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Executive Summary
This firm is recognized by many as one of the leading retail grocers in terms of technology adoption and deployment. With over 200 stores in the United States and more than $4 billion in sales in 2003, this firm shows that it is possible to grow without jeopardizing the quality, service, and customer focus for which it is famous. For many years, this firm has consistently demonstrated a strategy for growth that includes the early adoption of many innovations in the food marketing and retailing industry, without sacrificing a commitment to customer care and community well-being.In the early 1990s, Efficient Consumer Response (ECR) began as a formal initiative in the United States, similar to a previous effort known as Quick Response (QR). Both of these programs were designed to shrink the order inventory cycle for grocery retailers and to shorten the time between realizing the need for additional product and having it restocked and on the shelves.[1][2]The process of innovation adoption, as discussed in Chapter 4, "How it Should Be Done: Implementation Strategies and Best Practices", is much like the process of technology adoption, in that a select few companies (early adopters) are quick to implement new products or ideas that offer the promise of a competitive edge, whereas other companies (mainstream adopters and laggards) let early adopters lead the charge, so that they can learn from their competitors' successes or mistakes.In addition to adopting many ECR-related innovations such as Continuous Replenishment Programs (CRPs), this firm has consistently led its competitors in the deployment of innovative IT solutions, helping it gain a competitive edge in retailing.[3]This firm was one of the first grocers to adopt barcode scanning technology, and has aggressively deployed electronic shelf labels (ESLs), which allow retailers to simultaneously update prices in multiple locations from a single application. ESL technology enables the company to spend more time serving the customer and less time marking prices.Just as this firm's leading-edge adoption of new business processes has helped it gain and preserve sizable market share, its adoption of storage networking technologies supports a strategic framework for lowering costs, streamlining operations, and increasing efficiencies.
