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Zara

Submitted by gags_24 on April 11, 2009

xyz IT Consulting
Memo
To: Mr. Xan Salgado Badas
From: Mr. xyz
CC: Mr. Bruno Sanchez Ocampo
Date: April 11, 2009
Re: Recommendation for upgrade of POS application
Introduction
In this memo, we present our understanding of Zara’s core competencies and then discuss the advantages and concerns of the existing point of sales (POS) application at Zara. We follow this discussion by our recommendation for the upgrade of POS application along with the technology recommendations.
Zara’s Core Competencies
Zara’s core competencies include responding quickly to the demands of their customers. Also, Zara strongly believes in decentralized decision making. This policy of decentralized decision making entrusts people at the level of store managers with the added responsibilities of predicting market trends and demands. POS application plays a crucial role in meeting these core competencies.
Advantages of Existing POS Application
Zara’s existing POS application provides several advantages. The existing POS application is highly stable and fulfills the basic business requirements satisfactorily. The POS application is easy to use and does not require any IT support for fresh installation at a new store.
Concerns of Existing POS Application
Nevertheless, the existing POS application at Zara poses management with certain concerns. The POS application runs on an unsupported DOS operating system. Zara has no contractual agreement with the hardware vendor for the support of current POS application. Also, the current application does not support within the store and across the store connectivity.
Suggested Recommendations and Conclusions
Our analysis suggests that to meet Zara’s core competency of reacting quickly to demand it may be advisable to upgrade the POS application to a new operating system. This upgrade to POS application can also incorporate new networking...

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