Information Systems in Retailing

Mahesh P
IPE, Hyderabad

Introduction
Information is communication i.e. verified to
be accurate, timely and organized.
Relevant data could be put together to
generated information of interest.
Where as data could be correct or incorrect,
may not be organized and irrelevant.



In Retail Environment
A retailer of moderate size will be handling
20,000 skus in its different outlets spread over
in vide geography.
It becomes very critical for retailer to move
right product to right store at right time and
right price.
As well, retailer will be having huge inflow and
outflow of data from various points.
Proper Information system leads
No excess inventory causing capital block, nor
stock out leads to business loss.
Right use of promotional strategy on right set
of people.
Purchase of goods from right vendor.
These are some of the critical tasks to be
performed by retailer.
Need of Technology in Retail
Retailer growing global.
Operating various formats.
Frill less business models.
High customer expectation.
High pressure on margins.
High pressure on employee productivity.
Innovative and effective promotions.
Efficient store operations.

Importance of IT in retail
Information is power, it enable us to take right
decision.
Areas of usage.
1) Efficient stocking of Merchandise.
2) Collection of Data
3) Efficiency of operations
4) Helps communication


Factors Affecting the Use of Technology
The Scale and Scope of Operations.
The financial resources available.
The nature of the business.
Human resources available.
Applications of Technology
Electronic Data Interchange is the exchange of
business information through standard interfaces
(secured, reliable, tamper free) by using
communication devises.
EDI is the core of over all growth of e-commerce.
The advantages of EDI includes
1) Fast and works on real time basis.
2) Error free.
3) Reduces costs involved in paper handling, filing,
storing etc.
4) Strengthens relationship between partners.
Database management, Data warehousing
& Data Mining

CRM
Inventory
Payroll
Production
Sales
General ledger
Data processing




Extraction,
Transformation,
Loading
Meta Data
Summary
data
Raw
Data
Analysis
Reporting
Data
Mining
Radio Frequency Identification
Invented in the year 1948 by Harry Stockman.
Due to various implementation constrains it was
quiet till late 1990s.
Unlike bar codes RFID tags are readable, writable,
transfer data, store data.
The goods could be tracked easily in the entire
supply chain.
Some of the advantages if RFID include, Inventory
saving, Reduced theft, Reduced labor cost,
Reduced stock out & easy readable.

Thank you