Logistics and Supply Chain Management - Walmart

This paper explores the logistics and supply chain management of Walmart, a multinational retail corporation. It discusses the advanced technology and effective logistics management process of the firm, along with their sustainability performance. The paper also evaluates the use of technology and various functions within the market, and the supply chain network of the firm globally.

Logistics and Supply chain management – Walmart
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Executive Summary
Walmart is the multinational retail corporation that provides numerous products and service to
the customers. Walmart is having the advanced technology and effective logistics management
process within the field. The supply network of the firm and also the huge staff members allow
the business process to improve their value within the market and provide the most effective
working function within the market. The organisation also maintain the information as well as
the sustainability performance of the firm to maintain their activity and provide the most
valuable process within the market of China. Advanced technology and the communication
process is also utilised for the development of effective value within the field.
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Table of Contents
Introduction.................................................................................................................................................3
Scope and objective.................................................................................................................................3
Issues identified in relation to the sustainability of supply network.........................................................3
Analysis of organisation operation..............................................................................................................3
Technology..............................................................................................................................................3
People......................................................................................................................................................4
Supply network........................................................................................................................................4
Information..............................................................................................................................................5
Sustainable performance..........................................................................................................................5
Conclusion...................................................................................................................................................6
References...................................................................................................................................................7
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Introduction
The primary purpose of the paper is to provide an effective understanding regarding the logistics
as well as the supply chain management in the global market. For understanding, this process the
case study of Walmart is being considered within the market globally.
Scope and objective
The scope of the paper is to provide effective understanding regarding the logistics as well as the
supply chain management to provide the valuable working function. The entire process of
logistics operation of Walmart utilise advanced technology for communication and also to gather
information within the market globally.
The objectives are;
 To understand the logistics operation of Walmart
 To understand the supply chain network of the firm globally
 To evaluate the use of technology and various function within the market
 To understand the sustainability performance level of the firm
Issues identified in relation to the sustainability of supply network
The issues that are identified within the field of Walmart is considered to be the formation of the
partnership alliances along with their impact on the choice of store location. It could be
visualised that the entire working function and the activity of the field are being performed to
understand the various issues within the market. Another issue that could be seen is the effect of
the underdeveloped infrastructure on the logistics as well as the distribution process. The culture
of Chinese business and also the influence of the supplier’s relationship with the business
process to maintain their working function.
Analysis of organisation operation
Technology
The technology of Walmart is highly effective within the field for maintaining the operational
function. The information system of Walmart provides the competitive advantages throughout
the world. It can be seen that the organisation own private satellite system and their information
system is considered to be the second largest in the USA. Moreover, the use of the electronic
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data interchange that is EDI along with the system of point of sale (POS) Walmart has the
effective operation to share their daily information regarding sales to the suppliers (Plambeck,
2007). The environment of Information technology in China is still in the nascent stage and for
that most of the suppliers perform fax as well as telephone. It can be seen that all the suppliers
within China can be either fully or the or partially integrated with the Retail Link system of
Walmart. This technology allows the suppliers to maintain the report of daily sales and other
information regarding the business development within the field. The information technology is
also highly effective for the firm to maintain their logistics and their supply chain process within
the market to deal with the suppliers (Plambeck, & Denend, 2011). Walmart is having the
advanced IT system that is eventually utilised by the Chinese government to maintain their
transportation as well as their IT infrastructure. The technological system of Walmart is highly
active for the field and also for the suppliers.
People
Walmart is having the huge number of employees within the field. It can be seen that almost 1.6
million people are employed at Walmart in more than 6000 plus stores all over the world. The
organisation also has more than 60,000 suppliers all over the world. Moreover, it can be viewed
that since the year 1990, China has effectively opened their consumers market and at the present
time they are having 1.3 billion people within the global market (Chuang, Donegan, Ganon, &
Wei, 2011). The world is opening with the new concept of business and in this Walmart is
having the most effective and valuable part in the world. In China, the lower middle-class people
are considered to be the huge number that provides the high impact on the business process of
Walmart within the field. Both the customers and the employees of the firm are highly essential
for enhancing the business operational function of Walmart within the global market.
Consequently, it can be also seen that the organisation have eventually pulled the people towards
their project and their business process with the help of valuable operational activity. New
suppliers or the new employee might create some of the problems for Walmart but their
operational activity is quite effective to maintain the staff members.
Supply network
Walmart has eventually adopted some of the practice to maintain the concept of ‘green' in their
supply chain management. The key practices are; identification of the goal and the new
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technologies, then the certification of environmentally sustainable products and also by
providing the assistance for network partner to the suppliers (Natto, 2014). Some of the other
practices are that they are highly committed towards the environmentally sustainable products,
then by cutting out the middleman within the business and also restructuring the role of the
buyers. Consolidating the direct suppliers and the innovation regarding licensing environmental
are some of the more practice that is performed by a supply chain of Walmart. The organisation
has originally adopted the green activity in their supply chain. The network of the supply chain
of Walmart is considered to be quite big with a huge number of suppliers all over the world
(Power, & Simpson, 2016). On the everyday basis, it can be seen that Walmart is continuously
encouraging the suppliers working on the environmental as well as the innovation of supply
chain regarding the effective technologies within the market. It can be seen that Walmart
primarily focus on the logistic part of the supply chain and even maintain the data across the
network of the supply chain.
Information
Walmart maintains their information and their data with the help of effective technology and also
by managing the supply chain network. It can be seen that they perform regular reporting
function with the help of POS and other technology to share effective information regarding the
business operation globally (Wolf, 2014). This is highly essential for the business to understand
the development process along with the logistics working function of the firm within the market.
It could be easily visualised within the field that working function for the development of
business allows the firm to maintain their operational performance level. The organisation also
provides effective communication to the consumers that help in the creation of private-label
brands regarding the products categories within the market. The information is also used to make
a suitable decision regarding the business process within the field (Tachizawa, & Wong, 2015).
In most of the cases in Walmart, it can be seen that all the information are primarily done by the
process of self-report by the suppliers. Gathering the valuable and suitable information from the
customers, suppliers and all the stakeholders of the firm allow them to maintain their activity
within the field. In the global market, the communication and share of information become the
crucial activity for Walmart to perform their operation in the most effective way.
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Sustainable performance
Walmart is having the effective value for the sustainability of the market. It can be seen that the
organisation have effectively maintained their sustainable value for the year 2007 and also for
the year 2010 (Ji, Gunasekaran, & Yang, 2014). Their primary activity is to maintain the
renewable energy by maintaining the global greenhouse gas then the alternative fuels and also
logistics performance for the field. Another sustainable value of Walmart is zero waste where
they are performing the activity to reduce waste and also maintain the packaging system in the
business. They also maintain the sustainable products within the field to perform numerous
actions in the field and deliver the valuable process. The sustainable products of Walmart are the
textiles than the electronics, food, seafood and also the agriculture, then the wood and the paper
and also chemical as well as jewellery (Qrunfleh, & Tarafdar, 2015). The sustainable
performance of Walmart is highly effective for maintaining the numerous actors in the field and
to deliver the valuable business within the field. Walmart maintains the third party maintenance
for their sustainability management within the field to maintain the business operational activity.
Conclusion
The paper eventually concludes the fact that the logistics and the supply chain management of
Walmart are highly effective in the global market. It is also evaluated that the organisation has
effectively maintained their business with the help of valuable process regarding the operational
activity in the field. It is also concluded that Walmart has utilised their sustainability regarding
the working function and also the logistics department. They have maintained the value of the
supply chain and the advanced technology to provide effective information for the business
process.
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References
Chuang, M., Donegan, J., Ganon, M., & Wei, K. (2011). Walmart and Carrefour experiences in
China: resolving the structural paradox. Cross-Cultural Management, Vol. 18(No. 4), pp.
443-463. doi: 10.1108/13527601111179519
Ji, G., Gunasekaran, A., & Yang, G. (2014). Constructing sustainable supply chain under double
environmental medium regulations. International Journal of Production Economics, 147,
211-219.
Natto, H. (2014). Wal-Mart supply chain management.“. International Journal of Scientific &
Engineering Research, 5(1), 1023-1026.
Plambeck, E. & Denend, L. (2011). The greening of Walmart's supply chain. Supply Chain
Management Review, 16-23.
Plambeck, E. L. (2007). The greening of Wal-Mart's supply chain. Supply chain management
review, 11(5).
Power, D., & Simpson, D. (2016). Aligning Goals and Outcomes in Sustainable Supply Chain
Management. In Sustainable Value Chain Management (pp. 161-172). Routledge.
Qrunfleh, S., & Tarafdar, M. (2015). Supply chain management practices–IT utilisation
alignment: impact on supply chain performance and firm performance. International
Journal of Business Information Systems 5, 18(4), 364-389.
Tachizawa, E. M., & Wong, C. Y. (2015). The performance of green supply chain management
governance mechanisms: A supply network and complexity perspective. Journal of
Supply Chain Management, 51(3), 18-32.
Wolf, J. (2014). The relationship between sustainable supply chain management, stakeholder
pressure, and corporate sustainability performance. Journal of business ethics, 119(3),
317-328.
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