Costco Wholesale Operations and Supply Management OMIS 357 (Fall’09)
Agenda
• • • • • • • Background and Business Model Processes and Queues Management Supply Chain Strategy Quality Control Inventory Management Recommendations Q&A
Background
• • • • Headquartered in Issaquah, WA 550 warehouses in 40 states Present in 6 countries outside US $71B revenue in 2008
1993: merged with PriceClub: PriceCostco (206 locations) 1998: Costco.com 1999: Costco wholesale 2009: 417 worldwide. 7th largest retailer in world, fortune 500
1975
1980
1985
1990
1995
2000
2005
2010
1976: 1st PriceClub warehouse
1983: 1st Costco warehouse