a case study-dollar general
TRANSCRIPT
PRESENTATION ON
Heavy on organization, Light on system
Company Overview
Revenue
2004 20090
2
4
6
8
10
12
Sales Growth
Year
Reven
ue (
in b
l )
Competitors
Small•Family Dollar •Fred’s Tree•Dollar Tree
Big•Wal-Mart•K-Mart•CVS•Rite-Aid
Target Segment Lower
Middle
Fixed Incomes
Neighborhood Stores
Success Mantra Increasing Number of Stores
Low operating cost 8 Day strategy
Land on lease
1999 2004 20090
100020003000400050006000700080009000
No of stores
No of stores
Years
Expansion of company
8 Day strategy
DAY 1
• Store Set up• Use of Pogs
DAY 2
• IBM Terminal Receive• Stock room• Manager Office
DAY 3
• Arrival of approximately50 % of inventory
Contd.
DAY 4 and 5
• Installation of satellite dish • Installation of modem inside IBM terminals
DAY 6
• Testing of Triversity software• Troubleshooting satellite network• Training to store assistants and workers
DAY 7 and 8
• Additional product stocking• Arrival of perishable goods• Transmission of pricing & product code to IBM terminal
Company’s strategy regarding space
56%
41%
3%
Information about Lease
Shopping Cen-tersFreestanding buildingsUrban struc-tures
Limited Use of MIS
Insufficient use of networks Much reliance on private voice mail
system Excess use of paper No automated system for inventory
management No system for counting of incoming
stock
Snapshot of portal
Suggestions
Use of Inventory Management software
Quick adaption to changing technology
Questions and solutions
Describe Dollar General ‘s strategy for success ?
Place Product line Customer Segmentation8 days strategy Use of information system
Questions and solutions
Describe role of management, organization & technology in D.G.’s business strategy
Role of Management
Design of planogram / pogs To introduce new technology for
efficient working of organisation Cost control
Increase in expansion rate of retail business
To assign right person for store setup
Role of Organisation
Role of Technology
Use of Catalyst warehouse management software
Loss prevention software Video monitors Use of Triversity Software Bar Code Scanners
Questions and solutions
Does Dollar General Miss out on any business opportunity as a result of its approach to information technology?Do you think Dollar General can continue growing at its current rate?
Thank You