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Information System in BIG BAZAAR TABLE OF CONTENTS 1. Introduction a. Retail Market b. Retail in India c. Organized Retail in India d. Role of Information Technology in Retail 2. Key System Applications in the Organization a. Types of Information Systems in Retail Outlets 3. Requirement Analysis a. Operational Requirements b. Tactical Information Requirements 4. Software Requirement Specification a. Operating Systems b. Retail Man 2007 c. Languages 5. Hardware Requirements a. Three Tier Approach 6. Logical Design 7. Implementation 8. Security In Retail 9. Innovation 10. Conclusion 11. References
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Page 1: Big Bazaar

Information System in BIG BAZAAR

TABLE OF CONTENTS

1. Introduction

a. Retail Market

b. Retail in India

c. Organized Retail in India

d. Role of Information Technology in Retail

2. Key System Applications in the Organization

a. Types of Information Systems in Retail Outlets

3. Requirement Analysis

a. Operational Requirements

b. Tactical Information Requirements

4. Software Requirement Specification

a. Operating Systems

b. Retail Man 2007

c. Languages

5. Hardware Requirements

a. Three Tier Approach

6. Logical Design

7. Implementation

8. Security In Retail

9. Innovation

10.Conclusion

11.References

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INTRODUCTION

RETAIL MARKET:

A retailer can be defined as a collective term for any merchant who buys

goods from a variety of wholesalers or consumers. Retailers complete the final link of

the fashion/grocery chain.

In the retail industry, success is dependent on the ability to withstand demand

volatility and its financial risk. Flexibility, forecasting, partnership and efforts to maximize

the profitability of whole supply chain include the remedy for risks.

RETAIL IN INDIA:

India has witnessed a tremendous growth in this sector. India’s attempt to

foray in the retail industry the international way has met with some success. A

tremendous opportunity exists in the Indian market and organized retail will prevail as in

the other parts of the world.

Profits are pouring in this sector at a very fast rate as it is one of the

booming sectors in the industry today. The major two areas which have witnessed a lot

of growth include APPARELS and FOOD retailing. Sourcing and merchandising are the

backbone of organized retail. Private label sales contribute to the top line and about 20

percent of sales are estimated from this category. However, Indian retailers lag behind

on key areas like planning.

Retail markets have been coming up at an extremely quick pace in key

areas, especially the metropolitan cities. Thus they are being looked forward as

attractive shopping destinations and this trend may completely replace traditional

shopping.

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The Indian retail industry in valued at about $300 billion and is expected to grow to $427

billion in 2010 and $637 billion in 2015. Only three percent of Indian retail is organised.

Retailers of multiple brands can operate through a franchise or a cash-and-carry

wholesale model.

Retail is India’s largest industry, accounting for over 10 percent of the country’s GDP

and around eight percent of employment. Retail in India is at the crossroads. It has

emerged as one of the most dynamic and fast paced industries with several players

entering the market. That said, the heavy initial investments required make break even

hard to achieve and many players have not tasted success to date. However, the future

is promising; the market is growing, government policies are becoming more favourable

and emerging technologies are facilitating operations.

ORGANISED RETAIL IN INDIA:

Retailing in India is gradually inching its way to becoming the next boom industry. The

whole concept of shopping has altered in terms of format and consumer buying

behavior, ushering in a revolution in shopping. Modern retail has entered India as seen

in sprawling shopping centers, multi-storied malls and huge complexes offer shopping,

entertainment and food all under one roof.

The Indian retailing sector is at an inflexion point where the growth of organized retail

and growth in the consumption by Indians is going to adopt a higher growth trajectory.

The Indian population is witnessing a significant change in its demographics. A large

young working population with median age of 24 years, nuclear families in urban areas,

along with increasing working-women population and emerging opportunities in the

services sector are going to be the key growth drivers of the organized retail sector.

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Big Bazaar: Big Bazaar is a retail outlet that offers best products at the best prices.

With the ever increasing array of private labels, it has opened the doors into the world of

fashion and general merchandise including home furnishings, utensils, crockery, cutlery,

sports goods and much more.

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ROLE OF INFORMATION TECHNOLOGY IN RETAIL:

With the retail sector in India undergoing a transformation due to the entry of large

corporate houses, IT managers and CIOs are now looking forward to know how IT can

help them achieve the business goals of their organizations.

Standards-based architecture and software support all kinds of mission-critical IT

applications for enabling greater efficiency, significant cost savings, and new business

value. The critical activities that can be handled by IT are finance and accounting,

business intelligence, vendor development and management, supply chain

management, merchandising and inventory management, facilities management, stores

management, customer relationship management, branding, marketing, sales

promotion and HR.

Like any other vertical, retail also stands to benefit from elaborate IT set-ups. However,

this is subject to the scale and size of the organization, as well as an objective

assessment of its requirements. Key common challenges that can be tackled through IT

implementations include accurate merchandising, improved planning, and increasing

profitability, enhancing customer experience, strengthening store operations, improved

workforce management, and improving the supply chain. This is in fact one of the key

imperatives facing retailers in India, to have a robust and scalable supply chain that will

facilitate rapid growth.

Since a basic objective is to make data available to users and customers, proper IT

implementation and superior IT infrastructure ensure that in spite of getting minimal

details, the retailer captures the right information, which flows to everyone from the back

office staff to the head office managers. The entire information flow must be seamless.

A retail business works on a network environment because the stores connect to one

another as well as to supplier sites. This is because in the retail business quick

response is the key to success. Proper IT implementation also ensures that investment

in retail reduces substantially.

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Key System Applications in the Organization

Since there are different interests, specialties, and levels in an organization, there are

different kinds of systems. No single system can provide all the information an

organization needs. Figure given below illustrates one way to depict the kinds of systems found

in an organization. In the illustration, the organization is divided into strategic, management, knowledge,

and operational levels and then is further divided into functional areas such as sales and marketing,

manufacturing, finance, accounting, and human resources. Systems are built to serve these different

organizational interests.

Types of information systems in Retail Outlet:

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Organizations can be divided into strategic, management, knowledge, and operational

levels and into five major functional areas:

sales and marketing

manufacturing

finance

accounting

human resources.

Information systems serve each of these levels and functions. Four main types of

information systems serve different organizational levels are:

Knowledge-level systems support the organization’s knowledge and data workers.

The purpose of knowledge-level systems is to help the business firm integrate new

knowledge into the business and to help the organization control the flow of paperwork.

Knowledge-level systems, especially in the form of workstations and office systems are

among the most widely used applications in business today.

Computer systems, such as word processing, electronic mail systems, and

scheduling systems, are designed to increase the productivity of data workers in the

office is a part of office system.

Management-level system serve the monitoring, controlling, decision-making, and

administrative activities of middle managers. The principal question addressed by such

systems is: Are things working well? Management-level systems typically provide

periodic reports rather than instant information on operations.

Strategic-level systems help senior management tackle and address strategic issues

and long-term trends, both in the firm and in the external environment. Their principal

concern is matching changes in the external environment with existing organizational

capability. What will employment levels be in five years? What are the long-term

industry cost trends, and where does our firm fit in? What products should we be

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making in five years?

Information systems also serve the major business functions, such as sales and

marketing, manufacturing, finance, accounting, and human resources. A typical

organization has operational-, management-, knowledge-, and strategic-level systems

for each functional area. For example, the sales function generally has a sales system

on the operational level to record daily sales figures and to process orders. A

knowledge-level system designs promotional displays for the firm’s products. A

management-level system tracks monthly sales figures by sales territory and reports on

territories where sales exceed or fall below anticipated levels. A system to forecast

sales trends over a five-year period serves the strategic level.

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Requirement analysis

The purpose of Requirements Analysis is to obtain a thorough and detailed

understanding of the business need as defined in Project Origination and captured in

the Business Case, and to break it down into discrete requirements, which are then

clearly defined, reviewed and agreed upon with the Customer Decision-Makers. During

Requirements Analysis, the framework for the application is developed, providing the

foundation for all future design and development efforts.

The primary goal of this phase is to create a detailed

Functional Specification defining the full set of system capabilities to be implemented,

along with accompanying data and process models illustrating the information to be

managed and the processes to be supported by the new system. The Functional

Specification will evolve throughout this phase of the SDLC as detailed business

requirements are captured, and as supporting process and data models are created,

ensuring that the eventual solution provides the Customers with the functionality they

need to meet their stated business objectives.

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Operational Requirements-

Automatically checks of purchase order forms against goods received notes and

indicate action if there is an excess or short or delay or early delivery.

Updated information on inventory information

Automatic placement of orders to the suppliers when stock goes below assigned

levels

Initiate payment advice when supplies are taken into the stocks by the

warehouse

Current status of a customer account should be available in a customer account

file

Tactical information requirements-

Based on regularity and quality of supply, develop a supplier performance index

Depending upon the value of the stock, obtain information to exercise stricter

control on high value products

Keep track of big payments and receipts

Based on frequency of purchases and value of purchases, developing customer

ratings

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Develop a customer database for future use

Software requirement specifications

Operating System

Retail Man 2007 is written for the Microsoft Windows 2000 and Microsoft XP

Professional platform, by focusing on such platform, we get the lowest possible

total cost of ownership combined with the reliability that we expect for our

network.

Retail man 2007: Retail Man POS contains shop front POS and back office modules

including, fast and easy POS and invoicing screens, purchase orders, stock control,

diary, double entry accounting, telephone directory, built-in emailing, touch screen,

barcode scanner, Pole display, cash drawer and POS printers support. Generate

purchase orders from back office, check on your staff sales as they are done, keep a list

of your repeat clients, email invoices, quotes or purchase orders directly, print stock

barcodes, check profit & loss and balance sheet on daily bases. View, print or save

reports as HTML, XLS or PDF files. Also let the stock control tell you when you have hit

the minimum level of your stock as you sell it, and track stock serial numbers as you

buy it and sell it. Use built in emailing to generate huge profits by bulk emailing your

clients with advertisements and special offers with no additional costs

The typical use of different version is listed below:-

Clients - Windows XP Professional

Middle Tier - Windows 2000 server

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Database - Windows XP

Windows 2000 benefits are

Greater Reliability

Greater Scalability

Unparalleled Multi Language support

Windows XP Professional benefits are

Easier to Manage

Higher Levels of Security

Terminal Server

Language:-

Languages used for designing the website are HTML (Hyper Text Markup

Language), JAVA, Microsoft VB (Visual Basic).

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Hardware Requirements

The hardware of information system for big bazaar will be built on three tier architecture,

comprising pc based clients, clustered server and the database server.

THREE TIER APPROACH

Client: The client represents the face of IS, through which data relating to various

retail operations could be keyed in and data stored in database can be extracted.

Application Server: The middle tier will comprise of clustered servers also called

transaction servers, as they facilitate transactions taking place in the big bazaar. The

clustering of servers will be done through the MS Windows 2000 clustering service. This

is essential for the system to handle high workloads, especially during peak hours. The

middle tier will serve as an interface between the clients and the database.

Database: The database server will receive and process queries received from the

middle tier transaction servers. All the data will be stored in this database server.

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Along with the three tier system various other equipments are required. Bar code

scanners enable you to collect detailed data regarding products that your customers

purchase—information that is useful for inventory management, merchandising and

marketing decisions. Successful retailers use this information in data warehousing

applications to fine-tune store assortments and help assure that consumers find the

products that they want on the shelves, when they shop.

A quality scanner that reads bar codes on the first try will speed checkout and lead to

cashiers who are more comfortable and less frustrated. A pleasant cashier will transfer

this positive energy to customers.

Electronic payment peripherals enable you to readily and efficiently handle credit and

debit card transactions. Among these are terminals that not only process electronic

payment but also capture signatures electronically. A signature capture terminal

incorporates a credit/debit card reader, provides means to enter a PIN number, and

includes a display for other customer input (e.g. for market surveys) and graphics-based

advertising.

Printers

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Modems

PCs

Gateway

Router

Increases operating efficiency across stores using wide-area networks (WANs) and

virtual private networks (VPNs)

Uses wireless technologies at the point of sale for faster checkout and real-time product

information, in the store to improve operations, and throughout the supply chain to

reduce costs

Logical Design

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In the logical diagram various processes are shown with the help of entities and their

attributes. All the entities are somewhat linked with each other. Following is the brief

introduction about each entity and its attribute:

supplier ID

supplier nameproduct name

Supplier

Sub CategoryCode

Category CodeDescription

Sub Category

Category Code

Description

Product Category

product Code

product namesupplier iddescription

Product

Cust. Id

product idquantity

date

Purchase Rec.

Product CodeId

min quantitymax quantity

quantity on handsales price

status

Inventory

Core ID

core nameterminal IP

HO Site

Employee ID

passwordaccess level

HO Employee

Employee ID

namedepartment

EmployeeCust.ID

nameaddress

citypostal code

Customer

Sub Category Code

quantity..........

TransactionRecord

Product CodeStart Date

end datesales price

pricing state

Pricing

maintains

performs

supplies

checks

purchases

operates

Transaction No.

trans datetrans date

employee id

Transaction

updates

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1. HO Site: it is central point in the database unit, which controls all the

departments. It controls various operations like maintaining inventory, organizing

suppliers, and giving salaries to employees and billing to the customers.

2. HO Employee: it defines the employees who will operate the HO site. They can

make changes in the database of the product, and can even define new levels of

cut off points for both inventory and shelf.

3. Employee: it defines all the employees working in various departments. This

entity will be accountable for their salaries, their performance, their timings and

their attendance. All the incentives will be decided after seeing the performance

graph of the employee, which will be generated through the DBMS.

4. Product: this entity will define all the information about the product. It will tell the

cost of the product, its unique ID code, its supplier, its self life.

5. Supplier: as there are too many suppliers in the market who will be suppling

their products to big bazaar. This entity will help to maintain their database. It will

tell about the supplier name, location, product supplied by him, and about billing

of the supply.

6. Purchase rec.: this will tell about the purchase record of a particular product by

the customer. It will tell the name of customer who purchased the product, date

of purchasing, quantity purchased etc.

7. Customer: the end point of the business is customer. To create the database of

the valuable customers, you should know name, address, and product & in what

quantity they purchase.

8. Inventory: It is the store where all the products are placed before bringing them

to the shelf. The supplies directly come to the inventory.

Inventory control

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It means keeping stock of all the inventory at the desired level. In retailing, all the focus

is on the management of products at the outlet, hence the role of inventory control can

hardly be exaggerated.

Benefits of inventory control

1. Meet anticipated demand

2. Smoothen procurement process

3. Decouple components of procurement-distribution system

4. Protection against stock outs and hence informing suppliers beforehand

5. Making the maximum out of a order cycle

6. Hedging against anticipated price changes

7. Smoothen overall operations

IMPLEMENTATION

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Thus we saw the various drastic changes made by the presence of information

system in the retail sector. After collecting all the data, in order to make an efficient use

of all the data available, a proper arrangement of data is required. Thus implementation

of data is must.

At the time of collection of data, arranging the data in a proper manner at the

time of collection is not possible. Thus there comes the requirement of implementation

of the software. First of all, all the data collected will be arranged under different

headings as

Conversion of Data

Stock Database: -> In this all the product’s data will be available in a proper

alignment. Getting the details of all the stock is made easy. Instead of going and

searching for the stock, the details of stock will be available in just one click.

A simple example of stock database is as follows

Product_name prod_id product_price brand_name discnt_given

Shirt 56 1200 Park avenue 20%

Jeans 34 1900 Killer 15%

Shoes 64 700 adidas 15%

Socks 64 52 Park avenue 5%

Tie 28 35 menz 5%

Towel 93 250 bombay dying 10%

Mattress 20 1100 bombay dying 30%

Skirt 101 300 SRC 10%

Kurti 81 500 SRC 15%

Sherwani 12 1500 30%

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Employee Database: -> This will include the data about salaries, leaves,

performance etc of the employees. This will help in giving possible rewards to the

employees for their good performance, which will motivate the employees to work more.

Simultaneously punishing the employees with low performance. This will bring a

homogeneous working environment in the working area

Customer Database: -> This database will include the data regarding the

customer who visit Big Bazaar. This database will include details like, customer’s name,

address, customer id, customer phone number, customer’s occupation. This will help in

recognizing the customer and provide them with membership cards.

A simple example is as follows

cust_fname cust_lname cust_id cust_addr cust_phno cust_occupation

Abhishek Mehta C001 23-A Shanti appts,roop ngr,delhi 45774849 Professor

jyotsna verma C030plot no-343 bunglow no 3, arjun

tenaments, delhi 43847939bank of

maharashtra

Smita Singh C052101,plot no-122,hemraj apts,roop

nagar,delhi 48393297 stock dealer

Aditya mehra C048 401, block B tis hazari,delhi 42029300 Teacher

Suppliers Database: -> Suppliers details, transactions, payments etc. will be

stored in this database. Simultaneously, the details will be sent to the stock database.

And if there is a shortage in the stock of any product, information will be sent to the

respective supplier for the supply of the product. This will result in an effective stock

management.

Pilot Run:

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In this type of run, the new system is installed in parts. Some parts of the new

system are installed first and executed successfully for considerable time period. When

the results are found satisfactory then only other parts are implemented. This strategy

builds the confidence and the errors are traced easily.

After converting the data in a proper and accessible manner, the data will be

provided on all the systems through Pilot Run method in which all the data will be made

available on the server which is connected to all the computers present in the work

area.

TRAINING: ->

Short term training will be provided to the staff members in order to make them

familiar with the software operations and its maintenance. Simultaneously a few of them

will be given hardware training as well so that if any hardware problem occurs, the

problem can be solved at the same level without much of loss to data and time.

Security in Retail

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ENDPOINT SECURITY AT RETAIL

Gateway anti-virus Detects and eliminates viruses, worms and spyware in real time. It scans incoming and outgoing

email attachments, FTP, and HTTP traffic.

Firewall It inspects content in network packets to ensure that unauthorised traffic does not pass into or out of

the intranet. With adequate performance, a firewall can be deployed in-line for real-time protection.

Intrusion Detection and

Prevention

Stops attacks at network perimeter by analyzing traffic for worms, viruses and other hazards.

Analysis techniques include behaviour-based learning and heuristics in addition to signatures

defining known hazards.

VPN Enables secure communications tunnels across the public Internet between computing devices.

With adequate performance, a VPN can authenticate users, encrypt data and manage sessions.

Anti-spam It stops junk e-mail in its tracks.

Traffic Shaping Optimises or guarantees network performance with packet classification, queue disciplines, policies,

congestion management, quality of service, and fairness techniques. It improves latency, service

availability and bandwidth utilisation for cost efficient, high performance networking.

Web-based Content

Filtering

It processes Web content to block inappropriate material and malicious scripts from Java Applet,

Cookies and ActiveX scripts entering the intranet.

Though security solutions such as IP surveillance and automation remain a pipedream,

most retailers take other measures to ensure a secure network

Backups of all application data, operating system, databases and files were taken on a

daily basis onto tape drives and even on disk

All the backup media was stored offsite on a daily basis. Weekly and monthly backup

tapes are stored at remote locations.

If the OS or application software conks off, data can be restored by reinstalling the

concerned software and retrieving the latest data backup.

INNOVATION

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After collecting the consumer data base, we have decided to provide them

with various schemes as if different types of membership cards, after a level of

purchases. For that all the details of shopping will be added to the data base whenever

they shop. Thus this will result in good customer relations as customer will be

impressed that the staff member is having the data of transaction the consumer made

with them. Thus after having a total transaction of 3000 or above, the customer will be

provided with a membership card. The cards will be of different levels as if

1. Silver Card: -> The customers making purchases between Rs.3000 to

Rs. 10,000 in the shop. Free products will be provided with every purchase

(as toys, chocolates etc.).

2. Gold Card: -> The customers making purchases between Rs. 10,000 to

Rs. 50,000 in the shop. They will be provided with additional services as

home delivery services, as well as free gifts with every purchase.

3. Platinum Card: -> Customers making purchases of Rs. 50,000 and above. A

accident insurance worth Rs. 50,000 will be given in addition to free home

delivery and free products. In addition to this heavy discounts will be given on

each purchase.

This way customers will be attracted more towards the Big Bazaar. And this is just with

the data base maintained on the systems with the help of software’s. This will simply

result in an exponential increase in the sales of the shop. And thus more of profit can be

generated.

CONCLUSION

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With the help of this project we came to know that how information system is

helpful to the retail sector. Use of information system in retail sector is resulting in an

exponential increase in the sales, customer relationships etc. Simultaneously customers

are finding it easy and convenient to shop these days. Looking at the early days when a

customer has to wait for a long time to buy a product, it is easy now as they can select

their product from wide ranges available in the market. They can select a product which

will serve their needs the best. This is also helping in maintaining the selling prices

which was misused by the other retailers in early days.

This way use of information system is resulting in a drastic change in the retail

sector. A fair and proper mode of shopping is taking place. This is the NEW ERA OF

SHOPING with the help of INFORMATION SYSTEM which maintains data.

REFERENCES

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Web Sites: -

1. WWW.PANTALOON/BIGBAZAAR.COM

2. WWW.WIKIPEDIA.COM

3. WWW.GOOGLE.COM

Books: -

1. Database.System.Concepts. by Koreth

2. IT For Managers by ICFAI

3. Case Studies in Management Vol. 5 by ICFAI

PROJECT REPORT

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On

Implementation of

INFORMATION SYSTEM

IN

Submitted to: - Submitted by: -

Professor Anima Bharadwaj Vivek Dudeja