Zara supply chain.docx - Running head ZARA SUPPLY CHAIN 1...

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Running head: ZARA SUPPLY CHAIN 1 Zara Supply Chain Student Name Institutional Affiliation
ZARA SUPPLY CHAIN 2 Introduction Zara organization was founded in 1974 by Ortega with the primary objective of integrating the global markets for fashion merchandise. The original store of this company was based in Spain; however, it has currently opened multiple branches in more than 96 countries across the globe (Zhang et al, 2017). Zara Company normally makes change in its designs biweekly on average in all its branches, while its competitors can only afford to make changes in their plans only once a month. Zara Company has been deduced to carry more than 11000 district items annually in its multiple stores across the globe as compared to its competitors that generally carry less than 2000 items in their rare stores. More so, Zara Company is highly responsive in its supply chain, and this is the pivot of its success in business. The company is facilitated expertly with the automated distribution center, which is called cube; the cube symbolizes the more comprehensive achievements which have been attained by this company. The core market of this company is women aged between 24 to 35 years (Zhang et al, 2017). These customers usually reach the market by locating Zara stores. The company makes short production that gives a sense of urgency along with the reason to buy as the supplies last. Ideally, the company does not need to do big markdowns on its clothing line; neither does it require excess inventory. Therefore, this essay aims at evaluating the Zara supply chain and how it achieves its responsiveness. Review of the Zara Supply Chain The Zara’s organization supply chain strategy mainly involves adopting the couture designs, manufacturing of items along with distributing items to various stores after two or three weeks. In this case, the store managers and the sales’ representatives of the company closely monitor the trends as well as the customer preferences and give the report to headquarter of this company (De Carlo et al., 2016). This enables designers to manufacture their customer's needs. The critical operational theme of this company is agility, mode of
ZARA SUPPLY CHAIN 3 product development, product manufacturing, and the process of the supply chain. Ideally, the company manufactures and designs the most products that the clients buy in their stores. This is different from the traditional huge capacity of fast fashion companies, which mainly outsourced most of the manufacturing to the hired manufacturers. Most of the manufacturing activities in this company are primarily pivoted around the primary manufacturing facilities, which are based in Spain, along with their supplies set up close to their main store.

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