Increasing demand on business efficiency and increasing business complexity drive companies to deal daily with a growing amount of data, which needs to be processed instantly and seamlessly. Information Management and Master Data Management becomes key to organize, control and leverage your reference data, so as to match the requirements of the departments in your Company. This presentation details both the Challenges of Information Management as well as Best practices learned from successful engagement with major Retailers across Europe.

2. Mail: Ariel.Aubry@edifixio.comSeptember 2011 To Download this presentation, please visit our web site EBC Business Consulting : - Blog – Here (Visit our blog) - Publication – Here (downlaod presentation)

3. EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe Challenges of Information Management Issues Benefits Solutions MDM for Publishing Flow Optimization MDM to optimize Business Partner Flows MDM for Centralizing Data & Processes Focus on Retail : MDM For Centralizing Data & Processes Typical Application Architecture Comparing Custom, PIM and ERP implementation Methodology and Main lessons Implementing a Merchandise Repository is far from being just an IT project Elements of attention – Strategy & sponsoring Governance & Scope Architecture Implementation & Change Management MMain Lessons - Synthesis September 2011

5. SKUs : 5 000 / to 5 Millions

6. Stores : 1000s

7. Regions / Countries : 10s

8. Promotions : 1000s / year

9. Millions of hours spent yearly

10. Data is getting more complex

11. Prices

12. Distribution circuits

13. Product composition

14. Organization (WHS,POS,PD…)

15. Multiple Inbound and outbound channels

16. Multiple sources (vendor, datapool)

17. New channels, specific yet consistent

18. Mergers & AcquisitionsAn Increasing complexity September 2011

20. Consumer (Marketing, Environment)

21. Legal (Traceability)

22. Business Innovations (VMI)

23. Time to market Reduction

24. Shortened Product life cycles and acceleration of NPI

25. Delocalized production centers

26. JIT synchronization with production

27. Business Leadership

28. Business Innovations

29. Excellence in the Supply Chain

30. Large Offering

31. Improve Quality through Collaboration

32. Operational efficiency

33. Improve Service Level

34. Benchmark across regions/brand/competition

35. Reduce Operating Costs

36. Optimize resources allocation/rotation

37. Improve invoicing/paymentAn increased demand from business for operational efficiency September 2011

39. MDM to optimize Business Partner flows

40. MDM to optimize Internal Flows EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 5 September 2011

41. MDM for Publishing Flow Optimization Publishing MDM(per market, country, brand, medium, customer segment, channel, etc) ERPs (SAP, …) Web Technical Data CDROM PLM ecatalogs Legal Databases Flyers Marketing Digital Asset Management Paper Other IS Other IS EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 6 September 2011

42. MDM to optimize Business Partner Flows EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 7 DataSync MDM Manufacturers Retailer 1 Retailer … Partners Retailer N Public Database Web Provider Other IS Other IS September 2011

43. MDM For Centralizing Data & Processes EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 8 Central Repositorydata and processes centralization,brand, country specifics, etc Merchandising System 1 Vendor Merchandising System N Legacy Partner Legal databases Data Pool Marketing Public Database Digital Asset Management Other SI Partner IS September 2011

44. Focus on Retail - MDM For Centralizing Data & Processes EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 9 ERP Listing Processes CRM Vendor workflows Data Quality Merchandising Data Pool GS Productivity tools POS User roles and rights Data Provider Connectors Tracking & RFID ListingItems, Vendors, Organization, Classification, Pricing, Customer, etc Other IS PreListItems, Vendors Datawarehouse Ecommerce / catalogs September 2011

45. Focus on Retail - Typical Application Architecture EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 10 Listing Application Item / Vendor / … Offer Construction & Mgt Deals Negotiation … Promotion Mgt … Vendor Portal Sourcing GDS Pre Listing Application Item / Vendor / … Price Mgt & Optimization Gestion de Nomenclature Referential Item / Vendor / Trade Conditions / Locations / Classifications / Parameters Supply chainLogistics, replenishment, warehouse Mgt BusinessIntelligence Accounting Finance Operations Management … September 2011

48. Zero constraint

50. IS Independent

51. Built-in “MDM functions”

53. Performances for high volumes

54. Business Requirements definition

56. Effort wasted on low level MDM

57. Maintenance issues

58. No Business Req. challenging

59. Blank page syndrome

61. No built-in MDM Function

62. MDM User experience (GUI)

63. Limited features (hierarchies, …)September 2011

65. Avoid “Boiling the Ocean”

66. Ensure gradual adoption

67. Lowering the risks

68. Increase ROI

70. Organization

71. Ownership of data

72. Core system approach to be rolled out for multi countries/multi brands.

73. Technical fundamentalsEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 12 September 2011

75. Sponsoring

76. Governance

77. Scope

78. Architecture

79. Implementation

80. Change ManagementEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 13 September 2011

82. Position MDM with respect to the Company’s Business Strategy

83. … because nobody should do MDM for the hype

84. … because you should know your major focus at this stage (supplier negotiation, data quality, operational efficiency, etc.)

85. Identify an overall budget for the Operation

86. … because MDM will require to adapt your legacy and your organization more than you originally thought.

87. … Initiating a design to cost approach is therefore mandatory

88. Identify the expected Return on Investment, Key Drivers, KPI

89. … because from project kick off, each and every department will have terrific ideas for unplanned and unbudgeted new features, key to their business, but not on the MDM original Roadmap, nor aligned with the Company’s Business StrategyEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 14 September 2011

91. … because changing the way you manage your Reference Data impacts Roles and responsibilities across the Company, as well as for customers and suppliers. Arbitrage will be required at the highest level

92. Identify Program Manager and Core team

93. … because somebody needs to start working !

94. Communicate and assess overall perception

95. … because everybody will be impacted by the MDM initiative. Change Management should be started early on

96. Avoid effective leadership by operational managers

97. … because engaging in MDM is an opportunity to onboard new concepts and processes, not to just automate current data management practicesEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 15 September 2011

99. … because some data will be kept central, while some other data needs to be handled at the local (region, store, warehouse, country) level

100. Identify the organization and processes required

101. … because the point with MDM is precisely to redefine who does what with your data, when , in what sequence, etc.

102. Assess Change Management

103. … relating to the new organization, processes, and applications

104. Take for granted that you underestimated Data Migration and anticipate cleansing in Legacy

105. … because this is our conclusion after 30+ projects (incomplete data, duplicates, obsolete, etc)

106. … because your MDM initiative consist also in stricter quality controls, additional fields, new concepts, etcEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 16 September 2011

108. Identify short term / mid term / long term scope

109. … because you need to succeed on quick wins while setting a long term objective … because you need to communicate to business departments and onboard them at the right time

110. … because your business case depends on it

111. Cover Global issues

112. … because if you postpone critical analyses (such as item or supplier ID unification, price management, master/slave IS, etc), these topics we’ll haunt you and jeopardize the success of our initiative. Tackle all this early on

113. Prioritize to deliver rapidly and ensure momentum

114. … because due to their impact on systems, organizations and people, due to the hopes they generate, MDM project have more than any project a risk of getting stuck

115. Assess unplanned enhancements (GUI, etc.) versus cost and timeframe

116. … because business users will have every reason to require a user-friendly system for their daily tasks, but setting up custom GUI on MDM is always costly

117. Focus on the MDM expected value, not on a technical migration

118. … because otherwise you end up duplicating your legacy, with absolutely no added value for businessEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 17 September 2011

120. Define evolutions to current legacies, and their new responsibilities

121. … because legacy modification costs happened to be showstoppers on some projects (concepts, fields, etc.)

122. Prioritizeand implement evolutions to existing Information Systems

123. Define integration mechanisms and implement data flows

124. … because automating the sharing of data means new flows within your organization and your IS

125. Define and prepare data to migrate

126. Define and implement major processes and workflows

127. Estimate and follow key volumes (data and users)

128. Identify technical constraints

129. Define Service Level Agreement, per region, country, etc.

130. … because your MDM may endup critical for operational processes

131. Identify hardware, environments, infrastructure, operations requirements.

132. Identify maintenance and operating skills, per region, country, etc.

133. Onboard the Right technical ExpertiseEBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 18 September 2011

135. … because your MDM project will very likely end up being on the critical path of most of your portfolio projects

136. Select the solution best fitting the context (scope, technology, constraints)

137. … because some solutions are better for your specific requirements (collaborative, hub GUI, Volumes, etc)

138. Assess skills required, define team and assign roles and responsibilities

139. Define Deliverables, Q&A, Planning, tools, etc

141. Make sure every Project participant is trained on the tool and its concept prior to the project start

142. Leverage the UAT phase to train the Users on both the tool and the processes.EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 19 September 2011

143. Strong sponsorship Global IT strategy & roadmap Change Management Business enabler (New concepts enabler, Innovation engine) Organizational Challenges (MDM team and processes, skills) IT challenges (skills, technology and concepts) Main Lessons - Synthesis EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe 20 September 2011

144. EBC Business Consulting : MDM implementation for Key retailers and wholesalers in Europe September 2011