MIS782: Value of Information

MIS782: Value of Information

Table of Contents
Introduction...........................................................................................................................................2
Organization background..................................................................................................................2
Financial performance of the organization........................................................................................2
Business problems and opportunities...................................................................................................3
Business and IT alignment.....................................................................................................................4
Determination of several alternatives...................................................................................................5
Analysis of the alternatives....................................................................................................................6
Select best and appropriate recommendation......................................................................................9
Create plan for implementation..........................................................................................................11
Conclusion...........................................................................................................................................11
References...........................................................................................................................................12

Introduction
According to the Berman, (2013), Increase in the online shopping and technology increases
the competition among several organizations in e-commerce field. With the advancement of
the information technology and introduction of the big data technology in business process
helps the organization to improve higher performance and increase better customer’s
satisfaction (Brown, Chui, & Manyika, 2011). Cuzzocrea, Song, & Davis, (2011) said that in
order to improve the performance of the organization operations, the business (e-commerce
organization) need to adapt BI (business intelligent) through Big Data Analytics. In present
competitive market big data analytic has a significant impact on organization performance.
The present assignment mainly deals with the identification of the issues associated with the
organization and also provides an effective opportunities regarding improvement of the
performance. The assignment also deals with the identification of alternative and analysis of
the alternative using different parameters such as benefits, feasibly, costs and risk. At last the
assignment provides an effective recommendation and planning for implementation of ideas.
Organization background
The organization Gap, Inc is mainly known as the Gap, is an American accessories retailers
and worldwide clothing. It was established in the year of 1969 by Doris F Fisher and Donald
Fisher and its headquarters are California, San Francisco. The organization is mainly
functions five primary division banana republic, Gap, Waddington Way, Intermix and
Athlete. The organization is the largest retailer’s organization in the US and the third total
international locations after H&M and Inditex Group. At the end of September 2008, the
organization has approximately 135000 employees and functions more than 3727 stores in
worldwide of which 2372 is located in the United State.
Financial performance of the organization
As per the organization financial statement, it can be found that the company can generate
US$15.855 billion revenues in FY2017, US$1.479billion operating income in FY2017 and
net income was US$848 million in FY2017. Moreover it can be found that the organization

net sales performance was decline from FY2014 to FY2015 by 4.05 % [FY2014: US$16435,
FY2015: US$15797].
The financial statement of an organization also indicates that performance of the organization
also decreased from FY2015 to FY2016 by 1.81% [FY2015: US$15797, FY2015:
US$15516]. The findings also shows that performance of the company in terms of gross
profits continuously decline from FY2014 to FY2016 respectively. Therefore the findings
and analysis shows that organization is not performing well in market and due to that they are
not able to satisfy their customers that effectively impact on their performance.
Business problems and opportunities
As per the findings and the given information, it is seen that Gap Inc performance in terms of
share is not up to the mark. The findings shows that in FY2015, organization still
disappointing with 24% decline performance in operating income, 6% fell in EPS as well as
its net income was dropped 43% respectively. Therefore from the findings and analysis it can
be observed that the main business problems that the company face in present situations are
related with the sales, revenues and income profits which decrease the performance of the
organization in terms of profitability and liquidity. From the findings it can be seen that the
company is not effectively able to satisfy its customers and that is the main reason of the
degradation of the performance of the organization in competitive market. From the
observation it can be found that Gap Inc has one issue that it cannot balm on financial
situation: bad Fashion style. That the organization has not been able to offers such type of

products that the customers expected from that. Its clothing style or fashion style is failed to
entice customers. On the other hand, it is found that the organization adverstiment
communication strategies are not much effective which also considered the main factors to
reduce the performance of the organization. From the organization financial statement it can
be found that the organization is not able to manage their inventory effectively that has a
significantly negative impact on its gross profit margin. The observation shows that the
organization is suffered from the data security issues which could have negative impact on
their results of consumer’s confidence and operations in their security measures. The
organization present strategies such as market expansion in several countries through
different channel are not success. The organization also suffered issues related with the
customer’s trends and tests, and as an outcome sales performance of the organization is
decreased.
Therefore the analysis and findings shows that lack of the knowledge in marketing expansion
strategies, inappropriate supply chain management strategies, data security issues, unable to
identify customers trends and needs and highly competitive market in US and all over the
world are the main reason of the degradation of the performance of an organization in terms
of share, revenues and profitability (Brown, Chui, & Manyika, 2011). Therefore it can be said
that the issues associated with the organization are decline share market, decrease customer’s
satisfaction, decrease profits and revenues and issues that the organization or its franchises
are unsuccessful is gauging changing consumers preferences and appeals trends.
In order to improve the performance and increase customer’s satisfaction in better manner
Gap Inc needs to incorporate Business Intelligence with Big data analytics techniques.
Implementation of this technology not only helps the business to increase performance but
also helps them to identify customer’s preferences and taste in better manner. Moreover, the
other opportunity is that the organization needs to enhance their supply chain market strategy
which helps them to increase sales performance. In addition to this, it is seen that in US19%
of appeals was sold with the help of online channel in year of 2016 as well as in year of 2015
clothing industries became the best selling through internet driven the by the organization
Amazon. It is seen that the Gap Inc has more than 3000 physical stores; therefore it is the best
opportunities for the business to offers their products and goods through online.

Business and IT alignment
Business intelligence system are technologies and applications for storing, accessing,
analyzing and gathering information for better business decision making process. Business
with IT alignment (including BI with big data analytics) helps the organization to monitor
and measure the key performance of the organization and also helps them in forecasting sales
performance, performing data mining and analysis the preference of consumers in order to
find out organization opportunities and building better brand name (Furht, & Villanustre,
F2016). As per the Gap Inc case study, it can be found that the organization is presently
suffered from sales performance issues that adversely impact the organization gross profit
margin and revenues. Therefore, alignment of an Information technology tools and
techniques would help the organization to understand the issues associated with the
organization in successful manner. As studies conducted by the Chen, & Zhang, (2014), IT
tools helps the business to cleanse, extract, consolidated and transformation of the
heterogeneous information into signal enterprise. Moreover it also helps the business to
provide the information regarding upcoming trends that helps the management to formulate
and solve business issues in better manner and also support in the process of decision making
process (Buyya, Calheiros, & Dastjerdi, 2016). IT tools alignment helps the Gap Inc to
determine buyer’s purchasing behaviours, helps in maintaining supply chain, offers
personalized offers for buyers and making assure predication.
From the findings it can be seen that the organization Gap Inc is presently suffered from the
fraud and cyber attacks, therefore alignment of IT tools helps the business to prevent fraud in
successful manner. Implementation of the IT tools helps the business to promote their
products in market in successful manner (Buyya, Calheiros, & Dastjerdi, 2016). The case
study of Gap Inc indicates that the organization has lack of adverstiment marketing strategies
and also not be able to fulfil the needs and wants of the customers; so that these issues can
effectively solve if an organization can introduce IT tools and techniques in business process.
Determination of several alternatives
Consumers in present days are pretty good in comparing the services and products in
different e-commerce organizations from different site. The comparison mainly involves in
terms of quality and price, offers provided by the sellers, consumer’s reviews as well as
number of products or goods sold out. Moreover, consumers are able to getting information
regarding products from several channels and have better ideas where to purchase and what

to why. Therefore in such situation adoption of the big data analytical techniques allows the
organization to observe customer’s purchasing behaviours and collects the information trail
of information regarding their online behaviours (Zsidisin, 2003).
Therefore in order to enhance the performance and increase better market share the
management of the organization Gap Inc needs to implement considered several alternatives,
these are
BI with data analytics techniques: Business intelligence with data analytics techniques
helps the organization to analyze the data and presenting actionable information to manager
and others executives to make an effective decision in critical situation (Chen, & Zhang,
2014). Implementation of these techniques in Gap Inc business process helps them to enhance
decision making, market efficiency, and increased profits as well as reduce expenses in
successful manner. Business intelligence with data analytics techniques helps the business to
predict tends as well as competitor’s analysis in successful manner (Russom, 2011). Gap Inc
case study, it is found that lack of the predication ability and competitor analysis has an
adverse impact on organization performance. Thus the implementation of BI helps to solve
such type of issues in successful manner.
Making supply chain fashionable:- The organization Gap Inc needs to implement digital
transformation in their existence supply chain management strategies that helps them to
reduce distribution lead times and product development, so that enabling gap to be more
effective and responsive to consumer’s preferences (Zikopoulos, & Eaton, 2011). One of the
key success factors for Gap Inc is an effectively and highly responsive supply chain
management strategy in their business models that helps them to enable delivery of new
fashion and trends. Implementation of digital transformation in Gap Inc business models
helps them to allow wholesalers, manufactures as well as distributors to adjust effectively and
reduce limits and inventory costs.
Adverstiment strategies required digitalization: - Successful implementation of the
product 3.0 need better adverstiment strategies with digitalization. It is seen that, Gap Inc has
lack of adverstiment strategies that create confusion in front of consumers or buyers.
Therefore it is said that implementation of the better adverstiment strategies with
digitalization helps the business to promote their products and goods in successful manner.

Analysis of the alternatives
BI with data analytics techniques
Feasibilities The feasibilities analysis mainly dependent on the
economical and technical feasibilities. From the findings
it can be seen that to implement big data analytics in
Gap Inc business process organization needs to recruit
highly qualified IT staffs members. In economical
feasibilities, it is said that implantation of big data
analytic techniques Gap Inc business process helps the
organization to increase huge traffics and improve
performance effectively.
Benefits The main benefits associated with the implementation of
the big data analytics are increase performance of sales,
increase customer’s confidence, determine the trends of
market and achieve business objective in successful
manner (Zakir, Seymour, & Berg, 2015). Apart from
that implementation of the big data analytics also helps
the business to reduce operational costs and Drive
customer profitability in successful manner.
Costs The total cost associated with the implementation of BI
analytics in business process is US$10000.
Risks (risks matrix and risks
register)
Risk Impact Probability Mitigation
strategies
Lack of
IT staffs
5 Low Hire experience
employees
Lack of
finance
4 Low Use different
sources of fund
including bank loan
Lack of
expertise
in using
big data
5 High Training and
development
Making supply chain fashionable

Feasibilities Gap Inc business process operates both national and
international market therefore enhancement of the
supply chain management system aids the management
to increase performance in successful manner.
Benefits The main benefits associated with making supply chain
fashionable is that it would improve product rich to the
market and customer can effectively reach to the
products (O’Donnell, 2016). Moreover it can be said
that it helps the business to optimize customer’s services
which directly improve the performance of the
organization in better manner.
Costs The total cost associated with Making supply chain
fashionable in business process is US$5000.
Risks (risks matrix and risks
register)
Risk Impact Probability Mitigation strategies
Lack
of
staffs
5 Low Hire more employees
Lack
of
finance
4 Low Use different sources
of fund including
bank loan
Adverstiment strategies required digitalization
Feasibilities The organization Gap Inc has high rich in market
therefore that implementation of the adverstiment
strategies with digitalization improve the customers
reach in website.
Benefits The benefits associated with the digitalization strategies
are increase products reach in huge customers, increase
sales performance and revenues.
Costs The total cost associated with Adverstiment strategies

required digitalization in business process is US$2500.
Risks (risks matrix and risks
register)
Risk Impact Probability Mitigation
strategies
Lack of
IT
expertise
4 Low Hire experience
employees and
promote training
and development
Lack of
finance
4 Low Use different
sources of fund
including bank
loan
Select best and appropriate recommendation
On the basis of above findings and analysis it can be recommended that the organization
needs to implement business intelligent with big data analytic techniques in their business
process. Implementation of the big data analytics helps the business to gather relevant
information and process data in correct manner and offers quality information to management
in their business marking procedures (Sanders, 2016). Moreover, in present technology ear,
main objective of business is to fulfil the needs and requirements of stakeholders including
customers, suppliers and vendors in successful manner and the utilization of big data
analytics in business process helps them to satisfy their needs and wants in better manner. Big
data analytics mainly implemented predictive analysis techniques which is mainly based on
the three main key attributes captures, predicts and act (Srinivasa, & Bhatnagar, 2012).
Capture mainly focused on gathering information from different sources whereas predicts
includes the data mining, text mining and statistical analysis techniques (Zikopoulos, &
Eaton, 2011). . Implementation of the predict analytics techniques automatically
synchronized with the big data, business rule, mathematical science as well as machine
learning that helps the business to make predation of upcoming trend and provide
recommendation in decision making process to fulfil the demands and take benefits of future
opportunities.

Implementation of the predictive analysis techniques in big data technology helps the
business to provide meaningful information that learns from the past data to predict the
upcoming behaviour of person in order to fulfil their needs and drive better decision
(Handfield, 2006). Implementation of big data analytics Gap Inc business process helps to
connect information effectively and draw a valid conclusion regarding market trends and
future trends. It would help the business to exploit the pattern found in the past data to
determine opportunities and potential risks before they take place (Russom, 2011). Big data
analytics techniques help the business in map reduction solutions explained in below figure.
It helps the business to take huge amount of data in short time of period and allow processing
the collected data in parallel that helps to reduce time to process the data in successful
manner.
With the help of predictive analytical techniques the organization can sell their existing
products and goods in successful manner. The organization such as Netflix and Amazon uses

predictive analytics techniques in its business process in order to mine the data and find the
customers preferences in successful manner. Therefore it is recommended that
implementation of the big data analytics helps the organization to identify the uses of pattern
of consumers buying behaviour through customer’s history or express preferences.
Big data analytics helps the business to launch new product development in market in
successful manner. With help of findings and findings of consumers past preferences, Gap
Inc business can generate such products which the customers wants (Buyya, Calheiros, &
Dastjerdi, 2016). Moreover it also helps the organization to lean new fashion elements as well
as utilized that insight to design its own products and goods.
It is recommended the organization needs to implement big data analytics techniques in their
supply chain management process that would helps them to enhance supply chain
management strategies in successful manner. This solution helps the organization to sell their
goods or products in market through cost saving. In addition to this it is recommended that
the management of the organization also needs to adopt better security techniques in big data
analytics and their website that would helps them to increase customers confidence in
successful manner (Furht, & Villanustre, 2016). Therefore from the findings and analysis it
can be said that implementation of big data analytics helps the business to execute its
business operations in smooth manner.
Create plan for implementation
First Level
Activities
Second Level Activities Third Level Activities Time
Duration
(Days)
Preparation Establishing scope and
objectives of the big data
analytics project
10
Appointing the project
manager for the Big Data
Analytics project
Forming the team members
for accomplishing the

project
Identifying the key
stakeholders involved in the
Big Data Analytics project
Defining the
system
architecture
for supporting
the Big Data
Analytics
project
System environment
identification
Defining the technical
infrastructure required for the
Big Data Analytics project
15
Development environment
identification for the big data
project
Quality assurance environment
identification for the big data
project
Training environment
identification
Production environment
identification for the big data
project
Defining the
blueprint for
the business
AS-IS process analysis for
the business
End-to-End Current Business
Processes identification for the
big data project
12
Identification of processes that
need to be integrated
Efficiently mapping the big
data analytics project to the

business
Identifying and the
processes to be carried out
End to end future business
processes definition for the big
data analytics project
Gap identification
Identifying solutions to the
gaps identified
Reporting
Program defining
Interface defining
Manual processes are defined
Business blueprint
documentation
Closing the stage
Conducting
the
configuration
and
development
Solutions configuration Documenting the unit test
scripts
10
Solution configuration
Unit test configuration
Code development for
identified gaps
Documenting the technical
specifications needed
Unit test scripts documentation
Reporting the interface and unit
tests
Closing the configuration

and development stage
Authorization
definition
Identifying and defining the
roles in business
9
Defining the role of
operating big data analytics
Authorization definition
Authorization tests
Closing the authorization
stage
Data
conversion
Defining big data analytics
solution fields
10
Mapping legacy system
fields with the big data
analytics fields
Cleaning the data
Closing the data conversion
stage
Migration of
data program
Data mitigation program 9
Conducting unit test for
migration of data
Closing the migration stage
Testing Documenting the test scripts 5
End to end test
Closing the test stage

Training Organizing training 7
Training documentation
Conducting training
User
acceptance
testing
Identifying scenarios of
business
9
User acceptance testing
documentation
Preparing scripts for user
acceptance testing
Functionality test of the big
data analytics
Closing the stage
Cutover Clean data migration 1
Making the big data
analytics systems fully
operational
Total 97
Symbo
l
Activities Time
Involved
(Days)
A Preparation 10
B Defining the system architecture for
supporting the Big Data Analytics
15

project
C Defining the blueprint for the business 12
D Conducting the configuration and
development
10
E Authorization definition 9
F Data conversion 10
G Migration of data program 9
H Testing 5
I Training 7
J User acceptance testing 9
K Cutover 1
K
J
I
H
G
F
E
D
C
B
A
1
9
7
5
9
10
9
10
12
15
10
TIMELINE
Conclusion
Therefore from the findings and analysis it can be concluded that in order to success in
competitive market and attract huge amount of customers towards products and services IT
technology plays the vital role. The observation shows that in present era taste of the
customer’s changes continuously therefore it is vital for the organization to identify needs to
the customers in successful manner. This can be effectively obtained by the organization with
the help of the implementation of the big data analytics techniques. Utilization of the big data
analytics technique provides the meaningful information to management in decision making
process.

References
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