Business Strategy Alignment of Edeka Group

8 Conclusion 9 References 9 INTRODUCTION Information system refers to integrated set of components for collection, storage and processing of data for extracting information as well as digital products. Relevance of emerging technologies, strategic needs, long and short terms needs of information system has been provided. Apart from this, policies & strategies associated with ICT as well as key issues of business have been provided.

IS and Business Strategy
Alignment

Table of Contents
INTRODUCTION...........................................................................................................................1
Question 1. Evaluation of business strategies available for organisational development along
with their benefits........................................................................................................................1
Question 2. Critical assessment of business strategies as well as feasibility with respect to
internal and external ICT.............................................................................................................3
Question 3. Analysis of relevance of emerging technologies in context of strategy of Edeka
Group...........................................................................................................................................4
Question 4. Identification of long term strategic requirements of business, its customers and
stakeholders.................................................................................................................................6
Question 5. Illustration on short as well as long term requirements of new IS (Information
system).........................................................................................................................................6
Question 6. Outline on contributions in development of ICT policies and strategies along with
security, feasibility and quality....................................................................................................7
Question 7. Aggregation of key issues along with justifications and findings by taking into
consideration ethical usage as well as IS acceptance..................................................................8
Conclusion.......................................................................................................................................9
References........................................................................................................................................9

INTRODUCTION
Information system refers to integrated set of components for collection, storage and
processing of data for extracting information as well as digital products. Business organisations
are are dependent on information system for conducting as well as managing their operations as
well as interact with customers & suppliers. Business strategy is aggregation of all decisions and
actions carried out business for accomplishment of business goals for securing a competitive
position within market. When both of these sections are combined the results obtained will be
intense in form of profitability as well as decision making along with effectual communication
can occur in between various stakeholders associated with this project. This report is based on
Edeka Group which was founded in 1898 and is headquartered in Hamburg, Germany. In 2017,
it was the largest German supermarket corporation which comprises of around 20.3% shares.
They have around 4100 stores which vary from hypermarkets to small corner stores. This report
is based on mobile business strategy. Along with this, it addresses transformation of business and
benefits which can be gained from the same. Furthermore, feasibility of strategy opted by
organisation is analysed. Relevance of emerging technologies, strategic needs, long and short
terms needs of information system has been provided. Apart from this, policies & strategies
associated with ICT as well as key issues of business have been provided.
Question 1. Evaluation of business strategies available for organisational development along
with their benefits.
Information system refers to compendium of technical as well as human resources which
renders storing, computing, distributing and communicating capabilities which are needed by
organisation. Basically, it is assembly of infrastructure, software, hardware and trained personnel
who are responsible for facilitating planning, coordination, decision making and control in an
organisation. Organisation needs to opt for innovation as well as innovation based business
strategies as they possess the potential for defining scope of business. This report is based on
mobile business strategy as it enables organisation to internalise their opportunities and
accomplish needs of customers.
Edeka Group is a hypermarket and operates at large scale with near about 13646 stores
under all the brands. This means that they need to have effective communication channels
through which they can carry out effectual interaction with all the employees in all outlets. Along

with this, management of Edeka Group needs to have system through which they can address
queries of their potential customers. Different strategies can be used by organisation by aligning
their operations with information systems to have accurate, quick and easily accessible results. In
this context with respect to mobile based strategies various strategies can be formulated by
management of Edeka Group. They are illustrated below along with their benefits:
1. Application can be developed: To integrate business operations with information
system, Edeka Group can have their application. It looks easy for a customer or employee
to click on sign up or login option to have the details. But at the back end it involves lots
of programming as well as a large amount of space, it can be in zetabyte or yotabytes
(PB) depending upon the data stored on this. A developer or programmer will develop an
app (application) which will provide certain features as per the requirements organisation.
Like Edeka Group is a supermarket along with wide range of services, they need to have
enhanced as well as accurate information. Through this app, employees can login into
devices via their credentials. By this, they can apply leaves, can examine what all duties
they carry out, their timing, salary details, apply for leaves, make online purchase if need
some and many others. With respect to customers, organisation can provide them with
login credentials, options for checking out what all products or services are available at
stipulated time duration, buy products online, make payments fro the same and if they
have any sort of queries then they can contact with technical or customer care team of
Edeka Group depending upon kind of problem faced by them. This strategy will assist
entire organisation and their major stakeholders to carry out their work in an appropriate
manner as well as without any kind of hindrance in their operations.
2. Storage on Cloud: Due to the privacy concerns with respect to information of major
stakeholders as well as processes of organisation, it is necessary that information must be
stored at a place where it is secured. At present scenario, people specially youths are
more addicted towards a gadget which leads to different forms of ideas into their minds
through which they tends to get into illegal practices such as hacking, virus attacks, trojan
horses or any other malicious attack to get access to system of a victim's system. The
major benefit which will gain by Edeka Group is that they can secure their information
within cloud as per requirements of organisation vendor can provide various options.
This will also enable them to have access to information whenever they needs it.

3. Usage of AI: Artificial intelligence at this present is widely used as it provides large
number of benefits for organisations as well as customers. With respect to Edeka Group,
for premium customers they can have option of robots. For this, customers as per their
requirements can have a robot within the supermarket and give them order through
mobile devices to bring items needed by them or they can move along to handle their
items. The benefit of this will be a simple command will help an individual to make their
work done by someone else. Same goes with employees.
Question 2. Critical assessment of business strategies as well as feasibility with respect to
internal and external ICT.
Mobile based strategies will assist organisation to make their work smoother, quicker and
easier. Edeka Group must opt for these strategies to intensify their productivity as well as
profitability. Few strategies are mentioned above with respect to Edeka Group which will assist
them in certain aspects. Their implementation is not as simple it seems but it is practically
possible. With respect to feasibility these strategies are critically evaluated below:
 Development of application: This is one of the most feasible steps in terms of its
formulation or development. Some specifications are mentioned above and as per
demands of organisation more features can be added on their application which will
enable them to have their operations smoothly. But the cost involved in this will be high
as for carrying out operations in around 13646 stores there exists various employees and
to store their information lots of space is required around some zetabyte or yotabytes.
This can be costly. Along with this, it will be taking some time for its development. On
the other side, there exists certain affirmative as the sales will be increased as people will
be aware about what is available within the store at present moment of time. According to
this, they can plan their shopping along with this if certain item is not present at specified
moment of time then alternatives will be shown so that if its urgent then they can opt for
substitutes. This will enable Edeka Group to accomplish needs of their customers and
vice versa. Along with this, options for online shopping will also be available and
transaction can be also carried out. The application which will be provided by them will
have various options such sign up, log in, items available, add to cart, buy, make
payment, talk with customer support executives and many others. The features available

to employees will be different. It will provide a unique interface depending upon
hierarchy of organisation.
 Storage on cloud: Edeka Group can opt for storage from cloud. Within market, there are
various vendors who provide space for storage, development of applications, there
execution and many others. This will aid organisation to save their money, as they need
to pay as per needs of organisation like if there customers are increasing then they can
have more space and vice versa. It completely depends on requirements of organisation
and pay to vendor as per that. Along with this, cost associated with software, interface or
platform needed can be eliminated. Information can be recovered which is the major
advantage offered by cloud. Apart from this, there exists certain disadvantages that there
is Edeka Group needs to completely depend on internet connection to access data and
high speed is needed.
 Usage of AI: The organisation can make effectual use of AI within their working
structure. It will enhance efficiency of Edeka Group as machines do not have emotions
and even do not get tired by working. By this human errors can be avoided as computers
do not make mistakes if they are programmed in an appropriate manner. But on the other
side their exists some drawbacks also such as it will need a lot of money to acquire robots
and program them as per the operations of Edeka group. Along with this, there is lack of
personal connections. There do not exist creativity, its all the way in which they are
programmed.
Question 3. Analysis of relevance of emerging technologies in context of strategy of Edeka
Group.
Management of Edeka Group can opt for development of application to furnish
appropriate services to all stakeholders either they are customers or employees. With respect this;
the relevance of emerging technologies has been explicated below:
 Distributed Systems: These are the software or application which executes on multiple
devices in a network at same time and can be stored on servers. They appears as identical
system to end user. With respect to Edeka Group, large number of people will be using
the app for different functions at a specific moment of time. In this case technical team
need to make sure, that there app do not get overloaded due to heavy users. They also
need to make sure that there database has lots of space so that items which are entered by

users or customers in cart can be saved. This will assist them to manage details of all
users in an appropriate manner and they can login into app by the credentials entered by
them.
 Virtualisation: It refers to act for creating virtual version of something which comprises
of virtual hardware platforms, computer network resources and storage devices. The
major goal is to manage workload radically by transformation of traditional computing
to make this more scalable. On behalf of the customers of Edeka Group, they might face
security risks as data breach has been increased by significant rate. With respect to
organisation, it can be costly as well as they might not be compatible with other
applications and servers of organisation.
 Cloud applications: At present scenario, cloud computing is growing at faster pace
which is streamlining IT processes by making computing easier. By integrating this with
their (Edeka Group’s) application they can gave affirmative impact. Through this, it
becomes easy to access data anywhere and anytime. Suppose if the information
associated with products present at present moment of time is stored in cloud then it can
be accessed by anyone and anytime when it is required. This will enable Edeka Group to
enhance their efficiency as well as productivity by making sure that application is always
accessible to customers as well as other stakeholders who are involved in this. Along
with this, Edeka Group does not need possess external hardware for this in terms of
physical storage but if backup is kept then it would be better. In terms of cost it’s
minimal with cloud hosting services which enables organisation to improvise their
working structure. But on the other hand there exists some negative impact also, it is
entirely dependent on internet, this implies that high bandwidths as well as consistent
internet services are required to have benefits from cloud. Other major issue is downtime
like cloud vendor can have some technical outages due to certain reasons such as low
internet connectivity, loss of power; data centres are not available due to maintenance
are few reasons but there exists a lot. This will lead that application of Edeka Group may
not work for some time thereby creates negative impact on their customers.

Question 4. Identification of long term strategic requirements of business, its customers and
stakeholders.
Strategic plan is formulated to identify needs of organisation and furnish clarity about
decision making process. In this management of Edeka Group, focuses on allocation of human
resources, capital and means for implementation of this process which involves what they are
and what they can do to reach a certain mark. For this organisation need to define their long term
goals and time which will be required to reach that point. But they need to identify their position
at present scenario so that accordingly they can work on what is required next. It is necessary for
organisation to have strategic planning for future to have intended results. In this case they need
to have specified mission and vision. The vision of Edeka Group is to serve their customers in
best so that they can have significant place in their lives and form lifelong relationships.
Convenience, speed, personalisation and innovation are cornerstones of experience of their
customer. Their mission is “Words are beginning, their values and purpose works in
accumulation with each other for fostering conversations as well as connection both internally
and externally”.
Strategic requirements of Edeka Group comprises of having high productivity as well as
profitability by furnishing high quality goods and services to their potential customers. They are
looking forward to increase their sales by 25% in next 2 years. For this they can have an
application by which their customers can acknowledge their needs and can have that at their
doorstep easily. This might lead them to increase their customer base as people at present
scenario are addicted to online services rather than spending time in offline shopping. Through
application, employees will be also benefited as they do not have to look for their seniors to
know their tasks or timing on particular day. By making use of app employees of Edeka Group
can have all the details. Along with this, other stakeholders who are part of this organisation can
be benefited by the way in which services are furnished. Furthermore, by making advancements
in their application, they can acquire relevant number of customers and making their own work
easier.
Question 5. Illustration on short as well as long term requirements of new IS (Information
system).
Information system is a sociotechnical, formal system which is designed for collection,
processing, storage and distribution of information. The basic and crucial components of IS are

technology, structure, people and task. New information system is an application which can be
found in playstore or any other medium through applications can be installed in a mobile. Mobile
based strategy aims at providing services at few clicks. Edeka Group aims at providing their
customer essential facilities so that they do not waste time while coming up to the store and look
for item that might not be present on specific day. Short term needs of Information system are
storage space of few Mb’s on mobile of customers and employees and login credentials for
employees. On behalf of organisation, it will be a developer for developing app, storage space
which will be varying in yota or zetabyte depending upon number of customer’s organisation
have, cloud vendor for providing required space as well as technical team if something goes
wrong.
With respect to long term needs of information system, organisation needs to make
updation in their services with respect to alterations which have made in their stores and if any
new stores have been started, along with this additional feature can be provided to regular
customers like discounts or gifts on purchase of certain amount. This will lead them to attract
more number of customers towards their services. If number of customers are increasing then
they can have more space from cloud vendors and if it do not happens then depending upon
number of customers and employees they can mange space & pay for the same. This will
eliminate the wastage of money which can be utilised in maintenance of application. In future
context, they can have different applications for employees and customers if number goes on
increasing so that application do not get overloaded and which minimise its performance.
Question 6. Outline on contributions in development of ICT policies and strategies along with
security, feasibility and quality.
Information and communications technology (ICT) is the components and infrastructure
which enable to bring modern computing. Generally, it comprises of all the networking
components, systems and application which are combined together to allow organisation as well
as people to communicate with each other in a digital world. ICT policies are the roadmap for
implementation of their strategies. It is basically a roadmap of actions which can be pursued and
adopted by public or private sectors which comprises of broadcasting, telecommunication and
the internet. Their policy is to have legal framework for enabling operations.
With respect to Edeka Group, they are about to have their own application to facilitate
their crucial stakeholders to carry out their requirements. The application will be developed in

accordance to ICT policies. Along with this, the organisation will be combining certain software
as well as hardware components to execute a single application. This will lead them to have
enhanced sales of services. Key factor is security which Edeka Group focuses on, for this they
have made sure that confidential information of their customers as well as employees is secured
and this can be attained by making use of encryption algorithms for development of their
application. In this case information which will be stored in database will be in encrypted form
which cannot be accessed by anyone else. Only technical team i.e. high authorities will only have
the access tto specific information until and unless it’s very urgent.
Question 7. Aggregation of key issues along with justifications and findings by taking into
consideration ethical usage as well as IS acceptance.
Certain issues can be faced by organisation while implementing the application and while it
is in use. There can be the wide reasons for this, programming has not been completed or any
bug exists which interrupts its execution, bandwidth issues can arise which leads to
unavailability of information or running application, as it is connected cloud there can be power
loss or anything by which organisation and its stakeholders may not be able to have access to
information. But overall it has been found that despite of certain drawbacks there exist various
benefits which have been illustrated in above answers. Along with this, as technology is evolving
there arises certain ethical issues which must be taken into consideration by Edeka Group while
making out updation and also ensure that there is no loophole through which intruder can enter
into a system.
It is necessary for professionals to interpret the concept of information system and make sure
that it is the responsibility of individual who make use of technology to ensure that ethical
decisions are carried out. The usage of information system or computer within Edeka Group
within back room, unaffected and unseen by other activities that were being carried out by others
has became outdated. When information system personnels are engaged within unethical
behaviour which will lead entire organisation to suffer as they have to carry out their
responsibilities accordingly. Enhanced examination of these operations by management as well
as other employees will make it critical for extraction of information by other people outside
their work premises. No one can enter or make use of computer systems, data files or software of

others without their permission. One needs to attain suitable approval before making use of
system resources which comprises of system resources like file space, communication ports,
computer time and various other systems peripherals.
 Execution or designing of systems which are unknowingly or knowingly take down
groups or an individual is not ethically acceptable.
 Organizational leaders of Edeka Group need to ensure that computer systems increase the
quality of working life. While execution of computer systems, organization need to take
into consideration professional and personal development, dignity of employees and their
physical safety.
 Suitable human-computer standards must be taken into account by management of Edeka
Group while formulation system designs within working place.
Conclusion
From preceding report, it has been found that IS (Information System) at present scenario
has a vital role in success of organisation. It is responsible for taking organisation to new heights
if they are being managed and used in an appropriate manner. A firm needs to have strategies
with respect to latest innovations within market in terms technology. People are addicted to
smart devices at present and if any retail organisation is providing them with all the crucial
functions then it will lead them to growth. Thereby leads to enhanced productivity as well as
profitability but it are only possible if organisation have clear vision with respect to what is
required and how it can be attained.

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