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Furniture Supply Method.

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Submitted By kazmi
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Furniture Supply Chain:
With advancement in technology, many companies have initially moved away from push strategy to pull strategy. But now, most of the business which aims for customer satisfaction follows strategy (push-pull or pull-push) and in particular furniture industry which does business through retail outlets follows "Pull-Push" model aiming to provide large variety of customizable products.
In a Pull-Push strategy, some stages of the supply chain, typically the production is based on pull strategy while the distribution activities are operated in a push manner (Simchi-Levi, 2010).
Basic assumptions made in designing furniture business via retail outlets supply chain are, * Considering only the key raw materials such as wood, steel, cushion and designing materials. Other raw materials which can also be essential in furniture industry are plastics, adhesives etc.

* Retailers will reassemble the furniture packs at the customer end or the customers can do it on their own as they are delivered flat packs which are easy to reassemble.

1. Furniture makers upon receiving the orders from distributors (pull strategy) will request Tier1 suppliers for fabrics.

2. Tier1 suppliers will receive goods from Tier2 suppliers.

Example Wooden mills will get the wood materials from forest and reshape it accordingly. Similarly Lathe shop will receive steels from the steel manufacturers and shape it according to the furniture maker's requirements and all these necessary goods will be supplied to the Tier1 suppliers

3. Furniture makers will then make necessary products and dispatch it to the distributors.

4. Distributors deliver finished goods to the retail outlets. Furniture makers will have a standard delivery schedule based on aggregation of products.

5. Retailers will deliver and reassemble the furniture goods at the customer's

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