Convenience Store Supply Chain - 7-Eleven
Autor: simba • March 19, 2011 • Essay • 323 Words (2 Pages) • 2,223 Views
1, There are several ways to lead the convenience store supply chain be responsive:
Increase facilities( increase location)
Set up several stores in same region that can make the customers gain more accessibility.
Risk: having too many stores in one region will dramatically increase the operation cost and reduce efficiency.
Keep high inventory level
Stock large amounts and greater varieties of products at all stores to satisfy the customers' preferences.
Risk: having more varieties of goods in store can meet the uncertain demand; however, it will cause wastage. Besides, holding high inventory level will increase the cost and make the store less efficient.
Quick replenishment of products
Supply the stores with products what the customers need when they need them. This allows the stores keep low inventory level.
Risk: too frequent replenishment will increase the cost associated with transportation also increase the supply chain cost.
Using high-tech information system
It can increase responsiveness and decrease the other driver cost too e.g. transportation cost, holding cost etc.
Risk: The entire supply chain rely on the information system too much will cause the operation problems if network failure.
Increase capacity
The convenience stores can provide local cooking and assemble foods almost on demand and other kind of self-serve facilitator.
Risk: it will increase the operation
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