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E-Retailer - Shenzhen, China

Problem Entered North American market through Amazon platform but it faced challenges like low
sales growth, long delivery times, low customer satisfaction

• Total lead time = 14.5 days


• Lead time after = 11 days
placing an order

• Response time is 76% of the total


time product is in the
e-retailer supply chain process

Fig. The current VSM of the phone case supply chain in the e-retailer

Source: Qin, Y. and Liu, H., 2022. Application of Value Stream Mapping in E-Commerce: A Case Study on an Amazon Retailer. Sustainability, 14(2), p.713.
Scoring Method for
Root cause
Logistics Model Future stream mapping
analysis
Selection

• Total lead time


Prime = 16 days
Non Prime = 20 days

• Lead time after placing an order


Prime = 2 days
Non Prime = 6 days

• Response time reduced from 11


days to 2 or 6 days depending on
membership status.

Fig. The future VSM with FBA


model applied for the e-retailer

Result Improved customer satisfaction and growth in sales. NVA added activities were better organized

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