ABSTRACT

This chapter describes the key best-practice techniques in the retail supply chain. The retailer's supply chain capabilities will therefore assume a critical new importance as an explicit and integral part of the final consumer offer. Leading retailers have realized that by meeting challenge – exploiting powerful new commercial tools such as category management, customer loyalty cards, data warehousing and micromerchandising – they are also preparing for the future. Supply chain integration is at the heart of all of them – indeed, it is by working closely with supply chain partners that the opportunities for improvement have been identified, and solutions developed. Supply chain management is ultimately about meeting customer demand as effectively as possible. Consequently, communicating customer demand right to the start of the supply chain is critical. Effective supply chain management requires retailers to work more closely with suppliers. The key to achieving supply chain integration is for retailers, distributors and suppliers to work in partnership.