Wal-Mart's Supply Chain Practices

4500 words 18 pages
Supply Chain Management – Case Analysis

Ivey Case Study

Supply Chain Management at WalMart

For: Dr. Chirag Surti BUSI 2604U Prepared By: Jeremy Abbaterusso 100217118

Supply Chain Management – Case Analysis

TABLE OF CONTENTS

Introduction and Summary…………………………………………………………………. . 3 Supply Chain……………………………………………………………………….. ……… .4 Logistics…………………………………………………………………………….. .4 Purchasing and Operations…………………………………………………………...6 CPFR and the Bullwhip Effect……………………………………………………….7 Information Technology……………………………………………………………………. .8 Future Initiatives……………………………………………………………………. .9 REMIX……………………………………………………………………….9 RFID……………………………………………………………………….....9 Performance………………………………………………………………………………..... 11 Other Information Recent
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Goods “cross” from one loading dock to another, usually in 24 hours or less.3 While working with suppliers on labeling will increase efficiency in transporting goods from distribution centers to retail stores. Another vital implementation of Wal-Marts supply chain is its in-house non-unionized truck drivers. Using trucks as a mode as transportation will provide flexible point-to-point service, delivering small quantities with less risk. Also since the distribution centers are on average 130 miles away from retail stores its relatively inexpensive especially with the ingenious idea of

3

Russel, Taylor, “Operations Management: Creating Value Along the Supply Chain,” 2009, pp. 440.

5|Page

Supply Chain Management – Case Analysis

“back-hauling”. This concept allows transportation of unsold merchandise back on trucks that have just dropped off inventory to the retail store from the distribution center. This means that the Wal-Mart trucks leaving and coming back to the distribution center are never empty. Mart The figure below shows how many days of supply W Mart in comparison with its top Wal-Mart competitors has in its stores. Keep in mind inventory is held in stock as a way to provide insurance against supply chain uncertainty. As

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