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ASSIGNMENT NO: 1
ASSIGNMENT QUESTION:
What was the supply chain Alignment Strategy at
Crocs? Please explain with respect to Tastes of a
good supply chain strategy in Ch 1 of the Cohen
book.



The best companies are the ones that use their supply chain model to have a competitive
advantage. Crocs was using its supply chain model to compete on responsiveness .They broke
the traditional norms of industry for retailers and distributors of placing the order in bulk many
months before the season and introduced a new model that did not impose these kind of
limitations on retailers. Crocs supply chain strategy was more fast and flexible than others and its
focus was on customer needs. Though the product planning was based on pre-books for each
model but it could fill new orders within the season by quickly manufacturing them and shipping
to retail stores. They were reducing the retailers risk by catering to rapidly changing demand of
customers even within the same season. For this purpose Crocs purchased its manufacturers
Finproject and owned the formula for the proprietary resigns Croslite from which its shoes
were made. This move gave Crocs control over the production so they can fulfill the order/
requirements of the retailers anytime during the season. Crocs made its production global using
contract manufactures in different countries to become nearer to its retailers and customers.
Contractor manufacturers outside Asia were unable to adopt companys supply chain model so
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they brought the global supply chain In-house and also changed its warehousing model. Crocs
also shifted its production to reduce duty payments for example if in one country the
manufactured products had a high tariff then they shift its production to a low tariff location.
Since company owned all type of molds and molding machines so it was easy for them to shift
production to any country at any point of time.

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