Map the Supply Chain Paper
January 12, 2014
Map the Supply Chain
Supply chain management (SCM) is a crucial process for a company where steps take are taken to deliver a good or service. Benefits to the supply chain management contribute to helping create an integrated company where reducing costs is a priority. SCM is a network of companies such as, suppliers, manufacturers, and retailers that improve an industry. The footwear industry involves operating a global supply chain and this paper covers the purpose and value of each link of the supply chain. Manufacturer
Aerosoles provide women an alternative shoe made for comfort, variety of styles, and quality. Aerosoles brand delivers its' reputation as the leader in the shoe industry, known for innovation made with quality materials. Aerosoles stands by its' core values of quality, style, comfort, and real value (Aerosoles, 2014). Aerosoles brand shoes manufactured in China where each shoe are built from the bottom up with various raw materials to construct diamond patterns, Stroebel, and Stitch and Turn (Aerosoles, 2014). To further explain, diamond flex soles absorb shock, that enhance a cushioned comfort that bends and flexes with the foot. This concept is famously named the Stitch and Turn, where the soles are so flexible they twist and fold (Aerosoles, 2014). Aerosoles brand also offers the Stroebel construction where nothing lies between the sole and the shoe, giving the customer the tennis shoe comfort. Thus, raw materials used to provide the base of comfort, constructed uniquely to offer the ultimate comfort and flexibility (Aerosoles,2014). As a result, Aerosoles brands constantly strive to make a better shoe and achieve the commitment that exceed expectations through evolving technology and customer feedback (Aerosoles, 2014).
Aerosoles distribution network is worldwide where transporting the products require extensive logistical efforts. For example, increased costs impact outbound shipping bound for United States destinations. To further explain, the move to North and South China are farther away, and transportation infrastructure that does not exist creates a logistical challenge (Dubin, 2009). Nate Herman, senior director of AAFA states, “Eighty-six percent of all footwear sold in the United States comes from Southern China because huge ports located nearby can accommodate ships and ship volumes” (Dubin, 2009). Some roles of the footwear distributions are as follows, arranging international shipments of products from China, establishes relationships with retailers, provide ground transportation of products to retailers, receives payment from retailers for delivery of products, and provide logistical support. Additionally, software applications assist business planning, tracking and smooth processing from development through delivery (Duggan, 2014). In spite of transportation challenges, safety regulations require considerable effort as well. Footwear manufacturers require hazardous solvents and adhesives not be used to reduce safety problems especially in the new factories. Matt Priest, President of Footwear Distributors and Retailers of America (FDRA) states, “Keeping new factories updated on safety issues requires considerable effort” (Dubin,2009). Given these points, distributors serve as the middleman where accurate and efficient distribution management systems are critical to the success of the supply chain.
The last link of the supply chain is the retailer. Retail management plays an important role in the supply chain process. Retailers must establish the optimal supply chain capabilities, constantly improve merchandising processes, and efficiencies to remain competitive. Specifically, Aerosoles brand retailers must consider other competitive brands in comfort footwear. Competitive brands like Clarks, Hush Puppies, and Rockport all provide the same benefits. With...
References: Aerosoles.(2014). Aerosoles: Our Story. Retrieved from http://www.aerosoles.com/store/jump/static/Our-Story/9000001
Dubin, C.(2009).Snapshot: Footwear. Inbound logistics. Retrieved from http://www.inboundlogistics.com/cms/article/snapshot-footwear/
Duggan, T. (2014). Supply Chain management vs. Customer Relationship Management. Small Business Administration. Chron. Retrieved from http://smallbusiness.chron.com/supply-chain-management-vs-customer-relationship-management-10231.html
Management Study Guide. (2014). Customer Relationship with Supplier. Retrieved from http://www.managementstudyguide.com/customer-relationship-supplier.htm
Small Business Administration.(2014). Advertising: The Basics. Retrieved from http://www.sba.gov/content/advertising-basics
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