Operations Management Essay

1884 WordsFeb 22, 20138 Pages
I. Executive Summary The technological usage and development at Aldi, Inc. is not being utilized to its fullest potential in order to make the company operate at its highest degree of efficiency. Technology upgrades should be applied to each store in order to make a more effective communication link between store employees, district managers, directors and back office personnel. If the company is able to make a considerable investment in upgrading its technology, the company will become more profitable and able to compete with larger competitors. II. Process Assessment The process that I am focusing on is the technology Aldi uses to communicate between stores and to the division offices. The stores and division offices use a primitive and outdated means of communication. It does not allow for business to be conducted at the speed which district managers are used to coming out of college. I have taken a closer look at this business process in order to determine what can be improved on and how it can be carried out. Aldi is a very expense conscious business and they try and run as lean as possible while cutting out any expense that seems unnecessary. While this is a great bottom line mentality, I believe it has gone to the extreme and is actually stalling progress and slowing the growth and profitability of the company. Over the course of this assessment I will be observing, taking from first-hand accounts as well as interviewing current employees, store managers, district managers and directors, in order to gain a greater understanding of how this process can be improved. III. Background Information Aldi, Inc. is a discount grocery company that originated in Germany in 1913 and split into two companies controlling two specific areas in 1960. It is a global company that has over 9,000 locations worldwide. The company has done extremely

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