How Communication and Conflict influence Walmart

COMMUNICATION AND CONFLICT: WALMART
Student's Name
Class
Date
Table of Contents TOC \o "1-3" \h \z \u Executive Summary PAGEREF _Toc66391197 \h 3Introduction PAGEREF _Toc66391198 \h 4Theoretical Framework PAGEREF _Toc66391199 \h 5Internal Issues PAGEREF _Toc66391200 \h 9High Employee Turnover PAGEREF _Toc66391201 \h 9Work Overload PAGEREF _Toc66391202 \h 10Unfair Labor Practices PAGEREF _Toc66391203 \h 11Wage Conflict PAGEREF _Toc66391204 \h 12Lack of Proper Internal Communication PAGEREF _Toc66391205 \h 13Analysis of Communication and Conflict in Walmart PAGEREF _Toc66391206 \h 14Demotivation PAGEREF _Toc66391207 \h 14Communication During Tough Times PAGEREF _Toc66391208 \h 15Tackling Internal Problems: PAGEREF _Toc66391209 \h 16Conflict Management PAGEREF _Toc66391210 \h 17Recommendations PAGEREF _Toc66391211 \h 19Conclusion PAGEREF _Toc66391212 \h 19Bibliography PAGEREF _Toc66391213 \h 21
Executive Summary
Communication, especially in the context of the organization, is of significant importance. It represents the culture of the organization and the underlying issues faced by the company. Conflict management is another vital area that is affected by the communication strategy of the company. Communication and conflict management shapes the long-term destiny of the company. These factors affect the culture, environment, financial health, and legacy of the company. An organization can survive in the short run with conflicts, but its survival would be dependent on employee relationships in the lob run. This report is an analysis of communication and conflict at Walmart. The findings revealed that there are many underlying problems behind the surface of current issues. The communication strategy is not clear and is one-sided. Employees are not involved in the decision-making process and face uncertainty. There are many concerns regarding the wage rates and labour practices at the company. Many employees are not happy with their internal practices and do not like the un-clarity of their future. Recommendations include the use of a two-way communication strategy to incorporate employee feedback. The company should also adopt clarity and transparency in internal communication. It should also consider including non-monetary benefits to motivate employees and listen to their work-life balance considerations. These recommendations acted upon will help in sharing a positive culture for the company. Good employee relationships are crucial for the long-term success and financial benefits of the company.
Introduction
The main topic of this analysis is communication and conflict in the context of Walmart. Communication plays a significant role in shaping the culture and behaviour of the organization. For this matter, special consideration has been given in the literature to organizational communication. Conflict management is another vital area in the context of organizational research. Communication also plays a pivotal role in conflict management. This report discusses theories of both communication and conflict and discusses their implications in the context of organizations.
It is then followed by the analysis of the internal issues of Walmart. The analysis has been made from the perspectives of communication and conflict management. The main issues found out at Walmart are high employee turnover, demotivation, unfair wages, and labour practices, and insufficient internal communication. The issues are exemplified by the current approach of the management towards worker's problems. There are various underlying reasons for the surface issues in the company.
The primary sources of data for this analysis are the published news, articles, and academic journals. Mostly the data of the last five years has been taken into consideration. The research limitations included a lack of primary research and more reliance on secondary data for analysis. The primary analysis has been conducted with the employee's perspective, although management's perspective has been understood and discussed.
The report is organized into three main parts, theoretical framework, internal issues of Walmart, and analysis of communication and conflict at Walmart. Some recommendations are given in the end, along with a conclusion.
Theoretical Framework
The communication theories deal with the numerous aspects of communication ranging from social, cultural, and psychological perspectives. Social exchange theory is one of the most prominent theories in communication. This theory explains that people exchange social and economic benefits from each other and almost all types of relationships have hidden costs and benefits. In an organization, employer relationships, e.g., people exchange their skills for monetary and non-monetary benefits. The relationship needs to be beneficial for both parties. Social exchange theory is also used to explain the employee's engagement at the job. Social exchange theory still has implications in modern organizations Organizational citizenship behaviours are highly determined by the employee's acceptance and engagement with the job. Communication plays a pivotal role in the exchange of social benefits among organizations and employees.[. Russell Cropanzano et al., "Social Exchange Theory: A Critical Review with Theoretical Remedies," Academy of Management Annals 11, no. 1 (2017): xx, doi:10.5465/annals.2015.0099.] [ Nan Yin, "The influencing outcomes of job engagement: an interpretation from the social exchange theory," International Journal of Productivity and Performance Management 67, no. 5 (2018): xx, doi:10.1108/ijppm-03-2017-0054] [Lily Chernyak-Hai and Edna Rabenu, "The New Era Workplace Relationships: Is Social Exchange Theory Still Relevant?," Industrial and Organizational Psychology 11, no. 3 (2018): xx, doi:10.1017/iop.2018.5]
The choice of media is also an important decision for internal communication with employees. The medium of communication should be selected carefully to cater to the needs of the employees. There is a direct positive relationship between the right medium of organizational communication and employee satisfaction. For severe and critical conversations, the medium of communication should be more personal. Leadership should consider direct engagement with employees on tough organizational decisions, like the restructuring in Walmart. The company's senior management should consider personally delivering the news and its context to clarify the decisions.[Sandu FRUNZA et al., "The Role of Ethical Factors in Organizational Communication," Postmodern Openings 11, no. 1 (2020): xx, doi:10.18662/po/114.]
A critical theory of communicating is the uncertainty reduction theory, which emphasizes communication to reduce uncertainty. When incorporated in HR practices, it positively impacts employees while dealing with organizational changes. As per this theory, people need to reduce uncertainty about themselves and what is going around them. Organizations can shape their communication strategy using their theory to become transparent in their communications with employees. In Walmart's case, it is found that uncertainty is the key reason for the employee's discomfort during organizational changes.[edro Neves, Patrícia Almeida, and Maria J. Velez, "Reducing intentions to resist future change: Combined effects of commitment-based HR practices and ethical leadership," Human Resource Management 57, no. 1 (2017]
Another theory of communication is the attribution theory that deals with psychological interpretations in communications; as per this theory, human beings assigned causes to others' behaviours and themselves. They also assign causes to specific events. As per this theory, organizational communication ineffectiveness is attributed to leadership inefficiencies, clarity regarding objectives, and proper reporting tools. The communications are perceived to be ineffective if they lack clarity and leadership is not involved. For communication to be effective, it should also be two-way and not one-sided to understand both sides' perspectives. It is required to reduce conflicts in the workplace.[Obuks A. Ejohwomu, Olalekan S. Oshodi, and Ka C. Lam, "Nigeria’s construction industry: barriers to effective communication," Engineering, Construction and Architectural Management 24, no. 4 (2017): xx, doi:10.1108/ecam-01-2016-0003.]
In creating the communication strategy, it is essential to note that empathy and responsiveness are essential constituents of communication People support organizational decisions when they feel understood and valued. The management's decision, especially the tough one, should also consider and compensate for the employee's concerns. The messages' tone should be empathetic, so people do not feel left out and isolated from the organization. In Walmart's case, whether the problems are with the lower wages or non-provision of the necessary equipment to the workers during pandemics, the issues should be addressed with empathy.[Yeunjae Lee, Katie H. Kim, and Jeong-Nam Kim, "Understanding the impacts of issue types and employee–organization relationships on employees’ problem perceptions and communicative behaviors," Corporate Communications: An International Journal 24, no. 3 (2019): xx, doi:10.1108/ccij-12-2018-0127.]
The theories of conflict management are of two types. The traditional theories consider people who create conflicts as trouble makers. The modern approach, however, is considering conflicts as an inevitable and natural part of life. In organizational management, factors like organizational trust and justice play a significant role and influence employee relations. In Walmart's case, e.g., Perceived organizational behaviour towards employees has a substantial impact on the existing conflicts between the company and its employees. When people do not consider the organization to be and cannot trust its internal procedures, conflict resolution is not easy.[ojalin Sahoo and Chandan K. Sahoo, "Organizational justice, conflict management and employee relations," International Journal of Manpower 40, no. 4 (2019): xx, doi:10.1108/ijm-12-2017-0342.]
The factors that contribute to conflicts are interpersonal issues, change, and leadership problems. The factors that can help resolve conflicts are good leadership, nurturing positive team culture, communication, a shared problem-solving approach, and accepting the change. People should be encouraged to express their concerns. There is a direct relationship between open communication with problem-solving and conflict management. People have a need and tendency to be heard for, and they show more openness towards others' perspectives after theirs have been understood. In the context of Walmart, it is clear that these elements are missing. The management takes no proactive measure for problem-solving, open communication, and shared approach towards problem is undoubtedly missing.[Laurie McKibben, "Conflict management: importance and implications," British Journal of Nursing 26, no. 2 (2017): xx, doi:10.12968/bjon.2017.26.2.100.] [Supplemental Material for Perceived Regard, Expressive Suppression During Conflict, and Conflict Resolution," Journal of Family Psychology, 2018, xx, doi:10.1037/fam0000429.supp]
Moreover, open communication is linked to organizational competitiveness. While communication is essential in conflict management and resolution, it is also essential to prevent conflicts. Open communication channels within the organization are essential, along with clarity and transparency. When there is nothing to hide, trust can be built among the employees and the organization. In a high trust and positivity culture, people are more likely to raise voices and share their concerns.[Zdenko Stacho et al., "Effective Communication in Organisations Increases their Competitiveness," Polish Journal of Management Studies 19, no. 1 (2019): xx, doi:10.17512/pjms.2019.19.1.30.]
Internal Issues
Walmart is one of the leading retail giants and has its share of issues and internal problems. Some of the most common problems have related to employee management that has been surfaced time and again. The company has also made headlines about the worker's treatment. The typical internal problems are given below.
High Employee Turnover
One of the most prominent issues of the company is the employee turnover rate. Walmart has been paying the costs of frequent hiring of employees and a high turnover rate. The estimated cost for Walmart employee turnover was $170 million a month. Many factors contribute to this high employee turnover. The average job at Walmart is relatively menial without many simulations for the employee. In addition to that, the training provided to the recruits is not satisfactory. Other factors include a lack of autonomy over the job, which demotivates the employees.[Pearson,Bryan Forbes, accessed March 8, 2021, /sites/bryanpearson/2017/01/24/wal-marts-employment-deployment-and-6-ways-to-curb-retail-turnover/?sh=6ee914dc1008.] [ibid]
To motivate the employees, the company did invest in reward programs and designed a $2.7 billion package for employee incentives. The program had been designed for the productivity improvement of employees. The company wants to engage its employees to curb the high turnover rate but failed to secure a long-term relationship with its employees. For a company that invests heavily in retail outlets and needs lots of employees to run its operations, a high turnover is critical. The success of the company includes retaining its long-term employees. Another problem at Walmart is the firing policy that demotivates the workers as employees' loyalty is not rewarded and considered. People have a constant fear of being fired, which can impact their work performance negatively and affect their motivation level.[ibid]
Work Overload
Walmart is famous for increasing its employee workload, and that has created many issues in the past. The works, especially those promoted to the associate position, have complained about the extensive workload. The work requirements are not determined, and the management expects the employees to respond whenever they are being called out. It increases the stress and burden on the employees. Understaffing is another problem that creates an extensive workload on the employees. People believe they do not get adequate staff members to perform the work smoothly and efficiently. Work stress is found to have a negative influence on job performance[Áine Cain, "Walmart Employees Dish on What It's Actually Like to Work at the Retail Giant," Business Insider, last modified August 2, 2018, /walmart-store-employees-describe-working-retail-giant-2018-7#getting-recognized-for-hard-work-6.] [Revenio Jalagat, "Determinants of Job Stress and Its Relationship on Employee Job Performance," American Journal of Management Science and Engineering 2, no. 1 (2017): xx, doi:10.11648/j.ajmse.20170201.11.]
The COVID pandemic has unraveled the mindset of Walmart's management once again. To maintain the financial pressure that has come with the pandemic, the company has decided to cut the worker's hours and pay while increasing their workload. Although the company has promised more significant benefits from organizational restructuring, it seems like it has not learned from past mistakes. Many organizations are undergoing downsizing during the pandemic, but the reduction in the pay and increased workload has triggered the employee's reaction.[Sainto, Micheal “Walmart Cuts Workers' Hours but Increases Workload As Sales Rise Amid Pandemic," The Guardian, last modified September 24, 2020, /business/2020/sep/24/walmart-workers-hours-pay-great-workplace]
Unfair Labor Practices
Walmart has come under the radar more than one time for unfair labour practices. The company faced a class-action lawsuit in 2019 for violating the privacy laws that resulted in the payment of $461.32 to 21,677 employees. The company used the palm scanner for biometric verification without its consent. Although Walmart later discontinued the use of such devices, it created reputational damage for the company. The company's female employee filed another lawsuit for gender discrimination in wages and promotions. Since the company is the largest retailer and employer, this violation of the equal pay act of 1960 is considered quite serious.[Lauren Zumbach, "Nearly 22,000 Illinois Walmart Workers Could Get Share of $10 Million Privacy Settlement," Chicagotribune.com, last modified January 19, 2021, /business/ct-biz-walmart-biometric-palm-scan-lawsuit-20210119-parcawurhzcshir2naurw5pccu-story.html.] [Covert, Bryce "Nearly Two Decades Ago, Women Across the Country Sued Walmart for Discrimination. They’re Not Done Fighting," Time, last modified May 9, 2019, https://time.com/5586423/walmart-gender-discrimination/.]
The recent outbreak of COVID-19 has stirred some more controversies for the retail giant. Employees blamed Walmart for downplaying the outbreak, not providing the required PPE for employees, and not providing leaves when people were sick. These policies have resulted in 1,497 positive cases in the stores. Employees blamed that the internal store environment was not clean and sanitized. The company was not accepting doctor's notes as an excuse for leaving, and many employees did not report their symptoms because of the fear of losing their jobs. Although Walmart is doing organ[Murray,Cynthia "Commentary: If Walmart Wants to Hear Workers’ Voices, It Should Give Us a Seat at the Table," Fortune, last modified October 16, 2020, https://fortune.com/2020/10/16/walmart-workers-covid-19-safety-board-seats...