Essay, 3 pages (550 words)

It essay sample

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1) What assumptions are necessary when using customer driven analytics to make managerial decisions?

Customer loyalty is decreasing day by day; to over come this, the company needs to offer attractive packages keeping in mind the needs and demand of the customer. Given below are a few competitive factors for 7-11 to make managerial decisions using customer driven analytics.
7-11 shall adopt measures for ensuring quick service for the customers so as to save time of the customer as fast service is a sign of efficiency. Another important assumption is that customer gets bored with monotony, thus offering variety is a compulsion for the company. An information system is another important and critical need of time. Though it is very expensive, yet a key factor to make the store convenient enough for the customers. Customer satisfaction and convenience are the priority of 7-11 as it’s the customer who defines any business. Innovations for new devices are necessary to simplify shopping. The demand of the customers is personalized products that are of high quality. Freshness is therefore to be maintained at all levels. Low cost variety is also very important for gaining customer loyalty. Packaging plays a significant role in providing knowledge and awareness to the customers as it is a smart mode of advertisement. Environmental protection measures are to be taken into account to gain good repute. The Logo and consistent look are important to create a brand; these will depict consistency and the confidence of the customer towards 7-11.

2) How does the IT strategy of 7/11 influence other aspects of the business (such as inventory, human resources, or vendor relationships management)?

Implementation of the IT strategy has produced significant results for 7-11 Japan. The profits have risen by many x as the cost of operations has been reduced. Also the stats show significant figures depicting a controlled inventory, as an updated data of ins and outs is readily available; the company can continue to provide fresh items 24/7. For the implementation of the strategy the company had to hire quite a good number of employees thus the human resource was also enhanced by the addition of capable workers. The vendor relationships were also improved as the company is now upsized and more diversified. The operations of the company have become more smooth, streamlined and are managed more efficiently. The financial statements also show no discrepancies as all the data is been computerized and every single transaction is being recorded. 7-11 is a trend setter as many companies have followed and adopted the strategies introduced and implemented by ‘ SEJ’.

3) List 5 of the most important concepts or knowledge that you gained from this case.
This case allows one to understand the importance of strategic planning. One of the most effective tools for 7-11 is information systems. The company has efficiently utilized the strategy that as a result proved to be highly beneficial for the company. Using ‘ Point of Sale’ and ‘ Supply Chain’ systems allow significant improvement in inventory control. Electronic Commerce Model, allows customers to shop more conveniently. In addition the ‘ Dominant Opening Strategy’ is a smart tool to maximize efficient distribution and minimize competition. Implementation of the temperature based Joint Delivery system can reduce the delivery cost. Another important concept gained from the study was that adopting ‘ Graphic Order Terminal’ speeds up the ordering process. This strategy was new and unique in its kind. 7-11 Japan utilized the modern technology taking full advantage, at all stages of 7-11. This provided the company with full insight of demand and resulted in more streamlined operations.

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