Woolworths Report

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Woolworths’ Transformation in Supply and Logistics Chains
Hlaing Win Thawdar
Li yi
Mo yun
Muhammad Fauzi Yuzar

The Report has detail explanations about the current position Woolworths is standing in Australia’s retail industry as well as against its competitors, the operation process before and after the change, the contributions Woolworths has made not only to the economy but also for the community, how Woolworths is shaping it CSR and the organized future plans that Woolworths has thought ahead. |

Table of Contents
The History of Woolworths3
1. About Australia’s Retail Industry3
2. The Description of Woolworths3
3. Woolworths and its Competitors4
Supply Chain5
1. The Woolworth’s roles in the Retail grocery Supply Chain5 2. Australian Retail Grocery Supply Chain6
3. The Woolworth’s supply chain6
3.1 The Woolworth’s before the Project Refresh6
3.2 Summary of Supply Chain8
1. Woolworths Logistics9
2. Summary of Woolworths10
1. Social Responsibility12
2. Process of Logistics in Woolworths13
3. Inventory Storage Process14
4. Transition Marketing Strategy15
Costs and Benefits considered by Woolworths16
1. Woolworths Contributions16
2. Benefits of Changes in Operation17
3. Woolworths’ Actions on “Go Green” 18
Future Plans21

The History of Woolworths
1. About Australia’ Retail Industry
Australia’s retail industry has developed into the country’s key economic forces. The transforming resource input of the industry has 50% of the adult population who are currently working or has worked at some time in their life in retailing. The country has more than 77,000 retailers who are operating more than 20,000 retail outlets and producing more than $200 billion in annual sales. Being the largest employer in the country, it has challenges not only from the work force and sustainability dimensions but also the federal and territory labour legislations. Australia’s retail environment has been adopting low price strategy assertively as the competition level has been quite intense over the years. For the last two decades prices for items have been cut down by retailers as they have searched for good prices from manufacturers. So all the savings are directed at customers since the retailers are sustaining their operation management to the lowest. Those that refuse to compete on price have a high probability of losing some or even all the customers that they have already had. Among the retailers, Wal-mart is the most famous not only in Australia but worldwide and also it happens to be the earliest adopters of the “low-pricing” strategy. 2. The Description of Woolworth’s

Woolworth’s Australia opened earlier than both Wal-mart and Tesco in Australia, dating back to 1924. Retailed chains with the name Woolworth around the world such as in Germany, Austria, Mexico and South Africa are not under the same management and operation team as Woolworth’s supermarkets in Australia and New Zealand. Woolworth’s supermarket chains are operated by Australia’s largest retail company Woolworths Limited, a separate company from the F.W Woolworth Company or Foot Locker, Inc. Nevertheless, Woolworth’s Limited used the original name from the company as US-based F.W Woolworth Company had not registered or had a trademark in Australia at that period of time. Woolworths happens to be the largest retail company in Australia and New Zealand when analysing from market capitalization and sales amount. For a public company as in Woolworth’s, market capitalization can represent the public opinion of the company’s net worth. It is also the largest food retailer in Australia and one of the two largest in New Zealand. Moreover, Woolworth’s Australia is the 19th largest retailer in the world. Inside Retailing Magazine’s 2007 list of Australia’s Top 10 retailers has given Woolworth’s the top spot with annual sales of $31.1 billion, followed by Coles...
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