How Lowe’s is Improving Their Own Home
By Peggy Matsuura & Tracy Vargas
Introduction
Started in 1946
Based in Wilkesboro, NC
110,000 Employees
Strengths
CEO Bob Tillman
Customer Service
Store Atmosphere
Organization
Weaknesses
Special Orders
$2 Billion Long-Term Debt
Opportunities
Task Environment:
Customers:Females-an untapped market
Opportunities
Task Environment:
Suppliers/Distributors– Smaller Stores-Direct
delivery– Growth-Built 1 million
s.f. warehouses
Opportunities
General Environment: Economics
Interest Rates
TechnologyComputers for special orders
SocioculturalSeptember 11 / War
Opportunities
General Environment
DemographicFemales-Wives, Single
Baby Boomers-DIFM
GlobalMore untapped markets at home
Threats
Task Environment
Competitors– Home Depot
80% Marketplace– Carpet, Appliances,
Paint
Threats
General Environment Economy
Weakens: DIY
quality
Strengthens: quality
if no DIFM
Organizational Culture
Risk ToleranceDebt Viewed by Analysts as Risky; Not Company
Control vs. Organization
Managers & Employees Appreciate
Organizational Culture
Conflict Tolerance– Company Open to
Employees and Customer Opinions
Management Support– Very High
Reward System– Emphasis on
Knowledge
Organizational Culture
Communication Patterns– Morning meetings
Individual Initiative– Satisfy customers
without:sending to managerno “sorry, store policy”free spicy hot dog
Time to Test Your Knowledge
How much would you make as a
Lowe’s employee?
Pick a Number Between 1 & 100
39
Who is the CEO of Lowe’s?
Robert Tillman
How much is Lowe’s Long Term Debt?
$ 2,000,000,000
What does Lowe’s consider their #1 strength?
Customer Service
Who does Tillman consider Lowe’s main competitor?
80% of the Marketplace
What untapped market did Lowe’s target?
Females
What is Lowe’s main weakness?
Special Orders
How many employees does Lowe’s have?
110,000
Where is Lowe’s based?
Wilkesboro, NC
How many distribution centers does Lowe’s have?
Eight
What is the target employee time response to Lowe’s store call buttons?
60 seconds
Choose a letter from A to Z
A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Thank You for Playing
HOME SQUARES
All contestants must meet eligibility requirements
Produced by Peggy Matsuura
Directed by Tracy Vargas
Starring Peggy Matsuura as Peggy
Tracy Vargas as Tracy
Written by Peggy Matsuura & Tracy Vargas
A Production of Lisa Houts Management 110 Class
Copyright 2003