ZUM HANDELN GESCHAFFEN. How METRO GROUP benefits from global standards. Dr. Gerd Wolfram September 26 th, 2011, GS1 Industry & Standards Event Cologne, Germany
METRO GROUP at a glance. The most international wholesale company worldwide Presence in more than 2,100 locations in 33 countries Around 280,000 employees from almost 180 nations Four sales divisions with leading positions Metro Cash & Carry: self-service wholesale Real: hypermarkets Media Markt and Saturn: consumer electronics stores Galeria Kaufhof: department stores Successful DAX 30 enterprise METRO SYSTEMS GmbH 2011 2
Strategic value driver. Innovation: new technologies and concepts for greater customer orientation and efficiency Efficiency: all structures and processes are geared towards efficiency Customer orientation: consistent focus on the needs and shopping habits of consumers and businesses Sustainability: social and environmental responsibility are incorporated into our business practices Internationalisation: expanding in markets that demonstrate growing economic strength and positive trends in purchasing power METRO SYSTEMS GmbH 2011 3
Global standards as key business driver. Retailing on international / multinational scale Global and regional customers and suppliers Cross border business Global / regional purchasing, planning Multinational categories and products Food Safety and traceability requirements Enabling technologies Harmonises processes and applications Fast deployments and roll-outs METRO SYSTEMS GmbH 2011 4
DQ Gates DQ Gates METRO data landscape from Supplier to Customer. External data provision & supplier collaboration METRO business solutions and applications Business solutions Global Standards Store Global Data Synchronization Delivery EDI Electronic Data Interchange eshops Data crawling & editorial service RFID Content Provider Category management Master Data management Goods transport & entry procedure Nearly 100 applications from ~ 240 strategic applications with Master Data utilization. Data Quality has impact on the entire Supply Chain Deviation clearing Condition & remittance mgmt. Projects, Reporting System integration Data Quality monitoring & measuring Warehouse Sampling Article listing Disposition & Logistics Invoice Control Payment process Miscellaneous Scorecard METRO SYSTEMS GmbH 2011 5
Internationalisation. Maintenance of GS1 Keys in expansion countries Our worldwide supplier base has more than 60,000 active suppliers, with 3.1 mill. articles (app. 5 mill. GTIN s). Further expansion activities with > 50 stores per year Close cooperation with the local GS1 Organisations to adopt global GS1 Standards at local business MCC Vietnam > 1.300 Supplier ~ 30.000 Articles Value driver Innovation Efficiency Customer orientation Sustainability Internationalisation METRO SYSTEMS GmbH 2011 6
Data Synchronisation. GDSN Transformation Initiative Germany for FMCG From bilateral exchange to Data Synchronisation Additional potential of more than 3.000 suppliers identified GLOBAL DATA SYCHRONISATION NETWORK GS1 Global Registry Retailer/Buyer Consolidated action with all Supplier/Seller Source Data Pool Recipient Data Pool major German retailers involved to on-board supplier in 2011 and 2012 GS1 Germany and SA2 Worldsync providing the GDSN platform for one of the largest country supplier communities Value driver Innovation Efficiency Customer orientation Sustainability Internationalisation METRO SYSTEMS GmbH 2011 7
EDI and transactional data. EDI with EANCOM messages is the key transaction driver within METRO GROUP Accelerated usage of EDI transaction messages between METRO and Supplier and METRO internally 112 mill. p.a. documents exchanged via EDI, 10 mill p.a. invoices on a global scale Consolidation of the Invoice management into 3 global shared service centre Value driver Innovation Efficiency Customer orientation Sustainability Internationalisation METRO SYSTEMS GmbH 2011 8
Classification systems and Category Management. There is one global classification scheme needed not 30 local one's to: Simplify cross border category management Create transparency for internal and external CM Simplify Data Warehouse analytics and cross country comparison Global alignment to one terminology supports supplier and retailer GS1 Germany migrates from SWK to GPC GXS GS1PL JILCFS ECR AT IFLS5 CBL GS1ES Value driver SWK Innovation Efficiency Customer orientation Sustainability Internationalisation METRO SYSTEMS GmbH 2011 9
RFID-based EAS A Key to Boost Adoption. The next generation of EAS is ready: Proven superior performance Works on more products than conventional EAS way beyond apparel RFID upgrade kits available for existing EAS gates Easy to substitute conventional EAS tags by RFID tags Based on existing globally standardised RFID technology Value driver Innovation Efficiency Customer orientation Sustainability Internationalisation METRO SYSTEMS GmbH 2011 10
Future Vision If your fridge talks to the iphone. One of the future challenges will be the seamless integration of multi-channel communication with our customers No process barrier between the supply chain partners due to global available standards Standards supporting integrated processes between all variations of platform types and devices Visibility of content and information of products for consumers and regulatory bodies available Innovation will simplify and excite the shopping world for the customer METRO SYSTEMS GmbH 2011 11
Global Standards are the fundamental building block for collaboration along the value chain METRO SYSTEMS GmbH 2011 12
Contact. METRO SYSTEMS GmbH Dr. Gerd Wolfram Managing Director Metro-Str. 12 40235 Duesseldorf Internet: www.metrogroup.de METRO SYSTEMS GmbH 2011 13