Essay Sample on Walmart: Analyzing Performance With the Balanced Scorecard

Introduction

Walmart is one of the leading supermarkets in the world. The balanced scorecard is a document that is used by this entity to give an in-depth analysis of its goals, and the company has four different perspectives that are analyzed to give a deeper understanding of its activities. The measurement areas that are considered when analyzing the firms' scorecard are the objectives, targets, initiatives, and measures (OSLOCRAFTS.CHARITY 2018).

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Some of the objectives that the business aims to realize is raising the revenue levels and asset base. When the volume of sales is raised, the organization will manage to increase its earnings (Ferrell, Fraedrich & Ferrell 2015). The business model adopted by Walmart supermarkets is to sell commodities at a low price and in large volumes. Increasing the size of a highly qualified workforce ensures that customers are getting quality service (Dudovskiy 2016). The move ensures that the company is managing to realize a return on its investment.

Measure

The measure for these objectives is realized by determining the profits made and the revenue generated in comparison to the number of staff members working in the company. An efficient workforce is an indication that the firm has managed to realize its objectives.

Target

The targets that the organization sets includes raising the asset base by 8% and analysis is done at the end of a financial year to determine if this goal is realized. Additionally, the management may also set an aim of increasing the workers volume by 5% in the next two years.

Initiatives

The initiative taken to ensure that the objectives are realized is to optimally utilize the available resources and assets to ensure that the desired revenue level is realized. Raising the technology levels and training the employees is a move that ensures that their efficiency levels are raised (Wahba 2017). The operating expenses are reduced by making bulk purchases that lead to the economies of scale.

The balanced scorecard is useful to the operations of Walmart Supermarkets since it is the tool that enables the management to determine if the firm is growing (Atrill, & McLaney 2011). The work output of each staff member is determined when the tool is used.

References

Atrill, P. & McLaney, E. 2011. Accounting and Finance for Non-Specialists. (7th ed.) Harlow: FT/Prentice Hall.

Dudovskiy,J. 2016. Walmart Porter's Five Forces Analysis. Retrieved from http://research-methodology.net/walmart-porters-five-forces-analysis/#_ftn1

Ferrell, O. C., Fraedrich, J., & Ferrell, L. 2015. Business ethics: Ethical decision making and cases. s.l.: Cengage learning.

OSLOCRAFTS.CHARITY. 2018. Strategic Plan- Balanced Scorecard for Walmart. Retrieved from http://www.oslocraftsmarket.com/educational-essays/2018/strategic-plan-balanced-scorecard-walmart/

Wahba, P. 2017. "Walmart's 29% Online Holiday Season Growth Sends Shares Jumping." Retrieved from http://fortune.com/2017/02/21/walmart-results/