Running Head: SUPPLY CHAIN MANAGEMENT
Discussing the Principles of Supply Chain Management: A Case of Wal-Mart
SUPPLY CHAIN MANAGEMENT
This task evaluates Wal-Mart’s supply chain model through a number of angles. The first
section has provided Wal-Mart’s business overview. The task has also discussed six components
that define its supply chain and examined the potential problems that would arise. As observed,
the task has equally addressed the importance of quality and measurement within a global
context. The last section has provided Wal-Mart’s control chart. The report relied on secondary
data sourced from number authentic sources. The task establishes that Wal-Mart has adopted the
use of drones for its warehouse management model. The company also has an effective
distribution system that involves 100 tractors, 61, 000 trailers and 7, 800 drivers. Some of the
potential issues within the supply chain include globalization challenges and scalability issues. In
a different line, the task argues that quality management and measurement is essential as it limits
resource wastage, improves product differentiation efforts and improves sales performance.
SUPPLY CHAIN MANAGEMENT
Wal-Mart: Company Background
Wal-Mart was incorporated in 1969 in the USA. The company is a retail and wholesale
outlet but also operates other business forms at the global scale. Wal-Mart operates more than
11, 600 stores in 28 countries (Reuters, 2018). It offers household products, electronics clothing,
and many other e-commerce related services. Wal-Mart’s vision is to be the most preferred
retailer in the hearts and minds of its clientele base (Ferguson, 2017). On the other hand, its
mission statement is to save people money so that they can live better. Wal-Mart is among the
most impressive market performers. In 2017, its sales revenue stood at $500.34 billion. At the
global scale, Wal-Mart has an employee base of more than 2.3 million people. As shown, WalMart is a high performing enterprise. Therefore, it is imperative to evaluate the nature of its
supply chain to identify its success factors. Some commentators claim that its supply chain has
had a significant input in the observed success.
Segments of Its Supply Chain
The supply chain is described as the network of individuals, system, organizations, and
initiatives involved in the manufacture and sale of merchandise (Christopher, 2016).
Procurement is the art of getting inputs and production gadgets from producers or other
marketers. Wal-Mart has in the part vertically integrated its proc...