Lowe’s Companies Case Study
Lowe’s Companies, Inc. is a $22 billion retailer of a complete line of home improvement products and equipment. The company serves more than seven million do-it-yourself and commercial business customers each week through 780 stores in 42 states. Lowe's is the world's second largest home improvement retailer and the 13th largest retailer in the U.S. This 56-year-old Fortune 100 company employs more than 110,000 people, and is in the midst of an aggressive expansion plan, opening a new store on average every three days. They have been a publicly held company since October 10, 1961.
Lowe’s relies on its store management to deliver measurable results. With aggressive growth goals, the need exists for committed, motivated and stable management.
- Motivate managers to hit performance standards year after year
- Establish a structure not requiring constant annual revisions
- Communicate to customers that Lowe’s values their employees
- Create a displayable award that immediately symbolizes excellence
- Create three distinct rings (male and female) that accept diamond additions
- Year 1: ring Years 2-6: diamond addition
- Year 7: ring Years 8-12: diamond addition
- Year 13: ring Years 14-18: diamond addition
- Managers qualify based on reaching 100% of both their revenue and budget standards.
Over 1,100 managers qualified in 2002.