Operation Strategy
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Operations Model
Stock it yourself model
In this we are maintaining our integrated warehouses that are able to handle shipments to web
customers, so by keeping the warehouses we are fulfilling the orders. Through this we have full
control over the fulfillment process. As we are starting a new business, so we have kept limited
number of warehouses in limited cities and in limited areas.
Outsourcing warehouse model:
In this we are using logistics specialists Federal Express (FedEx) which do the work of
stockpiling and shipping web orders. So once an order comes into our site it is automatically
transmitted to its warehouse and directly shipped to the customer through FedEx.
We also have fulfillment intermediaries that will take care of all back office operations such
that they process orders, direct orders to suppliers, keep updating customers on their order
progress and handling product returns and cancellations.
We included some of them:
Firefly
(customer profiles) as Seller agents
They will make markets more accessible to providers
They are payment enablers which handle purchase transactions and their related
funds transfers, as well as risk management.
Our demand chain is as follows according to two approaches:
