The Walt Disney Company has theme parks, movies, and retails stores selling thousands of different items. SCM plays a massive role in Disney’s success in delivering services and products to its customers. Consider the raw materials that they use to build the theme parks and the perishable raw materials that they supply from farmers to prepare food and serve visitors. Taking thousands of different items sold in their retail stores into account, the Walt Disney Company must have an effectively managed supply chain system comprised of many entities, including raw material suppliers and manufacturers.
Elaborate on various sustainability practices that the Walt Disney Company utilizes/should utilize to ensure responsible and ethical supply chain management. For example, consider Disney’s sourcing strategies, supplier selection strategies, and labor practices in your discussion.
Define what e-procurement is and elaborate on its advantages and disadvantages from Disney’s perspective
Define major supply chain risk types from the Disney point of view (e.g., consider the disasters, pandemics, and how they pose risks to Disney’s supply chain). Then, elaborate on supply chain risk mitigation strategies that Disney can use.
Sustainability Practices: The Walt Disney Company (WDC) has made strides to be a more sustainable business by utilizing various sustainability practices in its supply chain. These include reducing its paper waste, minimizing energy usage, and shifting to socially responsible suppliers with fair labor practices.
WDC’s sourcing strategies focus on partnering with eco-friendly suppliers who are committed to sustainable manufacturing processes and use renewable resources whenever possible. They have also implemented a supplier evaluation process that assesses their Global Social Compliance Program (GSCP) standards for human rights, environmental protection, and other social aspects of the production process. In addition, they have emphasized a strict code of conduct for all suppliers that requires them to adhere to local laws and encourage ethical behavior among employees. Furthermore, they are committed to Fair Labor Association (FLA) compliance guidelines which ensure that workers involved in the production of Disney merchandise receive safe working conditions with competitive wages.
E-Procurement: E-procurement is an electronic procurement system used by companies like WDC which allows them to purchase goods or services at a lower cost while still maintaining quality standards through digital automation technology such as e-commerce websites, online bidding platforms, or cloud systems like software as a service (SaaS). E-procurement streamlines the purchasing process by allowing buyers to quickly source items from multiple vendors at once in order to compare prices and select the best value options available—ultimately helping them save time and money while increasing efficiency within their supply chain operations. Advantages of e-procurement from Disney’s perspective include streamlined purchasing processes with faster payment cycles; improved management capabilities over spending; increased visibility into global supply chains; access to better data for analysis; easier integration between different departments throughout the organization; reduced errors associated with manual data entry; increased collaboration between buyers and sellers through customizable contracts; capability for direct communication between stakeholders including real time updates regarding product availability or pricing changes due too external factors such as market fluctuations or currency exchange rates etc.;and lastly lower costs associated with long term agreements involving bulk orders over shorter terms agreements requiring additional administrative fees . Disadvantages may arise if there is not proper implementation of risk mitigation strategies before adopting an e-procurement system such as weak security measures resulting in vulnerable cyber threats affecting both buyers and suppliers alike ; lack of compatibility across different technologies making it difficult for businesses relying on legacy systems ; improper customization leading towards inefficient user experience when attempting develop customized solutions based on specific client needs etc..
Supply Chain Risk Management: When considering major types of risks faced by WDC when managing its supply chain operations one can look at natural disasters , pandemics , political instability etc .. As far as mitigating these risks , one strategy could be diversifying sources of materials — employing alternative vendors outside disaster prone locations where goods are sourced thus eliminating concentration risk . Additionally introducing just -in -time delivery network so that any disruptions related inventory can be immediately identified & addressed without hampering overall timelines set forth by clients etc … Another area where WDC can focus is finding ways adopt green energy sources like solar energy , wind turbines providing alternative power sources during times disruption due extreme weather patterns . Lastly investing heavily employee training programs around safety protocols & emergency response plans will mitigate workplace risks taking preemptive action if needed .