RSM370H1 Study Guide - Comprehensive Final Exam Guide - Supply Chain, Supply Chain Management, Stockout
Document Summary
Seven-eleven"s value proposition is to provide meals conveniently to customers. This is difficult because they must change their product offering throughout the day to meet breakfast, lunch, and dinner demands. A convenience store attempts to be responsive and provide customers what hey need, when they need it, where they need it. Produce food through central facility and deliver several times a day. Reduces inventory and allows better prediction of demand. Deliver once a day instead of each meal individually. Requires more storage space, less change to respond to changing market conditions. Each store cooks its own food instead of at a central facility. Advantage is food can be made to order and be more responsive to demand. Taste/quality could differ from store to store and day to day. Store needs to hire more staff to cook food. Seven-eleven"s supply chain strategy in japan can be described as attempting to micro-match supply and demand using rapid replenishment.
