Posted on 03/29/2008 6:44:19 AM PDT by Congressman Billybob
I’m grateful to an article in the National Post on Friday, 28 March, by Colby Cost for bringing this item to my attention. It is about Wal-Mart, but has nothing to do with the legendary business model of that company. Or, does it?
As the article recites, shortly before Hurricane Katrina hit New Orleans on 29 August 2005, Lee Scott, CEO of Wal-Mart, send a memorandum to all the regional and store managers in the region about to be hit. His message said:
“A lot of you are going to have to make decisions above your level. Make the best decision that you can with the information that's available to you at the time, and above all, do the right thing.”
This is an incredible message. Normally, when a disaster strikes in any large organization and communications are cut off, the subordinates are expected to batten down the hatches, protect themselves and wait for instructions. Lee Scott told his people to do the exact opposite.
What model was he following? It was the military model. There are times in battle that communication is lost. The soldiers and squad leaders on the ground don’t have the option to stand still and wait it out. Lives are on the line, and therefore they must act, even on partial or inadequate information.
The article mentioned how well the US Coast Guard functioned after Katrina. With speed and precision they set up rescue, triage, and transportation to functioning medical facilities outside the zone of destruction. How well did Wal-Mart do in this disaster?
Here is what the article says about that: “In Kenner, La., an employee crashed a forklift through a warehouse door to get water for a nursing home. A Marrero, La., store served as a barracks for cops whose homes had been submerged. In Waveland, Miss., an assistant manager who could not reach her superiors had a bulldozer driven through the store to retrieve disaster necessities for community use, and broke into a locked pharmacy closet to obtain medicine for the local hospital.
“Meanwhile, Wal-Mart trucks pre-loaded with emergency supplies at regional depots were among the first on the scene wherever refugees were being gathered by officialdom. Their main challenge, in many cases, was running a gauntlet of FEMA officials who didn't want to let them through. As the president of the brutalized Jefferson Parish put it in a Sept. 4 Meet the Press interview, speaking at the height of nationwide despair over FEMA's confused response: ‘If [the U.S.] government would have responded like Wal-Mart has responded, we wouldn't be in this crisis.’ ”
The article refers to a study of private responses to the Katrina crisis by many businesses. Steven Horwitz, an economist at St. Lawrence University in New York, noted that other “big box” companies like Home Depot and Lowe’s handed out millions of dollars in inventory, for free, to people in desperate need.
I have one, large question about this story. Why hasn’t it been reported before? Why didn’t it make the cover of Time magazine, or a story on “60 Minutes”?
The image which some “social activists” seek to apply to Wal-Mart is a large, impersonal corporation that has no interest in either the lives and welfare of its own employees, or the lives and welfare of the communities in which it locates. Of course, every time Wal-Mart opens a hiring office for an upcoming store, there are hundreds of applicants for every available job, If that fact was as widely reported as the rants of the “social activists” that image would not last very long.
But the real fight over Wal-Mart concerns unions. It is a non-union business. And unions are on the liberal, Democratic side of the political spectrum, as are about 80 percent of all reporters and editors. Now, it becomes clearer why this extraordinary story of the freedom to act that Wal-Mart gave its people, and how they used that, has not been widely reported.
Sometimes, the simple truth about a real situation can blow the invented story out of the water. And, we cannot have that, can we?
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About the Author: John Armor practiced in the US Supreme Court for 33 years. John_Armor@aya.yale.edu He is running for the 11th Congressional District of North Carolina.
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I believe Mr. Sam Walton had true genius in leadership and marketing, and hardwired both traits into his company.
Wish they would carry more “made in USA” products, though.”
The problem I think is that Sam’s sons didn’t learn that lesson. I think if Sam was alive, we would see more “made in the USA” products.
The Corp is doing some digging in the BC for levee fill and it is right uo against one of main rail lines out of the city. When the water starts flowing I’m afraid it will undercut the railway bridge and cause it to collapse. The only time I have seen the spillway open it was really turbulent and fast flowing. I hope that I’m wrong big time.
Brilliant essay..Kudos!!
Well, even the "made in China" aspect is bogus, because ALL of the big-box stores (and a lot of smaller ones) stock exactly the same "made in China" stuff. Why pick out Wal-Mart specifically??
My favorite all time manager for the company I served 35 years with was the guy who eventually learned to not ask me questions about how or what I was able to get something done for our HR dept. or acquire any needed "things"..........
The lesson to be learned with Wal Mart's story is to just trust your employees.........
Moved to TX and built a house about 1/4 mile from a super Walmart. Went there because I need something fast and called my wife and said "you gotta see this!" She went over later and said the groceries section/deli/bakery is huge! She went to kroger one last time and kept the receipt. Then next week went to the Walmart.
Bought the exact same items, or walmart substitute, and had saved $30 on off the $110 Kroger receipt.
We've found about 2 items of the Walmart brand (Great Value is their brand) that were pretty bad, but everything else was same or better.
We're hooked and so are most of the neighbors in the new development we moved into. We were the one of the first 5 in our new development and a lot of out of staters are coming here and they are hearing about it and figuring it out also.
Their oil changes are even the best value around also and since I do a lot of driving that matters to me as well.
““A lot of you are going to have to make decisions above your level. Make the best decision that you can with the information that’s available to you at the time, and above all, do the right thing.””
Should be nailed to the door of every CEO in America.
Makes Donald “Your Fired!” look like a a cheesy two bit chump.
“Home Depot, Wal-Mart and other companies that did the right thing should do a joint commercial to show what their people did to help their communities in crisis.”
There are many more corporations involved in our disaster relief, grocery chains and organizatons have done a magnificanet job. As far as advertising goes, I suspect they don’t care as they do it in order to do the right thing.
If you knew the full scale of corporate response to disasters, not just katrina, your jaw would hit the keyboard.
John / Billybob
John / Billybob
read it a little clearer
had a bulldozer driven through the store to retrieve disaster necessities for community use, and broke into a locked pharmacy closet to obtain medicine for the local hospital.
Just a harmless analogy: except Wal-Mart’s ‘crimes’ are political [ruining downtown, cheap labor from China and the enviornmental repurcusions of said commerce...you know the line].
OK, but the point is still the same.
Yeah, the marxist one.
Very good article John. BTTT!
(...and all this time I thought “looter guy” was providing necessary supplies to people in need. /sarcasm)
That’s where we do about 90 percent of our shopping these days. Can’t beat the prices and yes, the service is very good. I never have any problem returning anything.
Too bad you can’t see the forest for the trees, beckysue. Not ALL people are out to get something for themselves.
“It isn’t just the Liberals, this article will throw a lot of Freepers into a rant mode too.”
So very right!
Now I have another reason to despise presstitutes in print media and “carefully coiffed, empty heads” on TV.
PS The description of the talking heads on TV came from one of ABC’s national editors who is a friend. He knew ‘em and loathed ‘em.
Please note that some unions do such a good job of providing service that the market preferentially deals with their workers.
The stage hands union in Tampa, Florida is one such example.
That union is not run by commies, unlike most of America’s unions. /rant off
Well, I did say I was being cynical. After watching the behavior of the people from NOL after Katrina, its hard to see the good in people.
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