This project and presentation highlights the innovation section of our IT Management course. This powerpoint shows the feasability and implementation plan for the future use of high technology to revolutionize the Wal-mart shopping experience. The project touches on RFID, GPS, touch screen Kiosks, etc.

1. Wal-Mart: A New Age Shopping Experience Soeb Contractor Anthony Fitzpatrick April Merscher Joseph Nachinson Adrienne Tallarom

2. Seems Familiar? Lines are Killer! Source: Maritz poll, July 15 2008

4. RFID: Better alternative to traditional barcodes for identification Uses radio waves for identification Can be read from several meters away and beyond the line of sight of the reader Cost of RFID tags reducing every year and now available for 3¢

5. GPS Tracking on carts Ability to develop patterns of customer movement inside the store Better position displays according to movement Track purchases off displays and promotions Sell data to market research companies Identifies cart at kiosk for check out process

6. Kiosks: Pulls out cart specific purchase information Has payment options and ability to swipe credit card Printing of receipt and coupons Allows speedy checkout.

7. Competitive Environment Build Awareness with customer base Advertising Media, Billboards, Public Transit, etc In store: Flyers, Banners, Greeters, Coupons, etc Economies of scale – 1st Mover Advantage No 3rd party or partner companies in operating its business, easier to integrate Full Vertical Integration Significant expertise in implementing and using IT systems Competitors lack resources & expertise to respond accordingly…..Wal-Mart remains innovative leader

8. Cost/Benefit Analysis Costs Initial System Cost RFID readers Stand alone for carts Standard for kiosk GPS for carts Antenna Middleware Consulting/Integration Recurring Costs RFID tags System Maintenance Data Storage / Sorting Benefits An increase in sales of 2% due to reduced out-of-stock items 30% reduction in inventory due to lower safety stock Reduction in theft Approx. 40 employee reduction per store Market Research Decrease in wait time for customers increase sales by 3%

9. Definition of Scenarios Best Case – All Walmart stores would implement this technology – 4,300 total stores Worst Case – Project would not proceed past the initial implementation – Assumed to be about 10% of the Walmart Supercenters, total of 274 stores Likely Case – Only Walmart Supercenters would implement this technology – 2737 Walmart Supercenters

10. Financial Feasibility *Recurring Costs/Benefits

11. Organizational Implementation Plan of Attack and Time Line Risks Technology – 3rd Party Right? Competitors – How long before we are copied? Customers and Suppliers – Will they buy into the technology? Costs – Will they decrease? Inventory – Does this provide better tracking? Employees – Will they buy in? Executives – Is there an ROI? 1 yr ½ yr ½ yr 1 yr 1-2 yrs

12. Organizational Implementation Risk Mitigation Technology – Well rounded selection team Competitors – Confidentiality and long term contracts Customers and Suppliers – Market positively and show value Costs – Research before and track after Inventory – Track both ways Employees – TRAIN! TRAIN! TRAIN! INFORM! Executives – Analysis of ROI, show updates during implementation Risk Mitigation Time, Costs, Wait (Queue) time decreases Contingency Plan Scrap Project Revert to previous system – ensure employees still know traditional check out procedures