Retail Reimagined. Avanade Digital Connected Retail with Microsoft Dynamics 365. For Retail Companies

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Retail Reimagined Avanade Digital Connected Retail with Microsoft Dynamics 365 For Retail Companies

Everything is new Avanade and Microsoft Dynamics 365 deliver a complete shopping experience, with a seamless and differentiating omnichannel solution that is digital, mobile and global. 01 Retail Reimagined

Contents 03 05 07 09 11 13 15 17 19 Transform Your Retail Operations Leverage the Digital Customer Journey Build a Dynamic Retail Enterprise Streamline Retail Operations Offer a Digital Employee Experience Create the Ultimate Customer Experience Use the Cloud Your Way Leverage Best Practices Empower Your Workforce Retail Reimagined 02

Transform Your Retail Operations Thrive in the Digital Age of the Customer Digital transformation is changing the retail world. In the last decade, few industries have been impacted by rapid advancements in technology like the retail industry. Emerging platforms have created new channels to reach customers and given shoppers unprecedented access to product information. We live in the age of the empowered customer. The proliferation of personal devices - such as smartphones and tablets - is changing the shopping experience, both in-store and online. With several options on what and where to buy, consumers are empowered like never before. Retailers that want to thrive in this Age of the Consumer need to deliver customer experiences. With Avanade and Dynamics 365, retailers are able to help better manage global expansion with flexible deployments, create seamless commerce and omnichannel experiences for customers, and improve merchandise management. In an era of the empowered consumer, Avanade and Microsoft are empowering retailers to create amazing customer experiences through intelligent operations, driving business success today and into the future. 03 Retail Reimagined

Retail Reimagined: Digital transformation is changing the retail world. Key Industry trends in Retail: Unified Commerce Mobile commerce Showrooming Webrooming Voice ordering Smart reordering Platform Economy Transformation to the Cloud Flexible supply chain Leveraging Big Data Personalization Artificial intelligence Empowering store personnel Clienteling Modern POS and Cloud POS Personalized promotion Experience Digital in-store experiences Experience stores Augmented reality Chatbots Retail Reimagined 04

Leverage the Digital Customer Journey With Intelligent Operations Delivering exceptional customer experiences is essential to every retail organization in the age of the consumer. Your customers want to shop in any mode, on any device, and at a time convenient to them. They want to move from social networks, to online stores, to in-store experiences in a seamless, integrated, and consistent engagement. Offering a frictionless and rewarding experience to your customers, regardless of their shopping style during the purchase cycle, is a key differentiator to keep them coming back. Avanade and Microsoft Dynamics 365 enable you to leverage the digital customer journey with intelligent operations. Avanade and Microsoft Dynamics 365 enable you to offer the right tools to your customers and associates to enable this experience, whether it s the in-store experience, arming associates with intelligent tools to deliver exemplary service, or providing scalable computing through the cloud to enable high, but elastic, volumes of computing as customers use their own devices to transact. 05 Retail Reimagined

Today, every customer is a digital customer. The path to purchase used to be linear and predictable. Now, it is continuous as customers constantly re-evaluate their options. DIGITAL CUSTOMER JOURNEY Orientation Discovery Decision Service Loyalty ONLINE ADS VIRAL EMAIL DIGITAL BILLBOARDS SEARCH LANDING PAGE BLOG 3RD PARTY SITES WEBSITE MOBILE IM CHAT BLOG EMAIL NEWSLETTER Digital touchpoints Customer entry Physical touchpoints Managed PR TV Radio Print Outdoor Word of mouth Direct mail Store Call center Promotion on invoice Unmanaged Retail Reimagined 06

Build a Dynamic Retail Enterprise For a True Omnichannel Experience Success in the digital age depends on retailers connecting Customer, Workplace and Operations strategies. Digital Customer Know your customer and serve them in ways they expect and ways you ve never imagined. Modern Retail is now digital. Customers and retail employees demand intuitive, engaging, informative solutions that make the shopping experience fun, rewarding and ultimately lead to a sustainable competitive advantage for you. Seamless Commerce and Omnichannel Excellence Customers want to shop on their terms for what they want, where, when, and on the device of their choice as they move across multiple channels during their engagement with your brand. Arm your employees with modern, connected, mobile-enabled solutions that give them a 360-degree view of the customer, which allows them to operate with unprecedented levels of productivity and offer world-class customer service within and beyond the store. Digital Workplace Establish a digital culture that promotes engagement and informed actions across workforces to achieve more. Digital Operations Provide seamless and agile operations to enable digital retail across customers and workplace. 07 Retail Reimagined

Avanade Digital Connected Retail: Digital transformation of your customers, workplace and operations. DIGITAL OUTSIDE Service Excellence Seamless and differentiating post-sale service Omnichannel Experience Consultant and seamless shopping across online and offline channels Digitalized Store Engage customers and employees using intelligent digital capabilities - Single view of the customer - Contact center - Click-to-chat - Social CRM - Unified commerce - Omnichannel fulfillment - Single view of customer - Digital marketing - Interactive digital displays - Assisted selling - Store associate portals - Employee collaboration DIGITAL INSIDE Actionable Analytics Unify, enrich, unlock, and enable the use of data across the retail enterprise - Digital enterprise analytics - Digital marketing analytics Streamlined Operations Integrate and optimize operations to enable digital retail - Supply chain management - Procurement and sourcing - Financial management - Product data management Agile Enterprise Enabling the digital retail business at speed and scale - Technology Infrastructure - Cloud transformation - Cloud Operations Retail Reimagined 08

Streamline Retail Operations Optimize the Supply Chain for a Better Customer Experience A great customer experience starts with an optimized supply chain. Avanade and Dynamics 365 streamlines your retail operations, supply chain and logistics to better serve the customer, enhance the customer experience and increase customer loyalty. Enable Customers to Track Inventory in Real Time Optimize your store operations and track inventory real time - keep customers coming back with customer loyalty. With Dynamics 365, customers can see what stores offer inventory and when they can receive their product. Inventory availability and visibility across channels is important to customers and key to driving conversion and the sale. Avanade Advanced Store Replenishment for Microsoft Dynamics 365 is a retail replenishment, forecasting and inventory management solution that creates demand forecasts and automatic orders based on store selling histories. ASR is an of extension Dynamics 365. For more information visit Microsoft AppSource Supply Chain and Logistics A real time view of your organization and products gives visibility to people and processes in order to handle costs and provide more efficient customer service across these functions: Replenishment Order management Warehouse and transportation logistics 09 Retail Reimagined

Operations Strategy Channel strategy Format / Concept development Customer insights and segmentation Customer relationship management Create Demand Merchandise Financial Planning Assortment Pricing Promotions Merchandising & Space Planning Fulfill Demand Supplier Management Inventory Planning Distribution Management Logistics Serve the Customer Pre-Sales Support Channel Operations Customer Loyalty Manage and Support the Business Human Resources Finance Retail Reimagined 10

Offer a Digital Employee Experience Empower Store Personnel Microsoft Dynamics 365 is the next generation of intelligent business applications in the cloud. Avanade and Microsoft Dynamics 365 deliver a complete employee experience. Rich modern point of sale (POS) and cloud point of sale solutions can be deployed in the way that makes the most sense for your business. Workspaces, Dashboards, Mobile Devices Each role in the retail operation has different technology requirements, from business development, bids, quotes and document storage to recruiting, scheduling and delivering. Dynamics 365 supports these requirements through workspaces and includes more than 30 workspaces out of the box. An end user can have many workspaces, each with a different purpose and all of which are readily accessible from the dashboard. Modern Point of Sale and Cloud Point of Sale Modern POS consolidates customer purchase information, such as sales history, transaction details, and wish lists. Providing the right information at the right time on any device enables your sales associates to better assist customers and make recommendations based on purchase patterns and preferences. Cloud POS functionality similar to MPOS can be used across platforms and browsers to help retailers easily activate remote POS stations and reduce deployment costs. 11 Retail Reimagined

Benefits: Enable store personnel to provide in-store experiences that consumers have experienced in online shopping Get answers quickly with rich dashboards available on every device Turn insight into action and results Personalization with Modern POS and Cloud POS Dynamics 365 offers immersive mobile experiences anywhere, any time, and on any device providing a new enhanced shopping and store experience across all channels. Greater adoption and collaboration with Dynamics 365 A new enhanced shopping and store experience across all channels Enable your people to be more productive with activity-based workspaces to provide a task specific experience, new user task guide, and integration with O365 productivity and collaboration applications A new guided user experience gets your people up to speed quickly with an easyto-use, and familiar solution that looks and works like Microsoft Office 365 Work faster, enable collaboration and get insights by seamlessly sharing information between Microsoft Dynamics ERP and Dynamics CRM, Office 365 and Power BI Retail Reimagined 12

Create the Ultimate Customer Experience With Avanade and Microsoft Dynamics 365 Avanade and Microsoft Dynamics 365 deliver a complete shopping experience, with a seamless and differentiating omnichannel solution that is digital, mobile, and global. End-to-end capabilities, from merchandising, e-commerce, call center, marketing, and customer care can be deployed in the way that makes the most sense for your business. Customer Engagement Capabilities Dynamics 365 provides customer engagement capabilities that include store operations, channel management, order management, marketing and customer care, and business intelligence, along with more back office capabilities, like procurement and financials, in an end-to-end retail management solution delivering full visibility across the entire business. These capabilities can be implemented as a comprehensive solution or as individual business functions to complement existing technologies, allowing retailers to select the best option for them. We wanted to create an experience that was as seamless as possible, without any physical intermediary. Thanks to Kinect and interactive technology, we were able to share real-time data on suspended screens. Gabriele Tubertini, Cio, Coop Italia Regarding the Supermarket of the Future solution delivered by Avanade with Accenture 13 Retail Reimagined

Digital Retail for a true omnichannel shopping experience. Digital Marketing Digital Sales Analytics On-site Personalization Clienteling Beacons Assisted Selling Kiosks Digital Commerce Digital Service Mobile commerce Social commerce E-Commerce Omnichannel customer service Call Centers Loyalty Programs Retail Reimagined 14

Use the Cloud Your Way The Best of Cloud, On Premises and Hybrid Cloud Every journey to the cloud is different and Avanade and Microsoft want to support all of them. The cloud should be fully enabled across both cloud and on premise environments for a true hybrid cloud that leverages the best of both worlds. Retail companies today are seeking solutions that provide security and business continuity and that can only be enabled by a hybrid cloud that gives you the ability to run business processes and store data across the cloud and your own data centers. Promise of Cloud Your Way Avanade and Microsoft are committed to delivering a solution that supports a cloud your way strategy for both companies that want a pure cloud system to those that want a hybrid cloud strategy. To deliver on the cloud your way promise, Microsoft is making key investments in Dynamics 365 including: Elastic scale so the largest customers can run their complete business in the cloud World-class privacy, security and compliance to give you peace of mind that your information and data are safe Unmatched service experience that enables you to focus on what matters most to your business 15 Retail Reimagined

Cloud Your Way: Bringing Together the Best of All Worlds The Microsoft-Managed Cloud A Public Cloud with Private Cloud Capabilities With the Microsoft-managed cloud you have a unique cloud offering you get the best of public cloud for storage and elasticity and you get the best of private cloud with data sovereignty and security. Microsoft provides private cloud capabilities in a manner that is always Microsoft-managed. Cloud The Best of Public & Private Cloud On Premises Mission Critical Processes From Your Data Center Hybrid The Best of Cloud & On-Premises Scale Self Serve Sovereignty Compliance Trust Center Microsoft Managed Local Data Residency Disconnected Data Center Customer Infastructure Business Continuity Cloud-based ALM and Telemetry Business Continuity Processing Data Residency Intelligence and IOT Big Audiences, Big Data Subject to Microsoft Roadmap confirmation Retail Reimagined 16

Leverage Best Practices With Business Process Models Pre-Built for the Retail Industry With Avanade, you get a jumpstart on time to value from your Dynamics 365 implementation with pre-built business process models and best practices developed built specifically for the retail industry. RapidResults RapidResults from Avanade is a unique business-process driven implementation solution that reinvents the way you implement Dynamics 365. RapidResults accelerates all project phases, delivers greater business value out-of-the-box and reduces total cost of ownership. RapidResults includes a model-based implementation, leading industry practices, business process templates, solution accelerators and embedded implementation tools. Avanade RapidResults Business Process Models Pre-configured Application Components Common Data Model Application Framework Methods Capabilities 17 Retail Reimagined

Avanade RapidResults includes pre-built cross-industry and industry-specific business process models Avanade RapidResults and Lifecycle Services work together Setup Retail Category Hierarchy Benefits of RapidResults: Setup Hierarchy Type Retail Product Supplemental Retail Retail Vendor Channel Navigation - Deliver greater business value out-ofthe-box - Standardize more processes so you can differentiate others - Increase implementation speed up to 25% Define Hierarchy - Improve quality control and assurance - Reduce implementation costs - Reduce TCO by up to 25% Upload hierarchy from file? Yes, upload from file No, create hierachy nodes - Minimize the requirement for complex customization Retail Reimagined 18

Empower Your Workforce From the C-Level to the Store Modern ERP is redefining the way retail companies operate in the digital age. Drive Business Performance At the heart of every organization are the people who make things happen. The most successful companies are powered by individuals who are contributing fully, able to make a difference, and committed to their organization s success. To succeed in the competitive retail industry, you need to enable your workforce to drive significant impact. With Avanade and Dynamics 365, you can empower your workforce with data insights and collaborative ways of working to make smarter decisions, drive business performance and deliver exceptional customer experiences. The point of sale device was a great partnership between Microsoft, Avanade and AT&T. It s really helping Delta on the backend to use Microsoft Dynamics for credit card processing, to make sure that we are getting accurate information and we can get the information at 35,000 feet. Joanne Smith, SVP, In-flight Services, Delta Air Lines 19 Retail Reimagined

VP Store Operations Grow same-store sales Better equip associates Improve training and sales effectiveness Ensure great customer experiences CEO / CFO Cultivate unique, client-centric experiences Grow the business Improve customer loyalty Improve cash flow and profitability Chief Information Officer Use data as a strategic advantage Enhance current systems / architectures Enable brand differentiating technologies Reduce IT costs VP Supply Chain Optimize supply networks to reduce cycle time and cost Improve order and shipment status visibility Track supplier carrier performance Automate shipment receiving Chief Marketing Officer Streamline and enhance project execution Get a 360 degree view of the customer Deliver a customer brand experience across all channels Chief Digital Officer Architect the omnichannel experience Leverage data insights Improve digital touchpoint interaction Retail Reimagined 20

About Avanade Avanade is the leading provider of innovative digital and cloud services, business solutions and design-led experiences delivered through the power of people and the Microsoft ecosystem. Our professionals bring bold, fresh thinking combined with technology, business and industry expertise to help fuel transformation and growth for our clients and their customers. Avanade has 30,000 digitally connected people across 24 countries, bringing clients the best thinking through a collaborative culture that honors diversity and reflects the communities in which we operate. Majority owned by Accenture, Avanade was founded in 2000 by Accenture LLP and Microsoft Corporation. North America Seattle Phone +1 206 239 5600 America@avanade.com South America Sao Paulo Phone +55 (11) 5188 3000 LatinAmerica@avanade.com Africa Pretoria Phone +27 12 622 4400 SouthAfrica@avanade.com Asia-Pacific Sydney Phone +61 2 9005 6772 AsiaPac@avanade.com Europe London Phone +44 (0) 20 7025 1000 Europe@avanade.com 2017 Avanade Inc. All rights reserved. The Avanade name and logo are registered trademarks in the U.S. and other countries. Other brand and product names are trademarks of their respective owners. Learn more at www.avanade.com