Chapter 10

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Motivating Employees. Chapter 10. By Kelsey Lowe. Brief History. Founder: Sam Walton Opened first Walmart in Rogers, Arkansas in 1962 Sam and his wife, Helen put up 95% of the money to open the first store He then opened 15 more in 1972
Motivating EmployeesChapter 10By Kelsey LoweBrief History
  • Founder: Sam Walton
  • Opened first Walmart in Rogers, Arkansas in 1962
  • Sam and his wife, Helen put up 95% of the money to open the first store
  • He then opened 15 more in 1972
  • When the stock went public 260 more stores, in 11 states, were built by 1980
  • In 1983 the first Sam’s Club opened; 1988 first Supercenter
  • By 1989, there were 1,402 Walmart stores and 123 Sam’s Clubs
  • Now there are 9,759 stores and clubs in 28 countries
  • Secret: Give the customer what they want
  • Employees
  • Employs 2.1 million associates globally
  • 1.4 million is the U.S.
  • One of largest private employers in the U.S.
  • Largest in Mexico
  • One of largest in Canada
  • Herzberg’s Motivating Factors
  • Question: What creates enthusiasm for workers and makes them work to full potential?
  • Motivational
  • 1. Sense of achievement- recognize hard workers in morning
  • meetings
  • 2. Earned Recognition
  • 3. Interest in work itself- put the employees in appropriate
  • department
  • 4. Opportunity for growth- learn department; develop skills in
  • that department
  • 5. Opportunity for advancement- know steps of the career path
  • 6. Importance of responsibility- run each department like it was
  • own storeHerzberg’s Motivating Factors Cont.
  • Hygiene:
  • 7. Peer and Group relationships- new mangers get a mentor; get
  • together once a week for lunch discussions
  • 8. Pay- bonuses every quarter; pay increases with promotions
  • 9. Supervisor’s fairness- family can’t work under family; policies
  • of fairness
  • 10. Company policies and rules- make fair and consistent work
  • place
  • 11. Status
  • 12. Job Security- one of largest companies and it is growing
  • 13. Supervisors friendliness- surveys on supervisors
  • 14. Working conditions- inside; clean; safe
  • Equity Theory
  • The idea that employees try to maintain equity between inputs and outputs compared to others in similar positions.
  • Walmart: Employees aren’t allowed to discuss their salaries.
  • Recognizing a Job Well Done
  • Promotions aren’t the only way to celebrate a job well done.
  • Walmart’s ways:
  • Have the employee stand at the meetings and tell what they have done right
  • Give them Walmart pins
  • Ice Cream parties
  • Closed down Animal Kingdom (Disney World Park) for night and let the employees in for free
  • Let employees in to Disney World early and let families stay a couple of nights for free
  • Closed down Universal Studios and let the employees in for free
  • Questions
  • 1. What motivates you to work hard at your job?
  • 2. Do you feel that pay isn’t as important as achievement, recognition and interest in the work that you are doing?
  • Sources
  • Steve: Walmart District Manager
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