1. Arkansas (USA). Wal-Mart is considered one of world

1.      Problem four

Wal-Mart Stores, Inc. is a global trade firm that contains low-cost grocery stores and warehouses. It was established fifty years ago by Sam Walton and his brother Bud in Bentonville, Arkansas (USA). Wal-Mart is considered one of world ?s most valuable companies (“Our Business,” n.d.). It has a sale over $300 billion a year. Wal -Mart is the world biggest employer, having more than 1.5 million workers around the globe. Wal-Mart has more than five thousand stores around the globe. Most of the stores (around 80%) are found in the United States. Over the past ten years, Wal-Mart has become the world ‘s largest and most strong retailer with the leading sales per square foot, inventory turnover and operating profit of any discount retailer (Coe, 2007). They address on creating a difference in the customer`s lives better and helping customers` save money.

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The success of Walmart`s company is highly dependent on its inventory management. Moreover, the company’s effective inventory management and integration of technology lead to an effective operational process (Comm and Mathaisel, 2008). The biggest problem of Walmart’s across the world is empty shelves (out of stock merchandise) and unorganized products on the shelves. This kind of problem makes products extremely difficult to be easily accessible (Rosenblum, n.d.). Beginning in 2013 reports that Walmart Stores was mismanage with an out of stock problem at its stores across the world. Walmart has developed better technology since 2013 to improve its shelves are properly stocked and Walmart’s out-of-stock, but the problem was not fully resolved. Again, in June 2017 the same problem was observed in some of Walmart grocery store shelves. The problem was reported mostly in its fresh food departments and in health and beauty care departments. These departments were poorly stocked (Rittenhouse, 2017).

1.1.   Problem four Improvement plan

An information system is pivotal for the Walmart’s inventory management operation. It’s hardly possible to improve inventory merchandise operation and become a competitor in the absence of information technology (Lu, n.d.). Walmart has used different methods to improve inventory tracking system (Mathews, 2006). These resulted in decreasing the out of stock grocery store and empty shelves problem that leads to a better customer satisfaction. In addition, Walmart improved the inventory level management system by using advanced information technology systems and communication systems to effectively track sales and merchandise inventories in stores (Greenspan, 2015). The store level information system allows suppliers to be notified as soon as items are purchased. Retrain employees in charge of inventory to ensure proper maintenance.  

1.2.   Problem four Implementation plan

Wal-Mart has been counted the leading retailer which is always ready to offer the lowest price to their customers and stay ahead. The usage of the latest technology and implementation of the technologies like the bar coding and Scanning, RFID implementation (Radio Frequency tag) Enterprise Resource Planning, E-commerce website development, Electronic Data Integration and Internet presence have added to the success of Wal-Mart. They have helped in reducing the inventory cost and renewal of products on shelves on time and closely relating to the clients.

1.2.1.      Point of sales

A Point of sales system is a compound of software and hardware that acknowledge traders to take transactions and facilitate fundamental daily business operations. Electronic Point of sales relatively decreases the time required at the checkout sales point.

1.2.2.      RFID (radio frequency tags)

Wal-Mart has been a leading in innovative RFID technologies to achieve operational efficiencies that ultimately bring savings for its consumers (Arzoumanian, 2011). It implemented an advanced RFID technology system in 2003 to rationalize its supply chain operations. RFID tags have a great advantage in giving more data to stores than traditional barcodes (Balocco et al., 2011). The tag can be tracked automatically that advantages to minimize any human inaccuracy. It can be scanned from a distance and absent of a clear line of sight. In addition, both retailers and suppliers can manage inventory in a better way (Nayak et al., 2015). This technology is constructing to acknowledge Walmart to better control and optimize their supply line as well as offering many other significant parts of data. Walmart repeats that the purpose of the chips was not to track who bought items but to track where items finished up to support in loss anticipation as well as a more enhanced supply line. But still, there has been a question of privacy regarding customers. Customers have not been informed or consented to be tracked by companies using the hidden tag in the products.

RFID technologies support real-time data that permits producers to better accomplish inventory and advance supply chain operations, thus maximizing profits. Multiple tags can be read simultaneously, and a specific item can easily be tracked and recognized within the distribution center or store.  Benefits of RFID at Walmart RFID enables Walmart to have efficient inventory management by keeping track of products traveling along its supply chain and through the warehouse (Boulard and Greenberg, 2005). RFID enables Walmart to better stock their shelves by monitoring when certain products run out.

1.2.3.      Wasp barcode

 Inventory operation system practices barcode scanners to automatically enter information extract of human mistake.  In addition to wasp barcode are enormously decreasing data entry time. For problematic shipping, schedules incorporate with huge amounts of inventory, via using the technology more time can be saved rather of wasting time by entering stock data manually. Barcodes also can hold a huge range of record data so using it does not just taking location. Using a barcode inventory management system acknowledge multiple users to approach a database that is updated in real-time. Users and their action can be tracked and cooperation between teams and even suppliers and customers can be improving with the easily dispersed information.  Real time database produce collaborating shipping schedules that makes delivery much easier.  The goal is to be a more efficient trader, meaning it holds less inventory on hand in its warehouses. To do so it requires suppliers who can appropriate secure shipping time limit. If suppliers can assess their data and regulate ways to secure inventory is on hand when the retail enormous desires they can swing it immediately (Trujillo, 2017).


1.3.   Problem four Evaluation plan

Over the past decade, Walmart operations have applied a lot of technology to improve stock level control and inventory management. These all technologies that are Barcoding, CPFR, EDI, enhance POS, RFID and Wasp Barcode are not totally resolved the out of stock inventory problem and empty shelves. As a supplier, it is important to use the best technology to manage inventory and ensure stable products and delivery. Out-of-stocks have been one of the major challenges for Walmart stores for a long time. Adjusting the problem will take more than some short-term approach to holding store managers responsible. New information technology mechanisms are required to help stores manage planogram principle and keep shelves stocked.


·         Arzoumanian, M., 2011. Rfid Tagging on Corrugated Boxes: The Pressure’s Off. Paperboard Packag. 96, 14–17.

·         Balocco, R., Miragliotta, G., Perego, A., Tumino, A., 2011. RFId adoption in the FMCG supply chain: an interpretative framework. Supply Chain Manag. Int. J. 16, 299–315. https://doi.org/10.1108/13598541111155820

·         Boulard, G., Greenberg, P., 2005. RFID: Promise or Peril? State Legis. Denver 31, 22–24.

·         Coe, N.M., 2007. Review of Wal-Mart World: The World’s Biggest Corporation in the Global Economy. Econ. Geogr. 83, 455–457.

·         Comm, C.L., Mathaisel, D.F.X., 2008. Sustaining higher education using Wal?Mart’s best supply chain management practices. Int. J. Sustain. High. Educ. 9, 183–189. https://doi.org/10.1108/14676370810856323

·         Greenspan, R., 2015. Walmart: Inventory Management. Panmore Inst.

·         Lu, C., n.d. Walmart’s successful supply chain management WWW Document. URL https://www.tradegecko.com/blog/incredibly-successful-supply-chain-management-walmart (accessed 1.3.18).

·         Mathews, R., 2006. Getting there. Progress. Groc. 85, 174–174.

·         Nayak, R., Singh, A., Padhye, R., Wang, L., 2015. RFID in textile and clothing manufacturing: technology and challenges. Fash. Text. 2, 9. https://doi.org/10.1186/s40691-015-0034-9

·         Our Business WWW Document, n.d. URL https://corporate.walmart.com/our-story/our-business (accessed 1.8.18).

·         Rittenhouse, L., 2017. Walmart Is Going Out Of Stock, Giving Us Terrifying Flashbacks to 2013 WWW Document. TheStreet. URL https://www.thestreet.com/story/14223273/1/walmart-may-have-a-growing-out-of-stock-problem-giving-us-terrifying-flashbacks-to-2013.html (accessed 1.6.18).

·         Rosenblum, P., n.d. Walmart’s Out Of Stock Problem: Only Half The Story? WWW Document. Forbes. URL https://www.forbes.com/sites/paularosenblum/2014/04/15/walmarts-out-of-stock-problem-only-half-the-story/ (accessed 1.8.18).

·         Trujillo, P., 2017. Inventory Management Tips For Suppliers and Vendors. Wasp Buzz.