Company

Albertsons
Costco
Federated Dept.
Gap Inc.
Kroger Co.
Sears Holdings Corp.
Safeway Inc
Target Corp
Wal-mart Stores

COGS
29038
46347
13272
10154
45565
35505
27303
34927
240391

Inventory Holding Period

160.00
140.00
120.00
100.00
80.00
60.00
Axis Title

40.00
20.00
0.00

Inventories
3036
4015
5459
1696
4886
9068
2766
5838
32191

Inventory Turnover Ratio

9.56
11.54
2.43
5.99
9.33
3.92
9.87
5.98
7.47

Inventory Holding Period

By 2006
No. of stores worldwide
No. of employee worldwide
No. of employees in US
Only 500,000 employees outside US

6500
1.8 million
1.3 million

Employees in Logistics division

Truck drivers
No. of distribution centers
No. of cases processed per year
Avg. distance btwn distribution center and stores
Avg driving speed for trucks
time taken to cover the distance

75000
7800
114
5 billion
130 miles
65 miles
2 hours

Inventory
Holding Period
38.16
31.62
150.13
60.97
39.14
93.22
36.98
61.01
48.88

Average Industry
inventory
Holding Period

Sales in 200

clothing and clothing accessories; 7%

sporting goods

G
health and person

furniture, home furnishing,electr

wal mart follows ELDP, Target does not

building materials and garde

gasoline; 14%

How is Wal-mart doing compared to

industry average and relative to its
competitors?

Segment
general merchandise
Specialty Retailers
Department Store
Grocery Store

Competitors
Sears, Target
Gap , Limited
Dillard, Federated, JC Penney
Kroger, Albertsons,Safeway

Sales in 2005 (billion $)

essories; 7%

sporting goods, hobby, book, music; 3%

General
store; 18%
health and personal
care;merchandise
7%

rniture, home furnishing,electronic appliances; 7%

Food and beverages; 18%
building materials and gardening equip; 11%
gasoline; 14%

food services and drinking places; 14%

1989

Retailer
Wal-mart
Kmart
Sears
No. of suppliers

Distribution cost as a %age of

cost of sales
1.70%
3.50%
5%
90000

Analysis

Category
General merchandise store
Food and beverages
food services and drinking places
gasoline
building materials and gardening equip
furniture, home furnishing,electronic appliance
health and personal care
clothing and clothing accessories
sporting goods, hobby, book, music

Sales in 2005 (billion $)

525.7
519.3
396.6
388.3
327
211.7
208.4
201.7
81.9

clothing and clothing accessories;

furniture, ho

building

Sales in 2005 (billion $)

clothing and clothing accessories; 7%

sporting goods, hobby, book, music; 3%

merchandise store; 18%

health and personalGeneral
care; 7%
furniture, home furnishing,electronic appliances; 7%
Food and beverages; 18%
building materials and gardening equip; 11%

gasoline; 14%

food services and drinking places; 14%