Wegmans: Operations Management

3309 WordsApr 9, 201214 Pages
CONTENTS ABSTRACT INTRODUCTION TO WEGMANS AND OPERATION MANAGEMENT COMPETITIVENESS FORECASTING PRODUCT AND SERVICE DESIGN PROCESS SELECTIONS AND FACILITY LAYOUT MANAGEMENT OF QUALITY/ QUALITY CONTROL AGGREGATE PLANNING AND MASTER SCHEDULING MRP AND ERP INVENTORY MANAGEMENT JIT AND LEAN OPERATIONS SUPPLY CHAIN MANAGEMENT CONCLUSION REFERENCES Abstract: Wegmans is a dominate presence in the supermarket industry on the east coast. There are many attributes that Wegmans prides itself on to have earned a place on the Top 75 Supermarkets Based on Sales Volume, Largest Private Companies in the U.S., and Fortune’s 100 Best Companies to Work For lists. The success is due greatly in part to the company’s…show more content…
The list contains some things that are common to many supermarkets, but Wegmans makes sure that these expected attributes are perfected, or cater to the consumer’s needs as best as possible. In addition, Wegmans goes above and beyond the call of duty when compared to the competition, offering many things that make it the ultimate one-stop location for your shopping needs. Forecasting One of the big threats Wegmans has to be aware of within the supermarket industry is something referred to as the “newsvendor problem”. The newsvendor problem refers to a situation where final demand at the retail level is unknown and any units that are ordered then unsold lose value. This particular problem is associated with most, if not all, industries involving food because demand is often uncertain and food will lose its value once it has expired or gone bad. However, an idea to avoid this problem would be to order less of products in hopes of having fewer inventories left on the shelves to go bad. Unfortunately this route may result in shortages and angered customers. So how is this issue solved? Wegmans decided to address this particular dilemma by implementing a business intelligence (BI) system that has aided in their forecasting process. (Stevenson) In addition to aiding in the inventory
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