Zara, It for Fast Fashion Case Report

Zara, IT for Fast Fashion Case Report

Executive Summary

My decision is to upgrade Zara’s POS system to a modern system. The current system is outdated and there is a high likelihood that the hardware will be upgraded or discontinued, thereby making the current software obsolete. A system upgrade will also add functionality for end-users in the stores. This decision is based on the notion that a proactive approach will enable a much smoother and more efficient transition without disturbing the supply chain than a reactive approach to hardware obsolescence would.

Key Assumptions

• Zara plans to continue to open new stores across the globe.

• DOS Hardware suppliers can only offer the same contract that the current supplier can; with no promise to refrain from hardware upgrades.

• Microsoft will not resume supporting DOS applications.

• Changes to Zara’s IT infrastructure will eventually be made company-wide.

Statement of Issues

The main issue of his case lies within the limitations and possible (or eventual) obsolescence of Zara’s current point-of-sales (POS) system. At this point, Zara’s POS terminals operate a DOS-based operating system, which is no longer supported by Microsoft, thereby making any future hardware changes detrimental to any replacements or acquisitions of POS terminals. Hardware upgrades would result in the software becoming incompatible with the software. Zara’s current hardware supplier will not guarantee that no upgrades or changes to the terminals will be made. This means that there may come a point in time where the hardware supplier modifies or discontinues the terminals, and Zara will be forced into a crisis mode where replacement for broken down terminals will not be available, and no new stores can be opened until an alternative operating system can be developed and implemented, which may take a considerable amount of time. Furthermore, the current system is limited in its capability to add new...