Costco Executive Summary
EXECUTIVE SUMMARY
The purpose of this report was to examine the implications on employees motivations used at Costco Wholesale Corporation. Research for this report included a review of current literatures on web-based tuition and Costco’s annual report, as well as other sources from electronic newspapers. The major findings indicate that while there is a need for some monetary rewards, and compensation, employee empowerment, leadership, and learning development should be seen as a way of enhancing employees motivation, and raising employee loyalty. While it is clear that employee needs are vary, and different from each employee’ condition, this report recommends that Costco Wholesale Corporation continue to develop and implement its learning, …show more content…
The company has grown rapidly from its first open in Seattle, Washington in 1983 to 627 stores worldwide in 2013, become the fifth largest retailer in the U.S and eleventh largest in the world (Costco 2011). According to Jim Sinegal, the Company’s Co-Founder and Director, ability to run extremely low overhead, and to offer employees with greater values, and benefits than its competitors are enables the company to generate greater profit margin over years (Costco 2013). In a reward, Costco has lower employee turnover rate than Wal-marts, and continues to generate benefits for its …show more content…
A group of warehouse managers developed the Costco University, where vital issues of the company are addressed. The Costco University program also enabled open discussions between senior managers, new leaders and employees of all levels. This enables employees to capture new knowledge and skills of exemplary leaders and use today’s leaders as guides (Herzog 2012). Costco extends the learning to all levels and all areas of the business. As a result, new leaders develop the interpersonal skills, and bring out new ideas and best practices to resolve the business’s issues. LLLD has enabled Costco to promote from within, and open new warehouses in the U.S and expand abroad
The purpose of this report was to examine the implications on employees motivations used at Costco Wholesale Corporation. Research for this report included a review of current literatures on web-based tuition and Costco’s annual report, as well as other sources from electronic newspapers. The major findings indicate that while there is a need for some monetary rewards, and compensation, employee empowerment, leadership, and learning development should be seen as a way of enhancing employees motivation, and raising employee loyalty. While it is clear that employee needs are vary, and different from each employee’ condition, this report recommends that Costco Wholesale Corporation continue to develop and implement its learning, …show more content…
The company has grown rapidly from its first open in Seattle, Washington in 1983 to 627 stores worldwide in 2013, become the fifth largest retailer in the U.S and eleventh largest in the world (Costco 2011). According to Jim Sinegal, the Company’s Co-Founder and Director, ability to run extremely low overhead, and to offer employees with greater values, and benefits than its competitors are enables the company to generate greater profit margin over years (Costco 2013). In a reward, Costco has lower employee turnover rate than Wal-marts, and continues to generate benefits for its …show more content…
A group of warehouse managers developed the Costco University, where vital issues of the company are addressed. The Costco University program also enabled open discussions between senior managers, new leaders and employees of all levels. This enables employees to capture new knowledge and skills of exemplary leaders and use today’s leaders as guides (Herzog 2012). Costco extends the learning to all levels and all areas of the business. As a result, new leaders develop the interpersonal skills, and bring out new ideas and best practices to resolve the business’s issues. LLLD has enabled Costco to promote from within, and open new warehouses in the U.S and expand abroad