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Casey owns and operates an independent discount fuel and convenience store - HSC - SSCE Business Studies - Question 23 - 2013 - Paper 1
Question 23
Casey owns and operates an independent discount fuel and convenience store. (a) Outline ONE way that e-commerce could assist Casey with supply chain management. (b... show full transcript
Worked Solution & Example Answer:Casey owns and operates an independent discount fuel and convenience store - HSC - SSCE Business Studies - Question 23 - 2013 - Paper 1
Step 1
Outline ONE way that e-commerce could assist Casey with supply chain management.
Answer
One effective way e-commerce could assist Casey with supply chain management is through electronic ordering. By utilizing an online platform for purchase orders, Casey can streamline the process of stock replenishment. This method allows for faster order processing and reduces lead times, enabling Casey to maintain appropriate inventory levels and avoid stockouts.
Step 2
Explain ONE performance objective that is relevant to the operations function of the business.
Answer
A crucial performance objective for Casey's operations is dependability. This means ensuring that customers can rely on the store to have the products they need when they visit. By maintaining a consistent inventory and offering high-quality goods, Casey can enhance customer satisfaction and loyalty. Dependability not only retains current customers but also attracts new ones, thereby strengthening the business's overall performance.
Step 3
Is supply chain management important to Casey’s business? Justify your answer.
Answer
Yes, supply chain management is vital for Casey’s business as it directly impacts profitability and customer satisfaction. Efficient supply chain management helps manage stock levels effectively, ensuring that Casey doesn't run out of popular items, which could lead to lost sales. Additionally, by optimizing supplier relationships and logistics, Casey can minimize costs. This efficiency not only maximizes profits but also enhances the ability to meet customer demands promptly. Ultimately, effective supply chain management is crucial for sustaining business growth and competitiveness.