Performance Management System at Wal-Mart



Abstract

Performance management is a process that must be sporadically revised to recognize areas for enhancement, and recognize whether all the organizations components working to achieve the desired goals or they need some improvement to facilitate them to incorporate all the required elements, from planning to implementation. Further, it is also imperative to distinguish that the performance management promotes efficiency within the organization, which is a way to add to business success. Through this paper, the performance management system of Wal-mart is being analyzed, followed by the formal and informal feedback processes adopted by the organization and the steps to protect it from litigations.

Performance Management System at Wal- Mart

Introduction

The performance management process is a method of management architecture to assure that the organization and its entire resources are working collectively to optimize the organizations goals. Performance management provides a wide spectrum of understanding about performance drivers enabling an organization to compel for highest performance and better decision making. It highlights the importance of integration of human resource, process and information to the organization's goals and objectives. At Wal-Mart, it is firmly believed that the process of performance management has to be in collaboration, where managers and employees share in the responsibility for goal setting, accountability, financial performance and the results of its performance.

Wal-Mart, which is the world's largest retailer with over 2 million employees, and 8,500 establishments in 15 countries under 55 different names, has been the choice of billion of customers since its foundation. Each week, more than 100 million customers visit Wal-Mart establishments. Sam Walton founded the company in 1962 with a simple goal: to offer low prices for all the people. Although he died in 1992, but their values of hard work and dedication are well entrenched in the culture of Wal-Mart even today. The company's employees see their work as a mission, to reduce the cost of living throughout the world. The Wal-Mart philosophy is to allow people with such economic resources that allow them to buy the same products that were previously available to only rich people, who could afford them. The company strives to be efficient and use their influence of purchase for lower prices from its suppliers, and transfer those savings to customers in the price (Chase, 2008).

Discussion

Wal-mart is one of the organizations, which is not only famous for its business intelligence but also for its management processes. ...