Hey Walmart—Try a Little “Conscious Capitalism”

Hey Walmart—Try a Little “Conscious Capitalism”

Putting employees before profits (and even customers) is very profitable.  Just ask Container Store co-founder Kip Tindell, who not only boasts excellent profits this year for the 50-store chain but actually exceeded promised performance in the first year of the recession.  Although Tindell gives the retail industry as a whole a ‘C minus’, Tindell’s peers give him an ‘A’.  The National Retail Federation awarded the retailer and his stores this year’s Gold Medal, the most coveted award in retail, given to individuals who have served the industry with distinction and achieved a national reputation for excellence.

According to Tindell, retail success comes from balancing the needs of all stakeholders - employees, suppliers, customers, community and investors. A business has to have a purpose other than profits in order to achieve profitability. Under “conscious capitalism,” the shareholder isn't Number 1.  In the case of the Container Store, the employee comes first.

Walmart certainly could use a lesson in this refreshing approach.  For more about the Container Store strategy, see www.cbsnews.com/video/watch/?id=7358608n.