Supply Chain Analysis of Target

Target Corporation is a retail chain departmental, discount, and hypermarket American multinational company. The retail discount store brand has established a network of approximately 1956 stores in various states across the US and Canada. Today, we’ll discuss the supply chain analysis of Target Corporation; it focuses on various SCM elements like procurement planning, inventory management, warehousing, automation, transportation, and distribution.

Supply Chain Analysis of Target

Let’s discuss the main elements of the supply chain analysis of Target Corporation as follows;


Target Corporation implements a highly proactive strategic approach when it comes to supply chain and inventory management. Efficient inventory management and planning allow the retail chain brand to ensure the availability of products and goods at its stores. However, the objective of the retail chain brand is to make its products available when customers visit its retail chain stores; they shouldn’t find sold-out items.

The retail chain brand has invested a significant amount of capital resources in the development of efficient technological tools for planning and forecasting. It helps them to timely and precisely restock the products and goods. The company has employed approximately 30000 employees and team members to efficiently manage its supply chain processes.

Flow of Inventory

Target Corporation keeps its inventory moving throughout the year depending on the demand of the customers; instead of stocking inventory to increase the warehouse and inventory carrying cost. For instance, Long Beach and LA are the large ports of the US; Target moves 50% of the containers from the ports at night. The retail chain brand plans to increase its amount by 10% and clear the ports in the next 90 days or 3 months; while making sure that its supply chain processes keep running smoothly and efficiently.


Target Corporation has made a strong commitment to reduce its impact on the environment through its supply chain efforts. The company ensures that its suppliers and vendors are ethically and sustainably sourcing the products by complying with human rights and industry standards. However, the retail chain brand collaborates with various SC partners and tracks all the processes from raw material sourcing to the production of finished goods.

Measuring Environmental Impact

Target Corporation collaborates with various NGOs, nonprofits, and sustainable suppliers and vendors to decrease the environmental impact. The joint venture and strategic alliance developed a tool called the “Higg Index” to measure the impact and standardization of processes in the SC network. In fact, Target made it necessary for the suppliers, vendors, and manufacturing partners to use the Higg Index to measure and track their processes and ensure their compliance with standardized practices.

Sourcing Material

It is to make sure that the suppliers are sourcing the material and supplies ethically and sustainably, complying with community and environmental standards. The company has set up a material tracing program for key materials like seafood, palm oil, and cotton.

  • Sustainable sourcing of cotton from authorized and verified suppliers and vendors
  • Sourcing the palm oil ethically and sustainably
  • Seafood sourcing and engaging in ethical practices and complying with the industry standards

Supply Chain Transparency

Target Corporation has made a strong commitment to transparent supply chain processes from the sourcing of raw materials to the production and manufacturing of finished goods. The transparent supply chain program focuses on the following areas;

  • Conducting supplier audits to ensure they’re engaging in the right and ethical practices
  • Compliance with human rights and industry standards
  • Organizing training programs for suppliers and vendors to improve and update their skills and expertise
  • Providing support and technological assistance to the suppliers and partners to ensure the required quality standards
  • Carefully screen, evaluate, and select various suppliers to ensure their compliance with the industry and regulatory standards and requirements


Target Corporation has been investing and improving in automation technology for the past 20 years. The retail chain brand continues to improve its automation technology and process by allocating more resources to it. However, the company strongly believes in automation technology to efficiently manage various supply chain challenges. It allows the company to efficiently load and unload the containers and ensures the safety of team members and employees.

Inventory Management

Inventory management plays a key role in the overall success and growth of supply chain operations. The company invests a significant amount of capital resources in technological tools and data processing technology to ensure the timely availability of stock, products, and goods for customers.

Conclusion: Target Supply Chain Analysis | Target Corporation Supply Chain Management

After an in-depth study of the supply chain analysis of Target Corporation; we have realized that Target is the leading retail chain and departmental store brand. If you are learning about the Target Corporation supply chain analysis; then you should keep in mind the abovementioned SCM elements; procurement, planning, transportation, automation, inventory management, and sortation.

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