1. Supply Chain Management BUSI 3322- Section 201
7 - Eleven
Alanood AlMubarak
Maha AlSaif
Norah AlMesned
Horiya alsayed
Razan AlSubaie

2. Outline Introduction and background about 7-eleven Discuss: Conclusion
What factors influence decisions of opening and closing stores? Location of stores?
Why has 7-Eleven chosen off-site preparation of fresh food?
Why does 7-Eleven discourage direct store delivery from vendors?
Where are distribution centers located and how many stores does each center serve? How are stores assigned to distribution centers?
Why does 7-Eleven combine fresh food shipments by temperature?
What point of sale data does 7-Eleven gather and what information is made available to store managers? How should information systems be structured?
Conclusion

3. Background about 7-Eleven
7-Eleven was founded by J. C. Thompson in 1927 as The Southland Ice Company in Dallas, Texas
The company's corporate name was changed from The Southland Corporation to 7-Eleven, Inc. in 1999.
7-Eleven, is the world's largest operator, franchisor and licensor of convenience stores, with more than 46,000 outlets in 16 countries

4. 1. What factors influence decisions of opening and closing stores
1.What factors influence decisions of opening and closing stores? Location of stores?
The decision of opening or closing stores mainly depends on the market environment:
The competition between 7-eleven and similar convenience stores, and the number of competitors in the region.
The economic level and the population’s income.
The changes in the population’s demand.
Transportation conditions and costs.

5. 2.Why has 7-Eleven chosen off-site preparation of fresh food?
To gain economic of scale.
For health safety reasons.
The space and the capacity of the stores of 7-eleven.
7-Eleven has a very efficient distribution system.

6. 3.Why does 7-Eleven discourage direct store delivery from vendors?
Different stores may had different order sizes, 7-eleven use inventory-pooling and combine all the orders together.
By combining all the products from all the vendors, the fixed labor and transportation cost can be shared among all the different products.
Offer short replenishment cycle time for quick response.
7-Eleven chooses a cross-docking distribution mode.

7. 4.Where are distribution centers located and how many stores does each center serve? How are stores assigned to distribution centers?
The company uses Combined Distribution Centers.
Each distribution center should be located near a bakery, and commissary that produces fresh items.
7-Eleven has 24 distribution centers in the United States and Canada.
Each distribution center serves 200 stores approximately.
Stores are assigned to the centers depending on the location.

8. 5.Why does 7-Eleven combine fresh food shipments by temperature?
The Company established the Combined Delivery System:
same kind of products coming from different suppliers can be centralized into 223 CDCs.
allows products from different suppliers to be loaded on the same trucks for delivery to 7-Eleven stores.
Combined distribution consolidates product shipment from manufacturers to stores at similar optimum temperatures.

9. 6.What point of sale data does 7-Eleven gather and what information is made available to store managers? How should information systems be structured?
7-Eleven maintain a face-to-face relationship to gather the data needed to define customers' preferences, and that is done by analyzing the purchases made by the customers.
In relation to the push/pull theory.

10. 6.What point of sale data does 7-Eleven gather and what information is made available to store managers? How should information systems be structured?
The information that is made available to store managers is mainly the information needed to define the level of quality and the information that can assist them in maintaining high quality, since it is the main 7-Eleven goal.
Information systems are usually structured in a Retail Information System (RIS) which contains all the others systems like quality control, point of sale systems, human resources, technology systems and several others.

11. Conclusion
We have learned the decision of opening or closing stores mainly depends on the market environment
we identifies the reasons why 7-Eleven chosen off-site preparation of fresh food
we know why does 7-Eleven discourage direct store
Where are the store center are located and what each center provide
we know the combination between the fresh food shipment and temperature
The point of scale that 7-eleven have

12. Any Questions …

13. .. Thank you for Listening ..

14. References
Information systems and value chain of 7-eleven mart. (2011, june 10). Retrieved from

15. Supply Chain Management BUSI 3322- Section 201
7 - Eleven
Alanood AlMubarak Slide 7
Maha AlSaif Slide 5,6
Norah AlMesned Slide 9,10
Horiya alsayed Slide 8,11
Razan AlSubaie Slide 2,3,4