A clear example of a supply chain that has evolved over the years is the Walmart case. In its transition from regional retailer to a global market, Walmart has become synonymous of success in terms of supply chain management. Walmart has always been committed to a business model that drives down the costs of its supply chain to enable consumers to save money and live better. Walmart focused on developing a highly structured supply chain management strategy, improving its competitive position, in order to assume the leading market position. The innovation in the supply chain of Walmart began at the moment that the company eliminated some stages in it. In the 1980s, Walmart began working directly with manufacturers to lower costs and better manage the supply chain. In the last years, Walmart uses an innovative system called "Cross Docking". Through this technique the products and goods are transferred directly to the truck that has to be delivered without having to go through the warehouse, and, therefore, saving all storage costs. Another innovative technology used by Walmart is the use of radio frequency identification tags, which through a numerical code track any merchandise wherever it is, either on the way to a delivery, or in the supplier's truck. This fact, allows to control all the stock and goods, solving any problems that may arise in them and avoiding to have costs for delays or losses. 6. Consider the supply chain for a can of peaches sold by a major food processing company. What are the sources of uncertainty in this supply chain? The first source of uncertainty is the supply of the peaches which can be affected by the weather or some other nature elements or natural disasters. The second source of uncertainty is the transportation of the peaches from the field to the warehouse, the cost and time are uncertain as well as it may cause peaches to get spoiled during transit. The third source of uncertainty is storing the peaches in the warehouse, the inventory level can be different based on the customer demand which it can't be known in advance.
FAQs
Week 1 Homework 3. What is an example of a supply chain that has evolved over time? ›
Week 1 Homework 3. What is an example of a supply chain that has evolved over time? A clear example of a supply chain that has evolved over the years is the Walmart case. In its transition from regional retailer to a global market, Walmart has become synonymous of success in terms of supply chain management.
How did supply chain management evolved over time? ›The evolution of supply chain management has been a gradual process that has been shaped by a range of factors, including technological advancements, changes in consumer behavior, and globalization.
What is an example of a supply chain? ›The most basic version of a supply chain includes a company, its suppliers and its customers. An example would be a raw material producer, manufacturer, distributor, retailer and retail customer. From the raw materials to the customer, supply chain management involves many different stages.
What is an example of a supply change? ›Suppose the cost of producing coffee decreases due to a drop in the price of coffee beans. This increases the quantity of coffee supplied at each price and the result is a shift in the supply curve to the right. This shift in the supply curve is called a change in supply.
What is an example of a supply chain strategy? ›Amazon's agile supply chain: Amazon exemplifies an agile supply chain, leveraging its vast distribution network and advanced technology to offer rapid delivery services, such as same-day or two-day shipping for Prime members. This strategy has significantly enhanced customer satisfaction and loyalty.
What is an example of supply chain that has evolved over time? ›What is an example of a supply chain that has evolved over time? A clear example of a supply chain that has evolved over the years is the Walmart case. In its transition from regional retailer to a global market, Walmart has become synonymous of success in terms of supply chain management.
Is the supply chain evolving? ›Advanced technologies are shaking up the supply chain world. With quickly evolving capabilities across generative AI, data analytics, automation, machine learning, Internet of Things (IoT), blockchain and more, the 'smart' supply chain is well on its way to becoming the new normal.
What is Nike's supply chain? ›What is it that makes Nike's supply chain so unique and so effective? The key principles behind Nike's supply chain are outsourcing and diversification. Nike contracts 100% of its manufacturing for footwear and apparel out to independent suppliers. It was one of the earliest multinationals to adopt this approach.
How does Coca Cola supply chain work? ›The product starts with Coca-Cola, which sells the necessary components to bottling manufacturing companies. From there, bottler partners manufacture, package, merchandise, and distribute the final branded product to customer vending partners who then sell it to the consumer.
Why is supply chain important with example? ›Decreases Purchasing Cost – Retailers depend on supply chains to quickly deliver expensive products to avoid holding costly inventories in stores any longer than necessary. For example, electronics stores require fast delivery of 60” flat-panel plasma HDTV's to avoid high inventory costs.
What is an example of change in supply quizlet? ›
If for example, the price of crude oil (a resource or input into gasoline production) increases, the quantity supplied of gasoline at each price would decline, shifting the supply curve to the left.
What is an example of a change in supply and demand? ›For example, in recent years as the price of tablet computers has fallen, the quantity demanded has increased (because of the law of demand). Since people are purchasing tablets, there has been a decrease in demand for laptops, which can be shown graphically as a leftward shift in the demand curve for laptops.
What is an example of supply decreasing? ›A drought decreases the supply of agricultural products, which means that at any given price, a lower quantity will be supplied. Conversely, especially good weather would shift the supply curve to the right.
What is supply chain operations and give an example? ›What are supply chain operations? Supply chain operations are the systems, activities, and processes that work together to move goods from the supplier to the merchant to the end customer.
What is an example of supply chain analysis? ›A few examples of supply chain analytics include demand planning (using historical data and other factors to predict what customers will order); sales and operations planning (manufacturing and/or purchasing the goods an organization needs to cover forecasted demand); and inventory management (tracking sell-through of ...
How is modern supply chain different from that of the past? ›Modern supply chain management employs logistics to help make operations run smoothly and efficiently. It also takes into consideration a larger network of providers that can offer faster and more affordable options for production and fulfillment throughout the supply chain.
How and when did supply chain management evolve within the United States? ›Supply chain management developed following World War II thanks to military logistics developments. The combination of industrial engineering and supply chain operations created supply chain engineering. Transport management and intermodal container development made the transportation of containers easier.
What are the 4 levels of supply chain management evolution? ›- Level 1: Reactive supply chain management.
- Level 2: Internal supply chain integration with planned buffers.
- Level 3: Collaboration across extended supply chain network.
- Level 4: Dynamic supply chain adaptation and flexibility.
development process of supply chain concept has gone through three phases, which are logistics management phase, value chain phase, and supply chain network phase (see Figure 1).