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Case II

One of the most successful discount department stores in America is known as Wal-Mart stores and is named after its founder Sam Walton. Because of the phenomenal success of these stores, Sam Walton became one of the richest men in America. Also, because of his leadership, the stores have enjoyed continuous growth and expansion, so that by mid 1980s, the chain had over 700 stores and was increasing at the rate of an additional 100 stores per year. Its sales increased annually by over 35% and the profits have soared close to 40% per year every year since 1975.

Sam Walton, until he died in 1992, took personal interest in his employees. His managerial philosophy was to get the right people in the right places and then give them the freedom to be innovative to accomplish their tasks. He called his employees as associates and treated them as associates. As per company policy, all associates are eligible for-profit sharing plans that motivate the employees further. The managers of the stores are required and encouraged to meet with their employees in a social setting to discuss their concerns as well as issues of organizational interest, and this makes the employees feel that their input is taken seriously by the management.

Sam Walton himself led a simple life. He did not exhibit any aura about himself, giving the employees a feeling that he was one of them. He and his executives regularly travelled in company owned planes to visit Wal-Mart stores situated at various sites across the country. He met with salesclerks, stock boys and sales managers to find out what items were popular. He knew most of them by their first names and addressed them so. He initiated "employee of the month" in all categories and created honor roles for more successful stores. This created inner competition requiring extra effort to improve sales and service. This policy gained high respect for him as a leader.

Case Questions: a. What leadership theory is consistent with his leadership style? Explain your answer. b. What are the key leadership skills that Sam Walton used to be successful leader? Mention minimum of five and explain in detail. c. As a leader in 2020, what other techniques would use utilize to motivate your employees. Mention minimum of five and explain in details.