Assignment 1 Semester 1
Unique No: 195945
Due 19 March 2026
, Q1:
Discuss the possible core logistics activities that Pick n Pay could carry out to
fulfil orders.
Pick n Pay operates in a large scale retail environment with multiple store formats
across several African countries. To fulfil customer orders efficiently, the company must
manage several core logistics activities that ensure products move smoothly from
suppliers to store shelves and finally to customers.
One key logistics activity is procurement and inbound logistics. Pick n Pay sources
products from a wide range of local and international suppliers. This involves selecting
reliable suppliers, negotiating prices, placing orders, and coordinating the delivery of
goods to distribution centres. For example, fresh produce such as fruits and vegetables
must be sourced from farms and delivered quickly to maintain freshness. Efficient
inbound logistics reduces delays and ensures that stores are consistently stocked with
quality products (Bowersox et al., 2020).
Another important activity is warehousing and storage. Pick n Pay uses distribution
centres to store goods before they are distributed to stores. Warehousing includes
receiving stock, sorting it, storing it under suitable conditions, and preparing it for
dispatch. Perishable goods like dairy and meat require cold storage facilities, while dry
groceries require standard storage. Effective warehousing helps reduce spoilage,
manage large volumes of stock, and ensure faster order fulfilment (Rushton et al.,
2017).
Inventory management is also a core logistics activity. Pick n Pay must balance
having enough stock to meet customer demand without holding excessive inventory that
increases costs. Inventory systems help track stock levels, monitor fast moving items,
and forecast demand based on sales patterns. For example, during festive seasons,
higher stock levels of certain products such as groceries and clothing are required.
Good inventory management improves product availability and reduces stockouts
(Slack et al., 2019).