Instructor: George Beaini
University of Phoenix Mgt/330
Wal-Mart has perfected the organizing function of management by having exceptional
knowledge and technology. Wal-Mart as an enterprise has used both knowledge and
technology to help develop its business as one of the most important and well known
businesses, proof of its viability Wal-Mart has over 5,000 stores nationwide (Wal-Mart, 2011).
Knowledge is what created Wal-Mart, and Technology is what has sustained the business as
it continues to grow and become the largest retailer in the world.
Knowledge can be classified into three broad forms, namely public, shared and
personal knowledge (Alavi, 2001). Sam Walton took his knowledge of business and
merchandising and created a viable business that thrives even in a recessed economy. His
idea was to buy merchandise in bulk at the lowest price possible and pass the savings on to
the consumer. The knowledge he possessed created a umpire with over 5,000 stores and
over 760,000 employees. This alone has made Wal-Mart one of the most popular stores
around the world. Mr. Walton developed a concept that would allow the consumer to shop for
all of there needs in one location for a convenient price.
Along with the knowledge it took to create the very first Wal-Mart. Knowledge continues
to be a big part of Wal-Marts history. Obviously, Mr. Walton cannot be at all 5,000 businesses
at once so it takes knowledgeable and efficient employees and management to continue to
grow and spread Mr. Walton knowledge. Its the through this efficiency that Sam Walton
established his goals and rules for his business that allows his knowledge to continue to
integrate his business many years after he first created it. It is managements job and goal to
continue to spread this knowledge within the workplace.
Technology is must for even the smallest business; so we know how effective it must
be for a massive business with over 5,000 locations and counting. Wal-Mart began with a
manual business and quickly progressed to completely technological as technology was
created and advanced. Managements job has become a lot easier over the years with the use
of computer systems, manual payments, payroll system and clock in system. Being able to
run a efficient business; in which a computer logs everyone”s steps keeps fraud down to a
minimal and makes it easier to account for employees.
Wal-Mart has become very effective at perfecting its business model in today's
economy. The stores effective and reliable knowledge management skills have enhanced
efficiency in service delivery and customer care as well as development of great competition
(Oleary, 2000). Sam Walton created a code of ethics that continues to be used in all his stores
today by his management and employees. His