SUPPLY CHAIN MANAGEMENT 7-11 JAPAN History 7-Eleven is part of an international chain of convenience stores, operating under Seven-Eleven Japan Co. Ltd, which in turn is owned by Seven & I Holdings Co. of Japan. Eleven, primarily operating as a franchise, is the world's largest operator, franchisor and licensor of convenience stores, with more than 46,000 outlets. Timeline 1973: York Seven Co., Ltd., established 1974: First store opened (Toyosu Store, Koto-ku and Tokyo) 1975: 24-hour operations
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1 i CASE STUDY ~ SEVEN-ELEVEN JAPAN CO. Established in 1973, Seven-Eleven Japan set up its first store in Koto-ku, Tokyo, in May 1974. The company was first listed on the Tokyo Stock Exchange in October 1979. In 2004 it was owned by the Ito-Yokado group, which also managed a chain of supermarkets in Japan and owned a majority share in Southland, the company managing SevenEleven in the United States. Seven-Eleven Japan realized a phenomenal growth between the years of 1985 and 2003
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CASE: SEVEN ELEVEN JAPAN Executive Summary I Executive Summary The goal of this case is to analyze how a firm can be successful by structuring its supply chain to support its supply chain strategy. Once Seven-Eleven Japan decided to provide responsiveness by rapid replenishment, it then structured its facilities, inventory, information, and distribution to support this choice. The case also brings up the question of whether the same approach can work in the United States, especially
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Case Study #4 (7/11 Japan) A convenience store chain attempts to be responsive and provide customers what they need, when they need it, where they need it. What are some different ways that a convenience store supply chain can be responsive? What are some risks in each case? -A convenience store can be responsive in a few different ways in order to meet customer needs and wants. The store can conduct customer surveys in order to get a direct response on what the store is lacking or what customers
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Sunil Chopra TEACHING NOTE: SEVEN-ELEVEN JAPAN CO. The goal of this case is to illustrate how a firm can be successful by structuring its supply chain to support its supply chain strategy. Once Seven-Eleven Japan decided to provide responsiveness by rapid replenishment, it then structured its facilities, inventory, information, and distribution to support this choice. The case also brings up the question of whether the same approach can work in the United States, especially given the greater
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Seven Eleven Case Study Questions 3, 4 and 6 Question 3 What has Seven Eleven done in its choice of facility location, inventory management, transportation and information infrastructure to develop capabilities to support its supply chain strategy in Japan? In order to support it’s supply chain strategy in Japan, Seven Eleven has developed a number of capabilities to ease the movement of inventory to and from its distribution center and around it’s entire supply chain network. One method
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SEVEN-ELEVEN JAPAN CO. CASE ANALYSIS What is the future outlook for Seven Eleven Stores in USA? Seven-Eleven is part of an international chain of convenient stores. 7-Eleven, primarily operating as a franchise, is the world's largest operator, franchisor and licensor of convenience stores, with more than 46,000 outlets. The Seven-Eleven business model consists of five key elements: * A differentiated merchandising strategy; * Utilization of 7-Eleven’s retail information system & Managed
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Seven-Eleven Japan1 Established in 1973, Seven-Eleven Japan set up its first store in Koto-ku, Tokyo, in May 1974. The company was first listed on the Tokyo Stock Exchange in October 1979. In 2004 it was owned by the Ito-Yokado group, which also managed a chain of supermarkets in Japan and owned a majority share in Southland, the company managing 7-Eleven in the United States. On September 1, 2005, Seven & I Holdings Co., Ltd., was established as the holding company for Seven-Eleven Japan, Ito-Yokado
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1. What has Seven-Eleven done in its choices of facility locations, inventory management, transportation, and information infrastructure to develop capabilities that support its supply chain strategy in Japan? Seven-Eleven has two levels of facility locations, one is distribution center, and another is retailer store. Distribution center is a platform to collect and allocate the order from supplier to retail store. Limited number of distribution center supports the near cluster stores. Distribution
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CENTER FOR INFORMATION SYSTEMS RESEARCH Sloan School of Management Massachusetts Institute of Technology Cambridge Massachusetts 7-ELEVEN Japan Co., Ltd.: Reinventing the Retail Business Model Kei Nagayama and Peter Weill January 2004 CISR WP No. 338 and MIT Sloan WP No. 4485-04 2004 Massachusetts Institute of Technology. All rights reserved. Research Article: a completed research article drawing
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