Walmarts sustainability

Strategy

WAL-MART
-Founded in 1962 by Sam Walton in Rogers, Arkansas
-Type : Discount store
-Philosophy : Achieve highest level of efficiency , offer everyday low price
-8500 stores in 15 countries, with 55 different names
-84 % of the Americans had shopped at a Wal-Mart within the past year
-2010: it was the world's largest public corporation by revenue

The Brand:
-Very high purchasing power
-Highly efficient supply chain
-Very large scale of operation
-Highest level of customer base
-Unmatched pricing

Twentieth century problem:

-Lack of resources in near future
-Environmental impact due to large
scale of operation
-Increasing environmental and other
policies

NEED FOR SUSTAINABILITY OF BUSINESS

Walmarts Goals
1. To be supplied 100 percent by renewable energy (Global green house gas strategy; Alternative
fuels; Global Logistics; Energy, Design, construction and maintenance)

2. To create zero waste

(operational and Internal procurement; Packaging)

3. To sell products that sustain their resources and environment (Chemical intensive
products; Sea foods; Electronics; Food & Agriculture; Forest and Paper; China; Textiles )

Walmarts Strategy
1. Engage : Identify and work with a broader community that could provide
information and other resources.
2. Explore : Analyze the life cycle of particular products or services and investigate the
related environmental issues
3. Expand : Looking in the value chain to identify which business activities are matched
to the issues

Issues and Achievements

ISSUES

WAL-MART
THREAT

ACTION TAKEN

Hazardous substance
usage

Denial of product

Buying RoHS compliant

product

Recyclability

Environmentalist

Green engineering

Poor response of
consumers

Environmentalist

E-waste program

Energy Consumption

Green house gasses

Material innovation & energy

transparency

Product cycle

Obsolete of existing
products

Working with legislation

Enablers

Inhibitors

Strengths

Weaknesses

-Creation of environmental subteams to assist the buyers

-Competitive advantage : be the 1st
one in the US to sell ROHS
compliance PCs

-Low inventory due to obsolescence

-E-waste collection & cost.

Opportunities

Threats

- short and long term reputation

- better quality products offered to
the customers.
- Good selling of the products.
- Development of ROHS standards to
other products.(TV)

-Legislation : Different environmental

policies between States. need to
do something at the national level.
-E-waste : we still havent figure out
how to change peoples behavior

Initiatives to help suppliers

Working in close collaboration with suppliers in order to
enhance their sustainability:
- Team networks to support each initiative
- Questionnaires
- Audit
Encouraging suppliers to license their environmental
innovation
Take-Back program in collaboration with HP and Noranda

Game Changer
Eliminate packaging of basic small electronic products (e.g.
batteries, light bulb)
Sell product in bulk

THANK YOU