Case Study Of Staples

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In 1986, Tom Stermberg opened his first store in Brighton, Massachusetts, and in a few short years he built Staples into one of largest office supplies superstores in the United States. Stermberg used his background in the grocery market field to develop his office supply empire. He then used his business savvy to eliminate the middle man with big mark ups and cut them out with more affordable options. It was maneuvers like this that made Staples the sixth company in history to achieve three billion dollars in sales within 10 years of start–up (Staples, 2017). Staples release their code of ethics in 2013, in which they spell out the exact way anyone affiliated with staples will represent the company. The CEO at the time, Ron Sargent opened with his letter to future employees.…show more content…
During the reform, Bobby Dean Nickels was terminated for a non-tolerance rule of theft in 2011. It was common practice of taking items from the cafeteria after hours, and then the next day paying for them. Before checking with the cafeteria for payment Nickels was terminated immediately for taking a bell pepper. He filed a wrongful termination suit, claiming age discrimination. Nickels had a clean record, with no write ups for the seven years previous to the takeover. Nickels was sixty-four years old at the time, oversaw maintenance and up keep for the plant. In court proceedings, it was proven that his new supervisor, Marrero, was on a mission to cut costs at the La Mirada facility, by replacing older, higher paid employees with part-time and temporary employees. He increased the workload for older employees, forcing them into retirement, and used write ups for errors and ethical violations, creating the basis for termination. The Court was satisfied with the evidence presented to award Nickels three million, two hundred thousand, dollars in compensatory damages and thirteen million in punitive damages (Nickle,

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