OPS 571 WEEK 2 PROCESS DESIGN SUPPLY CHAIN WALMART
Process Design and Supply Chain
Arielle Koutsoukos
OPS/571
3/09/2015
Eileen Broyles
Supply Chain
Raw Materials
Manufacturing
Plant
Walmart
Distribution
Center
Customer
Walmart
Retail
Center
Customer
Merchandise Replenishment
•
•
•
•
•
•
•
Walmart retail location is out of an item
Customer places an order for the item
Real time data transferred to warehouse
Data is captured by Walmart’s point of sales system
Item is manufactured using make-to-stock process
Warehouse analyzes orders from previous day’s sales
Finished product is shipped to specified Walmart retail location Merchandise Replenishment Process
Process Design
• Batch
– Creates batches of one step of the production process prior to moving on to the next step
• Make-to-order
– Manufactures the end product once the customer places the order, ("Make To Order - Mto", 2015).
• Make-to-stock
– Relies on forecasting in order to determine the appropriate amount of product to yield
– Ideal for Walmart’s merchandise replenishment process
Process Performance Metrics
• Performance Metrics
– used to measure the efficiency of a process within an organization
– Example
• Flowtime
– The amount of time a product spends in a business process from beginning to end, (Jacobs & Chase, 2011)
– Has the ability to calculate the amount of time between when an item is out of stock and when it is replenished
– Ideal for Walmart’s merchandise replenishment process
References
Are You INFOREM or GRS?. (2014). Retrieved from http://blog.8thandwalton.com/2014/05/are-you-inforem-or-grs/ Chan, Chi Kin, and Lee, H.W.J. Successful Strategies in Supply Chain Management. Pennsylvania: Hershey, 2005.
Haniefuddin, S.K., Shamshudden, S., & Khadar Baba, S. (2013). Essentials of Logistics and Supply Chain Management . Lulu
Publishing.
Jacobs, F. R. & Chase, R. (2011). Operations and Supply Chain Management (13th ed.) Boston, MA: McGraw-Hill Irwin
Keeffe, T. (2015). Principles of Replenishment. Retrieved from
Arielle Koutsoukos
OPS/571
3/09/2015
Eileen Broyles
Supply Chain
Raw Materials
Manufacturing
Plant
Walmart
Distribution
Center
Customer
Walmart
Retail
Center
Customer
Merchandise Replenishment
•
•
•
•
•
•
•
Walmart retail location is out of an item
Customer places an order for the item
Real time data transferred to warehouse
Data is captured by Walmart’s point of sales system
Item is manufactured using make-to-stock process
Warehouse analyzes orders from previous day’s sales
Finished product is shipped to specified Walmart retail location Merchandise Replenishment Process
Process Design
• Batch
– Creates batches of one step of the production process prior to moving on to the next step
• Make-to-order
– Manufactures the end product once the customer places the order, ("Make To Order - Mto", 2015).
• Make-to-stock
– Relies on forecasting in order to determine the appropriate amount of product to yield
– Ideal for Walmart’s merchandise replenishment process
Process Performance Metrics
• Performance Metrics
– used to measure the efficiency of a process within an organization
– Example
• Flowtime
– The amount of time a product spends in a business process from beginning to end, (Jacobs & Chase, 2011)
– Has the ability to calculate the amount of time between when an item is out of stock and when it is replenished
– Ideal for Walmart’s merchandise replenishment process
References
Are You INFOREM or GRS?. (2014). Retrieved from http://blog.8thandwalton.com/2014/05/are-you-inforem-or-grs/ Chan, Chi Kin, and Lee, H.W.J. Successful Strategies in Supply Chain Management. Pennsylvania: Hershey, 2005.
Haniefuddin, S.K., Shamshudden, S., & Khadar Baba, S. (2013). Essentials of Logistics and Supply Chain Management . Lulu
Publishing.
Jacobs, F. R. & Chase, R. (2011). Operations and Supply Chain Management (13th ed.) Boston, MA: McGraw-Hill Irwin
Keeffe, T. (2015). Principles of Replenishment. Retrieved from
References: Are You INFOREM or GRS?. (2014). Retrieved from http://blog.8thandwalton.com/2014/05/are-you-inforem-or-grs/ Chan, Chi Kin, and Lee, H.W.J. Successful Strategies in Supply Chain Management. Pennsylvania: Hershey, 2005. Haniefuddin, S.K., Shamshudden, S., & Khadar Baba, S Make To Order - MTO. (2015). Retrieved from http://www.investopedia.com/terms/m/make-to-order.asp San Francisco University Alliance. (2015). Walmart: Keys to Successful Supply Chain Management. Retrieved from