Movements and people are on the rise to protect the environment and to ensure

Movements and people are on the rise to protect the

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Movements and people are on the rise to protect the environment and to ensure that it is kept clean and safe at all times. This has thus influenced the clothing industry and the customers at large who now prefer economic friendly packaging rather than the previous methods of packaging such as the use of polythene bags and opting for the use of paper packaging and use of recycled materials. Other retailers have already adapted to these methods and thus swaying more customers on to their sides for choosing environmental friendly methods. Another challenge that is facing Primark is the need for it to contribute retirement benefits to workers. Its large taskforce amounts to more cash with the fear that some employees may want to retire early to get access to the cash. Value chain refers to the set of activities (Piercy, 2009) that are found within the organization that help ion producing the final product and making it appealing to the customers. We look at Primark’s value chain that has made it a low-cost leader in the industry .the company’s particular activities when it comes to inbound and outbound logistics is comparable to none. Few clothing activities have achieved what Primark has achieved over the years in aspects of distribution, logistical and inventory management. Inbound logistics in Primark are the are the primary activities and processes that are concerned with the receiving of raw materials, storing and distributing them over time. As a value retailer, Primark ensures that their products reach their customers at the lowest possible cost. Primark doesn’t involve itself with the actual manufacturing of
4 clothes and thus give contracts to companies that work in live with their objectives and their aspirations. Primark has over a thousand independent contract manufacturers that are distributed evenly among twenty-four countries in the world thus having the advantage to select their manufactures suiting their current demands and prices in the market. This sourcing strategy ensures that only suppliers who can comply with the ethical and sustainability standards are left in the procurement of services. According to the management doing little things such as asking the manufacturers pack the products such that the products are directly ready to go into the shelf. Having no many operations such as manufacturing in the entity the major operations that the company tries to handle may include inventory management and back office management and thus ensuring that the inventory is kept well and no leaks possible in the entity. Outbound logistics in the retail business include activities that are primarily concerned with delivering of the company’s products to the consumer .the activities include storage, warehousing, distribution and transportation. Primark has deployed several warehouse distribution centres' to ensure that customers find a fully stocked outlet.

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