Wal-Mart in 2004 - Managing Succession Planning

            
 
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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.



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Case Details:

Price:

Case Code : HROA010 For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Rs. 25 for Shipping & Handling Charges

Themes

Succession Planning
Case Length : 10 pages
Period : 1962 - 2004
Pub Date : 2005
Teaching Note : Not Available
Organization : Wal-Mart
Industry : Retailing
Countries : USA

Abstract:

The $256.3 billion retail chain Wal-Mart has the distinction of being the world's largest company. Founder Sam Walton carried the company to new heights. As his term drew to a close, Sam debated whether to have a family member, or an outsider, or a company employee to succeed him. After weighing the pros and cons, Walton decided to make his eldest son the chairman after he died. He groomed David Glass a senior employee to take over as Wal-Mart's CEO (Chief Executive Officer) in 1988. The Walton family is quite happy to stay away from day-to-day operations. But it has decided to be watchful and groom the next generation of Waltons to understand their responsibilities.

Human Resource and Organization Behavior | Case Study in Management, Operations, Strategies, Human Resource and Organization Behavior, Case Studies

Succession planning under Glass gathered momentum in the mid-1990s. Glass chose Lee Scott, an insider to succeed him in 2000. Wal-Mart's board members and investors are happy at how smoothly the Glass-Scott transition has gone. The case discusses how proactive succession planning at Wal-Mart has ensured that there is no leadership vacuum.

Contents:

  Page No.
Introduction 1
Wal-Mart's Business Model 1
Background 1
David Glass 3
Lee Scott 4
Exhibits 6

Key Words:

Wal-Mart, Corporate governance, Succession planning, Sam Walton, Rob Walton, David Glass, Jack Shewmaker, Don Soderquist, Lee Scott, Tom Coughlin, Bob Martin, Board members of Wal-Mart

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