Question

Whole Foods Market has a purpose beyond profits, and even a purpose beyond selling gorgeous vegetables and great cheeses. The chain of more than 300 health-food stores in the United States, Canada, and the United King-dom seeks to do no less than “contribute to the well-being of people and the planet.” This mission shapes the selection of merchandise grown organically and sustainably, including fresh produce, meats and fish, and whole grains, all attractively displayed. It also shapes the way the company treats its 70,000-plus employees. Management of employees is based on key values: personal responsibility, valuing diversity, and commitment to the organization’s purpose. To sustain this combination of values, the company operates as a set of teams, with every employee being a team member. A team may have between six and a hundred members, with the large teams divided into subteams. The leader of each team in a store is a member of the store’s leadership team, and the head of each store leadership team is a member of a regional team. At the top of the Whole Foods hierarchy is an executive team. Each employee is responsible for participating in decisions related to his or her team’s work. Team members have a vote in which employees are part of the team and what benefits will be included in their compensation packages.

Team spirit and empowerment at Whole Foods has laid a strong foundation for business success. Cofounder and CEO John Mackey says living out the store’s values creates a climate that frees employees to innovate without fear, and the creative, fear-free environment feels great to shoppers. It is one of a handful of companies that has attained a spot on Fortune’s list of Best Companies to Work For in every year the list has been compiled. Most recently, on the global Best Companies list, Whole Foods was ranked number one among food and drug stores. Consistent with that ranking, Whole Foods reports employee turnover of just 10 percent per year (the industry average is ten times that). And after year upon year of strong growth, Whole Foods has become the world’s largest supermarket chain specializing in natural and organic foods, with investors seeing far more room to grow in the future. To spur innovation and strengthen commitment, Whole Foods Market empowers employees to participate in planning and decision making with their teams. Within a store, members of teams are involved in decisions concerning product selection and merchandising (the way products are displayed to entice buyers) as well as efforts to improve efficiency. They also contribute to decisions about hiring and compensation.

The company is widely known for team member involvement in hiring decisions, but employees support rather than control the entire hiring process. A human resource employee at each store or other facility screens job applications and selects candidates with the necessary skills and concern for customer service. Candidates who pass the initial screening may be interviewed by one or more store leaders. (Applicants to lead teams generally interview with a group.) Each employee hired then begins an orientation period, during which he or she has probationary status. After the new employee has worked with the team for one to three months, the team meets to decide whether to keep the person on the team, based on whether he or she meets the job requirements, follows company policies and procedures, provides excellent customer service, and works well with the team. Two-thirds must vote in favour of the employee; otherwise, the person can try to join another team or will have to leave the company. What unifies employees at Whole Foods Market is the sense of mission and shared values. Serving on a team fulfilling a mission gives each team member a sense of purpose, and the team monitors performance, making sure everyone contributes. In addition, unlike many retailers, Whole Foods schedules most of its employees for full-time work, which enables them to learn more about their jobs, build stronger team relationships, and develop a greater commitment to the organization.

A challenge to cohesiveness, however, is one of the very values the company espouses: appreciation of diversity. Whole Foods stresses its commitment to hiring employees from many ethnic backgrounds. Compared with other supermarkets, its dress code offers wide latitude for personal style. To counteract misunderstandings that can occur when people come from different backgrounds and express themselves differently, the company expects team members to communicate frequently and respectfully and to show appreciation for what others contribute.

1) What advantages does teamwork offer to Whole Foods Market?   

2) How does Whole Foods promote team cohesiveness? What else can it do?

Answer 1

Ans.1. Advantages Offered By Teamwork To Whole Foods Market

A team comprises of people who are organized to function in a co-operative manner in the form of a group. Team members will have common and shared purpose, specific and clear performance goals, commitment towards the way work has to be completed, certain complementary skills, as well as mutual accountability. A team may have a better sense of direction and urgency when compared to an individual, and also have the set rules of behavior. They utilize all the recognition and feedback they receive and spend quite some time together. Below are the advantages that teamwork has offered to the company Whole Foods Market.

New Ideas- teamwork and cooperation at the workplace may turn offices into the birthplace of new ideas. For instance, teamwork and ideation may have been crucial towards the adoption of organic and sustainability approaches at Whole Foods Market that have made the company successful.

Innovation- diverse teams have members from different backgrounds, races, cultures, religions, and demographics. Diverse teams can be a source of new ideas, innovation, and creativity as well. In the case of Whole Foods Market, we can see that the entire business structure/levels/hierarchy of the organization has been converted to take the form of teams. Hence cooperation and ideation are at their maximum at all levels of the organization, including the Executive levels of hierarchy. The firm aims to maximize commitment and spurs innovation by empowering the employees to participate in planning as well.

Better Decision Making- apart from new and valuable ideas, team working at multiple levels have enhanced interaction and bring to the company crucial and valuable feedback from all the levels, which is crucial towards improvement and better decision making. Whole Foods Market emphasizes on employee participation in decision making, and therefore the compliance with the decision improves while interests of all parties are considered. As employees at multiple levels participate in decision making, the scope and quality decisions of the chosen options improve. For instance. employee involvement in decision making helps the company Whole Foods Market choose the product and merchandise that can actually appeal to the consumers while also providing for better efficiency. Employees also give valuable feedback when they participate in decisions regarding compensation and hiring, which helps the firm employ and retain the best people in its workforce. Team leaders directly interview the prospective candidates, which ensures that a new employee is a better fit for the organization and the addition indeed improves productivity.

A strong workforce- employees can only be hired in the Whole Foods Market when they pass the probation period of two to three months successfully and are voted favorably by the existing employees. Such a hiring procedure ensures that the employee gets to be a part of the team in all respects. Team leaders also review the efficiency of the new employee towards meeting job requirements, following the policies of the company, providing good customer service, and being a valuable part of the team. The extra emphasis given by the team while hiring and retaining new members ensures that the strength, capability, skills, and sustainability of teams, and consequently the organization increases with hiring.

Sharing of values- teamwork at the company enhances cooperation and interaction. Team members share the value and mission of the company and hence are better aligned with the company and its objectives.

Ans.2.Ways In Which Whole Foods Market Promotes Team Cohesiveness

The extent and strength of the interpersonal connections and bonds existing within the members of a team or group can be termed as team cohesion. Team cohesiveness and its degree may reflect on the strength of the interpersonal bonds, because of which the members can co-operate and participate readily while also remaining motivated towards accomplishing the common/shared/set goals. Whole Foods has taken a well thought out and strategic approach to promoting team cohesiveness.

Hiring with care- the hiring procedure employed at Whole Foods ensures that team cohesiveness is promoted. New members are only accepted to the existing team after they have spent three months in it and are rated and voted favorably by the existing team members. Apart from other considerations evaluated before hiring a new member, it is also ensured that the new employee works well with the team.

Diversity- the company also incorporates practices to enhance diversity within the teams, which brings to the team new ideas and knowledge. Because new ideas can lead to innovation and success of the team/organization, it improves staff happiness and cohesion as well.

Empowerment of employees and team members- the team players are empowered to a great extent and can follow their creative at ideas freely and also participate in decision making in the company Whole Foods Market. Empowerment ensures that the employees take more ownership of the activities and issues that are being proposed, which leads to enhanced cohesion.

Team structuring and time- Whole Foods wants all of its employees to be part of one team or another, and these employees spend a lot of time with each other. Cohesion increases with multiple participations and because more time is spent by the employees participating in team activities and interacting with each other.

Shared values and goals- all the employees in the organization and the team members have shared mission, vision, and goals. Because all of them are working towards common objectives, there is a greater cohesion in the team and employees of Whole Foods Market.

There also certain other ways in which the company can promote cohesiveness. It can deploy and use the continual training programs (including the behavioral and procedural training programs) to ensure that the team members possess common attitudes and have the necessary skills and knowledge for better cooperation. Appraisals and reward systems can also be introduced, which would enhance team participation and involvement and increase cohesion. Improved communication and well-structured communication channels will ensure that information and ideas flow freely and cohesiveness does not take a back seat.