Friday, February 27, 2015
AP Exclusive: Wal-Mart CEO Talks employees, customers, critics
By Anne D'Innocenzio
If the CEO of Wal-Mart Doug McMillon has the highest position in the world's largest retailers in the past year, he inherited major problems.
Wal-Mart Stores Inc., with over 11,000 stores in 27 countries, has to contend with two years of sluggish sales, especially in the first place to a difficult world economy and major changes in the way people shop.
Groups have the Wal-Mart in pay and treatment of employees showed protest in the United States. And abroad, the dealer is always for nearly two years after a plant in Bangladesh that sometimes some collapsed her clothes and killed more than 1,100 people.
McMillon, whose first job at Wal-Mart was a position of truck loading time as a student in 1984, has been struggling with these questions because he was as CEO in February 2014. Last year, the head replaced them fight US Division the pace of new store openings and small retail ecommerce speeds greater efforts.
But rise with the announcement that Wal-Mart would be close to 40 percent of its workforce of 1.3 million US as part of an investment of $ 1,000,000,000 last week, but McMillon made his boldest match changes in compensation and employee training. Wal-Mart said it would take at least $ 9 per hour increase starting salaries for employees of the United States in April and at least $ 10 in February 2016th
Two days before he made the announcement, McMillon, 48, spoke to The Associated Press increased only wages and education, the impact of the disaster in Bangladesh and other topics that Wal-Mart. In the following, at the headquarters of Wal-Mart in Bentonville, Arkansas edited excerpts from an interview of 40 minutes
Q: What is the origin of the decision to increase wages?
R: What drives us, that we want a great shopping experience for customers and make the investment in our own people.
Q. How critics who say that Wal-Mart should go announced overreacted raise?
R. I think we play our part. Opportunities for many people, and clarity, as in the development of many large orders in a society. I take a lot of pride in our role.
P. As the largest private employer, Wal-Mart a great impact on the national debate over raising the minimum wage of $ 7.25 to $ 10.10 per hour. Why Wal-Mart remained neutral in the debate?
A. It is clear to us what we need to live a good business, and we are taking steps in this direction. As for a minimum wage, there are other for determining that responsible people. I am not an economist. Someone else can separate what is the best decision.
Q: Is it difficult the perception that Wal-Mart has to break jobs for low-end?
A: What we worry about reality. If reality is quite good, in short, I think most people know, the right perception itself. Our task is great experiences for customers and online shops and all the possibilities that we can use. And finally, what is most important.
Question: Do you think Wal-Mart is aligned with injustice of their work practices?
A. No one promised to be fair. So I am not under the illusion that it is.
Question: What have you learned from your criticism?
A. I learned from (former CEO of Wal-Mart), Mike Duke, Lee Scott and the value of listening to criticism. Our ears and worry. Sometimes you have to learn the critical adulation as possible. So all heard, but the end of the day, we do what we do to our business.
Question: What do you think of his first last year?
A. I feel good in the first year. I think that we, more clarity on our strategic plan Our management has a better idea of where we are going to do to take our chances. I think we have to hear a good job our staff conducted and to begin to respond appropriately to build it for success. The growth of e-commerce company is important. And we stronger in markets such as China.
Question: What is needed to get the customer back in stores?
A. Sure business is increasingly mobile and online. It really does not matter how customers want to buy. We want to serve in a position in one of these ways.
Question: Wal-Mart is one of a group of US retailers and apparel manufacturers who have agreed a pact of 5 years, to improve safety conditions in factories in Bangladesh. Do you think you do feed in Bangladesh think?
A. We have a large supply chain we do business with many people in many categories. This can make it difficult for us. But we do not care. We invest, and I have no doubt that we do things. But there is an ongoing effort throughout the supply chain in order to try to create a more sustainable situation for everyone.
Question: How was influenced by his time at Wal-Mart?
A. I was there most of my adult life. So what I think and what I learned was largely influenced by Wal-Mart, and much of our culture will stand the test of time and still very valuable for the company and the communities we serve. But need to change some things ... the way we Customers tools we use to do it.
Q: Wal-Mart has made some mistakes, right? For example, before his appointment as CEO of Wal-Mart has reduced the workforce in stores, which led to fill shelves, the UN and the low morale of the employees.
A: The economic environment of recent years hard at all, and I think our focus on productivity was convenient. But sometimes it goes too far. And the thing with Wal-Mart, of course, we correct.
Question: How would you describe the mood in stores?
A. The word today I would use to describe is "encouraged". We have many associated with considerable experience and pride of the company. We listen and respond and make changes. And I think we are confident that we are on the right track.
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