Supply Chain Management Report: Boxed, Walmart, Whole Foods

This report provides a comparative analysis of the distribution networks of Boxed, Walmart, and Whole Foods. It examines Whole Foods' decentralized back-end challenges due to its growing retail outlets and explores its local sourcing strategies. The report also delves into Boxed's online bulk retail model, its business-to-business channels, and its competitive strategies against traditional retailers. Furthermore, it highlights Walmart's efficient supply chain management, including its extensive distribution centers, hub-and-spoke network, and direct-to-store delivery system facilitated by a large truck fleet. The report uses information from various sources to evaluate the strengths and weaknesses of each company's supply chain approach.

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SUPPLY CHAIN MANAGEMENT

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The distribution network indicates the transportation system group and facilities of
storage that receive goods inventory and deliver to customers. This is known as the channel that
follows a retail network and delivers the goods to customers from the manufacturer. This is very
vital to deliver a fast and consistent network of distribution due to the present immediate
gratification of customers (Hayes, 2019). The following discussion will examine the design of
BOXED Wholesale, Walmart, and Whole Foods distribution network.
One of the famous company Whole Foods has faced concomitant growing pains within
the outlets regarding proper handling of product distribution. This happened because of the
increased number of retail outlets. There is first evolution regarding chains to an extent that is
facing issues to keep up with demand regarding products and keep shelves well-stocked. The
main reason is the decentralized back-end which contributes to the inefficiency of Whole Foods.
This is instituted of 12 geographic divisions, facilities of a bakery, facilities regarding seafood
processing, a center of regional distribution, meat and create centers of procurement, a national
headquarters within Austin, and specialty procurement operation of coffee/tea. Every geographic
segment has own office, regional president and control own system.
This organization has not faced the immediate pressure for improving competence
because of the ample margins as having commands on products. The management at the store
has the right to make the assessment that affects to buys. This also delivers the options to farmers
that new dream to sell a product to the big grocery chain to get dreams. This organization sources
products locally and mainly a distinguished business.
Boxed is known as the online bulk retailer. There is a huge number of products are sold
by mobile applications and websites. This creates deals with suppliers that like to see discounted

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prices and quite low paralleled to rivals such as Costco and Sam's Club. This organization has
increased transactions in the past years and developed it as the best-followed startup within the
retail market. Boxed was started as the solution to urban customers that had never access to
competitor organization and expanded it to cover additional locations (Wells, 2019).
This organization uses channel like business to business that is suited especially to
corporate customers like Delta and Snap. CEO is hopeful that channels such as business to
business will grow. Customers have the concern that it uses slowness of club retailers as a
business will improve its segments through e-commerce.
Walmart gets success by best in class activities of supply chain management. It is
involved by a system such as distribution and logistics. The business constitutes more than 150
centers of distribution around the globe. There are many stores operated 24/7 and automated at a
high level.
The company uses a "hub and spoke" network of distribution in which outlets do not
store a record of any inventory. A 6500 fleet of the truck picks goods directly from
manufacturers. These are grouped within the centers and conveyed to the outlets within one or
two days. The organization also gets benefits from the manufacturer system of distribution that
allows delivering products to outlets from the warehouse openly (Our Business 2019).

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Wal-Mart’s regional general merchandise
(Our Business, 2019)

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Bibliography
Hayes, A. (2019). How Distribution Networks Work. Retrieved 17 September 2019, from
https://www.investopedia.com/terms/d/distribution-network.asp
Our Business. (2019). Retrieved 17 September 2019, from http://corporate.walmart.com/our-
story/our-business/logistics
Wells, J. (2019). Here's why Kroger and other retailers are vying for Boxed. Retrieved 17
September 2019, from https://www.grocerydive.com/news/grocery--heres-why-kroger-
and-other-retailers-are-vying-for-boxed/534339/