NAVINCHANDRA MEHTA INSTITUTE OF TECHNOLOGY AND
DEVELOPMENT
SUBJECT: LABOUR LAWS AND IMPLICATIONS OF INDUSTRIAL
RELATIONS
TOPIC: CODE OF CONDUCT FOR WALMART
SUBMITTED BY:
SREEKANTH PYDI – M9138
SONALI VASUDEO – M9149
SUBMITTED TO: PROF. VINOD MORE
INTRODUCTION
An organisation’s code of ethical conduct provides guidance and support to
individuals for making decisions and carrying out their work in ways that are
compatible with the organisation’s values. In order for a code of ethical conduct to be
effective, it must be promoted and championed throughout the organisation. Managers
and staff, at all levels, must be provided with the necessary training and support, and
the code it must be supported by appropriate disciplinary and whistle-blowing/speak
up procedures. The ‘tone at the top’ must permeate through the organisation and the
code must be owned by everyone.
A code of ethics is a guide of principles designed to help professionals conduct
business honestly and with integrity. A code of ethics document may outline the
mission and values of the business or organization, how professionals are supposed to
approach problems, the ethical principles based on the organization's core values, and
the standards to which the professional is held.
CORE VALUES
1. Service to the Customer:
Customer first: Listen to, anticipate and serve customer wants and needs.
Frontline focused: Support and empower associates to serve customers every
day.
Innovative and agile: Be creative, take smart risks and move with speed.
2) Respect for the Individual:
Listen: Be visible and available, collaborate with others and be open to
feedback.
Lead by example: Be humble, teach and trust others to do their jobs, give
honest and direct feedback.
Inclusive: Seek and embrace differences in people, ideas and experiences.
3) Strive for Excellence:
High performance: Set and achieve aggressive goals.
Accountable: Take ownership, celebrate successes and be responsible for
results.
Strategic: Make clear choices, anticipate changing conditions and plan for the
future.
4.) Act with Integrity:
Honest: Tell the truth, keep your promises and be trustworthy.
Fair: Do right by others, be open and transparent.
Courageous: Speak up, ask for help, make tough calls and say no when
appropriate.
VISION AND MISSION
“To deliver Everything, Everywhere, Every time, to Every Indian Customer in the most
profitable manner.”
To share the VISION and belief that our customers and stakeholders shall be served only by
creating and executing future scenarios in the consumption space leading to economic
development.
GUIDING PRINCIPLES
Always act with integrity.
Lead with integrity, and expect others to work with integrity.
Follow the law at all times.
Be honest and fair.
Reveal and report all information truthfully, without manipulation or
misrepresentation.
Work, actions, and relationships outside of your position with the company should be
free of any conflicts of interest (discussed later in this guide).
Respect and encourage diversity, and never discriminate against anyone.
Ask manager or the Global Ethics Office for help if you have questions about this
Statement of Ethics, or if you face an ethical problem.
Promptly report suspected violations of the Statement of Ethics.
Cooperate with and maintain the private nature of any investigation of a possible
ethics violation.
SWOT ANALYSIS
Strengths – Internal Strategic Factors:
Brand recognition – With millions of customers visiting Walmart every day, it is the
most recognized retail brand in the world. There are over 60 million items available at the
Walmart online store.
Global expansion – Walmart has recently purchased ASDA, the UK based retailer and
Indian e-commerce giant Flipkart. Besides, it has created a joint venture with India’s
biggest retail store Bharti. These global expansions have proven to be a great success for
the company.
‘Every Day Low Prices’ strategy – Walmart is based on economies of scale agenda
that’s why it can offer low prices. It has fixed costs for thousands of products. Thus, it’s
one of the cheapest shopping places in the world.
Global supply chain and logistics system – The distribution and logistics systems are
the core competencies of Walmart. It uses Information Technology (IT) to efficiently
monitor the performances of every product in each store in each country.
Human Resource Management – Employees are the key assets of Walmart. It hugely
invests its time and money in developing and managing its employees. 1% of America’s
working population is employed at Walmart as per Business Insider.
Effective resource management – Walmart efficiently manages its resources including
information systems, supply chain networks, distribution facilities, knowledge, and other
skills. It has excellent operations in all the locations.
Strong market power over suppliers and competitors – Its large organizational size
and global reach have made Walmart capable enough to exercise market power over
suppliers and competitors.
Weaknesses – Internal Strategic Factors:
Employee treatment and working conditions – Walmart has received criticisms and
lawsuits several times regarding its workforce. Low wages, inadequate healthcare, and
poor working conditions are few of the issues that have been publically criticized.
Large span of control – Its highly extended size and massive span of control could
leave Walmart weak in some areas.
Thin profit margins – Walmart focuses on a cost leadership strategy. It results in thin
profit margins for the company.
Gender discrimination – A lawsuit was filed against Walmart in 2007 that allegedly
claimed gender discrimination in job opportunities at Walmart. Female employees are
discriminated in regards to promotions and pay scale as per this lawsuit.
Imitation – Walmart’s business model can be easily copied. The company doesn’t own
any specific competitive edge over its rivals except its huge business size.
Opportunities – External Strategic Factors:
Expansion to other markets – Walmart can gain the opportunity by expanding its
business to the markets which are not yet ventured. These may include China, Middle
East countries, and Latin America. Strategic alliances – Walmart has the opportunity
to create strategic partnerships with major firms or merge with other global retailers.
Acquisitions of small companies can also be a profitable opportunity for Walmart.
Enhancing human resource practices – Bringing advanced improvements in human
resource practices can be a favourable opportunity for Walmart. As it highly relies
upon its workforce, bringing innovation in its human resource management is a
crucial opportunity.
Improving quality standards – Low-cost products render low quality sometimes.
Walmart has the opportunity to enhance the quality standards of its products to
address the health concerns of consumers.
Strategic alliances – Walmart has the opportunity to create strategic partnerships
with major firms or merge with other global retailers. Acquisitions of small
companies can also be a profitable opportunity for Walmart.
Threats – External Strategic Factors:
Impeach 45 Controversy – Recently, Walmart was publicized for “Impeach 45”
controversy. It sold T-shirts printed with the words ‘Rope. Tree. Journalist. Some
Assembly Required’. These shirts claimed to imply promotion of violence.
However, Walmart overturned the controversy claiming that the T-shirts were
sold by third-party sellers on Walmart’s Marketplace instead of Walmart itself.
Fake craft beer controversy – Walmart was sued for selling fake craft beer in
2017. Though it was made by WX Brands, the beer was labelled and marketed
as ‘Trouble Brewery,’ a non-existent production company.
A primary target of competition – The world’s largest grocery retailer, Walmart
is always a primary target for competitors. Target, its direct competitor, offers
similar products but with higher quality. Similarly, Costco offers customers to buy
items in bulk. Additionally, these companies have a relatively good reputation for
treating their employees well compared to Walmart. Both companies are also
publicly supported in these areas.
Political and legal Issues – This is also a threat to Political and legal affairs can
always hinder the company to operate in some countries.
Small-scale online e-commerce companies – Many small-scale and individual
online selling companies have entered the market offering similar products at
similar prices on their websites. It can be a threat to the company’s future
standing.
Technical issues on the website – Customers have complained many times
that there are some technical issues with Walmart’s website. The products are
not listed in an organized way on the website, and it runs slowly.
However, Amazon is known for its fast, effective, and organized website, making
an excellent online shopping experience for customers.
STATEMENT OF ETHICS
Global Ethics is responsible for promoting our culture of integrity. This includes developing
and upholding our policies for ethical behaviour for all of our stakeholders everywhere we
operate.
But perhaps most importantly, it includes raising awareness of ethics policies and providing
channels for stakeholders to bring ethics concerns to our attention.
Global Ethics:
Serves as a guide and resource for ethical decision making.
Provides a confidential and anonymous reporting system.
Leads a continuing ethics education and communication system.
GLOBAL LABOUR AND EMPLOYMENT POLICY
We are committed to complying with all applicable labour and employment laws and
regulations in every market in which we operate. We strive to provide a work environment
that supports the employment needs of our associates, encourages growth opportunities, and
ensures fair and consistent labour and employment practices for each associate.
WHAT TO DO?
ACCURATELY AND TIMELY COMPENSATE all associates for all work
performed for the benefit of the company.
PROVIDE PROPER MEAL AND REST BREAKS for associates.
COMPLY WITH APPLICABLE LABOR AGREEMENTS and promote a
collaborative work environment that addresses the concerns and needs of our associates.
CLASSIFY all associates properly based on their job functions.
ENSURE EQUAL AND INCLUSIVE TREATMENT of all associates, including equal
access to employment opportunities, services, and benefits.
PROVIDE ALL EMPLOYMENT-RELATED BENEFITS, including leave entitlement, to
eligible associates.
EMPLOY only those associates who meet the applicable eligibility and work authorization
requirements.
WHAT TO LOOK FOR?
FAILURE TO APPROPRIATELY COMPENSATE associates for hours worked or
to provide proper breaks.
FAILURE TO ADHERE TO the terms of collective bargaining and other labour
contracts.
INCONSISTENT PRACTICES concerning associate selection, hiring, and compensation.
WORK PERFORMED by associates without appropriate work authorization.
IMPROPER WORK CLASSIFICATIONS for associates.
A WORK ENVIRONMENT where claims of harassment, discrimination, or retaliation
are not promptly and appropriately addressed.
FAILURE TO MAINTAIN employment records or data on employment practices.
FAILURE TO PROVIDE the proper employment benefits.
FAILURE TO POST required employment and labour notices.
A WORK ENVIRONMENT that encourages or allows working off the clock.
CONCLUSION
Integrity is an ethical stance that leads an individual to adhere to his or her values. An ethical
code is a listing of principles, values and aspirations based on desired conduct and born in the
traditions of the healing professions. It is more than a set of polite rules or an excuse for
promoting self-interest. Codes serve as a touchstone by which all members of a profession
can judge the acceptable parameters of behaviour and is the basis for self-regulation. This is
why being a professional person is a privilege and carries both benefits and responsibilities.
THANKYOU!!
