Introduction
Amazon is one of the companies which managed to successfully develop its supply chain for achieving sustainable growth by addressing specific components. They include an adequate organization of sales and other accompanying operations, effective global sourcing and procurement, and e-commerce strategies. In a way, the business can be considered a positive role model for other entities in the online market. Meanwhile, the emerging trends applied to this field, such as conscious capitalism and Christian principles included in corporate activity, might have modified the progression of Amazon’s success. Therefore, it is critical to thoroughly examine the specified areas related to the company’s integration of the supply chain and reflect on how these processes could differ under the influence of these tendencies.
Sales and Operations Management
The first aspect explaining the efficiency of functioning of the current supply chain is the organization of sales and planning of regular operations of Amazon. It was formed under the influence of the market needs of the time, such as satisfying the changing demands of customers (LeBlanc, 2020). In this respect, the most beneficial solutions were diversification of offers and services, including the development of Amazon Prime alongside other types of delivery and classifying products for the convenience of potential buyers (LeBlanc, 2020). This impact was complemented by the subsequent initiatives on readjusting the work of any of the above elements in the case of changes in the market (“Supply chain management,” n.d.). Overall, sales and planning during integration improve the company’s image through the provision of appropriate goods.
Thus, medium- and long-term forecasts inform the operation management department about market trends requiring readjusting efforts. Amazon’s competitiveness is also boosted by insourcing logistics for greater independence, improving transportation through using companies’ vehicles and locating warehouses in accessible places for fast delivery (LeBlanc, 2020). In this way, the advantages of these areas ensuring the profitability of Amazon, in the long run, are related to the preferences of its own tangible assets instead of relying on other organizations.
Global Sourcing and Procurement
Amazon’s initiatives concerning the effectiveness of the supply chain were also elaborated with regard to global sourcing and procurement, which contributed to its success. Hence, the latter aspect was designed by adopting an individualized approach to customer needs, which were adequately addressed through the digitalization of interactions. It contained online buying assistants, intuitive catalogs, and chatbots assisting people at all stages of purchasing products from the platform (Erbé, 2018). As for sourcing, artificial intelligence programs incorporated on the website perform this task by analyzing its functioning and feedback of users and eliminating emerging problems, thereby making Amazon attractive to citizens (Erbé, 2018). In the process, the attempts to outsource logistics and other functions led to short-term savings, whereas the drawbacks included dependency on others and the lack of flexibility in operations (LeBlanc, 2020). Thus, the focus on their resources and developments happened to be beneficial for avoiding risks.
Effective E-Commerce Strategies for Growth
In addition, Amazon managed to successfully leverage e-commerce strategies by adopting a complex approach to supply chain integration. Therefore, the sales and further growth of the organization in terms of the participants in its activity contained optimization of products as per demand, improving their descriptions, and aligning advertisements with market research findings (Broda, 2021). Also, the emphasis on data analysis at all levels and building a community for buyers was especially beneficial for positive outcomes (Ugino, 2019). Their effectiveness was conditional upon the attention to customer needs in the first place, which determined the population’s willingness to cooperate.
Role Model for Supply Chain Integration
Considering the above factors, Amazon can be viewed as a company setting an example for other businesses in the field of e-commerce. This stance is based on the fact that none of the examined areas were reported to have significant flaws preventing sustainable growth and profitability of regular operations (Union, 2019). In this situation, using their model for integrating a supply chain seems advantageous for the organizations because they can primarily focus on the methods of emphasizing the needs of people.
Conscious Capitalism and a Christian Worldview
If Amazon’s supply chain integration developed under the influence of conscious capitalism or a Christian worldview, the analyzed processes could be slightly different. Thus, the former approach’s ethical considerations could have helped avoid temporary financial losses stemming from the decision to outsource some operations, including transportation (Clarke, 2020). As for the spiritual components, they could have instilled a deeper meaning in the available resources and placed a more significant emphasis on relationships with customers from the start (O’Brien, 2019). As a result, the decisions of Amazon’s managers will be more accurate in terms of corresponding to the environment and the needs of potential buyers while supporting the entities of the supply chain.
Conclusion
To summarize, the successes of Amazon in managing its activity were conditional upon the progression of its cooperation with different entities. From this point of view, the established patterns of sales and operations, global sourcing and procurement highlighting the significance of independence, and e-commerce strategies based on the company’s resources allowed it to remain competitive. This conclusion implies that the business can be perceived as an appropriate role model for other participants in the market. Even though the application of a Christian worldview and conscious capitalism to its supply chain integration could have accelerated its development, the results were, nevertheless, quite optimistic.
References
Broda, J. (2021). The best Amazon marketing strategy to get ahead in your ecommerce business. Seller Interactive.
Clarke, L. (2020). Transforming an industry through conscious business practices. Conscious Capitalism.
Erbé, D. (2018). The unstoppable ‘Amazonification’ of sourcing and procurement. Future of Sourcing.
LeBlanc, R. (2020). How Amazon is changing supply chain management. The Balance Small Business.
O’Brien, R. (2019). Value chain analysis through a spiritual lens: Introduction. Business As Mission.
Supply chain management. (n.d.). AWS.
Ugino, M. (2019). 6 ecommerce lessons for why Amazon is so successful. Sellbrite.