issues, such
as updating advertising products.

4.3 Leading Management at Wal-Mart

Wal-Mart's business strategy is an ongoing process. The company employs different

employees to create sustainable strategies. Stakeholders attract leaders and customers. Innovative
strategies are often guided by the needs of stakeholders. After designing the best strategy, Wal-
Mart managers use a variety of platforms to make employees more aware of it. This goal is
achieved through the use of email and training programs.
Departmental leaders provide guidance to staff to support the target strategy. They also
provide strength training. The company identifies the most appropriate resources and human
capital to drive performance. Training and team building play a positive role in informing
employees of the unique features of the proposed strategic process. Leaders are always
encouraged to communicate their goals to employees. Supervisors at the company evaluate the
success of each strategy.

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 The company's leadership focuses on capacity building. The organization utilizes
powerful training approaches and guidance programs to guide employees. Employees and
marketers are equipped with the most attractive features that drive performance. Customers and
staff are always encouraged to submit their reviews. These analyzes are used to identify changes
and new developments that will sustain each strategy. These plans make it clear that leadership
skills are an important practice in creating and implementing the most desired business
strategies.

4.4 Controlling Management at Wal-Mart

The company's goal is to provide consumers with quality products at a fair price. Super
Wal-Mart stores are selling foods, clothing and also necessary sets in the equipment and living.
There is also a fully staffed pharmacy that gives full service to customer in the entire branch to
make a truly one-stop shopping experience.
One of the control mechanisms at Wal-Mart is pricing. Wal-Mart is a leader in pricing.
Other retailers may not be able to sell a product that is lower than Wal-Mart, and if a retailer
advertises it at a lower price, Wal-Mart will match and win easily. Because Wal-Mart has a
strong buying power to point out to sellers what the store has to pay for specialty products. Even
if the sellers are pharmaceutical companies. Wal-Mart has the best program for consumers
without health insurance. The program has saved significant low-income seniors that seniors can
now spend in the store. Wal-Mart engages its customers this way and collects rewards.
Second, Wal-Mart ensures that it has a distribution center close to its stores. This is a way
to ensure that they can be delivered to their stores in a day. They also make full use of high
technology system. So, they can easily communicate between stores, distribution centers and
suppliers. The system orders for goods were collected and orders were made, and the company
was able to purchase the full amount of the truck without incurring inventory fees. Distribution
controls also show how financial controls can help balance that.

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 The other one is the balance sheet. This report is effective for Wal-Mart as it provides a
timely picture of the company's financial position. They can easily see if they are making a
profit, losing a profit, or breaking even by keeping this balance sheet. This statement shows the
total assets of the company, such as assets or liabilities.
Bureaucratic Control is the use of rules, regulations and authority to guide performance
and includes budgets, statistical reports, and performance reviews to regulate behavior (Bateman
& Snell, 2009). In looking at performance reviews, which is an amazing tool that helps you to
see what is going on in the business, right or wrong. Wal-Mart employees are also monitored to
ensure that staffs provide the services that Wal-Mart expects customers to provide. Wal-Mart
places its employees in the perfect direction and lets each employee know what it means to work
for Wal-Mart. The training of their staff is constantly evolving to provide them with the
resources and tools they need to climb the ladder of success throughout the business.

5. Conclusion

Wal-Mart focuses on their competitive priorities to bring customers the lowest prices
through bulk sales. The wide range of sizes and choices will get what customers want in the
store, and the store is guaranteed to be cheaper than the competition. To facilitate the
achievement of their goals, Wal-Mart has designed their layout to suit multiple customers
simultaneously. Spacious stores with wide streets are being built to allow more people to shop
comfortably at the same time. Wal-Mart offers everything from inventory to state-of-the-art
equipment that speeds up payments. They provide better customer service with the same idea.
Frequent sales promotions can also be reduced and sales can be more predictable. Wal-Mart has
invested heavily in its unique cross-docking inventory system. Cross docking provides some
relief from Wal-Mart's initial selling costs. With this system, goods are continuously delivered to
stores within 48 hours and often without having to inventory them. With such good management
processes, there is no doubt that Wal-Mart is one of the leading companies in the world.

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