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?
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Information system
Management

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 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.

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