Seven-Eleven Japan

Seven-Eleven Japan( SEJ) has experienced a tremendously growth between 1985 and 2009, it has increased from 2.299 to 12.753 of stores. In year 2011 SJE was the largest worlds largest retailer outlet.

From 1991 to 2002 the convenience sector was one of the few business areas, which continued to grow. The gradually grow of convenience store resulted in changes in the sector, bigger players on the market grew, and smaller players couldn't keep up with the competition and was forced to close down. The larger chains were able to provide efficient service, improve operations and better economical of scale, which allowed them to grow, and to compete against the small stores, which find it difficult to compete against the bigger chains. In year 2008 SEJ was the leading convenience store in Japan, with 34.4-percentage market share, SEJ had with its strong distribution and information system, gained competitive advantages in the convenience sector in Japan. Meindl & Chopra (2013,p.60-61)

The supply chain strategy

SEJ is known for it's successful and efficient supply chain; competitors try to copy their supply chain strategy. Other competitors have been focusing on developing their own private label brands, instead of focusing on how it is possible to have an efficient and innovative supply chain, and satisfy the customer's needs. SEJ have been focussing on the product assortment, by delivering their suppliers brands, in a close collaboration with their supplier, and offering new products to the customers. There is a mix of the base products, and there are always introduced new products for the customers, who want to try something new.

Supplier relations

Being innovative and introducing suppliers brands into the store, requires a close collaboration between SEJ and the suppliers. SEJ offers for example oven fresh bread, which requires frequently deliveries from the suppliers and to build an efficient supplier network. Matsuo & Ogawa, S. (2007, p.106-107)

In order to built a long-term relationship it's pivotal to share information, to ensure that the suppliers know when replenishment are needed, and to ensure that the supplier is delivering the right quantity and quality goods, and to ensure the right cost.

SEJ use total information system, this system is linked to the headquarter and to the suppliers, this means the headquarter, distribution centres and the supplier can see the exact data, what is sold, the quantity etc. in order to plan the product replenishment.

Distribution system

As earlier mentioned SEJ uses total information system, which enables to the track sales of items and to offer short replenishment cycle times. By using this system it allows the store managers to forecast the accurately sales on every order. I