Alternative-2

Focus on work-force planning to

Imply Structured Compensation
System
They are facing enough problems in the long run as they are lacking a specific
and effective HR department to attract, keep, judge and retain the employees.
The case gives us the expression there is little consideration on taking care of
the HR issues and employee problems at Wal-Mart Group. Although there is
an HR department in Wal-Mart Group seems like it does not have an effective
role actually any role in the companys decision making regarding recruitment
selection retraining or redeployment and so on. It is evident from the case that
the group is running by biased attitudes and private contacts get the priority
over efficiency. It is been found out from the case that there is no
consideration for person-job fit or person-organization fit. We know that
without a formal performance appraisal system it will be tough for the
company to judge and evaluate the performance of its employees.
If they have a specific HR department the department will be able to identify
the training needs of each individual employee and contribute in the overall
success of the company.

The proper strategic compensation process:

It is essential to successfully navigate the waters of negotiating a strategic
compensation effort and the boards of directors have decided to merge (or
take on some other form of strategic compensation). The question is how will
you know today - and in a year from now, or two - which you accomplished
what you set out to accomplish? The best answer is to include such
discussions in the negotiation process, and set measurable goals that can be
revisited on a regular basis after the strategic compensation takes effect.
When two or more organizations decide to take on a strategic compensation,
they are usually in search of change, whether it is because they are facing
leadership, financial or some other type of crisis or challenge, or because they
see an opportunity to improve their services or advance their mission. It is
extremely important that both organizations clearly articulate their motivations

for pursuing strategic compensation before they begin the negotiation

process. Equally important is for each organization to identify their desired
outcomes for the compensation. Early in the negotiation process, each
organization should make a list of their desired outcomes, and the
negotiations committee should discuss and agree on a joint list. Once this list
is agreed upon, the group should take some time to discuss ways of
measuring whether or not these desired outcomes are reached.
It is easiest to measure outcomes when goals are expressed quantitatively
(like, number of clients served) rather than qualitatively (the staff is happier).
Thus, whenever possible each desired outcome should include a quantitative
goal. For those desired outcomes where qualitative information is the only
option, specify the question that will be asked both now and in the future to
measure success. By asking the same question at both points in time,
comparisons can be made between the responses.
In order to effectively evaluate the compensation effort, be ready to examine
the desired outcomes over time. Each desired outcome may have a different
timeline. Like, a reduction in operating costs due to the elimination of unused
space may be easily measured six months after the merger, whereas a
change in the number of clients successfully placed in jobs may take longer to
establish if the job-training program takes a year. Some outcomes may only
need to be measured once - hiring a new executive director, like. Others may
need to be measured over time, i.e. increasing the number of clients served.
For measuring things like an increase in clients served, state the exact
percentage increase sought from year to year. The board can always review
these goals and change them as the situation demands.

The goals and costs of strategic compensation

system:
First, it is important to set realistic expectations. Often organizations turn to
strategic compensation in times of financial hardship, looking to it as a way to
save money. While strategic compensation frequently yields savings in terms
of reduced staff and administrative costs, organizations that undertake
strategic compensation with the primary goal of saving money may be
disappointed. A more realistic goal of strategic compensation is to increase an
organizations ability to advance its mission.
Strategic compensation consists of two primary phases: negotiation and
integration. The negotiation process most always involves costs, including the

diversion of staff and board members time and energy away from other
functions, and the cost of a consultant to help facilitate the process. Cost
savings may result if, and when, the organizations are consolidated, but these
costs must be balanced against the costs of the integration process itself.
The main aim of the company should be to reduce the variability in its internal
and external environment. The only solution to this problem is market
research, which will ensure a systematic progress to its goals after tackling
various obstacles.
Strategic compensation efforts, while potentially very beneficial to the overall
health of many organizations, do not typically save money in the short-term
for the nonprofits involved. While it is true that compensation may save some
staffing costs, or may result in achieving greater economies of scale in
administration, the compensation effort itself entails a variety of front-end
costs. Most of these are non-recurring and can be anticipated. They include
professional fees (for consultants, lawyers, accountants, etc), severance
costs, design/printing/signage costs, moving costs, and systems integration
costs. The actual costs will vary according to the type of partnership involved,
the level of change foreseen, and the availability of in-kind or reduced cost
alternatives for different services. Lack of funding will cause some
organizations to avoid some optional costs altogether.
The real benefits of strategic compensation are not short-term and tactical,
but medium- to long-term and strategic: better market positioning; a larger
market share; a higher public profile; greater political influence; better backoffice services; a larger staff, allowing specialization of functions; the creation
of a continuum of services under unified control; a potentially wider range of
funding options. These are the likely, and substantial, benefits of strategic
compensation, but they take time and planning to realize.

Advantages of Alternative 2:

Maintaining or improving a diversified workforce:

It allows for a more effective and efficient use of workers. This will become
increasingly important as some agencies find themselves having to do the
same amount of work or more with fewer staff members. It helps ensure that
replacements are available to fill important vacancies. Filling vacancies is
especially critical as organizations face an increasing number of workers
eligible for retirement, combined with labor market shortages and limited

compensation levels. It provides realistic staffing projections for budget

purposes. Realistic projections are very helpful when justifying budget
requests to the Legislature. It provides a clear rationale for linking
expenditures for training and retraining, development, career counseling, and
recruiting efforts. It helps maintain or improve a diversified workforce. It helps
an agency prepare for restructuring, reducing, or expanding its workforce.

Insurance of workers:
Research and first-hand experience both our own and that of others who
have worked in this area reveal that there are many potential benefits of
strategic compensation. These include a greater ability to pursue mission,
increased stability, reduced duplication, and less inappropriate competition.
This can translate into measurable, positive outcomes, such as increases in
services provided, administrative capacity and quality of services, and market
share. When the necessary readiness and success factors are in evidence,
and a sound process is in place, outcomes such as these are more likely to
be realized.
Workers compensation is insurance, the value of which is recognized by both
employer and employee as an important part of total compensation. Gainful
employment inevitably involves some risk of injury. Workers take this risk into
account in their labor market decisions: evidence supports the view that riskier
jobs have higher pay and fringe benefits. Workers compensation is insurance
against the costs of injury and forms part of the overall compensation received
by employees.

Economic Factors:
Employment inevitably introduces some risk of injury to a worker. Injuries are
costly to both the worker and society. Workers forgo income if required to be
off the job, endure pain and suffering, and may obtain less enjoyment from
their leisure activities. Society may lose a productive worker for some time,
may lose the overall contribution of a productive citizen, may pay part of the
costs of treatment, and may also experience problems that spring from the
disruption to the workers life. A Workers compensation system provides
partial insurance against these costs, thereby spreading the hardship of injury
among other workers and society.

Employee Welfare:
Basic economic principles suggest that the ability to opt-out would have
desirable consequences. First, participation in the organization would only
occur when assessments and compensation schedules presented a costeffective solution to the problem of safety at a given workplace. Also, the
organization would face competition which could both enhance their public
image (parties now choose the organization system over the available
alternatives) and improve the mix of services they provide to employers and
employees. To justify compulsion, this logic must somehow break down. We
now summarize some ways in which it might do so. The first and most
obvious concern is that the existing form of workers compensation is good for
employees but bad for employers, and absent compulsion employers would
simply refuse to join the system or to provide adequate substitutes. There is
an equally obvious response to this objection; workers compensation is
inevitably part of an employees overall remuneration. Employers should
provide accident insurance in order to attract and retain good employees if it
is a cost-effective form of compensation, and as we shall see in the next
section there is evidence that many employers have done exactly this. The
fundamental weakness with this reply is that compulsory workers
compensation does not increase the workers overall bargaining power. First,
workers in more hazardous lines of business receive higher wages and more
generous fringe benefits. Even more strikingly increased workers
compensation costs are almost always passed on to employees in the form of
lower wages.

Strategy to retain Productive employees:

The work-force planning will certainly have a particular strategy to retain the
high potential and high performance employees and hence, strategies for
those low productive and low committed employees. So, this will increase the
productivity of the company in the long run. Moreover, it will help the company
to reduce cost in the long run. The company might be doing some
unnecessary recruiting or having employees who are not productive at all.
The HR department will take steps to eliminate unnecessary recruiting and
build some strategies to train those low performance people or eliminate
them.

Disadvantages

of Alternative-2:

Costing Initial Stage:

The initial cost for making a planned work-force and establishing a structured
compensation is going to be too high. The company has to make major
contributions to develop a separate process to meet the anticipation. Often
organizations embark on strategic compensation to save money. However,
strategic compensation generally costs money the first year looking for
short-term savings will generally not bear out. Like, there are one-time costs
associated with integrating organizations. The cost efficiencies are more likely
to be realized over time. Thus, though organizations come to strategic
compensation with the expectation that there will be cost benefits, there must
be a bigger picture that is driving the effort stronger services to the
community.

Risks in Various ways:

There are also risks involved. Work-force planning is not always successful.
Organizations those are not truly ready to engage in the negotiation process,
and/or those that do not have the necessary structure and processes in place
to undertake integration, are less likely to be successful. A failed strategic
compensation effort can have devastating outcomes including negative
publicity, lost time and money, and/or damaged relationships. This can
sometimes reflect poorly on the organization depending on their role in and
closeness to the process. Given the time and energy that must be devoted to
the negotiation process, it is also helpful if the nonprofits involved are not in
an immediate crisis. This can detract from a realistic assessment of the
partners and of the potential outcomes. While the strategic compensation may
appear to solve an immediate problem, a poorly and hastily designed
partnership can do more damage than good. The reality, however, is that
some organizations are chronically in crisis, and many of these organizations
may be strong candidates for strategic compensation. Such an organization
may need to jump at an obviously good opportunity, even if it is not currently
able to put its best foot forward.

Recommendation
We, as a group has proposed four alternatives to Wal-Mart Group to have a
sustainable growth in the upcoming years. After looking at the advantages
and disadvantages of the alternatives we are recommending the Group to go
for alternative 2.

Focus on work-force planning to

Imply Structured Compensation
System
The reason for choosing Alternative2:
An effective workforce plan is an essential tool to identify appropriate
workload staffing levels and justify budget allocations to meet Wall-Marts
objectives and labor related problems in an integrated, methodical, and
ongoing process. It allows for a more effective and efficient use of workers. It
helps ensure that replacements are available to fill important vacancies. It
provides realistic staffing projections for budget purposes. Moreover, it
provides a clear rationale for linking expenditures for training and retraining,
development, career counseling, and recruiting efforts.
The real benefits of work-force planning are not short-term and tactical, but
medium to long-term and strategic: better market positioning; a larger market
share; a higher public profile; greater political influence; better back-office
services; a larger staff, allowing specialization of functions; the creation of a
continuum of services under unified control; a potentially wider range of
funding options.

The reason for not choosing other

alternatives:
Alternative-1 Do Nothing
Has not been chosen there is a wide gap among the higher authorities and
the workers, as the employees in the middle misuse their powers.

Alternative-3 Collaborative strategy

It cant be picked as because sometimes people are willing to work together
but cant easily transfer what they know to others because of the stranger
problem. Some employees are reluctant to share what they know or refuse
to help outright leading to a hoarding-of-expertise problem.

Alternative-4 Inclusion of Market Research

It did not get the attention because it is true that Wal-Mart failed to conduct a
market research in Mexico, and Germany but later overcome this problem
with a greater success with their same old strategy to sell at a lower price.

Implementation
We, as a group has proposed four alternatives to Wal-Mart Group to have a
sustainable growth in the upcoming years. After looking at the advantages
and disadvantages of the alternatives we are recommending the Group to go
for alternative 2.

General Implementation
In this stage the company should give a look in some matters which can be
beneficial for them. By looking and analyze these things the company can get
a better result than they have. Management of Wall-mart will decide why it is
considering the alliance other company and decide whether the reasons make
a good argument to do so. After that Wall-Mart can go step by step in the
implementation process.

Workforce planning:
It is a systematic process for identifying the human capital required to meet
agency goals and developing the strategies to meet these requirements.
Workforce planning involves:

A systematic process that is integrated,

methodical, and ongoing.

Identifying the human capital required to

meet agency goals, which consists of determining the number and of
needed workers, where and when they will be needed.

Developing the strategies to meet these

requirements, which involves identifying actions that must be taken to
attract (and retain) the number and types of workers the agency needs.
Specifically, workforce planning provides agencies with many benefits:

It allows for a more effective and efficient use of workers. This will
become increasingly important as some agencies find themselves
having to do the same amount of work or more with fewer staff
members.

It helps ensure that replacements are available to fill important

vacancies. Filling vacancies is especially critical as organizations face
an increasing number of workers eligible for retirement, combined with
labor market shortages and limited compensation levels.

It provides realistic staffing projections for budget purposes. Realistic

projections are very helpful when justifying budget requests to the
Legislature.

It provides a clear rationale for linking expenditures for training and

retraining, development, career counseling, and recruiting efforts.

It helps maintain or improve a diversified workforce.

It helps an agency prepare for restructuring, reducing, or expanding its
workforce.

Gaining and maintaining management and staff commitment to the workforce

planning process is key to developing an effective workforce plan. Therefore,
agencies should work hard to gain commitment at the beginning of, or very
early in, the workforce planning process. Agencies can use the following
techniques to build support for the workforce planning process:

Obtain support from senior leaders within the firm. It is important that
the CEO and other top leaders understand the value of workforce
planning-their commitment can determine its success or failure.
Understanding the factors that affect the firms future operations and
competition will help convince senior leaders of the need for workforce
planning.

Communicate benefits and results of workforce planning to managers

and workers. Management should be involved in understanding the link
between workforce plans and the budget, and workers need to
understand how workforce planning affects them and the agency.

Establish a workforce planning team consisting of dedicated and

knowledgeable employees from different functional areas and
organizational levels. Trust for the workforce plan can be achieved by
involving employees in the planning process.

Automate the process so data can be easily stored and retrieved,

thereby simplifying the process. The more simple the process is, the
more participation and acceptance agencies will have from those who
are participating in the process.

Develop and implement a plan to ensure accountability within each

participating division of an agency. This will help ensure success of the
strategies within the plan and hold those who are not meeting the goals
accountable.

Core Functional
Implementation:

Whatever the product or service, without a good marketing strategy the

product or service would not be known. Marketing would require a lot of
creative thinking and successful ideas to be able to launch or re-launch any
goods and then maintain those.
Wall-Mart needs to implement the recommended alternative from their
marketing perspective as well. The marketing implementation of this
recommended solution will be done in several steps. This will increase the
market value of the appliances and the way of being established as a brand
will be much smooth. Wall-Mart is totally customer oriented. To sustain in the
market as well as a greater future expansion and profitability they need to be
establish themselves as an employee friendly brand. Marketing is the core
function to do so. A proper marketing plan can lead any company to the top of
the pyramid. In the marketing implementation we have to suggest them to
build a strong marketing team that can plan more efficiently and be able to
achieve the goal of the organization.
To allocate resources for the promotional activity, Wall-Mart must have a
target budget and resources assigned to each element of the plan. There will
be some cost incurred for training employees to incorporate the image shift
within their everyday work and cost of print and in-house promotional items.
Online marketing and marketing collateral incurs lower costs than other

promotional tools like bill boards, online marketing, public relation and
marketing collateral.

To build an Integrated Marketing Communication (IMC) Plan Whirlpool must

follow the following development steps:

Review of Marketing Plan

Analysis of promotional program situation
Budget determination
Develop integrated marketing communication program
Integrated and Implement marketing communication strategies

Monitor, Evaluate & Control IMC program

Economic Logic
This is the core of all element of strategy. It provides the reckoning how the
firm is going to obtain its returns. As, Wall-Mart has moderate competitors in
the market it is a great chance to get more profit by replacing the old
technology. Another thing to be considered here that is the product and
material is locally available and cheaper so that will allow the firm to reduce its
cost and generate more profits.

Internal analysis
The purpose of internal analysis is to pinpoint the strengths and weaknesses
of the organization. A firms strengths lead to superior performance whereas
weaknesses lead to inferior performance. It focuses on the quantity and
quality of the firms resources and capabilities and how to build unique skills
and company specific or distinctive competencies. Along with the external

analysis of the companys environment, give managers the information to

choose the strategies and business model to attain a sustained competitive
advantage.

Market Penetration Strategy:

Consumes less time to launch

Effective local market knowledge
Utilize existing logistical support
Effective networking
Creates goodwill and brand value
Promotional Tools

Alternative media( website, sending mail, Direct Marketing)

Installment payment option
Develop effective customer care service

Monitoring Techniques

Progress Reports
Timeline
Outcome Measurement

Operational
Implementation
Phase-1:

Workforce Planning Model - Set Agency Strategic

Direction
Workforce planning naturally complements and is a follow-up to strategic
planning. Just as strategic planning helps agencies map where they are,
where they are going, and how they plan to get there, a workforce plan lays
out the specific tasks and actions needed to ensure an agency has the
resources to accomplish its mission.
One of the main purposes of workforce planning is to ensure that an agency
has the necessary workers to support its mission and strategic plan. In Phase
I, those responsible for workforce planning should identify the agencys
mission and the key goals and objectives of its strategic plan.
A strategic plan charts the future with broad mission-related targets and
milestones. An agencys vision, mission, and measurable goals and objectives
drive the identification of what type of work needs to be accomplished. A
workforce plan translates strategic thinking into concrete action in the area of
workforce staffing and training needs.

Phase-2
Workforce Planning Model - Conduct Workforce
Analysis
Analysis of workforce data is the key element in the workforce planning
process. Workforce analysis frequently considers information such as
occupations, skills and experience, retirement eligibility, diversity, turnover
rates, and trend data. Questions agencies should consider include:
Are there certain occupational groups with increasing worker turnover?
Can factors influencing turnover be identified?
Has turnover reduced the skill set of a certain occupational group?
Answering these questions should help agencies develop plans for stable
staffing levels, succession planning, and skill development. There are four key
steps to the workforce analysis phase of the planning model. These steps are
illustrated below:

Step 1: Supply Analysis

Supply analysis focuses on the specifics of an agencys existing workforce
and projects future workforce supply. This step involves (1) creating a current
workforce profile, (2) reviewing trend data, and (3) projecting future workforce
supply.
A profile of its existing workforce helps an agency understand where it is in
terms of the right number of people with the right skills. Analysis of the current
workforce can include:

Number of employees and contracted workers

Skill assessment of employees
Salary and contract workforce expenditure data
Workforce diversity (age, gender, and race)
Retirement eligibility statistics

Of the items above, all but the skill assessment should be readily available to
agencies through employee payroll records, employee files, and various
human resources databases.

Next, agencies should look at trend data, which provides a picture of what
occurred in the past. It can also help an agency predict the supply of skills that
may be available in the future. Examples of trend data include:
It may be helpful to break down the trend analysis by agency divisions or by
occupational groups. Looking at trend data will help an agency project future
workforce supply. It will also help an agency apply assumptions about how the
variables listed above will influence the future workforce. Trend information
combined with the current workforce profile is an essential building block for
forecasting workforce supply.

Step 2: Demand Analysis

Demand analysis identifies the workforce needed to carry out the mission of
an organization. The focus of this step should be on the functions that an
organization must perform and not just on the people. One reason this step is
separated from the supply projections is to ensure that changes in functions
are considered. These changes might have a significant impact on the size
and kind of workforce that will be needed in the future. This step may provide
one of the greatest benefits in workforce planning because it offers the
chance for an agency to re-examine long-standing assumptions about the
purpose and direction of its programs in light of changes that are taking place
in the external environment. Results include a forecast of the numbers of
employees needed in the future and the skills workers will need.
Two ways to determine future functional requirements are through
environmental scanning and organizational analysis. Environmental scanning
is the process of examining external trends to obtain a better understanding of
what is happening in the environment in which the agency operates. There
are several approaches to environmental scanning. It is also important to
track the changing composition of the workforce and shifting work patterns
including demographics, diversity, outsourcing, and growing and vanishing
occupations. An organizational analysis should include internal factors such
as strategic objectives, business functions, and technology.
Once the "what" and "how" of future work are determined, the next step is to
identify the skills employees need to carry out that work. The future workforce
profile shows the number of workers and the set of worker skills needed for
the agencys future workforce. (See "Factors that Affect Workforce Needs").

Step 3: Gap Analysis

Gap analysis is the process of comparing the workforce supply projection to
the workforce demand forecast. An analysis should consider the composition
of the workforce, including demographic characteristics, geographic location,
size, and employee skill level. The agency will eventually establish workforce
strategies based on the results of this analysis. Analysis results will show one
of the following:
A gap (when projected supply is less than forecasted demand), which
indicates a future shortage of needed workers or skills.
A surplus (when projected supply is greater than forecasted demand), which
indicates a future excess in some categories of workers and may require
action. The surplus data may represent occupations or skills that will not be
needed in the future or at least not needed to the same extent.

Step 4: Strategy Development

The final step in the workforce analysis phase involves the development of
strategies to address future gaps and surpluses. Strategies include the
programs, policies, and practices that assist agencies in recruiting,
developing, and retaining the critical staff needed to achieve program goals. A
wide range of strategies exists for attracting and/or developing staff with
needed skills and dealing with workers or skills no longer needed in an
organization. Once an agency identifies a workforce gap, it needs to develop
and implement effective strategies to fill the gap. Such strategies include
outreach recruitment, contract worker attainment, staff training, and
succession planning. Critical gaps should be analyzed with care to ensure
that timely action is taken before these gaps become a problem for the
organization. Several factors influence which strategy or, more likely, which
combination of strategies should be used. Some of these factors include, but
are not limited to, the following:
Resources - What resources (like, technology, Web sites, structured
templates, and sample plans) are currently available to provide assistance, or
must resources be developed?

Internal depth - Does existing staff demonstrate the potential or interest to

develop new skills and assume new or modified positions, or is external
recruitment needed?
"In-demand" skills - What competition exists for future skills that are
needed? Will the agency need to recruit for these skills or develop them
internally?
Reorganization - Will some divisions need to be reorganized to meet
business needs and strategic objectives?

HR
Implementation
HR department should be implemented
according to the strategic HRM
framework:
In todays intensely competitive and global marketplace, maintaining a
competitive advantage by becoming a low cost leader or a differentiator puts a
heavy premium on having a highly committed or competent workforce.
Competitive advantage lies not just in differentiating a product or service or in
becoming the low cost leader but in also being able to tap the companys
special skills or core competencies and rapidly respond to customers needs
and competitors moves.
In a growing number of organizations human resources are now viewed as a
source of competitive advantage. There is greater recognition that distinctive
competencies are obtained through highly developed employee skills,
distinctive organizational cultures, management processes and systems. This
is in contrast to the traditional emphasis on transferable resources such as
equipment and technology.
The new HR role is to be viewed from the strategic perspective where in HR
plays an important and vital role whilst designing and delivering the HR

strategy for the organization. The approach of HR planning activity is no more

in isolation but very much aligned to the strategy of the organization as a
whole Delivering a strategic impact, the HR strategy needs to be in sync with
the business objectives and the systems and processes incorporated must
also support demonstrating the required results.

Compensation package-the most

significant for wall-mart to increase the
associates motivation level:
The objective of a compensation program, like those pertaining to other HR
functions, should facilitate the effective utilization and management of
organizations human resources. Compensation objectives should also
contribute to the overall objectives of the organization. Compensation
packages must be given to reward employees past performance, to remain
competitive in the labor market, to maintain salary equity among employees,
to motivate employees future performance, to maintain the budget, to attract
new employees, to reduce unnecessary turnover. To achieve these goals,
policies must be established to guide management in making decisions.
Compensation policies typically should include the following:
Pay for performance standard: The term pay for performance refers to a wide
range of compensation options including merit pay, cash bonuses, incentive
pay, and various gain sharing plans. Each of these compensation systems
seeks to differentiate between the pay of average and outstanding
performers. Differentiating performance is a process that improves an
organizations performance. Both organizations and their employees benefit
when pay for performance programs are successfully implemented.
Performance based pay have lots of benefits-performance, motivation, quality
and competitiveness.

Job security:
The associates should be given more job security. If they are secured they
will be less worried about their job, and thus they will be able to give their level
best effort. Employees will be eligible after three years of service and,

Pay rates:

Job transfers may be necessary. Overtime is required during peak demand.

The company with a six-month notice may terminate guaranteed hours.

Profit sharing:
All business profits are split three ways: among the company, the
shareholders, and the employees as a year-end bonus. The company
receives seed money, the shareholders receive a dividend, and the
employees and workers receive a year-end profit sharing bonus. Profit
sharing plans enable employees to share in the profits. Wal-Mart must pay its
workforce a certain amount of bonus from its cumulative cash flow to all
employees. The amount should not be same for all level of employees,
unless they will become dissatisfied. Employees will get different amount
according to the hierarchy.

Pensions:
Give pensions to its employees after retiring from their work. But to get
pension they can add some pre-conditions. Like, employees will have to be in
Wal-Mart for at least 10 to 15 years. But if an employee gets terminated
before that specified period they will get a certain amount of their pension.

Life insurance:
This insurance will provide death benefits to beneficiaries and may also
provide accidental death and dismemberment benefits. So, keeping the
workers and all levels of employees is really very important. If any accident
happens and anyone dies than they will definitely get paid. The Group must
deposit a certain amount of money each month for its employees as life
insurance.

Medical allowance:
The work environment needs to be very safe and sound. There should be
adequate treatment facilities in every plant. Each employee should be given a
certain amount of money each month as medical allowance.

On site health service:

These services are generally designed to handle minor illness and injuries.
They may also include alcohol and drug abuse referral services, in house
counseling programs, and wellness clinics.

Legal services:

One of the fastest growing employee benefits is the prepaid legal service
plan. Wal-Mart can provide this facility as well. There are two general types
of legal services: access plans and comprehensive plans. Access plans
provide free telephone or office consultation, document review, and discounts
on legal fees for more complex matters. Comprehensive plans cover other
services such as representation in divorce cases, real estate transactions,
and civil and criminal trails.

Housing and moving expenses:

A variety of housing services should be provided in Wal-Mart that moves
employees from one office to another and the workers from one plant to
another plant in connection with a transfer or plant relocation. These services
may include helping employees find living quarters, paying for travel and
moving expenses.

Transportation pooling:
Daily transportation to and from work is often a major concern of employees.
The result may be considerable time and energy devoted to organizing car
pools and scrambling for parking spaces. Wal-Mart can offer transportation in
vans. Vanpooling can reduce tardiness and absenteeism.

Recreational and social services:

Wal-Mart can offer different types of sports programs which may include
bowling, baseball, golf, basketball, and tennis, etc. It can build picnic spots
where the employees will go for picnic at least twice a year. Many social
functions can be organizes for employees, workers and their families.
Employees should have a major part bin planning if these functions are to be
successful.

Awards:
Wal-Mart can use awards to recognize productivity, special contributions, and
service to the organization. Top management at special meetings, banquets,
and other functions will present the awards where the honored employees will
receive wide recognition. A non-cash gift is often a more appropriate way to
recognize special achievement.
Review and approve corporate goals and objectives relevant to compensation
of the Sr. Joint Presidents evaluate their performance in light of those goals
and objectives, and, either as a committee or together with the other
independent directors (as directed by the Board), determine and approve their
compensation level based on this evaluation. Assure that the Companys

benefit program applicable to senior management, including the annual and

long-term incentive plans, is administered in a manner consistent with the
Companys compensation strategy.

Linking Performance Management to

Mission Accomplishment:
Required to improve the overall employee
performance
PM focuses on results, rather than behaviors and activities. PM identifies
organizational goals, results needed to achieve those goals, measures of
effectiveness or efficiency (outcomes) toward the goals, and means (drivers)
to achieve the goals. This chain of measurements is examined to ensure
alignment with overall results of the organization. An effective performance
improvement process must follow a systems-based approach while looking at
outcomes and drivers. Otherwise, the effort produces a flawed picture. Like,
laying off people will likely produce short-term profits. These measurements
have a wide variety of useful applications. They are useful in benchmarking,
or setting standards for comparison with best practices in other organizations.
They provide consistent basis for comparison during internal change efforts.
They indicate results during improvement efforts, such as employee training,
management development, quality programs, etc. They help ensure equitable
and fair treatment to employees based on performance. Performance
appraisal is a very crucial part of performance management. The basic steps
should be:

Conduct ongoing observations and measurements

to track performance:
The superiors at work place will observe how the subordinates are performing
and then they will keep records of their performances.
Exchange ongoing feedback about performance: Feedback is information
relevant to how well results are being achieved. Useful feedback is timely,
feasible and understood. Ideally, feedback addresses key activities to improve

or reinforce performance. Usually, the larger the number of sources giving

feedback, the more accurate is the depiction of events. Any ideas to improve
or support performance should be implemented as appropriate. This ongoing
feedback is often one of the most important aspects of performance
management.

Conduct a performance appraisal review:

A performance appraisal (or review) includes documentation of expected
results, standards of performance, progress toward achieving of results, how
well they were achieved, examples indicating achievement, suggestions to
improve performance and how those suggestions can be followed. If the
above steps in the performance management process were followed, the
performance appraisal is usually quite straightforward to carry out.

Reward for performance:

The employees who are performing well and are loyal to their job must be
paid recognition or given rewards, e.g., letter of recognition, promotion, letter
of commendation, etc. This step in the performance management process is
often overlooked when focusing on organization-wide performance
improvement, or on a major subsystem.

Training Methods:
There are two broad types of training available to small businesses: on-thejob and off-the-job techniques. Individual circumstances and the "who," "what"
and "why" of your training program determine which method to use.

On-the-job training:
It is delivered to employees while they perform their regular jobs. In this way,
they do not lose time while they are learning. After a plan is developed for
what should be taught, employees should be informed of the details. A
timetable should be established with periodic evaluations to inform employees
about their progress. On-the-job techniques include orientations, job
instruction training, apprenticeships, internships and assistantships, job
rotation and coaching.

Off-the-job techniques:
This technique includes lectures, special study, films, television conferences
or discussions, case studies, role-playing, simulation, programmed instruction
and laboratory training. Most of these techniques, can be used by small
businesses although, some may be too costly.

Orientations:
Orientations are for new employees. The first several days on the job are
crucial in the success of new employees. This point is illustrated by the fact
that 60 percent of all employees who quit do so in the first ten days. Some
companies use verbal presentations while others have written presentations.
Many small businesses convey these topics in one-on-one orientations. No
matter what method is used, it is important that the newcomer understand his
or her new place of employment.

Lectures:
These present training material verbally and are used when the goal is to
present a great deal of material to many people. It is more cost effective to
lecture to a group than to train people individually. Lecturing is one-way
communication and as such may not be the most effective way to train. Also,
it is hard to ensure that the entire audience understands a topic on the same
level; by targeting the average attendee you may under train some and lose
others. Despite these drawbacks, lecturing is the most cost-effective way of
reaching large audiences.

Audiovisual methods:
These methods are such as television; videotapes and films are the most
effective means of providing real world conditions and situations in a short
time. One advantage is that the presentation is the same no matter how many
times it's played. This is not true with lectures, which can change as the
speaker is changed or can be influenced by outside constraints. The major
flaw with the audiovisual method is that it does not allow for questions and
interactions with the speaker, nor does it allow for changes in the presentation
for different audiences.

Job rotation:
It involves moving an employee through a series of jobs so he or she can get
a good feel for the tasks that are associated with different jobs. It is usually
used in training for supervisory positions. The employee learns a little about

everything. This is a good strategy for small businesses because of the many
jobs an employee may be asked to do.

Apprenticeships:
These develop employees who can do many different tasks. They usually
involve several related groups of skills that allow the apprentice to practice a
particular trade, and they take place over a long period of time in which the
apprentice works for, and with, the senior skilled worker. Apprenticeships are
especially appropriate for jobs requiring production skills.

Internships and assistantships:

These are usually a combination of classroom and on-the-job training. They
are often used to train prospective managers or marketing personnel.

Programmed learning:
This computer-aided instruction and interactive video all have one thing in
common: they allow the trainee to learn at his or her own pace. Also, they
allow material already learned to be bypassed in favor of material with which a
trainee is having difficulty. After the introductory period, the instructor need not
be present, and the trainee can learn as his or her time allows. These
methods sound good, but may be beyond the resources of some small
businesses.

Financial
Implementation
The financial implementation of this recommended solution will be done in
several steps. This will increase the feasibility aspects of the recommended
alternative. For any company finance can't be undervalued and can be said
that it's the lifeline of a business and is required for its well-being. It can be
said to be a lubricant which keeps the business running. Whether we have a
small, medium or large business, we will always need finance, right from the
beginning to promoting and establishing our product, acquiring assets, employ
people, encouraging them to work for the development of our product and
create a brand name. In addition to that, a current business may need finance
for expansion or making changes to its products as per the market
requirements.
To ensure the proper functioning of the finance department, Wall-Mart need
dynamic and reliable financial managers. HR will help them to find the correct
person. After the necessary recruitment and needed shuffling the finance
department, it will be ready to go hand in hand with the other departments of
the company.
To execute every plan money is the primary requirement. Nothing can be
done without money. But at the same time we need to be careful about the
proper use of money. The finance department in a company is of utmost
importance as they are responsible for financial planning ensuring that
adequate funds are available for achieving the objectives of the organization.
Moreover, it is the finance department which makes sure that the prices are
controlled, besides looking after the cash flow and controlling profitability
levels.

Financial forecasts are predictions of future events relating strictly to expected

costs and revenue costs for future years. There are major expenditures, which
include:

Research costs,
Technology development costs,

Promotion costs and

Service costs.

All this costs will have to be estimated by financial analysts to in order to

predict the future profitability of the strategy. There are some other costs and
some process for acquisition a company and they are given below:

Total cost
Total cost of ownership

Generally finance related issues are dealt by the Finance Department. So,
this time as well when it came to forecasting feasibility it would be up to the
financial department to do the job properly.
The recommendation is likely to be implemented in the facilities of the WallMart. But strategic alliance will be done with subsidiary companies.
This recommendation should be implemented within 6 to 8 months at
strategically suitable time when both investments and opportunities of
expansion are available.

Integration

Board of
Directors

Human
Resource

Marketing
Department

Process
Department
Finance
Department

In the integration part we will be focusing on how to effectively and efficiently

coordinate the Marketing department, the Human Resource department, the
Finance department to achieve the suggested alternative, thus creating a
strong value chain. This would bring bright future for Wall-Mart in international
market through this alternative demands high level of integration among these
parts. That is why we will be designing the integration phase in such a way
that every departments works would be done by aligning with other
departments.
Integrated business planning (IBP) refers to the technologies, applications
and processes of connecting the planning function across the enterprise to
improve organizational alignment and financial performance. IBP accurately

represents a holistic model of the company in order to link strategic

planning and operational planning with financial planning.
By deploying a single model across the enterprise and leveraging the
organizations information assets, corporate executives, business unit heads
and planning managers use IBP to evaluate plans and activities based on the
true economic impact of each consideration.

Integrating marketing efforts with the finance, production & logistics

department and the process department is very important for a firm like WallMart. Mainly the marketing efforts that are going to be taken in different media
and the communication line used in those ad media would be integrated.
I. Marketing Goal
For goal of marketing implementation is to promote and brand the products of
wall-mart in the yet untapped emerging market of the world to ensure its
global expansion and business sustainability.
II. Marketing Objectives
Create demand for all appliances and capture the major market share.
III. Target Market Segments
For our recommended solution we have selected to target market segment
with skilled employees:

Can be achieved through Integrated Marketing

Communication
IMC is the coordination and integration of all marketing communication tools,
avenues, functions and sources within a company into a seamless program
that maximizes the impact on consumers and other end users at a minimal
cost. It aims to ensure consistency of message and the complementary use of
media. The concept includes online and offline marketing channels.
Online marketing channels include any e-marketing campaigns or programs
and they can get free access. A company develops its integrated marketing
communication program using all the elements of the marketing mix.

Integrating Human
Integrating Human Resource department is the most important job for a
company, because the companies have identified the importance of retaining
a highly skilled employee or selecting and recruiting a huge number of
employees. The companies have seen that in todays highly competitive
business environment a firm can only achieve and sustain a competitive
advantage. And to achieve it all the departments of a company have to work
closely with HR and the integration level has to be very exclusive.

Employee Compensation and Benefits:

This covers salaries, bonuses, vacation pay, sick leave pay, Workers'
Compensation, and insurance policies such as medical, health and accidents.
The Human Resources Department is responsible for developing and
administering a benefits compensation system that serves as an incentive to
ensure the recruitment and detainment of top talent that will stay on with the
company. When an employee is hired, the company's Benefits Coordinator is
required to meet with employees one-on-one or in small group settings to
explain their benefits package. This often requires an employee to make an
informed decision and to provide their signature for processing purposes
should try to keep the employees happy by giving them good compensation
and benefits. It will increase the association of the workers with the
organization and will make them happy. A happy workforce can work more
efficiently and it will also help the organization to overcome the future risks of
strike, vandalism, and other unavoidable mishaps.
Incentives and benefits are not strictly monitored and are creating
dissatisfaction among employees at Wall-Mart. It is the responsibility of the
management to take care that the basic benefits given to the employees are
of good quality. This will satisfy the employees and motivate them to work
better. They will feel that the management takes good care of them and that
they should also work with better efficiency and effectiveness. It is quite
difficult for any employee to move to solid performance directly from poor
performance. The performance appraisal is very rigid and therefore it

demotivates the employees on the whole since the scope for better
performance is very limited. This makes it very difficult for the employees of
Wall-Mart Corporation to perform better and get promoted.

Evaluation and Feedback

The management should evaluate the employees and give them the
feedback. It is very important for any organization. In this part, in the
performance appraisal system, previously, it is quite difficult for any employee
to move from scale 2 to 3. The gap between the scale 2 and 3 is also a
problem since it limits the scope of employees to perform better. It is quite
difficult for any employee to move to solid performance directly from poor
performance. The performance appraisal is very rigid and therefore,
discourages the employees on the whole since the scope for better
performance is very limited. The Human Resources Department is
responsible for developing and administering a benefits compensation system
that serves as an incentive to ensure the recruitment and detainment of top
talent that will stay on with the company. When an employee is hired, the
company's Benefits Coordinator is required to meet with employees one-onone or in small group settings to explain their benefits package. This often
requires an employee to make an informed decision and to provide their
signature for processing purposes should try to keep the employees happy by
giving them good compensation and benefits. It will increase the association
of the workers with the organization and will make them happy. It believes that
a qualified workforce can only be achieved by a dynamic Human Resource
Department, which will seek to attract the diverse organizational talents in
various innovative ways. Not to mention the need to recruit, select, train and
develop the employees, the responsibilities of HR department for Wall-Mart go
beyond explanation.

Integrating
Finance
Wall-Mart would require an exclusive integration with the human resource
department, marketing department and the purchase department so that the
finance department could have more effect on overall strategy.

First Stage
Financial forecasts are predictions of future events relating strictly to expected
costs and revenue costs for future years. There are five major expenditures,
which include

Research costs,
Technology development costs,
Product costs,
Promotion costs and
Distribution costs.

All this costs will have to be estimated by financial analysts to in order to

predict the future profitability of the strategy.
There are some other costs and some process for a company and they are
given below:

Total cost
Total cost of ownership
Particular countrys Government alliance process

Second Stage
Generally finance related issues are dealt by the Finance Department. So,
this time as well when it came to forecasting feasibility it would be up to the
financial department to do the job properly.

Third Stage
The recommendation is likely to be implemented in the facilities of the WallMart. But strategic alliance will be done with local countries.

Fourth Stage
This recommendation should be implemented as soon as possible at
strategically suitable time when both investments and opportunities of
expansion are available. But it should be soon as competition is rising.

Total Integration

A balanced scorecard will enable Wal-Mart to

clarify its vision and strategy and translate them into actions.

While there is good reason to doubt that

compulsory workers compensation reliably improves the lot of
employees, there is still the rest of society to consider. Workers
compensation may protect or benefit parties other than the employers
or employees concerned.

A philosophy of continuous learning in which

feedback is used to identify achievements and to make ongoing
adjustments to agreed-upon strategies/initiatives to ensure continued
excellence of services (in response to ongoing changes arising from
internal and external environment).

Identifying which reports need to be replaced and

designing new reports before implementing the Balanced Scorecard
methodology

Pinpointing the critical information that is required

from each department for analyzing the overall success of your
performance management system

It is followed by the development of performance

measures. This is a phased process in which one step should be
completed before moving onto the next. The step-by-step approach is
necessary to reduce resistance to what may be perceived as a highly
threatening project and to build support for performance measurement
across the organization.

More extensive training and development program

is required to improve the employee performance in Wal-Mart

Help build cooperative culture with highly

motivated employees and Supportive and demanding atmosphere.

Team management and functioning. Managing

projects, setting goals, clarifying roles, and solving problems in teams
are skills that must be developed. New organizational skills must be
developed if teams are to operate effectively and efficiently.

Communication. People must learn how to

communicate effectively in teams and between teams across the entire

organization. Employees must use communication to resolve and

manage conflicts, and to air and resolve grievances and complaints.