As the world becomes more globalized, international firms will have to focus on the complexities of creating culture. As with any international business element, no two solutions will illicit the same results. What may be acceptable in one country could potentially be shunned in another. Adding more complexity to the culture problem is the application of corporate standards and values within an international context. A country that emphasized individualism may not properly adhere to corporate culture of collectivism. It is therefore important to understand the culture influences that determine individual behavior with a particular country. It is then important to address any discrepancies and institute solutions that may overcome these cultural barriers.
Walgreens was started in 1901 within the United States and has quickly grown into one of the world’s largest drugstore chains. Its overall size and scale allow the company to penetrate many of the world’s strongest and fastest growing economies such as Brazil, China, India, and Russia. Walgreens currently operates over 19,000 stores, 400 distribution centers, and delivers to more than 240,000 health care professional around the world. Due to this size and scale, Walgreens has one of the deepest supply chains in the world.
Culture is undoubted a key component within the operational success of the overall franchise. The culture emphasizes speed and efficiency as it relates to delivery of service. Efficiency of service is ultimately, what allows the company to deliver low prices to consumers. As a pharmacy, the corporate culture also emphasized health, wellness, and community service. The company for example offers company paid life insurance, employee paid childcare, fee healthcare members, and stock purchase plans. The corporate culture also values diversity of thought and opinion at all levels of the organization. The board of directors for example has three female and 4 minority members. These actions all help to establish a baseline for international employees to follow as it relates to culture.
As it relates to international culture specifically, Walgreens has historically been progressive in its mandates. For one, as a pharmacy Walgreens places heavy emphasis on innovation. It pioneered new service quality standards around the world to help deliver lifesaving products to people in need at reduced prices. The firm has also pioneered new initiatives as it relates to corporate social responsibility. All employees are encouraged to volunteer in any manner they deem fit, as this helps to establish a culture of giving within the organization. For example, Walgreens employees have been at the forefront of the COVID-19 pandemic, helping to mitigate its impacts. Euan Hammond, a Walgreens employee, together with International Health Partners, started a delivery service, which ship over 4 million packs of antibiotics and painkillers to individuals suffering from COVID-19 in the Congo. This initiative was latter backed by Walgreens itself to help fund further improvements using its efficient supply chain mentioned above.
The company also maintains international culture through periodic reviews and assessments of each employee. These reviews are conducted twice a year by management to determine if the cultural standards of the business are being met throughout the world. The company realizes how important a unified employee base and culture is to its continued improvement of operations abroad.
References
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4. Walgreens. (2010a). Mission statement. Retrieved from http://news.walgreens.com/article_display.cfm?article_id=1042
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