Supply Chain Management and Ikea - 3458 Words

SUPPLY CHAIN STRATEGY IN INTERNATIONAL FIRM- IBM Braganà §a, 2014 Contents Introduction 3 Products and services 4 Products and services characteristics influence the logistic/supply chain strategy 5 Key customers and location: 7 Key suppliers and location 7 Distribution channels used 9 Manufacturing facilities and location 11 Warehouses facilities and location 11 Modes of transportation used 12 Figure to represent the entire supply chain 13 Other characteristics of international operations 14 References: 15 Introduction The term, â€Å"logistics,† and its actions originated with the military. In the very beginning logistics applied to the process of supplying equipment and supplies to military. Logistics as a†¦show more content†¦Vision statement: â€Å"To create a better everyday life for the many people†. Mission: â€Å"To offer a wide range of well-designed functional home furnishing products at prices so low that as many people as possible will be able to afford them†. We can recognize the relation between those statements and products characteristics. To meet its vision IKEA provides many well-designed, functional products for the home. Products are standarlized for global market. It prices its products low so that as many people as possible can afford to buy them. In addition to this, they have competitive advantage, which is that IKEA products are different from other company’s products, they are called â€Å"self-assembled† or â€Å"RTA furniture†. Those kind of products can bring a lot of benefits to customer, for example, the â€Å"flat pack† is more convenient to ship or delivery by customers themselves, meanwhile it can save more space and the price is rather cheaper. Further, IKEA is good at implementing economics of scale, meaning that the company is not only able to predict which raw material will be suitable in recent years but also create unique manufacturing process. Also this company is social responsible and this integration of social responsibility intoShow MoreRelatedIkea s Supply Chain Management1143 Words   |  5 PagesAbout IKEA IKEA is a multinational company that designs and sells ready to assemble furniture, home accessories and appliances. IKEA was founded by a 17-year-old Ingvar Kamprad in Sweden in 1943. The Company’s name is an acronym that consist the initials of Ingvar Kamprad, Elmtaryd (his farm) and Agunnaryd (his hometown). In January, 2008 IKEA was listed as the world’s largest furniture retailer. Based upon the march, 2016 stats IKEA owns and operates 384 stores in 48 countries. What is Supply ChainRead MoreAnalyzing Ikea s Growth Of The Firm, Dunning Oli Framework Approach Of Foreign Direct Investment ( Fdi )1325 Words   |  6 Pages(FDI), this essay will also declare several issues may exist in an international business as well as factors should be considered in global supply chain control. 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