Wegmans Case Study

Topics: Grocery store, Wegmans Food Markets, Organizational culture Pages: 17 (4466 words) Published: March 20, 2011
Management 301

|Wegmans | |An Organizational Culture Case Study | | | |

|04/21/2010 |

| |

Table of Contents

Executive Summaryiii
A Strong Organizational Culture1
• Dominant Culture and Core Values1
• Effect on employees and New Hires2
Spreading the Culture throughout the Company2
• Advantages3
• Disadvantages3
Primary Source of Wegmans' Culture4
• Selection4
• Culture Flows from Top Management4
• Socialization4
Maintaining Corporate Culture5
• Stories5
• Examples of Innovation5
Attract and Retain Employees5
• "Who We Are"5
• Shared Values6
• Attracting Employees6
Organizations Affect Community Cultures7
• Wegmans' Model of Contribution7
• Customers Promotions7
• Sustainability7

Table of Figures

Figure 1- Wegmans Turnover Ratio Compared to Industry2
Figure 2- How Organization Cultures Form4
Executive Summary

From a small grocery store in Rochester, New York to one of Fortune’s top 100 companies to work for, Wegmans is a success story of fulfilling the needs of employees. Through a process of selection and socialization, employees’ core values are kept in line with the company's. These values are reinforced by benefits, retreats, stories, and rituals. Even with its disadvantages, Wegmans’ strong culture manages to attract good employees and keeps them happy. The employees are in turn loyal, committed and contributive to the company. Wegmans’ success flourishes the communities where it belongs by providing support for charities, college scholarships, and protecting the environment.

A Strong Organizational Culture

Wegmans has built its empire based on a strong culture, supported by every employee in the company. Even though it is a small grocery chain, its low turnover ratio indicates workers’ high commitment to their jobs, unlike other competitors. Highly motivated by exceeding benefits and top management’s attention, employees demonstrate strong agreement about what the organizations stand for. Wegmans transforms typical, temporary jobs to desirable, career-friendly jobs that attract many exceptional candidates.

Spreading the Culture throughout the Company

The firm’s culture is maintained rigorously by selecting only new hires with a genuine interest in food. Combined with the motto of “employees first, customer service second”, Wegmans maintains the culture by empowering its workforce. Strong organizational culture, however, creates barriers to cost effectiveness, diversity, mergers/acquisitions, expansion, and most importantly change.

Primary Source of Wegmans’ Culture

To sustain its grass roots Wegmans’ culture, Wegmans uses selection, culture flows from the top management and socialization. “At Wegmans, we believe that good people, working toward a common goal, can accomplish anything they set out to do.” With these core values in place, Wegmans is able to sustain and even grow its primary culture as it expands.

Maintaining Corporate Culture

The benefits of stories are explained “[They] anchor the present in the past and provide explanations and legitimacy to current practices.” Stories and rituals can come from the employees, managers, corporate executives, and even the original...

References: Boyle, M. (2005). The Wegman 's Way. Fortune. Retrieved from http://money.cnn.com/magazines/fortune/fortune_archive/2005/01/24/8234048/index.htm
Brady, T
Company Wegmans Overview. (2009). Retrieved April, 2010 from http://www.wegmans.com/webapp/wcs/stores/servlet/CategoryDisplay?storeId=10052&identifier=CATEGORY_2441#believe
Denison, D.R., Haaland S
Prentice Hall. (2009). New York: Pearson.
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