Report on the Implementation of the RISE System for 7-Eleven

This report provides a comprehensive analysis of 7-Eleven's supply chain management, focusing on the implementation of the RISE system. It begins with an executive summary and an overview of the organizational context, followed by a discussion of internal and external environments, including Porter's Five Forces and a SWOT analysis. The report identifies problems and opportunities for information technology and systems, justifying the choice of the RISE system. It then delves into system analysis and design, development, testing, and implementation, covering post-implementation activities, project management, change management, and risk management. The report concludes with a summary of findings and recommendations, supported by references. The case study focuses on 7-Eleven Australia, examining how the RISE system is designed to automate inventory management and streamline the supply chain.

Running head: MANAGING RISE SYSTEM
Managing RISE System
(7 Eleven)
Name of the student:
Name of the university:
Author Note

1MANAGING RISE SYSTEM
Executive summary
The following report makes an investigation for supply chain management at 7-Eleven Inc. It is a
Japanese-American international chain of various convenience stores. It headquarters lies in Dallas,
Texas. Further, the chain is been founded during 1927 in the form of ice house storefront at Dallas.
Besides, it licenses, franchises and operates at 68,236 stores at 17 nations as per the report of June
2019. Here, an evaluation of the organizational context and future internal and external scenarios are
performed. Furthermore, the issues and scopes of the information technology and information
system is determined. Justifications are delivered for opting the supply chain management at 7-
Eleven. Besides, the system analysis and design with the analysis of development of testing and
deployment are demonstrated. Apart from that, different activities of post implementation, change,
risk and project managements are discussed regarding the present case study.

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Table of Contents
Introduction:..........................................................................................................................................3
Understanding organizational context:..................................................................................................4
Discussion of external and internal environments:................................................................................5
Porter’ Five Forces Model:................................................................................................................5
External analysis:...........................................................................................................................5
Internal analysis:............................................................................................................................6
SWOT Model:...................................................................................................................................6
Discussion of the present day market trend and various international best practices regarding
strategic uses of IS/IT:...........................................................................................................................7
Identification of the Problem and Opportunity for IS/IT:.....................................................................8
Justification of the Choosing RISE System:..........................................................................................9
Understanding RISE system for 7-Eleven: System Analysis and System Design:.............................11
Understanding RISE system for 7-Eleven: Development, Testing and Implementation:...................12
Post implementation activities:............................................................................................................14
Project Management, Change Management, and Risk Management:.................................................15
Conclusion:..........................................................................................................................................16
References:..........................................................................................................................................18

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Introduction:
The management information systems widely indicates to the computer-based system. This
provides the managers tools for organizing, evaluating and effectively control departments for any
company. For this, the supply chain management deals the managing the flow of services and goods.
It involves every processes transforming raw materials to final products. Further, there is the active
streamlining of the supply-side activities of the business. This is for the maximize customer value
and achieve competitive benefit. The SCM attempts to control or connect the shipment, distribution
and production of products. Through controlling the supply chain, the organizations can cut the
additional costs and provide the products to consumers very fast. It can be performed through
keeping the strong control of the internal production, internal inventories, inventories of company
vendors and distribution sales (Camerinelli 2016). For the understanding the implementation of this
new innovation the 7-Eleven Australia is chosen as the case study. It is located at Melbourne the
suburb of Oakleigh, Victoria. Its maximum stores are situated at various metropolitan sectors,
especially in the areas of central business district. Moreover, its various stores present in the
suburban sectors has been operating as the petrol station. It is operated and owned as the franchise
having central administration. The following study makes the demonstration of the organizational
context and next the internal and external environments are evaluated. Next, the opportunity and
problems of information system and information technology is identified. Then a justification is
given for choosing SCM. Further, the system design and analysis along with an investigation of
development testing and implementation is discussed here. Moreover, various post implementation
activities, project, change and risk management related to the present case is analyzed.

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Understanding organizational context:
It is seen that for about 90 years, the business of 7-Eleven is seen to be present as the cutting
edge of important trend around the convenience store industry. Irrespective of the fact that it was the
launch of the initial self-service foundation of soda, all the day store hours, the coffee sold in to-go
type of cups, or the initial self-serve pumps of gas and the ATMs that s installed at the c-store, they
could be counted as the “first” for many. Same as many other financial organizations, the 7- Eleven
is not present to retrieve profits for their shareholders. Here, one concentrate on the financial needs
instead of getting driven to generate for the shareholders. They invest their profits back to the bank
to assure that they roved the competitive products and services that they deserve. 7-Eleven provides
the economic services and products to the wider community. They are one of nation’s biggest
member-owned banks (Hung, He and Shen 2019). Their high-level service is the envy of other
people. All the aspects of their operations and all the staffs are active as per the defined set of value
having smart service for their members present at the top most level of list. They endeavor to react to
the necessities of their members in courteous, accurate and consistent way. This indicates to the
service that goes beyond the normal. Through making the service the priority, they has been standing
of competitive for their financial institutions. They might pay lip service to the ideas of great service.
Nevertheless, they have not necessarily turned that to reality. Moreover, they have been acting as the
part of the community every time. They have consistently busy to sponsor the important events of
sports, community events and family activities across Australia. Additionally, the 7-Eleven
Foundation was created to provide the funding during 2012 (Zhao and Huchzermeier 2018). The
way to maintain industry integrity is through assuring the security systems. Having more than 1.35
billion dollars of assets within their management, they have cut no corners to assure that processes
are watertight in nature.

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Discussion of external and internal environments:
Porter’ Five Forces Model:
External analysis:
The threat of new entrants:
Currently, the digitalized financial system has appeared to be reaching the form of maturity.
There is a high threat from the competitors of the financial market from the potential competitors
from domestic and overseas.
Bargaining power of the customers:
This is high as there is a huge power of bargaining of customers as the other banks have
brought same type of financial packages having competitive. This urges them to expand in market
share under the concentrated market (Cao, Du and Ruan 2019).
Rivalry rising among the customers:
The current day financial market of Australia has appeared to touch the level of maturity. The
Australian financial industry has generated the compound annual development rate of 13% since the
previous decade and it has been ranked among most advantageous banks under the developed world.

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Internal analysis:
Strategic resources:
There are assimilation of intangible and tangible assets to be determined as the primary
resource for executing the strategic abilities. This can be further analysed through the following
value chain analysis.
Operation efficiency:
The strong financial strength having great return of profit has been amplified for staying
ahead of the rivals and to make it shared get traded at premium against the domestic competitors
(Gheisari and Gilaninia 2017).
Outbound activities:
The extensive network branches at the nation having largely effective technology platform
has aided to achieve strong network customer loyalty platform at Australia of 7-Eleven.
SWOT Model:
Strengths Weaknesses
 7-Eleven has been one of the leader of
the nation’s economic growth.
 Its demand and supply has fostered the
development and enhanced the financial
security, stability and trade.
 It is able to provide financial support as
 There is a lack of global coordination
 Its old technologies has been giving rise
to vulnerabilities

7MANAGING RISE SYSTEM
any crisis take place.
Opportunities Threats
 It is unable to move to various
Australia’s rural areas.
 It has been seen to be offering lose or
more customers.
 They can keep up with the demographic
changes and consumer demands.
 There is the scope to segment the
customers to generate the custom-
service options.
 One of greatest threat is recession.
 Then is the rise of risk regarding data
breaches as more and more online
options are offered.
 Next, there is rise in competition (Alavi
and Jabbarzadeh 2018).
Discussion of the present day market trend and various international best
practices regarding strategic uses of IS/IT:
7-Eleven Inc. has been planning to be spending about lump some 517.6 million US dollars or
52 billion yen. This is on updating the impressive IS at Japan. This is to automate the process of
inventory and depend less in the human contact for getting the tasks done. Again, the international
convenience store that is owned by I Holdings Co & Tokyo-based Seven needs to be overhaul their
RISE or Rise System Evolution. This is make that simpler to control the levels of inventory despite
any necessity to rely in the staffs for checking them manually. Their franchises, at the present

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moment depends on the staffs for checking the levels of stocks and upgrade the system as they get
depleted. This is slow and an inaccurate method. Its updated system can utilize the information from
the orders that are placed by stores, besides the trends and sales volumes. This is to automatically
decide the time as the levels of inventory are low and then simplify the process of order-
replacement. They provide strong advantages. Here, the reporting season for customer-owned area
has moved to total swing having the 7-Eleven to most about 14% rise in net profit to about ten
million dollars (Mansouri et al. 2017). Thus one can put strong performance down to the ability of 7-
Eleven in meeting distinct demands of the members. As far as the earning rate of growth for the
upcoming one year of the development is sustainable. This is because their mutual strategy of
growth and control of cost that can offset the reduction in the rates of reduction (Boon-Itt, Wong and
Wong 2017).
Identification of the Problem and Opportunity for IS/IT:
There is the presence of broad range of facilities of inquiry. Those are helpful to assist 7-
Eleven under the business follow-up and development. They have prompt and automatic carrying
out of different standing instructions within due sate and creation of reports. There are creation of
MIS reports and the periodical returns within due dates. Besides, there is quick and upgraded
transfer of data that enables the quick decisions trough connecting different computerized branches
and the controlling of offices (Martin and Hofmann 2017).
Recently, they have recorded a 6% drop of net profit to about 22 million dollars after
investing again a part of their earnings in the technology and service delivery. At the present year the
net profit after the tax has been still an effective outcome provided the pressure on the margin of net
interest. This also involves the current investment that are active. They have gained the loan growth
and deposit that is above the system pleasing at the present rate of low interest and the current

9MANAGING RISE SYSTEM
competitive scenario (Xue et al. 2019). They have gained the loan and deposit growth that is both
above the system pleasing at the present less rate of interest and the competitive environment.
Notably, a huge proportion of the development has been continuing to be coming through Internet
and the broker channels that is delivering the customer convenience and widening the broad
geographic existence of 7-Eleven. The resource growth of 13% has taken their asset to about four
billion dollars. Apart from that, the reserves that are customer-owned has developed by
approximately 24 million to 435.9 million. This has strengthened the overall capital sufficiency of
the lender hat at present stand at 18%.
The outcome denotes the return on assets of 0.6% that can be considered to be healthy. This
is provided the fact they have undertaken few notable investments in the brand, people and
technology from the previous one year. More than 22.6 million dollars of the tax profit, 7-Eleven has
returned about 33.2 million dollar worth of the pricing advantages for the customers (Scheibe and
Blackhurst 2018). Besides, they have notable development of new customers, specifically from the
target market of the consumers who are socially aware. Thus they have decreased with average age
of clients through attracting the youth to bank.
Justification of the Choosing RISE System:
Justification of the chosen system for 7-Eleven is discussed hereafter. The present RISE
system, as per Steve Holland, the CDO or CTO of 7-Eleven Inc, has been streamlining the
operations of the store for permitting the franchises in spending more time. Thus it assures the
customers regarding what they need and the thing they intend. He demonstrated, in the article for
Retail CIO Outlook, the RISE system has been helping the franchise to control the assortment for
products, ordering products and generate the cash reports with few number of keystrokes. Thus the
Store Information Analysis system which is cloud-based is the primary path towards the analytical

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part of RISE system. Thus it provides the tools for helping the franchises with nothing on the
problems quicker enabling fast decisions through identifying top two hundred sellers at the local
market and store. It permits the franchises to simply view which of the key items has been seen to
selling well and can bring extra profits and sales for the store. Apart from that, the franchise has seen
every sections of the store in one screen and drilling down the information with one click to
determine the areas fast driving the rise in sales (Mangan and Lalwani 2016).

11MANAGING RISE SYSTEM
Figure 1: “Managing Information System”
(Source: Levering and Vos 2019, pp. 43-66)
Thus altogether the trend a put the third wave of scopes for 7-Eleven. Thus they can
capitalize their benefits to create the new products and the solutions. In this way they can drive the
growth since the priory unmet economic needs can be met now (Gornall and Strebulaev 2018).
Understanding RISE system for 7-Eleven: System Analysis and System Design:
This could be understood from the following steps:
The sales and material requirements planning:
This needs accurate forecast that can be generated through using various business activities.
This must be involves in one of the available modules for design of supply chain.
Detailed scheduling and production planning:
Thus the procurement plan delivers the basis for production design and manufacturing
undetailed scheduling module and production planning.
Distribution resource planning:
As the good are produced manufactured, the distribution resource planning could be utilized
for optimizing the generation of suitable qualities the way the channels of distribution works.
Transportation planning:
Having the data available, it is possible to make plan of the route and schedule to get
followed by every path utilizing planning of transportation.