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Management article
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Reference no. P0601A
Published by: Harvard Business Publishing
Published in: "Supply Chain Strategy", 2006

Abstract

Consumer giant Best Buy had a problem - its supply chain model was no longer meeting customer needs. So the organization undertook the task of reimagining the retail concept, replacing its high-volume, one-size-fits-all system with one that emphasizes agility, responsiveness, and accuracy, pinpointing smaller, sales floor-ready deliveries to meet the changing desires of specific customer segments. Read this article to learn how moving to a customer-centric supply chain, far from undermining the economies of scale at the heart of the big-box model, drove up Best Buy''s profits.

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Abstract

Consumer giant Best Buy had a problem - its supply chain model was no longer meeting customer needs. So the organization undertook the task of reimagining the retail concept, replacing its high-volume, one-size-fits-all system with one that emphasizes agility, responsiveness, and accuracy, pinpointing smaller, sales floor-ready deliveries to meet the changing desires of specific customer segments. Read this article to learn how moving to a customer-centric supply chain, far from undermining the economies of scale at the heart of the big-box model, drove up Best Buy''s profits.

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