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Your assignment is to prepare and submit a paper on analysing the itmanagement strategy of a case report: analysing a case study.
Your assignment is to prepare and submit a paper on analysing the itmanagement strategy of a case report: analysing a case study. Investing in information technology and in the stores is a strategy that has helped Zara to have a competitive advantage over the other retail companies. However, Zara has been faced with a challenge in deciding the right move, between updating the current software the company uses, or maintaining it as it is. This is a challenge, as both moves result in benefits as well as costs (Tungate 2012).
An IT strategy is paramount for all the companies, as this helps a company to adapt faster to the changes in the business requirements in the business environment. If a company lacks an IT strategy, it cannot keep up with the business changes in an effective manner, but instead will have a delayed reaction and response to important changes. If the IT strategy of a company is weak, this might have detrimental effects on the company. A weak IT strategy is therefore, a waste of time and resources for a company (Gitman & McDaniel 2008). This paper investigates the IT management and strategy of Zara, using a provided case study of the company, to realize how effective this has been to the company.
Thirty-seven years ago, Amancio Ortego and Rosalia founded Zara. This owns different brands, and has close to 1660 stores, most of which are situated in Europe. The different styles of fashion and clothes by this company serve the needs of men and women, as well as children. This is one of the most successful companies in Spain that have constantly managed to adapt fast to changes in the business environment, unlike other companies that lack this capability. Analysing the IT strategy of Zara is of interest, since this company is unique in the way it utilizes communication and information technology. While other companies rely on outsourcing to reduce costs, Zara on the other hand, has capitalized and invested in information technology, as a way of gaining a competitive advantage in the market.
