In an effort to compete with e-tailers like Amazon, Walmart is reducing the number of managers while enhancing the role's prestige as it shifts in-store and online resource allocation

Out of a desire to control labor costs and attract more talent, major retailer Walmart is trying out a shift in store structuring, asking workers (who are now called assistant store managers) and department managers to apply for higher-paying positions fixed around managing teams.

The company is testing versions of the work structure called “Great Workplace” as a response to employee demand and consumer habits of buying more online. They also wish to promote certain managers with superior skills to help better manage teams and shrink turnover—a great expense for major retailers. The new structure will accordingly involve fewer managers, but enhance the prestige of management positions.

The shift is also concurrent with the company's need to compete with e-tailer giant Amazon. In an effort to increase growth and better compete, the company has put its focus more on better online services like faster shipping and online grocery delivery and pickup.

Walmart


Lead image: Walmart Media Library

Out of a desire to control labor costs and attract more talent, major retailer Walmart is trying out a shift in store structuring, asking workers (who are now called assistant store managers) and department managers to apply for higher-paying positions fixed around managing teams.

The company is testing versions of the work structure called “Great Workplace” as a response to employee demand and consumer habits of buying more online. They also wish to promote certain managers with superior skills to help better manage teams and shrink turnover—a great expense for major retailers. The new structure will accordingly involve fewer managers, but enhance the prestige of management positions.