In most countries, supermarket chains create and manage well-oiled supply chains to offer consumers lower prices and dampen inflationary trends. Inflation in India is touching decade-highs. But then it’s a fallacy that in India it is always about low price’. Companies like Tata, Birla and Reliance have all attempted to enter food-and-grocery retailing in India with mixed success. Will Wal-Mart’s supply chain work in India

1. សាកលវិទ្យាល័យភូមិន្ទន្ីតិសាស្រ្ត ន្ិងវិទ្យាសាស្រ្តស្ដ្ឋកិច្ច
MANAGEMENT OF CHANGE
MINI CASE 5.2
GROUP 10: PROFESSOR:
១. ម៉ុន្ ដាវីន្ សោក ្៉ុក ច្័ន្ទរិទ្យធី
២. មូលស្ម ច្មវីរៈ
៣. ្ំបូន្ី
Disaster Planning:
How Wal-Mart Saved the Day

2. PRESENTATION ON

3. CONTENT
1. INTRODUCTION TO WAL-MART.
2. HISTORY OF WAL-MART.
3. BUSINESS DESCRIPTION & COMPETITORS.
4. VISION, MISSION & VALUES.
5. KEY SUCCESS FACTORS.
6. SWOT ANALYSIS.
7. DISCUSSION QUESTION & ANSWERS

4. INTRODUCTION TO WAL-MART
• AN AMERICAN PUBLIC CORPORATION THAT RUN A CHAIN OF
LARGE DISCOUNT DEPARTMENT STORES & WAREHOUSE
STORES.
• WORLD’S LARGEST PUBLIC CORPORATION BY REVENUE.
• LARGEST PRIVATE EMPLOYER IN THE WORLD.
• FOURTH LARGEST UTILITY OR COMMERCIAL EMPLOYER.
• LARGEST GROCERY RETAILER IN THE UNITED STATE (20%).
• LARGEST TOY SELLER IN THE UNITED STATE (22%).
• WORLD’S BIGGEST RETAILER.

5. WAL-MART AT A GLANCE
• FOUNDED: ARKANSAS, USA (1962) BY SAM WALTON.
• HEADQUARTERS: BENTONVILLE, ARKANSAS, USA.

6. WAL-MART AT A GLANCE
• PRODUCTS: DISCOUNT STORES, SUPER
CENTERS, NEIGHBORHOOD MARKETS.

7. WAL-MART AT A GLANCE
• SLOGANS:
 THE LOWEST PRICES. GUARANTEED!
 SAVE MONEY, LIVE BETTER
 WE SELL FOR LESS EVERYDAY!

8. COMPANY OVERVIEW
• FOUNDED BY SAM WALTON IN 1962.
• INCORPORATED ON OCTOBER 31, 1969.
• PUBLICLY TRADED ON THE NEW YORK STOCK EXCHANGE IN
1972.
• WAL-MART OPERATE RETAIL STORES IN VARIOUS FORMATS
ACROSS THE WORLD.

9. COMPANY OVERVIEW

10. HISTORY OF WAL-MART
o 1918: BORN IN A FARMER’S FAMILY IN KINGFISHER,
OKLAHOMA.
o 1940: GRADUATED FROM THE UNIVERSITY MISSOURI.
o 1950: GIVE UP JOB AND OPENED HIS FIRST STORE IN
ARKANSAS.
o 1962: WALTEN BROTHER OPENED FIST WALMART IN
ARKANSAS.

11. HISTORY OF WAL-MART
o 1970: WALMART BECAME PUBLIC.
o 1990: 1ST NATIONAL RETAILER.
o 1991: INTERNATIONAL EXPANSION.

12. HISTORY OF WAL-MART
o 1993: CREATION OF “GREAT VALUE”.
o 2003: LARGEST CORPORATION IN THE WORLD.
o 2012: 50TH ANNIVERSARY.

13. BUSINESS DESCRIPTION

14. COMPETITORS

15. COMPETITORS

16. COMPETITORS

17. VISION
“ TO BE THE BEST RETAILER IN THE HEARTS AND MINDS OF
CONSUMERS AND EMPLOYEES. ”

18. MISSION
“ SAVING PEOPLE MONEY SO THEY CAN LIVE BETTER. ”

19. SLOGAN
SAVE MONEY. LIVE BETTER

20. VALUE OF WALMART
Integrity Opportunity
Family and
Community
Purpose Responsibility

21. KEY SUCCESS FACTORS
Economies
Scales
Supply Chain
with
Integrated
Technology
Superior
Logistics
Systems
Decentralized
Operation
Every Day
Low Prices

22. SWOT ANALYSIS
STRENGHTS
 Deal with Suppliers – Cost
Leadership
 Efficient Supply Chain
 Strategic Location/Facilities at
Stores
 Strong IT backup
 New Technology Implementation
WEAKNESSES
 Unable to adapt to different
cultures/countries. Ex: Germany
 Heavily dependent on ‘bulk sales
 Late entrants
 No success beyond Americas
OPPORTUNITIES
 New Economies – India/China/Brazil
 Rising disposable incomes
 New channels-Marketing/Internet based
models
 Joint Venture with some leading players
THREATS
 Restriction on FDI. Ex: India
 International law against dumping
 Regional competitors
 Law against ‘Monopoly’- Anti thrust policies

23. DISCUSSION QUESTIONS
1. BASED ON WHAT YOU HAVE LEARNED IN THIS CHAPTER, WHAT
DID WAL-MART DO THAT MANY OTHER FIRMS AND
GOVERNMENT OFFICIALS DID NOT DO TO DEAL EFFECTIVELY
WITH THE HURRICANE? EXPLAIN YOUR ANSWER.
2. HOW SHOULD CORPORATE PLANNERS HANDLE SITUATIONS
SUCH AS KATRINA BEFORE THEY ACTUALLY OCCUR? EXPLAIN
YOUR ANSWER.
3. ANOTHER COMPANY THAT WAS PRAISED FOR ITS WORK IN THE
AFTERMATH OF KATRINA WAS FEDERAL EXPRESS. IT HAS A
POLICY CALLED “FLEXIBILITY PLANNING.” LONG BEFORE
KATRINA, FEXEX CONDUCTED DISASTER DRILLS SEVERAL TIMES
A YEAR-FOR EVERYTHING FROM BIG EARTHQUAKES TO
BIOTERRORISM TO A MONSTER TYPHOON HITTING THE
COMPANY’S HUB IN THE PHILIPPINES. DO YOU THINK MOST
COMPANIES SHOULD ENGAGE IN THIS SORT OF PLANNING
EXERCISE? WHY OR WHY NOT? EXPLAIN YOUR ANSWER.

24. ANSWERS
1.BASED ON WHAT I HAVE LEARNT IN THIS CHAPTER, THE WAL-
MART HAD DONE MANY THINGS THAT MANY COMPANIES AS
WELL AS GOVERNMENT OFFICIAL DID NOT DO AS FOLLOWING:
 HAULING $3 MILLION OF SUPPLIES TO RAVAGED ZONE
OF KATRINA.
 ARRIVING DAY BEFORE FEMA.
 CONTRIBUTED $17 MILLION TO RELIEF EFFORT.
 BEGAN 6 DAYS RESPONSE TO KATRINA BEFORE THE
EVENT.

25. ANSWERS CONT.
2. CORPORATE PLANNERS SHOULD HANDLE SITUATIONS SUCH
AS KATRINA BEFORE THEY ACTUALLY TAKE PLACE THROUGH; A
CLEAR AMOUNT OF FUND NEED TO BE REGULAR APPROVED FOR
ITS SOCIAL RESPONSIBILITY IN EMERGENT EVENT. ONE MORE THE
COMPANY’S EMPLOYEE SHOULD GET TRAINED WITH NATURAL
PHENOMENA ESPECIALLY THE EARTHQUAKE OR SUCH A GREAT
STORM LIKE KATRINA. MOREOVER AN IN-TIME ACTION MUST BE
EFFECTIVELY TAKEN IN ORDER TO DEAL WITH THE REAL
DISASTER.

26. ANSWERS CONT.
3. I THINK THAT MOST COMPANIES SHOULD ENGAGE IN THE
ABOVE-MENTIONED SORT OF PLANNING BECAUSE THAT CAN BE
A BIG AND CLEAR IMAGE OF CORPORATE SOCIAL RESPONSIBILITY
OF THE COMPANY WITH RESPONSE TO THE EMERGENT DISASTER.
ONE MORE, IT WOULD PROMOTE THE POSITIVE ATTITUDE OF THE
FIRM IN CARING THE SOCIETY NEEDS. FURTHER MORE SUCH AN
ACTIVITY WOULD BE COME A GREAT PROMOTION TO THE
PUBLICS, THAT MUST BE THE BENEFIT OF THE COMPANY ITSELF.