This is a PowerPoint presentation for a group project I did in my Strategic Human Resource Management class. While the information in the PowerPoint was gathered as I group, I did all the formatting of the slides.
1. Team E
Andrew Caetta
George Ferreri
Carolyn Hardin
Hannah Patrick
Margaret Tudor
MNGT 483.001
Using HR to Drive Firm Performance
2. History
◦ Founded in Austin, Texas, in 1980
◦ Over 284 stores in the United States, Canada, and
the United Kingdom
◦ First Certified Organic grocer
3. “Whole Foods, Whole People, Whole Planet”
Whole Foods- most nutritious and not
artificially altered
Whole People- passionate team member
Whole Planet- care of the world and
community involvement
(Annual 10-K Report, 2009)
4. Selling the Highest Quality Natural and Organic
Products Available
Satisfying and Delighting Our Customers
Supporting Team Member Happiness and
Excellence
Creating Wealth Through Profits & Growth
Caring about our Communities & Our
Environment
Creating ongoing win-win partnerships with our
suppliers
Promoting the health of our stakeholders
through healthy eating education.
(Core Values, 2009)
7. Strengths Weaknesses
Organic food-free of
pesticides, preservatives,
sweeteners
#1 Natural foods chain
Offers 2,400 items in 4 lines
of private-label products
“Value Gurus” lead tours in
Whole Food Market stores in
order to help customers find
bargains within the store.
Not competitive in pricing
All organic foods must meet
USDA organic Rule
(Hoover, 2010)
8. Opportunities Threats
Plan to open 15 new stores in
2010
Plan to expand
internationally to Europe
Increasing media attention to
health will interest people on
Whole Foods’ products
Community involvement
creates brand recognition
between Whole Foods and
healthy foods
Inflation in cost of food creates
more competition with other
stores
Customers may value saving
money more than eating
organic
Governmental changes/
regulation changes by FDA or
USDA greatly impact Whole
Foods processes and products
(Hoover, 2010)
(Novak, 2010)
9. •Customer Service
•Personal Service
TDR #1-Resolve customer
complaints and answer
customer questions
•Active listening
•Critical thinking
•Oral expression
TDR #2-Provide employees
guidance in escalated
disputes or complaints
•Administration skills
•Management skills
TDR #3-Implement
policies, procedures, and
service standards
•Problem sensitivity
•Monitoring
•Speaking and instructing
TDR #4-Discuss job
performance with
employees
13. Compressed Pay- executive salary cap, no more
than 19 times average hourly wage (HPWP, Pfeffer)
Unique benefits- benefits for same-sex partner,
100% healthcare coverage, compressed workweek
(CNN Money, 2010)
Disclosure of financial data including all salaries
Bonuses based on teams vs. individual performance
Use of teams- corporate culture of “shared fate”
(HPWP, Pfeffer)
BARS
360⁰ feedback
14. America’s First Organic Grocer-USDA and
CCOF
Yearly independent audits which ensure:
◦ Organic claims are met
◦ Organic products do not commingle with non-
organic
◦ Team members are trained on organic standards
◦ Team members are trained on how to handle
organic products
(Organic Foods, 2010)
15. Numerous orientation classes
◦ Store Tour
◦ Company information
◦ Product knowledge training
◦ Department specific training
◦ Customer service training
Whole Foods Market University
◦ Intro to organics
◦ Intro to quality standards
◦ Gain-sharing program for team members
(WFM, Career and Benefits, 2010)
17. Extensive customer service training
◦ WFM University
Hiring based on customer service orientation
Performance evaluations
◦ 360 Feedback- Evaluated by supervisor, team
members, and customers
◦ BARS
Metrics
Customer satisfaction index
Evaluation score
Ranked #7 in MSN Money's Customer Service hall of fame
list (out of 145 companies)
20. Selection Labor Relations Training and
Development
Compensation
Selection:
Behavioral
Interview
N/A
Labor Relations:
Union Avoidance ∙ N/A
Training and
Development:
Whole Food
University
+ + N/A
Compensation:
Gainsharing + + + N/A
21. Resource flexibility
◦ Small teams are cross-trained
◦ Cross functional teams allow for the development
of transferable skill-sets
Coordination Flexibility
◦ Large teams are highly specialized
◦ Specialized team members add to the breadth of
skills that can quickly be redeployed when needed
24. Food as a resource
◦ Highest quality of food product
◦ Team members place meticulous analysis on food
◦ Makes food imperfectly imitable and cannot be
substituted
25. People as a resource
◦ Effective training
◦ Emphasis on “teams” and teamwork
◦ Sense of belongingness
◦ Valuable knowledge added to the firm
◦ Human capital of Whole Foods is rare to
competitors and non-substitutable
26. HPWP are best suited for the company's
unique product offering (Industry
Differentiation)
Research supports the contingency theory
that says the value of utilizing high-
performance work systems will be influenced
by a firms industry content (Datta et al.,
2005)
27. When HPWP is high there is a positive
relationship between retention and
productivity
HPWP will increase the reliance upon
employees' tacit or specialized knowledge ,
making them more distinctive and less easily
replaceable (Guthrie, 2001)
29. Annual 10-k Report 2009. (2009, December). Retrieved April 10,
2010, from Whole Foods:
http://www.wholefoodsmarket.com/comp any/pdfs/2009_10k.pdf
Guthrie. (2001). High involvement work practices, turnover, and
productivity: Evidence from New Zealand. Academy of
Management Journal.
Hoovers, A D&B Company. (2010, April 2). WFM Inc. Retrieved April 20,
2010, from LexisNexis Academic:
http://www.lexisnexis.com/us/Inacademic/search/companyDossie
rsubmitForm.do
Novak, D. (n.d.). WFMSWOT. Marketing Teacher Homepage. Retrieved April
26, 2010, from
http://www.marketingteacher.com/SWOT/whole_foods_swot.html
Pfeffer, J. (1998). The Human Equation Building Profits by Putting People.
Harvard Business School Press.
Urani, D. (2008, February 22). Whole Foods Market: On Track for Organic
Success. Retrieved April 20, 2010, from Seeking Alpha:
http://seekingalpha.com/article/65687-whole-foods-market-on-
track-for-organic-success
30. WFM: Career Benefits. (n.d.). WFM: Career Benefits Retrieved March 30, 2010,
from http://www.wholefoodsmarket.com/careers/benefits.php
WFM: Core Values. (n.d.). WFM: Core Values Retrieved March 30, 2010, from
http://www.wholefoodsmarket.com/value/corevalues.php
WFM Interview Questions | Glassdoor.com. (n.d.). Glassdoor.com - Company
Salaries and Reviews. Retrieved April 20, 2010, from
http://www.glassdoor.com/Interview/Whole-Foods-Interview-
Questions-E422.htm
WFM: Natural and Organic Grocery. (n.d.). WFM: Natural and Organic Grocery.
Retrieved March 30, 2010, from http://www.wholefoodsmarket.com
Wright., & McMahan. (1992). Theoretical perspectives for strategic human
resource management. Journal of Management.
Wright., & Snell. (1998). Toward a unifying framework for exploring fit and
flexibility in strategic human resource management. Academy of
Management Review.
Yahoo. (n.d.). Yahoo Finance. Retrieved April 26, 2010, from
finance.yahoo.com/echarts?s=WFMI+Interactive#chart2:symbol=wfmi;r
ange=my;comp
