Walmart's Supply

Chain Process: A
Streamlined Approach
to Low Prices

A Brief History of Walmart: From One Store to Retail Giant

1962: In Rogers, Arkansas, Sam Walton opens the first "Wal-Mart Discount
City," offering a wide variety of merchandise at lower prices than
competitors. He emphasizes efficiency, low overhead, and customer service.
1960s-70s: Rapid expansion across Arkansas and neighboring states. The
company goes public in 1970 and builds its first distribution center. They
become known for their "everyday low prices" strategy.
1980s: Continued national expansion, reaching all 50 states by 1990. They
open the first Sam's Club warehouse store and the first Walmart
Supercenter, combining groceries and general merchandise.
1990s: Become the world's largest retailer by revenue, surpassing Sears.
International expansion begins with stores in Mexico and Canada. The
Walmart Foundation is established.
2000s: Continued global expansion, entering China, India, and Brazil. Focus on
online sales and grocery delivery. They face criticism for labor practices
and environmental impact.
2010s-Present: Increased focus on e-commerce and omnichannel retailing,
integrating online and physical stores. They acquire Jet.com and Flipkart,
expanding their online presence. Sustainability initiatives aim to reduce
environmental impact.
Key Milestones:
1962: First store opens in Rogers, Arkansas.
1970: Goes public.
1988: Opens first Sam's Club.
1990: Becomes world's largest retailer.
2005: Enters China.
2012: Changes name to Walmart.
2018: Acquires Flipkart.

Today, Walmart remains a retail behemoth, facing ongoing challenges and adapting to changing consumer
preferences. The company's history reflects its focus on low prices, efficiency, and constant innovation.

Walmart's Supply
Chain Process

Walmart's Supply Chain: Key Points

Similarities:
Follows basic supply chain stages: purchasing, operations, distribution, and
integration.
Challenges:
Managing vast inventory across numerous locations.
Preventing overstocking, stockouts, and inaccurate data.
Solutions:
Technology and automation: Real-time tracking, seamless restocking, cost
savings.
Effective merchandising: Customer demand monitoring, time savings,
improved forecasting.
Barcode scanning: Precise inventory management at all stages.
Vendor-managed inventory: Suppliers proactively manage stock levels.
Just-in-time inventory (cross-docking): Minimizes storage costs.
First-In, First-Out (FIFO) costing: More accurate cost representation.
Additional key point:
Outsourcing inventory control (VMI): Suppliers manage their inventory in
Walmart's warehouses.

PALMA, SHAIRA N.