Introduction
In the XXI century, when performing regional socio-geographical studies, the role of GIS software products has significantly increased. This software ensures the relative autonomy of the geoinformation systems and users of these systems by delivering the possibility of using software products for local and global cluster solutions. Several teams of research institutes, firms, individual scientists, specialists in the field of computer technologies are engaged in the development of GIS software products.
The current business environment relies on advanced analytical systems, which can provide data analysis from multiple sources, including geosocial parameters. The most well-known and popular GIS software include ESRI (Environmental Science Research Institute) with Arclnfo, AzcView, and MapObjects software, which are especially useful in addressing issues of social geography, including different levels of accuracy. (Alhenaki, 2016). ESRI software products are developed in the following development classes:
- GISs that allow businesses to create mapping databases by plotting objects’ locations on an electronic map. Information about these objects is contained in database information, spreadsheets, and tabular form. The software in this series is Business MAP or Business MAP PRO.
- Desktop mapping systems that have broader mapping capabilities for data analysis and geo-analysis. The software in this series includes Atlas GIS, ArcView GIS.
- Full-featured GIS which is used when needed a complete set of automation and data conversion tools, modeling or performing specific tasks, obtaining the highest quality mapping materials. This series includes ARC/INFO software, an open professional GIS that is complemented by ArcFM to provide complete solutions for the service industry, and Mapiex to help map annotation and create new symbols for maps.
- GIS-servers which are designed to manage GIS data for the integration of different developments, interactions with centralized data warehousing, use of large transactions, support for spatial data types and combine multimedia information, access by many users, distributed data delivery, and huge volumes of rendered information.
Walmart and GIS Solutions
Walmart utilizes all GIS software when planning the development of centers of commercial management, for optimal control and coherency of vital divisions, traffic flows, communication networks. The solution to such problems is carried out by GIS-servers. Foremost, Walmart creates an integrated information base to collect local data from each warehouse and store (Kumari & Tewari, 2018).
Then geocoded information about the objects is loaded into the GIS database, which is already distributed with cartographic details at the required scales (Le Cavalier, 2016). Walmart’s location problems are solved by using methods of theoretical and numerical analysis, linear programming, and optimization. As a result, the optimal location of commercial centers can be easily chosen, the areas of influence of these centers selected, traffic flows enhanced, and information support optimized.
The scheme for applying geographic information technology in the retail sector is quite simple. Walmart maintains several databases and uses a directory of telephones and faxes, a list of addresses of customers or partners, a directory of capabilities and services of suppliers. This data needs to be systematized and visually displayed to increase the efficiency of work with them. For this purpose, a desktop GIS and a set of digital maps of the relevant region are acquired (Kumari & Tewari, 2018). The directory of addresses is translated into the GIS database and becomes an attribute characteristic of the plan, creating an appropriate load on it.
Then other databases are filled with data: about customers, suppliers, competitors. Furthermore, information about transportation, road conditions, and the weather is downloaded (Le Cavalier, 2016). All these databases are used to create a unified dashboard about various locations so that the company could review and analyze them, compare with strategic objectives and needs, and decide on locations and strategic actions required for sustainable growth and Walmart’s operations enhancement.
GIS Solutions for Walmart Logistics
Modern GIS systems combine models of a real road network with computational algorithms, and as a result, businesses obtain a tool that allows them to solve transportation problems considering many parameters. Route planning became automated – this not only facilitates the daily work of logistics but also stimulates businesses to predict the load of the logistic fleet in the future, achieve the required delivery time, and avoid inefficiency, like downtime (Alhenaki, 2016).
In this instance, GIS applications help answer different logistic questions from how many trucks will need to be purchased or rented in case of opening new points to the geolocation of prospective customers in 3-5 years (Kumari & Tewari, 2018). Another task, in which GIS tools are used, is the search for the optimal location of objects in terms of minimizing distances to other purposes (Le Cavalier, 2016). These tools support companies in finding places for distribution, warehouses, or stores when the sum of the distances from the warehouse to stores and from stores to customers will be minimal. This tool can also be used to assess the potential of new warehouse locations based on existing ones.
Walmart has already utilized massive databases that contain a variety of customer information. Based on this information, it composes buyers’ profiles, consumer persona characteristics, calculates average values, and classifies data, but at the same time, companies do not know where the client is located (Alhenaki, 2016). The text address is used only for the delivery of mail or goods. GIS systems offer companies to turn the address into a location, that is, to find out the coordinates of the client and thus add spatial information to the database (Le Cavalier, 2016). With its help, one can calculate how many customers live in a 30-minute availability zone around the store, see what they get and, possibly, adjust the assortment to their preferences.
GIS also helps to benefit from modern mobile technologies. With the development of satellite navigation, almost any modern smartphone can determine its location and transfer it to the application. This segment is called “geolocation services” and is used by all major mobile software vendors. Telemetric devices have become widespread in business, as almost all corporate vehicles are equipped with satellite receivers and sensors (Alhenaki, 2016). Walmart should consider such advancements to make marketing and e-commerce more flexible and accurate so that sales and revenue margins could rely not only on applied econometrics but also on consumers’ detailed geo-social data.
Conclusion
GIS is the most promising information system for solving management, business, and monitoring tasks. The GIS structure for the functions of a company, city, or country corresponds to a generalized GIS, which is customized to the specific needs of the user, while data collection is carried out based on technical, technological, and software tools of the developer. There are two trends in the use of GIS.
The first one is the use of geographic information directly in different applications. As a result, new directions in business appeared – geo-marketing and business geography. The second one is based on the mechanism of the GIS “transparency” for the users. Such a feature allows them to operate on well-known concepts without resorting to specialized knowledge in the field of geoinformatics, which simplifies working with GIS in traditional areas of activity.
References
Alhenaki, B. (2016). Using GIS/GPS to optimize supply chain management and logistics at Walmart. International Journal of Scientific & Engineering Research, 7(6), 745–748. Web.
Kumari, E., & Tewari, V. (2018). Strategic management of Walmart. Research Journal of Social Sciences, 11(1), 32–36. Web.
Le Cavalier, J. (2016). The rule of logistics: Walmart and the architecture of fulfillment. University of Minnesota Press. Web.