Essay Accenture

1624 Words Mar 10th, 2012 7 Pages
Staples Transforms Supply Chain Process to Maintain High Performance
Client Background
When the computer crashes as an entrepreneur is preparing for a crucial client meeting or the printer runs out of ink, business owners—big and small—know that they can count on Staples to head off a crisis, and keep their offices running smoothly. Staples invented the office supply superstore—and it was an entrepreneur who came up with the concept. In 1985, Tom Stemberg, a supermarket chain executive turned entrepreneur, struck upon the idea when his typewriter ribbon broke as he was preparing a business plan and he was unable to find a store that stocked the ribbon. That was when he realized that the business plan he should be pitching was for a
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As the market matured, resulting in strong competition, low prices, and little market differentiation, Staples recognized that it had to find new ways to drive sustainable growth and profitability. A key part of the answer, it concluded, was improving its supply chain. Staples' goal was to widen its lead over competitors and in all key industry metrics by improving supply chain execution, decreasing costs while increasing productivity and reliability—and ensuring that customers could always find products they wanted on store shelves. Ron Sargent, CEO, who succeeded founder Tom Stemberg, knew that to fully develop and execute its supply chain business strategy, Staples required the help of a third party—seasoned professionals who could deliver a state-of-the-art supply chain that could serve as a platform for future growth and profitability.

Working side-by-side with Staples' business professionals, Accenture helped define a broad-based strategy that extended beyond the supply chain. A high-level analysis by Accenture pinpointed the drivers of inventory inefficiencies and ways to create a competitive advantage through supply chain improvements. But the analysis also found other opportunities for higher performance in marketing, merchandising, and store operations. Accenture's analysis demonstrated how predictable demand lends itself to a smooth and efficient supply chain. With a strategic blueprint in hand, Accenture then collaborated with Staples on redesigning a

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