Understanding Amazon Supply Chain Process

The retail industry has undergone transformation and e-commerce giants like Amazon have contributed to the change. One of the largest companies in the world, Amazon has made a mark for itself in the industry. Consumers are no longer willing to wait in a queue at a physical store. They place an order for the product and have it delivered to their doorstep in no time. Amazon supply chain process has made it possible for Amazon to achieve high customer satisfaction and to reach out to consumers all across the globe. Amazon has tied up with third parties for quick and timely delivery of their products. They have warehouses across different cities in the country.

The moment you place an order, the product is picked up from the warehouse and is handed over to the third party for delivery. Amazon’s supply chain management system has the lowest fulfillment time. They have real time data of the movement of the product and are aware of how soon the product will reach you. Amazon has made a shift in the way they communicate inventory demand to the vendors. Demand is based on sales history, product views and projected demand for planned promotions but they have a probability forecast of 70%, 80% or 90% and they stock products in the warehouse accordingly.

Amazon has also cracked the code of returns and pick up. They have the minimum pickup time and immediately issue a refund to the customer’s account. Amazon global supply chain management ensures that the product moves at the right pace and in the right direction at all times. Consumers vouch by the quick services of Amazon and it has helped the giant achieve high customer satisfaction.

Advatix is a supply chain expert that offers customized solutions as per your needs. The professionals have many years of experience in the industry and they keep the client at the forefront when building a supply chain. Advatix offers cost effective supply chain solutions for all businesses.