 Crystal Horton  Joyce Williams  Antoinette Brown  Marin Kovacecic.

Documents

eustacia-pearson
System is processing data
Please download to view
1
Description
Text
Dollar Tree Crystal Horton Joyce Williams Antoinette Brown Marin Kovacecic Table of Contents General Information Mission Statement History of Dollar Tree Production System Strategy Firm Infrastructure Human Resources Management Technology Development Procurement Inbound Logistics Operations Outbound logistics Marketing and sales Services Value Chain Analysis Core Competence Strategic Group Map Financial Statement Ratio Analysis Conclusion References General Information Dollar Tree is headquartered in Chesapeake, VA. As of April 2014, Dollar Tree has 17,600 employees. Interesting Facts: Between February 2013 – January 2014, through its cardboard recycling project DT: collected 28,236 tons of cardboards; saved 480,012 trees, 197,652,000 gallons of water, and 112,944,000 kilowatts of energy. In Chesapeake, VA, Dollar Tree has a Vendor Hotel Discount Program. In 2013, DT worked with Food bank of Southeastern Virginia, and provided enough food, during its annual food drive, for over 13,000 meals within its local community. History Our roots go back more than 50 years. To appreciate how it all came to pass, you have to rewind more than a half century to K. R. Perry and a Ben Franklin variety store in Wards Corner, Norfolk, Virginia, and to Macon Brock’s, Doug Perry’s (son of K.R. Perry), and Ray Compton’s adventure into $1.00 retailing. A highly successful concept was created using this single price point to build a national chain of stores. Mission Statement Dollar Tree, Inc. is a customer-oriented, value-driven variety store operating at a one dollar price point. We will operate profitably, empower our associates to share in its opportunities, rewards and successes; and deal with others in an honest and considerate way. The company's mission will be consistent with measured and profitable growth. Production System Employees Employee Scheduling Happy Employees Products Vendors/Wholesalers Bargain Shopping Customers Bargain Products Customer Purchases Store Locations Retail Chains Input Resources Process Transformation of inputs into outputs Output Finished Products Strategy Firm Infrastructure Dollar Tree’s (DT) is financial sound with a consolidated net sales increased 9.5% to $2.03 billion from $1.85 billion in the prior year’s second quarter. Organizational structure - is the traditional hierarchy (top down) management. Organizational culture – committed to honor and respect for self and company. They stress to do what is right for the right reason. Having a positive attitude is key. Intellectual property includes: Dollar Tree, Inc., Family Dollar, company logos, designs, and trademarks. Financial strength is sound. Stock currently at 57.11 as of close business 9/18/14. Human Resource Management Dollar Tree is a flexible organization that allows its employees to deliver its best result. The career opportunities offered at Dollar Tree range from in store clerks to corporate careers. Dollar Tree has a program called Core Benefit to enhance their employees lifestyles Dollar Tree offers benefits to all its employees Technology Development The optimal use of technology By Dollar Tree provides significant energy savings and reductions: Product testing programs-use independent laboratories to test toys and candles since 2005 Working on ways to test standards that reduce or eliminate the use of polyvinyl chloride (PVC) in their products Virtualization-reduces the implementation of physical systems, reducing energy cost Video Teleconferencing –increases communication and reduces the need for travel Hardware recycling for end-of-life systems- places them back into spare/ recovery/ re-use scenario instead of disposal Electronic Benefit enrollment for associates- reduces the need for supplying printed documents for thousands of associates Procurement DT’S vision is to make the procurement-to-pay process as paperless as possible. DT utilizes the Ariba Spend Management Solution as the technology platform to enable quick and easy payments. A few benefits of the Ariba System is that there is higher control over order processing, better communication and visibility, and quicker invoice-to-pay process. Inbound Logistics Utilize Power Transportation Management System (PTMS) with an online tool designed to help their vendors, carriers, and transportation. Associates work collaboratively to move the merchandise from the vendor’s shipping locations to the distribution centers. The logistics is committed to providing exceptional service to our stores through continual improvements in operating cost, quality and safety. The logistics encompasses the operation of 10 Distribution Centers, management of inbound, import, and domestic transportation, and management of outbound transportation with distribution to thousands of stores across 48 contiguous U.S. states and five Canadian provinces. Operations Dollar Tree purchase their products in bulk at low-cost in order to sell at low-cost. D.T. also purchase second hand products that may have some undetectable flaws. Dollar Tree obtain and sale some products that are closer to the expiration. One of their goals have been to sale products at a dollar or less. This goal has been successful. Outbound Logistics Monitor the execution of the daily routing by the distribution center and dedicated. Coordinate the execution of the delivery plan by the dedicated carrier. Facilitate effective communication between the dedicated carrier, outbound transportation, the distribution center, and the stores. Monitor distribution center trailer pool to allow and adequate number of trailers to complete loading schedules. Complete other analysis, reporting, projects and duties as assigned by transportation management team. Marketing and Sales DollarTree.com website- sells Dollar Tree merchandise in bulk to small businesses, individuals and organizations for the same price ($1.00 or less) per item. DT website also have customer rating and reviews available so customers can read and write reviews about DT products. DT offers free shipping to their stores on website purchases. Bought Family Dollar for $8.5 billion creating North America’s largest discount retailer with combined sales of $18 billion. Dollar Tree is usually not affected by diving economy slow-downs because the lower class and price conscious middle class consumers gravitate towards discount stores in order to save money. Services Dollar Tree does not offer any warranties. All products are sold as is. Value Chain Analysis Firm Infrastructure Human Resource Technology Development Procurement Strength Weakness Culture Financial Strength Organizational Structure Brand Recognition Intellectual Property Health Benefits Retirement Benefits CORE Benefits CORE Executive Development Program Low Wages Wide Variety of Product Testing Created ways to save energy cost Maintained savings on customer products Margins Finding the right products Delivering extreme quality Getting the right price Creating a low cost trading network Primary Activities Inbound Logistics Operations Outbound Logistics Marketing & Sales Service PTMS usage Dedication to providing exceptional service. Coverage of distribution centers. Bulk purchases to maintain low-cost. Some items sold closer to expiration date. Everything’s a dollar or less. Largest discount chain in North America. No warranties. Only offer as-is products. Supporting Activities Core Competence Firm Infrastructure Human Resource Technology Development Procurement Strength Weakness Culture Financial Strength Organizational Structure Brand Recognition Intellectual Property Health Benefits Retirement Benefits CORE Benefits CORE Executive Development Program Low Wages Wide Variety of Product Testing Created ways to save energy cost Maintained savings on customer products Margins Finding the right products Delivering extreme quality Getting the right price Creating a low cost trading network Primary Activities Inbound Logistics Operations Outbound Logistics Marketing & Sales Service PTMS usage Dedication to providing exceptional service. Coverage of distribution centers. Bulk purchases to maintain low-cost. Some items sold closer to expiration date. Everything’s a dollar or less. Largest discount chain in North America. No warranties. Only offer as-is products. Supporting Activities Strategic Group Map General Dollar out performed Dollar Tree and Family Dollar in the last three years. Their financial statements have been removed but, statistics from those years show they were the industry leader. A Dollar General B Dollar Tree C Family Dollar $ High $ Medium $ Low Pricing Category Discount Products Food Cleaning Supplies School Supplies Toys Financial Statement Ratio Analysis Ratio/Metric Competitor 2014 2013 2012 ROA ROE NET PROFIT MARGIN % REVENUE CHANGE Dollar Tree Family Dollar Dollar General 20.59% 16..90% 9.19% 8.90% 6.16% 10.9% 6.82% 5.14% Dollar Tree Family Dollar Dollar General 36.54% 22.17% 20.1% 29.81% 21.72% 17.17% 15.94% 15.61% 12.61% Dollar Tree Family Dollar Dollar General Dollar Tree Family Dollar Dollar General 7.34% 3.39% 6.11% 2.20% 5.70% 4.42% 9.50% 3.30% 7.50% 5.54% 3.00% 3.30% 1.97% 7.25% 2.26% 1.63% 2.48% 5.10% 4.31% Conclusion Dollar Tree is the largest bargain retailer in North America with the financial strength and vision to continue to grow. Dollar Tree is a great place to bargain shop. Dollar Tree has good benefits for managers and above which makes it a good place to work. Dollar Tree has recycling and environmental safe projects and gives back to the community. If you want to feel good about saving money go to Dollar Tree where your bargain shopping makes a difference. References Dollar Tree – 2013 Sustainability Report; http://files.shareholder.com/downloads/DLTR/3498359730x0x528909/9105b6e5-7f3d-4ea7-b3bc-d90a537cfc2f/Sustainability.pdf Dollar Tree – Corporate Governance; http://www.dollartreeinfo.com/investors/corporate/ Wikipedia; September 22, 2014, http://en.wikipedia.org/wiki/Dollar_Tree Dollar Tree – Benefits; http://www.dollartree.com/custserv/custserv.jsp?pageName=Benefits&parentName=Careers Dollar Tree – College Recruiting Program; http://www.dollartree.com/custserv/custserv.jsp?pageName=CORE&parentName=Careers Dollar Tree – Vendor Partners; http://www.dollartreeinfo.com/vendor-partners/
Comments
Top