Safeways product purchasing.

Essay by backstrokerUniversity, Master'sA+, April 2003

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In this preliminary section of "The Dreaded Team Project" our team will name, describe, and give general information about the company we have chosen as well as the industry in which it operates. We will describe in detail its history, scope and vision, technology in the supply chain, Tempe distribution center, and financial analysis.

For the purposes of this assignment, Team "X" has chosen to research a process at Safeway. In particular, a process in the perishables warehouse at the Tempe distribution center. The process that our team has elected to focus on (which will be addressed in depth in subsequent sections of this team project) is inadequacies and inefficiencies in the purchasing process as they relate to specific products in the perishables warehouse.

Though certainly some of this information has been gleaned from research performed on the internet as well as some performed in more traditional manners, the bulk of this information has been gathered from primary research.

Meetings with managers at the Safeway Tempe distribution center as well as first-hand knowledge and experience offered by one of our teammates (who is an employee of Safeway in the perishables warehouse) are key to the information gathered and presented in the following pages.

History of Safeway Stores

Safeway Stores was born in Los Angeles just before World War I, as the Sam Seelig Company. Four stores were operating in 1914, and over 600 were open by 1926. The Safeway we know today was created with the 1926 merger of Marion Skaggs' 673 Skaggs' Cash Stores and the Los Angeles based Safeway stores of Sam Seelig Co. Mostly through acquisitions, the chain spread like wildfire across America. Chains acquired included MacMarr, Sanitary, Burd, and the west coast Piggly Wiggly stores. Safeway operated 2340 stores nationwide as the 1920s ended. In...