Zara's DOS-based IT Infrastructure and How It Affects Its Performance
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Executive Summary
The purpose of this document is to discuss the issue of Zara’s DOS-based IT infrastructure and how it affects Zara’s performance. The concern is the current system is out of date and there is a possibility that hardware vendors will upgrade their machines leaving them incompatible with DOS. As well, Zara’s core business model is speed and responsiveness, this system is unable to keep up with this model. By assessing the pros and cons of the new IT system, with Zara’s brand image, I determined that implementing the new operating system and POS terminals is beneficial for Zara because 1. It will help to improve efficiency of information flow between Zara’s supply chain networks, 2. It removes the risk of the system becoming obsolete and no longer compatible with vendor’s machine upgrade, and 3. The new system will eliminate the need for small screen PDAs and their continuous upgrades.
Issue Identification
Immediate Issues * The current DOS system has not been supported by Microsoft since 2003. * Personal digital assistants (PDAs) have small screens and make it time consuming for managers to do daily tasks such as orders and returns. * The screens on the PDAs are small, therefore making it difficult to view new items. * The availability of several PDAs at each store location allows for redundancy at time of ordering. * The POS terminals and PDAs contain no information about theoretical inventory within each store.
Systemic Issues * Hardware vendor for POS terminals could upgrade their machines which would no longer be compatible with the DOS system. While they have said they would not do so, there is nothing in writing, and so to ensure breathing room back-up terminals would need to be purchased. * Implementing a new system in all 531 stores worldwide will incur high costs: purchasing new terminals, new software, and training staff. * Having a system that is incompatible because
Executive Summary
The purpose of this document is to discuss the issue of Zara’s DOS-based IT infrastructure and how it affects Zara’s performance. The concern is the current system is out of date and there is a possibility that hardware vendors will upgrade their machines leaving them incompatible with DOS. As well, Zara’s core business model is speed and responsiveness, this system is unable to keep up with this model. By assessing the pros and cons of the new IT system, with Zara’s brand image, I determined that implementing the new operating system and POS terminals is beneficial for Zara because 1. It will help to improve efficiency of information flow between Zara’s supply chain networks, 2. It removes the risk of the system becoming obsolete and no longer compatible with vendor’s machine upgrade, and 3. The new system will eliminate the need for small screen PDAs and their continuous upgrades.
Issue Identification
Immediate Issues * The current DOS system has not been supported by Microsoft since 2003. * Personal digital assistants (PDAs) have small screens and make it time consuming for managers to do daily tasks such as orders and returns. * The screens on the PDAs are small, therefore making it difficult to view new items. * The availability of several PDAs at each store location allows for redundancy at time of ordering. * The POS terminals and PDAs contain no information about theoretical inventory within each store.
Systemic Issues * Hardware vendor for POS terminals could upgrade their machines which would no longer be compatible with the DOS system. While they have said they would not do so, there is nothing in writing, and so to ensure breathing room back-up terminals would need to be purchased. * Implementing a new system in all 531 stores worldwide will incur high costs: purchasing new terminals, new software, and training staff. * Having a system that is incompatible because