Control multiple channel retail chain across different countries and cultures.

Transcription

1 Control multiple channel retail chain across different countries and cultures. Zürich, 2nd November 2005 Th. Geuder-Bassl Sales Director Retail Area Central adidas-salomon

2 adidas-salomon AG Area Central Adi-Dasler-Platz Herzogenaurach Germany Thomas Geuder-Bassl Sales Director Retail Area Central Phone (+49) Fax (+49) Mobile (+49)

3 Agenda Introduction of adidas-salomon Retail chain AC Different Channels Different Seasons Different Countries Different Culture Business process IT landscape The value chain retail What drives complexity? Summary 3

4 The 3 Shop Channels Performance Store The classic store for the serious sportsmen siehe Bilder Stuttgart Heritage Store Fashion store for a very distinct customer group siehe Bilder Berlin Factory Outlet High quality clearance sales siehe Bilder Cham 4

5 Different Seasonal model (pre- and re-order) Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Season Q 1 Season Q 3 Service Artikel Service Artikel Core Range Core Range Q 2 Q 4 Teamsport / Replica SMU Off Price / Clearance SMU Off Price / Clearance Retail 5

6 different Countries Gdynia Bremen Hamburg Warsaw Berlin Lodz Cologne Dortmund SEF/UFF Krakow Frankfurt Prague Brno Ostrava Zweibrücken HZA Nuremberg Hate Aubonne Stuttgart Metzingen Munich Zurich Innsbruck Cham Piding Linz Viktring Bratislava Vienna Parndorf Budapést Mendrisio SPCS SHCS FO/FOC 6 current situation openings 05 shut-downs

7 different Culture The perceived need to change has been diluted Q 9: As an organization we need to fundamentally change the way we operate to ensure our future success Q 9 Deviation of 1st vs. 2nd PC EUROPE Sweden UK/Ireland Denmark Benelux Slovakia Poland Czech Rep. Portugal Italy Switzerland Norway Spain Hungary Austria Germany France 7

8 people do motivate different Q 12: Most people in my working area are willing to change. Q 10: People in my country recognize the positive changes of Winning in Europe. Goal is clear + accepted, but motivation is low 50% + Positive changes of WiE recognized Sprinting towards the goal UK/I [A ] I - PL D 30% Ø EU (47/28) CR + 25% 45% 65% [SR ] ES N Still warming the bench P BNL 10% DK - F S CH HU Running, but not confident to succeed Willingness to change 8

9 and react different. Q 12: Most people in my working area are willing to change. Q 20: Do you feel that WiE will offer you interesting opportunities for your further personal career development? Philosopher I D 65% + DK Perceived Career opps Goal getter [A ] [S ] - PL 45% Ø F EU (47/40) CR UK/I Willingness to change + 25% N 45% S 65% ES P BNL Cynic 25% - CH HU Idealist 9

10 Parallel to Wholesale Forecast Retail Net Sales Share in % of Total ( ) ,3 10,2 11,6 14,1 15,7 16,1 10

11 along wholesale 100% 90% 80% 70% 60% 50% 40% Retail Wholesale 30% 20% 10% 0% "2001 "2002 "2003 "2004 "2005 "

12 Agenda Introduction of adidas-salomon Retail chain AC Different Channels Different Seasons Different Countries Different Culture Business process IT landscape The value chain retail What drives complexity? Summary 12

13 Manage All Customer Web Own Retail Call Centre Customers Consumers Back Office Field Sales Key Account Partners 13

14 Manage All Customer Touchpoints from Retail perspective Own Retail Call Centre Customers Consumers Back Office Field Sales Key Account Partners 14

15 IT Architecture Own Retail Wholesale Customers Consumers Back Office SAP RBO HO 15

16 IT Solution e.g. Master Data Mgmt 1.) Master Data Mgmt SAP SQL Adapter RBO-Tibco Interface HO Area server Adapter IAM BO Server Adapter Till Tibco Bus

17 Process overview Operational Basis Planning Merchandise Hierarchy Mngt. Time Hierarchy Article Master Management Location Master Management Store Grading & Cluster Management Vendor Master Management Head Office Retail Shop openings Retail Range Management Sourcing Price Management Season Inventory POS Till Opening and Closing Procedures Sales Transactions Returns Transactions Other Transactions Till Cash Handling Store Ordering Goods Receipt Prepare Stock for Selling Manage In-Store Inventory Manage In-Store Cash Marketing/ VM Implementation of Marketing Plan Communication VM Concept, Implement. & Planning VM POS Materials & Graphics VM Cooperation with openings Logistic Transfer of goods Deadline, Content, Documents Tracking Checking of Packing List Adjustments of Delivery Differences IT Reports Hardware - acquisition, Installation, Training, Hotline, Maintenance Infrastructure PC`s, Server, Network Controlling Line & Store Performance Report capex & forecasting Margin Analysis End of Season Analysis Accounting Retail Accounting HR Staff Plan & Recruitment & Training 17

18 Retail Value chain PROCESS IMPROVEMENT FUNCTIONAL MODULES Sales Audit & Store Accounting Monitor inventory Mngt. Monitor system integrity Reporting Financial R. Performance R. Article Master Mngt. Master/ Basis Vendor Master Data Mngt. In-store cash Opening & Closing Procedures VM Store Operations Returns Transactions Prepare stock for selling incl. labelling Goods receipt Discounts Price Life Cycle Mngt. Markdowns Merchandise Hierarchiy Mngt. Store Grading & Cluster Mngt. In-Season re-forecasting Initial Allocation Push & Auto-Replshmnt. Pull orders Purchase orders Supplier Planning Marketing Planning Regional FO Range Planning Merchandise Planning Assortment Planning Procurement & Order Mngt. Logistic Forecast Retail Price Mngt. Allocation. & Replenishment 18

19 Core Retail Functions Controlled Space Capabilities Retail Operations Retail Merchandising Store ops standards Staff Training KPI's Maintenance Store systems Consumer services Planning Buying Ranging Analysis Margin Price / M.D. Merchandising systems 19

20 IT Solution- RBO features POS terminals can be controlled from RBO Reliable communication to POS terminals Network used for communication, but each terminal can operate independently. All needed information stored in each terminal. Full integration into Navision Finance (adirace2) Complete solution for multi- and single stores Comprehensive online reporting features Filters can be applied as in adirace Detailed results for each store, shift, clerk, item and item group All transactions entered on POS terminal are transferred to RBO Re-construction and tracing of sales transactions Cash register receipt can be viewed from RBO label printing Shelf labels, Posters, Article labels Definition of Payment types Currencies Multiple Currency handling Language support 20

21 Organizational Principles Global Head Office Consolidate regional sales (common currency) Global reporting Regional Head Office Consolidate area sales (common currency) Regional reporting Area Head Office Create and maintain size curves Planning Price management Purchase orders -> sales contracts in SAP Allocation and replenishment via call-off orders Consolidate country sales (common currency) Area reporting Manage shop transfers Manage shop staff data - permissions Country Head Office Country reporting Store Back Office Goods receipt Sales Operations Cash Handling 21

22 how to solve the challenge? Master Data Management Procurement and Order Management Allocation and Replenishment Price Management Store Operations Store Administration Finance Management 22

23 Finance Management e.g. Markdown 23

24 Standard Configurable Component 24

25 Summary - Q & A Is it necessary to have different IT system for different shop types? no, from a process perspective a shop is a shop. How can we serve the same shop type across different countries and law situations? In being very, very detailed and ultimately clean in master data How to solve different price structures and assortments with the same support? The EAN trap 25

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