Thursday, October 31, 2019
Cost Cutting Energy Efficiency Solution for Southern Wal-Mart Stores Research Paper
Cost Cutting Energy Efficiency Solution for Southern Wal-Mart Stores - Research Paper Example Description of the case study Description of the case study Ideally, Walmart has operations overseas and across borders but its primary operations are in the U.S. With significant nearly 25% of its stores and clubs operating in the Southern U.S, Wal-Mart is southern branches contribute significant revenue (Corporate.walmart.com). Wal-Mart sells various merchandize ranging from household items to electronics. However, the energy consumption points are its stores and club operations spread in Southern region. Investment on energy efficiency is a fundamental strategy in cutting the costs in an organization such as Wal-Mart. Energy efficiency is an excellent approach in saving costs for a business without compromise on customer product or service delivery. In the ever competitive business environment, commercial buildings consume an average of 14.1 Kilowatt-hours (KWH) of electricity per year per given facility according to the online statistics that published recently. The extensive cos ts are highly impactful on the financial statements and profitability of an organization. In retail industry, maintaining minimum costs is effective to sustain profitability. Wal-Mart stores in the south operate on an energy saving strategies that dictate sharing of light systems. Furthermore, the company has a culture that encourages its employees to use electricity when necessary. Additionally, the company uses solar systems in some of its stores to offer alternative source. Despite all the above strategies, gap still exist to improve efficiency.
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