Question: CASE ASSIGNMENT- What Would You Do? WAL-MART CANADA Mississauga, ON. When retail analysts look back on Canadas retail history, many refer to events or stores
CASE ASSIGNMENT- What Would You Do?
WAL-MART CANADA
Mississauga, ON. When retail analysts look back on Canadas retail history, many refer to events or stores that existed B.W. or A.W., in other words, Before Wal-Mart or After Wal-Mart. The U.S. retail powerhouse entered Canada in 1994, purchasing the Woolco discount chain of 122 stores and establishing its Canadian operation. Analysts and customers alike watched with interest to see if the companys phenomenal success in the U.S. would translate into Canada. It did. Canadians embraced
Wal-Marts customer-driven, low-price, one stop shopping strategy, making Wal-Mart a routine and frequent shopping destination.
Currently, Wal-Mart Canada has over 300 stores across Canada and employs over 80,000 Canadians, making it the countrys third largest employer. Wal-Mart U.S. continues to set the tone for much of the expansion and growth strategy in Canada. After the success of the Wal-Mart Supercenter in the U.S., a larger format retail store that boasts general merchandise as well as groceries, it was only a matter of time before the concept would make it across the border. At last count, 125 Supercentres were in Canada, with an expected 40 more to come. Worldwide, Wal-Mart has over 2 million employees and is considered to be the largest company in the world, earning over $400 billion in revenues a year. The sheer size of the companys workforce, along with the role that employees play in the companys success, means that labour trends and workforce diversity will continue to be topics of importance for this retail giant.
Wal Mart isnt alone in this issue. For many companies today, people are a valuable asset and a competitive advantage. In order to succeed in todays global market, companies must attract and retain people with the right skills and an ability, making the most of the full range of people available in the workforce and that means diversity. The business world has proven that a diverse workforce is not only a social imperative but also makes good business sense. A more diverse workforce is known to have greater creativity and potential for innovation and better insight into the needs of what has become a diverse market. Simply put, to best serve the market one must employ the market.
One issue that will undoubtedly impact Wal-Mart Canada, as well as other large organizations, is the aging of Canadas population and the corresponding retirements and exits from the workforce. Baby boomers are beginning to disappear from the workforce. This, coupled with lower birth rates, signals a possible labour shortage for some industries and highlights the fact that recruitment and training of new workers will be critical in the future.
Wal-Mart employs boomers throughout the organization, in fact, a quarter of its staff is over the age of 50 and they play an important role in maintaining the customer service level that Wal-Mart strives for. Mature workers are often more skilled at dealing one on one with customers and the higher levels of engagement common to the boomer demographic contributes to better team building which helps decrease attrition. The challenge for Wal-Mart is that a large number of them are headed towards retirement in the future.
In terms of gender diversity, Wal-Mart seems to be doing well - 72% of Wal -Mart associates are women. However, in the U.S., Wal-Mart is the target of the largest class-action lawsuit of all time, involving over 1.5 million women. The class action suit claims that the company has discriminated against women by paying them lower wages and limiting advancement into management positions. The case has been in the courts since 2004 and a judgment has not yet been reached, however, the company has begun to settle a number of these cases, in an effort to put an end to the negative light that has been cast upon the company as a result of this suit.
1.What are the relevant facts?
2.What are the HR Issues?
3.Which components of general and specific environment impact Wal-Mart
Canada?
4.As the CEO of Wal-Mart Canada, what would you do to prepare for the future in
terms of the composition of your workforce and the role that diversity plays in
your company?
A word count is up to 200 words for each answer.
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