SEO Case Study: How I Increased SEO Traffic & Ranking by 50-60% in 6 Months
walmark supply chain
1. LOGO
Wal-Mart supply chain
www.walmartstores.com
Professor: 何正得
Students : 楊氏良, 范氏紅, 阮德盛
2. Background
Industry: Retailing
Founded: 1962
Founder: Sam Walton
Headquarter: Bentonville,
Arkansas, United States
Number of locations:
8,970 (2011)
Area served: Worldwide
Key people: S. Robson
Walton(Chairman)
Mike Duke
(President and CEO)
3. Background
Revenue: US$ 421.849 billion (2011)
Operating income: US$ 25.542 billion
(2011)
Net income: US$ 15.355 billion (2011)
Total assets: US$ 180.663 billion (2011)
Total equity: US$ 68.542 billion (2011
Employees: Approx. 2.1 million (2011)
Top U.S. Retail Industry Corporations on the
2011 Fortune 500 ranks Wal-Mart:
- 2010 Rank - 1
- 2009 Rank - 2
- 2008 Rank - 1
4. Mission
Wal-Mart's advertised mission statement and its
advertising slogan are the same:
"We save people money so they can live better."
In addition to this mission statement, the
company looks to its founder, Sam Walton for a
company "purpose":
“If we work together, we’ll lower the cost of
living for everyone…we’ll give the world an
opportunity to see what it’s like to save and
have a better life.”
6. Competitive and supply
chain strategies
Wal-Mart’s competitive strategy is to be
reliable, low-cost retailer for a wide
variety of mass-consumption goods
Supply chain emphasize efficiency but
also maintain an adequate level of
responsiveness in term of product
availability.
7. Suppliers
Wal-Mart works hard to ensure that the
products on their shelves meet the unique
needs
Wal-Mart partners with thousands of
suppliers in every merchandise category
Maintaining a diverse mix is the key to their
success.
Wal-Mart outlines the steps a business
owner must take in order to become its
supplier
Providing supplier training program: Wal-
Mart has begun a new Web-based training
program for Chinese factories that
manufacture products for its stores.
8. Suppliers
Wal-Mart provides some standards for their suppliers:
Compliance with Laws
Voluntary Labor
Hiring and Employment Practices
Compensation
Freedom of Association and Collective bargaining
Health and Safety
Environment
Gifts and Entertainment
Conflicts of Interest
Anti-Corruption
Financial Integrity
9. Distribution Center
Having one of the largest private distribution
operations in the world.
Having more than 40 Regional Distribution Centers
Wal-Mart was able to provide replenishment within 2
days against at least 5 days for competitor.
The inventory turnover rate was very high, about
once every two weeks for most of the items
They operate 24/7
There are also distribution centers for specific
product categories such as grocery, jewelry,
pharmacy, apparel/shoes
10. Distribution Center
Each DC’s size : 1 million square feet.
It was divided into different sections on the
basis of the quantity goods received
Inside each DC, more than five miles of
conveyor belts move over 9,000 different lines
of merchandise
Each DC supports between 75 and 100 stores
within a 250-mile radius
Each DC had facilities for maintaining personal
hygiene such as shower bath and fitness center.
12. Inventory management
Wal-Mart maintains an efficient supply chain by
keeping low levels of inventory
Wal-Mart pioneered cross-docking
They run an EOQ(Economic order quantity) system
where their demand rates are continuous, frequent,
and known
Wal-Mart manages an efficient JIT system
The Wal-Mart EPC(electronic product code) initiative,
launched in 2005, uses RFID solutions to track items
from manufacturer to distribution centers to its
stores.
13. Inventory management:
RFID
RFID is used to improve
product availability for
Wal-Mart customers.
Cases and pallets containing
the products will feature EPCs
when delivered to Wal-Mart’s regional
distribution center.
RFID readers installed at dock doors will
automatically let Wal-Mart’s operations and
merchandising teams as well as suppliers know
this exact shipment of products has arrived and
is inside the building
Cases will then be removed from pallets and
processed as usual through the distribution
center.
14. Transportation
A Slow Boat from China
Delivers Cars Toys to the U.S.
Trains transport the
Containers to the Distribution
Centers
Trucks also haul the Containers
to Distribution Centers
15. Transportation
The retailer aims to take over U.S. transportation
services from suppliers in an effort to reduce the cost
of hauling goods
Wal-Mart will increase its use of contractors, as well
as its own vehicles, to pick up products directly from
manufacturers’ facilities.
Wal-Mart’s initiative to take over transportation from
its suppliers to its distribution centers and stores:
Wal-Mart has a very large private fleet (6,500
tractors and 55,000 trailers)
Wal-Mart supports one of the largest trucking fleets
in the United States with over 6650 trucks, 5400 dry
vans, 3900 reefers and logs over 757 million miles
annually
16. Transportation
Fleet Statistics
7,400 Drivers
6,537 Tractors
51,882 Dry Van Trailers
5,001Reefer Trailers
80,000 Associates in Logistics
124 Distribution Centers
713 Million Miles Driven in 2010
4 Million Total Store Deliveries Per Year
1.6 Million Miles Per Preventable Accident
17. Wal-Mart stores
Wal-Mart Stores serves customers and
members more than 200 million times per
week at more than 9,800 retail units under
69 different banners in 28 countries.
Wal-Mart builds retail stores only where the
demand is sufficient to justify having
several of supported by DC
18. Wal-Mart stores in US
Description Retail Units Entry
Opened first in 1988
Supercenter 3,002
(Washington, MO)
Opened first in 1962
Discount Store 647
(Rogers, AR)
Opened first in 1998
Supermarkets* 192
(Bentonville, AR)
Small formats** 9
Walmart U.S. 3,850
Opened first in 1983
Sam's Club 610
(Midwest City, OK)
Total U.S. 4,460
20. Wal-Mart stores in other
countries
Mexico 1,932 Entered November 1991
Canada 329 Entered November 1994
Brazil 496 Entered May 1995
Argentina 67 Entered August 1995
China*** 352 Entered August 1996
United Kingdom 542 Entered July 1999
Japan 415 Entered March 2002
Costa Rica 194 Entered September 2005
El Salvador 77 Entered September 2005
Guatemala 188 Entered September 2005
Honduras 62 Entered September 2005
Nicaragua 67 Entered September 2005
Chile 299 Entered January 2009
India 9 Entered May 2009
Africa**** 337 Entered June 2011
Walmart International 5,366
Wal-Mart Stores, Inc. 9,826
21. Where in the World is
Wal-Mart?
www.themegallery.com Company Logo
22. Supply chain issues
The company was tired to apply the same
standards it used in The United States with
local suppliers
Some local suppliers either refused to give
special discount or to sell products to Wal-
Mart
Some producers rejected delivery system;
they refused to send goods to Wal-Mart
distribution center
23. Conclusion
Wal-Mart 2011 annual report :
Every week around the world, Wal-
Mart’s 2.1 million associates work
diligently to help more than 200
million customers save money so they
can live better
