Sunday, May 12, 2019

Critically evaluate the best practice in global supply chain Essay

Critically evaluate the best practice in worldwide affix chain prudence at two firms of your choice in the fashion industry - act ExampleAt present, fashion industry is an international and highly sphericalised industry where clothing could be premeditate in one country, contrived in another country and end up being sell globally (Choi 2012). In relation to this, two fashion industries Gucci and Marie Claire have gradually grown to this level. They are among the far-famed fashion industries that deal with shoes, belts, beauty products, hand bags among other fashion fit products (Manlow 2007). During the manufacture of these products, a particular dodging is used that entails six principle procedures that incorporate global add on chain planning, global supply strategy and configuration, global sourcing, global distribution, global logistics and managing sustain sufficient global supply chains (Cetinkaya et al 2010). Global fork over Chain Planning Distribution centres Gucci has one of the best distribution centres complete with everything that is necessary, the distribution of Gucci is designed almost the needs of Gucci. Unlike other fashion retail chains such as Marie Clare, Gucci has disparate products for different regions. The distribution centres are designed to meet the needs of the Gucci. Fashion industry is very combative and condemnation and efficiency is everything if a firm has to be competitive and successful in this industry. To be able fall apart a way of life to compete in this way, Gucci has come up with a very important supply chain strategy. This strategy revolves around two main important things as follows Incorporating the suppliers to have a chock up value chain Gucci is a global fashion retailer and this means that Gucci has created a system where it is able to meet the global demand for is goods without missing an opportunity to sell to a ready market. To achieve this, Gucci has been able to come up with ways in which to make sure that they are able to have a compact supply chain. This means that Gucci has merged its businesses with suppliers to ensure that it is able to control the suppliers. As Cook (2011) forecast out, keeping the supplier close to the business is becoming a common supply chain management strategy because once it eliminates one of the competitive issues that Michal Porter (2008) identified in his model of five competitive forces. This is the force of bargaining power of suppliers. Gucci, unlike Marie Clare has identified that keeping the suppliers close is a major way of ensuring an efficient supply chain that can be used to make sure that better go are given to the customers. Global outsourcing This difference between Guccis supply chain and Marie Clares supply chain may be as a result of different business models of the two businesses. For example, Gucci has a very big range of products with some products being more popular in different markets and unpopular in other markets. This means that the supply chain for a firm like Gucci most offspring consideration of this right from the suppliers through the distribution centres to the final customer contact. Gucci has also made use of global outsourcing as a way to make it more efficient for Gucci to satisfy the needs of the customers efficiently and make up effectively. According to Schary et al 2007, at present competition globally is entirely stiff. Individual companies no continuing compete as autonomous entities, but as supply-chains networks. In essence, companies no longer compete in terms of brand versus brand, but they compete in terms

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