1.

Choose a company within the country and determine the type of inventories of your chosen
company currently managing and describe the inventory characteristics.

7/11 is a popular franchised convenience store in the Philippines which operates 24/7 offering
variety of food, beverages, non-food (e.i shampoo, soap etc.) and services. However, due to the global
pandemic, other stores are forced to follow curfew hours causing decrease in sales. Despite this, it
remains steadfast in providing essential goods and services that is immediate and readily available.

7/11 follows in transit, in storage and on the shelf inventory. The chain begins when the owner and
or the manager of the store identifies the type of products they would like to sell. Mostly, this differs
from each location taking into account the need of the general populace in the area. The list is then
submitted to their partner suppliers which prepares them for transit. A heavy duty truck collects all
products for delivery. The products is individually recorded and or inventoried by both suppliers and in
charge of the transit. After collecting the different product, this is delivered to 7/11 where again, it will
be individually check, accounted and inventoried by both the manager and the transit in charge.

Not all products will be displayed on shelves so other items will be placed at the back of the store.
The number of items in display will be again recorded as to make sure the ins and out of each product.
This is called the in storage inventory. Other products on the other hand, like perishable goods will be
put on display and will be available for sale. All products are strategically placed to where customers
could see them easily. Products of the same kind are grouped together in a shelf for customers
convenience.

Weekly, all products in shelf and in storage is accounted and inventoried as to assure that sold and
remaining products balances with the inventory given by the transit in charge.

This process is then repeated for another purchase.

Overall, 7/11 has a cohesive inventory. From order to delivery until it each the shelves. However, it
cannot be denied that at times inventories is imbalance due to theft and staff failure.

The inventory used by 7/11 although manual is still effective and efficient because of its diligent and
hardworking staff.

2. Analyze how each of their goods design concepts are integrated

Asides importing products from suppliers, 7/11 offers variety of products manufactured by it. From
microwave ready breakfast and snacks to umbrellas, 7/11 have upgraded and or innovated its position
in the market. Offering 7/11 made products have given customers variety of choices and have given
them the edge over other competition.

Mainly, 7/11 sells basic commodity like food, drinks, and services (like CliQQ where you could pay
bills, buy load etc.) All products are strategically placed according to their category like snacks,
beverages, non-food items etc. Popular products will be placed in a separate area where they could
easily be seen.

Popular products will continuously be ordered and will take much space in the shelves while Non-
popular products on the other hand or those that is seldom purchased, after inventory will no longer be
ordered or will be substituted by a different product.
 3. Evaluate the role of their inventory plays in the company’s performance, operational efficiency
and customer satisfaction.

Inventory plays a big role in assuring 7/11’s financial independence by securing each profit margin
from each product sold and to keep track of its sales and growth. Should there be no inventory, a
company’s performance cannot be measured since one will lost track of its expenses and profit.

On the other hand, inventory greatly plays an important role in 7/11’s operational efficiency.
Inventory keeps record of all products delivered and purchased by customers. Moreover, inventory
reports the items repeatedly purchased and non-popular items. Thru inventory, a company can easily
determine the products that needs to be replenish and the products that will no longer be ordered.
Without inventory, a company will hold no record of the products coming in and out of its doors that
could result to over purchasing.

Lastly, because of inventory, customers can easily keep track of where to locate a specific item.
Since 7/11 strategically place products of the same kind in one area, customers will not be having
difficulty locating the item they need providing ease and convenience. Inventory keeps record of what
items needs to be ordered again and immediately as to make sure that the store never runs out of it
assuring customer satisfaction.