a cultural transformation is underway at walmart as the retailer makes heavy investments in artificial intelligence and machine learning to keep up with changing customer preferences, assess new innovations and fight off emerging tech-enabled competitors. the new capability required dramatically changing how the retailer works, starting with bringing a different skill set to the team and establishing new accountability with a focus on performance. speaking at the national retail federation’s 2019 big show, jeff said walmart is pushing the cultural change: “digital means trusting data, automating what you can so you can focus on the right things, being driven and agile and thinking like product owners in everything we do from merchandising to marketing to operations.” merchants were spending a bulk of their time on tactical work and putting out fires rather than proactively leading the business. “it wasn’t possible to make the right decisions the way we were doing the work.” the retailer’s new “digital merchant” path incorporates automation to free up time and ways to leverage ai and machine learning to surround a person with fast intelligence so they can make better decisions.
that requires an incredible amount of data, not just on the item, but on all the related items and the competitors’ items,” jeff said. it’s these capabilities that have enabled the retailer to launch online grocery and nationally expand its grocery pickup service – which at its heart was meant to solve for customer convenience and experience, not just price and assortment. “we can be the ones that do this at a lower cost than anyone else,” jeff said, citing walmart’s trials with uber, lyft, autonomous vehicles and employee delivery as tests the retailer is continuing to push as it evolves beyond just a product company. we’re designing solutions to surround the customer with the right products and services and experiences to meet their needs for a very long time,” jeff said.
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