Problem:
Since the early 1900s Walgreens corporation was committed to being the forerunner in innovation and trendsetting. Walgreens established premiere campaigns that revolutionized the health and wellness industry. The organization took great pride in becoming a household brand that provided a higher level of total quality prescription drugs in addition to a plethora of diversified products that are cost effective for the consumer. From a personal perspective Walgreens is by far one of the best drug stores in the United States as compared to CVS pharmacy, Wall-mart, and Rite Aid (a drug store that closed several branches all throughout the U.S.). Charles R. Walgreen, Sr. is the man responsible for the successful chain of drugstores. As a result of an accident that prevented Walgreen Sr. from pursuing a career in sports, Walgreen Sr. had to create a back-up plan that led him to fulfill a purpose in pharmaceuticals which ultimately became a launching pad for him to transform the prescription drug industry. The organization envisioned becoming the nation's primary leader in prescription drugs. The organization made their vision a reality when they continued to invest in technological advancements that enabled the organization to launch several locations throughout the U.S. and Puerto Rico. Walgreens now operates in 47 states and Puerto Rico. "New firms may opt to incorporate themselves in Puerto Rico as "controlled foreign corporations" and receive the tax benefits provided by Section 901 of the U.S. Internal Revenue Code. Puerto Rico's government aims to make up for the 936 loss by providing new local incentives, cutting taxes and encouraging economic development in other industries (Rivera, 2011). The agreement between the U.S., Canada and Mexico for the North American Free Trade Agreement (NAFTA) also has implications for Puerto Rico because of competition for jobs and investment. Although wage levels are lower in Mexico, Section 30A gives companies in Puerto Rico an advantage in pharmaceuticals and hi-tech industries. In low-skill labor-intensive manufacturing, such as clothing and footwear, Mexico has the advantage. Puerto Rico currently employs 30,000 in the clothing industry (Rivera, 2011)."
According to some economists Puerto Rico's economy is anything but prosperous. "Puerto Rico has very few natural resources of economic value and its economy relies mainly on Federal Aid from the United States Government, which depends on the industrialization programs and the tax incentives that U.S. offers. Economists believe that reinstating IRS Section 936 or making IRS Section 30A permanent for U.S. firms operating in Puerto Rico is not the best way to stimulate sustainable development on the island." (Rivera, 2011).
"Walgreens has long been committed to customer convenience, and in doing so Walgreens offers items and services beyond those of a typical drugstore. These services include drive-thru pharmacies and one-hour photo services, and many stores are open 24 hours a day."(Mullis, n.d.). Human resources management (HRM) is on the brink of applied total quality management (TQM) of effective organizational practices. The organization prides itself on promoting a diversified organizational culture that leads to exceptional consumer satisfaction which exceeds consumer expectations; increased productivity thus resulting in further expansion opportunities; and increased financial performance.
As a result of Walgreens overwhelming success that contributed to the organization opening several branches within the confines of the U.S. region, the organization was determined to take their innovative concept abroad in an effort to expand globally. The Walgreens brand could no longer be confined to serving only the United States; instead the organization was determined to enter an untapped market. The initiative to expand globally was as a result of enlarging the capacity of their organizational culture in addition to maintaining a strategic competitive advantage. Currently Walgreens only operates within the United States and Puerto Rico. Perhaps Walgreens will expand beyond the aforementioned locations and embark upon future opportunities. Although there are several competitors within the prescription drug industry, Walgreens thrives on providing the best customer service with an interpersonal touch to each and every consumer as compared to their competitors. From a personal perspective, employees generally have longevity with the organization in reciprocity Walgreens is known for their willingness to promote employees from within if he or she has proven themselves to be a loyal and trustworthy employee with leadership abilities and willingness to learn new tasks and responsibilities.
Organizations have an obligation to maintain conformity with state and federal employment law. "On March 12, 2001, the Equal Employment Opportunity Center filed a motion to intervene in a nationwide sex discrimination class action against Rent-A-Center, Inc. The class complaint claims that Rent-A-Center eliminated job classifications previously held by women; imposed a weight-lifting requirement unrelated to actual job requirements; harassed and unfairly disciplined female employees; assigned women cleaning and clerical duties; demoted and failed to promote females; and discharged or forced women to resign. The suit seeks $410 million in damages, including back pay and interest." (Stohner, Speights, and Martin, 2001).
There is a continuous increase of overwhelming discrimination cases that consists of an employer's failure to promote within an organization. In today's society discrimination of employment and promotion far exceeds the realm of ethnic backgrounds; it is extended to an individual's sexual orientation, age, religion, and national origin. As time progresses and trends continuously change rapidly laws and regulations change in order to address the most recent occurrence, for example the Cosmopolitan in Las Vegas, Nevada, recently alienated a patron who was dressed as a woman opposite of his natural gender. The patron proceeded to enter the women's restroom; he was approached by hotel security; escorted out, and banned from the premises. Before the patron proceeded with obtaining legal counsel the Cosmopolitan apologized and recanted their actions of banning the patron from the resort.
"On June 19, 2001, female workers filed a federal lawsuit against Wal-Mart Stores, Inc. alleging rampant gender discrimination. The suit seeks to represent as many as 500,000 current and former female employees and could be the largest gender-based class-action lawsuit against a private employer. The class complaint accuses Wal-Mart of unequal pay practices, failure to train and promote female employees, and retaliation against female employees who register complaints" (Stohner et al, 2001).
With an increasingly high unfair labor practices organizations are prone to class action lawsuits. Wal-mart for example was not only scrutinized for unfair treatment in the U.S. they were also scrutinized for outsourcing to foreign countries and engaging in unfair labor practices. According to the National Organization for Women, "women who make pants in El Salvador earn 15 cents for each pair; Wal-Mart sells these pants for $16.95 in its U.S. stores. Also, contractors in El Salvador force workers to take pregnancy tests." (Rosen, 2011). Discrimination claims covers a multitude of various scenarios which leads to continuous revising efforts on behalf of fair and equal treatment. Organizations that specialize in central intelligence are given the opportunity to engage in useful cultural sensitivity workshops that teach employees to embrace cultural diversity, which is something that is significantly lacking in the 21st century. Most organizations are aggressively changing their current policies and procedures to meet federal and state law requirements. For example, the medical industry is a mutable industry that quickly adjusts to a highly competitive and rapidly changing environment. Medical facilities make constant strides to remain current on privacy standards as mandated by HIPAA (Health Insurance Portability and Accountability Act), which should be Walgreens focal point of functioning in terms of compliancy as mandated by state and federal regulations.