FACULTY OF LIBERAL STYDUES

BBA HONOURS
SEMESTER: - 5
DIVISION (A)

Submission of project of IHRM (WALMART.Inc)

For academic year
2021-2022

Submitted by
Chintan Ramnani(91900425139)
Parth Parmar(91900425019)
Nakul Changrani(91900425129)
Submitted to Professor Dr. Muklesh Kumar Tiwari
Introduction:

Walmart Inc. is an American multinational retail corporation that operates a chain of

hypermarkets (also called supercenters), discount department stores, and grocery stores from the
United States, headquartered in Bentonville, Arkansas. The company was founded by Sam
Walton in nearby Rogers, Arkansas in 1962 and incorporated under Delaware General
Corporation Law on October 31, 1969. It also owns and operates Sam's Club retail warehouses.
As of July 31, 2021, Walmart has 10,524 stores and clubs in 24 countries, operating under 48
different names. The company operates under the name Walmart in the United States and
Canada, as Walmart de México y Centroamérica in Mexico and Central America, and as Flipkart
Wholesale in India. It has wholly owned operations in Chile, Canada, and South Africa. Since
August 2018, Walmart holds only a minority stake in Walmart Brasil, which was renamed Grupo
Big in August 2019, with 20 percent of the company's shares, and private equity firm Advent
International holding 80 percent ownership of the company.

Walmart is the world's largest company by revenue, with US$548.743 billion, according to the
Fortune Global 500 list in 2020. It is also the largest private employer in the world with
2.2 million employees. It is a publicly traded family-owned business, as the company is
controlled by the Walton family. Sam Walton's heirs own over 50 percent of Walmart through
both their holding company Walton Enterprises and their individual holdings. Walmart was the
largest United States grocery retailer in 2019, and 65 percent of Walmart's US$510.329 billion
sales came from U.S. operations.

Walmart was listed on the New York Stock Exchange in 1972. By 1988, it was the most
profitable retailer in the U.S., and it had become the largest in terms of revenue by October 1989.
The company was originally geographically limited to the South and lower Midwest, but it had
stores from coast to coast by the early 1990s. Sam's Club opened in New Jersey in November
1989, and the first California outlet opened in Lancaster, in July 1990. A Walmart in York,
Pennsylvania, opened in October 1990, the first main store in the Northeast.

Walmart's investments outside the U.S. have seen mixed results. Its operations and subsidiaries
in Canada, the United Kingdom, Central America, South America, and China are successful, but
its ventures failed in Germany, Japan, and South Korea.
Walmart’s HRM: Recruitment, Selection,
Employee Retention

Walmart’s human resource management addresses recruitment needs using different recruitment
sources and methods suited to different positions in the organization. The company also uses
retail industry-specific criteria in its selection process. To optimize employee retention,
Walmart’s human resource management strategy includes a continually evolving compensation
program, together with employee-relations management and career development. The firm’s HR
managers also use other approaches to improve morale and motivation in the workforce.
Through this combination of approaches and strategies to address business needs in recruitment,
selection and retention, Walmart’s human resource management effectively maintains adequate
human resources to support the firm current retail operations and planned future global
expansion.

Walmart Recruitment Practices

Recruitment Sources.
Walmart’s human resource management uses internal and external recruitment sources for various
positions. The use of internal recruitment sources focuses on current employees to fill open or new
positions at Walmart. External recruitment sources have the benefit of accessing the labor market to
address the human resource management objectives of the firm. This combination helps ensure that
Walmart is flexible enough in satisfying its HR needs.

Walmart’s uses different types of internal recruitment sources. The following are the most
significant in the company:

1. Current employees
2. Trainees
3. Transfers
Current employees are a recruitment source especially for supervisory and managerial positions. For
example, Walmart’s human resource management supports the promotion of hourly sales employees to
managerial positions. About 70% of the company’s managers started as hourly sales employees and were
promoted to their current positions. Walmart uses current employees as the biggest internal recruitment
source. The company’s human resource management also uses on-the-job trainees as an internal
recruitment source.

There is only a small population of trainees working for Walmart, such as in positions in sales and
marketing. Occasionally, the firm absorbs trainees in the positions for which they trained. This approach
has the advantage of minimizing additional human resource management spending and ensuring person-
job fit. In addition, transfers are used to temporarily fill positions at Walmart, based on current short-term
HR needs. In this human resource management approach to recruitment, some current employees are
transferred to other positions or locations to fill gaps in the workforce. Walmart sometimes uses transfers
to satisfy high HR needs during Black Friday.

Walmart’s human resource management uses various external recruitment sources. The
following are the most significant for the firm:

1. Respondents to job advertisements

2. Campuses
3. Previous applicants

Respondents to job advertisements are the biggest external recruitment source used at Walmart. The
company’s website is the main human resource management portal for this recruitment source. Job
openings are regularly posted on Walmart’s corporate website for interested applicants. This recruitment
source has the benefit of minimizing costs in reaching applicants. In addition, the firm’s human resource
management has recently emphasized campuses as a significant external recruitment source. In particular,
American Public University (APU) entered an agreement with Walmart to give academic credits to the
company’s employees, based on duration of employment and performance reviews. This strategy
promotes APU, while also improving Walmart’s human resource management ability to reach out to APU
students interested in working at the company. Thus, this external recruitment source increases the firm’s
reach into the labor market. Previous applicants are a less significant external recruitment source used at
Walmart. The company’s human resource management objective in using this source is to maximize cost-
effectiveness of recruitment. Many of these previous applicants were already evaluated but were not hired
or did not pursue employment at Walmart. Thus, in using previous applicants as an external recruitment
source, the company does not need to perform another extensive evaluation of these workers, thereby
helping to maximize the cost-effectiveness of human resource management.
Recruitment Methods.

Based on the recruitment sources used at Walmart, the corresponding recruitment methods are direct and
indirect. In using direct methods, the company directly contacts prospective employees. For example,
Walmart occasionally recruits at/through campuses. The firm’s human resource management contacts
students who might be interested to apply for job openings. The benefit of this method is that it allows
Walmart to speed up the recruitment process instead of waiting for applicants. The method also enables
the company to apply certain criteria in selecting students to contact. For example, representatives of
Walmart’s human resource management can contact students in business-related degree programs for
supervisory or managerial job openings. However, the direct method of recruitment is disadvantageous
because it limits the population of potential recruits.

In using indirect methods of recruitment, Walmart’s human resource management objective is to reach
out to a larger population of workers. These methods include advertisements on the company’s website
and on other media. Indirect methods of recruitment provide the majority of Walmart’s human resources.
These advertisements have a global reach, thereby providing large-scale support for the company’s HR
needs. Also, indirect methods can be cost-effective. In using its corporate website for the job
advertisements, Walmart minimizes human resource management costs in the aspect of recruitment.

Selection Process at Walmart

Selection Criteria.

Walmart’s selection criteria depend on the job position. Basic criteria include education and training
background and results of criminal background checks. For hourly sales positions, Walmart uses
knowledge retention (e.g. on product details) and interpersonal skills. Interpersonal skills are essential for
these positions because sales personnel directly communicate with customers. Walmart’s human resource
management also uses analytical and problem-solving abilities and conflict management skills for
supervisory and managerial positions. Supervisors and managers are expected to analyze and solve
problems, and resolve conflicts in the workplace.
Methods & Techniques.

Walmart’s human resource management uses structured interviews and job knowledge
evaluation for most job positions in the organization. Structured interviews are used to determine
details like the applicant’s perspective and expectations about Walmart. This information
determines the person-job and person-organization fit. Walmart also uses personality tests and
situational judgment tests for many positions, although these tests are typically used for
managerial positions, especially for positions in human resource management, finance and
others. Personality tests help in deciding whether the applicant could function well in the context
of the company’s culture and nature of business. Situational judgment tests determine analytical
and problem-solving abilities. These different tests ensure a comprehensive human resource
management approach for the selection of workers throughout the global structure of Walmart.

Walmart’s Employee Retention Programs

Employee retention is a critical concern for Walmart because the company suffers from
relatively high turnover, especially among hourly sales employees. To address this situation, the
company’s human resource management uses the following retention strategies:

1. Recognition
2. Bonuses
3. Training and development
4. Promotions
5. Academic credit

Walmart gives non-financial recognition for excellent employees, such as top-performing

employees in each store. Bonuses are based on business performance, although this strategy is
usually used for managerial positions. Walmart’s human resource management includes
promotions and training & development to support the company’s HR needs and increase
employee morale. The company promotes hourly sales employees to supervisory, then to
managerial positions. The firm’s agreement with American Public University to give academic
credit for work experience at Walmart is a long-term retention strategy for employees pursuing a
career to climb the company’s corporate ladder.
PERFORMANCE MANAGEMENT
All Walmart outlets in the US and other geographic locations. When evaluating performance, there are
standards and measurements at Walmart used (Phillips & Rozworski, 2019). This is to mean that
performance appraisal blueprints are used covering how customer service should be offered,
productivity and profit ratios. The performance criterial at the company highlights on theeffectiveness of
operation processes, the productivity of procedures at the company, efficiency of the supply chain,
customer service quality and effectiveness of the sales team. Based on the set blue print, performance
calibration are done to help the managers undertake fair and honest performance evaluation. The sales
team are calibrated are average or below average based on thesale volume, customer service
department is calibrated based on customer feedbacks and repeat purchase while supervisors and top
level managers are calibrated on a scale of 1-10 with 1 being poor performance while 10 being excellent
performance. Data from performance evaluation is used to help improve productivity and help achieve
short and long term business goals. From the collected data, performance interviews are done to give
more insight into evaluations and help understand the gaps that hinder the achievement of the business
goals. Through the interview, thehuman resource manager evaluates employee growth and
development and propose possible improvement areas for the benefit of both the employee and the
organization. This is then applied in promotions, career growth and development, and workforce
management.

At Walmart, performance is measured after the first 3 months followed by an annual review, usually the
anniversary of the hiring date. This process fit into the bigger business cycle since the business goals are
achieved by aligning performance management at Walmart with the overall corporate strategy. As a
result, the human resource managers are able to plan and create frameworks that measure and assess
employee effectiveness. To achieve performance management objectives, managers and employees at
Walmart have engaged in continuous dialogue to create an atmosphere of trust, motivation, and
support both social and economic. There is a need to create sustainable relationship between the
employee and the company to increase productivity.

Improvement Options

Behavior approach:
This assessment approach considers what the employee does on the job and disregards the traits
or results of their behaviours. It is process-oriented since it focuses on how the job functions are
done (Pulakos, Mueller-Hanson & Arad, 2019). It links employee performance with achieved
goals which ultimately makes it easier to make decisions and assess organizational goals. Due to
its reliability and accuracy, employees are satisfied.
Results Approach:
The approach focuses on outcomes and results achieved. It does not consider how the job is done
or individual employee traits. An example of a result-oriented performance management system
is the balanced scorecard. This approach points out that workers are competent in the needed
behaviour.
Trait Approach
: Trait approach focuses on the individual employee performance and ignores the overall
organization performance or situation. Traits revolve around leadership ability, loyalty, ethical
concern, and adaptability to the working environment.

Walmart's Compensation Strategy

Walmart’s compensation strategy is mostly using base pay that follows the market rate.
Employees get paid by hours they worked. Pay rates are different and depend on the job position
and working department relative to the organizational structure. Walmart uses job evaluation
systems to provide internal equity and determine the basis for wage rate. They evaluated the
worth of each job in terms of its skills, knowledge, responsibility or duties required and
converted into an hourly, daily, weekly, or monthly wage rate. It significantly affects employee
productivity and the achievement of organizational goals. Similar to Walmart’s mission
statement “We save people money so they can live better.", its human resource management
approaches for…show more content…

For instance, the wage for a cashier is now $11.55 which is only slightly higher than the
minimum wages of $11.40 in Ontario. This causes high turnover rate as a lot of staffs are
working as part time and frequently quite due to the low pay. A recommendation for Walmart is
to develop a formal human resource program and fair performance review process to manage
employee compensation. When employees perform at a higher level, their pay rate may be
justified according to their performance appraisals. Providing faster promotions is another way to
keep people motivated and improve their performance. Employees can feel being trusted and
excited to move in to the new position.
Interpretation and Report:
From temporary job program the creator is greatly profited by having certifiable involvement in
the field of advertising with Walmart where creator can execute ideas and rationales that picked
up during study period. Inside this limited ability to focus time, business improvement, special
and relationship building exercises has been watched and realized, which showed the importance
of connection, authority qualities and other administrative and business advancement aptitudes.

The best things that was found out doing entry level position is the way to achieve the
undertaking by doing it in group, how to utilize showcase bits of knowledge. keep up the
recurrence of visits to pick up proficiency, how to start and bolt a business bargain and the job of
pre visit examination to drive the deak.

The introduction to the useful condition has expanded involvement and certainty to manage
different hierarchical correspondence channels with the client. The market visit plan created;
guaranteeing the in time conveyances with endorsed quality measures and doing statistical
surveying about the items in which part is keen on and citing the best cost by considering the
current framework and customer desire has given a great deal of reasonable introduction to the
business.

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