Supply Chain Management and Walmart

Topics: Supply chain management, Supply chain, Inventory Pages: 3 (965 words) Published: August 1, 2013
Rehan Karowaliya
26 Feb,2013
1.Walmart has a brilliant Distribution System and Logistics Management that helps in maintaining the company’s performance in many ways. The Distribution System procures goods directly from the manufacture, eliminating the intermediaries. They negotiate with manufacturers and make sure that they are purchasing each and every product from them with lowest cost running in the market. This in turn creates long term relationship with vendors. Another efficient and productive technique that Walmart uses is the Barcode Technology on their products which keeps a detailed track of all the products that are in and out of the distribution center. In addition, Walmart utilizes the modern technology of portable electronic devices which are used instead of paperwork. This not only saves time but also is an excellent way to keep accurate information of all the products at just a click away.

Walmart has the fastest transportation system for the distribution of all its products around the US. They only hire skilled and experienced drivers. The drivers have a daily routine of reporting the details of the job to their supervisor. They use the Private Fleet Driver Handbook which educates the drivers and the employees with regard to the code of conduct. Walmart introduced the Cross-Docking system by which they are able to maintain their everyday low prices.

2.Walmart introduced the Satellite Communication System in 1987. This network allows the transfer of data between vendors and within the company all around the world. Its a major source of communication between the management and the workers around the world. Walmart has more than 10,000 stores in twenty-seven countries. The company is also on top of meeting the customer’s demands by using IT capabilities. Walmart has unlimited services for their customers starting from low prices to Automated Reordering System. Walmart entered into partnership with a manufacturer, Procter and...
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