At Home Depot there is a large staff management and leadership
roles within the organization to satisfy its customers. The dedication
to providing its customers the best shopping experience is their first
priority. To help support this vision and responsibility exists a
leadership team that believes in the virtues of the company. The
association also believes in the responsibility for customer service to
create value for all stakeholders.
Home Depot is a company founded in 1978
by Bernie Marcus and Arthur Blank.
1979: Bernie Marcus and Arthur Blank open the
first three Home Depot stores in Atlanta, Georgia.
1981:Home Depot offers its stock to the public; opens
stores in Florida.
1983:Stores open in Arizona and Louisiana.
1985:Company posts sales of $700 million;
opens stores in California.
1988:Home Depot has ninety-six stores at year's end.
1990:Annual sales reach $3.8 billion at 145 stores.
1991:Company opens first EXPO Design Center in San Diego,
1993:Home Depot expands into Pacific Northwest.
1994:Company opens stores in Canada; annual sales
are $12.5 billion.
1997:Blank replaces Marcus as CEO.
1999:Built From Scratch by Marcus and Blank is published.
2001:Company acquires Total HOME, a four-store chain in
Mexico; annual sales top $53 billion.
2002:Robert L Nardelli becomes CEO.
Home Depot has eight corporate values that are designed to
guide the actions of its employees at all levels:
1. Taking care of our people
2. Giving back to our communities
3. Doing the right thing
4. Excellent customer service
5. Creating shareholder value
6. Building strong relationships
7. Entrepreneurial spirit
8. Respect for all people
The founders of Home Depot had a vision to introduce a one-stop
To create a company that will conserve and develop their employees
to their standard of values of their company.
They are committed to their clients, to offer products at competitive
prices, recognized brands globally to meet the needs of the market.
More saving. More doing.
At Home Depot is important to monitor short-term goals to
ensure they are being met, and why not.
They have four different forms of planning: strategic,
tactical, operational and contingency.
• The strategic is the process of making decisions about
the organization the long-term and the strategies that
should come from the CEO’s of Home Depot, they are
responsible for the growth of the company.
• The tactic is the procedure of specific plans that are
important for an effective organization in the marketing
area. (corporate managers are involved with the group's
• Operational planning is the process and procedures required
instructions to employees. Both employees and managers need
to know the day to day operations. The level can be dynamic
management for the company to notify management
information related to employees and customers.
• In contingency planning is when plans do not go as they
expect it and it should have a plan b.
The Home Depot SWOT analysis is a strategic
planning effectively. It helps to the partners
identify and analyze the strengths, weaknesses,
opportunities and threats facing the company.
SWOT helps to Home Depot to focus on their
strengths and diminish their weaknesses for the
company to continue growing and increase their
level of marketing safely and effectively.
Location of factor
Growing popularity of
Increasing online sales
Strong market position
Higher returns than
Balanced brand mix
Slowdown in US housing
Rising labor wages in the
TYPE OF FACTOR
Sub optimal capital
The founder’s of Home Depot choose to delegate
important roles through the company combining
management and leadership skills. The most
important role is to serve their customers and provide
the best experience while shopping at Home Depot.
Consequently, their main commitment is to make
sure everyone in their management team believe and
promote the company values. Also, having great
customer service will maximize the company value
to their shareholders.
The Home Depot’s multidivisional organizational
structure is collaborative with its current corporate
1. Emphasis of rapid growth.
2. Augmented facilitates management development and
3. Utilization of decentralized decision making.
4. Enhancements towards profit and loss responsibility and
5. It uses a vertical and horizontal strategic.
In March 18, 2009- present- "More saving. More
"You can do it. We can help.”- used since 2003.
Used in the past 25 years include "The Home
Depot, Low prices are just the beginning"
In the early 1990’s and "When you're at the
Home Depot, You'll feel right at home"
“The Home Depot: First in Home
Improvement!“- from 1999–2003.
CEO Frank Blake
Director Duane Ackerman
Director Ron Sargent
Director Mark Vadon
Director Air Bousbib
Director Karen Katen
Director Armando Codina
Director Frank Brown
Director Albert Carey
Director Gregory Brenneman
Lead Director Bonnie Hill
External Af.. BS
The Home Depot Canada
Legal & Secretary TR
US Stores ME
CFO Carol Tome
Merchandising Service KS
Western Division JM
Southern Division AMC
IT Store, Field & Support CK
Retail Finance TD
Merchandising, Building Mate
Merchandising, Hardlines BB
Supply Chain MH
Home Service KH
Brand & Product Development JD
Current members of the board of directors of the Home Depot are:
F. Duane Ackerman
David H. Batchelder
Gregory D. Brenneman
Albert P. Carey
Bonnie G. Hill
The Home Depot's board consists of 9 members, with 8 of them
being independent directors.
The Home Depot employs a corporate culture that
supports its strategy. The firm uses a cluster strategy to
allow for their rapid expansion. This strategy
intentionally cannibalizes sales of existing stores in a
single market area, but it erects entrance barriers and
spreads advertising and distribution costs over a greater
store base, thereby passing savings on to the consumer.
If a region is unable to digest the cluster theory, The Home Depot will
modify their culture to make it compatible with the new strategy.
For example, The Home Depot acquired Aikenhead’s Home
Improvements Warehouse chain in Canada, and formed a joint
venture to insure a smooth transition of corporate cultures in
The Home Depot’s growth strategy is complimented by the corporate
belief that an individual can make a difference in the company.
Talent Management & Diversity
Senior Manager of Multicultural
Marketing for the Home Depot
Technology is highly integrated into Home Depots operational structure.
Using EDI (Electronic Data Interchange) with its thousands of
vendors Home Depot is able to keep a good window of
communication open so they know when a store is low on inventory.
Usage of UPC codes and tracking each item sold allows Home Depot
to keep an accurate inventory of items and see which items are selling
better than others.
The integration of technology gives Home
Depot a distinct advantage in inventory
management. Thus they are able to
increase their inventory turnover through
the use of these inventory management
systems. By turning over inventory
quicker, their capital isn’t tied up in a
warehouse but able to be used for other
A shift in focus from new square footage growth to
maximization of productivity through its existing
Changes to its store operations to make them simpler
and more customer-friendly, thereby inducing more
Self check out to stores.
Bring regular data analysis of products.
Strategic placement of stores near higher population
Home Depot will give an extra discount if you
can find an identical product at a lower price.
Delivery of product included in price.
Installation of products part of the price.
Creation of smaller stores geared toward
specific needs of communities (urban,
New warehouse and transportation systems.
Do it yourself Diy
1. Installing a bathroom sink
2. Easy to use power tools demonstration
Management functions (planning, organizing, directing and controlling) are
important in Home Depot. It's a little difficult to run the company without
having this kind of direction to enable them to go every day without any
problems. Home Depot is committed to its customers and employees not
only offer a good service, but also provide the security they need. Good
customer service is important to maintain their competitive advantage; it is
in this way that provides other opportunities to its employees. One benefit
that employees have is that Home Depot offered leadership to remain
increasing their knowledge. Home Depot is a very large company with
different divisions so they have more than one manager and leaders.
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