From the available source following PPT explains about the strategy applied by walmart and its opreation management. It deals with its operation of obtaining of materials & its mangement.

1. OPERATIONS MANAGEMENT
OF WALMART
Subject : Production and Operations
Management (FSMBFA SII-1)
Presentation Made by : Kunal Gawade
(000FSMBFA1617005)

2. About Walmart
 Founded by Sam Walton in 1962
 Walmart has 11500 retail units under 63
different banners in 28 countries
 In India, it operates with name of “Best Price”
 Largest Private employer
 It earned revenue of $482.1 Billion for year
2016.
Source : Fortune 500

3. Cheap & Best
A1 Quality
Clothes
Electronics
Food &
other
Items
Walmart Strategy

4. Operations Management
 Operations management refers to the
administration of business practices to create
the highest level of efficiency possible within an
organization. It is concerned with converting
materials and labour into goods and services as
efficiently as possible to maximize the profit of
an organization.
OutputsTransformationInputs

5. Obtaining Materials
Storage
Shops & Retail
Units
Walmart Operations
Process

6. Obtaining Materials
Clothes
Electronics related
items
Food and other
related items
Wage Rate = $ 0.32 per hour
Source : Global Union Alliance 2013

7. Obtaining Materials
• Ocean Shipping
• Tax Benefit
Imported
Goods
• Transported through Self
owned Trucks
• Employing around 7500
truck drivers
• Having 6100 tractors, 61000
trailers
Other
Goods

8. Storage : Walmart’s Vendor-
Managed Inventory Model
 In this model, suppliers access data from
Walmart’s information system, such as data on
current inventory levels and the rate at which
certain goods are sold.
 Thus, Walmart saves costs and has no issue
for reorder.

9. Storage :Types and Roles of
Inventory at Walmart
1. Finished Goods Inventory
2. Transit Inventory
3. Buffer Inventory

10. Storage : Just-in-Time Cross-
Docking in Walmart’s Inventory
Management
 In cross-docking, suppliers’ trucks and
Walmart’s trucks meet at the company’s
warehouses. Goods are transferred from the
suppliers’ trucks directly to Walmart’s trucks,
which deliver the goods to the stores.

11. Storage : Walmart’s Measures of
Inventory Performance
 Walmart uses numerous variables as
measures of inventory performance. However,
the following measures are the most
significant:
 Inventory turnover
 Stock-out rate
 Inventory size

12. Storage : Managing Inventory
across the Supply Chain
1. ABC Analysis
2. Inventory Information Systems

13. Shops & Retail Units
 Shop location , layout & size
 Each Product is noted
 Categorized Product
 Low wages

14. Shops & Retail Units: Low
Wages
 A Walmart labor is paid : $ 8.81 per hour
 Working Hours : 34 hours a week
 FEDERAL POVERTY LEVEL : $ 23550
Source : Global Union Alliance 2013

15. Any Questions ?

16. Thank You !