Assessing IT Systems' Impact on Tesco's Business Objectives

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This project examines the role and impact of IT systems within Tesco, a multinational grocery and retail company. It explores the use of IT in different functions, including operations, human resources, marketing, and finance, highlighting how these systems contribute to achieving organizational objectives. The project discusses various ways IT systems store and process data, such as knowledge management, customer relationship management, and data management. Furthermore, it analyzes how IT supports value-added change, improving business operations, performance, and sustainability, and concludes with a recommendation on an IT solution for the organization. The report emphasizes the importance of IT in enhancing efficiency, decision-making, and customer experience, providing a comprehensive overview of IT's strategic role within Tesco.
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PROJECT
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Table of Contents
INTRODUCTION...........................................................................................................................3
Use of IT systems in different functions of the organisation.................................................3
Contribution of IT systems in achieving the objectives.........................................................5
Different ways IT systems stores and process data................................................................6
IT systems used in supporting value-added change for improving business operations,
performance and sustainability...............................................................................................8
Recommendation on IT solution for organisation..................................................................9
CONCLUSION................................................................................................................................9
REFERENCE.................................................................................................................................11
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INTRODUCTION
IT system is a system that captures or recognises data that is made up of people and
machines. In the business world, IT systems are interconnected networks that collects, distribute
and enables better use of data for decision-making strategies. With the help of IT system, it
safely archive the companies files and folders as well as confidential client information. All the
information will be collected only to approve a user inside the organisation and will be shielded
against hackers attempting to intercept it as well as technical issue that may cause it to be lost or
compromised. Along with this, it enables employees to connect with their clients with the help of
emails, routers, internal business billboards and chat services for contact seamless and
convenient communication. It also help an organisation retain its competitive edge, developing
new product, distinguish them from competitors product and boosting customer experience. This
also reduces the company's caused by centralising repetitive activities in one place, moving high
cost function to a cloud based environment and also provide email services to consumers at a
reduced cost than customer support. Tesco is taken as base company. Tesco is a multinational
groceries and retailer which is specialised in selling of cloths, electronics, furniture and many
more. Its headquarter is in London and it was established by Jack Cohen in 1919. In this report, it
will covers the role of IT systems in organisational objectives. It will also include the flexibility
and reliability of IT systems and value added change with the help of IT systems.
Use of IT systems in different functions of the organisation
IT Systems are information systems that collaborate to handle data processing and storage. Its
job is to assist with important aspects of running a company such as coordination, record
keeping, decision-making and many more. This data is used by business to develop the process,
making rational decision and achieving a competitive advantage (Anthony, Gilbert and Johnson,
2017). In context to the selected organization, the use of IT system in different function are
mentioned below:
Operations: In context to the selected organisation, payroll, personnel record storage,
filing and preserving corporate records and credit cards management are all the tasks that a
business information system does support of operations. Tesco runs a manufacturing line in
which the information systems will help in planning projects and procedures while keeping track
of output.
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Human resource: In context to the selected organisation, IT system assist HR managers
in better understanding there workers interests and providing the best possible services. It helps
HR managers minimising their workload by uploading position, analysing resume as an
organising test and screening. By using online resources such as LinkedIn, it is easier for them to
access a larger talent pool (Arghandeh and Zhou, 2017). Along with this, Evaluation of
performance can also be done with the help of information technology as it becomes easier to
compare employ results to define benchmarks. This also enables the line managers and be used
for analysing all the gathered data to comparing to the given metrics. The employee interest and
involvement can be greatly enhanced by the use of IT system.
Marketing: Marketing is a system of processes an operational function for developing,
connecting and providing value to clients as well as maintaining customer interaction in ways
that support the company and its stakeholders. It entails a series of move such as contacting
marketing analysis, I didn’t define individual market zones, solving consumers by setting goals
and many more. In Contacts to Tesco, they are using IT system in the form of customer
relationship management, digital marketing and Internet marketing (Brunet-Thornton and
Martinez, 2018). CRM form that is used in the information industry for describing the
methodologies, applications and all the Internet resources that assist the company in managing
client interaction in an ordered manner. All employees of the organisation are given information
about the customers to aid in the development of efficient Connexions between the firm and the
customers. Digital marketing is the promotion of production services by using different digital
channels for connecting to their customers whereas Internet marketing is the promotion of
product and services using online media channels such as website of the Tesco.
Finance: In context to Tesco, Finance Department depends heavily on IT systems for a
variety of purpose such as electronic networks that share data. as it is a risky industry and
mistakes can not be Reversed , IT system can be valuable resource for the financial Department.
Accuracy is important in financial accounting because it reduces the need for repetitive work and
time (Canestrino and et. al., 2020). The financial industry is loaded with threats and even a minor
blunder can be expensive. IT systems increases efficiency and allows for the processing of
greater volumes of accounting transaction with a little less time.
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Contribution of IT systems in achieving the objectives
Every business strategy now included IT system as it is necessary and essential
component. Starting from multinational companies with mainframe networks an small
enterprises with single machine, everybody uses technology (Gómez-Expósito, Conejo and
Cañizares, 2018). The importance of IT in meeting the organisation’s objectives cannot be over
emphasised. The organisation took a bottom up approach, consulting and including prospective
customers in the process. In context to Tesco, their objective is to produce products which are
needed and demanded by the customers and also the price of the product should be cheaper as
compared to their competitors. Information technology has the potential to reduce the time
required for new technologies to hit market. Tesco collects business information from internal
resources, clients and sales styles to create product requirement manuals. The decision-making is
accelerated by computer assistant design and manufacturing application while collaborating
technologies enable international teams to collaborate on various parts of a project. Along with
this, Tesco make sure that they have enough supply on hand to satisfy demand while avoiding
overinvesting. The inventory control programmes keep track of how much of each commodity an
organisation has on hand an when the stocks fall below a certain threshold. The information
technology is linked to the point of sale system which helps in working better. The point
awesome sale system is a method that guarantees that one of the items is excluded from the
inventory count resulting in a closed data among the entire department (Hamidi and
Jahanshahifard, 2018). Tesco has an aim of developing their website so that the customer can
able to purchase their product and services anytime and information technology systems are
there for help. The managers can review Rene view, prices and other operational metrics on a
single central is the computing interface typically in real time through enterprise resource
planning application. An ERP framework has replaced hundreds of traditional viewed in finance,
human resource and other industries that resulting in more reliable and cost effective internal
processes (Hamilton and Webster, 2018). Moreover, information technology is at the root of
critical globalisation organisational form like telecommunicate and outsourcing. Many finance
and accounting roles such as human resource and banking can be outsourced to offshore
companies and network technology can be used to keep in touch with management workers,
clients and vendors.
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Different ways IT systems stores and process data
Data is increasingly being obtained for private & personal use, institutional use and
industrial use. For this information to be useful, it must be processed, sorted, filtered,
analysed and displayed, and it might also necessitate data transfer. Depending on the size of
compilation and the nature of the results, this method can be simple or complicated. In context
to Tesco, the different ways IT systems stores data are mentioned below:
Knowledge management: any IT system that stores an retrieves information to increase
comprehension, coordination an method alignment is referred to as a knowledge management
system. Knowledge management system can be used in organisation and Department and also
used to centralise the knowledge base for customers and clients (Hirschmeier and Yui, 2018). In
this management system, customer relationship management comes under this category there it
helps in keeping the track of all the interaction with all the customers. It makes sure that
everyone has interaction with the customers and has all the details about their purchase history as
well as their past conversation with the organisation. Along with this application tracking system
is the human resource knowledge management system that focuses on recruiting and hiring. It
enables an organised manner for accepting all the application online, identifying the candidates,
fixing the interviews and carry out all the aspects of selection an onboarding processes. Pasco
has also a database of collecting feedback from the customers as well as from their employees.
This feedback is designed in such a way that all the members of the organisation can easily enter
the feedback into the database. This feedback helps the organisation in knowing about their
performance as well as working upon that areas where they lack. Moreover knowledge
management system can also store data for conducting research upon the competitors and
focusing on all the groups where is needed in specific product or market niches (Kwilinski and
et. al., 2019).
Customer relationship management: Customer relationship management software
analysis data from existing and potential clients in order to help an organisation better identifying
the customer in order to maintain and develop customer relationships. To help marketers boost
their sales and developing a greater understanding of their customers, customer relationship
programmes collect information such as the contact details of the customers, personal profile that
includes family information, hobbies and so on, sales history and their feedbacks. Tesco use
CRM data in their promotion an advertisement campaign as well as distribution techniques. It
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also stores data about the employees and Commission in formation (Laukkanen and Tura, 2020).
It helps in monitoring the progress as well as their sales goals and provides sales team to evaluate
each and every activity of their employees.
Data management: The mechanism by which company collect, store, view, protects
data from various business software is known as data management. Data processing allows for
more reliable access to data analytics which have the tools required to optimise company
processes and recognise the entire improvement and performance indicator. This system allows
the data management process more efficient by digitising some of the most time consuming ways
of integrity and updating main data (McKenna, 2020). It includes various systems such as data
governance, business intelligence, data integration. Data Governance is about how data is being
organised, stored and secured with the help of different tools such as informatica, Azure data
catalogue and many more. Business intelligence includes such tools which doesn't require
human.
This data management system is vital tools for achieving the task, particularly when the
volume of data gathered by companies becomes too large for any individual to manually analyse.
Data management systems are expected to make sense of the massive amount of data gathered
by the company.
Communication management: In context to the selected organisation, Most always
wanted to engage with a person during their shopping experience. It is important for all the
employees to know about all the products and services of the company and for this they needed
communication within the organisation (Rantala and et. a., 2018). The organisation make sure to
communicate with each and every employee of the organisation and it can be done through
establishing for bring your own phone policy where the employees can carry your device with
themselves for the communication purpose. They also use face to FaceTime to complement the
digital relationship where they get their employees attention by communicating with the
management By fixing of meetings. They also have two radios and headsets which enable them
to have a verbal communication so that they can keep each other informed of customer needs an
status of all the tasks that are under to be done, Which are in progress and which are completed.
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IT systems used in supporting value-added change for improving business operations,
performance and sustainability
The organisation must formulate methods for maximising the use of information
technology in order to maximise total efficiency. Automation is the most popular procurement in
information management. As automation is beneficial, creativity by the use of information
technology that provides the enterprise with competitive advantage. In context to the selected
organisation they are well aware of the fact that the development of information system has
resulted in shorter product life cycle, lower margin and the introduction of new technologies. In
such a case, customer satisfaction alone would not enough and instead the company must aim for
customer delight. Data warehousing and analytics capability of information technology can help
organisation and collecting customer reviews and developing goods (Sivathanu, 2019). The
organisation needed different types of information system to reduce phases in specification. The
efficient corporate transaction processes increase the productivity of the enterprise. This business
transaction mechanism ensures that regular processes such as sales transaction, cash transaction,
accounting and so on are easily recorded and acted upon. Additionally, information system is
expected for executing decision making. To formulate the organisations plan, top leaders need
specific internal as well as external knowledge. But decision support system is specifically
designed to carry out the purpose. The executive decision support system and business
transaction system also lead to overall corporate efficiency. This also leads in increase job
efficiency facilitated by the information technology. The collaboration across organisations and
agencies has expanded the implementation of email, video conferencing. This expanded
cooperation means that different programmes around geography and regions are executed and
implemented smoothly. The organisation uses information technology to accomplish their
different strategies as well as their short and long term objectives. The aim of developing
information technology was to increase the organisations efficiency an market effectiveness. The
success in information technology is heavily reliant on the current organisational structure,
managing style and overall organisational environment (Young, 2017). The organisation can also
achieve reduced cost, increase efficiency, top line and bottom line growth and a competitive edge
in the industry by developing and deploying and using information technology correctly. Also
the organisation is changing their operation by eliminating the users of plastic and as an aim to
build greener production process for maintaining their social sustainability. The organisation as a
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mission to reduce the carbon emission as well as reducing the use of plastics from their
organisation. They also have an objective to minimise the use of plastic in wrapping up their
products in which it uses information technology for the same.
Recommendation on IT solution for organisation
Tesco is a multinational groceries and retailer that is serving their customers worldwide.
Vile executing there operations and activities, defaces numerous of common business problems
such as inventory management, customer services and many more. As a recommendation, for
improving their customer services, as they are already using customer relationship management
software for interacting to their customers, gathering of data such as their contact information,
profile, their feedbacks and so on, they can also use More number of software solutions which
helps them to connect with the customers. Along with this they also use Oracle business
intelligence application which gives alert then they are delivering their product directly to the
users With the help of portable devices. They are also using Oracle retail warehouse
management system for the supply chain pattern. This helps them in transporting through large
extent capabilities. For making more efficient, they can also use Infor global solutions where
Many organisation are using in these sectors off distribution, food and beverages and industrial
manufacturing. They also claimed to provide unparalleled visibility and collaboration
capabilities from planning to execute to connecting with the entire network of trading partners.
The clients of Infor expect an end to end solution across the entire supply chain.
CONCLUSION
From the above discussion, it can be concluded that, Information technology systems is
important as it helps in storing of operating files, corresponding logs, documentation as well as
history. Ask storing of data manually would waste a lot of time for the business particularly
when it comes to searching for unique and specific information. In this report, it includes the
understanding of rules of different IT system in different functional areas of the organisation. It
also includes that how it is system helps in achieving the objective of the organisation. Along
with this, the different ways for storing and processing data with the help of artist system are
mentioned. Also it includes the value added changes for improving business operation,
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performance and stability with the help of IT system and at last it includes recommendation to
overcome from different business problems.
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REFERENCE
Book & journals
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entrepreneurship: A cultural perspective in business research. Journal of Business
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Gómez-Expósito, A., Conejo, A. J. and Cañizares, C. eds., 2018. Electric energy systems:
analysis and operation. CRC press.
Hamidi, H. and Jahanshahifard, M., 2018. The Role of the Internet of Things in the Improvement
and Expansion of Business. Journal of Organizational and End User Computing
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Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
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Hirschmeier, J. and Yui, T., 2018. The development of Japanese business, 1600-1980 (Vol. 8).
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Kwilinski and et. al., 2019. Environmental taxes as a condition of business responsibility in the
conditions of sustainable development. Journal of Legal, Ethical and Regulatory
Issues, 22, pp.1-6.
Laukkanen, M. and Tura, N., 2020. The potential of sharing economy business models for
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McKenna, E., 2020. Business psychology and organizational behaviour. Routledge.
Rantala and et. al., 2018. The effect of sustainability in the adoption of technological, service,
and business model innovations. Journal of cleaner production, 172, pp.46-55.
Sivathanu, B., 2019. Adoption of digital payment systems in the era of demonetization in India:
An empirical study. Journal of Science and Technology Policy Management.
Young, O. R., 2017. Governing complex systems: social capital for the anthropocene. MIT
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