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BUSINESS INSIGHT
VENKATESH DAMODHARAN
I-YEAR MBA
SRI KRISHNA COLLEGE OF ENGINEERING AND
TECHNOLOGY
FORTUNE 500
An annual list of the 500 largest companies
in the United States as compiled by
FORTUNE magazine that includes both
public and private companies.
The criteria for Fortune 500 list is based on
Revenue
 Exxon Mobil, Wal-Mart, General Electric
and Chevron have reached the top spots on
the list in recent years.
 To be a Fortune 500 company is widely
considered as a mark of prestige.
MY CHOICE
ABOUT THE COMPANY
 TYPE : PUBLIC
 INDUSTRY : RETAIL
 FOUNDER : SAM WALTON
 CURRENT CEO : DOUG McMILLON
 REVENUE :US$ 485.651 billion
 NO.OF.LOCATIONS :11,532 (July 31, 2015)
 NO.OF.EMPLOYEES : 2.2 MILLION(2015)
 NO.OF.SUBSIDIARIES :13
SLOGAN : “SAVE MONEY.LIVE BETTER”
CONSTITUTES 2% OF TOTALAMERICAN ECONOMY
REASONS FOR SELECTION
Leadership of “SAM WALTON”
Ability to give
“EVERYDAY LOW PRICE”
SAM WALTON’S TEN
COMMANDMENTS OF BUSINESS
1. Commit to your goal
2. Share your rewards
3. Energize your colleagues
4. Communicate all you know
5. Value your associates
6. Celebrate your success
7. Listen to everyone
8. Deliver more than you promise
9. Work smarter than others
10. Blaze your own path
EVERY DAY LOW PRICE
1. Sales volume, scope of operation and
wide customer base
2. Supply chain management
3. Minimization of overhead and operational
costs
4. Leveraging of Its bargaining power to force
suppliers to lower prices
SALES VOLUME, SCOPE OF OPERATION
AND WIDE CUSTOMER BASE
 It sells almost everything, and being present
almost everywhere.
 It sells goods through four types of stores:
Discount stores, Wal-Mart Supercenters, Sam's
Club warehouses, and neighborhood markets.
 90% of Americans live within 15 miles of a Wal-
Mart store.
 Its large volume of sales enables it to make
substantial profits, even in instances where
individual margins on single items may be
slimmer than those of its competitors.
SUPPLY CHAIN MANAGEMENT
 The goal was to master the art of knowing what it
needed, how much was needed, and when it is needed.
 Deals directly with manufacturers.
 It has the largest private satellite system that enables the
easy transfer of this information among all participants in
its supply chain process.
 Wal-Mart opened stores in small, rural towns first before
entering metropolitan areas. This resulted in lower
operating expenses.
MINIMIZATION OF OPERATIONAL COSTS
 Its executives reportedly fly coach and share
hotel rooms with colleagues.
 The company has even been accused of
demanding that hourly workers put in overtime
without pay.
LEVERAGING OF ITS BARGAINING POWER
 Many well-known companies rely on Walmart
for more than 20% of their revenue
 Wal-Mart, as the number one supplier-retailer of
most of the consumer goods, wields considerable
power over their bottom line and in fact wields
this power over almost all the consumer goods
industries and they force to give goods at
cheaper prices continuously.
CURRENT LEADER
 The current CEO of Wal-Mart is DOUG McMILLON
 CARRER PATH :
 1984 – Summer associate at a Wal-Mart Distribution
Center
 1990 – Began full-time career working at a Wal-Mart
 2006–2009 – President and CEO of Sam's Club
 2010–2013 – President and CEO of Wal-Mart
International
 2013 – CURRENT - CEO of Wal-Mart
ACHIEVEMENTS AT SAM’S CLUB
 From 2006 to 2009, McMillan served as
President and CEO of Sam’s Club, an operating
segment of Wal-Mart, with sales of more than
$46 billion annually during his tenure.
 Prior to heading Sam’s Club, McMillan held the
role of Executive Vice President of
merchandising and replenishment and helped
drive the renewed focus on small business
owners.
ACHIEVEMENT’S AT WAL-MART INTERNATIONAL
 During McMillan's tenure, Wal-Mart International grew
revenues by more than $50 billion and added nearly
3,000 stores.
 McMillon oversaw acquisitions in markets such as
China, the United Kingdom, Canada, Brazil, Central
America
 McMillan also worked to globalize Wal-Mart's “Every
Day Low Prices” strategy and began to implement the
strategy in some of Wal-Mart's International markets
Queries
EFFORT NEVER DIES

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Walmart ppt

  • 1. BUSINESS INSIGHT VENKATESH DAMODHARAN I-YEAR MBA SRI KRISHNA COLLEGE OF ENGINEERING AND TECHNOLOGY
  • 2. FORTUNE 500 An annual list of the 500 largest companies in the United States as compiled by FORTUNE magazine that includes both public and private companies. The criteria for Fortune 500 list is based on Revenue  Exxon Mobil, Wal-Mart, General Electric and Chevron have reached the top spots on the list in recent years.  To be a Fortune 500 company is widely considered as a mark of prestige.
  • 4. ABOUT THE COMPANY  TYPE : PUBLIC  INDUSTRY : RETAIL  FOUNDER : SAM WALTON  CURRENT CEO : DOUG McMILLON  REVENUE :US$ 485.651 billion  NO.OF.LOCATIONS :11,532 (July 31, 2015)  NO.OF.EMPLOYEES : 2.2 MILLION(2015)  NO.OF.SUBSIDIARIES :13 SLOGAN : “SAVE MONEY.LIVE BETTER” CONSTITUTES 2% OF TOTALAMERICAN ECONOMY
  • 5. REASONS FOR SELECTION Leadership of “SAM WALTON” Ability to give “EVERYDAY LOW PRICE”
  • 6. SAM WALTON’S TEN COMMANDMENTS OF BUSINESS 1. Commit to your goal 2. Share your rewards 3. Energize your colleagues 4. Communicate all you know 5. Value your associates 6. Celebrate your success 7. Listen to everyone 8. Deliver more than you promise 9. Work smarter than others 10. Blaze your own path
  • 7. EVERY DAY LOW PRICE 1. Sales volume, scope of operation and wide customer base 2. Supply chain management 3. Minimization of overhead and operational costs 4. Leveraging of Its bargaining power to force suppliers to lower prices
  • 8. SALES VOLUME, SCOPE OF OPERATION AND WIDE CUSTOMER BASE  It sells almost everything, and being present almost everywhere.  It sells goods through four types of stores: Discount stores, Wal-Mart Supercenters, Sam's Club warehouses, and neighborhood markets.  90% of Americans live within 15 miles of a Wal- Mart store.  Its large volume of sales enables it to make substantial profits, even in instances where individual margins on single items may be slimmer than those of its competitors.
  • 9. SUPPLY CHAIN MANAGEMENT  The goal was to master the art of knowing what it needed, how much was needed, and when it is needed.  Deals directly with manufacturers.  It has the largest private satellite system that enables the easy transfer of this information among all participants in its supply chain process.  Wal-Mart opened stores in small, rural towns first before entering metropolitan areas. This resulted in lower operating expenses.
  • 10. MINIMIZATION OF OPERATIONAL COSTS  Its executives reportedly fly coach and share hotel rooms with colleagues.  The company has even been accused of demanding that hourly workers put in overtime without pay.
  • 11. LEVERAGING OF ITS BARGAINING POWER  Many well-known companies rely on Walmart for more than 20% of their revenue  Wal-Mart, as the number one supplier-retailer of most of the consumer goods, wields considerable power over their bottom line and in fact wields this power over almost all the consumer goods industries and they force to give goods at cheaper prices continuously.
  • 12. CURRENT LEADER  The current CEO of Wal-Mart is DOUG McMILLON  CARRER PATH :  1984 – Summer associate at a Wal-Mart Distribution Center  1990 – Began full-time career working at a Wal-Mart  2006–2009 – President and CEO of Sam's Club  2010–2013 – President and CEO of Wal-Mart International  2013 – CURRENT - CEO of Wal-Mart
  • 13. ACHIEVEMENTS AT SAM’S CLUB  From 2006 to 2009, McMillan served as President and CEO of Sam’s Club, an operating segment of Wal-Mart, with sales of more than $46 billion annually during his tenure.  Prior to heading Sam’s Club, McMillan held the role of Executive Vice President of merchandising and replenishment and helped drive the renewed focus on small business owners.
  • 14. ACHIEVEMENT’S AT WAL-MART INTERNATIONAL  During McMillan's tenure, Wal-Mart International grew revenues by more than $50 billion and added nearly 3,000 stores.  McMillon oversaw acquisitions in markets such as China, the United Kingdom, Canada, Brazil, Central America  McMillan also worked to globalize Wal-Mart's “Every Day Low Prices” strategy and began to implement the strategy in some of Wal-Mart's International markets