Supply Chain Management

This study evaluates the supply chain process of Walmart and discusses the positive and negative attributes of supply chain management. It also analyzes the gap between evaluation and implementation of supply chain improvement, explores multidimensional global supply chain issues, and suggests strategies to manage supply chain challenges. The study also highlights current global supply chain management theories and practices.

Running head: SUPPLY CHAIN MANAGEMENT
Supply Chain Management

SUPPLY CHAIN MANAGEMENT 2
Executive summary
The main aim of this study is to evaluate the supply chain process of Walmart. It could
operate the business effectively. The successful supply chain management is an imperative
element in measuring both external and internal business success. In addition, it is examined
that customer retention, tiered suppliers and requirement of the organization is an effective
ingredient for both competitive survival and success of the competitive global marketplace in
the twenty century. This report discusses many positive and negative attributes of Walmart
Australia in supply chain management. There are certain positive attributes like an increase in
revenue, controlled costs, quality control, and competitive edge. Apart from this, there are
certain disadvantages that are considered as a negative aspect of the supply chain
management excessive regulation, needless complications, the dearth of compliant
suppliers/vendors, and vulnerable to system collapse. It could also decline the overall
productivity of the firm. It is found that multidimensional global supply chain problems and
implies tools which cold aid to resolve the significantly declining problematic supply chain
problems in the Walmart in Australia. There are certain factors that might be considered by
the firm like limited online potential, high costs of delivery, selection of various trade-offs,
and existing entrenched competition. It is also examined that there are certain approaches to
control challenges of supply chain like adopt automation and efficient transformation. In
addition, it is examined that adopt automation and efficient transportation is effective in the
improvement in the organizational task.There are certain theories that might be considered by
the organization in the global supply chain management like Agency theory and Network
theory in global supply chain management. Apart from this, it is found that there are different
practices that are considered by the firm like establish relationships with your main suppliers,
green initiatives must be taken seriously, take full advantage of technology, and collaborate

SUPPLY CHAIN MANAGEMENT 3
internally and externally. It is also effective for operating the business process. This study
also depicted that importance of global lead-time management and time-compression could
directly affect the total cycle time (tct) compression strategy as well as higher lead-time.

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Table of Contents
Executive summary....................................................................................................................2
Introduction................................................................................................................................4
Critically evaluate the positive and negative attributes associated with the field in relation to
the chosen case...........................................................................................................................4
Positive attributes...................................................................................................................4
Increase in Revenue............................................................................................................4
Controlled Costs.................................................................................................................4
Quality Control...................................................................................................................5
Competitive Edge...............................................................................................................5
DIS-ADVANTAGES OF INTEGRATED SUPPLY CHAIN...............................................5
Excessive Regulation..........................................................................................................5
Needless Complications......................................................................................................5
Shortage of Compliant Suppliers/Vendors.........................................................................5
Vulnerable to System Collapse...........................................................................................5
Explore and critically analyse the gap between evaluation and implementation of supply
chain improvement.................................................................................................................6
Analyse multidimensional global supply chain issues and apply techniques that could assist
in either resolving or significantly reducing problematic supply chain issues within your
chosen sector/industry............................................................................................................6
Limited Online Potential.....................................................................................................6
High Costs of Delivery:......................................................................................................7
Selection of Variety Trade-offs..........................................................................................7
Existing Entrenched Competition...........................................................................................7

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Strategies to manage the supply chain challenges.....................................................................8
Adopt Automation..................................................................................................................8
Efficient Transportation..........................................................................................................8
Assessing the effective delivery path.....................................................................................9
Current global Supply Chain Management best theories and practice...................................9
Agency theory.....................................................................................................................9
Network theory in global supply chain management.............................................................9
Practices of supply chain management.................................................................................10
Establish Relationships with Main Suppliers...................................................................10
Green Initiatives Must Be Taken Seriously......................................................................10
Take Full Advantage of Technology................................................................................10
Collaborate Internally and Externally...............................................................................11
Importance of global lead-time management and time-compression...................................11
Conclusion................................................................................................................................12
References................................................................................................................................13

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Introduction
This report critically analyzes the gap between evaluation and implementation of supply
chain improvement. This paper also explains the positive and negative attributes associated
with the field in relation to Walmart. In addition, it also analyzes multidimensional global
supply chain issues and applies techniques that could assist in either resolving or significantly
reducing problematic supply chain issues within Walmart in the retail industry. It also
demonstrates different strategies to manage the supply chain challenges of Walmart. It also
shows the current global supply chain management best theories and practice of Walmart.
Lastly, it discusses the importance of global lead-time management and time-compression in
the context of Walmart.
Critically evaluate the positive and negative attributes associated with the field in relation to
the chosen case.
Positive attributes
Increase in Revenue
Global supply chain helps to increase in revenue of Wall-mart. It permits the company to
focus on assets that will allow Wall-mart for reaping more rewards. There are always aspects
of the business that would have more prominent effects related to revenues and hence should
be optimized as much as possible (Aikat, et al., 2017). Along with this, global supply chain
management permit Wall-mart to prioritize and emphasize on specialized assets that will
enhance their products enhances operating profits and increase market share.
Controlled Costs
Global supply chain management will decline the expenses of Wall-mart, particularly
transactional expenses that are unavoidable between partners, vendors, and subsidiaries.

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Wall-mart is essentially performing away with frills that can otherwise delay the procedure
and incurred the needless expenses (Beske and Seuring, 2014).
Quality Control
Global supply chain helps to make sure the quality. While there are concerted efforts for
maintaining the severe compliance check, it is vastly complex for approving or passing
alongside thedefective products in Wall-mart. There is only one authority related to
overseeing compliance during the procedure (Beske, Land, and Seuring, 2014).
Competitive Edge
Due to financial benefits, better product, and stricter compliance, Wall-mart would be
competent to fight its rivalry and emerge as a leader with global supply chain management.
DIS-ADVANTAGES OF INTEGRATED SUPPLY CHAIN
Excessive Regulation
Integrating all suppliers can pose a challenge for business in order to manage every external
and internal supply. There is no necessity that all suppliers should meet each norm and
regulation. Wall-mart uses generic strategy related to supply and logistics chain
managementbut, it could have a negative impact on business because of practicing the same
standard developed in the retail industry (Brandenburg, Govindan, Sarkis, and Seuring,
2014).
Needless Complications
Global supply chain management can lead toan uncertain condition, in which, resources can
be shared as well as superfluously wasted. Wall-mart should deal according to its own
strength during supplying the product at the global level.
Shortage of Compliant Suppliers/Vendors
In Wall-mart, there could be a lack of suppliers in terms of dealing with contracts at the
global level when terms of global supply chain management do not suit their business

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precedence. It can affect the procurement as well as supply costs because those suppliers are
willing to obeying the new norms. Consequently, it may have a steeper rate (Christopher,
2016).
Vulnerable to System Collapse
In Wall-mart, there could be a collapse in balances and checks when there is any gap in
compliance checks as well as inspections. Due to the global supply chain, one error in Wall-
mart can decline the whole-system (Fahimnia, Sarkis, and Davarzani, 2015).
Explore and critically analyze the gap between evaluation and implementation of supply
chain improvement.
It is stated that the main issue that is addressed in the organization is supply chain cost as well
as misplaced improvement efforts that could affect the overall performance of the firm. It can
also be found that Walmart has not used many strategies related o the supply chain that could
also make a gap between the implementation and evaluation of supply chain improvement.
The organization has failed to integrate make liaison with the broader business strategy that
could impact on the overall outcome of the study (Fredendall and Hill, 2016). It could not
concentrate on developing different plans that support what the business is and why this
business will be selected b the customers, which could also create a gap between evaluation
and implementation of supply chain improvement. It is also examined that the organization
also could not be a focus on the undiscovered and unpalatable facts that will directly impact
on the overall outcome. It is stated that the beginning of the expensive process of extraction
could make a gap as it would influence the overall outcome of the study. It is also illustrated
that knowledge-sharing program could decline the supply chain process of the firm. The
organization would need to boost its logistics performance for making a higher profit and
improve their business. due to the lack of development, training, and knowledge, a strong

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focus on education could create the gap between the Implementation of supply chain
improvement in the least time (Fredendall and Hill, 2016).
Analyze multidimensional global supply chain issues and apply techniques that could
assist in either resolving or significantly reducing problematic supply chain issues
within your chosen sector/industry.
Limited Online Potential
There is a potential concern for Wall-mart related to limited online potential. The new
development scheme related to Wall-mart is a key market player with respect to home
delivery shopping. However, it was unsuccessful due to the limited presence of potential
online. Due to the older IT system as well as inadequate knowledge about IT staff, Wall-mart
is less competent for demonstrating the entire facility and products to the consumer online.
But, the limited online potential was not capable of motivating the consumers in purchasing
the products via Tesco Plc (Harvey, and Harvey, 2014).
High Costs of Delivery
Wall-mart is the largest retail store in the USA. Moreover, in Wall-mart,the market share of
the company can cover the higher division related to the global retail sector. Hence, Wall-
mart has adopted online buying services for their consumers and offer home delivery related
to shopping. This logistic system was not adequately implementing because of high delivery
costs, particularly for uncontrolled logistics. Wall-mart should pay higher for delivering the
purchasing product while the item delivered through outside of London. It generates several
complexities in operational management procedure. Because of high delivery expenses
related to an outbound logistic system, Wall-mart is failed for implementing the new logistic
system in operation mode (Hazen, Boone, Ezell, and Jones-Farmer, 2014).
Selection of Variety Trade-offs

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It is assessed that demand of individual is changing promptly. Hence, new adopted logistic
system related to Wall-mart was initiated for home delivery of products that bought through
online. But, there isa different individual who demands cash on delivery regarding purchased
products as a high amount of customer have demand for online payment after purchasing
products (Hugos, 2018). Moreover,a large number of trade-offs generate difficulty for new
logistic system associated with Wall-mart.
Existing Entrenched Competition
It is a key challenge related to Wall-mart in the retail and logistics system. In a previous time,
the company uses the physical logistic system with the perspective of products as well as
services. Wall-mart has adopted the home delivery facility for shopping as compared to its
key competitors in the market. But, the current market player of Wall-mart has already built
their business effectively in the retail market. There is a high range of logistic facility like e-
logistic that permits the Wall-mart to enable consumers for online payment and cash on
delivery related to buying the product in an effective manner. Wall-mart uses pay pal system
in their e-logistic services that permits the consumers for securing the online trisection related
to buying products. It develops customer loyalty and reducing the market share of Wall-mart
(Jaiswal, and Rohankar, 2014).
Strategies to manage the supply chain challenges
Adopt Automation
Under the stage of automation, technology plays a significant role to gain the efficiency of
the company. It is a significant role in the optimization of business procedure. There is
effective software that could be used in logistic procedures (Kalloniatis, Mouratidis, Vassilis,
M., Islam, Gritzalis, and Kavakli, 2014). For instance, business procedure software could be
integrated that offers specified updates about movement in goods. The client and operator
should have detail about the given below:

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 The products that are dispatched through supplier
 Procurement related to goods within the warehouse
 Delivery of products at destination
It saves a substantial amount of time as manual interferences can be avoided. In addition,
feasible tracking support to enhance the overall procedure management. The accounting and
employee detail could be organizedthrough a particular software building for these tasks.
Hence, Wall-mart can involve technology for boosting productivity.
Efficient Transportation
In wall-mart, transportation department can be effective for declining the expenses. It could
be restored for prompt delivery associated with products. The given factor can be involved in
efficient transportation:
Assessing the effective delivery path
Wall-mart can opt for straight and safest route.It can be effective for saving time and money.
Along with this, Wall-mart can develop cost-effective packaging for making sure the low
investment and safety of goods with services. It can improve the packaging by producing less
volume as well as declining the packaging weights (Mangan, Lalwani, and Lalwani, 2016).
Current global Supply Chain Management best theories and practice
Agency theory
Agency theory is imperative in the supply management as it defines that retail chain is a
sequence of agreement among shareholders. Walmart Company should hire agents to
maintain their day to day activity of business operations with their customers and it would
support the company to make an effective decision in favor of a supply chain.
In the supply management, agency relation could be classified in two ways: the first way
related to the relationship between organization and suppliers whereas, another way belongs
to the association between suppliers and buyers. A unique feature of the agency theory is to

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segregate the control of the supply chain of an organization from ownership of the supply
chain. Professional managers or agents are accountable for control of the supply chain over a
day to day activities of business operation whereas, till the date shareholder has an authority
of ownership of supply chain (Martínez-Jurado, and Moyano-Fuentes, 2014).
Network theory in global supply chain management
In global supply chain management, network theory is an essential theory for effective
purchasing management of the organization and could also manage the supply chain of the
company in an appropriate manner. The main characteristic of network theory is to define the
association wherein suppliers, organizations, buyers, and customers are involved. Moreover,
network theory focuses on the association among parties which helps the Walmart Company
to increase its product demand in the marketplace. In order to this, purchasing department of
the Walmart company supports the organization to develop a specific product by using
buying process or outsourcing process for that invention which could be achieved by network
theory (Monczka, Handfield, Giunipero, and Patterson, 2015). This theory helps to make
customer demand planning in favor of increasing the sale of Walmart’s items. It could be
done by easily availing of resources and by making an effective plan for developing an
enduring partnership.
Practices of supply chain management
Establish Relationships with Main Suppliers
The effective supply chain practice in Wall-mart is to develop a lasting relationship with the
suppliers long after validating the deal. But, it is two-way communication in which, both
buyers and sellers are actively organizing the association for completely increasing the
association. With the good alliance management system in place, it would be easier for Wall-
mart to keep the buyer and supplier relationship and ensuring the sustained value as well as a
constant enhancement (Srivastava and Kumar 2015).

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Green Initiatives Must Be Taken Seriously
Wall-mart can decline the carbon footprint of the supply chain. It is effective practices for
achieving and sustaining customer, tiered supplier, and company requirements. In spite of
enhancing the overall efficiency, going green would support to arrive more customers who
are focusing on environmental impact when they choose suppliers. Hence, wall-mart should
emphasize on the tangible data regarding green initiatives they are considering in supply
chain management activities (Srivastava and Kumar, 2015).
Take Full Advantage of Technology
Wall-mart is using software that would be beneficial for improving efficiency. It can help to
arrange the procedure as well as workflows in around the chosen technology. Under this, the
best supply chain management practices are required that Wall-mart should initially review
the procedures for assessing where the need to make enhancement. After that, it should select
the right technology that attains the particular procedure requirement. The right technology
may enhance the operation of the supply chain as well as maximizes the effectiveness
(Stadtler, 2015).
Collaborate Internally and Externally
At an internal level within Wall-mart, each individual should be on the same page as well as
focuses on attaining the same goals. Along with this, real-time communication would support
to create supply chain decision more feasibly and promptly. It would also support for
avoiding the supply chain disruption.
External collaboration is significant for surviving and succeedingin the competitive global
market of the twenty-first century. Trustworthy supply chain partner may be invaluable.
Hence, Wall-mart Company may share the information and technology when their supply
chains rely on one another. For instance, Wall-mart may execute the formal supplier

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management approach to effective collaboration with its suppliers. In such a manner, both
businesses can obtain benefits (Stadtler, 2015).
Importance of global lead-time management and time-compression
Global lead-time management and time-compression are beneficial for Wall-mart to in the
competitive global market of the twenty-first century. Lead time is a latency among the
execution as well as initiation regarding the procedure. Lead time is time taken through a
moment where an order is placed, till the moment; it delivers to customers in the supply chain
(Waters, and Rinsler, 2014).
 Higher lead time for increasing inventory
 Lead time is an essential role in demand forecasting
 Lead time has a direct effect on customer satisfaction, and also leads the clients for
addressing the alternatives.
 Lead time offers a competitive advantage for Wall-mart
 To manage the lead time in an effective manner, Wall-mart should comprehend the
lead time.
In wall-mart,the elements of lead time is an accumulation regarding all cycle time within
each department such as receiving requests through a customer at call centers and then
followed through the following department getting the request as well as processing for
application in pre-determined estimated time (Vitti, et al., 2014).
Total cycle time (TCT) compression approach involves the whole system in the process of
the supply chain from the demand of consumer to customer satisfaction. TCT has different
elements that are required for accomplishing customer demand such as information and
material flow. Both are required and creates the lead time in the supply chain as well as
information activates the pipeline of material. Hence, to optimizing the time compression

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approach, Wall-mart can involve the material and information flow (Wang, Gunasekaran,
Ngai, and Papadopoulos, 2016).
Conclusion
With respect to the above interpretation, it can be summarized that supply chain management
is effective in the attainment of the organizational task. It can also be concluded that the
organization could sue many positive and negative attribution of the supply chain process of
Walmart. Moreover, it can be examined that multidimensional global supply chain issues and
apply techniques could be effective in the attainment of the organizational task. It can also be
summarized that the organization has used many approaches related to management of the
supply chain and supports to solving the issues effectively.

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