...MGMT90026 Supply Chain Management Group Assignment Dr. Vikram Bhakoo Class: Tuesday 6:15-9:15 MGMT90026 Supply Chain Management Group Assignment Dr. Vikram Bhakoo Class: Tuesday 6:15-9:15 By: Widad Alharthi 822694 Di Cao Wasinee Phornnarit Yang Chan By: Widad Alharthi 822694 Di Cao Wasinee Phornnarit Yang Chan Table of Contents Introduction: 2 1. Supply Chain Management Practices 4 1.1 Walmart 4 1.1.1 Strategic allignemnt 4 1.1.2 procurement and distribution 5 1.1.3 Logistic and distribution management 5 1.1.4 Inventory management 6 1.2 Amazon 8 2. Strategic Alliances 9 2.1 Walmart 9 2.2 Amazon 10 3. Technologies employed in the SC Network 11 3.1 Walmart 11 3.2 amazon 13 4. Challenges and risks 14 4.1 Walmart 14 4.2 Amazon 15 5. Comparison of sustainable strategies in Supply Chains 16 conclusion 17 References: 18 Appendices: 19 Section A: 19 Section B: 19 Section C: 20 Introduction: Executive summary: This report provides an analysis and evaluation of the current supply chain strategies employed by two leading retail corporates, Walmart and Amazon. The report draws attention to the following aspects; supply chain management practices, strategic alliances, Information Technology, challenges and risks,finally sustainability in the supply chain. Method of the analysis includes reviewing a collection academic journals from different databases, analysing company’s...
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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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...Supply Cha S ain Manage nt Pro emen oject ‐ Reta ail Sup Chain at pply C Project Group – Balaji Nag garajan (Roll n no: EPGP‐04A A‐016) Deepak M Mittal (Roll no: EPGP‐04A‐0 026) Kannan S (Roll no: EPG GP‐04A‐044) Mahesh R Rajesham (Roll no: EPGP‐04 A‐115) Mansi Sha arma (Roll no o : EPGP‐04 A‐ ‐051) Dr. Priyan nka Mallick (R Roll no : EPGP‐04 A‐068) Sandeep G Gawde (Roll n no : EPGP‐04 A‐030) SCM Project – Retail Supply Chain at Wal‐Mart Table of Contents 1. 2. I. II. 3. Introduction .......................................................................................................................................... 3 About Wal‐Mart .................................................................................................................................... 4 Operating Divisions ........................................................................................................................... 4 Competition and Regional Alignments ............................................................................................. 8 Components of Supply Chain Management (SCM) ............................................................................ 11 A. Main Elements ................................................................................................................................ 11 4. Wal‐Mart’s Method of Managing the Supply Chain .............
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...How Walmart Uses E-commerce in Its Supply Chain In 2011, Walmart’s sales amounted to $419 billion and were ranked first in Fortune 500’s list of world’s largest companies by revenue. (Walmart 2011). What contributed to Walmart’s success? With heavy investment into their supply chain management system it has enable them to reduce overall costs, minimize inventory levels, and optimize logistics and distribution thus making them more successful. Analysis will be made as to why Walmart is concentrating on supply chain projects, why some suppliers are not in compliance with mandatory RFID tags, and how e-commerce improves transaction processing. Why Walmart is Concentrating on Supply Chain Projects Walmart is investing heavily in projects to constantly improve their supply chain which will allow them to lower overall costs and increases profit margin. An illustration of this is that prior to the efforts on supply chain management in 2002, on sales of $218B, they generated a return of 3%. In 2011, their profit margin increased to 6.1% while doubling revenue. By constantly upgrading the management of product through the various distribution channels and the process in which consumers receive products, time and money can be saved by Walmart which in turn benefits the consumer. In order for Walmart to remain successful on a global level, being competitive is the key. To be competitive in the “front of the house”, they must remain competitive in the “back of the house”. ...
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...ABSTRACT This report provides an in depth comparative analysis between Walmart and Amazon with respect to each company’s demographics, marketing, operations, and finance. The intent of this analysis is to determine the better stock to buy and hold over the next decade. It addresses the questions of market mispricing, the changes each entity must address to be competitive in the long run, and the importance of profitability. Jon Dages, Mei Li, and Chris Moore WALMART VS. AMAZON: The Economist Case Competition 2016 Table of Contents CUSTOMER DEMOGRAPHICS ........................................................................................................................ 2 MARKETING................................................................................................................................................... 4 OPERATIONS ................................................................................................................................................. 7 FINANCIAL ANALYSIS ................................................................................................................................... 11 RECOMMENDATION ................................................................................................................................... 13 APPENDIX .................................................................................................................................................... 14 WORKS...
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...Walmart has been taking the necessary steps to move toward 100% sustainable seafood for the better part of ten years. In working with the MSC they are establishing guidelines for fisheries and encouraging their suppliers to process and distribute sustainable fish, be it wild caught or certain farm raised varieties. As of the end of 2009, “Walmart’s wild seafood was 55% MSC certified… you can’t be 100% certified when you can’t be certified on a number of products. We’re working with MSC to encourage them to build these other certifications standards.” While Walmart is making the necessary changes on the back end to improve the sustainability in their supply chains, they have not truly begun advertising the value of sustainable seafood to their customers. As a result, customers are less likely to pay the higher costs for these “sustainable” alternatives, when they do not recognize the value. In the article outlining Walmart’s Sustainability Strategy specific to inventory management within their seafood supply chain, The Fishin’ Company is one supplier that has embraced Walmart’s asks, spending more time, effort and money to adhere to their sustainability standards. One of the main issues that Walmart faces is the length of time in which it takes for a fishery or supply-company to become MSC certified; the process can take up to two years. Given the increased demand, Walmart cannot afford this lapse in time. Walmart needs to work with the MSC to expedite the process. In order...
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...Since San Walton opened his first store in 1962, Walmart has grown into a global retailer with more than 4,000 store in the United States and more than 6,000 internationally. Walmart is comprised of three business segments, Walmart US, Walmart International and Sam’s Club. Walmart Global eCommerce works across all three segments. Walmart’s mission statement “We save people money so they can live better”, is not indicative of where its strategic focus areas are, but it does sound good for the average customer who has a limited budget. This mission statement leads directly into Walmart Global eCommerce goals which include combining online, social innovations with physical stores to give consumers “anywhere, anytime shopping experience” in addition to its organizational sustainability goal of creating zero waste, using only sustainable energy and selling products that sustain the environment which is important to all of Walmart’s segments including eCommerce. Walmart’s overall objective is to deliver shareholder value by increasing earnings per share, returns and maintaining strong stable returns on investment. According to Walmart CEO, Mike Duke, Walmart’s strategic focus areas are: •Making sure the company has the best retail talent at every level of the organization by recruiting, developing and retaining the best associates; •Delivering on the productivity loop that enables Walmart to operate for less so the company can drive prices even lower for its customers ...
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...the launch of the Sustainability Strategy in 2005, Walmart was able to generate cost savings and profits from different areas of its supply chain. Having faced challenges to convince all its stakeholders to participate in this strategy, there is long way from setting a firm foundation for their strategy supply chain wide and to reach a consensus with its stakeholders on the need to focus on sustainability. However, with 2006 coming to an end, Ruben and Elm are pressured to evaluate the performance of their sustainability strategy based on both business and sustainability factors, and to decide whether to continue or halt the programme. Analysis of sustainable strategy Being profit-driven, Walmart has to ensure that business value is derived from the sustainability strategy, in order to maintain its dominant retail position. One benefit was cost reduction throughout the value chain of its products. Waste was effectively eliminated and efficiency in production, packaging, transportation, store operations and customer use was realized. There was introduction of an additional revenue stream by selling the firm’s carbon credits through reduction in carbon emissions. Furthermore, it allowed Walmart to seek strategic level input from outside parties, creating collaboration with various companies to come out with new and innovative green products. Assurance of supply is also achieved, where Walmart was able to lock-in available supply or contribute to the preservation of scarce resources...
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...practices?” Walmart has been deriving value from its sustainability strategy through multiple factors. First of all, Walmart was able to create value by introducing new revenue streams from sustainable projects. For example the recycling initiative would create revenue stream that would otherwise not have been realized. Walmart has also created value by creating transparency within its own supply chain. By being directly involved with its suppliers, it was able to manage its supply chain. Walmart’s goal via its networks was to influence stakeholders, primarily its suppliers, to initiate sustainable practices that would be in line with Walmart’s values. By doing so, Walmart has to monitor every supply chain participants, and by doing so, they were able to eliminate redundant channels in the process. For example, instead of having a product manufactured and assembled in two different countries, Walmart was able to eliminate unnecessary channels by understanding the process, and thus creating a more efficient supply chain that is both innovative and cost effective. Another thing that they did was their overall cost reduction in the value chain processes. It was able to reduce inefficiencies in packaging, transportation, and waste, among other factors. By doing so, it sees the potential cost reduction in the long run. Furthermore, Walmart derived future long-term value through its game changer strategies that it plans to implement in all of its networks. Walmart learnt from...
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...Walmart and Sustainability. That pairing of terms elicits strong reactions, usually falling into roughly three camps: The "oxymoron" camp, who believe Walmart's business model of overdriven underpaid factory workers pumping out cheap goods into thousand-mile supply chains that feed a consumption-based society inherently and unavoidably conflicts with sustainability. The "salvation" camp, who welcome Walmart using its market muscle as a "bully pulpit" to push sustainability advances from the top down -- which arguably produces more change quicker than grassroots, bottom-up sustainability initiatives. And then there's the rest of us, who see truth in both of these two contradictory ideas (with a nod to this maxim from F. Scott Fitzgerald.) I include myself, because I lived in this schizophrenia for almost a year while I wrote Walmart's first sustainability report in 2007, keenly skeptical of the Goliath's conversion to the religion of sustainability, and cautiously hopeful of the promise of grander conversions that Walmart's change of heart heralded. I continue to straddle both sides. Now, two years later, Walmart just unveiled its Sustainable Product Index, which provides fuel for both fires. In a nutshell, the index (which has been in development for over a year) poses 15 questions in four broad categories (energy and climate; material efficiency; natural resources; and people and community) to 100,000 of its suppliers worldwide, with a future goal of translating the data...
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...Patil, Yash Robert Tanner 5/11/2014 BIP: Final Paper Time to do the Laundry At 9am on the 24th of April, a textile manufacturing building in Dhaka, Bangladesh collapsed due to oversight from supervisors. 1129 people were killed and an additional 2515 were injured as a result. Many of the higher floors didn’t have permits to be legally constructed[1]. The workers were making 52 dollars a month in wages and lived below the poverty line. The clothes manufactured here would be exported and sold in stores like Walmart. Situations like these exist around the world, but only get recognized when disaster occurs. Businesses are some of the biggest entities in the world. Some companies are even bigger than nations; 50 of the largest economies in the world are run by multinational companies; like General Electrics and British Petroleum which are bigger than UAE and Vietnam respectively[2]. The United States Government does provide 21 billion dollars in non-military aid to foreign countries, but this is nothing compared to the impact businesses can have. The textile industry in America alone generates 248 billion dollars in revenue and employs 75 million people globally. Businesses have the capability to empower workers and improve their mission while creating shared value[3]. What is shared value? CSV or Creating Shared Value is the process of aligning economic interests with societal interests to create value for stakeholders and shareholders. Corporations have taken on CSR or...
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...LP5 Assignment: Quality Improvement Initiative Walmart Launches Major Initiative to Make Food Healthier And Healthier Food More Affordable WASHINGTON, D.C., Jan. 20, 2011 – At an event today in Washington, D.C., Walmart, the nation’s largest grocer, unveiled a comprehensive effort to provide its customers with healthier and more affordable food choices. Here are five key elements of that program: 1. Reformulating thousands of everyday packaged food items by 2015 by reducing sodium 25 percent and added sugars 10 percent, and by removing all remaining industrially produced trans fats; 2. Making healthier choices more affordable, saving customers approximately $1 billion per year on fresh fruits and vegetables through a variety of sourcing, pricing, and transportation and logistics initiatives that will drive unnecessary costs out of the supply chain; 3. Developing strong criteria for a simple front-of-package seal that will help consumers instantly identify truly healthier food options; 4. Providing solutions to address food deserts by building stores in underserved communities that are in need of fresh and affordable groceries; and 5. Increasing charitable support for nutrition programs that help educate consumers about healthier food solutions and choices. “No family should have to choose between food that is healthier for them and food they can afford,” said Bill Simon, president and CEO of Wal-Mart U.S. Wal-Mart will reformulate key product categories...
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...miles from the supply chain since 2005– the same as going to the moon and back 75 times. The savings, which represent an £7m increase on last year, mean Asda remains on course to deliver efficiencies of up to £800m by 2020, it said. Julian Walker-Palin, head of corporate sustainability at Asda, said: “At Asda, our approach to sustainability is based on the belief that protecting the environment and saving people money go hand in hand. After all, wasting resources means wasting money – and we hate waste of any kind. “Since 2005, our work to minimise the environmental impact of our operations has delivered over £80m in savings – which we have invested in delivering lower prices for our customers. Now, through our exchange programme, we can go even further, helping over 300 suppliers find efficiencies in energy, waste and water that can also help keep prices down”. Barry Williams, Asda’s food trading director, said: “The Sustain & Save Exchange is an important Asda programme. We want to work together with our supplier partners so we can learn from each other to increase our efficiencies and resilience to the growing challenges of resource scarcity. “At Asda, we want to build a world class supply base for the future, so we’ll be working with the most proactive suppliers on this agenda to explore how we will continue to support each other for the future. For us, sustainability isn’t about reinventing the wheel – it’s just what we do. It’s also part of what Walmart – our global family...
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...Shidler College of Business University of Hawai´i at Mānoa Vietnam MBA Program Fall 2011 BUS 632—Business Strategy Dates of Course: Oct. 20 - 29 Professor James Richardson BusAd C501f Office Phone: 956-7270 Email: jamesr@hawaii.edu Course Outline and Objectives: BUS 632 covers strategic management as an integrating paradigm for your business knowledge. The aim is to develop an understanding of the strategic challenges facing managers in competitive markets. Globalization, foreign competition, and rapidly changing technology have sharply increased the intensity of competition in most industries. We will learn how leading firms have devised strategies, structured, and managed their organizations to achieve competitive advantage in this challenging environment. Strategic management deals with uncertainty and unstructured situations. You will learn tools and concepts for putting some structure into your analysis of strategic issues. But most strategic choices require judgment. Case studies enable us to test our judgment and learn vicariously from successful and unsuccessful managers in a variety of situations. Hence, class discussion of the cases is a central part of your learning experience. Methods: We will combine cases, lectures, individual and group papers and presentations. Pre-requisites: First semester of Core. Textbook: Jay Barney, Gaining and Sustaining Competitive Advantage, Fourth Edition. Case Packet will be available. Assignments and Grading: 1. Participation: (15%)...
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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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