BUS4002 Management Information Systems: Walmart's Divisions Analysis

This report provides an analysis of Walmart's management information systems, focusing on the interconnection of its various business divisions such as Walmart U.S. (including super-centers, neighborhood markets, and discount stores), and how technology and infrastructure facilitate their smooth operation. It explores different forms of data used within Walmart and the role of data warehousing in managing this data effectively, highlighting the use of Executive Support Systems (ESS), Decision Support Systems (DSS), and Knowledge Management Systems (KMS). Furthermore, the report touches upon Walmart's code of conduct and adherence to GDPR data protection regulations, evaluating the current information systems like CAMELS and APT model used by Walmart and recommending improvements for customer satisfaction and strategic focus. The document emphasizes the importance of information systems in enhancing organizational performance and decision-making within the retail giant.

BUS4002
Management
Information Systems

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY ..................................................................................................................................1
QUESTION 1- Different business divisions of Walmart are interconnected.............................1
Question 2 - Different forms of data & the role or responsibility of data warehousing in
Walmart?.....................................................................................................................................4
Question 3 - Information about Code of Conduct and the new GDPR Data protection of
Walmart ......................................................................................................................................7
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Management information system is known as the study of people, technology, business
organisations and the relationship among them. The management information system helps the
business enterprise in maximizing benefit from the investment in the equipment and other
business processes. In today's world every business organisations uses the information system at
all level of operations to collect, process and store the data. The development of healthy and
positive employee relation along with the inter personal relation has been found in the
organisation. The business organisation which is taken into consideration in this report is
Walmart which is a global company and established in 1962. It offers a wide range of the
products and services to their customers in form of convenience shop, hypermarket, super market
and other etc. (Munir, and et.al., 2020). this report will include the various topics such as
divisions of Walmart with the forms of data, roles & responsibilities of data warehousing in the
company. At last in addition to this, it deals with the code of conduct along with the new GDPR
Data protection legislation.
MAIN BODY
QUESTION 1- Different business divisions of Walmart are interconnected
Walmart is an international business organisation which is performing its business
operations at several different locations by providing the goods and services to its customers
through the store, hypermarket, supermarket. The company is performing its operations in more
than 1000 stores which are spread globally. The firm is having more than 2300000 employees
along with the net income of approximately $13.70 billion. (Wan and et.al. 2018). The
employees are considered as the main asset for the company because of their work performance
which is resulting in the growth of the business organisation. The several business division of the
Walmart are discussed below;
Walmart US is the extensive division of complete organisation as it contributes to more
than 65 percent of the total sales of the company. Many of retail businesses divisions are made
by the Walmart US which include neighbourhood market, discount stores and super-centres.
Brief description of retail businesses of Walmart is discussed below below:
1

 Walmart super centres- The trademark of the retail businesses is found similar to the
features of the supermarket as both of them provide the similar kind of products or
services like dairy products, optical centres, baked goods, frozen food, garden product
and many others. In Washington, the first supermarket was introduced in 1988, from a
current research, it has been found that the Walmart is working with more than 3500
stores only in the United States. The company is providing the all kind of necessary
products to its customers. For delivering the variety of products and services the firm is
using the technological tools for the ease of the customer. It is providing on the online
platforms through the websites and mobile apps which is considered as the most
convenient method for the people. (Xiong, Li, and Tian, 2018).
 Walmart neighbourhood market- After the launching of the supermarkets, Walmart get
an idea of introducing the chain of small grocery stores. These stores started
concentrating of majorly three categories such as pharmacy, fuel stores and groceries. It
has been observed that 55 percent of the total revenue of the firm is generated from the
grocery department. The main goal of the is to construct the gap among its own super
centres and discount stores. It has been identified that more than 600 stores of Walmart
neighbourhood market is representing the business operations including the number of
employees by providing the full time and part time jobs to the people of the economy.
 Walmart discount stores- This division of the company is providing the products and
services t its customers by giving the several discounts like buy one get one free, 20 %
discount of the products. The management of Walmart get this idea of discount from the
outstanding performance of their Super-Centres. These stores were introduced from
Bentonville in 1990. The sales of goods of Super Centres get affected or influenced by
the success of these stores. (Turulja and Bajgoric, 2018).
Interconnections of all the business units
The business units of the Walmart ware interconnected through the two aspects such as
infrastructure and technology. The technology helps the management and operations of all the
units in order to work effectively and smoothly. The technology plays an vital role in the
business organisation, for example due to the information system technology the company is able
to know the information related to the inventory and logistics in all the units of the company.
Along with this, all the business units are interconnected to each other for making an effective
2

infrastructure in the business enterprise. It helps the Walmart in keeping the track of the
resources available and the employees working in the different outlets of the company.
Data flow diagram
It refers to the diagrams which are being used graphically to represent the flow of data in
a business information system. Below are some diagram representation of walmart:(Lu, 2018).
From the Above mentioned data flow diagram it indicates the customers and management
of organisation. As it is observed in this diagram, the data flow from customers to management
and management to customer. It is important for the organisation to provide the informations to
the customers regarding the order placed by them.
3

From the above data flow diagram it is observed that all the business units of the
company are interrelated and it is important for the managers to manage the entire data in the
well effective and efficient manner for the smooth functioning of the business organisation.
(Srai, and Lorentz, 2019).
Question 2 - Different forms of data & the role or responsibility of data warehousing in
Walmart?
Walmart is an American multinational business organisation which operates the chain of
hypermarkets. The organisation is headquartered in Bentonville, Arkansas. It is the world largest
organisation by its revenue which is founded by Sam Walton in 1962. The company is famous
for providing the different products and services which is based on their divisional structure. It
follows the different divisional structure which is considered as an significant aspect in the
operations and logistics of the business organisation. The firm is able to facilitate its growth by
considering the different structures and interconnecting them with each other. As each division
execute all together for the better functioning of the business enterprise. Walmart is using the
4

several technologies so that it is able to function properly for example it is adopting
information technology software, technological enhancement. The use of the technology makes
the task easier for the firm. As the technology plays a vital role for the business enterprise as the
management is able to concentrate on introducing the technology which leads to the
maximization of productivity. The company is able to manage the task of the different stores
through the digital platforms which allows the company to stay interconnected by transforming
information from the one department or store to the other department. (Cao and et.al.2018).
Through the availability of such platforms businesses is able to maintain the data warehousing
for all of the stores. Walmart acts upon the different functions with an effective way by
identifying each technology source which can be used in the company. The company uses
various information systems which are explained below:
 Executive support system ( ESS) - It is the software technology which is designed to
give the internal and external information which is useful for the managers of the
business organisation. This system work as for collecting the information which is related
to day to day working in the business enterprise. Through such information the managers
are able to understand the every aspect of the working and the transactions which been
taken place in the business organisations. Walmart is using this system for collecting
data regarding the inventory in the warehouse which is based on the sales and the
financial data of the company. This management information system plays an vital role in
collecting the data for the company. This system also included the several use of
technologies which help the organisations in their operations and growth of the
enterprise.(Mohammadi and et.al. 2018).
 Decision support system (DSS) - This is consider as the most important information
system during the process of decision making in the difficult situations which arises in
every business organisations. This system observed and analyse the assistance of
information technological tool so that managers can identify the accurate data of
information for the effective working in the business enterprise. Also this system covers
spread sheets as well as database in each possible outcome with the objective of getting
better results. This system is adopted by Walmart in order to project the information as
well as the managers can utilise the right data set in the different situations. This is the
5

helpful method for the managers to deal with the problems and issues which can arise at
any point of time. (Li, and et.al.2019).
 Knowledge management system ( KMS) – This information system is related to
improvement of the flow of information along with the share of relevant data within the
business organisation. This system plays an important role in understand the employees
of the business enterprise. The application of this knowledge management system at the
workplace result in the availability of the various opportunities for the company. For
instance, expanding the area of varieties and categories of products which are being
offered by the organisation.
However, all the above mentioned information systems are highly beneficial for the
decision making in the business organisations and specially for the retail sector it is considered
as very important aspect. Through such informations systems the organisation is able to work
effectively and efficiently. Therefore, such structures enables the organisational performance as
well as impacts upon mangers potential. The walmart shows the efficiency into the organisation
by these functions that enables the improvement areas to overcome with the certain difficulties in
the different departments of the organisation. By the use of technologies and its innovations, the
company can think of making a profitable business. The new technologies can provide the better
customer experience which will enhance the business organisation in achieving the wide range of
customers and will be able to maximize more profits. (Eissa, 2018).
Evaluation of the current information system at Walmart
The important approach which is found in the Walmart is CAMELS as an information
system. Some of the factors which are involved in this approach are adequacy, capital, liquidity
and earnings. It is important for the organisation to maintain the data in a correct and adequate
manner and this approach is considered as the best indicator in managing the data for the
company. For the purpose of accessing the large data sets, the company uses APT model. This
information system is very much helpful for Walmart for processing with the different data sets.
The installation of the public cloud has improved from the last few years and this has bring the
benefits for the company in its infrastructure.
Recommendation
6

It is recommended that the management which is associated with the information system
need to five the better customer satisfaction by gaining more knowledge and understanding the
business operations and its activities related to the logistics and delivering of the products and
services. The company can adopt the various information system such as KMS, DSS, ESS which
would be highly important for the business organisation because of its accuracy in providing the
data information to the business organisation. There is the need of the company to focus on the
strategical aspects which is qualitative and quantitative process. (Ahmad, Alam and Asaad,
2017).
Technology strategy to enable big data strategy
It has been identified that the change in the technology directly impacts the business
organisations. The big data strategy is considered as the most significant technology. This allows
the firm to collect data for the managers and the economy. Walmart has adopted this strategy and
has a huge amount of big data collected through the information system s that it can develop its
growth strategies in the business organisation. The company has hired the professionals and
expert in identifying the collected data into the simple form. This technology helps the
organisation in identifying the several opportunities by which the company can expand and
develop its products and services.
Advantages and disadvantages of information system
Benefit of information system Drawback of information system
Openness- The information system
management makes the availability of 24*7
services to the customers and as well as
business organisations It also provide solutions
to the problems and answers to the queries of
customers of different countries as per their
convenient timing.
Security issues- It has been identified that
these information systems can be hacked at any
point of time. The people who are in search of
the data and they can misuse the confidential
information of the customers which can lead to
a big issue. The business organisation need to
be careful and protect their data from such
hackers.
Flexibility- The information management
system provide the flexibility or the ease
within the operations of the business
Duplication of data- the different departments
of the business enterprise has access to the
similar data. Sometimes the data collected is
7

organisation. It is easy for the company having
too many stores in different locations. The
managers are able to manage the inventory and
operations through such technologies.
used twice and in the different stores of the
organisation which then further becomes
difficult to sort out such complicated
information.
Question 3 - Information about Code of Conduct and the new GDPR Data protection of Walmart
The term GDPR means that ,general data protection regulation. It is defined as the collection of
guidelines which is developed by the European Union which gives the security to the
information and data which is collected though the software by the various business
organisations. The GDPR protect an individual from the misuse of the information and also
ensure that every employees can understand their own obligations and rights under the data
protection law. It plays an important role in providing the protection to the data of organisation
from any unauthorised user.(Abdullah, and et.al. 2019).
Ethical- The different software which is used by the Walmart helps the manager in
handling the business activities and its operations along with the soling the problems which
arises in the company in a effective manner. The staff members of the company are required to
inform the management regarding the issues which they might be facing within the workplace.
The problems can arise due to the technical or unethical use of the software or information
management system. It directly affects the overall working performance of the organisation and
risk of security. In order to meeting the requirements of government and customers, the
organisation is required to perform with ethics at work place.
Professional- It is very important that the members of the business organisation act as an
professional manner in order to have the transparency and norms of an business enterprise.
Walmart maintains the professionalism in its organisation in order to keep security it does not
share the important information to the outsiders. There are several confidential information of the
customers with the company which is only shared to the managers of the company. It is
important to keep this information secure for maintaining the trust and loyalty of the customers
towards the company. This kind of professionalism will help the company to maintaining the
8

interest of the customers in the organisation which will help it in increasing the sales and making
more profits.
Legal- GDPR 2016/679 is a rule which is existing in European Union laws. This assist
in addressing the data that has been utilised for the purpose of delivering the transaction outside
EEA and EU. Without taking the permissions of client the Walmart does not take any action. It is
important to share the information related to the products to the customers. If there is any issue
with the product, it may negatively impact the performance of organisation. By following the
regulations, it is easier to complete the tasks and it is good to work legally. The laws are
important and need to be followed as the confidential information of the bank needs to be secure
and safe. (Wichai-utcha and Chavalparit, 2019).
CONCLUSION
From the above report it is concluded that every business organisation and its units are
interrelated. This interrelation brings the effectively and efficiency for the business
organisations. There are the several technologies which is used by Walmart in order to function
smoothly. There are different information system such as DSS, ESS, KMS which are been
adopted to conduct the various operations within the organisation. Data warehousing is very
essential in the functioning of a company s all the important information are gathered there and it
need to be kept very confidential in order to gain the trust of the customers. The big data is the
technology which is used in order to gather the right information of the buying pattern of the
customers which help the Walmart in accessing the products according to the need of the
customers. The important approach which is found in the Walmart is CAMELS as an
information system. There are several advantages and disadvantages to such information system .
9

REFERENCES
Books and Journals
Abdullah, L., and et.al. 2019. An interval-valued intuitionistic fuzzy DEMATEL method
combined with Choquet integral for sustainable solid waste management. Engineering
Applications of Artificial Intelligence, 82, pp.207-215.
Ahmad, F., Alam, M.S. and Asaad, M., 2017. Developments in xEVs charging infrastructure and
energy management system for smart
Cao, J., and et.al.2018. Interference management in ultradense networks: A user-centric
coalition formation game approach. IEEE Transactions on Vehicular Technology.
67(6). pp.5188-5202.
Eissa, M.M., 2018. First time real time incentive demand response program in smart grid with “i-
Energy” management system with different resources. Applied energy, 212, pp.607-
621.
Li, D., and et.al.2019. IoT data feature extraction and intrusion detection system for smart cities
based on deep migration learning. International journal of information management,
49, pp.533-545.
Lu, Y., 2018. Blockchain and the related issues: A review of current research topics. Journal of
Management Analytics, 5(4), pp.231-255.
Mohammadi, M., and et.al. 2018. Optimal management of energy hubs and smart energy hubs–a
review. Renewable and Sustainable Energy Reviews, 89, pp.33-50.
Munir, M., and et.al., 2020. Supply chain risk management and operational performance: The
enabling role of supply chain integration. International Journal of Production
Economics, 227, p.107667.
Srai, J.S. and Lorentz, H., 2019. Developing design principles for the digitalisation of purchasing
and supply management. Journal of Purchasing and Supply Management, 25(1), pp.78-
98.
Turulja, L. and Bajgoric, N., 2018. Information technology, knowledge management and human
resource management: Investigating mutual interactions towards better organizational
performance. VINE Journal of Information and Knowledge Management Systems.
Wan, J., and et.al. 2018. Toward dynamic resources management for IoT-based manufacturing.
IEEE Communications Magazine, 56(2), pp.52-59.
Wichai-utcha, N. and Chavalparit, O., 2019. 3Rs Policy and plastic waste management in
Thailand. Journal of Material Cycles and Waste Management, 21(1), pp.10-22.
Xiong, R., Li, L. and Tian, J., 2018. Towards a smarter battery management system: A critical
review on battery state of health monitoring methods. Journal of Power Sources, 405,
pp.18-29.
10