Implementing Digital System in Organization: A Case Study of Tesco PLC

This case study focuses on the implementation of a digital system in Tesco PLC, a leading retail and grocery store in the UK. It discusses the need for digitalization, the components of a digital system infrastructure, and the analysis of the e-environment. The aim and objectives of the project, as well as the formulation of strategies such as customer relationship management and supply chain management, are also explored. This case study provides insights into the benefits and challenges of implementing a digital system in an organization.

Business

Contents
INTRODUCTION...........................................................................................................................3
Need of Implementing Digital System in Organization..............................................................3
Formulation of Strategy...............................................................................................................9
Implementation of Digitalization in Organization.....................................................................11
Monitoring and Control.............................................................................................................11
CONCLUSION..............................................................................................................................13

INTRODUCTION
Digital system can be considered as a system that is used by the business organization to
store data in discrete way. This is completely different from the analogue data storing which is
always in continuous manner. In the digital system information is stored in binary form. in an
business organization digital systems can be used for different purposesb(Ritter and Pedersen,
2019). Mainly digital systems are used in organization for information and data collection,
storing, processing and distributing. This is how various operations or performed by the
organization through digital systems. This report is about Tesco PLC which is one of the largest
retail and grocery store in United Kingdom. Tesco PLC was established in year 1919 at
Hackney, London, United Kingdom by Jack Cohan.
This is important for the business organization to gain high efficiency in the storing and
processing information and data related to the business operations. information processing is
most typical need of organization that can be resolved by implementing proper system in
organization. There are various things will be considered in the report that can be used or
implemented by the organization to get better response from business operations. Change
management and implementation of the digital strategy will be explained in the report. Proper
justification for implementing change management and implementation for digital system will be
explained in the report. Smart objectives also will be developed in the report in order to maintain
proper direction in the project of implementing digital system in the organization. Various digital
strategies will be explained in the project to meet the objectives that are defined in the smart
objectives. Specific implementation plan and process will be explained in the report that can be
used by the organization implement system in the organization. All information required in the
implementation of digital system will be provided in the report.
Need of Implementing Digital System in Organization
This is most important for the business organization to implement proper technology in
organization in order to deal with information in effective way. Effective management of the
information system can help the company to develop better business processes and strategy in
organization (Kessler and Buck, 2017). There are different benefits of implementing digital
system in the organization. Some of the most common benefits of implementing this system in
organization are- digital system can be used by the organization to reduce the operational cost of

the organization. Customer purchase experience also can be improved by implication of the
digital system in the retail store of the company. Through the digital system organization can
keep manage their data an information in effective manner. Retail store of the organization can
keep their operations based on customer needs and requirements. Digital system can also provide
information to the company management in order to implement better system in organization
along with development of new strategy and products. Company also can access more customer
from new market place. The value in various operation of organization can be improved by
company. Organization can take advantage of various situations in order to generate higher value
for business operations and strategies.
Digital System Infrastructure
Digital system infrastructure can be explained as composite of hardware, software,
network, resources and various services that can be used by the organization to full fill the needs
of the require system. This process can use by the organization to provide better IT solutions to
the various operations of the organization. There are different components of the digital system
infrastructure which are hardware, software, network, Meatware. By using al these components
organization can develop system that can offer better digital and IT solutions to the organization
like Tesco PLC.
Hardware- There are different components are considered in the hardware of digital system.
these components are used by the organization to develop physical system for the digital system
that can be used by the organization as hardware equipment (Bleicher and Stanley 2016). Main
equipment that are used in the digital system in organization are- servers, computers, data
centres, switches, switch hubs, routers and other required elements in the system of digital
system. Some of sensors and related networks are also considered in digital system network.
Software- Software is considered as the set of instructions, data, information or programs which
are used to operate various equipment of the hardware system. These software are sometimes are
used for common and general operations and some of software are designed for specific
operations in organization. There are different examples of software that are commonly used by
the business organization to perform specific operations within the digital system.

Network- Digital network is considered as digital telecommunication network for sharing various
type of information and data resources between various nodes which are known as computer
systems in organization. There are different system can be used by the organisation for effective
transfer of information and data. Some of major networks that are used in the organization are-
personal area network, local area network, wide area network, wireless local area network,
wireless wide area network, campus area network, metropolitan area network, storage area
network and system area network.
Meatware- Meatware system can be considered as human element with in a computer system.
Human element with hardware and software in a computer system is known as meatware. This
system also can be considered as Wetware and Liveware.
This is how various system are used for digital system in order to develop high efficient
digital system to improve the effectiveness of organization (Zanella, Cillo and Verona, 2019). By
using all these component are design better infrastructure organization can develop efficient
digital system in the organization.
E-Environment Analysis
This is majorly considered as process in which various external factors are analysed by
the organization in order to develop better analysis of external environment for the
implementation of digital system with in the organization in order to get better overview of
current digital scenario. Mainly in the E-Environment analysis PEST analysis is conducted in
order to maintain operations of the organization appropriate in market place. PEST factors are
known as Poetical Factor, Economic Factors, Social Factors and Technological Factor. The
PEST analysis can be explained as-
Political Factor- Political factors are considered as decisions and policies that are made by
government that can affect the digital system of organization. There are certain limitations are
applied by the government on the business scenario in order to maintain better transparency
within the organization operations and regulate their operations in market place effectively
(Härting, Reichstein and Jozinovic, 2017). There are some policies are developed by the
government to keep the actions of the organization in market place. There are some policies that
are developed by the government limits the operations of the organization that are related to the

digital technology. These limitations that are applied by the government are mainly related to the
data that is collected by company from the customer. These data is about personal information of
customer that can be used by the company to improve their business in market place. These
policies are also related to the operations of the organization in market place (Buck and Eder,
2018). For the operations which are performed on international level through digital technology
also governed by the government through some policies. This is how government implement
some policies and decisions that can affect the implementation of digital technology in
organization operations. There are some other factors are also there that can encourage the
operations of the organization in target market. For example the policies that are encouraging the
sustainability in organization are providing the opportunity to the organization to implement
digital technology in organization.
Economic Factors
There are some economic factors present in market place that can affect the operation of
the organization in market place. There is huge impact of digital technology on the economic
conditions of organization in market place. In different ways economic factors can affect the
operations and profitability of organization in market place. For the economic perspective the
cost of the digital technology is much lower in traditional process. this can encourage the
organization to use this technology in business operation. some time the implementation cost of
this technology is high for organization. Later this technology can improve the performance of
organization in target market. This is how the Digital technology is highly beneficial for business
organization.
Social Factors
Social factors that are related to the use of digital technology are mainly related to the
personal and professional values of people who are associated to the organization with different
personal interest. The factors that are considered in the social factors are related to education
level of the people, data security and privacy (Sackmann, Kuehne, and Seyffarth, 2018). The
factors that are considered in the social factors are more concerned with ethical considerations
that are need to be followed by the organization in market place. For example the education level
of people is required to be appropriate in order to make them comfortable with the technology.
Employees who will be operating on the technology need to have some technological

qualification for effective operation. The other thing that is mainly need to be considered by the
organization is about the safety, security and privacy of data that is collected by organization
from the customer. This is important for the organization to maintain effective safety
consideration in the organization in order to avoid any kind of ethical issues within the
organization. This is how social factors are highly considerable for organization. Tesco PLC
have to deal with different people with in the market place. This is important for them to
maintain effective measures in organization in order to maintain security and privacy of
customer data to maintain customers loyal for longer time.
Technological Factor
In current time this is important for the organization to consider technological factor in
order to analyse factors in the external market related to the technological development. Digital
technology with in an organization is highly relate to the technological changes in the market
place. It is important for the organization in order to maintain effective performance of
organization in market place. This can be categorised in three categories which are technology
currently used by organization, technology used by the competitors and last one is about the
development in the technology in market place (Parc and Kawashima, 2018). As per this
consideration Tesco PLC is highly Capable of implementing digital technology on vast level
because the current technology that is used by them is highly advance and capable of cop up with
new technology in market place. The technology that is used by the competitors in the
organization is not as good as Tesco PLC and other organizations are preferring traditional
methods of business. This is how it will improve the business of organization. The technology in
market place is growing much faster and it can affect the decision making of the organization.
This is how pest factors can affect the decisions and business operations of the
organization cause of digital technology in market place. These factors are most important for
the organization to perform business successful in market place.
Aim and Objectives of the Project
The main Aim that is considered for the project is-
Aim- To implement certain changes in the current technology of organization to improve the
value of the organization operations in market place.

Objectives-
The main objectives that are considered in the project are-
 To implement customer relationship strategy in the business process to improve the
standards and value of the products and services that are provided to the customers.
 To critically focus on supply chain management in order to provide higher satisfaction to
the customer in market place.
This is how the aim which is developed for the project is highly focused on the digital
technology in organization to improve the customer experience through the decision making
process and purchasing process. The main focus of the organization is to provide much better
services to the organization in market place. This aim is considered in the project to improve the
technological standards in the organization to provide better services to the customers with in the
organization’s retail store (Kim and Chen, 2018). By using effective digital program and
standard organization can provide better facility to the customer in the market place. There are
different advantages of the digital technology for organization in market place. It can help the
organization to develop better process of selling goods in Retail store to offer ease of services
and better products without too much efforts. This is how organization can get higher benefits
with customer loyalty. This is how company can achieve long term goal of organization.
Mainly there are two different strategies are considered in the project to improve the
Digital technology of organization the technical strategies that are considered by the business
organization are related to Customer Relationship Management and effective management of the
supply chain in organization. This is how this project is focused on implementation of digital
technology in organization to generate higher productivity in market place. This both
technologies are focused on the improvement of the services and experience of the customer
provided by organization. By using these strategies organization can generate higher productivity
in market place. This is how by implement change management strategy in organization Tesco
PLC can gain Higher Productivity in market place (Magadán-Díaz and Rivas-García, 2018). This
project is considering development of digital technology of organization to gain higher
productivity in target market place by providing better services to the customers.

The focus of the project is to improve the positioning of the organization in market place
along with other organizations in competitive market place. Technology can make huge
difference in the services that are offered to the customer of the company. This is how
organization can improve the effectiveness of organization in market place.
Formulation of Strategy
There are two main strategies are considered by the organization to generate high benefits
for the business operations in market place. The strategies that are considered in the project are
customer relationship management and implementation of supply chain management plan in
order to gain higher productivity with customer services. Both strategies are effective to generate
higher profit from market place. The strategies that are considered in project are focused on
customer satisfaction and effective customer experience. This is how organization can develop
higher productivity.
Customer Relationship Management Strategy
There are different strategies and processes and methods are used by the business
organization like Tesco PLC to offer better facilities to the customer in the retail store of the
organization. Customer relationship management is one of the most effective strategy that can be
used by the business organization to develop better and long term relationship with customers to
meet long term goals of organization. There are different steps are involved in the development
of the customer relation management strategy. Some of the main steps of the customer
relationship management are create over all business strategy, map the customer journey,
establishment of sales channels and sales process, understand organization dynamic, define team
goals, and define CRM components, creation of deal stages selection of right CRM software for
organization. These processes can be used by the organization to maintain effective relationship
with customers. IN the Customer Relationship Management strategy organization can implement
high and advance level software in order to develop better system which is efficient in order to
develop better frame work to deal with customers of the organization (Bloomberg, 2018). This is
how organization can develop effective system to offer higher satisfaction to the customers. In an
organization requirement of the CRM software are completely different form other companies.
The requirement of the Customer Relationship Management software are highly dependent on
operations, products and services that are provided by the organization to the customers. There

are different channels and methods can be used by the organization to develop effective
relationship with customers. These channels can be considered as Omni channels that can help
the organization of Tesco PLC store to maintain effective relationship with employees. There are
different specifications and features are provided in this software that can be used by the
organization to effectively track and monitor their activities in the organization to get better
relation with their relations with customers.
Digitalization of Supply Chain Management
The role of supply chain management for a retail sector organization. This process can be
considered as the digitalization of the distribution channel of the organization. This is all about
improving distribution channel of the organization. In different ways digitalization in supply
chain can be implemented. This highly important for the organization to implement digitalization
in the supply chain of the organization to perform effectively in market place. IN different ways
organization can implement digital technology in supply chain of the organization. These reasons
are related to the globalization and rise of E commerce market, rising customer experience.
There are different steps are include in the process of digitalization of the supply chain of the
organization. main steps of the digitalization process are- Align all the technological goal,
involve various diverse stakeholders of organization, implement and use internet of thing device
in order to implement digitalization in the supply chain of the Tesco PLC. The process can help
the digitalization process which is implemented by organization. This process can be more
improved by implementing analytical devices in organization system to improve the
implementation of digitalization in the supply chain process. There are some improvement also
can be made in the supply chain process using block chain technology. This process also can be
more improved by implementing various additional monitoring and controlling process in the
digitalization of the supply chain network of organization. There are some other processes also
can be used by the organization to get better response from the supply chain process.
Digitalization process can improve the distribution channel of the organization. Through this
process supply chain become forward looking, the glitches in the supply chain also can be
avoided. The supply chain become more accessible to the organization in remote areas of
organization. Digitalization also can help the organization to track complete distribution channel
of the organization to get better response from the supply chain of the organization. this also can

improve the financial management of the organization. This is how digitalization process of the
organization can be improved by Tesco PLC.
Implementation of Digitalization in Organization
There are different processes and models are used by the people to implement change in
the organization process. For the change management in the organization company can use 8
step change implement plan can be used by organization. the steps that can be used by the
organization are create Urgency, develop strong coalition, create vision for implementing
change, communicate vision with people, remove obstacles, create short term wins, build on
change and anchor change in organization. These are common steps that can be used by the
organization for changes management.
Create Urgency- This process is about recognise the need of change for organization. This is how
urgency for change can be created in organization.
Develop Strong Coalition- This is about developing certain teams in organization with effective
and specialist people in technological fields.
Create Vision for Implementing Change- In this stage management and IT team of organization
create vision together form implementing new technology or change in organization.
Communicate Vision with People- In this stage people who are connected to the organization are
made aware of the change that is going to be implemented in the organization to develop the
profitability of organization.
Remove Obstacles- Various obstacles in the change implementation process are removed from
the organization process to make change implementation plan more effective.
Create Short Term Wins- Various tactics are developed in this step to implement change in
organization technology.
Build on Change- In this stage changes are implemented in the technology of the organization.
Anchor Change in Organization Procedure- As all changes are implemented in organization
these changes are anchored in the organization culture ad business process to improve the
operational efficiency of organization in market place.

Monitoring and Control
There are different processes can be used by the organization to track the implementation
plan of change in organization to keep it productive for organization. These process could be
related to technology or some traditional process also ca be used in the organization to get better
response from change implementation process. By monitoring and control process effectiveness
of change implementation plan can be achieved. Some of the common processes can be used by
the organization are – developing frame work for the change implementation process, outline the
complete process of change management, track the activity of the change implementation
process. This is how change implementation process can be implemented in organization.
It is based on the process of planning that have a plan which appears to be feasible and
resilient to certain constraints. Monitor and control is process of measuring performance which
undertaken corrective action to assure that enterprise is on track. In order to meet specific goal
and objective (Love, Zhou and Matthews, 2019). The success of digital technology that always
support for organization to increase productivity and profitability in marketplace. Monitoring and
control is the practices of looking for indication of how organization is progressing in short term
goal. In order to progress impact on the entire performance and efficiency (Barthel and Hess,
2019). These are the processes which required to review, track and regulate the progress and
performance in success of digital technology. Furthermore, by using monitoring and controlling
technique to identify the deviation from documentation plan.
The process include controlling the entire work, performing integrated change control,
scope of verification, schedule control, quality, cost and risk monitoring the project. Controlling
ensure that change the scope of baseline which are properly capture in project plan. The
corrective actions which are undertaken to bring scope of project activities (Harris and
Woodlock, 2019). It is important to keep the design team from over designing the particular
items. In order to implement the concept of digital technology. Controlling is that when critically
established communication among project manager and staff members. After monitoring the
risk, it often overlooked and control the implementing project documentation plan.
The digital transformation whether a change efforts that has succeeded or not. It would be
required to control the presence of digital technology strategy within organization (Love, Zhou
and Matthews, 2019). This type of concept will provide brief idea about the online presence by

using digital technology. As per controlling, it review the entire process of digital technology and
how it will support for organization to enhance enterprise performance in global world. It can be
possible when consider the important steps for achieving the significant objective (Barthel and
Hess, 2019). During implementing of digital technology project within organization that will
require to control the entire process of execution. Initially, it must require to ensure baseline plan
which being adhered. The project manager must be updated to budget which reflecting project
progress in step by step manner. Furthermore, it will be implementing the project in related to
the success of digital technology. Controlling and managing the different activities for project
completion.
However, it will control the quality of digital technology project and identifying
deliverables processes. In accordance with control or maintain project requirement (Barthel and
Hess, 2019). Afterwards, it will be done necessary changes when particular resources which are
not acceptable. In order to keep maintain the necessary changes as a key inputs include quality
management of digital technology (Love, Zhou and Matthews, 2019). During project execution,
it will measure the performance of entire work, primary output include validated deliverables.
These things are controlled during project execution. As project manager is to make sure that
control quality, testing, execution which allows to increase their effectiveness.
CONCLUSION
This report is concluding the importance of digitalization process for business
organization. The report is more focused on the change implementation process with in the
organization.in the report complete process of change implementation process has been
explained. The importance of change management process and implementation of Digital
technology in organization has been discussed in the report. Digitalization of supply chain
management and Customer relationship management has been critically explained in the project.
The change implementation program also has been developed in the report. Processes that can be
used by the organization for monitoring and controlling change management process also has
been developed in the report.

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