by “Should Have Been There” guest blogger, Larry Blumsack, President, Zoka Institute

You should have been at Dealmakers Breakfast on December 10th when Bill Simon, EVP and COO of Wal-Mart U.S. made an excellent case of how a company can be a responsible leader from the bully pulpit. He showed how a company who, as he stated several times, “doesn’t do anything that doesn’t make money” can bring about significant and positive change in the world by going green and providing affordable healthcare through $4 prescriptions.

Wal-Mart’s sheer size and scale makes them an enabler. With 1.5 million associates in 3800 stores in the U.S. serving 2 million customers a week the company is in a significant position to bring about change. Simon admitted that “big became bad” in the eyes of many. However, he went on to point out how big is also good. He outlined how the company is built on a 3 point leadership model:

1. Saving people money so that they can live better
2. Thought, people and personal leadership
3. If we work together we will lower the cost of living for everyone. This model led to their branding of “Save Money Live Better.”

According to Simon, Wal-Mart is focused on two major initiatives – environmental sustainability and more affordable healthcare.

Their major environmental goal to be 100% renewable energy based in 25 years. In three to four years, the goal is to create zero waste. And to sell products that sustain resources and environment. He believes that the company is well on its way to achieve all those goals. They are making changes to both their internal and external environment. Working with suppliers Wal-Mart is mandating packaging and product innovation that eventually rolls out to other companies.

Wal-Mart’s $4 prescription drug plan, Simon stated, is designed to make healthcare affordable for millions; arm physicians with a cost effective alternative for patients; and form a paradigm shift in the prescription drug industry. The program has already saved Wal-Mart consumers $1.6 billion and a growing number of food, drug, mass market and club retailers have adopted a similar program bringing country-wide consumer prescription drug savings to $15 billion.

Sales are still up for the company although there are shifts in shopping patterns. With Wal-Mart working hard for clean fast and friendly, Simon shared a quote from CEO Lee Scott.  “People only start caring about the environment when they can afford to do something about it.” Hence Wal-Mart’s branding “Save Money Live Better.”

This entry was posted on Wednesday, December 17th, 2008 at 10:00 am and is filed under Guest Post. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.