Information systems strategy development at Sainsbury’s supermarkets using ‘soft’ OR

In 1989, Sainsbury’s, the largest UK supermarket chain, developed a new information system strategy. To obtain management ownership of the strategy and commitment to implementation, it adopted a participative approach using ‘soft’ Operational Research OR methods. The resulting strategy was projected to cost $73 million and give annual benefits of $64 million. Five years into the strategy the outcome can be evaluated. Inevitably the strategy has evolved. Implementation has taken longer and costs are more than estimated; but benefits are exceeding expectations. The results indicate the effectiveness of the decision-making process used, showing that qualitative Operational Research OR approaches can be used to good effect and can sometimes be subjected to quantitative assessment.