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Alliance Supermarket case study

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Question;Read the ?Alliance Supermarket? case study in Chapter 10 of your text.;Alliance Supermarkets has been using a point-of-sale (POS) system for;some time to track its inventory. The system uses a laser scanner to;read the universal product code (UPC) on each item at the checkout;container. The UPC is a number that uniquely identifies the product on;which it appears. Currently, Alliance is using the UPC information to;update inventory records for each item. Although the system has greatly;improved the company?s ability to replenish inventory promptly, the;company still has some problems. For example, sudden changes in demand;for a particular item can catch the company by surprise as it bases;inventory replenishment on historical demand patterns. Further, demand;patterns and preferences may vary from one store to another depending on;the customers served by each, but the inventory system groups all;demand information together and treats each store equally. Finally, the;manufacturers that make the products stocked by Alliance Supermarkets;are always pressuring Alliance to help them target appropriate customers;for special promotions and sales.;The chief information officer (CIO) of Alliance realizes that much;more could probably be done with the data collected from its POS system.;For example, the company could analyze the relationship between each;product?s sales and weather patterns. It is even possible to analyze an;individual customer?s buying habits and identify instances in which a;customer may be persuaded to try a different brand of a certain product.;For this assignment be sure to address the following points;Study this situation and;formulate new and innovative uses of the information from the POS;system. Ideally, these ideas should help Alliance better serve its;customers by ensuring that adequate quantities of each item are;available, that costs are kept low, and that customers are made aware of;new products that may interest them.Describe any information that may help Alliance reduce costs while providing better service.Propose;a new approach that could be used by Alliance by using the purchase;information that can be obtained on individual customers.Assess ethical and privacy considerations of information gathered from the POS system or purchased items.

 

Paper#51590 | Written in 18-Jul-2015

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