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Essay / Walmart Information Management System - 758
Walmart Information Management System (IMS)Walmart is a retail giant that almost everyone in America has purchased something from. It's a one-stop shop for everything a person could need. Walmart stores can be found anywhere and in fact, most people are within an hour's drive of a Walmart store. Walmart's success has put many companies out of business. The chain's success lies mainly in low prices and the use of a computer system to respond to customer requests, giving them a competitive advantage. Walmart's first major use of information technology occurred in 1975, when the company leased an IBM computer system to track inventory in warehouses and distribution centers. Computers have come a very long way since those days and are used almost everywhere. But in 1975, it was cutting-edge technology that gave Walmart a competitive advantage over other retailers. Another thing that Walmart revolutionary in its supply chain was the use of barcode scanning in 1983. Before barcodes, items had to be scanned by a trained cashier. With barcodes, all it took was a quick scan and the computer would do all the work. This has significantly accelerated checkout time and made inventory tracking and data collection much faster and easier for customers and employees. Since then, it has become an industry standard for products. In 1987, this information became even more essential to the company. Walmart has created its own private satellite network. This network allowed direct two-way communication between headquarters and individual stores so that instant information on inventory, sales and other data could be viewed by senior management. A network diagram of this configuration would allow a...... middle of paper...... The product will be able to move. Because they can see what's being sold and where people are buying it, they have the ability to change predictions about what they should do. Using RFID, the tracking system will help eliminate errors and ensure product quality. IMS helps monitor orders and stock levels and keep customers happy. Walmart leverages IMS to track products or packages. Because they know when the products are sold, how long did it take to sell them and where they were sold? They use this information to refine the product flow. Power ranges from push to pull. The product does not determine the final transaction. The customer is important and the interaction he has with the product in the store is also essential. Why information management is just as, if not more, important to business than moving products?