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Strategic Supply Chain Management

Select an organization with which you are familiar. What is your selected organization's competitive advantage? How does the organizations supply chain support this competitive advantage? Do not-for-profit organizations need a competitive advantage? Why or why not?

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Let's take a closer look at these interesting questions.

RESPONSE:

1. Select an organization with which you are familiar. What is your selected organization's competitive advantage?

Let's go with Wal-Mart. According to analysts, Wal-Mart's leadership status in the retail industry is because of its effective supply management, which was its main competitive advantage over its competitors (http://icmr.icfai.org/pdf/Operations%20Case%20Study%20-%20Wal-Marts%20Supply%20Chain%20Management%20Pr.pdf, p.2)

2. How does the organizations supply chain support this competitive advantage?

Wal-Mart emphasized the need to reduce the cost of purchases and to order the best prices to customers. They did this through managing the supply chain's procurement and distribution, as well as logistics.

For example, the company procured goods directly from the manufacturers, and bypassing all intermediaries.

It also managed the supply chain through increasing its distribution centers. For example, in 1998, Wal-Mart had over 40 distribution centers at ...

Solution Summary

This solution examines an organization on several dimensions, such as competitive advantage, how the supply chain support this competitive advantage, and the reasons why not-for-profit organizations needs a competitive advantage.

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