Chain digitisation support by point-of-sale systems: an analysis of the Dutch product software market

Abstract

Point-of-sale (POS) systems increasingly support more retail processes than just the basic cash functionality. But to what extent do they support chain digitisation, i.e., interorganisational processes as the exchange of order and sales information? We develop a two-dimensional maturity model for categorising POS systems by their level of backward and forward chain digitisation support. Both dimensions have the same maturity scale, cumulating from internal isolated, internal integrated, external linked to external integrated. We operationalise and apply this model to the Dutch POS system market by assessing 86 different POS solutions of 79 POS vendors. It appears that about a third of all POS systems support backward chain digitisation to the external integrated level, and forward chain digitisation to the external linked level. In some branches, chain digitisation enabling initiatives are successfully deployed, e.g., in the fashion and furniture branches where EDI initiatives are established by industry boards.