What is a distribution center? Prepared by Mark Farrington

Distribution Centers Trucking zones for Commercial Distribution Center Inc. -

Distribution Centers Size: 880,000 feet 2 Employs: 600 people Cost: $40 million Wal-mart distribution center in Yakima, WA -

Distribution Centers Target distribution center -

Distribution Centers Wal-mart 1998 – 40 distribution centers across US 85% of goods available in stores passed through a distribution center Distribution centers serviced by 3500 company- owned trucks –Trucks replenish goods twice a week –P Mohan Chandran. Walmart’s supply chain management practices. ICMR case collection.

Distribution Centers Wal-mart Trucks arrive throughout day at a store, wait until night, and unload at 2 hour intervals (ex. 1am, 3am, 5am for 3 trucks) Stores receive goods within 48 hours of ordering –P Mohan Chandran. Walmart’s supply chain management practices. ICMR case collection.

Distribution Centers Walmart 1,000,000 square feet –(about 10 Wal-mart retail stores) ~250 dock doors Can serve Wal-mart stores over multiple states Operate 24/7 –

References P Mohan Chandran. Walmart’s supply chain management practices. ICMR case collection