Strategic Design Lens: Walmart Essay example

831 Words Sep 13th, 2012 4 Pages
Business News Analysis Report

Strategic Design Lens

Restoring Wal-Mart

Wal-Mart’s Strategies
Strategic Design Lens sees the organization designed as social system to achieve their strategic goals. To begin the Strategic Design analysis we should first identify the strategic direction was being implemented by Wal-Mart.
By the time to revolute the 45-years-old business model, a three-year strategic plan was raised by Eduardo Castro-Wright, president of Wal-Mart. This strategic plan would change practically everything the company does: the way it builds and operates stores, the way it buys and stocks merchandise, the way it hires, trains and compensates employees.
The
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The uncertainty has also to be faced since Wal-Mart was famous on their supply-chain logistics not developing deep customer knowledge.
What if I was Castro-Wright: Each strategy option has its own set of strengthens and weaknesses. The geography dimension is the primary since Wal-Mart expanded to far away from the center. I believe the Customer (Market) Grouping is appropriate design for such large scale company.

Linking

Company should create linking mechanism across organization boundaries. The only links mentioned in the assigned business news is that Wal-Mart introduced the retraining program called Associates Out in Front. Store managers must meet with 10 associates each week and hear them out. It is described as a way for Wal-Mart to show employees “that we do appreciate you and that we have an ongoing commitment to listening to and addressing your concerns.”
Pros and Cons: It has proven that the Associates Out in Front as step in the right direction to solve the problem by compensating the employee and improving the loyalty. Besides, Wal-Mart did not establish much linking mechanism among Top managements, regional managers, and store managers. It will reduce the communication level inside the organization.
What if I was Castro-Wright: Hold video conference regularly between Top managements and regional managers in order to synchronize information in time.

Alignment
In order to optimize the positioning elements and resources of
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