Supply Chain Management
ain managementExecutive Summary Globalization has open doors of opportunities for firms to reach and explore new markets. Now more than ever, supply chain management plays a key role for organizational success for those that aim to expand their market reach around the globe. This paper discusses perhaps one of the most excellent organizations when it comes to supply chain management. Zara is known around the world as one of the most successful provider of fashion products. This paper presents a description of supply chain management including its elements and components. The different stages of Zara’s supply chain and their contributions to the overall efficiency and effectively of Zara’s business model are discussed. Lastly, the paper discusses the different metrics that are used by the firm in measuring supply chain performance.
Introduction
Zara is one of the most notable fashion stores in the world. Notable for its products and notable for its excellent supply chain management. This paper discusses the supply chain management at Zara, tackling the different areas of supply chain and their contribution to the company’s success. Supply Chain Management Supply chain refers to all the value adding operational activities involved with supplying to an end user with a service or product (Lowson 2002). A supply network is defined by Christopher (1992) as an interconnection of organizations which relate to each other through upstream and downstream linkages between the different processes and activities that produce value in the form of products and services to the ultimate consumer (cited in Lowson 2002). Porter (1985) is among the earliest influences upon an integrated supply network. According to Porter, the organization’s value chain is embedded within a value system comprising suppliers and buyers. The linkages within this chain or system provided the building blocks of competitive advantage. Conversely,
Introduction
Zara is one of the most notable fashion stores in the world. Notable for its products and notable for its excellent supply chain management. This paper discusses the supply chain management at Zara, tackling the different areas of supply chain and their contribution to the company’s success. Supply Chain Management Supply chain refers to all the value adding operational activities involved with supplying to an end user with a service or product (Lowson 2002). A supply network is defined by Christopher (1992) as an interconnection of organizations which relate to each other through upstream and downstream linkages between the different processes and activities that produce value in the form of products and services to the ultimate consumer (cited in Lowson 2002). Porter (1985) is among the earliest influences upon an integrated supply network. According to Porter, the organization’s value chain is embedded within a value system comprising suppliers and buyers. The linkages within this chain or system provided the building blocks of competitive advantage. Conversely,