Walmart’s large scale makes it simpler for them to save big bucks while using small steps to make a large impact.
Doug McMillion, CEO of Walmart spoke at the retailer’s annual shareholder’s meeting on Friday that they aim to save a minimum of $30 million in 2019 by swapping out the existing stepping stools in their stores with lighter versions of the same.
These stools are used to pack tractor trailers with items to be distributed, all the way to the top, McMillion explained at Bentonville, Arkansas. He said that the end goal of the move was to fit as much as possible in the trailer to reduce mileage and costs. However, the stool used before this was proving to be ‘clunky, big and heavy’. The trailers were not being packed all the way to the top as some people were not using the stool as they did not want to carry it around.
Now, since the lighter weight version has been created, Walmart is doing better at packing the trailers, and is saving the company millions of dollars annually.
This move is similar to when Walmart saved $200 million by changing light bulbs in their stores and parking lots, and using a new wax floor. Walmart makes these moves as it aims to keep its costs low and provide its wide customer base with products which are priced without the load of too many overheads.
