Identify the key supply chain drivers

Jun 18th, 2015
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Albany State University
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Identify the key supply chain drivers for 7-Eleven Japan and appropriate performance metrics for each of the the drivers. Ans:-The key supply chain drivers for Seven Eleven Japan are as follows: 1) Facility: It includes major components a) Manufacturing b) Distribution Centres c) Stores.

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Q : Identify the key supply chain drivers for 7-Eleven Japan and appropriate performance metrics for each of the the drivers.Ans:-The key supply chain drivers for Seven Eleven Japan are as follows:Facility: It includes major componentsManufacturing Distribution Centres Stores. a)Manufacturing:There are 290 dedicated manufacturing units which supply only for Seven Eleven Japan which waspossible due to long term relationship & future assurance of business.Manufacturing units were spread out throughout the province.b)Distribution Centre:They had decentralised distribution system.There are 293 distribution centres.One distribution centre handles 50-60 storesFood products from different manufacturers were sorted as per requirements (like frozen food, ready touse etc.) at the distribution centre from where it was dispatched to the convenience store in a milk runformat.c)Stores:There were 12753 stores in Japan (as of 2009) covering 80 percent of prefectures of Japan. Every store was equipped with latest information technology system which helps in anticipating demand. The stores were company owned and also third party franchises, the reason being costly real estate & market penetration. The Seven Eleven followed market dominant strategy. When they enter into a new market they open 50-60 stores supported by a distribution centre. This gave 7 eleven market presence & allowed it to operate an efficient distrib

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