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How do Amazon
How do Amazon.com's logistics and supply chain management activities help the company create value for its customers? What systems did Amazon develop to improve the flow of products from suppliers to Amazon distribution centers? What systems improved the flow of orders from the distribution centers to customers?
Expert Solution
Amazon.com's logistics and supply chain management activities help the company create value for its customers by offering satisfactory products and services to them. It offers wide range of the product to its consumers through its online websites. It focuses on providing cost effective and high quality products to its customers. These strategies help Amazon in creating value for its consumers.
The system that Amazon has developed to improve the flow of products from supplier to distribution center is that it stocks all its products from the supplier in large warehouses. To ensure timely delivery to its consumers, Amazon is maintaining seven distribution channels and maintaining big warehouses.
System that improved the flow of orders from distribution centers to customers is the use of telecommunication. This system has allowed the flow of information back and forth. Software used by Amazon helps it to maintain records of the orders made by consumers and ensure that all the orders are delivered on their respective dates. It is transported with the help of trucks and postal hubs to deliver the right product to right customer at right time.
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