Target Corporation is a retail chain hypermarket and discount departmental store company. The retail chain store company started its business in 1902; it has established a network of over 1956 stores and location points across the US and Canada. Today, we’ll discuss the value chain analysis of Target supply chain analysis; primary and supporting activities in the process of value chain analysis Example Company. They are inbound and outbound logistics, operations, marketing, and customer service; infrastructure, HRM, technology, and procurement as an application of the value chain analysis process.
Brands Associated with Target
- Hearth & Hand with Magnolia
- Gigglescape
- Favorite Day
- Deal Worthy
- Cat & Jack
- Brightroom
- Auden
Suppliers Sourcing Countries and Regions of Target
- Central America
- South Asia
- Southeast Asia
- Taiwan
- Hong Kong
- China
The Value chain analysis of Target supply chain analysis would analyze the primary and supporting activities in the process of value chain analysis. They’re inbound and outbound logistics, operations, marketing, and services; infrastructure, HRM, technology, and procurement. Here’s supply chain analysis of Target value chain analysis company example as follows;
Value Chain Analysis of Target
Let’s discuss the primary and supporting activities involved in the process of value chain analysis of Target supply chain analysis. It is an application of value chain analysis based on Porter’s model; some of the key elements and components of value chain analysis are as follows;
Primary Activities of Target
The primary activities are directly involved in the production of products and goods and adding value to the retail chain departmental store company. Some of the five main primary activities in the value chain analysis of Target supply chain analysis are as follows;
Inbound Logistics of Target
I-Suppliers Network
Target has established a very large supplier network. According to an estimate, the retail chain store company sources raw supplies and materials from 21 countries worldwide. The company has established very good professional relationships with suppliers and vendors based on mutual respect and care. It allows the company to ensure the smooth supply of raw materials, supplies, and components.
II-Suppliers Diversity
Target collaborates and partners with a diverse range of suppliers, designers, contractors, and vendor companies. The brand collaborates with diverse suppliers to promote small businesses by giving them access to training, expertise, and resources. However, in the supplier’s diversity program the company collaborates with the following parties;
- People with disabilities
- Veterans
- LGBTQs
- Indigenous people
- Black
- Empowering women
III-Responsible Supply Chain
Target is highly careful and cautious about ethical and responsible supply chains. The responsible supply chain program of the company comprises of following elements;
- Regular auditing
- Ethical procurement practices
- Transparency ad traceability
- Animal welfare
- Compliance with human rights standards
Outbound Logistics of Target
I-Transportation & Distribution
Target collaborates and partners up with various transporters and 3rd party logistics service providers for the distribution and delivery of products and goods. They move raw materials and supplies from the sourcing suppliers to the production and manufacturing factories, warehouses, distribution centers, retail chain stores, and then to the end consumers.
Operations of Target
I-Production & Manufacturing Factories
Target is transparent about the company’s owned factories and the network of outsourcing factories in various countries across the world. According to an estimate, the retail chain brand collaborates with approximately 5000 factories in various countries across the world. The worldwide network of factories helps the company to keep up with the changing fashion trends and ensure the smooth availability of finished products for retail.
II-Distribution Centers
Target has a very large network of distribution centers and warehouses in various countries across the globe. The company has precisely allocated its position to the specific locations in proximity to the retail chain stores. It allows the company to decrease the delivery cost and save time and resources.
Marketing & Sales of Target
I-Marketing & Advertisement
Target runs various types of marketing and advertisement campaigns for the promotion of its products services and brands. The retail chain brand is highly proactive in sponsoring various award shows, sporting events, motor racing tournaments, and other events. The sponsorship of mega events would give significant brand exposure to the company.
II-Retail Chain Stores
Target has a network of approximately 1956 retail chain stores across the US and Canada. It allows the company to directly sell its apparel, clothes, and other items directly to the customers.
Services of Target
Target offers a wide range of services to the customers and the additional service portfolio helps the company to offer a seamless experience to the customers. They’re as follows;
- Online shopping
- Same day delivery
- Order pick at the store
- Easy user experience
Supporting Activities of Target
Supporting activities are indirectly involved in the production of products and goods and adding value to the retail chain hypermarket company. Some of the main supporting activities in the value chain analysis of Target supply chain analysis are as follows;
Infrastructure of Target
Target has established a very large infrastructure of production and manufacturing factories, suppliers network, distribution centers, warehouses, retail chain stores, and suppliers network. The well-organized infrastructure helps the company to smoothly perform its various operations and timely deliver the finished goods to the end consumers.
HRM of Target
Target has employed approximately 415000 employees to manage its global operations. The human resource management department of the company plays a key role in building a large database of employees, diversity programs, conducting training programs for employees and suppliers to improve their skills, and offering equal employment opportunities to all regardless of any differences.
Technological Development of Target
Target invests a significant amount of capital resources in technological development. It allows the company to offer online shopping, develop an e-commerce platform, automation technology, and advance tools and equipment. As a result, the company achieves efficiency in its operations and timely delivers the finished goods to the end consumers.
Procurement of Target
Target is highly careful and cautious about ethical sourcing and procurement of raw materials and finished goods from suppliers and manufacturers. The company has set up a strict code of conduct for suppliers to ensure their compliance with human rights standards and regulations.
Conclusion: Target Value Chain Analysis Example Company | Application of Value Chain Analysis Process |Process of Value Chain Analysis
After an in-depth study of the value chain analysis of Target; we have realized that Target is the world’s leading retail chain brand. If you are learning about the Target value chain analysis example company; then you should keep in mind the above-mentioned primary and supporting activities. They’re inbound and outbound logistics; operations, marketing and sales, and services; infrastructure, procurement, HRM, and technological development as an application of the value chain analysis proces
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