Analyzing IT Acquisition Strategies, Performance Gaps, and Contract Modifications in Organizational Success
An assessment of IT acquisition strategies and contract modifications.
Charlotte Kelly
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Analyzing IT Acquisition Strategies, Performance Gaps, and Contract Modifications inOrganizational Success1-1.Write a brief statement describing an IT acquisition by an organization about whichyou have knowledge. State whether the organizationbelieves the acquisition met itsobjectives (e.g., improved the performance of the organization). State why youbelieve the acquisition was successful, unsuccessful, or partially successful and theprincipal reasons for this result.Answer:Here I will explain about Levi Strauss which have done IT acquisition in 1990s to boost itssales.Levi Strauss jeans as known is one of the leading and famous jeans company. In 1996it has its peak sale of 7.1 billion dollars. But after that, the company sale started falling. Itstarted losing its market share. From a sale of 7.1 billion dollars its sale fell to 4.1 billiondollars having a mere 12% market share. Now they started thinking to do something to copewith the problem. Then after some time theydeveloped a strategy which helped them toincrease their sale and market share. The company started selling the jeans with mass marketretailer like Wal-Mart. Earlier the company sell its jeans to small department stores but now itwas a giant step for the organisation to sell with Wal-Mart. The requirements of Wal-Mart areintense price control, on-time and just in time deliveries and micro level catering to thecustomer preferences by constant development.Levi’s transformedits demand restocksystem andits supply chaininto an Information Technology based system so as to meet theWal-Mart’srigorouschallenge.Levi’salsoupgradeditsdatabasewhichcontainstheinformation about its existing customers and the in-store sale. The data from the database isfed to an advanced forecasting system. The company has made the information related to its
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