Evaluation of Business Operations – Walmart
MGT416 OPERATIONS MANAGEMENT A02
Founded by Sam Wilton in 1962
Headquarter is in Bentonville, Arkansas
More than 11,000 stores under 69 banners in 27 countries
2.2 million associates worldwide
More than 200 million customers
Largest public corporation based on revenue (Fortune Global 500, 2008)
A structure of task and reporting relationship between employees
Type of Organizational Structure:
Product Divisional Structure at 3 levels:
Wal-Mart Stores (United States)
Sam’s Club (United States)
Separate business units
Individually responsible for profit and loss
Divided into three parts:
Fewer layer of management
Management positions in hierarchical order
Centralized decision making on critical issues
Defines role & relationship
Increases management efficiency
Critical issues handled by top management
Wider exposure in division structure
Less inter-departmental communication
Good for large organizations
Organizational Functions affecting Organizational Structure
Organizational Design affecting Organizational Structure
Product divisional structure
Decisiveness of organizational functions & organizational design on organizational structure
About Us: Wal-Mart. Retrieved March 27,2014, from http://walmartstores.com/AboutUs/
Organization and Organizational Structures (2008). Retrieved March 27,2014, from http://www.studiesfaction.com/management/11-organization_and_organizational_structures-page1.htm
Lennon, J. (2008, May 28). The Organizational Structure of Starbucks, Unilever, and Wal-Mart. Retrieved March 27,2014, from http://www.associatedcontent.com/article/782963/the_organizational_structure_of_starbucks.html?cat=3
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