Zara - Zara Professor Warren Hausman Stanford University...

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Unformatted text preview: Zara * Professor Warren Hausman Stanford University * Grateful acknowledgements to Nelson Fraimanand MediniSingh of Columbia Business School, Michael Pichand Ludo Van DerHeydenof INSEAD and PanosKouvelisof the Olin School, Washington University, St. Louis, MO for their contributions to teaching materials. Rev. 5/08 ©Warren H. Hausman Functional vs. Innovative Products • Toothpaste • Lawnmower • Printer paper • Fashion Clothing • New movie • MP3 player ©Warren H. Hausman Efficient vs. Responsive Supply Chains Costs Higher Flexibility Higher Changeovers/setups Faster NPI (New Product Introduction) Faster Efficient Responsive ©Warren H. Hausman Aligning Strategies S u p p l y C h a in Efficient Product Responsive Functional Innovative ©Warren H. Hausman Active Learning -2 minutes •What is Zara’sValue Proposition? (Value Proposition = Why people buy from us) ©Warren H. Hausman Zara’sPrice, Quality & Fashion Freshness Price Quality Fashion Freshness Low High High High ©Warren H. Hausman Traditional Supply Chain Analysis of past collection Trend understan- ding Definition of cloth specs Production planning Negotiation Purchase order Purchase order Technical support Fabric supply Trim & cutting Assembly Inspection Inspection Allocation Trucking Shops Set-up Repleni- shment Sales Trucking Shops Customer service Eventual markdowns Sales Washing Ironing Plying...
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This note was uploaded on 06/16/2010 for the course MS&E 262 taught by Professor Warrenhausman during the Spring '08 term at Stanford.

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Zara - Zara Professor Warren Hausman Stanford University...

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