Walmart Supply Chain Flow Chart

Manufacturer Radio, Headphone

Retail Store

Distribution center
Manufacturer Bar code, RFID

Retail Store

Point of Sale terminal

Satellite system
Manufacturer
Retail Store

Company Headquarter

Suppliers Walmart Distribution Center

Vendors are Walmart’s suppliers. They
deliver products to the distribution center
or directly to one of the stores. Walmart is
able to bargain for the lowest possible
price because of the high volume of sales.
Therefore, Walmart passes these savings to
its customers.
Once the products are delivered to
the distribution center, they are
sorted and placed on trucks to be
delivered to stores. This allows for
less than 48-hour deliveries to the
stores and increased efficiency on
trucks with backhauls.
Walmart Store
After products are delivered to Walmart Shopper
the stores, they are placed on Customers can purchase
the appropriate shelf location products at very low prices and
for customers to view. Store have the ability to return any
locations are throughout the item.
U.S, in rural and urban towns.
 Walmart: Operations and Challenges

 Demand Planning: Walmart managers point out that it is difficult to forecast

demand in times of economic turbulence.
 Controlling supply chain costs via investments in automation and technology
to drive greater efficiency.
 Thin profit margins
 Gender discrimination
 Walmart’s business model can be easily copied. The company does not own
any specific competitive edge over its rivals except for its huge business size.
Overdependence on the US market: Walmart has about 11,500 stores
globally. 4,700 of these stores are located in the US alone.
Negative publicity due to allegations that the company was bribing foreign
officials in Mexico, China, and other countries.
 References
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