A Visual Organization , When go to virtual ? - Trendyol Review



In this article, I evaluated the necessary factors to be a visual organization through Trendyol. I examined Trendyol from an Economic, Technological and Organizational perspective. When we should go to the visual organization I searched for the answer.

When go to virtual ? Economic Factors ?

Trendyol is an e-commerce website founded in 2010. It was invested by Alibaba in 2018 and Alibaba became the main shareholder. Trendyol Tech, Dolap and Trendyol Express are companies belonging to the Trendyol group.


Trendyol is a full virtual organization that manages the store, supplier, marketing, transportation and warehousing processes. Trendyol is a main router that offers resources for suppliers and connects them more tightly with customers. Trendyol separates the networks of its suppliers and offers them multiple networks. You can think of it as a modem  the source for the internet is parsed in the modem and presented to the use of multiple computers.

As you can see in the table above, being a supplier to Trendyol offers four (example number) outputs from one input for the supplier. A supplier who has reached one customer can reach four customers with Trendyol. The critical point here is that suppliers are also customers for them. Trendyol provides them network and business processes. These business processes are core competences below.

Trendyol's core competences

  • Large and Intelligent Storage Facilities
  • Supply chain management
  • Stock management
  • CRM
  • Marketing
  • Finance
  • Transportation
  • Technology

 

Trendyol application is available on the mobile phones of 25 million people. It sold 200 million products in a year.[1] Based on this, we can say that they have adopted the mass marketing strategy. They have products for every segments

Trendyol, whose customers first have certain age ranges, has been accessible to all segments by 2020. For example, while more favored by young people associated with the technology in the 2010s, Trendyol destroyed age ranges as a result of increased smartphone, have started to sell products to every age group. Knowing no borders geographically, Trendyol has also managed to establish its own logistics system. Briefly, it has adopted the mass marketing strategy as a segment. They appeal to a large audience.

Trendyol's suppliers are also its consumers, but their suppliers need Trendyol. At the same time, Trendyol needs its suppliers too. Benefits from each other are processes that cannot be imitated and are not suitable for vertical and horizontal integration. It is very costly for both sides to accomplish this. For example; Trendyol alone cannot produce the product category it currently has, or a single supplier cannot have a system like Trendyol alone. That's why Trenyol's suppliers are everyone who can produce. Everybody can be suppliers ( sellers ) after provided specific conditions for personality trendyol.These are the conditions that comply with Trendyol's basic qualifications such as stocking criteria.

Trendyol has gone virtual in all economic factors. Suppliers register with Trendyol and provide products and Trendyol delivers its products to customers via its online application. By making maximum use of artificial intelligence in storage processes and distribution processes, the supplier and Trendyol can continue their operations almost without coming face to face. Likewise, the customer can purchase the product through the application without ever trying the product and coming face to face.

To sum up, Trendyol has completely gone virtual in its business process because it is possible for its suppliers and customer to go virtual.  Products are standard and guaranteed products. Providing confidence to suppliers and customers, Trendyol has become a completely virtual organization by creating benefits for both elements.

When go to Virtual ? Technological factor ?

Trendyol is one of the Turkey's most advanced e-commerce platforms in the RD investments . For example; Using its own software systems for stock and warehousing, Trendyol has also adopted an advanced storage concept[2]. For example; Trendyol realizes inventory management completely with this software thanks to the algorithms it has developed with the data it collects over the times and quantities of products. Notices are sent to suppliers to supplement stocks, and tradespeople provide products for stock. As a result, a quality and fast service is offered to the customer.

For the customer, every transaction is technological. As a result of the platform servers and algorithms offered to the customer, it provides almost perfect service. For example; The customer can see the previous comments about the product he will buy, and see the ratings of the seller and the product. After receiving it, he can comment on the product and rate the seller. In consequently, customer and supplier do not see each other face to face.

As a result of this scoring, Trendyol is able to follow its suppliers better and create a control mechanism.

For the distribution of its products, Trendyol Express has established its own distributor network on technological foundations. Here, suppliers are people who want to distribute with their own cars. In return for this distribution, they are paid the required amount by Trendyol. People start the delivery by registering this process, passing the training processes and with the distribution order list of the products over the application. As a result, suppliers do not need to be close to their customers, and these products are delivered quickly, making Trendyol a more effective platform.

When go to Virtual ? Organizational Factors ?

Non-virtual activities are usually employee activities in other companies; office work and physical work. For example ; marketing, finance, CRM, technology and supply chain management are office work. The duties of the workers working in the warehouse and the transportation teams perform are physical work. Despite this, Trendyol has made a separate application within the transportation network. By registering with Trendyol Express, you can become a distributor of Trendyol products with your own vehicle. This is an indication that a virtual system has been established even for employees. In office work, we can say the following; Trendyol office workers are fully prone to online transactions. For example, CRM, finance and marketing teams have provided very successful services online during the pandemic process. Moreover, its sales have increased.[3] As a result, it is possible for employees to provide services online.

Integration activities between different departments in Trendyol is easily available online. For example; Integration between the marketing department and the finance department can be easily provided virtually. The marketing department creates its own strategy with the budget determined by the finance department. These are usually routine tasks and are available to perform virtually.

It is possible for Trendyol to motivate individual employees. With the new generation platforms, the time the employees are on the online system and the work results, outputs can be controlled. For example, the duties of people working in the marketing department; to determine marketing strategies and to produce content within the framework of this strategy. In the production of these ingredients, Trendyol activates its influencers and actually realizes the content virtually. In addition, campaign contents are also available to be produced remotely online. Consequently, the motivation of Trendyol is the quality of the job. When departments such as finance, marketing, CRM, HR are all working online, motivation is not difficult because there is a control mechanism based on the outputs.

In terms of creativity, virtual organizations are doing more successful work. For example ; Let's look at Trendyol's marketing strategy. Trendyol uses all platforms such as influencer, youtube and instagram. It also broadcasts its advertisements on television channels. There is a very nice creative thought in this process. Influencars produce content for brands and choose their own shots and environments. This is a time-saving process for Trendyol. When they advertise themselves, there are processes that require time such as studio, camera, equipment, but influencars do this by themselves and pass it on to Trendyol. In Trendyol, it makes these contents visible by supporting them with high advertising budgets.

As a result, from an organizational point of view, Trendyol is a platform that can go to full virtual organization and its place in Turkey's economy is too big. It has an annual turnover of 6.500.000.000 TL[4]. There are industrial companies that cannot reach this figure, so profitability is implementing an efficient business plan with technology. After these are realized, virtual organizations are very effective companies.

by Mert Çetin ( cetiinmert@hotmail.com )

 


[1] Webrazzi, Yılda 200 Milyon Ürün Satışı, 2019, by Tuğçe İçözü https://webrazzi.com/2019/08/14/yilda-200-milyon-urun-satisi-gerceklestirdigini-aciklayan-trendyol-un-one-cikan-sayilari/

[2] Medium, Trendyol Depolama Süreçleri, 2020 by Yasemin Soğancı, https://medium.com/trendyol-tech/trendyol-depolar%C4%B1nda-neler-ya%C5%9Fan%C4%B1yor-4f0550960167

 

[3] Hürriyet, En Çok Ne Satın Aldık, 2020, by Gizem Coşkunarda https://www.hurriyet.com.tr/kelebek/hurriyet-cumartesi/internetten-en-cok-ne-satin-aldik-calisana-ofis-sandalyesi-cani-sikilana-oyun-konsolu-41535033

[4] Capslock,İnternet Ekosisteminin En Büyük 100 Şirketi,2020, by Simge Yıldırımkaya https://capslocknext.com/turkiye-internet-ekosisteminin-en-buyuk-100-sirketi/





 


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