Business Intelligence Readiness Assessment for a Shopping Mall: Challenges and Future Directions

Business Intelligence Readiness Assessment for a Shopping Mall: Challenges and Future Directions

Pedro Julian Ramirez-Angulo (Universidad de la Costa, Barranquilla, Colombia) and Rosa Alexandra Chaparro Guevara (Universitaria Agustiniana, Bogotá, Colombia)
Copyright: © 2020 |Pages: 16
DOI: 10.4018/JCIT.2020040102

Abstract

This case takes place at SCC, a recognized shopping mall located in Cali, Colombia. In March 2018, Javier Ortiz, CEO of SCC, contacted a group of researchers to identify the key success factors before the implementation of business intelligence practices. For this, the researcher's group conducted a set of deep semi-structured interviews to establish the current state of processes, people and technologies around business information. With this information, a business intelligence maturity stage model is presented to identify a low level of business intelligence practices, that represents a long list of challenges to be faced by the SCC with a limited budget. This case focuses on how to analyze the business intelligence readiness assessment using exploratory analysis, and seeks to promote the skills and competencies oriented to prioritize actions based on research to improve decision making before a business intelligence implementation project.
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Organization Background

SCC is a shopping mall located in Cali, Colombia. Founded in 1985, SCC is a traditional place for the city and symbolizes a decade of transformation and development. SCC is a firm that belongs to an important Colombian conglomerate of supermarkets and stores and is managed as part of the real estate business of this group. In this way, SCC operates as a lessor and manager of commercial spaces for brands that wish to offer their products and services.

SCC is constituted under the horizontal property regime. In this way, SCC is intended to generate profit to be re-invested in the improvement of infrastructure, security, events, and services offered to tenants and visitors. For 2017, SCC reported an operating income of $1,973,868, representing a growth of 11.52% in respect to 2016, with a gross margin of -1.64% and a net margin of 0.4%.

According to the 2017 SCC management report, the shopping mall has an area of 49,569 m2 distributed across 101 stores. The annual occupation of tenants was 98.2%, representing a growth of 9% compared with 2016. SCC also encourages the leasing of common areas for shows and corporate events, but these activities constitute less than 7% of SCC’s annual revenue, while 93% of revenues are obtained from administrative fees paid by tenants (see appendix 1). The marketing activities of SCC are based on the Colombian consumption cycle, which is centered on specific seasons and in a familiar concept . The shopping mall highlights activities focused on each family member per stage in the impulse traffic of potential buyers for their tenants’ brands. As an example, the Colombian Mother’s Day is in May, so SCC promotes activities specifically focused on mothers, and tenants promote products and services in their stores with special offers for this segment.

SCC also develops some social activities designed to promote sports, care for the elderly or children, and youth entertainment. These activities are proposed as a way to reflect SCC’s social corporate responsibility based on the commitment of the brand with the city and to ensure the positioning of the tenants’ stores. On a monthly average basis, about 190,000 vehicles (cars and motorcycles) enter the shopping mall. Thanks to SCC’s location in the city, the shopping mall is a point of reference and meeting for people traveling through different means of public transport. Nevertheless, there is no estimate of the number of persons who circulate in the mall, and less information exists on the profiles or the frequency of visits of these people. At the organizational and structural level, the shopping center is managed by a board of directors composed of representatives of the conglomerate to which SCC belongs, tenants and managers of SCC. This board delegates the execution to a manager, who assigns activities to three departments: maintenance and operations, administrative and accounting, and commercial and marketing. The shopping center counts 23 direct employees. Some critical functions for the organization, such as technological, legal, or human resources, are carried out from the business conglomerate to which SCC belongs in a completely centralized manner.

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