Assignment – Case Study Assignment OverviewDescription:Information and communication technologies (ICTs) such as big data analytics and enterprise 2.0 tools can enhance the efficiency and...

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Answered 6 days AfterSep 20, 2024

Answer To: Assignment – Case Study Assignment OverviewDescription:Information and communication technologies...

Shubham answered on Sep 25 2024
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OPTIMISING SUPPLY CHAIN MANAGEMENT THROUGH ICT: ENHANCING DECISION-MAKING IN RETAIL ELECTRONICS
Introduction
In the retail electronics industry, effective supply chain management is important for optimising inventory levels and ensuring customer satisfaction. The organisation manages thousands of stock-keeping units for making real-time decision-making imperative. The inefficiencies in decision-making processes can be caused because of lack of real-time data and poor communication that can hinder operational effectiveness. The re
port describes about potential of big data analytics and artificial intelligence as transformative ICT solutions to address inefficiencies. This requires implementing technologies that will help organisation with aim to enhance supply chain operations and improve management of extensive SKU portfolio.
Decision Overview
Introduction to Organisation & Industry
The organisation focus on operates in the retail industry in consumer electronics. In the medium-large sized organisation with operations that spread in different regions. This helps to manages extensive network of suppliers, distributors and retail outlets. The company has 1,000 employees and handles thousands of product SKUs. It ranges from household appliances to personal gadgets. The retail electronics industry is highly competitive and company needs to adapt to fast-changing consumer preferences, advancements in technology and global supply chain dynamics. Success in the sector requires effective decision making in areas like product development, inventory management, pricing and customer service. The inefficiencies in decision-making processes can lead to missed market opportunities, delays and increased operational costs.
Ineffective/Inefficient Decision-Making Process
The important decision-making process is considered as inefficient at operational level is the supply chain management of organisation. The company is struggling with decisions related to inventory replenishment and stock level management. The decision-making process is fragmented with different departments including procurement, logistics and warehouse teams. The inventory levels are fluctuating and this can lead issues like overstocking and stockouts (Mehta & Pandit, 2018, pp. 59). In the fast retail industry, this requires maintaining optimal level of inventory is important. Overstocking can cause burden of unsold goods, increases storage costs and risks products can become obsolete. Stockouts can lead to missed sales opportunities and dissatisfied customers that can damage reputation off company and customer loyalty. The decision-making process lacks ability to respond to real time market demands and supply chain disruptions.
Underlying Causes of Inefficiency
1. Lack of Real-Time Data:
The existing system does not provide real time visibility of stock levels, market demand and supplier lead times. Inventory data is delayed and this can lead to slow and outdated decisions. In absence of accurate and updated information procurement teams can struggle to make informed decisions.
2. Poor Communication Channels:
Different departments include supply chain like procurement, logistics and warehouse management that relies on separate and disconnected systems. The lack of integration hinders communication and collaboration that can leading to delays in decision-making.
3. Inadequate Predictive Tools:
The company relies on historical sales data for making forecasting decisions. The lack of advanced predictive tools like big data analytics results in inability to anticipate future trends and adapt to market changes that can complicate inventory management.
4. Lack of Stakeholder Involvement:
Key stakeholders like store managers and customer service teams that are involved with customer demands and feedback are kept out of decision-making loop. The lack of input from front-line employees provides important insights in customer preferences and market trends that are not considered in inventory planning.
5. Manual Processes Slowing Workflow:
There are multiple processes in decision-making workflow like inventory tracking and reporting that are done manually (Dekimpe, 2020, pp. 12). The manual processes are time-consuming and are prone to errors that can contribute to inefficiency of supply chain management system. The use of spreadsheets and email communications can cause delays in decision-making process.
Recommended Information and Communication Technology/Technologies
Proposed ICT Solutions
1. Big Data Analytics
Big data analytics can provide organisation with real-time data and predictive information that are important for effective supply chain management. The use of advanced analytics tools can help organisation to aggregate and analyse large amounts of data from different sources including sales patterns, customer preferences and supplier performance. The capability enables accurate forecasting and inventory management that can help in reducing instances of overstocking and stockouts.
2. Artificial Intelligence (AI)
AI can play an important role in automating decision-making processes that are related with inventory management. In implementing AI algorithms and machine learning models can help organisation to optimize inventory levels based on real-time data and predictive analytics (Neilson, Daniel &...
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