Walmart (WMT) relies on its more than 2 million associates worldwide to keep prices low.
"It's really difficult to have 'everyday low price' if you don't have 'everyday low cost.' That math doesn't work if you don't do both of them, and Walmart's always been known as having a cost culture," CFO Brett Biggs told Yahoo Finance, in an interview at the retailer's Shareholders and Associates Week.
The world's largest retailer encourages associates to find ways to cut down on costs, and it frequently recognizes those who do.
For example, at an associate's suggestion, Walmart switched the type of floor wax it used across its fleet of stores that helped save tens of millions of dollars.
Back at the company’s investment community meeting in October, Biggs noted that "not only is the new wax cheaper, it's also sturdier. It doesn't need to be buffed as often, resulting in less spend on the actual buffing as well as fuel for the machines.
He added: “That one change in floor wax will save us over $20 million a year. So these small differences can make a big difference to Walmart.”
Biggs told Yahoo Finance that associates come up with these sorts of ideas "all the time." As a result, the retailer can lower prices and invest back in the business, he said.
A livestream of Walmart Shareholders will be available on Yahoo Finance on June 7.
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Julia La Roche is a finance reporter at Yahoo Finance. Follow her on Twitter.