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RETAIL CHAIN SPECIALIZED ERP – SAMSUNG TESCO HOMEPLUS

RETAIL CHAIN SPECIALIZED ERP – SAMSUNG TESCO HOMEPLUS. H ome P lus. CONTENTS. 1. Samsung Tesco. 2. Background. 3. ERP construction. 4. Retail chain specialized ERP. 5. After construction. Samsung-TESCO. Samsung-TESCO Korean no.2 Retail chain.

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RETAIL CHAIN SPECIALIZED ERP – SAMSUNG TESCO HOMEPLUS

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  1. RETAIL CHAIN SPECIALIZED ERP – SAMSUNG TESCO HOMEPLUS

  2. Home Plus

  3. CONTENTS 1. Samsung Tesco 2. Background 3. ERP construction 4. Retail chain specialized ERP 5. After construction

  4. Samsung-TESCO • Samsung-TESCO • Korean no.2 Retail chain. • Joint venture of Samsung C&T and TESCO Founded on 99.5.1. • Sales about $7 billon (2008) Sales 47% Profit 175%

  5. SAMSUNG-TESCO Won 3 Customer satisfaction surveys NCSI(National Customer Satisfaction Index) -2002, 2004 KCSI(Korea Customer Satisfaction Index) -2005 KS-SQI(Korean Standard-Service Quality Index) -3 times Most admired company

  6. Samsung-TESCO • Samsung-TESCO • 55 Hyper Markets(Standard&Compact) • 42 Express • 12300 employees

  7. CONTENTS 1. Samsung Tesco 2. Background 3. ERP construction 4. Retail chain specialized ERP 5. After construction

  8. BACKGROUND M&A of Major Retail companies Global competitors invasion Needs of IT strategies Retail Market is getting filled. It is getting harder to survive in this Red-Ocean. It is needed to increase own market share not only for sales, but survival.

  9. Background of ERP ERP Application Strategies for Competitive advantage Analysis & prediction of global trends Supply system’s efficiency improvement. Effective Resource management Customer management

  10. BACKGROUND • Because of it’s rapid growth, pre-existing management system couldn’t supports it’s huge number of transactions. For IT strategies, Standard ERP Applications are Needed at first. • Needs of flexible task process and IT Environment to achieve position of market dominance of Korea. • Competitors already started to analysis the customers information and use market segmentation strategy with that information.

  11. CONTENTS 1. Samsung Tesco 2. Background 3. ERP construction 4. Retail chain specialized ERP 5. After construction

  12. RANGE OF ERP CONSTRUCTION Electronic payment In tactic Report EIP DW Exhibition I/F I/F I/F I/F ReSA Demand Forecasting Accounting NewERP System RDF RMS Ordering Purchase loan Selling Stock Master ( Product, supplier, product classification system, organization, cost, coupons, subsidies, etc) I/F I/F I/F I/F Web-EDI -E-Tax -information Distribution Accounting POS Credit card Oracle RDM Balance Management Gift certificate New ERP System • RMS : Retek Merchandising System • RDF : Retek Demand Forecasting • ReSA : Retek Sales Audit • RDM : Retek Distribution Management Pre-existing System Interface

  13. HISTORY OF ERP CONSTRUCTION Process Changes (Change Management) 1st Implementation User Training 2nd 3rd Group CRP Korean CRP ` ` Implementation 7 Oct. ‘02 17 Feb 03. 11 April 1 Jan ‘04 1 Jul Aug. 2000 Dec. 2000 Aug. 2001 Jan. 2002 Jan-Aug. Mar-May Apr-May Oct- Jang.2003 – Feb.2003 Feb.-Apr May0Aug. Sep.-Nov. Dec.-Feb. 2004 Raised the need for the New MD system Announced a global pilot project Documented the requirements for the new system Organized Samsung Tesco BPI T/F(Business Process Innovation Taskforce Team) Made the ‘As-Is Business Scenario’ Quick-wins project: code management, inventory accuracy improvement stores, MIS reports Selected Package vendor & intergrator : RetekandIBM Strated Group CRP Group CRO Designed Group Manual Process Unit test & Interface test Integration test, UAT, Report test, End User Training Cut Over & Go-Live

  14. CONTENTS 1. Samsung Tesco 2. Background 3. ERP construction 4. Retail chain specialized ERP 5. After construction

  15. Retail Chain Specialized ERP – feature 1 Store /Product / Partner Flexible organization classification System Store1 Store2 Store3 Powerful master management Company • 6 Classification • Free Grouping • Easy integration system Country Partner2 Partner Category Region Efficient product management Efficient master input Branch Partner1 Product Shirts • Enter Basic information • Simplify the approval procedure Top Item Sub Item Logistics Buyers Supplier Code team • Item code Resister • Easy change of Classification

  16. Retail Chain Specialized ERP – feature 2 Simple Discount • Multiple quantity, • Related Promotion, Mix & Match • Various promotion Feature - • Can make a variety of events • Take advantage of the opportunity to improve sales 800 Won 500 Won 20% Discount Multi Unit Discount Purchase of two 5% Discount Purchase of five 14% Discount Mix & Match 1 + 1 Event 2 + 1 Event

  17. Retail Chain Specialized ERP – feature 3

  18. CONTENTS 1. Samsung Tesco 2. Background 3. ERP construction 4. Retail chain specialized ERP 5. After construction

  19. AFTER CONSTRUCTION - EARLY STABILIZATION Unsolved issue graph Using help desk Help desk Issue 11 12 1 Period 12 1 2 Period 3 2 Go-live Go-live • Continuous effort for resolving issues • Help desk had done their job great • Stabilization in early time

  20. FOR SUCCESSFUL CONSTRUCTION Construction ERP is huge project How we done great ? Management Issue & schedule • Integration of issues that occurs from each steps • Checkup the schedule through dashboards and meetings • Function test, interface test, modification test, report test, parallel test • Before the test, manager must confirm the list of non-tested • In each test, define scenario and schedule Systematic & repeating test Safety data translation • Search and modifying a error of data and program • Adjustment cut over schedule • Making single communication channel in each managers Managing education method • 1st education  2nd education  3rd education for end-user  4th final education  additional education after the system • Making good quality education manual

  21. AFTER CONSTRUCTION – SALES PROMOTION Increasing competition power through sales promotion • “Increase” • Revenue • -Customer Loyalty • -Customer Frequency • -Competitiveness

  22. AFTER CONSTRUCTION – MEDIA • e- catalog system • Product management system is effective • Enter information directly to the • inventory management system

  23. BEYOND E-MART VS

  24. MIS 강의 듣고 A+ 받자 Happy Vacation! 수업 학생

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