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Organizational Effectiveness: A Comparative Study of Wal-Mart and Kmart (2008)

This analysis delves into the organizational effectiveness of two retail giants, Wal-Mart and Kmart, focusing on their common goals such as profitability, market share, and employee welfare. By comparing their strategies for growth, resource conservation, and product quality, we explore how each company's structure, culture, and mission influence their overall effectiveness. With real-world problem-solving scenarios, this report highlights key areas for improvement and innovation, providing insights for organizations aiming to enhance their operational efficiency and competitiveness in the market.

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Organizational Effectiveness: A Comparative Study of Wal-Mart and Kmart (2008)

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Presentation Transcript

  1. Introduction Organizational Effectiveness

  2. Comparing Wal-Mart and Kmart--2008

  3. Comparing Stake “A” and Stake “B”

  4. Common Goals of Corporations Rank Ordering • Profitability • Growth • Market Share • Social Responsibility • Employee Welfare • Product Quality and Service • Research and Development • Diversification • Efficiency • Resource Conservation • Management Development • Multinational Enterprise • Consolidation

  5. LDS Statistical Report 1994-2010 199420002010 Members 9 million 11 m 13.5 m Converts 300,000 274k 280k Missionaries 42,000 60,700 51,700 Temples in 46 102 130 operation

  6. Designing Effective Organizations • Structure • Organization design • Work design External Environment • Culture • Shared values and assumptions Organizational Mission Organizational Effectiveness • Systems • Technology • Information • Human resources Strategy • Process • Motivation • Communication • Decision making • Power and politics

  7. Step 7 Step 1 Step 6 Step 5

  8. Problem Finding and Problem Solving In each situation identify the likely cause(s) of the problem. How would you try to “test” whether you have identified the actual cause of the problem? Situation 1: A manager comes to you and tells you that turnover among hourly workers on the production line has increased from 10% to 50% during the past six months. The manager would like to know what to do to reduce turnover since his training costs have gone up substantially with the higher turnover. Situation 2: A research and development team at LG Electronics has been trying to develop a new product for several months. Unfortunately, there has been little progress in developing the new product. The manager of the team comes to you to see if you can find out why the team hasn’t been making much progress. Situation 3: Sales in your division have remained flat for the past four quarters. If there is not improvement in sales during the next quarter, there will likely be significant layoffs. The president of the division has asked you to find out why sales have not increased in the past year.

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