New Tampa Publix #0584

Internal Proposal

Introduction
The New Tampa Publix should implement a 4-lane self-checkout to help with
increased business and encourage social distancing during the Covid-19 pandemic,
increasing profit, resulting in a larger margin of revenue for daily sales. A trial of
this could be conducted with a single self-checkout to test the efficiency and
perfect the software to create a user-friendly experience.

Problem Statement
Harm 1: According to the 2010 US Census, the population for the area code 33647
increased by 28,744 people, more than doubling the previous number of 26,290
previously taken in 2000. The rise in population has led to the increased business at
store #0584 (zipdatamaps). With more people in the store, the lines to checkout
have become longer and customers have had no choice other than to wait. Upset
customers could lead to loss of business, overall hurting the production from the
store.

Harm 2: Although the store is currently using every other register, this setup is still
not ideal for the social distancing guidelines. The customers still have to wait in a
narrow isle and have to pay in close proximity to both the bagger and the cashier.
The checkout lane is where the most interactions in the store happen, and if not
done correctly, could directly lead to the spread of the Covid-19 virus.
Harm 3: The store has to employ workers to both bag and scan the groceries for the
customer. With the increased business of the store, the store will need to employ
more workers. Although the additional workers can help increase production, there
are new technologies that allow for a cheaper alternative that can produce the
same, if not more production, than the employees.

Plan
Mandates
 8/1/2020- 9/1/2020: Install a single self-check to test the effectiveness of the
new technology and allow time for the employee in charge of overseeing the
self-checkout area to become familiar with the software
 9/1/2020: Install the remaining 3 self-checkout lanes and open the self-
checkout lane in its entirety
 9/1- 12/1/2020: Throughout the following months, the store will closely
monitor the new self-checkout lanes and ask for feedback from customers to
ensure their full satisfaction
Budget
 Installation of 4 self-checkout lanes (Supermarket): $125,000

Solvency
Advantage 1: The checkout systems would help compensate for the growing
population in the area. With Publix leading grocery store in sales in the south, the
rising population would directly affect the sales of the store. Publix would have an
increased flow of people through the store with the more efficient checkout system.
This would encourage more business and result in a more convenient visit for
customers who no longer were forced to wait in long lines.
Advantage 2: With the installation of the self-check lanes, the customers would
have the opportunity to come into the New Tampa Publix and not have to come in
contact with anyone. This could slow the spread of Covid-19 by decreasing the
chances of transmitting or contracting the virus. Publix is a company that already
goes above and beyond for their customers and with the added sanitation concerns
addressed with self-checkout, they would further strengthen their claims.

Advantage 3: The additional lanes would allow for more business and generate
more revenue. The store would also save an average of $150,000 (assuming
cahiers make 11 dollars an hour and the store will save 3 cashiers) in labor costs by
installing the new technology (Payscale). The store would save around $13,000 a
month in labor costs, allowing them to pay off the initial cost of the self-checkout
lanes in 10 months (Payscale). This money could be put towards the store to help
create a better experience for the customers and the employees working at the
store.

Conclusion
The implementation of a 4-lane self-checkout system at the New Tampa Publix
would help the store drastically. It would help the store generate more revenue,
help social distance, and cut costs compared to the traditional express lanes utilized
currently.
 Works Cited

“Average Hourly Rate for Publix Super Markets Inc Employees.” PayScale,

www.payscale.com/research/US/Employer=Publix_Super_Markets_Inc/Hourl
y_Rate.

Gary Mortimer Associate Professor, and Paula Dootson Research Fellow in the
PwC Chair in Digital Economy. “The Economics of Self-Service
Checkouts.” The Conversation, 3 June 2020, theconversation.com/the-
economics-of-self-service-checkouts-78593.

Supermarket Self-Checkout Kiosk,

web.mit.edu/2.744/www/Project/Assignments/humanUse/lynette/2-About
%20the%20machine.html.

“Zip Code 33647 Profile, Map and Demographics - Updated July

2020.” Zipdatamaps.com, www.zipdatamaps.com/33647.