Organizational Change Essay Example | Topics and Well Written Essays - 2000 words - 2

Organizational Change - Essay Example Such accusations have considerably affected Wal-Mart’s reputation and consequently the company’s bottom line. Wal-Mart had developed a complex system of distribution, which enables customer’s accessibility to stock items. Wal-Mart’s uses scanners at checkout stations to identify and monitor the sale of each item. This also enables Wal-Mart to monitor its supply chain. Wal-Mart is currently seeking to improve its infrastructure to increase the effectiveness of its supply chain management. It also intends to replace bar codes and security tags with Radio frequency identification (RFID) microchip transponders. The elimination of the need for price checks would improve customer satisfaction and lower costs. This paper will discuss systemic nature of Wal-Mart and the changes the company has taken to improve its effectiveness, processes, and employee productivity. Stalk, Evans and Shulman (1992) observed that Sam Walton, the founder of Wal-Mart imparted the culture of service excellence among Wal-Mart’s employees. Employees are motivated to welcome customers at the entrance. Employees are also permitted to have own shares of the organization. Wal-Mart low-price strategy has enabled the company to strike better deals with core shoppers. This has helped save on the merchandizing and advertising expenses. Wal-Mart gigantic stores provide economies of scale and broader alternatives of merchandising. This underscores Wal-Mart relentless efforts at achieving customer satisfaction. Wal-Mart’s use of machines in decoding encoded information enables its efficiency in supply chain management. The rectangular universal code for goods is a scanning system used by Wal-Mart. Packaged products at Wal-Mart are labeled with bar codes. The checkout stations of sales tend to ring up sales and track inventory deductions simultaneously. All Wal-Mart’s global stores are linked to headquarters through a