Introduction
Management is the primary tool for any organization’s success. There are four functions for management that are effective in the success of various businesses. However, these functions are affected by some factors, both internal and external. These include significant factors that managers must put into considerations for the benefit of the organization in terms of success.
There are various factors affecting the management functions and hence, they need to be utilized wisely in order to facilitate the success of the organization and keep it ahead of its competitors (Rane, 2007, p. 1). This paper examines the effects of these factors on the management of Wal-Mart Corporation.
Factors affecting managerial functions in Wal-mart
Despite the fact that Wal-Mart has steadily grown as one of the largest corporations, there has been concerns on its neighborhood supercenters especially on stores that are protected by the government. These concerns have caused great external impacts on management planning of the corporation. Some of these factors include; environmental factors, location, the community and the general public.
These factors have to be put into consideration in order for the corporation to have a competitive market value. Most of these factors have great impacts on the planning management role of the corporation as the corporation cannot have control over them and hence, there is the need to adjust to them.
Other external factors affecting the management roles in the Wal-Mart Corporation include; regulations by the government, technological advancements, global markets and other economic trends. The essential factors affecting managerial functions are:
Globalization
Globalization is one of the significant factors that have great impacts on the four functions of management, not only in the Wal-Mart Corporation, but in many other organizations. As a top organization that utilizes managerial skills, Wal-Mart demands constant change to keep up with the changing economic world.
As much as globalization brings up opportunities for wider markets, it also brings about competition where the most competent organization gets the most benefits from it. For instance, the decision to make use of globalization with the aim of burying Indian markets by Wal-Mart placed the corporation’s management at the best position to work effectively.
This is because the management has to study the Indian markets more efficiently and make the necessary changes on strategies to ensure that every aspect of the corporation’s operations is well executed. Globalization affects managerial functions in that, its proper implementation drives the management to widen its functioning to even foreign territories as planning roles of management get more strategized (Britt, 2011, p. 1).
Technology
Similarly, technology affects managerial functions as technological advancements are being made every day. This calls for the prompt need to keep up-to-date changes in technology in any organization. For instance, Wal-Mart is staying ahead of its competitors by maintain constant technological advancements.
This helps promote the four functions of management as technology makes it much easier for the management to effectively manage all the activities of the corporation. This is because technology helps in coordinating all the operations into a single unit hence making the management functions easier and more effective. For example, Wal-Mart is making use of online shopping which helps the management to keep up with consumer demands at all times. This in turn leads to increased returns for the corporation.
Innovation
As the demands of consumers keep on changing constantly, all organizations are faced with the challenge of making use of innovation as a factor of market competition through the functioning of the management. Innovations involve creation of new products to consumers or lowering of consumer products, a decision which solely lies on the hands of the management. Thus, through innovation, the management is able to control the market by maintaining and attracting new consumers through such changes such as price control and new products.
Additionally, innovations also coincide with the planning function of management where decisions on what products to be sold when and where are made in conjunction with consumer demands. Since innovation involves creation of new products, it puts the management at a better position to attain and analyze consumer feedback. The Wal-Mart management has been obtaining ideas on consumer products from employees as well as consumers thus increasing its competitive advantage (Zimmerman and Hudson, 2006, p. 1).
Diversity
The four functions of management may as well be affected by diversity especially in large organizations such as the Wal-Mart Corporation. Despite the fact that many aspects of the corporation remained the same, Wal-Mart Corporation has constantly changed in some areas in order to allow for complete growth.
However, despite the need for diversity in business organizations, Wal-Mart has maintained its strong corporate culture which is based on consumer service, excellence and above all, individual respect. These core principles of the corporation have had great influence on the managerial functioning of Wal-Mart.
This is because the four functions of management are exercised on the basis that they meet those three basic principles which are aimed at maintain profitability (Mars, 2011, p. 1). In other words, the cultural status of an organization dictates the functionality of that organization’s management especially when it comes to decision making. For instance, ethnical diversity amongst an organization’s stakeholders may affect the normal functioning of management.
Ethics
Ethnic status may as well affect the four functions of management especially where an organization lacks good conducts of ethics. For instance, religion, gender and race backgrounds may affect managerial functioning especially during recruitment of employees where the manager responsible discriminates against some groups. Similarly, religious status may hinder some employees from working on certain days which leads to alteration of the planning and controlling functions of management. For instance, the controlling function may be altered where different ethnic groups are involved with each having a different way of solving problems during case which, the manager has to adjust to those approaches. In Wal Mar, for example, ethnicity differences may not affect job recruitment since there is no discrimination of that kind. However, planning, controlling and organizing functions may be affected since Wal-Mart is an international business dealing with many diverse ethnic groups.
Conclusion
Every business organization has the core objective of attaining maximum profits. In order to achieve this, the four functions of management have to be carried out effectively. This involves putting into consideration all the factors that affect management, either from within the organization or exterior. It is therefore very important for organization managers to pay great attention to these factors in order to make the right decisions for the benefit of the business.
Reference List
Britt, D. (2011). Impact of globalization in creating sustainable competitive advantage. Web.
Mars, T. (2011). Wal-Mart legal department diversity. Web.
Rane, S. (2007). The four functions of management: foundation for all management concepts. Web.
Zimmerman, A. and Hudson, K. (2006). Managing Wal-Mart. Web.