Thursday, April 25, 2013

Chapter 10: Creating Effective Organizational Designs

Walmart is a divisional organizational structure.  The 3 divisions are (1) Walmart U.S., (2) Sam's Club U.S., and (3) Walmart International.  The divisional structure allows Walmart to have increased strategic and operational control.  It allows them to focus on products and markets.  The divisional structure allows Walmart to give a quick response to environmental changes.  

Besides having a president for each division, Walmart has 3 presidents for Walmart U.S. (East, West, and Central).  They also have  a president for each region they are in (Latin America and Asia).  Below is the organizational structure under each president (Wikipedia Walmart Organizational Structure, 2013).

 File:Walmart's Organizational Structure Chart.png


Walmart has developed effective relationships with other companies.  Walmart is part of the Business Roundtable which is a business group that promotes pro-business public policy.  It is made up of executives from 97 U.S. companies.  Theses companies share their ideas on how to become more sustainable due to effects of climate change.  The companies are committed to increasing energy efficiency and reducing carbon emissions (Dess, Lumpkin, Eisner, McNamara, 2012).

Dess, Lumpkin, Eisner, McNamara, 2012. Strategic Management. 6th Edition. 2012.

Wikipedia Walmart Organizational Structure, 2013.  Retrieved from http://upload.wikimedia.org/wikipedia/en/d/d3/Walmart%27s_Organizational_Structure_Chart.png


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