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, valuedriven 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 Input Resources Employees Products Customers Store Process Transformation of inputs into outputs Employee Scheduling Vendors/Wholesalers Bargain Products Locations Output Finished Products Happy Employees Bargain Shopping Customer Purchases Retail Chains

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 invoiceto-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 lowcost 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 Dollar. Tree. 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 slowdowns 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 ØCulture ØBrand Recognition ØIntellectual Property ØOrganizational Structure Human Resource ØHealth Benefits ØRetirement Benefits ØCORE Executive Development Program ØLow Wages ØWide Variety of Product Testing Technology ØCreated ways to save energy cost Development ØMaintained savings on customer products Procurement Primary Activities Strength Weakness ØFinding the right products ØGetting the right price ØDelivering extreme quality ØCreating a low cost trading network Inbound Outbound Marketing & Operations Logistics Sales PTMS usage ØDedication to providing exceptional service. ØCoverage of distribution centers. ØBulk purchases to maintain lowcost. ØSome items sold closer to expiration date. ØEverything’s a dollar or less. ØLargest discount chain in North America. Margins Supporting Activities Firm ØFinancial Strength Infrastructure Service ØNo warranties. ØOnly offer as -is products.

Core Competence ØCulture ØBrand Recognition ØIntellectual Property ØOrganizational Structure Human Resource ØHealth Benefits ØRetirement Benefits ØCORE Executive Development Program ØLow Wages ØWide Variety of Product Testing Technology ØCreated ways to save energy cost Development ØMaintained savings on customer products Procurement Primary Activities Strength Weakness ØFinding the right products ØGetting the right price ØDelivering extreme quality ØCreating a low cost trading network Inbound Outbound Marketing & Operations Logistics Sales PTMS usage ØDedication to providing exceptional service. ØCoverage of distribution centers. ØBulk purchases to maintain lowcost. ØSome items sold closer to expiration date. ØEverything’s a dollar or less. ØLargest discount chain in North America. Margins Supporting Activities Firm ØFinancial Strength Infrastructure Service ØNo warranties. ØOnly offer as -is products.

Strategic Group Map Pricing Category $ High A Dollar General B Dollar Tree $ Medium C Family Dollar $ Low Discount Products Food Cleaning Supplies School Supplies 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. Toys

Financial Statement Ratio Analysis Ratio/Metric ROA Competitor 2014 2013 2012 Dollar Tree 20. 59% 8. 90% 10. 9% 16. . 90% 4. 31% 6. 82% 9. 19% 6. 16% 5. 14% 36. 54% 22. 17% 20. 1% 29. 81% 17. 17% 15. 61% 6. 11% 2. 20% 4. 42% 5. 54% 3. 00% 21. 72% 15. 94% 12. 61% Family Dollar General Dollar Tree ROE Family Dollar General NET PROFIT MARGIN % REVENUE CHANGE Dollar Tree Family Dollar General 7. 34% 3. 39% 5. 70% 9. 50% 3. 30% 7. 50% 2. 48% 3. 30% 1. 97% 7. 25% 2. 26% 1. 63% 5. 10%

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/3498359730 x 0 x 528909/ 9105 b 6 e 5 -7 f 3 d-4 ea 7 -b 3 bc-d 90 a 537 cfc 2 f/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. jsp? page. Name=Benefits& parent. Name=Careers Dollar Tree – College Recruiting Program; http: //www. dollartree. com/custserv. jsp? page. Name=CORE&pa rent. Name=Careers Dollar Tree – Vendor Partners; http: //www. dollartreeinfo. com/vendorpartners/