Stakeholder Analysis Of Woolworths

Stakeholder Analysis

Introduction

A stakeholder analysis of an organization describes the people who are important for the business in the concerned target market concerning survival. The selection of the stakeholder for a business depends on their influence and interest in the organization. In regard to stakeholder analysis, this paper conducts the stakeholder analysis for Woolworths Australia.

Overview of Case Organization

Australia’s retail industry employs over 200,000 people with 29 million customers (Woolworths Group Limited, 2022). Australia’s supermarket retail business is one of the world’s most consolidated and robust. Coles and Woolworths are the two major supermarket chains in Australia, controlled by Woolworths Ltd respectively. Through these processes, mega-supermarkets sell high-quality goods. Woolworths began in Sydney, Australia, in 1924 with a modest basement store (Woolworths Group Limited, 2022). Woolworths has turned into a grocery behemoth. It is now the first option of practically every household in New Zealand and Australia. Woolworths began 60 years ago as a fresh food provider and now offers a vast selection of groceries and culinary goods. Woolworths is always looking for new and better ways to satisfy its consumers. Woolworths Ltd.’s brands are distinct and devoted to providing high-quality items to their customers. Woolworths Ltd. is mainly a retailer but has diversified into general merchandise stores, supermarkets, gas and fuel stations and hotels. In addition to gasoline products, the company offers liquors to customers along with other retail products (Sabanal, 2021). The company is mainly targeting the customers in Australia and New Zealand, while its subsidiaries serve customers in China, Hong Kong, and India.

Stakeholders of Woolworths

Freeman et al. (2010) argue that stakeholder theory proposes that corporate stakeholders may be separated into two categories: internal stakeholders and external stakeholders. Creditors, investors, government, consumers are all examples of external stakeholders. Workers, managers, and other internal stakeholders are examples of internal stakeholders. The following are the parties involved in the production of canned processed goods by the Woolworths Company:

External Stakeholder

External stakeholders do not directly communicate with the organisation but their decision affects the performance of the origination in the target market. An external stakeholder, on the other hand, is often a person or organisation who is directly or indirectly impacted by the activities of the firm. External stakeholders, on the other hand, may occasionally have a direct impact on a firm even if they have no direct connection to it (Roeder, 2013). concerning this, the followings are the external stakeholders for the company that is:

Customers-:

Customers are highly important and highly valued stakeholders in the organization’s operations. Woolworth Ltd. has a strong commitment to its consumers and strives to understand their feelings, which might have an influence on their buying behaviour, through ongoing qualitative research. The Consumer Care Center is open 24 hours a day, seven days a week to take customer feedback and concerns. All new items are tested in very consumer-friendly environments and workshops in order to achieve a high level of customer satisfaction with the final product.

Investors-:

The brand value of Woolworths in its target market is only due to its investors. Because of their faith and confidence, the company has risen to new heights and continues to do so. Throughout the year, Woolworths Ltd. has quarterly briefings to inform its investors about its business policies and strategies. It also conducts general meetings annually with its investors and other kinds of shareholders, to ensure that they have a clear understanding of where their money is being spent. Additionally, the company has established a call centre service for its investors that is available to respond to the questions of all of the company’s investors. On the main website of the company, an investor centre is also available, which allows investors to send their questions directly to the firm’s CEO.

Employees-:

Woolworths Ltd. employees are the most valued members of the company, and they are treated with the highest respect and consideration. Woolworths has grown into the behemoth that it is today because of its people and their dedication. The organisation is extremely concerned with growing, expanding, and broadening the talents of its personnel in order to address the problems and possibilities that exist today and in the future. The organisation offers a variety of training programmes to its workers, including networking opportunities, mentorship, targeted leadership programmes, and other similar development opportunities, among others.

Suppliers-:

Suppliers are yet another extremely significant group of Woolworths Ltd. stakeholders to consider. The establishment of a robust and long-term connection with its supplier has always been a top goal for the business. It hosts an annual trade performance assessment meeting, as well as awards and recognition programmes to recognise and reward its business partners’ innovations. Supplier of the Year is an award that is given by the management of the company to recognize and reward its valued suppliers for their contributions to the company’s success (Sabanal, 2021).

Government-:

For the performance of the company in the target market, the government is another stakeholder who has no interest in the performance of the company but their business-related policies affected the performance and earnings of the organization in the concerned market.

Media-:

This stakeholder is also important for the company to present its good image in the societies through news, articles and other kinds of coverage. For the company, print media, and electronic media are most effective and important as these media helps the company to promote its products that are not mostly free for the company. but the reporting about the company by media helps the company to create a positive image in the market which helps in getting investors.

Internal Stakeholders

Internal stakeholders of the company are people who are in direct influence of the company and they have a direct interest in the performance and productivity of the organization (Roeder, 2013). below is the internal analysis for the company that is:

Ownership:

The ownership of Woolworths is owned by Woolworth’s groups. But every decision related to the business of Woolworth is made by the ownership of the company because they are not only responsible for the overall management of the company but also its survival in the future. Therefore, they interact not only with the government, media, and investors but also try to influence the decisions of external stakeholders to ensure the formation of the economic policies in the favor of the organization.

Managers:

These are important internal stakeholders of the company as their decisions directly influence the performance of employees as well as the performance of the organization. They take interest in the survival of the business. Managers are also responsible to maintain communication between employees and top-level management of Woolworths to retain the productivity level of the organization successfully,

Employees:

Shareholders: for the organization, shareholders are those people who make a business investment but they also get shares of the company against their investment. These people always take interest in the organization’s performance because the poor performance of the company affects returns which they will get at the end of the financial year.

Conclusion

As per the above discussion, it concluded that the stakeholder holder analysis for Woolworth reflected the influence of every stakeholder on the business activities of the organization.

References

Freeman et al. (2010). Stakeholder Theory: The State of the Art. Cambridge University Press.

Roeder, T. (2013). Managing Project Stakeholders: Building a Foundation to Achieve Project Goals. John Wiley & Sons.

Sabanal, Z. (2021). Woolworths names its top suppliers of the year. Retrieved from https://supplychainchannel.co/woolworths-names-its-top-suppliers-of-the-year/

Woolworths Group Limited. (2022). About Us. Retrieved from https://www.woolworthsgroup.com.au/page/about-us/