Role of Technology ASDA Information Technology Essay

Role of Technology ASDA Information Technology Essay ASDA is one of the leading supermarket retailers in the United Kingdom. The company was founded in 1965 and currently employs more than 165,000 workers. The history of the business goes back to 1949 when local farmers organized in a group to facilitate diary production and distribution. By the 1990s, ASDA was a booming business that expanded by buying large stored like, for example, Gateway Superstores (Hegazy, 2012). Under the leadership of Archie Norman in the 1990s, the company embraced new business strategies and marketing approaches. The company actively used the experience of Wal-Mart, and later became a subsidiary of this large American chain store (Hegazy, 2012). Currently, the company is the third largest retailer in the UK after Tesco and Sainsbury’s. Besides retailing, ASDA also offers mobile and financial services and owns a chain of petrol filling station across the country. Technology plays an immense role in sustaining this large business. Information technologies (IT) are a central part of any contemporary business, and ASDA managers are willing to take advantage of them to make the business more effective and profitable. Among other things, IT allows ASDA to have accurate records of stores, employees, business plans, loyalty schemes, etc., which facilitates communication and management processes. ASDA is committed to improving its IT opportunities by introducing various projects and initiatives. In the fast-changing, demanding business setting, this aspect of the company’s operation is extremely important. ASDA technologies penetrate almost every aspect of its operation. Thus, for instance, apart from the chain of stores located across the UK, the company has also launched its online store to make shopping more convenient for its customers (Retail Technology, 2013). It has been announced that given the increasing demand and the growing popularity of online shopping, it was only reasonable for the company to enter the e-commerce. As part of the process of launching the online store, ASDA cooperated with eCommera to work on payment gateways, advertising, site context, and other critical aspects (Retail Technology, 2013). Sophisticated software Asda Direct was designed in 2012 to improve the efficiency of distribution and strengthen the company’s position in the e-commerce market (Computer Weekly, 2012). This technology platform is focused on merchandising of various goods including electronics, baby items, toys, furniture, etc. Integrated into the largest distribution centers, it allows making the process of online order placement and subsequent delivery faster and more convenient for both ASDA employees and customers (Computer Weekly, 2012). More specifically, it allows notifying customers when particular items are in stock, which facilitates the process of online shopping and helps avoid delays. Notably, a faster and enhanced system is a valuable contribution to the company’s sustainability because it increases its competitive advantage and attracts more clients. Technologies enhance the operation of physical stores as well. For example, recently introduced RFID (radio frequency identification) technology allows employees to see where each item is located and monitor stock volumes more effectively (Thompson, 2014). Thus, it became easier for workers to plan stock levels and ensure that all products and goods and available to customers. It means that clients can be sure they will buy everything they need without the necessity to drive to another store (Thompson, 2014). To conclude, technology plays an essential role in the ASDA company. First, it makes it more competitive in the demanding retailing market. Second, it facilitates marketing and distribution and makes it easier for employees to manage huge stock levels. Third, technology allows attracting more customers by diversifying marketing approaches and improving access to goods and services. Successful use of technologies certainly makes ASDA one of the leading retailers in the UK and contributes to its positive reputation.