Lecture 3 Flashcards
1
Q
Lowest-cost needs
A
-Sufficient, stable demand
-Few disturbances
2
Q
Lowest-cost organizational characteristics
A
-Cheap personnel (repetitive jobs)
-Little staff
-Large scale processes
3
Q
Differentation needs
A
-Complex demand (mix of price, choice, quality)
-Changing business (technology/fashion/”hypes”)
4
Q
Differentation organizational characteristics
A
-Complex dynamic structures / networks
-Much staff
-Entrepreneurship in business units
-Flexible processes
5
Q
SKU
A
Stock keeping unit
6
Q
Racetrack
A
loop with a major aisle that has access to departments entrances
7
Q
Free-form
A
Fixtures and aisles arranged symmetrically
8
Q
Grid
A
Supermarkets
9
Q
Cross-docking
A
- Moving products directly from inbound vehicle to outbound vehicle, without decoupled storage in between
- You exactly order the products for which destination is already known
10
Q
Advantages cross-docking
A
- Inventory reduction, space reduction (compared with warehousing)
- Reduction of administrative work
- Handling reduction (in DC, compared with warehousing)
- Can reduce transport (compared with direct)
- Lower cost (for the retailer)
- Sometimes shorter lead times (especially for perishable goods)
11
Q
Marketing strategy basic decisions
A
- Store image (quality, pricing, comfort)
- Assortment (width and depth)
- Product display (packaging, space, location)
- Suppliers (number and type)
- A-brands, private labels
- Price levels, in relation to margins
