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E-commerce Performance Challenges

Trade-E's e-commerce platform faces challenges including slow website performance, inaccurate inventory management, increasing customer support response times, and limited reporting tools. These issues stem from server limitations, inefficient forecasting, and insufficient customer service resources, leading to potential loss of sales and customer loyalty. The company aims to improve its ERP system, enhance inventory forecasting, and streamline communication and analytics processes to address these problems.
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0% found this document useful (0 votes)
88 views12 pages

E-commerce Performance Challenges

Trade-E's e-commerce platform faces challenges including slow website performance, inaccurate inventory management, increasing customer support response times, and limited reporting tools. These issues stem from server limitations, inefficient forecasting, and insufficient customer service resources, leading to potential loss of sales and customer loyalty. The company aims to improve its ERP system, enhance inventory forecasting, and streamline communication and analytics processes to address these problems.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

SLIDESMANIA.

C
1 CONTEXT

2 PROBLEM ANALYSIS

3 REQUIREMENTS GATHERING
Trade-E sells a wide range of consumer electronics and gadgets on its own e-commerce platform. After
the rapid growth over the past few years, Trade-E current e-commerce platform is struggling to keep up
with customer demands and facing the following challenges:

Slow Website Inventory Customer


Data Analytics
Performance Management Support

The website slows down Struggling to maintain Responding times are Existing reporting and
during peak hours accurate inventory levels increasing analytics tool are limited
Problem
Analysis
SLIDESMANIA.C
The website experiences frequent slowdowns during peak hours, leading to a poor user experience and potential
loss of sales.

Hypothesis Reasons Potential Impacts

● Limited capacity of data server: ● High bounce rate: customers lose patience
overloaded server struggles in handling high traffic with slow performance website, leading to
abandon purchase, low conversion rate and lost
to the website during peak hours.
sale.
● Complex code for website: the browser ● Customer frustration: customers have poor
takes longer time to process overly complex code user experience on the website, leading to high
and increases the consumption of RAM (Random churn rate and have negative impact on company
Access Memory) leads to unnecessary data brand reputation.
storage and redundant calculation.
The company struggles to maintain accurate inventory levels, resulting in stockouts and delayed deliveries.

Hypothesis Reasons Potential Impacts

● Inefficient forecast and demand ● High goods return & order cancellation
planning: lack of updates on market trend, poor rate: customers may change their mind due to
planning for demands on category class (hot sale, slow delivery, resulting in cancelling orders or
regular, low sale), failure to take into account return goods, leading to high operation cost and
seasonal, trending stock lost sale

● Poor stock management: without accurate ● Reduce customer loyalty: customers lose
monitoring real-time stock status, leading to delay their trust to the website when stockouts and
stock fulfillment delayed deliveries, leading to an increase of
churn rate
● Issue from data synchronization:
inconsistent data between systems results in an
inaccurate inventory data for operations
Customer support response times are increasing, leading to customer dissatisfaction and negative reviews.

Hypothesis Reasons Potential Impacts

● Shortage of human resource: a lack of ● Reduce customer loyalty: repeated


customer service staffs leads to overloaded work dissatisfaction without effectively resolving,
for the existing team members resulting in slower makes customers to seek alternatives.
response, poor service quality
● Bad reviews from customers: customer’s
● Inefficient customer feedback process: complaint are not promptly solved leads to
customer response and complaint solving process frustration and bad comments on product pages,
is unclear leading to longer time to handling which also results in an increase of high bounce
customer’s feedback rate

● Shortage of high technology in ● Lower conversion rate: high customers


customer service: lack of support from abandon cart may be caused due to late
technology such as AI chat bot response from customer’s queries and
complaints
The existing reporting and analytics tools are limited, hindering the ability to make data-driven decisions.

Hypothesis Reasons Potential Impacts

● Lack of real-time data: real-time data ● Inefficient business strategy: inaccurate


supports the company to get the up-to- historical data impacts on the inventory forecast
date inventory status for efficient action and fail to implement effective action plans
plans and operations ● Reduce operational efficiency: limited
reporting and analytics tool causes increasing of
● Data integration issue: discrepancies of
manual work for offline data integration and
data between systems results in report preparation
inaccurate database
Requirement
s gathering
SLIDESMANIA.C
The company struggles to maintain accurate inventory levels, resulting in stockouts and delayed deliveries.

Inventory Classification Shrinkage Stock Transparent Market Research &


ERP System
& Forecasting Planning Communication Competitive Analysis

Build up ERP system Inventory forecast Take into account for Promptly communicate Market research report
or improve the current based on historical shrinkage stock (loss, with stakeholders if (eg. Nielsen) can
one for accurate sales data, market theft, or damage) any updates regarding provide a
database to support for trend and promotion planning to reduce the to forecast and sales comprehensive
inventory planning & plan into each product impact on inventory plan insights of market
management. classification (hot sale, management trends and competitor
regular, low sale) analysis
Meeting minute & Standard
operating procedure (RACI
matrix)
Data analytics Hold a meeting with all
key stakeholders to Gather feedback and
identify and address hold a meeting to
the issues, propose review the process,
solutions, and align on making revisions as
the processes moving necessary based on
forward the input received

Prepare analytic Send out meeting


report to stress minute and Standard
out problems in operating procedure
inventory based on RACI matrix
management to clarify clearly
Conduct meeting with key responsibility and
timeline for each Process revision
stakeholders
stakeholders
SLIDESMANIA.C

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