A

Presentation on

Shop Ko and pamida: Systems

Triumph of Tragedy?

Presented By :
Sachin Nandha
Mehul Gadhiya
Priyank Shah
Summary
Q-1
Evaluate the role of information systems
in the way ShopKo and pamida run their
business. How important are they?
Role of information system in ShopKo

 To help the company in optimized prices during

mark down.
 Implemented mark down optimizer from spot
light.
 This softwae enables company to price a product
according to season, geography, local taste and
past demand.
 Indirect shopKo information system goal is to fill
the stores and sales the apparels at the best total
price.
Role of information system in pamida

 Its main objective is at providing the

customer with merchandise which is always
available as advertised.
Q-2
Evaluate the importance of pamida’s
distribution center consolidation project
for both pamida and shopKo.what
management,organization and
technology factors prevented pamida’s
new distribution center from working
successfully?
The importance of pamida’s distribution
center consolidation project for both pamida
and shopKo.
 Despite of Pamida’s information system there are
many out of stock items. Also there are many key
products in warehouse even though they were not
in stores shelves.
 shopKo wanted to expand the number of pamida
store in small town.
 Pamida’s solution was to combined it’s 5
warehouse into 3. And mordenise it’s inventory
management system to increase the store ability.
 The consolidation concept was to transfer the
warehouse from a flow through facility to a full
service distribution center.
what management ,organization and
technology factors prevented pamida’s new
distribution center from working
successfully?

n Te
it o ch
i za no
log
n
r ga y
O Information
system

Management
 Organisation factor :
 organistion have structure that comprises in
different level based on authority and responsibility.
In pamida organisation factor responsible is,
• Pamida’s old warehouse management system
came from catalyst international and company
had never updated software which was several
version behind.
• Catalyst’s make Mis according to significant
enhancement in the configuration of the product
at the time when pamida intially installing
system.
 Management factor :
 the software made management difficult to
layout and run a full service center in the most
logical and efficient manner.
 Technology factor.
Q-3
Are shopKo and pamida using
information system effectively? Why or
Why not?
Q-5
what management challenges does this
Case Study illustrate?
 Management challenges
 To make decision and formulate action plan to
solve organization problem.
Business Challenges from environment and set the
strategy for responding this challenges.
shopKo also face the stuff competition from GAP
who rapidly changing product life cycle.
What to do with over stock merchandise when a
cycle ends.
ShopKo need to empty it’s shelves in time for the
arrival the new cycle product.
Getting rid of overstock items at the highest
possible price.
Action plan to overcome that challenges

 The first few mark down buyer tend to take are

very conservative. so shopKo end up taking too
many mark down to clear out.
 Pamida consolidate it’s 5 warehouses into 3 and
modernize it’s inventory management system to
increase store ability.