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Analysis of Competitive Advantage in Business

   

Added on  2020-07-22

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CASE STUDY
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Table of ContentsINTRODUCTION...........................................................................................................................11. Fundamental reason for the success of the company. .......................................................12. Way in which competitive advantage is maintained by company....................................23. Effect on other companies. ................................................................................................34.Sustainability for the success of the company.....................................................................4RECOMMENDATION ..................................................................................................................5CONCLUSION ...............................................................................................................................7REFERENCES ...............................................................................................................................8
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INTRODUCTIONSupply chain is considered as one of the significant management activity for theorganisation (Alias, Z. and et. al., 2014). It helps in maintaining the sales of company. Effectivesupply chain maximises the growth and profitability of firm. Therefore, it is considered as one ofthe essential factors on which success rate of organization depends. This report is based on thecase study of John Lewis Partnership: Semi-automated National distribution system. On the basisof this case study, logistic management approach is analysed (Beusch, P. and et. al., 2016).Along with this, various other factors are also identified that are essential for the success ofcompany. Further, role of sustainability in the success of organisation is also determined. 1. Fundamental reason for the success of the company. John Lewis is considered as one of the leading retail companies of UK. They are havingmore than 70000 permanent staff along with 240 wait-roes and supermarket. They are popularfor their high quality services. They are providing a wide range of services such as furnishing,clothing and household (Brown, A., 2014). The fundamental reason behind their success isconsidered as effective supply chain. Through this, they are able to provide direct services totheir stores to maintain the stock of products. In order to enhance the performance of supply anddistribution chain, they have implemented Semi-Automated National Distribution System(Jabbour, C. J. C. and de Sousa Jabbour, A.B.L., 2016).Through this step, they are able to manage various components effectively such asdispatch of services, providing direct services to their customers and maintaining data of theircustomers with the help of advanced warehouse management system, etc. It helps in dispatchingmore than 10 tons of services with the help of automated system (Jones, P., Comfort, D. andHillier, D., 2014). It reduces the complexity of process and increases the processing speed.Along with this, various other factors are also available that are affecting the success ofcompany. Some of them are like objective, mission, values, strengths and weaknesses of thebusiness group (Lin, H. F., 2014). The John Lewis is providing services from the last 70 years by implementing their valuesand purpose. FedEx Australia is one of the successful company however, Alpha is unsuccessfulorganisation of Australia (Luthra, S., Garg, D. and Haleem, A., 2015). The biggest reason behindsuccess and failure of any system is their services and the way they are presenting. Purpose andobjective is considered as one of the important elements with the help of which companies are1
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able to develop strategies to achieve their targets. Along with this, effective planning andstrategies are equally important for the growth of company. It helps in identifying theirweaknesses and strengths (Muduli, K. and et. al., 2013). It supports in improving the performance of company and increases profitability as well.Suitable planning methods are important for analysing the competitive advantage of company(Sarkar, B., 2013). Along with this, it determines the effectiveness of logistics managementapproach. This is considered as considered as an essential factor for controlling the elements likemarketing, manufacturing, sales and accounting as well as information technology (Alias, Z. andet. al., 2014). Through maintaining the effectiveness of this step, company is able to achieve itsset targets effectually. It helps in the success of company (John Lewis Partnership. 2017). In order to generate effective logistics management, John Lewis has implemented anautomated structure. This process is distributed into four steps i.e. strategies, structuring,functionality and implementation (Beusch, P. and et. al., 2016). On the basis of these steps, theyare able to apply effective supply management system. It helps in increasing the sales ofcompany and supports in maximising growth and profitability of firm. There are certain elementson which functionality of the process depends such as transportation, outsourcing andinformation management, etc (Jabbour, C. J. C. and de Sousa Jabbour, A.B.L., 2016). For this,John Lewis has considered an automated system that helps in maintaining faster dispatch system,huge warehouse for storing information of maximum number of customers and direct servicesare also being provided by company. It creates a positive impact on the success of the businessgroup. 2. Way in which competitive advantage is maintained by companyCompetitive advantage is considered as an essential step through which company is ableto maintain unique position in the market (Darnall and Milstein, 2014). It depends on variousfactors such as communication strategies, innovation and creativity of company along witheffective segmentation. It helps in attracting customer’s towards firm, which leads to thecompetitive advantage of the company (Grimstad and Burgess, 2014). It can be maintained byconsidering seven steps. Like collaborating various working environment, maintain environmentof work place, effective communication, publishing annual report of company, client concentricservices and so on (Holm, Holmström and Sharma, 2015). 2
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