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Walmart Just Made A Change
Walmart Just Made A Change
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As part of its strategy to adapt to pandemic times, Walmart is making some major changes to the way it
runs its Supercenters: The company is introducing a new team-based operating model--and giving pay
"During this trying and uncertain year, one thing has remained a constant: Our associates have done an
incredible job serving customers and making a difference in their communities," writes Dacona Smith,
chief operating officer of Walmart U.S. "They've gone above and beyond to make sure customers have
access to the items they need while making health and safety a top priority."
Smith calls the new operating model "the next steps" in a series of company investments in associates'
pay, benefits, training, and career opportunities. "We're investing in new roles and skills training to give
us the flexibility to serve customers anytime and anywhere," says Smith. "In turn, associates will have
Cross-training small teams of associates, who can then better offer support during busy shifts or for
A new pay structure and higher pay for team leads and about 165,000 hourly employees
The previous position of "co-manager" has now become the "store lead," who is responsible for the store
when the manager is away. The "assistant manager" role has become the "coach," who is responsible for
financials, merchandising, staffing, and talent for a large area of the store. And "department managers"
are now known as "team leads," whose responsibilities include setting goals and priorities for small teams
of associates.
The new wage ranges for hourly team lead roles will start between $18 and $21 an hour, with wages
reaching up to $30 an hour in Supercenters. Additionally, Walmart announced it is raising wages for
approximately 165,000 "skilled frontline hourly positions" across U.S. stores, with minimum wage for
hourly associates in the deli and bakery areas increasing from $11 to $15 an hour (or higher).
Of course, there's no way to know in advance how well Walmart will execute on its new plans. But the
basic blueprint sends a great message to employees, one that's founded on sound business strategy
and emotional intelligence.
company's new "team lead" position, which takes the place of the former "department manager":
These associates will lead and develop people, rather than focusing on
completing tasks, giving associates a more direct connection to
leadership.
Bad managers typically spend most of their time putting out fires, and use their people to do the same.
They go from one crisis to another, and seem to always be behind the curve.
In contrast, great managers take more of a leadership role. They focus on developing people instead
of managing tasks. They help their people to think critically, teaching principles instead of rules. Then,
they give their people the freedom to make decisions, and even to make mistakes--knowing that those
As a result, they develop people who make good decisions, and help prepare them for greater
coach:
Assistant store manager: Responsible for merchandising plans for their specific area
Coach: Responsible for financials, merchandising, staffing, and talent for a larger area
In the new role, coaches have a much broader area of responsibility. Some may see this type of increase
in scope as overwhelming, but it has great potential for helping company leaders: Instead of getting
trapped in silos or developing a limited perspective, such leaders are gradually trained to see the big
picture. They begin to think more critically, to understand how different areas of the business relate to
each other--and how to use resources in one area to solve problems in another.
(My Inc. colleague Jessica Stillman did a great job of highlighting this skill in a recent column.)
appreciation are made more effective by Walmart's promise to increase pay for around 165,000 hourly
Sincere and specific words of praise can go a long way in keeping your employees motivated. But you
Sincere and specific praise that's backed up--with a reward for their efforts.
So, if you're running a business or leading a team, remember: People over tasks. Breadth over depth.
Inc.