Principles of Logistics Management Research Assignment
Final Paper
This final research paper must demonstrate an understanding of new learning in logistics management and how the supply chain supports the organization's business strategy. The paper must be eight- to- ten pages (not including the title and reference pages), integrating readings, multi-media and class assignments. It is mandatory to include research from the course text, as well as six- to- eight sources from the internet or online library to support your views.
In your eight- to- ten page research paper (not including the title and reference pages), you will describe both the business strategy and supply chain strategy for your organization, for a business unit of your organization, or for some other organization for which you have worked in the past and still retain contacts. Your research paper will analyze how this organization aligns its business strategy with its supply chain strategy and recommend strategy or tactics to improve strategic alignment based on scholarly resources and what you have learned in this course.
You are required to use non-course materials to support your contentions and incorporate supporting documentation to support your analysis. Use APA style and submit your proposal to the instructor by the last day of class.
Writing the Final Paper
The Final Paper:
• Must be eight to ten double-spaced pages in length, and formatted according to APA style as outlined.
• Must include a title page with the following:
o Title of paper
o Student's name
o Course name and number
o Instructor's name
o Date submitted
• Must begin with an introductory paragraph that has a succinct thesis statement.
• Must address the topic of the paper with critical thought.
• Must end with a conclusion that reaffirms your thesis.
• Must use at least six scholarly resources.
• Must document all sources in APA style.
• Must include a separate reference page, formatted according to APA style.
One of the text to include as a reference:
Reference:
Wisner, J.D., Tan, K.-C., & Leong, G. (2012). Principles of Supply Chain Management (3rd ed.). Mason, OH: South-Western Cengage Learning. ISBN: 9780538475464
Walmart Supply Chain and How It Has Supported Its Business StrategyStudent’s name:Course name and number:Instructor’s name:Date submitted:
Introduction
Walmart Inc. is a publicly traded company in the retail industry owning over 11695 stores in 28 countries around the world. Having been in operation for over five decades, they have amassed vast experience in the industry that has given them unparalleled dominance in the industry and a very competitive edge over its competitors. It is the largest private employer in the world and largest company by revenue. Their business model has booked them an in fortune 500 companies for many years in a row. The chain retail giant is known for its pricing strategy branded ‘every day low prices’ by its marketers. Walmart has over 2.3 million employees making them the largest private employer in the world CITATION Jon15 \l 1033 (Groucutt & Hopkins, 2015). An efficient supply chain has served their stores locally and internationally whilst ensuring it offers competitive prices and a wide assortment of goods to its clientele. Walmart supply chain is managed strategically to achieve their business objectives, mission, and vision goals while eliminating unnecessary expenses before they deliver their products to the final consumer. Over the years, Walmart business model has remained their main strategic objective focusing on being the leading retailer of a wide variety of high quality branded and unbranded products at the lowest price. In this essay, critical analysis and evaluation of Walmart Supply Chain Management strategy and its impact on its business strategy discussed in detail.
Walmart Business Strategy
Walmart has employed a philosophy that has been embedded their business strategy since its inception. The company boasts of low prices, and it has branded itself as a store with the lowest prices for its customers. Their marketing focuses on ensuring their target customers perceive their products to be cheaper that their competitors CITATION Dav15 \l 1033 (Tyreman, 2015). Their brand is associated with low prices in most parts with their presence and continually market to maintain that image. The business model used by the company ensures low overhead costs for each item to enable them to set a lower price than their competitors. The company has high efficiency especially in the supply chain where it has created a channel to get their products straight from the manufacturers and deliver them to the clients. The company thus invested heavily in lowering its operational cost and improving efficiency to enable them to reduce the overhead costs.
The company’s business strategy is a culmination of constant improvements of assortment, price, and access. Walmart ensures it gives its customers the widest choice of products at the lowest price. Their profits come in through sales quantity. Their strategy is based on the premise that customers flood their stores to take advantage of the low prices and a big assortment of their products. Walmart depends on volume to make good profit margins since they price their products lower than their competitors CITATION Joh07 \l 1033 (Jones, 2007). Walmart aligned its supply chain strategies with business strategies, and over time it has made the company the largest retailer in the world. High volume is also a bargaining point when striking deals with suppliers to lower their prices.
The implementation of Walmart business strategy is multifaceted. It has resonated in all its business operations and continually earned the company more revenue. All the company objectives are founded on the strategic plan laid out by Sam Walton since the establishment of the company. The implementation of Walmart’s strategic plan has been consistent in all of their operations to cut overhead costs and increase efficiency and assortment of goods. To serve over 200 million customers weekly requires a robust supply system that track sales and purchases with high precision CITATION Jay11 \l 1033 (Rich, Jones, Heitger, Mowen, & Hansen, 2011). Thus, it has been indispensable to expand and maintain its infrastructure. Investment in it infrastructure has paid off handsomely, and it is the leading cause why Walmart overtook Kmart as the industry leader. The company strategized to have robust it infrastructure which helped them to reduce unnecessary labor force and offer their customers rich shopping experience. Today, the strategic plan has been inculcated in the company culture and replicated in all their business operations. The supply chain has articulated the business strategy of the company in its operations and greatly reduced their overhead costs while increasing efficiency. The security system has invested in technology and increase efficacy. Each of their new stores must be strategically located and managed by the business strategy. This enables the new customers in the new stores to experience the same shopping experience like customers in older stores. The consistency and predictability of their business operations are founded in their universal business strategy that has mapped the company as the leading retail company in the world.
The strategic business plan has had a huge positive impact on the company. It has given the company a competitive advantage over its competitors and earned them a bigger market share. The strategy has helped the company navigate various challenges it has encountered over the years such as globalization, economic meltdown among others. Walmart has transcended boundaries from the United States to various countries around the world. Different economic and political climate has posed a significant threat to the establishment of stores overseas. Regional competitors and unfavorable policies have stifled the company’s capital expansion. However, the business strategy continues to give the company a competitive edge in the midst of the challenges brought by globalization. The economic meltdown such as witnessed in 2008 have not slowed the company’s business operations, rather, their sales increased CITATION Luk15 \l 1033 (Froeb, McCann, Ward, & Shor, 2015). Economic crisis favors the business strategy by increasing their sales since more people shop for cheaper products which happen to be stocked by Walmart. The strategy has also helped the company to survive fierce competition that is imminent in the retail industry. Walmart’s robust information system led to becoming the industry leader for remaining steadfast in their business operations while its competitors struggled with the adverse effects of shifting their business strategy.
Walmart Supply Chain Strategy
Walmart boasts of the most efficient supply chain of a private company, and it has been instrumental in achieving efficiency in their business model. The supply chain strategy is to maximize delivery time, reduce storage time and have the least overhead cost for each product to enable t...