Super U Supply Chain Management

Which activities are managed is significant for a company's success. Moreover, the supply chain management is crucial within a firm's processes since it incorporates activities in which intermediate goods and final products are given to consumers through a distribution system. It is important to analyse it and take into consideration that this subject matter has a great impact within business procedures.

The main objective of our project is to study System U North West's supply chain management. This analysis could be made because of an interview with the Product Manager, Mr. Ledu. Also, it is intended to use the concepts and knowledge learned in Operations Management and apply them into real life. It is significant to note that we decided to choose this company since it is a major one in France. Moreover, its market chain (Marché U, Super U and Hyper U) is well recognized within the major French cities. The importance of our research will permit the reader to understand different elements that are crucial part of the supply chain of this business. In addition to this, the project is going to be divided in the following sections: general information, purchasing, logistic process, information system, barriers and conclusion.

GENERAL INFORMATION

System U is a purchasing center for the market chain (Hyper U, Super U, Marché U). The firm is an intermediary between suppliers and stores. Also, the company has an annual turnover of 13.79 billion of € what is equivalent to 8% of market shares. It has to provide all products that are sold in more than 800 stores. Furthermore, the main objective of System U is to satisfy their consumers through price and high quality service-products. Moreover, this firm is composed by 4 regional purchasing centres: Système U Ouest, Système U Sud, Sytème U Est and Système U Nord Ouest.

System U North West is the youngest of the 4 purchasing centers. It has to provide 120 stores in 19 departments. Also, it represents 1.1 billion € meaning that it has around 9% of the total turnover of the firm. In spite of its weak turnover, this purchasing center is the more dynamic with an annual increase of 10% since 2000.

SYSTEM U NORTH WEST

PURCHASING

Choice of suppliers

Salesmen are in charge of choosing the suppliers. However, since System U is a famous and recognized brand, most of the suppliers get in touch with the sales department because they want to offer it their products.