Zara IT for Fast fashion Essay Example | Topics and Well Written Essays - 1000 words

Zara IT for Fast fashion - Essay ExampleZaras business model sells fashion more than than it does apparels. To this end, speed up, agility, and flexibility in responding to changing consumer demands is essential and even more important is Zaras need to detect its core capability so that it cannot be imitated by other competitor in the industry (Walters, 2006 Lu and Ramamurthy, 2011937). Failing to upgrade its POS terminals could potentially make the company lose its edge in terms of speed in delivery of fast fashion to its competitors, due to obsolete ancient engine room. Although the DOS ashes is stable, it is progressively facing challenges and problems. First and foremost, there too many people involved in information enthral and analysis of the ordering, fulfilment and manufacturing processes which increases the probability of errors. Though Salgado does not mind a meek margin in error, a more integrated system would allow easier entropy transfer and also ensure the tr ue in such entropy which would enable a balance between supply and demand. Secondly, using PDAs with small screens to usher in data is strenuous and time consuming. Getting to do this every day does not dish out in enhancing data accuracy. Thirdly, since the POS terminals are not connected to Zaras headquarters or stores, the sales data transmitted at the end of the day, may not fully reflect changing fashion turn off sales (McFee, Dessain, and Sjoman, 2007). Within the fast fashion industry, what is fashionable today may be obsolete and ex tomorrow (Tesseras, 2009). Fashion changes fast, and Zara needs a system that can wholly and efficiently reflect this found on cloths designs, colour, and even the sizes. And finally, the very fact that Zaras hardware vendor for POS terminals refuses to enter into a contractual agreement understanding their assurance not to change the DOS operating system, does not fully assure Zara that it would not in the future (McFee, Dessain, and Sjo man, 2007). This presents a risk to Zaras operations. Where the costs of maintaining the ancient system surpasses or equals the benefits that the vendors gain from maintaining the system for Zara, the vendors may decide to change the machines. Upgrading the POS terminals into a modern operating system would enable development of newer capabilities into the software which would potentially enable the company to build in store networks as well as give the employee the ability to look up inscription balances in their own stores and in other stores. This would enable the store managers to understand which cloths are selling fast, and which ones they are left in inventory without having to go through the store to physically count them. Therefore it would enhance decision making with count on to what kind of clothes, in what design, colour and size are required. Furthermore, connectivity among stores which are nearer would enhance sharing of data on which products are in one store yet i s in shortage in some other (Caro and Gallien, 2010261-265 Caro, et al, 201074-79). This would enhance fast movement of merchandise from one store to another, thus enhancing sales. Such information technology capabilities would not only streamline information flow along the supply chain in touchable time but also enable the headquarters to be connected to a stores real time data sales which would be essential in making any decisions with regard to design, size and colours, as well as using actual real time data in planning and shortening cycle times for each of the stores (Walters, 2006). The real time data also would enable the headqu