Introduction

( Kelly Cuenca, Naydelin Benitez Ventura, Alberto Ruiz, Erin Wang ,Sebastian Vasquez )

         Purpose: 

The purpose of this paper is to present a thorough analysis of the ways in which Home Depot's information systems support the company's business strategy. Using the five-component models, we will determine the departments inside the company and examine how Home Depot adds value for its customers. We will conduct an in-depth analysis and observe a particular segment or function of Home Depot’s MIS operation. With that information, we will suggest specific actions that will result in further progress and advancement during the next couple of years. In order to perform a thorough study of Home Depot's business process, we will analyze the company using Porter's four competitive strategies, the Five Forces and the value chain. The results are then used to highlight Home Depot's competitive advantage in this market in our reports and blog. This exercise will help our team become more proficient in business analysis and increase our understanding of the workings of the home improvement retail industry.  

Thesis Statements:

In the home improvement industry, The Home Depot aims to offer the best possible customer service, and the widest range of products at the most affordable costs. With the help of information systems, it guaranteed the success of the company’s business process aimed at satisfying consumer demand. For example, in the sales process (structured process), Home Depot utilizes the Point of Scale (POS) System that improves the transaction process through product identification and accepting different payments covering cash, Apple Pay, credit cards, and other payment methods. One example is that they partnered with Paypal to incorporate its POS technology into their businesses so that customers may make payments using a PayPal card or a PIN-protected cell phone number. As for the marketing process (dynamic process), a social media information system (SMIS) is utilized to gain insight, enhance engagement and create brand awareness. Platforms such as Instagram are used for many purposes such as data analysis and building customer loyalty. Therefore, these IS increased their competitive advantage over their competitors in the market. In order to help with inventory management, payments, installation services, order fulfillment, and customer service, Home Depot has made significant investments in management information systems.

Company Information:

The Home Depot was founded in 1978 by two dreamed men who are called Bernie Marcus and Arthur Blank. When this dream came to them they were at a coffee shop in Los Angeles. Marcus and Blank envisioned a mega-store that would provide a vast array of merchandise at competitive prices, staffed by highly trained employees capable of assisting customers with any home repair or improvement project. With assistance from investment banker Ken Langone and merchandising expert Pat Farrah, they launched the first two Home Depot stores in Atlanta the following year. These 60,000-square-foot warehouses surpassed competitors with their extensive inventory. However, what truly set Home Depot apart was its knowledgeable floor associates who could not only sell products but also demonstrate their use to customers. The company introduced DIY clinics, workshops, and personalized sessions to further assist customers.

Marcus and Blank introduced a customer "bill of rights," promising the best assortment, quantity, price, and assistance from trained associates at Home Depot stores. This commitment reflected the company's overarching philosophy of doing "whatever it takes" to satisfy customers. Furthermore, the founders made a commitment to community involvement, with initiatives such as Team Depot volunteers and support from The Home Depot Foundation, focusing on aiding veterans and communities nationwide.

 

From its humble beginnings in Atlanta, Home Depot has expanded to over 2,300 stores across three countries. Despite its growth, the company's core mission remains unchanged: to earn customer respect through exceptional service, extensive product selection, and competitive pricing. As Marcus emphasizes in their book "Built From Scratch," Home Depot is ultimately in the people business.

Today, The Home Depot is one of the larger home improvement companies in the world. They count with approximately 475,000 orange-blooded associates and more than 2,300 stores in the U.S., Canada and Mexico.

HomeDepot has been using Google Cloud since 2016 as their information system. It manages data and empowers associates, as well as keeping 50,000+ items stocked with over 2,000 locations. Google Cloud offers services for computing, storage, networking, big data etc..  These are useful in many ways, flexible and scalable. HomeDepot uses these for their technology to infrastructure and to meet an unprecedented surge in online customer demands.

Company Contact: 

Angel L. Santos - Operations Manager- ICQA

The Home Depot

Newark DFC 5854

221 Riverview Drive, Perth Amboy, NJ 08861

Angel_L_Santos@homedepot.com

Cell: 862-271-3792

Glorimer Benitez - Inventory Control and Quality Assurance Area Supervisor

The Home Depot

Newark DFC 5854

221 Riverview Drive, Perth Amboy, NJ 08861

glorimer_benitez@homedepot.com

Cell: 732-715-3078

Office: 732-771-0061

                                                              

Team 2 Gantt Chart 

Home Depot CEO 

          Ted Decker               

• Became CEO in 2022.
• From 2020-2022 he was president and chief operating officer.
• Joined Home Depot in 2000 as director of business valuation.