iot walmart-case study
TRANSCRIPT
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Innovating WalmartRoopali Aneja, Aravind Gopalakrishnan, Briana Lemon, Sohan Rane, Praveen Sundar
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Wal-Mart in Numbers
● 11,000 stores ● 27 countries● $15 billion annual revenue● 2 million employees● Market Share: 63% ● Closest Competitor: Costco (17%)
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Business Strategy● Maintain Cost Leadership● Product Differentiation● Control of IS / Tech Innovation● Enterprise-wide Customer Satisfaction
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IS Strategy Triangle
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Porter’s Five Forces
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Industry AnalysisD’Aveni’s Hypercompetition (7’S)1. Superior Stakeholder Satisfaction2. Strategic Soothsaying3. Positioning for Speed4. Positioning for Surprise5. Shifting the Rules of Competition6. Signaling Strategic Intent7. Simultaneous and Sequential Strategic Thrusts
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Firm Analysis
Dynamic Capabilities: ● Business model - Reduce costs of supply chains● Successful inventory & vendor management● Supply Chain Management● Customer Relationship Management● Local market outlets (US) with outside retailer● Use of NodeJS for mobile applications
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Alignment With Business Strategy
● Applications - Cost Leadership● Infrastructure - Enterprise-Wide
Customer Satisfaction● IS Organization - Cost Leadership● Outsourcing - Tech Innovation● Governance Style - Product
Differentiation
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Internet of Things
● Sensors● Connectivity● People ● Processes
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Internet of Things - Example
Business Strategy : Enterprise-wide customer satisfaction
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Gartner’s Hype Chart
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IoT Maturity - 5~10 years
Documents: Devices:
Source: Visual Capitalist
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A Value-Added Solution
Empty ShelvesGrumpy CustomersUnderstaffed Stores
$3 Billion Opportunity
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To Adopt or Not Adopt?
1984: Barcode & Satellites2003: RFID2015: IoT?
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QUESTIONS?