Select a company and determine the type of suppliers it has and then indicate the criteria that you think the company might use to evaluate and select suppliers.
Discuss the advantages and disadvantages of using part-time workers, subcontracting work, and building up inventory as strategies for meeting demand.
This paper will discuss Wal-Mart and the suppliers it has, as well as the criteria it uses to evaluate and select suppliers. It will also discuss the advantages and disadvantages of using part-time workers, subcontracting work, and building up inventory as strategies for meeting demand.
Systems Operations Management - Wal-Mart
Type of Suppliers
Wal-Mart is a one-stop shop. It has changed the way that retailers do business from a "push system" to a "pull system" (Frontline, 2004). It has made global retailers the most powerful. A "push system' is where manufacturers create a product and peddle it with a vendor to sell their product. A "pull system" is when the vendor tells the suppliers what they want and at what price they want it. There is no negotiating. Wal-Mart places the price on the table and the vendor has to meet it or lose the sales.
Criteria for Evaluation and Selection of Suppliers
In my opinion, the criteria that Wal-Mart might use in the evaluation and selection of suppliers are as follows:
 Cheap prices
 Ability to control the vendor
 Financially stable - (pass background check at Dun & Bradstreet)
 Quality assurance
 Labeling, UPC code numbering, packaging requirements
 Ability to handle ...
The criteria to evaluate supplies for systems operations management is examined.