Imperative Essay

336 Words2 Pages
Imperative 3: Segment the Supply Chain and Consistently Adapt It to the Characteristics of Each Segment In the Tesco supply chain included the segment from the suppliers until the products to the end customer. A supply chain as a whole ranges from basic commodities to selling the final product to the-customer to recycling used product. Material flows from a basic commodity to the finished product. The supply chain process in Tesco from suppliers, manufacturers, wholesalers/distribution center, retailers and customer. Tesco have a high value proposition and growth orientation because Tesco is among the largest food retailers in the world that operates 4331 stores in 14 countries around in the UK, other European countries, the US and Asia. Tesco is supported by 2,500 suppliers, who are expected to provide service levels (correct time and quantities) of at least 98.5 per cent by delivering to Tesco within half-hour time ‘windows’. The distribution center, Tesco use Regional Distribution Centers, RDC which can handle many products at several temperature ranges. The opportunity is to provide a cost-effective daily delivery service to all stores. Each distribution centre (DC) serves a group of between 80 and 100 retail stores. Before products deliver to end customer, Tesco will identify the customer segmentation, demand profiling and supply alignment. Customer’s segmentation is dividing population members into groups according to their needs, wants and other criteria and developing products and services that aim to satisfy needs and wants of particular groups. Their Tesco profile the demand based on the customers segment such as volume of demand depends on promotion, technology or service. For example, Tesco starting use the delivery system that increase demand volume and lead time delivery to customer. Tesco will the supply of products and
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