Wal-Mart Organizational Structure and Work Process

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Wal-MartOrganizational Structure and Work Process

Wal-MartOrganizational Structure and Work Process

Everybusiness follows a given organizational structure and work process.In the case Wal-Mart, it uses a hierarchical makeup. The decisionsare made at the corporate headquarters and then sent to the brancheslocated in the United States and overseas. This paper will evaluatethe executive composition of Wal-Mart, its benefits, drawbacks, andthe strategies that can be adopted to improve its success inoperation practice.

Wal-MartStructure and how it is Effective in Accomplishing the Organization’sGoals

Theretail outlet uses an organization structure where the reportingrelationships, units’ roles, work processes, formal, and informalstructures are aligned. According to Worren (2013), the top-downarrangement facilitates the company to achieve high performance inany environment. Given that a board of directors makes the decisions,the business offers uniform services, goods, and experience that areessential to retain customer allegiance. Some of the benefitsaccomplished by the work process include apparent levels ofaccountability, and the staff is motivated to perform well with thehope of being promoted. Besides, the workers become dedicated totheir respective departments hence, they are motivated to give theirbest in all their respective chores (Lombardo, 2017).

Disadvantagesof the Organization Structure

Theway a task is defined at a given level may misalign with the manner aduty needs to be accomplished. Worren (2013) cautions that thecorporate decisions generalize the operation of an organization, butsome enterprises may not apply. In such a case, the staff may need toadjust policies in order to compete efficiently in a given market.Nevertheless, the communication structure slows down thedecision-making so much that an enterprise may lose huge returns. Theworkers on the ground have to report through different levels ofmanagement and back to the board of directors to acquire theauthority to adjust any guiding principle. Moreover, rivalry amongthe departments is so high that employees tend to make decisions thatonly benefit them instead of the entire organization.


Wal-Martcan avoid the risk of losing clients to its rivals, especially ininternational market through reducing bureaucracy. The managementshould give the workers on the ground power to adjust some policiesto suit their environment. Secondly, the group should establish apolicy that would compel the unit managers to refrain from engagingin internal rivalry. The purpose of that law would be to preventworkers at various sublevels from taking actions that would favorindividual branches at the expense of alternative approaches thatcould benefit the entire enterprise at the international level.


Lombardo,J. (2017, Jan 17). Walmart: Organizational structure &amporganizational culture. PanmoreInstitute.Retrieved fromhttp://panmore.com/walmart-organizational-structure-organizational-culture

Worren,N. (2013, May 26). How to align the organizational structure with thework processes (Video – 3 of 5). OrganizationRedesign.Retrieved fromhttp://www.organizationdesign.net/how-to-align-the-organizational-structure-with-the-work-processes-video-3-of-5.html