1. IntroductionSince it has been proven that an otherwise high-performing company can experience a sudden reversal in fortunes, managers should be vigilant so as to prevent, or reverse, any adverse trends by adopting the necessary organizational changes. According to the study by Oslon, Van Bever & Verry (2008), the most important companies have gone through this experience for very specific reasons. In particular, one of these reasons was identified as the premature abandonment of the organization's core business. This is exactly the case with Wal-Mart. However, further damage can be prevented by uncovering the root causes of problems and then determining appropriate organizational changes to adopt (Wal-Mart Watch, 2007; Chew, Joseph, Cheng, Lazarevic, 2006; Sohal & Durian, 2006). ).2. Wal-Mart Stores, IncIn line with the principles of effective organizational change management, the report will analyze the current status of Wal-Mart. It will focus primarily on its operations in the United States, highlighting any potential dangers and/or problems. Finally, it will suggest necessary changes.2.1. BackgroundFrom 1962 (when it opened its first store in Rogers Ark) until recently, Wal-Mart has evidently enjoyed unprecedented success. The company has grown from a local retail store to become not only the largest retailer in the country, but also an organization with global presence and reputation (Hayden, Lee, Mcmahon & Pereira, 2002). With a history of exceeding sales goals, it seemed almost certain that the trend would progress into the new millennium. However, warning signs began to emerge as early as 2001, when it missed its sales target for the first time (Wal-Mart Watch, 2007). Oslon, Van Bever, and Verry (2008) noted that...... half of the paper ......-42.Smook, G., & Bhimani, H. (2005) Strategic Management in Context: Operation Strategyand Competitiveness. New Jersey: Prentice Hall. Stevenson, W. J., & Hojati, M. (2007). Operations Management, 3/e. NY: McGraw-Hill. Susanto, AB, Organizational Preparation for Change: A Case Study of Change Preparation in a Manufacturing Company in Indonesia. International Journal of Management Perspective,2, 50-62.Wheeler, (2001). Losing competitive advantage: Timely organizational change could restore the advantage. The Management Science Journal, 4, 152-87.Wal-Mart Watch. (2007). Wal-Mart in Crisis: How the World's Largest Retailer Lost its Way. A Wal-Mart Watch Report, 1-25. Terry, I. (2000). Gradual transition through organizational change: Formulating, implementing, and sustaining change. Journal of Organizational Management Principles, H, 7, 276-302.