Advantages of Triple-A Supply Chain Used by Walmart in Retail Sector

This essay examines the advantages of Walmart's Triple-A supply chain model, which emphasizes alignment, adaptability, and agility. It highlights how Walmart leverages these capabilities to enhance collaboration with suppliers, respond quickly to market changes, and maintain a central database for effective demand and supply management. The essay emphasizes the importance of adaptability in evolving with market trends and the role of alignment in ensuring smooth information flow with partners, leading to improved performance and customer satisfaction. Furthermore, it discusses how Walmart's Triple-A strategy integrates supply chain processes, enabling efficient data sharing and risk mitigation, ultimately increasing flexibility and competitiveness within the retail sector. The essay draws on various research papers and articles to support its arguments, demonstrating how Walmart's approach allows it to maintain its market position and meet consumer demands more effectively than its competitors.

Running Head: Advantages Of Triple-A Supply Chain Used By Walmart Over Other Companies In Today's
World
ADVANTAGES OF TRIPLE-A SUPPLY CHAIN USED BY
WALMART OVER OTHER COMPANIES IN TODAY'S
WORLD

2
Advantages Of Triple-A Supply Chain Used By Walmart Over Other Companies In Today's World
Walmart is considered as one of the largest retailers at present and they are using
Triple A supply chain for maintaining their market position. Triple-A supply is associated
with three main capabilities and these capabilities are helping this organization to meet
expectations of their customers. These three capabilities include alignment, adaptability, and
agility. This essay is focusing on the benefits of Walmart in using Triple-A supply chain for
their business.
Walmart has used triple-A supply chain that has helped them to increase collaboration
between store and producing unit. Proper information has been provided from stores to
producing unit regarding sales and demand of a product (Nguyen, 2017). This agility has
helped them to respond quickly to short term changes with respect to demand and supplies. In
addition, they have improvised agility by decreasing the time and cost of procurement by
approaching directly to suppliers. Moreover, they maintain direct communication and
collaborate properly with suppliers for maintaining agility in operations. This has helped
them to increase performance and gain a competitive advantage. Walmart has managed to
maintain a central database by following triple-A supply chain method (Cbsnews.com, 2019).
Managing a proper database helps to respond promptly for any changes in demand and
supply. This advantage of triple-A supply chain is helping them to meet consumer demand as
compared to other competitors.
Adaptability of Walmart in case of modifying their supply chain has become one of
the main reasons behind their success. This company is potent enough to make changes in its
supply chain for meeting expectations of their customers. As mentioned by Marin-Garcia,
Alfalla-Luque & Machuca (2018), this capability is helping this retail firm to evolve with the
passage of time with political shifts, technological advancement, economic progress, and
demographic trends. Organization objective to modify supply chain according to the market
changes are being met by adaptability.

3
Advantages Of Triple-A Supply Chain Used By Walmart Over Other Companies In Today's World
Alignment is the capability that allows organizations to ensure free flow of
information regularly with customers and suppliers. According to Halog & Nguyen (2017),
Walmart aligns supply chain partners to improve their overall performance. This approach is
helping this company to offer products to customers as per market demand and they are being
able to maintain a higher level of customer satisfaction. It can be said that aligning supply
chain helps Walmart in maintaining their inventory in proper way. It can be seen that the
performance of organization is being improved for their ability to align supply chain.
Incentives to other parties have helped to improve partners act and thus increased the
turnover. Hence, competitiveness of this company has increased over others.
From the above discussion, it can be stated that triple-A supply chain has helped this
firm to integrate the process of supply chain management. Moreover, strategy has helped this
firm to maintain and share data regarding supply and demand of product. Hence, they can
respond to any changes in market effectively and eliminate the risk of loss. Adaptability of
this firm has increased by implementing this strategy and thus helps them to increase
flexibility.

4
Advantages Of Triple-A Supply Chain Used By Walmart Over Other Companies In Today's World
Reference list
Cbsnews.com (2019). The Triple-A Supply Chain. Retrieved on 10th August 2019, from:
https://www.cbsnews.com/news/the-triple-a-supply-chain/
Halog, A., & Nguyen, N. H. (2017). Evaluating supply chain networks by incorporating the
triple dimensions of sustainability paradigm. In Implementing Triple Bottom Line
Sustainability into Global Supply Chains (pp. 165-186). Routledge. Retrieved from:
https://content.taylorfrancis.com/books/e/download?dac=C2017-0-54661-
6&isbn=9781351285117&doi=10.4324/9781351285124-8&format=pdf
Marin-Garcia, J. A., Alfalla-Luque, R., & Machuca, J. A. (2018). A Triple-A supply chain
measurement model: validation and analysis. International Journal of Physical
Distribution & Logistics Management, 48(10), 976-994. Retrieved from:
https://www.emeraldinsight.com/doi/abs/10.1108/IJPDLM-06-2018-0233
Nguyen, T. T. H. (2017). Wal-Mart’s successfully integrated supply chain and the necessity
of establishing the Triple-A supply chain in the 21st century. Journal of Economics &
Management, 29, 102-117. Retrieved from:
http://cejsh.icm.edu.pl/cejsh/element/bwmeta1.element.cejsh-545ac8ef-f3fe-4d25-
9947-7f1371f9f394/c/06.pdf