The Kmart Department Stores Network: Self-Checkouts Systems

Topic: Management
Words: 1229 Pages: 4

Overview, Strategic Aspects, Systems-Related Factors

For this report, the Kmart department stores network was chosen, which are currently actively implementing self-checkout systems. However, their solution lacks human centred design because it does not meet key customer needs. Thus, within the framework of the report, it is necessary to consider more relevant options for self-checkout systems that Kmart could use to improve the customer experience. In particular, it is important to review existing technology solutions and assess their applicability to Kmart. This is omportant for the organisation as it would provide Kmart with better customer experience and higher competitive advantage.

The human-centred system problem that the group is working to better understand is choosing the most appropriate solution within the human-centred design process. As part of this approach, it is necessary to explore and test a wide range of solutions. Therefore, it is important to develop procedures and criteria that allow the determination of the most relevant design system that would work best for the specific company.

Overview of Business/Organisation/Strategic Direction

In this regard, it is vital to introduce the human-centred design and its premises in evaluating the possibilities to enhance the self-checkout system. Kmart is one of the largest department store chains in Australia, offering a wide range of consumer products. The retailer recently started a massive upgrade of checkout systems in their shops, favoring self-service options (Sinclair, 2022). However, at present, the solutions offered by Kmart to customers are not sufficiently diverse and convenient, which requires the application of human centred design principles to introduce a more relevant self-checkout system.

The main design problem with Kmart is the lack of customer confidence in the new self-checkout systems. Shoppers express concerns about retailer’s store innovation as not everyone likes the concept (Sinclair, 2022). However, Kmart needs to introduce such self-service options that would satisfy the needs of various categories of consumers. In particular, we need more human centred systems that are not only convenient but also reliable.

Generic Model of System Description

Using the inspiration aspect of human-centred design, framing is essential in this domain. Prior to using data analysis and customer journey mapping to further the evaluation, it is crucial to fully comprehend the consumer and their pain points (Buckingham et al., 2019). Then, before spending money on a solution, it is essential to create a prototype and test ideas to remove any potential friction. In the context of optimizing self-service uptake, this can entail observing and surveying consumers, simulating various checkout situations using point-of-sale data, and testing prototypes based on research findings (Raider and Weiß, 2021). A solution that meets consumers’ demands can be created after understanding precisely how self-checking may handle their problems. For instance, sprints for product development are a solid approach to accomplish this rapidly and effectively.

Generic Model of a System Diagram

The human centred design process relies on researching customer needs and presenting a relevant solution based on their needs. Kmart’s preliminary research identifies that the company needs a more human-centred approach to innovation. As part of the system development, it is also important to provide several options that could meet the various needs of the users, as shown in the process diagram (Fig. 1). This is necessary for the implementation of the concept, which would emphasize the most important points of the human centred solution.

Human-centred design process 
Fig. 1. Human-centred design process 

System Characteristics

In terms of ideation, applying self-checking from a different angle could really be the best approach to leverage its advantages. Building and running prototypes and integrating feedback are the most beneficial methods in terms of human-centred design. Whichever path is finally put into practice depends only on what is best for the company and what the customers want. Introducing an RFID-based system in Kmart may significantly speed up the checkout process and is a wonderful choice if the business model is low-volume, high-value products (Duan et al., 2021). Another illustration is the total elimination of paper receipts, as Amazon accomplished with Amazon Go. Customers may choose things off the shelf and leave without stopping at a real checkout, thanks to a mix of computer vision, sensor fusion, and deep learning. While delivering a new solution may be a desirable objective, it is crucial to provide customers with the opportunity to make their own decisions.

Self-checkouts can use an intelligent incident reporting tool while working to gather both quantitative and qualitative data. In order for management to identify and efficiently address self-checkout trouble spots, information regarding issues from hosts is collected as they arise. This feedback system can be digital for more sophisticated monitoring or flexible programming or analog for simplicity of use (Baker and Moukhliss, 2020). Management may utilize this information to find solutions and minimize problems that could affect retail losses because concerns are regularly and properly reported.

Systems Identification and Evaluation

System Identification – Functional, Enterprise

When relating the issue to the implementation aspect of human-centred design, it is important to consider monitoring, evaluating, and proper stuffing of the design. To improve the experience for customers and hosts who can view screens from a distance, huge visual icons can be used in place of text. Employees may determine if an inaccurate scan has happened by comparing the symbol on the screen to the item in the customer’s hand by displaying each item scanned. By publishing the scanned goods, buyers will be able to confirm that they have packaged and scanned the right item while preventing theft. This information may be connected to camera-based product-finding technologies.

System Function and Example

Customers may choose to shop in other places if they feel under pressure to utilize a certain choice or assist with cashier duties in order to save expenses. In human-centred design, success depends on achieving customer happiness. For instance, Walmart discontinued its Scan & Go program after a lengthy and expensive trial owing to low consumer satisfaction and unfavorable reviews (Raider and Weiß, 2021). One option may be a hybrid of self-check-in, aided checks, scan and go, and assisted fast lanes. Another system analysis tool to be implemented is a proper indication. Using a tangible indication like a flag makes it easier for customers in Kmart to seek assistance when they are uncomfortable speaking to assistants. By giving individuals a useful method to ask for assistance without feeling uncomfortable when they call the assistant, this feature can be beneficial. Customers are simultaneously given the impression that the owner will step in to help because of this.

Resources Required

First of all, a budget is needed for the implementation of all stages of the design process, starting from the study of the customer needs research to the solution introduction. Additionally, it is important to have a team that can test hypotheses and develop human centred design. Finally, it is also important to provide information support for interacting with customers and taking into account their needs within the innovation process.

Operations and Management Function Support

From the point of view of management, it is necessary to deploy an active information company to study the needs of consumers. Kmart’s operations must be based on ongoing consideration of customer opinions and perceptions to ensure a smooth transition. Additionally, from a functional perspective, it is important to ensure that stores are kept up-to-date in order to test appropriate solutions and choose the best design options.

Reference List

Baker, F.W. and Moukhliss, S. (2020) ‘Concretising design thinking: A content analysis of systematic and extended literature reviews on design thinking and human-centered design, Review of Education, 8(1), pp.305–333.

Buckingham, S., Ferguson, R. and Martinez-Maldonado, R. (2019) ‘Human-centred learning analytics’, Journal of Learning Analytics, 6(2), pp.1–9.

Department of Premier and Cabinet. (2020). Human-centred design playbook. Web.

Duan, C., Liu, J., Ding, X., Li, Z. and Liu, Y. (2021) ‘Full-dimension relative positioning for RFID-enabled self-checkout services’, Interactive, Mobile, Wearable and Ubiquitous Technologies, 5(1), pp.1–23.

Raider, S. and Weiß, P. (2021) ‘Fostering Human Centred Design in Public Service Development’, Applied Human Factors and Ergonomics, 15(1), pp. 265–272.

Sinclair, A. (2022). Kmart fans are convinced manned checkouts have been phased out. The superstore responds. Web.