MANAGEMENT
Many organizations make new strategic moves to improve their performance and gain more loyalty from customers. Walmart has recently collaborated with Visa to ensure that the checkout process speeds up for customers with the help of chip-enabled debit cards. This move has incorporated a more advanced form of technology and promises that the new system will stand out from those offered by other retailers. Customers of Walmart usually do not like to spend ten to fifteen seconds extra while waiting for the completion of their transactions at checkout- most feel quite bothered at checkout. The new chip-enabled cards would certainly speed up the transaction process.
The chip card would be inserted into the reader machine while the transaction is going on at the cashier’s end rather than the traditional way of swiping the card once the bill has been prepared. Although the usual transaction time has been cut down by the new chip-enabled cards but the duration for the chip card stays inside the card machine has become lengthy. However, the kind of technology and security it offers is worth it. The new chip-enabled cards offered by Visa have been helpful in improving the security of debit cards. Every time, the chip enabled card is inserted into the reader, a new code is generated which means that the chances of theft or misuse can reduce greatly (Sidel, 2016).
We would consider this decision by Walmart as strategic at the business level. This is because the purpose of this move by Walmart is to strengthen the competitive advantage of the retail store. The new technology would not only speed up the transaction process, gratify the customers and merchants, but also enhance the security of debit or credit cards offered by Visa.
A business level strategic decision is aimed at improving the operational performance of the organization so that it can achieve its objectives in a smooth and coherent manner. The decision taken by Walmart is at the business level and it will support the organization in achieving its corporate and functional goals.
Reference
Sidel, R. (2016). Visa, Wal-Mart Move to Speed Checkout for Customers With Chip-Enabled Cards. Retreived from: http://www.wsj.com/articles/visa-wal-mart-move-to-speed-checkout-for-customers-with-chip-enabled-cards-1461063600. Last accessed 27th April 2016.
