Critically analyse the logistical changes that Morrisons would have to Essay

Critically analyse the logistical changes that Morrisons would have to make if it was to address one of the three suggested caus - seek ExampleThe company has a vertical supply chain consisting of manufacturing units, packaging and processing units, procurement units and dissemination centers. All these units atomic number 18 integrated and managed by latest technological devices. The major areas where Morrison operates are Netherlands and UK. Headquarter of the company is determined at Bradford, UK. Tesco, Asda and Sainsbury are the major competitors of Morrison. Traditional supermarkets have been a major destination for grocery shopping. However, because of the austere economic scenario, the competition in the UK grocery market has become intense and tough (Hackney, 2006). Hence the companies involve more effective and sustainable tools to compete in this environment. Considering the present crisis which Morrisions is facing, excellently managed strategic operations and dive rsifications in the new market are needed by the company to retain its profitability and grow in the market. Morrisions current operations consist of supermarket chains and convenience stores, dominated by supermarkets. The brands current distribution centre follows a vertical integration approach. The logistics and supply chain is privately monitored by the company. The major advantage of this model is that there are no middlemen in the distribution system and customers are provided with value for money products and fresh fruits at lower prices. This also helps in quicker response to changing customer trends. The major rationale behind choosing this model is operating in ownership. Morrisions is a family owned worry and the company promoters expect an ownership in majority of operations executed in the Company. The brand claims greet leadership and reasonable turnaround from the current business operations. The company is involved in both output signal and selling of sustenan ce products. The supermarket chain has collaborated with Scottish Agriculture College to carry out research in the airfield of agriculture and farming. The company is engaged in two forms of production just in time which includes preparing food products like sandwiches, burger or salads inside the store and readymade and fresh food products which are supplied on a fooling basis. According to the recent report from Telegraph, 2013, the sale of Morrisions dropped continuously for six weeks till December 2012. This loss of gross revenue was more than the loss accrued by its major competitors. The possible cause resulting in this loss was judge to be small number of convenient stores and no online presence. The supermarket is not into online food selling despite its biggest competitors, Tesco first appearance its online website in the year 2000. The company has only 12 convenience stores in the country. Apart from this, the majority of Morrisions supermarkets are positioned outside the affluent areas of London. Most of the revenue generated from the supermarket stores is from those areas which are less popular and sparsely inhabited. This shows a go along lack in the placement of strategies in the UK market. The companys revenue from the affluent parts of UK such(prenominal) as London is only 6 percent, compared to 12 percent from the rest of the UK. A data from the British Retail Consortium throws some light on the significant changes in the operations of the food retail industry. There has been a significant rise in