HR Management Paper on Walmart’s Performance Management System


Walmart is a renowned American multinational company that is best known for its wide array of grocery stores, hypermarkets and discount department stores.  The name ‘Walmart’ was derived from Sam Walmart, who was the main founder of the Company. The multinational company was first founded in the year 1962 before finally being incorporated in the year 1969. Ever since its establishment, Walmart Company has gained massive popularity and success. In addition, the company has significantly raised over 2.3 million employees from the jaws of poverty. Walmart organization owes its success to its well-structured performance management system. Amid the current state of advanced technology and rapid cross-national movement of people and organization, performance management system has proved to act as an efficient tool for any multinational or international organization. In fact, the managers are designated to play the key role of dealing with human resource issues in diverse settings, and with individuals from different cultures, with different motivations and expectations (Sahu, 2007). It is with this profound reason that Walmart organization continues to employ proper and well-structured performance management system as its main tool for success within its headquarters and in other various countries as well. Performance Management system typically serves for administrative decisions such as promotions, merit raises and bonuses (Sahu, 2007). In addition, performance management system also serves for the purposes of development goals such as feedback and training.

In order to ensure that each and every employee works diligently towards achieving the set goals and objectives by the company. As the Human Resource manager of the company, my primary role is to develop an excellent strategy that would be effective in ensuring that each and every individuals employed by the company attain their optimum potential in terms of their job performance (Noe et al., 2006). I strongly believe that in order to ensure that every one attain the company’s goals, I need to fully comprehend on factors that motivate them. Walmart organization has approximately over 2.3 million employees in different countries. I am in charge of 100 employees, with 30 Managers, Administrative assistants, In house technicians, Field technicians and IT technicians.  Since the organization operates in many different countries who have different cultures and traditions, I would view and measure each employee’s performance in a different manner.

After arranging a series of meetings with different stakeholders of the company, I was able to develop a convenient performance management system for the company.

In creating an appropriate performance management process, I had to identify the key performance indicators of the company. This is to assist the company to redefine the methods of measuring performance or progress of each employee towards attaining the organizations goals. Identifying the key performance indicators of the company helped me to redefine and construct the performance objectives of the employees. I would also employ the SMART tool so as to come up with well-structured objectives for the employees. The objectives need to be Specific, Measurable, Attainable, Realistic and Time bound (Brignall & Modell, 2000). Below are some of the performance objectives that I constructed for the Walmart employees.

In creating a proper performance management process, I developed each and every individual employee’s goals and objectives through which I communicated in all the branches worldwide. I also developed a way through which I and the managers could be able to monitor the goals of each employee of the company.  In order to ensure that every employee attained their stated goals and objectives, I included different training programs that would be conducted annually at specified dates.  It is also clear that the performance of the employees mainly depends on whether they feel motivated or not motivated by the company. It is with this profound reason that I initiated a form of performance appraisals and promotions for every employee who would at attain their targets or even surpass their own set goals and objectives (Brignall & Modell, 2000). There would also be feedback sessions for each and every employee. This would be done after accessing and monitoring the employees’ performance in a bid to advise and assist them in areas that they have trouble or difficulties with. Constructive feedback alerts could be done after every three months so as to alert individuals on which areas they could actually improve. This would befit both the individual employees to fully comprehend on their current performance in relation to what is expected of them by the company.

Compensation will also be given based upon an employee’s performance. If performance meets or exceeds the desired standard, a reward is given. If performance does not meet the desired standards, a performance development plan is created to address the gap, and a new performance date is scheduled (Noe et al., 2006). Aside from the above procedures, I also plan to follow up on the results that arise from each and every employee after the performance management procedures.  I would monitor the employees through their managers who would have to compile a report on their performances. In order to support the employees who will not have attained their set objectives, I would provide positive reinforcement for improvement and continue to offer my support.



Sahu, R. K. (2007). Performance management system. New Delhi: Excel Books.

Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2006). Human resource management: Gaining a competitive advantage.

Brignall, S., & Modell, S. (2000). An institutional perspective on performance measurement and management in the ‘new public sector’. Management accounting research11(3), 281-306.