How could a grocery retailer use inventory to increase the

responsiveness of the company’s supply chain?

Grocery retailers are where customers buy their necessities
so it mostly packed every day. There is no differentiation in
the products offered by the grocery store, as the products are
commodity products. Thus, the only way to increase the
responsiveness of the company's supply chain is to offer a
wider variety of items. The use of inventory increases the
responsiveness of the company's supply chain by ensuring
that the customers' demands had been met. In grocery
retailers, when a certain product had sold out, the employees
can immediately stock the shelves again. At the same time, it
increases profitability since customers had bought what they
need in that certain grocery retailer.
How could an auto manufacturer use transportation to increase
the efficiency of its supply chain?
The auto manufacturer has a certain level of inventory that
is to be moved to the dealers. The role of transportation is to
move the inventory to the dealers spread at various locations
from the manufacturing facility. And is an important part of
the supply chain because the products must be handled well
and delivered to the customers without damage. It would be
a waste of resources, time, and effort if the products end up
being returned. However, the trade-off lies in the cost of
transportation and the speed of delivery of the products. To
achieve efficiency, a company must decrease the cost of
transportation. But if they want to practice responsiveness,
then must pay the higher transportation cost.
Explain the role of the major drivers of supply chain performance
in the competitive strategy.
The competitive strategy involves outperforming the
competitors. To do this, a company must have a strategic fit
and achieving balance with being efficient and responsive.
However, with the major drivers of the supply chain, the
balance can be affected. It may be difficult to formulate a
competitive strategy. Production, Inventory, location,
transportation, and information. These five drivers provide a
useful framework in which to think about the supply chain
capabilities you need. The role of the major drivers is to help
companies identify what must be their processes to
successfully meet customers' demands and deliver the
products without wasting resources, time, money, and effort.
Explain the role of the major drivers of supply chain performance
in the competitive strategy.
For instance, a company with more facilities will be more
responsive, but having a few facilities, will increase
efficiency. Having a higher inventory will increase
responsiveness, while lower inventory will increase
efficiency. Speeding up deliveries will increase
responsiveness while spending less on transportation will
increase efficiency.
REFERENCES
Fahad. How a Grocery Retailer Could Uses Inventory to
Increase the Responsiveness of the Company's Supply
Chain?. Retrieved from
https://www.essaysforstudent.com/term-paper/How-a-
Grocery-Retailer-Could-Uses-Inventory-to/96395.html

Fahad. How Could an Auto Manufacture Use Transportation

to Increase the Efficiency of Its Supply Chain?. Retrieved
from https://www.essaysforstudent.com/term-paper/How-
Could-an-Auto-Manufacture-Use-Transportation-
to/96396.html