1. Role of IT in Retail Sector

2. The Importance Of Information Technology In The Retail Sector With the increasing globalization of retailing, both in terms of their points-of-sale and their points-of-supply; the information technology (IT) spend in the retail sector has increased significantly. IT plays an increasingly important role in the management of complex retail operations. Market knowledge, as well as control of data and information, is key to obtaining a competitive advantage in the retail sector. Markets are continuing to grow and become more complex; the simple process of retailing has started to deploy more advanced retail information systems to cope with all the transactions involved. 3. IT involvement in Retail To increase the companys ability to respond to the evolving marketplace through enhanced speed and flexibility. To collect and analyze customer data while enhancing differentiation. To work effectively; retailers need one system working across stores (or even across national borders) to make sure the most effective use of stock and improve business processes. Retailers are beginning to notice that technologys role is one of an enabler. Essentially, information technology can speed up processes and deliver cost saving benefits to the company. 4. Challenges Customer data Many retailers struggle with information overload because theyre required to collect and sift through mass amounts of data, then convert it into useful information in a customercentric industry. Transparency and tracking Retailers must increase transparency between systems, as well as obtain better tracking to integrate systems from manufacturer through to the consumer while obtaining customer and sales information. 5. Global data synchronization Due to radio frequency identification/electronic product coding, the entire supply chain has become more intelligent. Retailers must enable the use of real-time data to watch inventory levels. In addition, radio frequency identification tagging positions the company to be able to safeguard its shipments by allowing products to be tracked from manufacturer through the entire supply chain. 6. Definition of POS Point Of Sale. The physical location of a transaction but usually refers to any device or system used to record the transaction for the retailer. CPOS: A computer-based POS which employs software to implement the POS functionality6 7. Benefits of POS POS System Cash Register Inventory ControlYesNoInvoicing and ReceivingYesNoInterfacing with AccountingYesNoReportsYesNoEnforced accuracyYesNoIntegrated CC handlingYesLimitedGeneral LedgerYesNoAccounts PayableYesNoAccounts ReceivableYesNoPreferred by tax consultantsYesNo 7 8. POS Software: User Interface Inventory Reports Invoicing Receivables Accounts Payable Credit Card Payments8 9. POS Hardware-Components Display / Touch screen Cash Drawer Receipt Printer Bar code scanner (fixed, attached, portable) Label / Report printer Mag stripe reader POS Keyboard Scales PDA Pole Display9 10. POS: Receipt Printer Three Types Dot Matrix Thermal InkJet Link Separate unit Integrated with other device10 11. POS: Barcode scanner LED CCD Laser Fixed Attached Portable11 12. POS: Typical Configuration Connect cable between cash drawer and receipt printer. Note that ends are NOT the same. Plug keyboard into Y cable. Plug other connector into keyboard port on computerConnect printer interface cable to LPT1Mag stripe reader12 13. POS: Mag Stripe Reader Replaces the Retail Terminal Uses software to perform functions Usually connects to keyboard and barcode scanner13 14. POS: Mag Stripe Reader Track 1Track 2Normally encodes the cardholders name, card number and card expire date.Also contains the cardholders card number and expire date. This provides data redundancy on the card.14 15. POS: keyboard A POS keyboard more closely resembles a cash register key layout and usually has programmable keys. Some have integrated card swipes.15 16. POS: Portable Data Assistant (PDA) Portable data collection Inventory Audits Remote data entry Restaurants and lounges Lumber yards Remote inventory Wireless Docking station Cable connected 16 17. POS: Scales Serial Port I/F to your PC POS Calculates total Desktop units / Built-in units17 18. POS: Check Reader / Printer Magnetic ink character recognition (MICR) Requires POS Software support Requires bank / online authorization service18 19. POS: Slip Printer Ideal for printing Company branded slips and forms. Record keeping Warranty info, layaway receipts Restaurants, Gas stations, Retail stores Combo receipt / slip printers available19 20. POS: Pole Display Item and price information Customer comfort Display Advertising Serial Port I/F (RS-232) Characters per line / number of lines LED, Plasma Character sets (Chinese?)20 21. Amazon Prime Air The goal of this new delivery system is to get packages into customers' hands in 30 minutes or less using unmanned aerial vehicles. Putting Prime Air into commercial use will take some number of years as we advance the technology and wait for the necessary FAA rules and regulations. 22. About to Fly 23. On Air 24. Prime Air Video