Supply Chain Management in Amazon

Running head: SUPPLY CHAIN MANAGEMENT IN AMAZON
SUPPLY CHAIN MANAGEMENT IN AMAZON
Name of student
Name of university
Author’s note:

SUPPLY CHAIN MANAGEMENT IN AMAZON
Answer of question 1:
Implementation of the supply chain activities
The supply chain of Amazon company works in the context of providing the
customers of the company with the best quality products in minimised delivery time. The
company implements the activities of the supply chain with these following strategies:
Strategy 1: Adoption of the planning that is driven by the demand and the operation
model of the business that is based on the current insights of demand and the shaping of
demand. This strategy mainly consists of the execution of the right prediction and the tools
for planning of the contingency and it would help in ensuring the total view and the effective
response for the risks like the suppliers shutting down their business, political disruptions and
the major activities that affects the manufacturing aspects (Yu et al., 2016). The company
adjusts the pricing and the strategies for promotion for the shaping of the demand and then
move the extra product efficiently, which would help in the driving of the growth of revenue.
Strategy 2: Built an agile and adaptive supply chain along with the swift planning and
the combined execution. The company deployed the capabilities of the dynamic planning and
continuous fine-tuned operations for ensuring the agility of the response for meeting the
changes in the demand.
Strategy 3: Optimised the product designs and the management of the product for
manufacturing, sustainability and supply for accelerating the beneficial innovation
(Christopher, 2016). The company made the swift and strict decisions in the early stages of
the development of product and these decision helped in the shaping of the products. The
designs were optimised for the manufacturability, operations of supply chain and the supply.
The company understood the aspect of the product innovation and the competitive advantage
bases from the choice and management of the technologies and the suppliers. The company

SUPPLY CHAIN MANAGEMENT IN AMAZON
manages the information, processes, people and the decisions related to the products of the
company which helps them in obtaining advantages in the retail market.
Answer of question 2:
Figure: Supply chain of amazon
Some of the issues in the supply chain of amazon are:
Customer service: The supply chain of the company is mainly focussed on the
delivery of the best quality products to the customers in minimal time. The company provides
the customers with the right products in right quantity (Hugos, 2018). It might be a simple
aspect of the supply chain but sometimes there are issues in the customer service sector. The
demand of the customers might change after receiving any product or the product might not
be same as what was promised. These factors lead to the damage of the reputation of the
company.
Cost control: The costs of operation are facing severe challenges due to the extreme
rise in the cost of the energy and fuel along with the freight (Sanders, 2014). With the
increase in the quantity of the global customers, technology and the labour rates the company
Send
inventory
Receive and
store
Customer
orders
product
Pick, Pack and
ship
Customer
service
Customer
returns