Wal-Mart- A Case Study of MIS Strategy
Wal-Mart – A Case Study of MIS Strategy
Management information system is all about people using technology to work with information as they support the organization in its quest for a competitive advantage (Haag & Cummings, 2008, p. 29). Researchers and authors have discussed management information systems and technology over the decades. The concepts of competitive advantage, technology, outsourcing etc. have been theorized, yet discussion on the subject matter continues. While MIS strategy formulation has seen advancement, organizations are evolving and constantly changing their operating models. An example of such ...view middle of the document...
In today’s fast paced business environment the organization stays one step ahead of the ever-changing technology, Wal-Mart executives still embrace most of the goals and philosophies that Sam Walton impressed upon on his organization.
Wal-Mart Stores Inc. has been successful using its strategy of everyday low prices to attract customers (Tiggs, 2012). For its founder Sam Walton, everyday low prices along with satisfying customers were the guiding principles to success in the retail industry. The idea of everyday low prices is to offer products at a cheaper rate than competitors on a consistent basis, rather than relying on sales (Smith, 2012, p.1). Sam Walton emphasized friendly service along with quality products at "everyday low prices," which has positioned Wal-Mart to its current position as the largest retailer globally. Today, the organization applies the same principles to the innovation considerd.
Businesses in every industry strive towards the idea of competitive advantage. With competitive advantage, there are opportunities for new ideas, inventions, and sometimes, new ways of doing business (Seabough, Floyd, Carron, & Lertsrijatuporn, 2009, p.1). To act on those opportunities organizations must share and multiply knowledge that will help them become more powerful in today’s global economy. Central to achieving power and been competitive is knowledge management, which lends itself, to the idea that a firm strengthens itself through the ongoing pursuit of knowledge (Seabough et. al, 2009, p.3).
Wal-Mart Stores Inc. has become the world’s largest private corporation through its knowledge management efforts. “In its efforts at developing and nurturing insightful knowledge management skills, Wal-Mart focuses on its organizational objectives which specifically include improved business performance, innovation, competitive advantage as well as continuous improvement of business operations and processes” (Kusumu, 2011, para.5).
Knowledge management requires careful examination, consideration, and management of the process is critical. Additionally, organizational knowledge should be reviewed to alleviate any negative effect to the organization as well as the individual. In light of this writer’s previous statement, Wal-Mart’s management team prides itself on been knowledgeable about all customers; knowing the wants and needs of customers resulted in an advantage for management. In this ever-changing world, technology and knowledge constantly changes thus organization must be ready to adjust and adapt quickly. Wal-Mart understands the environment it operates in and has done an excellent job of keeping with current trends and technology making it one of the successful organization’s world-wide.
Wal-Mart’s Electronic Commerce Strategy
Electronic commerce is commerce accelerated and enhanced by IT, particular the internet (Haag & Cummings, 2008, p. 212). Peteraf’s diary (as cited in Subramani & Walden,...