...Walmart’s Retail Link Supply Chain CASE 1 VIDEO CASE Systems SUMMARY An introduction to Walmart’s Retail Link system, one of the largest B2B supply-chain systems in the world. Retail Link connects consumer purchase data to the Walmart purchasing system and to vendor supply systems. Retail Link plays a key role in Walmart’s corporate strategy to become the dominant low-cost provider of retail goods. L=7:13. URL http://www.youtube.com/watch?v=SUe-tSabKag CASE Walmart is a well-known leader in the application of network technology to coordinate its supply chain. Walmart’s supply chain is the secret sauce behind its claim of offering the lowest prices everyday. It’s able to make this promise because it has possibly the most efficient B2B supply chain in the world. It doesn’t hurt to also be the largest purchaser of consumer goods in the world. With sales of more than $443 billion for the fiscal year ending January 31, 2012, Walmart has been able to use information technology to achieve a decisive cost advantage over competitors. As you might imagine, the world’s largest retailer also has the world’s largest supply chain, with more than 60,000 suppliers worldwide. In the next five years, the company plans to expand from around 5,000 retail stores in the United States (including Sam’s Clubs) to over 5,500 and increase its selection of goods. Internationally, continued Chapter 2, Case 1 Walmart’s Retail Link Supply Chain 2 Walmart has over...
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...Supply Chain Management Chapter – 5 Level-3 Project Course: BADM 425 – Production and Operations Management Instructor: Professor Tom Martin Report Written by: Raja Vinjamuri (7291237) Firm chosen: Walmart Person Interviewed: Mr. Clay Peltier (Assistant Manager) Report: Before, we discuss about the Supply chain management of Walmart, I would like to clarify their business philosophy, which is to keep prices as low as possible. Even if their margins weren't higher than competitors and in fact very less, they could make up for that in volume. Various factors like Technology combined with flawless Supply chain management, enables them to maintain such low costs. Now let’s see various elements of their supply chain management. The relationships of the firms in Supply chain: Normally any supply chain has a suppliers, manufacturers, distributors, wholesalers and retailers. Though walmart is technically considered as a retailer, in the words of one of its assistant manager of operations, “it is actually a wholesaler with a huge number of its own retail outlets”. Because Walmart supply chain has so many suppliers, as they sell a wide range of products they tend to do a lot of “Vertical integration” which is to own a major part of supply chain. Actually, based on types of integration of supply chain, they have various types of stores such as Walmart store U.S, Walmart Discount Stores, Walmart Supercenter, Sam's Club etc. So a supply chain integration connects the flow of work...
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...ON WALMART'S SUPPLY CHAIN POLICIES Name College ABSTRACT: Walmart is an internationally known corporation with locations throughout the world. From its very humble beginnings, this firm has made significant strides in the creation and maintenance of a healthy and thriving supply chain. Nevertheless, all businesses have areas that present challenges, and Walmart is no different. This report will evaluate six areas of Walmart's supply chain, as well as the potential problems associated with each component. Walmart would not be nearly as successful as it is today without having plans for when parts of its program breakdown, and these are examined here, too. Finally, we discuss the value of a quality and reliable supply chain for overall viability in the market. Information on Walmart's Supply Chain Policies I have chosen to write my essay on the universally known and internationally successful firm, Walmart. Regarding background data, Walmart began in the late 1960s. Amazingly, Walmart grew rapidly throughout the 1970s, expanding to over 275 stores by the end of 1970. The domination continued, with Walmart adding additional features and brands to its already huge corporation, ultimately creating one of the world's most well known retail stories. Although there are many unique points that make up Walmart's retail success, one of the most important includes the capitalization of Walmart's retail chain. Walmart consistently...
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...[;’p// Walmart Case Study: Half a Century of Supply Chain Management SCM 607 Dr. John Wu March 15, 2014 Table of Contents INTRODUCTION 4 BACKGROUND OF THE COMPANY 4 GOALS AND OBJECTIVES 5 KEY ISSUES 6 EXTERNAL ANALYSIS 7 Economy 8 Customer Behavior 8 Technology 8 Politics & Legal Aspects 8 INTERNAL ANALYSIS 9 Company Culture 9 Operations 9 Purchasing & Suppliers 10 Inventory 10 Logistics 10 SWOT ANALYSIS 11 Strengths 11 Procurement 11 Distribution 12 Store Network 12 Information Systems 13 Weaknesses 14 Procurement 14 Store Network 14 Human Resources 14 Focusing on the Supply Chain 14 Opportunities 15 Focusing on the Supply Chain 15 New Initiatives and a Reorganization 15 Threats 16 Human Resources 16 DECISIONS 17 CONCLUSION 18 EXHIBIT 3 19 EXHIBIT 3 (continued) 20 EXHIBIT 3 (continued) 21 EXHIBIT 5 22 REFERENCES 23 Walmart Case Study: Half a Century of Supply Chain Management INTRODUCTION Walmart dominates the retailing industry in terms of its sales revenue, its customer base, and its ability to drive down costs and deliver good value to its customers. After all, the world’s largest corporation, employing 1.8 million associates worldwide, takes pride in having received numerous accolades for its ability to continuously improve efficiency in the supply chain while meeting its corporate mandate of offering customers everyday low prices. Walmart demonstrates how a physical product retailer...
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...Management Information Systems Assignment ON “Walmart Retail Link Case Study” MASTER IN BUSINESS ADMINISTRATION MBA++, FIRST YEAR IS SUBMITTED BY VAIBHAV AGHADATE (ROLL NO - 15227) CONCERNED FACULTY Prof. A.G. JOSHI DEPARTMENT OF MANAGEMENT SCIENCES PUMBA Q1. Where does Walmart’s supply chain start ? What triggers Walmart’s retail link system to ship goods to local Walmart store ? ANS : Walmart has one of the best supply chain management systems in retail. Walmart’s supply chain starts from the manufacturer as they have B2B supply chain management. Delivering the right product at the right time to the right customers is the core objective of Supply Chain Management of Walmart which leads to well stock of goods to their every retail store. Q2. Why is the detailed knowledge of consumer purchases at each store important to Walmart’s success ? ANS : Detailed knowledge of consumer purchases at each store is important because : 1) Walmart can identify which products they must keep in their stores in which region so that customers will be attracted. 2) Walmart can predict customers behavior depending on weather and forecast the demand and supply accordingly. 3) Walmart is always aware about every single products quantity to be provided in the store which is coming to end. Q3. Why can’t other retailers easily duplicate Walmart’s retail link ? ANS : Walmart has large network and it is more secure so it is difficult to duplicate. Also they have well...
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...| How Walmart became a Super Power | E-Business EBUS308 | | By Dorine | 10/20/2014 | Table of Contents Business Model 2 Description of Stakeholders 4 Supply Chain Management 5 Radio-Frequency Identification (RFID) 6 Supply Chain Flow 6 Customer Relationship Management (CRM) 7 Customer Satisfaction 7 How Customer Satisfaction is Measured 7 E-Commerce Business Plan Template 8 Mobile Applications 8 Market Analysis Summary 9 Key Competitors 9 Walmart vs Amazon 10 Walmart vs WinCo 10 Data and Information Management Plan 11 Information Collected 11 How Information Collected Is Used 12 Policies to Protect Information 13 References 14 In today’s world shoppers like to have a one stop shop where they can go to get everything they need at a low price. Wal-Mart has provided that type of store for customer to be able to shop for groceries, clothes, house hold items, furniture, toys, pharmacy, and electronics. They are good at giving the customers what they want, they were the number one business of the Fortune 500 list for 2014 the second year in a row (Fortune 500 2014, 2014). Wal-Mart opened their first store in July 1962 in Roger, Arkansas. In 1991 Wal-Mart went international by opening up Sam’s Club in Mexico City. “Today, Walmart operates over 11,000 retail units under 71 banners in 27 countries (Our Story, 2014).” Walmart employs 1.3 million in the United States and 2.2 million associates around the world. Walmart’s mission statement...
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...Introduction | 2 | 3.1 | Benefits/Pros of RFID in supply chain (Body) | 2 | 3.2 | RFID in supply chain – Described with a case (Body) | 2 | 3.3 | Cons of RFID | 3 | 4 | Conclusion | 3 | 5 | Bibliography | 4 | The impact of RFID technology in Supply Chain Management 1. ABSTRACT This report consists of details of the introduction and inclusion of RFID tagging in supply chain management, along with a several pros and cons in the implementation. In addition, a large retail corporation is discussed in connection with the implementation. The aim of RFID in supply chain management is to see the establishment of product tracking which should revolutionize supply chain management practices. (Michael K, 2005) 2. INTRODUCTION Supply chain management is the management of moving and storing products/goods, from its raw material stage to its selling stage, from one location to another. The key to a good supply chain management is the seamless transfer of its products, supply chain management gained popularity from the mid-1990s. Supply chain has played and will always continue to play a very important role in Globalization. Some keys functions of Supply chain management, is to manage suppliers, inventory, distribution of goods, customer service and transportation. With supply chain playing an integral part in most of the businesses, it is important for a company to make sure that they have a strong supply chain system integrated and with huge developments in the Information...
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...Walmart: Supply Chain Management Walmart was founded in 1962 by Sam Walton and is considered one of the global giants in supply chain management. The company has become the world’s biggest retailer with the largest amount of sales per square foot, the highest inventory turnover rates, and net operating profit of any of its major competitors. This powerhouse manages approximately $32 billion in inventory and stocks products manufactured in more than 70 countries worldwide. With these kinds of numbers, it is vital that Walmart is able to continue to effectively and efficiently run its supply chain. The organization is dedicated to a business strategy that drives out costs and enables consumers to save money and live well. The way in which Walmart conducts business is distinctly different from its rival, Amazon, who also dominates the North American and global retail environment. Walmart has found continued success by working with fewer links in its supply chain, expanding strategic vendor partnerships, utilizing cross docking to replenish inventory, and embracing technology to track and restock inventory. Additionally, the company has made great strides in developing a highly structured and advanced supply chain by meeting customer demands and achieving cost structures that allows them to provide low everyday pricing on products. As with any company, Walmart has faced many challenges within its supply chain and continues to execute strategies to overcome such challenges. In...
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...by industrial development should be addressed throughout the supply chain. This had led to the emergence of the concept suggested to as Green Supply Chain Management (GSCM). This research provided a concise background and challenges of green supply chain through applying qualitative analysis on potential implementation in existing literature. This research was use secondary data to analyze a single case study, which is a case study of Walmart GSCM. Data was collected through a quality source by process of evaluating the information sources. The research analysis have shown seven strategies that used at Walmart: Identifying goals, metrics, and new technologies, Providing network partner assistance to suppliers, Certifying environmentally sustainable products, Incentive for green products, Consolidating direct suppliers, Developing a sustainable standard, and Zero waste. In a conclusion, it was possible to understand that GSCM is one of the emerging approaches for retail industry. This approach had help the company differentiates from its competition and made its supply chain more efficient. This paper was useful in providing suggestions to the retail industry and other industries to either modify the GSCM strategy adopted within organization in order to achieve the required target, or identify the most suitable GSCM strategy to be implemented. Keywords: Supply Chain Management, Retail industry, Green Supply Chain Chapter 1: Introduction The world is warming. The average...
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...Executive Summary Walmart is the biggest company in the world with a highly complex, but efficient, supply chain. In this essay we will try to analyze the bargaining power of Walmart over its suppliers, the importance of RFID (its pros and cons) and make an overview of the green supply chain and its importance for the future of Walmart. Company Overview The Walmart story began in 1962 from the vision of a man called Sam Walton who had worked for a famous retailer called J.C. Penney in Arkansas and Missouri and decided to open a store of his own. With a very aggressive price strategy and conveniently opened stores, locations and schedules, he was very successful and by 1969 he already had 18 stores in the United States. During the 1970’s the company went public and in the 1980’s the company opened Sam’s Wholesale Club, a concept based on the successful cash-and-carry, membership-only warehouse format pioneered by the Price Company of California (now Costco Wholesale Corporation). In 1992 Walmart started expanding to the international markets; they entered Mexico in 1992 through a joint venture with Mexico’s largest retailer, Cifra, to open Sam’s Clubs. The next step was to enter Canada which they did in 1994. Walmart continued to expand internationally, entering China in 1996. Nowadays they are also in Brazil, Argentina, India, Honduras, Nicaragua, Costa Rica, United Kingdom, El Salvador, Japan, Chile and Guatemala in a total of 14 different countries outside the U.S....
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...BEIHANG UNIVERSITY 北京航空航天大学 SCHOOL OF ECONOMICS AND MANAGEMENT 经济管理学院 SUPPLY CHAIN MANAGEMENT ASSIGNMENT 1 “Supply Chain Management of Wal-Mart” Professor: ZHAO QUIHONG Student: NGUYEN HAI YEN - LS 1508256 VU THI THU HIEN - LS 1508226 GANTA. MURALI - LS 1508233 NGUYEN KHANH LINH - LS 1508230 NGUYEN THI THU HIEN - LS 1508257 INTRODUCTION Wal - mart was founded in 1962 by Sam Walton in Rogers, Ark. It is an American multinational retail corporation that runs chains of large discount department stores and warehouse stores. Almost everything can be found in Wal-Mart stores and it has everything a homemaker can ever think of. It is arguably the largest retail chain that deals with millions of product ranging from furnitures, clothes, groceries, books, movies, electronic, jewelries, baby products and much more. In the 1960s through the 1970s, companies realized strong engineering, design, and manufacturing functions were strong market strategy keys to create and capture customer loyalty. As the demand for new products rose in the 1980s, these market requirements were to increase their flexibility and responsiveness to adapt existing products and processes or to develop new ones in order to meet customer needs. As manufacturing improved in the 1990s, managers began noticing material and service inputs involving suppliers and their major impact on an organization‘s ability to meet customer needs. As a result of these changes, organizations...
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...Summary: The video illustrates to us the details about the Walmart’s supply chain. It explains the organization’s central computer system and its immeasurable distribution centers. It also covers what makes Walmart so successful and what gives them the competitive edge over other regular organizations. Walmart’s central computer system is the world’s second largest computer system, only smaller than the computer system in the pentagon. This computer system tracks each item sold at every individual Walmart nation wide. This permits Walmart to track what things are constantly sold the most at each location, which helps them decide how every individual area should be stocked. For example, if camouflage items are being sold more in North Carolina stores then in California stores then they will increase the stock of camouflage items in North Carolina rather than to that of the California stores. This data additionally transfers to the organization's distribution center , where a large number of things are put away and shipped across the country. These distribution centers have supply chains that are running every minute of every day. They are run and organized to a precise science so everything runs easily. At the point when an order rolls in from a store, they find the product in the warehouse, put it on the conveyor belt and after that it is put on a particular truck that takes the item to the store. Discussion: As an MBA student, this video is exceptionally fascinating for...
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...Walmart - Information Technology Rachel Thorne Fundamentals of Supply Chain Management BUS 3022 Gordon Flanders Walmart Information Management System (IMS) Walmart is a retail giant. Just about everyone in America has purchased something from them. It is a one stop shop for anything that a person could ever need. Walmart stores can be found just about anywhere, in fact most people are less than an hour drive away from a Walmart store. Walmart’s success has put many companies out of business. The chains success is primarily from low prices and using an information technology system to meet customer demands giving them a competitive advantage. Walmart’s first major use of information technology came in 1975 when the company leased an IBM computer system to track inventory in warehouses and distribution centers. (Wailgum, 2007) Computers have come a very long way since this time and are used almost everywhere. But in 1975 this was cutting edge technology and gave Walmart the competitive advantage over other retailers. Another thing that Walmart used to be revolutionary in their supply chain was the use of scanning barcodes in 1983. (Wailgum, 2007) Before barcodes objects had to be read by a skilled cashier. With barcodes all that was needed was a quick scan and the computer would do all the work. This greatly sped up checkout time and made tracking inventory and data collection much faster and easier for both customers and the employees. Since this time it...
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...Map the Supply Chain Paper-Walmart Cathi Stark MKT/421 June 23, 2014 Jeannette Singh Map the Supply Chain Paper-Walmart The supply chain is an important part of business. Supply chain management (SCM) is controlling of the movement of goods. It includes the flow and storage of raw supplies, work-in-process inventory, and finished commodities from beginning to point of utilization. The Supply chain management is network of facilities and distribution options that goes into improving your company. Making a product or service and delivering to customers by finding raw components. Today, SCM systems focus on extending beyond an organization's four walls to influence: Suppliers, Suppliers, Customers' customer. This paper will discuss each connection in the supply chain and the reason and significance of each in Walmart’s industry. There are five main components of supply chain management. They are plan, source, make, deliver, and return. Every company needs a strategy [plan] on how to manage the resources in order to achieve their customers demand for their products and services. The supply chain management is developing a set of metric to monitor the supply chain so that it can deliver high qualities and values to customers. Next is the source; to create their products, companies need to be very careful when choosing suppliers to deliver their goods and services needed. The managers need to develop a set pricing and delivery system in the supply chain. They can also put...
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...How should Wal-Mart rationalize its seafood supply chain to reduce costs and promote sustainability? Walmart has a large retail seafood business and it is always a challenge to reduce cost and promote sustainability. With upward trend for the demand of sea-food, depletion of the seafood supply is inevitable unless Walmart have a deep engagement of their supply chain. One strategy that Walmart wants to promote to their suppliers is for all of them to take up the Marine Stewardship Council’s certification program. This process will be time consuming, expensive and complex. The depletion of some fish poses a threat to Walmart and its seafood supply chain. Many challenges exists that will lead to indirect or direct increases in the cost of the supply chain. Because of the lengthy supply chain, with the fish travelling through many parties who are involved in catching, packaging, forwarding, and labeling, cost increases drastically. Wal-Mart’s customers are uneducated about the MSC Eco Label. Therefore, it will be costly to invest in certifying their fish with this standard while it may not boost their sales. While seafood supply can be sustainable by establishing fishing farms, there is always the concern for retaining the same quality as wild-caught fish. Therefore, Walmart needs solutions for the continuous supply of wild-caught fish while retaining its sustainability. In an effort to promote its sustainability, Walmart started to carry MSC certified Chilean Sea Bass...
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