Presentation on "Wegmans Food markets" by Shabbir Akhtar (PGPM 10, Globsyn Business School - Global Campus) for the subject "Operations Management"

1. Presented by – Shabbir Akhtar
(PGPM 10, Globsyn Business School – Global Campus)

2. Wegmans Food Markets
• Started in 1916 by Walter and
John Wegman
• In 1930s they expanded their
product line
• Adopted a self-service format in
1940s
• Consumer Affairs department
started in 1970s
• "Shoppers Club" electronic
discount program introduced in
1990s
Wegmans Food Bar started in 2010
• The iPhone app and blog were
launched in April 2010

3. The Case Study
• How do customers judge • Factors important to the
the quality of a successful operation of a
supermarket? supermarket:
 Customer satisfaction
 Location
 Inventory management
 Store layout
 Scheduling
 Forecasting
 Capacity planning

4. Quality Of Supermarket
• Competence
• Tangible
• Reliability
• Responsiveness
• Assurance
• Empathy

5. Customer Satisfaction
• Customer is the king
and he should not only
be satisfied but
delighted
• Profitability is a
function of customer
satisfaction
• Customer satisfaction
leads to word of mouth
marketing

6. Location
• Proximity to customers
• Level of competition
• Revenue earned
• Demographic factors
• Community attitude
• Expansion potential
• Quality of life live map

7. Inventory Management
• Carry optimum level of
inventory
• Minimize inventory
holding cost
• Avoid stock out
• Plan sales operation
well
Produce Section at Rochester, New York Wegmans

8. Store Layout
• Process Layout
– Loop Layouts
– Spine Layouts
• Front Office and Back
Office
• Allocation of displays
and check out
Cherry Hill Wegmans
procedures

9. Scheduling
• HR scheduling
• Transport scheduling
• Inventory scheduling

10. Forecasting
• Plan finances well
• Plan the merchandise
availability
• Maintain optimum
inventory levels
• Forecast with respect to
festivals, weather “Due to significant increase in demand for Wegmans Brand
conditions and changing cereals, our manufacturing partner ison some Wegmans Brand
You may see inconsistent availability
working hard to keep up.
cereals. We apologize for the inconvenience.”
taste and preferences

11. Capacity Planning
• Know how much stock
can be maintained
• Plan the floor area
depending upon the
customer’s demand for
different products
• Maintain comfortable
ratio of sales staff
per customer

12. Thank You