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Wal-Mart

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Wal-Mart

Wal-Mart is the largest retail supply chain story in the world today. The retailer's success

comes from various factors, but the main factor that makes it dominant in the industry is the

effective supply chain. Wal-Mart's retail and supply management strategies have given it a

comparative advantage over its competitors. Its relationship with the suppliers is vital to

improving supply chain efficiency.

The article explains some of the problems in Wal-Mart’s supply chain. It experiences

problems in maintaining the profit margin balance between different parties, resulting in supply

chain failures such as non-cooperation between members, excess inventory, and conflict

generation (Nguyen, 2017). It is the biggest problem facing Wal-Mart’s supply chain. Another

problem is the failure to hold inventory growth to half the sales growth level, which might cause

a conflict of participating parties' incentives. The article is in a descriptive method. It outlines

literature studies reviewing the supply chain of Wal-Mart and adapting the triple-A supply chain,

which will improve its supply chain by solving some of the challenges encountered. The model

draw is as follows: section one is the introduction, then section two and three has a literature

review (Nguyen, 2017). The fourth part displays the Walmart supply chain and the key elements

of a successfully integrated supply chain formulation, while part five addresses Wal-Mart's

supply chain issues. Lastly, there is the conclusion part.

Generally, from the paper, I learn the successful supply chain at Wal-Mart and the

effectiveness of designing a Triple-A supply chain to companies in the 21st century. The supply

chain model has three capabilities which are agility, adaptability, and alignment. Agility helps in

giving quick responses to sudden and unexpected changes in the company (Nguyen, 2017).

Alignments promote the interest of all the supply chain participants and their own companies.
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Lastly, adaptation identifies the ability of the company to adjust in the face of long-term in their

products cycles and markets. Designing the Triple-A supply chain model will assist a company

in realizing its best potentials (Nguyen, 2017). I will apply the integrated triple-A supply chain

model in my company to improve the relationship with my suppliers to realize the short-term and

long-term goals competitive advantage over other companies.

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References

Nguyen, T. T. H. (2017). Wal-Mart’s successfully integrated supply chain and the necessity of

establishing the Triple-A supply chain in the 21st century. Journal of Economics &

Management, 29, 102-117. http://dx.doi.org/10.22367/jem.2017.29.06