7-Eleven Japan Co.: a Convenience Store
Case: 7-Eleven Japan Co.
Table of Contents
Question 1: 3 Question 2: 3 Question 3: 4 Question 4: 4 Question 5: 4 Question 6: 4 Question 7: 6
Question 1:
A convenience store chain attempts to be responsive and provide customers what they need, when they need it, where they need it. What are some different ways that a convenience store supply chain can be responsive? What are some risks in each case?
A convenience store can be more responsive by doing exactly what Seven-Eleven Japan is doing; many locations, rapid replenishment, appropriate technology deployment, and an equally responsive supplier (vertical integration for many of their SKUs). The risks associated with this system are the costs coupled with demand uncertainty. If demand patterns change dramatically, or the customer base changes, then Seven-Eleven is left with an operation that is not needed. Offering variety of services in the case of this case study Seven Eleven offered attractive services to customers such as ski lift voucher pass, payment of mail order purchases, internet shopping, a meal service delivery, automatic teller machines installation in each store, pick up online services, electronic money service that allow customers to prepay and use a card or cell phone to make payments etc. on the other hand, a short coming might result due to the failure of one or more information system due to failure or break down.
Question 2:
Seven-Eleven’s supply chain strategy in Japan can be described as attempting to micro-match supply and demand using rapid replenishment. What are some risks associated with this choice?
Question 3:
What has 7-Eleven done in its choice of facility location, inventory management, transportation, and information infrastructure to develop capabilities that support its supply chain strategy in Japan?
Information infrastructure:
7-Eleven implemented a Total Information System through which the company could efficiently share its
Table of Contents
Question 1: 3 Question 2: 3 Question 3: 4 Question 4: 4 Question 5: 4 Question 6: 4 Question 7: 6
Question 1:
A convenience store chain attempts to be responsive and provide customers what they need, when they need it, where they need it. What are some different ways that a convenience store supply chain can be responsive? What are some risks in each case?
A convenience store can be more responsive by doing exactly what Seven-Eleven Japan is doing; many locations, rapid replenishment, appropriate technology deployment, and an equally responsive supplier (vertical integration for many of their SKUs). The risks associated with this system are the costs coupled with demand uncertainty. If demand patterns change dramatically, or the customer base changes, then Seven-Eleven is left with an operation that is not needed. Offering variety of services in the case of this case study Seven Eleven offered attractive services to customers such as ski lift voucher pass, payment of mail order purchases, internet shopping, a meal service delivery, automatic teller machines installation in each store, pick up online services, electronic money service that allow customers to prepay and use a card or cell phone to make payments etc. on the other hand, a short coming might result due to the failure of one or more information system due to failure or break down.
Question 2:
Seven-Eleven’s supply chain strategy in Japan can be described as attempting to micro-match supply and demand using rapid replenishment. What are some risks associated with this choice?
Question 3:
What has 7-Eleven done in its choice of facility location, inventory management, transportation, and information infrastructure to develop capabilities that support its supply chain strategy in Japan?
Information infrastructure:
7-Eleven implemented a Total Information System through which the company could efficiently share its