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Posted: November 4th, 2023

Assignment 2 Introduction to Operations Management (MGT 311)

Assignment 2 Introduction to Operations Management (MGT 311).
Learning Outcomes:

• Understand fundamental supply chain management concepts.
• Apply knowledge to evaluate and manage an effective supply chain.
• Understand the foundational role of logistics as it relates to transportation and warehousing.
• How to align the management of a supply chain with corporate goals and strategies.

Go through the given case scenario

Choose an organization operating in any part of the globe (preferably a super market, hyper market chain (or) a fast-food industry or an electronics equipment manufacturer/distributor, automobile manufacturer or automotive parts or retail products / services.

The organization that you choose should either manufacture or market or distribute some products / services. The competition in these businesses majorly depends upon price, quality, timely delivery and service (which are core aspects of Supply Chain Management). Hence there is immense pressure on all the organizations in these businesses to keep the four aspects mentioned to their supreme best.

As these businesses are the most emerged industries in the recent past, the supply chain has seen huge transformations. These businesses are getting to the maturing stage and so as the transformations in the supply chain management of these business become more and more competitive, the customer gets only the best products / service.

Note: In case your chosen organization is operating in many countries and deals with many products, it is enough you consider the operations in any one country and indicate some materials that are part of the business and select 2 or 3 materials out of them for providing answers to the questions given below.

Students can make use of graphs, tables, illustrations, maps, pictures, images to add clarity to your answers.

1. Examine and evaluate your chosen organization’s Supply Chain, describe its basic working, strategy used by them, key drivers for achieving an integrated supply chain. What is the SCM model used? (2MM)

2. Go through the typical Working of the chosen Organization’s logistics process, Is there a role for reverse logistics for your chosen organization’s products / services ? If there is a role, explain the process that is applicable. (2MM)

3. Analyse and understand the different modes of transportation employed by your chosen organization. Indicate whether the current arrangements are effective. Suggest improvements for making the transportation sustainable and new modes of transportation. (2MM)

4. What is the Warehouse design used by the chosen organization and provide your idea on the appropriate warehouse design that will be suitable for the future. Justify your choice with proper reason. (2MM)

5. Given the nature of the products that you have selected for your chosen organization, what is the type of Inventory management control that your chosen organization should adopt? Give reasons. (2MM)

• You must include at least 5 references.
• Format your references using APA style.
• Each answer must not be less than 300 words

Organization chosen: Walmart
Products: Groceries, clothing, electronics
Walmart utilizes a centralized supply chain model to leverage economies of scale. Its strategy focuses on low prices through efficient procurement and logistics. Key drivers are continuous replenishment by monitoring sales data and maintaining optimal inventory levels (Lee & Billington, 1992).
Walmart’s logistics process involves distribution centers receiving shipments from suppliers. Goods are sorted and shipped to stores, with transportation arranged through third-party carriers (Mentzer et al., 2001). Reverse logistics applies as unsold/returned goods are sent back to distribution centers for disposition (Stock et al., 2006).
Walmart uses multiple transportation modes – trucks for 85% of shipments as it is cost-effective for moving bulk goods regionally. Rail transports containers between distribution centers for efficiency and sustainability. Air freight ensures timely delivery of high-demand items (Carter & Rogers, 2008).
Current warehouses utilize an automated block stacking design for high density and throughput. A cross-dock design would better support just-in-time replenishment by bypassing storage and direct shipment from receiving to shipping docks (De Koster et al., 2007).
Given grocery and clothing perishability/seasonality, Walmart adopts a periodic review inventory system. Safety stocks are replenished when inventory drops to reorder points, balancing availability with carrying costs (Axsäter, 2015).
Axsäter, S. (2015). Inventory control. Springer.
Carter, C. R., & Rogers, D. S. (2008). A framework of sustainable supply chain management: moving toward new theory. International journal of physical distribution & logistics management, 38(5), 360-387.
De Koster, R., Le-Duc, T., & Roodbergen, K. J. (2007). Design and control of warehouse order picking: A literature review. European Journal of Operational Research, 182(2), 481-501.
Lee, H. L., & Billington, C. (1992). Managing supply chain inventory: Pitfalls and opportunities. Sloan management review, 33(3), 65.
Mentzer, J. T., DeWitt, W., Keebler, J. S., Min, S., Nix, N. W., Smith, C. D., & Zacharia, Z. G. (2001). Defining supply chain management. Journal of business logistics, 22(2), 1-25.
Stock, J. R., Speh, T. W., & Shear, H. (2006). Many happy (product) returns. Harvard business review, 84(9), 16-17.

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