Data Insights for Business Decisions in the Footwear Industry

This document explores the role of data and information in the footwear industry, including the types of data collected and used, how data is used in day-to-day operations, and examples of how data is used to make business decisions. It also discusses different types of databases and information systems used in the industry.

MG413 Data insights
for business decisions

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
1. Identification and outlining the role of data and information within the industry or the sector
of profession that has been chosen above....................................................................................1
2. Examination of the type of data that has been collected and used appropriately by the
company and explaining it with the context that is this is first, second or third party data.........3
3. Set out how information and data is used within the day to operations of organisations
within that sector..........................................................................................................................4
4. Explain how information is captured and stored with key references to types of databases
and information systems..............................................................................................................5
5. Give an example of how data is used to deliver insight for business decision making within
the sector that has been chosen above.........................................................................................7
6. Describe how market research secondary and primary studies can be used in conjunction
with MIS and other database systems to increase insight............................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
The business firms that is operating in the current market irrespective of the industry in
which it is operational all puts a lot of attention on the analysis and evaluation of the data
insights and that too in an accurate and precise manner so that it can help the company to grow
and prosper in the long term scenario. Thus it becomes very important as well as crucial at the
same time for each and every company to examine its data in an elaborated manner so that in
case it needs any rectifications it can be done and implemented well within a limited time frame
that can add value to the organisation in the long run. In this presentation there is a detailed
examination, elaboration, analysis, and evaluation done on the footwear companies that are
operating in eth current market environment that is highly competitive as well as dynamic in
nature. Apart from that this presentation also covers different aspects that possess a lot of value
in the industry like the approaches that has been used for the collection and evaluation of the
data. Further this presentation also includes different market researches that are prevailing in the
current industry, examination of the database structure of the company, impact of the
development in technology with respect to the enterprise, using of data in an appropriate manner,
and outlining research so that capturing of data can be done in more smooth way are all the rest
topics that are covered and included in this presentation.
MAIN BODY
1. Identification and outlining the role of data and information within the industry or the sector of
profession that has been chosen above
It is very important to have a deep knowledge about the market conditioning since
footwear industry is one of the biggest markets and also fetches a considerable amount of
revenue with global context. Marketing helps many companies to establish themselves in the
industry since it proves beneficial in reaches a large number of people and that too within a
limited time frame. There has been a consistent growth in the industry of footwear and thus it is
very crucial to analyse and evaluate each and every situation in detail so that it can help the firm
to sustain and survive in the market of stiff competition for a much longer time period as
compared to its rivals that are also operating in the similar market conditions. Thus it is very
essential to monitor and examine the information and data that is related to the company and
impacts its performance in the long run so that it can be used to its advantage by implementing

appropriate and necessary rectification measures. There are a number of different organisations
that are working in the industry of footwear and the major ones are operating with a brand name
of Sketchers, Nike, Cody & Co, Puma, Reebok, New Balance, Adidas, Fila, etc. and they have
focussed mainly on their retail information technology sector for the overall improvement of the
company and thus it is one of the major reasons for its huge success in the market and other
firms can use their expertise knowledge and methods to make their company profitable in the
footwear industry. There are many roles that information and data plays for a enterprise so that it
can grow in the market and can stand well ahead from its rivals that are also working in the same
industry and thus all of those roles are explained in detail below in a systematic and sequential
manner.
Role of information and data-
 Different information and data set are collected by various departments of the company
in order to help the company in analyse all of them so that appropriate decision regarding
working of the firm can be made that can help the organisation to perform in a much
better manner as compared to the current positioning.
 It helps the enterprise to evaluate the current environment of the industry so that it can
make and implement necessary plans in order to beat the competition that is prevailing in
the market.
 It can also prove beneficial in creating and maintaining improved relations with the
customers by taking feedbacks on a timely basis so that necessary adjustments can be
made that can improve the experience of the customer with the firm.
 Collection of information and data also helps the company’s higher authorities to check
whether the firm is operating on a profit margin or not and can also compare the actual
performance with eth standard that has been set up at the starting.
 Also it helps the auditors, managers, and other professional authorities to evaluate and
analyse the true positioning of the company in the long term context.
 In case of footwear companies they must ensure that they are operating in other countries
too so that they can reach global audience and can further help in optimum utilisation of
the available resources and thus reducing the cost of operating and increasing the sales
and profitability in the market.

2. Examination of the type of data that has been collected and used appropriately by the company
and explaining it with the context that is this is first, second or third party data
There are a number of different types of data and hence it is very crucial as well as critical
at the same time that the chosen data set is precise and accurate enough so that it can carter the
needs, requirements, and demands of the organisation’s higher authorities. The various data sets
are described below in detail-
First Party Data-
 It is also known as primary source of data and hence it is the one that is directly collected
from a source or by doing different types of surveys, taking feedbacks, etc. and thus it is
considered to be the most reliable source of data and information. In case of footwear
companies the primary data is the one that is directly collected from the source which is
mainly their customers in the form of feedbacks and suggestions.
 The data that is generated is generally taken by the managers that are a part of the team of
relationship management and thus they directly contacts the customers and take their
valuable inputs that can be used for the moderations in the products or services that it
renders in the current market situations. Also geographical location also plays a big role
in it since all the persons have different requirements that are according to the area in
which they are living and hence all the employees that are appointed to collect relevant
data keeps in mind this factor as it is one of the most crucial one that helps in the
improvement of the sales in the long term.
 The data that has been collected by the employees are in the form of a set pattern that is
followed by the customers while purchasing their products, behaviour, insights, future
aspect, purchasing power of the individual are the factors that are analysed and evaluated
in this scenario.
 Generally for the data and information aspect the company mostly enables a pixel that is
placed on their website so that it attract as much number of people as it can.
 These all collect and interpret the data about the number of customers that are visiting the
site, frequency of the customers, preferences, future goals and desired products, etc. all
are examined in this level only.
Second party Data-

 It is a data that is well known as secondary data and hence the information that is
collected in it is taken from someone else’s record and necessary adjustments are done in
it according to the needs of the company.
 It can be understood as a firm can purchase a set of data and information related aspects
from other company so that they can take their decisions that are related with marketing,
product improvement and introduction of new products in a well systematic and
sequential way.
 This data set can be further used for the purpose of increasing the promotion of the
product beyond a certain level so that the product can reach maximum number of people
and that too within a short time frame.
Third Party Data-
 This is a type of data set that does not include customer and is collected by a third party
that does not have any direct relations with the buyer.
 The footwear companies purchase large data set from the aggregators and other platforms
that include the website that has been generated for the sole purpose of it.
3. Set out how information and data is used within the day to operations of organisations within
that sector
There are different aspects that explains the above mentioned factor and thus all of them
are explained in an elaborate manner below with reference to the footwear sector-
 The information of data is stored with the footwear companies and they maintains a
proper record of each and every transactions that has been done in the business so that it
can help in analysing the volume of sales that is generated in the firm so that level of
profitability can be analysed in an impactful manner.
 The data that is in the form of numerical value it helps the company in marinating a
complete record of the inflow and outflow of the stock so that appropriate stock level can
be maintained in the organisation that can prove beneficial in the smooth operation of the
firm in the long run. Many companies that are also discussed above use this so that it can
reduce the cost of operating by marinating a satisfactory level of inventories in the
enterprise.

 The information that is collected of the customers are used for the purpose of marketing
so that the product can reach its prospective buyers without any complications in between
which can prove useful for the company to increase its volume of sales in the long term
conditions.
 The information that has been collected and summarise by the firm are also used in
various other purposes like auditing, calculating the total net worth of the company,
accounting aspects, etc. and thus helps in overall improvement of the performance level
of the organisation in the market in which it is operating.
4. Explain how information is captured and stored with key references to types of databases and
information systems
There are a number of different information systems that are prevailing in the current
market scenario but the ones that possess a lot of value are examined and explained in detail
below with reference to the footwear sector-
Transaction processing system (TPS) - It is a system that is related with recording and
summarising the transactions that are done on a daily basis so that a systematic record can be
maintained of all the sales that has been done for a particular period so that it can be used as and
when required by the company. This is a system that is related with use of prescribed software in
which input can be send and it is capable of giving appropriate output so that sales and
profitability level can be analysed and evaluated in an accurate and precise way.
Management Information System (MIS) - It is a system that is related with the
management of all the functions that are performed by the firm so that all the efforts are directed
towards a similar goal that has been formulated at the starting. In this system it is checked that
every job role is attached to the authorities and responsibilities that are needed to perform its
duties in an effective and efficient manner so that it can prove beneficial from the company’s
point of view.
Decision Support System- It is a system that is associated with taking appropriate
decisions for the working of the company by analysing current and future trends so that it can
help the firm to survive and sustain the competitive and dynamic business environment of the
industry. This system include two methods that are MIS and TPS that are examined in detail
above and thus it can be said that this system is a mixture of the above two concepts and thus

includes parts of both the systems so that it can help the higher authorities to take decisions that
are in favour of the organisation in the long run.
A detailed structure of the systems that are studies above is given below-
Types of database- There are a number of different databases which is mainly a software
that helps in storing various information in a precise format. Files are stores in a system that is
known as Database Management System (DBMS) and its different types are as follows-
 NoSQL
 Object-oriented
 Graph
 Hierarchical
 Document
 Relational
 ER Model
 Network
There are many information’s that possess a lot of value for a footwear company and thus it
is thought by each and every firm that is operating in the market to safeguard that information
and set of data since it is highly private and confidential in nature. So, the organisations uses the

following database management system so that the data can be recorded in a precise format
without compromising on the privacy aspect.
5. Give an example of how data is used to deliver insight for business decision making within the
sector that has been chosen above
The method that has been discussed above is used by almost all the firms that are operating
in the industry since it helps in taking decisions that are according to the present and the future
aspects like trends, preferences, tastes, etc. of the prospective buyers so that appropriate
rectification measures and changes can be made that can help the company to grow and prosper
in the industry in which it is operational. It also helps in meeting the expectations of the
customers and thus results in improved level of sales in the future.
Example- It can be seen from the company that is Amazon as it stores the information
about the preferences of the customers and the things that are brought by them and after
analysing and evaluating all the aspects they gives suggestions for similar products and even for
the same product and also offer discounts and thus attracts a lot of buyers with the help of this.
Adidas and Nike also use the similar patterns so that it can help them to increase their sales
level and subsequently profitability in the long run.
6. Describe how market research secondary and primary studies can be used in conjunction with
MIS and other database systems to increase insight
Market research is mainly conducted by firms in two major parts that is primary and
secondary in which primary is the method of data collection which is directly collected from the
source whereas secondary method is the one that uses information of primary and further updates
and upgrades it. Thus different studies are conducted by companies in order to evaluated and
analyse the market environment in detail so that it can add market value to the organisation in the
long run.
Information system also possesses a lot of importance since it helps in collecting,
recording, and summarising the information and data that is related with the customers,
employees of the company, stakeholders, etc. so that all the facts and figures can be examined in
detail that can prove useful from the firm’s point of view. Different systems of database are used
in this regard and the major ones are TPS, DSS, OLAP, and artificial intelligence so that it can

increase the volume of sales by matching the actual performance with the standards that has been
set up at the starting.
CONCLUSION
It can be concluded from the above that footwear industry is one of the biggest sector and
thus it is very crucial to analyse and evaluate all the things that impacts the working of the firm
so that the organisation can improve its current market positioning. Apart from that it can be
concluded that there are mainly two methods of data collection that is primary source and
secondary sources in which the former one is considered to be more reliable and the latter one
depends on the accuracy of the previous one. Further it can be concluded that firms uses different
database management systems to store and record the data and information so that it can be used
as per the requirements in the near future.

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