The effectiveness of the business depends on a well-built policy of personnel work. Especially in front of large companies such as Walmart, the issue of personnel selection and coordination is always the most acute. Therefore, the paper will consider the characteristics of personnel and stakeholders of Walmart, taking into account ethical issues to identify possible alternatives to the existing strategy. The main concerns of human resources are how effectively, and competently the formed team will perform and by what criteria will it be selected. If they are not solved in time, the positive development of the business is incomprehensible.
Walmart’s personnel policy is often subject to criticism, which makes it necessary to study its specifics. Every Walmart employee is expected to think and act the way any retail entrepreneur does. Despite the focus on the customer, the central fact is that Walmart is often criticized for low employee salaries and minimal spending on improving working conditions (Jiang, 2019). The primary reason is the management’s fear of losing profits due to additional employee expenditure. It raises the major ethical issue of the correlation between the organization’s financial performance growth and the working conditions provided. Moreover, the problems of the organization raise the important ethical issue of human dignity and proper salary, which is important in human resource management and should be explored in this course.
Moreover, the quality of service depends on the employee, and offering high-quality service without considering the needs of employees is likewise an important issue to study. The question of the level of wages and working conditions is a critical issue to research and propose possible alternatives. Therefore, the study will use scientific articles that contain information about the specifics of working with human resources. Moreover, the work will take into account the legislation of employees in order to establish possible discrepancies and offer legitimate alternatives.
Walmart has a large number of employees whose activities ensure the viability of the company. However, about 40 percent of them are dissatisfied with their salaries (Volpe & Boland, 2022). Despite the fact that the workers have a legal working hours and conditions, their level of satisfaction with the company is low. Outcomes depend on the competence and effort of the staff; therefore, employees are one of the stakeholders. The corporation must keep employees engaged by paying them in accordance with industry standards, yet it would raise costs and lower profit (Volpe & Boland, 2022). This is the most challenging ethical dilemma relating to employees.
The management is another group that has an exclusive authority to preserve the respect and confidence of the diverse range of stakeholders. The ethical challenge facing management is finding a balance between serving its own interests and those of the firm as a whole. Thus, the company’s management needs to find the right balance between financial performance growth and working conditions for employees. In this case, the standardization of working hours, vacation, and pay per hour must be within the existing legislation. It is the most complicated and contradictory problem because the increase in salaries and the creation of bonuses will bear financial costs.
The loyalty of qualified personnel is the key to the successful development of any business. Highly skilled professionals are in short supply, and rank-and-file employees are sometimes crucial to attracting customers (Jindal et al., 2021). Therefore, it becomes evident that the company’s efficiency depends directly on the employees, and the remuneration should be appropriate. Walmart should raise salaries and expand employee benefits. It will strengthen the desire of employees to provide high quality service and motivate them to work. For investors, this strategy will likewise be positive because it indicates a possible increase in sales. The experience of large companies has shown that what is suitable for employees is pleasing for customers and shareholders (Jindal et al., 2021). If company management does not agree to increase salary levels, a more flexible work schedule could be an alternative. This improvement would enhance social security and health insurance according to personal preference. At the same time, it can be a challenge for the company’s budget policy and reduce its growth for a certain period.
It is possible to propose developing a training program offering career paths for employees who want to move beyond entry-level positions. Those who complete training programs will have the opportunity to compete for jobs with higher responsibilities and salaries. The disadvantages of this alternative are the need to work under the old guidelines and selectivity because only some workers can be promoted. However, employees will be more motivated, which is a variable necessary for quality service. Alternatives have positive and negative aspects, but the transformation is necessary for a company to continue to be a leader in the market.
Outcomes and Conclusions
Thus, Walmart’s change in staffing strategy is another strong signal to the market. Today, employees are not merely an expense item but one of the most critical resources of the business. Investing in employee payroll and loyalty can generate profits and increase shareholder returns. An improper human resources strategy can end even a successful company. Therefore, when evaluating a company’s prospects, investors must consider its personnel policies.
Companies stuck in authoritarian management’s past, which do not provide opportunities for telecommuting and training, are unlikely to show sustainable growth in the long term, regardless of the field. This information should be used to understand the critical role of human resources strategy and each employee’s perception as a distinctive company member. Walmart should modify its personnel policy following this principle and guarantee workers a decent wage and the opportunity to develop. It will help to increase motivation and the company’s financial performance.
Jiang, Y. (2019). Motivation at work and organizational culture case study of Walmart. International Journal of Education and Technology, 23, 159.
Jindal, R. P., Gauri, D. K., Li, W., & Ma, Y. (2021). Omnichannel battle between Amazon and Walmart: Is the focus on delivery the best strategy? Journal of Business Research, 122, 270-280.
Volpe, R., & Boland, M. A. (2022). The economic impacts of Walmart supercenters. Annual Review of Resource Economics, 14.