Sam Walton the Technology Leader
With the media portrayal of Sam Walton as the 'aw shucks' kind of guy that in reality he really was, it would sometimes take away from the real vision and embracing of technology that he had that helped to propel Wal-Mart (WMT) into what it is to this day.
The two leading things that Walton employed at Wal-Mart were the universal bar code, of which they were among the first comapnies to employ it; and it was the first company to use electronic scanners at the cash registers.
All of this was connected to a central inventory control computer system that gave the company up-to-the-minute data on the number of items in each store so i
t could be reordered at the right time. At that time this was revolutionary.
It initiated the just-in-time inventory system with its high-quality logistics that helped to remove a lot of waste throughout the supply chain.
The importance wasn't only the streamlining it brought about, which eventually any company can adapt to when it comes to technology, it was that it fit in with the core purpose of the company which was to offer "low prices all the time."
To offer low prices meant the company would have to turn over merchandise fast. This system put in place guaranteed that they could do that with their inventory control and meet almost immediate customer demand. To this day it allows them to move merchandise quickly and keep in line with their stated vision.
Walton understood that technology is nothing more than a tool, albeit an important tool. Within the purpose of the company he used it to its fullest, and was never behind the times in adapting that which would serve what he wanted to accomplish.
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