Walmart Logistics

Topics: Supply chain management, Electronic commerce, Online shopping Pages: 1 (258 words) Published: April 23, 2012
Executive Summary

Wal-mart is one of the biggest companies in the world, seen as a model company with many others following in their footsteps in respect to E-commerce, electronic delivery systems, coding and scanning technologies, third party logistics and warehouse design and management.

With one of the most efficient supply chains, Wal-Mart is on pace to become the largest Internet retailer in the world. It is currently the sixth largest internet retailer in the world and is focused on developing a new online shopping experience. Wal-Mart uses a Niche Strategy in which they have creates a third-party marketplace for online retailers.

Wal-mart uses a Just In Time (JIT) method for its products. Electronic Data Interchange systems are a key component in making sure that the logistics of a company’s supply chain are working at its most efficient capacity. Being able to transmit and receive time sensitive documents that relate to the course of business at home and abroad ensure continuity with the logistics that keep its supply chain moving.

Third party logistics is a big role in Wal-mart because they excel extremely well in reverse logistics and information technology. Reverse logistics often deals with recycling, used asset disposition, customer returns, returnable container management, and repairs.

Warehouse design and management also implements the JIT process with the main goal to improve a business return on investment by reducing in-process inventory and associated carrying costs. The JIT Process exposes the hidden cost of keeping inventory and views it simply as waste.
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