Procurement and Supply Chain Management for Amazon- myassignmenthelp

Question: Discuss about theProcurement and Supply Chain Management for Amazon. Answer: Introduction Amazon is an e-commerce company which is based in America. The company is founded by Jeff Bezos and is located in Seattle, Washington. The company was established in the year 1994. Amazon is the largest e-commerce company in the world in terms of the market capitalization and revenue earned. Amazon initially started with the online bookstore and later it also included the video and the music streaming and eventually the online retailing business. The online retailing business included a wide range of the products and this has led to the huge demand of the company (Amazon.com 2018). Supply issues The major supply issues that are being experienced by the Amazon are as follows: Poor supply chain management- when a company is at the top of the supply chain management performance, the availability and the product chain suffers considerably from the supplier's mistake. It often happens that the manufacturers messed up with the delivery of the product and is unable to ship the product within the stipulated time limit. This leads to resentment and due to this, the sales may be lost. Inefficiency in the whole process- the usage of the inefficient processes that the suppliers undertake due to the complacency. Insufficient stock- without the sufficient supply of the products, it is not possible to catch up with the increasing demand of the products. Lack of the monitoring the sales outlets- effective monitoring of the of all the sales outlets and if not managed properly might lead to the drain of the inventory immediately. Overselling- in order to reduce any kind of confusion, the sales of the product must be allowed only till the stocks are able to sustain (Ecommerce Tips, 2018). Operations issues Amazons operational issues are dependent on the certain areas that are as follows: Design of the services and the goods Quality of the management Capacity and the process design Location strategy Strategy and the layout design Human resources and job design Supply chain management Inventory management Scheduling Maintenance (Sec.gov, 2018) Top 3 challenges The top 3 challenges with respect to the completion of the task are as follows: Searching through the online search engines is sometimes leads to information that may not be reliable. Several big companies often are unwilling to reveal their problems and issues related to the operation and the supply. There are other challenges like the issues that are cited over different online sources lack the dynamism. The data are found to be extrapolated or are old. Strategies to address these problems The strategies that are used to address the challenges are based reliance on the data that available from the sites that are sufficiently referenced (Masic, 2013). The data from the original home website are only considered to be authentic. Conclusion From the above discussion, it can be concluded that the Amazon is one of the biggest e-commerce company and over time Amazon has gained immense popularity and the market share due to its effective mitigation of the operational and supply issues and problems. Reference Amazon.com (2018). Amazon.com: Online Shopping for Electronics, Apparel, Computers, Books, DVDs more. [online] Amazon.com. Available at: https://www.amazon.com/ [Accessed 12 Apr. 2018]. Ecommerce Tips (2018). 3 Problems with Amazon Inventory Management And Their Solutions - E-commerce Tips. [online] Ecommerce Tips. Available at: https://ecommercetips.org/3-problems-with-amazon-inventory-management/ [Accessed 12 Apr. 2018]. Masic, I. (2013). The importance of proper citation of references in biomedical articles. ActaInformaticaMedica, 21(3), 148. Sec.gov (2018). 10-K. [online] Sec.gov. Available at: https://www.sec.gov/Archives/edgar/data/1018724/000101872416000172/amzn-20151231x10k.htm [Accessed 12 Apr. 2018].