Posted by
Brian Peters on Saturday, January 30, 2010 9:23:07 PM
I was just reading a recent article about Toyota's recent problems and there is a cause n' effect portion in this article. This struck me immediately that I can see Wal Mart heading down the same path. Full article in this link:
http://finance.yahoo.com/news/Toyota-Shows-How-Giants-usnews-3989832353.html?x=0&.v=1
From the linked story:
In his 2009 book,
How the Mighty Fall, business guru Jim Collins outlined five stages of decline that many big companies go through.
Collins's taxonomy of decline. His first stage is "hubris born of success,"
Next in the evolution of decline comes "undisciplined pursuit of more."
Collins's third stage is "denial of risk and peril,"
Stage four is "grasping for salvation,"
Collins's fifth stage: "capitulation to irrelevance or death."
Now the reason I bring this is up is because of a conversation I had the other day with an aquiantance whom is employed by Wal Mart. This person told me that just recently that Wal Mart has fired many of the life time mid management employee's in this person's store who have worked for decades/years. This person said management is being moved into a new program that is to maximize Wal Mart employee's time better. i.e. Staff that is assigned to unload trucks are given a set time period based upon some computer module program that denotes X-amount of time to unload a truck. This concept is being applied throughout the store. This person said that Wal Mart is moving in the direction to where any 'person off the street' can come in and successfully complete any task given with minimum time and supervision.
To B.E.V. this sounds like true 'capitalism', making the biggest profit with low overhead in terms of employees. Capitalism is the best form of 'communal living' that is upon this Earth short of a benevolent dictator, but in Capitalism, there is a give and take in order to achieve long term success. Sam Walton understood it, which is why his Wal Mart-Ben Franklin chains became successful.
I just found this article while doing some quick research for this blog note:
Wal-Mart has laid off an unspecified number of Sam's Club staffers.......
The
nationwide cuts mostly affect the warehouse club's demo department............but other
departments also lost staff.
Employees were told the news at mandatory meetings on Sunday morning.
“I feel betrayed,” said Sally Grueling, 56, who had worked in marketing at Sam's Club for nine years, most recently in Hilliard, Ohio.
Wal-Mart spokesman David Tovar said the company had no immediate comment but would issue a statement at 2 p.m. ET.
Earlier this month, Wal-Mart closed 10 Sam's Club stores, resulting in about 1,500 jobs being lost
Read more:
http://www.nydailynews.com/money/2010/01/24/2010-01-24_walmart_cuts_sams_club_staffers_in_demonstrations_department.html#ixzz0e9SOH3L6
I'm not going to worry about Toyota ...I drive one and it's just fine and not in any recall. While I do shop very occasionally at Wal Mart, I won't miss it once the Collins Formula again proves itself. I see Wal Mart is now in the 2nd Phase on it's way to the Third. Someone with vision will come along and replace the once reliable now Chinese junk selling monolith....and they'll do it by taking care of their people!!
*Sidebar....didn't that article say Wal Mart closed stores resulting in 1500 jobs lost..this month?? And what was released recently by the Obama Government......something about jobs growth??
This to is just crossing wires:
Department store Macy's will slash 1,500 jobs, according
to numerous reports that cite people familiar with the matter.
The jobs cut will be store-level sales positions, according to a source familiar with the matter, the reports reflected.
The job cuts will be official on March 6, and are in addition to the five store closings Macy’s announced in early January,
which will affect 307 employees.