THEORY

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1867253

Yaseen hamid
PART 1:

Custom has option to buy online or go to a retailer. Following are both ways given:

Option 1:

Supplier - manufactures - Distributor – Retailor- customer goes to shop

Option 2:

Supplier - manufactures – Storage(warehouse)- Shipping - customer (online)

Push or Pull boundaries: they depend on whether the processes are executed in response to a
customer order (pull) or in anticipation of a customer order (push)

In option 1: push boundary is at retailor or shop keeper

In option 2: storage facility or warehouse is where the push boundary is located.

Part 2

Supply chain example : Popular Fashion brand in america named ‘supreme’.

Their supply chain is divided into three parts

1. The source of raw materials


2. Facilities where raw material is converted into shirts and pants
3. Distribution network by which the clothes are delivered to supreme stores

Following are the components:

1. Pull and Push Boundary : their push boundary is at retail/physical stores and online
stores (supreme.com website)
2. strategic fit : Strategic fit for them is to maintain balance between supply of raw
material and and customer demand at the store
3. Corporate and supply chain strategy : Their corporate and supply chain strategy is to
provide high variety of goods which are always available physically in store for
customers
4. Vertical and Horizontal view : Supply chain here dependent on raw material that has to
be provided to collaborate horizontally. Supreme deals with stores vertically but has to
manage their inventory so that if customer supply increases, they can handle it
efficiently.

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