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8/2/2019 Cloud Computing in Retail
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Pankaj Bhatia
10020241049
Cloud computing in Retail
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Cloud Computing
Cloud computing allows customers to scalevertically and horizontally, and based on thedemands of their users, it ensures there areenough resources at any given time.
Every month, whether all the resources are
utilized or not, a customer will always have to payfor the contracted resources with regular hosting.
Cloud computing has the attributes to help retail
companies make these changes through thecombination of low capital investment costs,standard applications and platforms, quickdeployment and lower running costs.
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Live Example-ABC Opticals, Delhi
The live study involves a mid-size retail chain in New
Delhi, India which has 5 stores as of 2011 and deals in
spectacles, sunglasses and other eye related products.
This company ABC Opticals was established 60 years
ago and is doing well in this segment.
The company has 5 retail stores and all of them are
located in the up-market areas of Delhi.
The company also deals with overseas suppliers.
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Live Example-ABC Opticals, Delhi
Product portfolio Spectacles
Sun glasses
Contact lenses
Hearing Aid
Lens Cleaners
Colored lenses
Frames
Lenses
60%40%
Revenue Share
Wholesale Retail
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Current Structure of the company
S3
S2S1
S5S4
sp4
s
p3
sp5
sp7
sp6
osp2
sp1
sp2
osp1
S1-S5: five stores of
the company.
Sp1-Sp7: suppliers of
the company.
Os: Overseas
Suppliers
Manually Connected
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Recommended Structure of the
Company
s3
s1
s5s2
s4
Central Node
s
p
1
s
p
6
s
p
2
s
p
3
s
p
4
s
p
5
Online Platform
WarehouseS1-S5: five stores of
the company.
Sp1-Sp7: suppliers of
the company.
Os: Overseas
Suppliers
Cloud Computing.
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Company Financials
Stores Daily sales Monthly sales Margin Profit Employee Cost Over-heads Net Profit
S1 200000 5200000 10% 520000 58000 20000 442000
S2 300000 7800000 10% 780000 90000 25000 665000
S3 10000 260000 30% 78000 18000 15000 45000
S4 30000 780000 30% 234000 30000 25000 179000
S5 40000 1040000 20% 208000 45000 30000 133000Total 1464000
Stores
FixedCost
Variable(CC)
Variable(CO)
Dailysales
MonthlySales Margin Profit
EmployeeCost
MaintainenceCost Over-heads Net profit
S1 75000 10000 15000 240000 6240000 11% 686400 73000 20000 20000 563400
S2 75000 10000 15000 360000 9360000 11% 1029600 105000 20000 25000 869600
S3 75000 10000 15000 12000 312000 33% 102960 33000 20000 15000 24960
S4 75000 10000 15000 36000 936000 33% 308880 45000 20000 25000 208880
S5 75000 10000 15000 48000 1248000 22% 274560 60000 20000 30000 154560
Total 1821400
* According to AWS and
other cloud computing
service providers.
*Computer Operator
*10-30% increase in sales according to IT research companies like Gartner etc.*24.41%increase
After implementing Cloud computing
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Future Scope
s6
s5
s4
s1
s9s3s8
s2 s7
sp8
sp
10
sp6
sp7
sp1
sp5
sp9
sp4
sp3
sp2
Online portal
Warehouses
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Projected Financials
StoresFixedCost
VariableCost Rent
Variable(CC) Variable(CO)
Dailysales Monthly Margin Profit
Employeecost
MaintainenceCost
Over-heads
NetProfit
S1 75000 10000 0 10000 15000 240000 6240000 11% 686400 73000 20000 20000 563400
S2 75000 10000 0 10000 15000 360000 9360000 11% 1029600 105000 20000 25000 869600
S3 75000 10000 0 10000 15000 12000 312000 33% 102960 33000 20000 15000 24960
S4 75000 10000 0 10000 15000 36000 936000 33% 308880 45000 20000 25000 208880
S5 75000 10000 0 10000 15000 48000 1248000 22% 274560 60000 20000 30000 154560
S6 2000000 10000 30000 10000 15000 15000 390000 33% 128700 33000 20000 15000 20700
S7 2000000 10000 30000 10000 15000 15000 390000 33% 128700 33000 20000 15000 20700
S8 2000000 10000 30000 10000 15000 15000 390000 33% 128700 33000 20000 15000 20700
S9 2000000 10000 30000 10000 15000 15000 390000 33% 128700 33000 20000 15000 20700
Total 1904200
*30.07%
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Mobile Wallets: Next big thing in Indian
Retail Industry
Using ones handset as a financial tool, or themobile wallet is an interesting concept which isbecoming increasingly popular and integratedacross consumer platforms.
The mobile wallet is proving especially effective in
developing countries where desktop access tothe Internet and banking opportunities are still aprivilege, yet mobile accessibility is extremely
high.
The mobile wallet technology is also based oncloud platform and is therefore an upcoming areaof study.
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Security Issues in Cloud Computing
Privileged user access.
Regulatory compliance. Customers are ultimatelyresponsible for the security and integrity of their
own data, even when it is held by a serviceprovider.
Data location. When you use the cloud, you
probably won't know exactly where your data ishosted.
Data segregation. Data in the cloud is typically in
a shared environment alongside data from other
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THANK YOU