Assessment detail: Intent: Research paper on recent trends in value network design. The application of big data analysis, IoT and cloud computing for both strategic and tactical supply chain network...

SUPPLY CHAIN MANAGEMENT
OPERATIONS MANAGEMENT
Abstract
Supply chain design is one of the key focused areas in the cu
ent times. This assignment deals with supply chain design of Walmart. The application of big data analysis, IoT and cloud computing for the development of an effective supply chain has been discussed in the assignment. The organisational strategy and the tactical supply-chain network design have been discussed along with the manner in which both of them are aligned. The supply chain of Walmart has been discussed in detail. The same is followed by analysis of the supply chain design of Walmart. The advantage and the associated risks have been outlined in the later part of the assignment. The supply design of Walmart has been compared with the optimum supply chin design model. The shortfalls of the existing system has been outlined and suitable measures have been recommended for improvement of the overall system of supply chain.
Table of Contents
Introduction    4
Literature Review    4
Supply chain design and its strategic importance    4
Different types of supply chain design and risks associated with different design    5
Case Study-Walmart    6
Vision    6
Mission    6
Organisational strategies    6
Supply chain strategies    7
Design strategies    7
Mapping the supply chain of Walmart    8
Explanation of the map    8
Analysis of the case    9
Analysing the supply chain design strategies in accordance to alignment with organisational strategy    9
Reasons behind Walmart choosing the particular supply chain design    9
Analysing the advantages and disadvantages/possible risks in supply chain due to specific design    10
Comparison with existing literature and best practices of supply chain design    11
Recommendations    11
Conclusions    12
References    13
Introduction
With the advent of globalisation, the competition has increased with rapid pace. This has led to an increase in the importance of supply chain management. Supply chain involves use of big data analysis, Internet of Things and cloud computing for improving efficiency of supply chain. Due to increase in the competition, firms focus on supply chain management to reduce the cost of production, improve efficiency of operations and others. The supply chain design involves development of supply chain to meet the objectives of the organisation. Strategic and Tactical supply chain network design can improve efficiency and thus help a firm in surviving the competition and gaining a competitive edge.
This assignment deals with the supply chain design of Walmart the supply chain network of the organisation is to be understood and analysed for having an in-depth knowledge of the importance of value chain network in practical scenario. Various issues are to be considered before choosing a particular supply chain design. The benefits and risk associated with various supply chain network are different to each other. Walmart is considered to have one of the most effective supply chain network across the globe. Supply chain design has a great impact on the efficiency of operations along with quantum of production. Big data analysis and artificial intelligence is used in supply chain design to predict the demand of products and manage the overall process of production followed by transportation and supplying to final customers. The supply chain of Walmart has been analysed in detail and various recommendation have been provided in accordance to the issues identified.
Literature Review
Supply chain design and its strategic importance
Supply chain design is the process with the help of which an organisation manages and structures the supply chain for identifying the right balance between transportation, inventory and manufacturing costs. According to Arora et al. (2016), an effective supply chain helps in optimum utilisation of resources that enables the firm to achieve its objectives. It creates real economic value for the firm by optimum utilisation of resources and
inging efficiency in supply chain. An effective supply chain design helps in providing the firms with a competitive edge that helps in survival and growth of the firm amid fierce competition. Supply chain design helps in implementation of strategies such as economies of scale, reducing transportation cost and similar strategies. In order to create an effective supply chain design there are five basic question that need to be answered. Such question are what is the business of the company, how can value be added, what are the target markets, what are the capabilities of the firm and what are the products of the firm. An efficient supply chain helps in achieving optimum results for an organisation. In 2008, it was observed that the top 25 firms that had the best supply chain reported a profit of 17.89% in comparison to the industry average of 6.43%. The supply chain design goes beyond the traditional issues of make
uy or vertical integration. It involves a detailed study of the processes to make them efficient.    
Different types of supply chain design and risks associated with different design
When a firm deals with a new vendor or deals in a new product, it leads to emergence of a new supply design. However, the same can be a lean design or an agile design. According to the opinion of Bramel and Simchi-Levi (2004), a lean supply chain design focuses on reduction of waste across the supply chain by reducing the inventory, lead-time reduction and
inging efficiency in related areas. However, agile supply chain focuses on meeting the rapid changes in the business environment. In this flexibility is provided in terms of reduction of lead-time, improved communication, effective planning and others. However, there are different types of supply chain design that includes design based on the demand of the customer and design based on the voice of the customer. In the first option, the supply chain is focused around the demands of the customer to ensure that there is high efficiency in supply chain. It is created to add certain value to a material or item that are used for production of final goods. It meets the expectations of the customer at lower cost due to standardisation of process. The processes are changed if there is a change in the demands of the customer. However, customised product cannot be produced in such case, as there is a standard process. The process is fast due to standardisation of the process.
The second design of supply chain is the design based on the voice of the customer. The product is produced exactly as per the demands of the customer. The process are standardised but up to a limited extend. It helps in maintain the customer base. It is a design followed for high valued items, for example, Fe
ari and other such organisations. As per the views of Brockhaus et al. (2016), the demands of the customer is continuously communicated to the others member in the supply chain network. This increases the satisfaction level of customers. However, this design leads to higher cost as the process is changed as per the demands of the customers. The process is slower in comparison to the design based on customer demand. In this the end process that provide the final touch are given due importance. This is a practice followed for the production of niche products. The voice of the customer may change instantly that leads to slow of the supply chain.
A number of risks are associated with each supply chain design. In the design based on customer demand, the process are standardised and not customised. Therefore, it is not suitable for products that require customisation. Although the cost is high but the production may not match the requirements of the customer as preferences and taste change frequently. On the other hand, the process is very slow in case of supply chain design based on the voice of customer (Chae, 2015). This leads to high cost of production that may not be recovered from the customer. In addition to that, bulk order cannot be processed fast due to slow process of production. As the rate of production is slow, the efficiency of the production process is also low that leads to increase wastage and other such...