swarovski & oracle retail · pdf filemario herdin head of it retail austrian hospitality...

SWAROVSKI & ORACLE RETAIL

MARCH 2017

MARIO HERDINHEAD OF IT RETAIL

Austrian

Hospitality Industry background

Joined Swarovski in 19992 to 35 Team Members at IT Retail<100 to 1,500 Own Stores at Swarovski Retail

ResponsibilitiesRetail related Hardware and SoftwareBricks and MortarTeam of 35 in US (Rhode Island), Austria, Hong Kong

2

TABLE OF CONTENTS

Swarovski Group

Swarovski Crystal Business

Swarovski Retail

Swarovski & Oracle Retail

Solution & Implementation Approach

Project Governance & Change Management

Lessons Learned

Benefits

Next Steps

3

SWAROVSKI GROUP

WWW.SWAROVSKIGROUP.COM

5

Family Owned

3 Main Brands

SWAROVSKI GROUP

2015

Revenue 3,37 bEUR

Employees 31,000

6

SWAROVSKI OPTIKmanufactures high precision long-range optical instruments

Telescopes

Rifle scopes

Range finders

Night sight devices.

7

TYROLITis a market-leading manufacturer of

bonded Grinding

Cutting

Sawing

Drilling and

Dressing Tools.

8

Founded in 1895 in Austria

2,6 billion EUR Revenue

26,000 Employees

Production in 7 Countries

Products sold in 170 Countries

Own Retail started in the late 1990ies

2,500 Stores

SWAROVSKI CRYSTAL BUSINESS

SWAROVSKI CRYSTAL BUSINESS

JEWELRY, WATCHES & ACCESSORIES

10

CRYSTAL & GEMSTONES

Genuine gemstones and created stonesin numerous sizes, colours, shapes.

11

BEAUTY & FRAGRANCE

Our signature scent, Aura by Swarovski, is inspired by the magic of crystal.

12

HOME ACCESSORIES

13

Crystal Solutions for residential, hotel, event and retail spaces, Yachting, Dance Sport and many more.

Traffic & Industry Solutions

LIGHTING & ARCHITECTURE

14

Swarovski Kristallwelten – Austria

Christmas Tree Star at Rockefeller Center NY

2015 Cinderella‘s Glass Slipper

2017 Beauty and the Beast

EXPERIENCE & ENTERTAINMENT

15

17

SWAROVSKI RETAIL

E-Commerce

25 countries B2C

Bricks&Mortar

Monobrand

800 Boutiques

100 Factory Outlets

400 Concessions Stores

1.200 Partner Boutiques

Multibrand

„Dealers“

Travel Retail

Watches

18

SWAROVSKI RETAIL

E-Commerce

25 countries B2C

Bricks&Mortar

Monobrand

800 Boutiques

100 Factory Outlets

400 Concessions Stores

1.200 Partner Boutiques

Multibrand

„Dealers“

Travel Retail

Watches

SWAROVSKI & ORACLE RETAIL

SOLUTION & IMPLEMENTATION APPROACH

WHY CHANGE A RUNNING SYSTEM?

OLD POS WAS OUTDATED

NO ADAPTIONS POSSIBLE

REQUIRED HIGH TRAINING (DOS, LANGUAGE) & ADMIN EFFORTS (EFT, FISCALIZATION)

MANUAL PROCESSES WITH WORKAROUNDS REQUIRED TO ACHIEVE GOALS

CHALLENGES WITH INVENTORY MANAGEMENT

NEEDED TO SUPPORT GROWTH PLANS (OPENINGS, PARTNERS, BRANDS)

WANTED TO ENSURE CONSUMER WAS AT THE CENTER OF THE BUSINESS (SERVICE)

20

WHY ORACLE RETAIL?

STATE-OF-THE ART TECHNOLOGY (JAVA + ORACLE DATABASES)

COMPANY SIZE, FINANCIAL STABILITY

BEST MATCH IN FUNCTIONALITY & USABILITY (UI)

VENDOR SELECTION

COMPLETED 2009FOCUS MONOBRAND RETAIL

ORACLE SOFTWARE SOLUTIONS IN USE

MICROS XSTORE (POS)MICROS RELATE (CUSTOMER ENGAGEMENT)

21

WHY ORACLE RETAIL?

GLOBAL TEMPLATE & PILOT 2009/2010

100 STORES SPAIN / PORTUGAL4.000 PD INTERNAL + 2.000 PD EXTERNAL

PILOT ASIA-PACIFIC IN 2011

30 STORES SINGAPORE / MALAYSIA

ROLLOUT

500 PD INTERNAL + 30 PD EXTERNAL4 MONTHS RUNTIME PER COUNTRY3 STREAMS IN PARALLEL, Q1 – Q3 EACH YEAR

22

2009 2010 2011 2012 2013 2014 2015 2016

ES* EU EU EU EU EU MX CA

EU AP* AP AP AP AP AP

EU EU EU AP

AP

BR US

EU Europe

AP Asia-Pacific

BR Brazil

US United States

ES Spain/Portugal

* Region Pilot

ROLLOUT

1.500 STORES2.000 WORKSTATIONS

12.000 USERS

BRANDS

SWAROVSKI RETAIL, CADENZZA, LOLAANDGRACE

FORMATS

BOUTIQUES, CONCESSION STORES, FACTORY OUTLETS, PARTNERS

LOCALIZATION

AMERICAS, EUROPE, ASIA-PACIFIC33 COUNTRIES20+ LANGUAGESINCLUDING THAI, KOREAN, JAPANESE, TRAD. & SIMPL. CHINESE

LIVE WITH XSTORE AND RELATE

23

SWAROVSKI & ORACLE RETAIL

PROJECT GOVERNANCE AND CHANGE MANAGEMENT

SWAROVSKI

OPERATIONS ARE OWNED BY IT1ST + 2ND LEVEL SUPPORTPROJECT MGT

ORACLE ITALY

IS OUR MAIN CONTACTMODIFICATIONS, DEV3RD LEVEL SUPPORT

MAIN CHALLENGES

QUALITY ASSURANCE FOR MODIFICATIONS

INTERNAL CROSS-REGIONAL COOPERATION AND COMMUNICATION HASREQUIRED ESCALATIONS OCCASIONALLY.

RESOURCES HAVE BEEN LIMITED OCCASIONALLY

CONTRACTS!

GOVERNANCE / COOPERATION

25

XSTORE

4 – 6 MINOR RELEASES EACH YEAR – BUGFIXES, ENHANCEMENTS

100 CHANGES PER YEAR

1 UPGRADE PERFORMED SINCE THE PILOT

NOW V5.5

RELATE

RELEASES ARE ROLLED OUT ON DEMAND

NOW V11

CHANGE MANAGEMENT

26

SWAROVSKI & ORACLE RETAIL

LESSONS LEARNED

STANDARDIZATION IS KEY FACTOR90/10 APPROACHPROCESS STANDARDS VS. LEGAL/LOCAL REQUIREMENTS

STAY VANILLARATHER THAN IMPLEMENTING CUSTOMIZED PROCESSES AND MODIFICATIONS

BUILDING THE VENDOR – CUSTOMER RELATIONSHIP TAKES TIME & EFFORT

LESSONS LEARNED

28

90%

10%

SWAROVSKI & ORACLE RETAIL

BENEFITS

SAME SERVICES AVAILABLE GLOBALLY CONSISTENT CONSUMER EXPERIENCE

BASE FOR FURTHER GLOBAL INITIATIVES & BUSINESS DECISIONS

QUICK TIME TO MARKET (LOYALTY, SEAMLESS)

ELECTRONIC GIFT CARDS

CONNECTED ONLINE - FRAUD PROTECTION

AVERAGE EUR VALUE - PAPER GIFT CARD VS. EGC DOUBLED

ALL BUSINESS CRITICAL PROCESSES AVAILABLE OFFLINE AT POS

BENEFITS – CONSUMER CENTRICITY

30

FULLY INTEGRATED SOLUTIONS REPLACED PREVIOUS WORKAROUNDS

AIRPORT STORES

MULTI TAX (TAXFREE, US TAX)

END OF DAY RECONCILIATION

EXCHANGE RATE INTEGRATION

MARKETING EVENT HANDLING

LANDLORD REPORTS

ALL LOCAL REQUIREMENTS ARE NOW COVERED

LOCAL LANGUAGE

FISCALIZATION

LOCAL PROCESSES (E.G. LAYBY AUSTRALIA)

BENEFITS – PROCESSES

31

LOWER TRAINING EFFORTS – 50%

INTEGRATED EFT AVOIDS CONSOLIDATION ERRORS

MERCHANDISE FUNCTIONALITY

PRODUCT IMAGES

INVENTORY BUCKETS

INVENTORY COUNT / CYCLE COUNT

EMPLOYEE SALES / DISCOUNTS

SEASONAL SALES

PRICING, SEASONAL SALES INTEGRATED WITH START/END DATE

VERIFIED RETURNS

TRANSFER REQUEST

REPAIRS

BENEFITS – USER EXPERIENCE

32

1 GLOBAL INSTANCE COVERS

ALL COUNTRIES, LANGUAGES, PRICES

ALL RETAIL MONOBRAND STORES INCLUDING PARTNERS

ALL BRANDS

LOWER COST IN OPERATIONS

REDUCED FROM 7 DIFFERENT POS SOLUTIONS TO 1

HARDWARE AND SOFTWARE MERGED FROM 30 LOCATIONS TO 1 CORP

ONLINE AND REALTIME INTEGRATION WITH ERP (SAP BI, FI/CO, CRM, SD, …)

MEETS INFORMATION TECHNOLOGY INFRASTRUCTURE LIBRARY (ITIL) STANDARDS

BENEFITS – SYSTEM ARCHITECTURE

33

34

OPERATIONAL COST

THE ANNUAL PER-SHOP-EFFORT IS DECLINING & NOWTHE SAME AS FORMER EPOS.

THIS IS BRILLIANT, CONSIDERING

MICROS‘ 5TH YR VS. FORMER POS 10TH YR

MORE FUNCTIONALITY & INTEGRATION

HUNDREDS OF ENHANCEMENTS EVERY YEAR

ONGOING ROLLOUT 2009 – 2016

NEW INTERNAL ROLES & HIGH STANDARDSSECURITY MANAGERQUALITY ASSURANCE & RELEASE MANAGERITIL

OPERATING EFFORT

INTERNAL

HOURS PER STORE AND YEAR

SWAROVSKI & ORACLE RETAIL

NEXT STEPS

XSTORE

ROLLOUT TO PARTNERS GLOBALLY 2017 …

UPGRADE TO V16 2017 – 2019

ROLLOUT „SEAMLESS“ - INTEGRATION WITH E-COMMERCE C&C, C&R

RELATE

RELATE AS MIDDLEWARE BETWEEN XSTORE AND SAP CRM

NEXT STEPS

36

37

Contactmario.herdin@swarovski.comhttps://at.linkedin.com/in/marioherdin

QUESTIONS …

THANK YOU!