Difference between revisions of "Grocery store"
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=="Kanban" Just in Time: Interdependent Fragility of the Grocery Store Distribution System== | =="Kanban" Just in Time: Interdependent Fragility of the Grocery Store Distribution System== | ||
| − | The grocery store chains of [[supply]] are lengthy and [[fragile]]. Most [[American]] and [[Europe]]an grocery store [[business]] models are based on a "[[just in time]] delivery" or "JIT" or "Kanban" as the [[Japanese]] inventors called it in the [[1960s]]<ref>The [[Japan]]ese invented the "[[just in time]] delivery" or "JIT" inventory control system called "kanban" in Japanese.</ref> | + | The grocery store chains of [[supply]] are lengthy and [[fragile]]. Most [[American]] and [[Europe]]an grocery store [[business]] models are based on a "[[just in time]] delivery" or "JIT" or "Kanban" as the [[Japanese]] inventors called it in the [[1960s]].<ref>The [[Japan]]ese invented the "[[just in time]] delivery" or "JIT" inventory control system called "kanban" in Japanese.</ref> The JIT inventory control of the [[retail]] and [[food distribution system]] is both [[interdependent]] and [[fragile]]. |
| − | The world's biggest chain of grocery stores, Wal-Mart, is proof that we live in a fragile [[society]]. The kanban or "[[just in time|Just in Time]]" [[inventory]] system was developed in [[Japan]] and became popular in [[America]] starting in the 1970s. It is now ubiquitous in nearly every [[industry]]. The concept is simple: Through close coordination with subcontractors and piece part suppliers, a manufacturer can keep its parts inventory small. Kanban is a key element of lean [[manufacturing]]. Manufacturers order batches of parts only as needed, sometimes ordering as frequently as twice a week. Companies now hire Six Sigma consultants and Kaizen gurus, they buy sophisticated [[computer|data-processing]] systems, and they hire extra purchasing administrators, and these expenses actually save them [[money]] at the bottom line. | + | The world's biggest chain of grocery stores, [[Wal-Mart]], is proof that we live in a fragile [[society]]. The kanban or "[[just in time|Just in Time]]" [[inventory]] system was developed in [[Japan]] and became popular in [[America]] starting in the 1970s. It is now ubiquitous in nearly every [[industry]]. The concept is simple: Through close coordination with subcontractors and piece part suppliers, a manufacturer can keep its parts inventory small. Kanban is a key element of lean [[manufacturing]]. Manufacturers order batches of parts only as needed, sometimes ordering as frequently as twice a week. Companies now hire Six Sigma consultants and Kaizen gurus, they buy sophisticated [[computer|data-processing]] systems, and they hire extra purchasing administrators, and these expenses actually save them [[money]] at the bottom line. |
Just In Time inventory systems have several advantages: less [[warehouse]] space, less [[capital]] tied up in parts inventory, and less [[risk]] of parts obsolescence. | Just In Time inventory systems have several advantages: less [[warehouse]] space, less [[capital]] tied up in parts inventory, and less [[risk]] of parts obsolescence. | ||
| − | The downside is that lean inventories leave companies vulnerable to any disruption of [[supply]], for instance in the [[food distribution system]] or [[food production system]]. If [[transportation]] ([[UPS]], [[post office]], [[Fedex]], [[truck]]s, [[ship]]s, [[railroad]], and [[airplane]]s) gets snarled due to a [[Labor strike#Trucker Strike|trucker strike]] or bad [[weather]] or a [[disaster]], or if [[communication]]s get disrupted, or a parts vendor has a [[strike]] or a [[production]] problem, then [[assembly line]]s grind to a halt. Just one missing part means that no finished products go out the door. | + | The downside is that lean inventories leave companies vulnerable to any disruption of [[supply]], for instance in the [[food distribution system]] or [[food production system]]. If [[transportation]] ([[UPS]], [[post office]], [[Fedex]], [[truck]]s, [[ship]]s, [[railroad]], and [[airplane]]s) gets snarled due to a [[Labor strike#Trucker Strike|trucker strike]] or bad [[weather]] or a [[disaster]], or if [[communication]]s get disrupted, or a parts vendor has a [[strike]] or a [[production]] problem, then [[assembly line]]s grind to a halt. Just one missing part means that no finished products go out the door.<ref>[https://www.amazon.com/Christopher-Steiner/e/B001UO7HUG/ref=dp_byline_cont_pop_book_1 Christopher Steiner], ''20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better'', https://www.amazon.com/20-Per-Gallon-Inevitable-Gasoline/dp/B0046LUJCS Accessed December 15, 2014</ref> |
The kanban concept has also been taken up by most of America's [[retail]]ers (with [[Wal-Mart]] leading the way), most notably its grocery sellers. | The kanban concept has also been taken up by most of America's [[retail]]ers (with [[Wal-Mart]] leading the way), most notably its grocery sellers. | ||
| − | ===Threats to the Grocery Store System of | + | ===Threats to the Grocery Store System of Distribution=== |
Some examples of [[threat]]s to the modern grocery store "JIT" style goods and [[food distribution system]] include: | Some examples of [[threat]]s to the modern grocery store "JIT" style goods and [[food distribution system]] include: | ||
* [[Labor strike#Trucker Strike|Trucker strike]] | * [[Labor strike#Trucker Strike|Trucker strike]] | ||
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* [[Natural disaster]]s such as [[storm]]s, [[tornado]]s, [[hurricane]]s, [[earthquake]]s, etc. | * [[Natural disaster]]s such as [[storm]]s, [[tornado]]s, [[hurricane]]s, [[earthquake]]s, etc. | ||
| − | ==See | + | ==See also== |
| − | * | + | * [[Food distribution system]] |
| − | * | + | * [[Food production system]] |
| − | + | ||
| − | + | ||
| − | + | ||
| − | + | ||
| − | ==External | + | ==External links== |
[[File:Walmart.jpg|200px|right]] | [[File:Walmart.jpg|200px|right]] | ||
*[http://www.walmartstores.com Corporate website] | *[http://www.walmartstores.com Corporate website] | ||
| Line 43: | Line 39: | ||
[[Category:Agriculture]] | [[Category:Agriculture]] | ||
[[Category:Retail]] | [[Category:Retail]] | ||
| + | [[Category:Business]] | ||
Latest revision as of 14:35, April 9, 2019
A grocery store is a retail establishment that sells food products. Typical supermarkets sell fresh produce, meat, and dairy products as well as non-perishable goods and frozen foods. Grocery stores usually sell cleaning supplies, paper products, and toiletries in addition to food products, and many grocery stores sell other merchandise as well, such pharmaceuticals, cosmetics, and cookware.
Contents
"Kanban" Just in Time: Interdependent Fragility of the Grocery Store Distribution System
The grocery store chains of supply are lengthy and fragile. Most American and European grocery store business models are based on a "just in time delivery" or "JIT" or "Kanban" as the Japanese inventors called it in the 1960s.[1] The JIT inventory control of the retail and food distribution system is both interdependent and fragile.
The world's biggest chain of grocery stores, Wal-Mart, is proof that we live in a fragile society. The kanban or "Just in Time" inventory system was developed in Japan and became popular in America starting in the 1970s. It is now ubiquitous in nearly every industry. The concept is simple: Through close coordination with subcontractors and piece part suppliers, a manufacturer can keep its parts inventory small. Kanban is a key element of lean manufacturing. Manufacturers order batches of parts only as needed, sometimes ordering as frequently as twice a week. Companies now hire Six Sigma consultants and Kaizen gurus, they buy sophisticated data-processing systems, and they hire extra purchasing administrators, and these expenses actually save them money at the bottom line.
Just In Time inventory systems have several advantages: less warehouse space, less capital tied up in parts inventory, and less risk of parts obsolescence.
The downside is that lean inventories leave companies vulnerable to any disruption of supply, for instance in the food distribution system or food production system. If transportation (UPS, post office, Fedex, trucks, ships, railroad, and airplanes) gets snarled due to a trucker strike or bad weather or a disaster, or if communications get disrupted, or a parts vendor has a strike or a production problem, then assembly lines grind to a halt. Just one missing part means that no finished products go out the door.[2]
The kanban concept has also been taken up by most of America's retailers (with Wal-Mart leading the way), most notably its grocery sellers.
Threats to the Grocery Store System of Distribution
Some examples of threats to the modern grocery store "JIT" style goods and food distribution system include:
- Trucker strike
- Labor union strike
- Prices of a barrel of crude oil and hence the price of gasoline and diesel
- Man-made disasters such as war and terrorism
- Natural disasters such as storms, tornados, hurricanes, earthquakes, etc.
See also
External links
References
- ↑ The Japanese invented the "just in time delivery" or "JIT" inventory control system called "kanban" in Japanese.
- ↑ Christopher Steiner, 20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better, https://www.amazon.com/20-Per-Gallon-Inevitable-Gasoline/dp/B0046LUJCS Accessed December 15, 2014
