2. Why 'Cross docking' is important in a distribution network transporting Dairy products and Beverages?

Walnart: Keys to to stores without situling for long pertods Suceessful Supply of tume in inventory. This stategy Tanagement they passed those 5 avings on to their customers with highly col the pricing. Walmart then co developing a more hish highly structured and chain management on and ance this Introduction: As the following case study demonstrates, Components of Supply Chain a successful supply chain management Management (SCM): strateyy can lead to lower product costs The main elements of a supply chain and highly competitive pricing fur the include purchasing operations, consumer. Over the past ten years, distribution, and integration. The supply Walmatt has become the worid's largest chain begins with purchasing Purchasing and arguably most powerful retailer with managers or buyers are typically the highest sales per square foot, responsible for derermining which inventory turnover, and operating profit products their company will sell, sourcing of any discount retailer. Walmartowes its product suppliers and vendors, and transition from a regonal retailer to procuring products from vendors at global powerhouse largely to changes in prices and terms that meets profitability and effective managemient of its supply goils. chain. Walmart began with the goal to provide Supply chain operations focus an demand customers with the goods they wanted management. Forecists estimate when and where they wanted them. customer demand for particular product Walmart then focused on developing cost during a specific period of time based on structures that allowed it to offer Every historical data, external drivers such as Day low pricing concept. The key to upcoming sales and promotions, and any acheving this goal was to make the way changes in trends or competition. Using the company replenishes inventory the demand planning to develop accurat centerpiece of its strategy, which relied forecasts is critical to effective inventor on a logisties technique known as cross management Forecasts are compared docking Using cross docking, products inventory levels to ensure are routed from suppliers to Walmart's distribution centers have enough, but warehouses, where they are then shipped too much, inventary to supply stores a suffieient amount of product to meet. demand. This allows companies to reduce. inventory carrying costs while still Inventory and transportacion costs down. meenng customer needs Moving the reducing transportasion time and product from warehouses or eliminatinginefficiencies. mantufacturing plants to stores and ultimately to customers ts the distribution B Benefits of Efficient Supply function of the supply chain. Supply chain Chain Management: fntegration refers to the practice of developine a coliaborative workflow Wal-Mart's supply chain management among all departments and components strategy has provided the company with involved in the supply chain to maximize several sustainable competitive efficiencies and build a lean supply chain. advantages, including lower product WalmartsMethodofimprovedin-storevarietyandselection.costs,reducedinvenitorycarryingcosts, Managing the Supply Chain: and highly compective pricing for the Walmart has been able ta nssume market consumer. This strategy has helped leadership position primarily due to its Walmart become a dominant force in a efficient, integration of suppllers, II compentive global markee. As technology nanufacturing warehousing. and Innovative Wilmart continues to focus on istribution to stores. Tts supply chain inproye its supply chain and nchieve rategy has four key camponents: vendor greater efficiency. atnerships, cross docking and stribution management, technology, Quiz 3: Discussion Questions: 22/1/2028 dintegration. Read through the case several times and almart's supply chain begins with look for the answers of the following Imart establishes strategic 2. Why Cross docking is important in a distribution network transporting Dalry products and Beverages? 3. Mention the key elements of a supply chain. 4. Idently supply chain operations and external drivers 5. What are the various distribution functions of the supply chain? 6. What is the importance of Supply thain integration and Strategic partherships? 7. Discuss the key components of supply chain strategy