HRM Term Paper Group 2

Human Resource Management at Walmart

Presented by: Aditya Raut, Atri Gulati, Deepak, Mayank Joshi,

Nandeesh Kumar, Shubham Gupta, Yatin SIngh
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Table of Contents
WALMART’S HUMAN RESOURCE PLANNING ................................................................................... 2

JOB ANALYSIS AND JOB DESIGN AT WALMART .................................................................................. 3

WALMART’S RECRUITMENT STRATEGY ................................................................................................ 4

SELECTION: STEPS IN THE SELECTION PROCESS AT WALMART ................................................. 4

WALMART’S EMPLOYEE RETENTION STRATEGY ......................................................................... 5

PERFORMANCE MANAGEMENT AT WALMART .................................................................................... 5

WALMART’S COMPENSATION STRATEGY ........................................................................................ 6

WALMART’S BAD BUSINESS PRACTICES ............................................................................................ 3

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Walmart Inc. (formerly Wal-Mart Stores, Inc.) is an example of successful large-scale human
resource management, with millions of employees working in the company worldwide. In
terms of organizational scale, business value, and financial performance the corporation is one
of the largest in the world. The company ensures its human resources are supported in meeting
business needs and expectations.

WALMART’S HUMAN RESOURCE PLANNING

Human resource planning at Walmart is stratified around the policies and solutions generated
and implemented. For example, HR training takes place at the top management level within
the corporate human resources department. Nevertheless, the company is a large organisation.
Every store has its own HR Admin team. As a result, each store is converted into the general
human resource plan from the Corporate HR department. The management approach for
human resources at the shop has varying interpretations. These differences mean that actual
human resource planning takes place at different levels of Walmart's organization.

As for forecasting, Walmart uses special methods to automate the process of determining
movements in the workplace. For example, the firm obtains data about its staff or the
workforce from its stores. The data is fed into the central database and collected and analyzed
in order to expose trends in the company's human resources and related organizational needs.
Through this forecasting framework, Walmart anticipates possible future shifts in the
workforce, such as changes in HR demand by season or region. This condition contributes to
the organization's versatility regarding human resources.
Walmart uses its information system to determine which regions or parts of the organization
will be facing increased demand for human resources and which areas will not be needed.
The HR plans specify the number of employees expected and the planned higher recruiting
rates, as well as adjustments in specific retail business areas.

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WALMART’S BAD BUSINESS PRACTICES

Wal-Mart had been blamed on several accounts for the poor wages. Why do staff suffer every
year at one of the big retail stores making billions of profit? Wal-Mart is ranked among the
top 100 companies by Forbes magazine yet most of its employees work on an average of less
than $250 a week. Full time workers were charged between $6 and $7.50 an hour. About one-
third of part-time employees are limited to up to 28 hours of work per week and are not
eligible for benefits. The pay scale is bringing them and their families below the poverty line.
They are being demotivated by the lack of incentives and discouraged from doing well.

Wal-Mart reported a net income of $11 billion last year but was unable to fix some of its
contentious activities at work. Wal-Mart has been prosecuted in over 5,000 lawsuits over
poor employment policies, such as insufficient health care, violations of wage regulation,
exploitation of workers and their anti-union corporate stance. However, the trend to expand
operations to overseas markets, including building factories in emerging markets such as
Bangladesh and China, was driven by a desire to take advantage of cheap labour.

Another complaint was lack of work allowance. The part-time worker is limited to up to 28
hours of work per week and is not eligible for benefits. For fact, employers who qualify for
benefits pay way beyond the odds of receiving health insurance and other bonuses. The
company has also been blamed for failing to provide employees with fair access to health
care, and the workforce is overburdened. Employees paid 36 per cent of overall costs in 1999.
In 2001 the workload of workers rose by 42 per cent.

JOB ANALYSIS AND JOB DESIGN AT WALMART

Walmart uses the same approach when assessing employment. This approach involves
interviews and surveys to identify issues and needs of candidates, employees and supervisors.
Walmart's goal is to align real needs with human resources available, and identify potential
differences between the two.

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WALMART’S RECRUITMENT STRATEGY

Walmart's recruitment strategy uses different new hire outlets. The recruiting aspect of human
resource management at the company has a decentralized system that uses local information
as the basis for recruitment procedures, taking into account the company's broad
organizational size and diverse workforce. Walmart's strategies include online recruiting,
direct local recruitment and recruitment by academic institutions in its recruitment strategy.
These HR strategy approaches to hiring provide for a variety of applicants.

SELECTION: STEPS IN THE SELECTION PROCESS AT WALMART

The screening process of Walmart is based on the ability of applicants to handle product
purchases and control human resources. Moreover, the following method relates specifically
to the retail situation:
1. Background check. This requires educational background and work experience. This
phase evaluates the applicant's capacity for meeting the demands of the job. The
candidate must have the qualifications required to attain the expected results of the
work.
2. Knowledge, skills, and abilities evaluation. The applicant's experience, expertise, and
abilities must enable the job role to be fulfilled, based on Walmart's criteria.
3. Person-organization fit evaluation. Workers must fit in with the company's
organizational climate. For the long-term career growth, the applicant's values must
suit those of the organization. The purpose is to get the workers and the business into
line.
4. Assessment of the applicant’s willingness to work at the company. Among other
factors, the applicant must be polyvalent enough to add to the company's
organizational flexibility.

Throughout Walmart, job performance is measured by several means. In this case, the
following HR activities suit:

1. Appraisals matched with standards of the organization

2. Feedback from managers, supervisors and colleagues

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3. Productivity based on records

4. Individual employment record
5. Personal interview results

WALMART’S EMPLOYEE RETENTION STRATEGY

Walmart maximizes employee retention to reduce the financial losses related to the turnover.
Higher turnover leads to a greater financial loss, despite human resource spending on
recruiting, selection, and training. The productivity of workers at Walmart is accomplished
through the implementation of techniques. The following employee retention strategies are
applicable:

1. Recognition based on the employee’s performance

2. Benefits based on the employee’s status or position
3. Incentives based on the employee’s status or position

PERFORMANCE MANAGEMENT AT WALMART

A performance evaluation program is part of Walmart's performance management. This
system gives the staff feedback on their level of performance. The company also provides
feedback to its staff on how to improve their efficiency. The organization also uses human
resource management software which analyzes individual and team performance levels. The
principal concern of the organization is to raise revenue from sales. Walmart uses
performance reviews to provide additional assessment material. These interviews are
performed in such a way that staff growth is routinely tracked. Occasionally, the interviews
allow the company to obtain feedback from employees.

Measures and criteria are used to determine whether the company's human-resource
efficiency is adequate. The company has a set of standards for every measure of performance.
Specific HR practices are used for specific areas of the business. In Walmart's case, the
following performance measures suit:

1. Effectiveness of processes

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2. Efficiency of processes
3. Quality of customer service
4. Timeliness of supply chain activities
5. Productivity of sales personnel
6. Walmart encounters performance problems

WALMART’S COMPENSATION STRATEGY

That would mean a stratified strategy. Pay is based on the level of work according to the
organisation's structure. Compensation is also based in part on the worker's performance. The
mix includes pay grades and levels corresponding to the different positions of jobs in the
business. Reward programs by Walmart are tremendously successful. The company's
performance in revenue is a cornerstone.

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REFERENCES

http://panmore.com/walmart-human-resource-management-hr-management

https://hrretail.wbresearch.com/walmart-largest-workforce-employee-management-strategy-
ty-u

https://studydriver.com/walmarts-strategic-human-resource-management/

https://writepass.com/journal/2017/02/walmarts-key-hr-functions-underperforming/

https://www.icmrindia.org/casestudies/catalogue/Human%20Resource%20and%20Organizati
on%20Behavior/Good%20and%20Bad%20of%20Wal-Mart%20Culture-
Human%20Resource%20Management%20Case%20Studies.htm

https://www.ukessays.com/essays/management/case-study-of-human-resources-management-
at-walmart-management-essay.php