Seven-Eleven Seven Eleven Japan Co Co. Course: Strategic Supply Chain Management MSc ETH MTEC Fall 2011 Prof. Dr. Stephan M. Wagner Chair of Logistics Management g g Department of Management, Technology, and Economics Swiss Federal Institute of Technology Zurich 1 Assignments g 1. 1 A convenience store chain attempts to be responsive and provide customers what they i t h i tt t t b i d id t h t th 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? 2. 7-Eleven’s supply chain strategy in Japan can be described as attempting to micromatch supply and demand using rapid replenishment. What are some risks associated with this choice? 3. What has 7-Eleven done in its choice of facility location, inventory management, transportation, and information structure to develop capabilities that support its supply chain strategy in Japan? 4. 7-Eleven does not allow direct store delivery in Japan with all products flowing through its distribution center.
What benefit does 7-Eleven derive from this policy? When is direct store delivery more appropriate? 2 Assignments g 5. What do 5 Wh t d you thi k about th 7d think b t the 7dream concept for 7-Eleven J t f 7 El Japan? F ? From a supply chain l h i perspective, is it likely to be more successful in Japan or the United States? Why? 6. 7-Eleven is attempting to duplicate the supply chain structure that has succeeded in Japan i th U it d St t with the introduction of CDCs.
Wh t are th pros and cons J in the United States ith th i t d ti f CDC What the d of this approach? Keep in mind that stores are also replenished by wholesalers and DSD by manufacturers. 7. 7 The United States has food service distributors like McLane that also replenish convenience stores. What are the pros and cons to having a distributor replenish convenience stores versus a company like 7-Eleven managing its own distribution function? 3