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Retail Transformation for CIOs:
How to Build Architecture to Support
Omnichannel Services
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Ismael Ciordia
Chief Techonology
Officer
@ Openbravo
▪  Openbravo Co-
founder
Today’s Presenters
Xavier Places
Product Marketing
Director
@ Openbravo
Salil Godika
Chief Strategy Officer
@ Happiest Minds
▪  Happiest Minds Co-
founder
▪  Retail Industry Group
Head
!  Challenges
!  How to build architecture
!  Insights from Happiest Minds Survey Report
of US Retailers
!  Action plan and Key Takeaways
!  Q&A
Agenda and Goals
Speed
Convenience
Personalization
© 2015 Openbravo Inc. All Rights Reserved
… makes retailers live
in the
“L World”
Lack of Vision and Strategy…
! Single View of Customer
! Single View of Product
! Channel-agnostic Order Management
! Superb In-store Shopping Experience
! Enhanced Web and Mobile Shopping Experience
! Real-time Insights
! Scalabiltiy and Flexibility to Accommodate Future Needs
Key Business Goals for the Architecture
Key Architecture Differentiators
Search
Buy
Fulfil
Deliver
Pay
Return
! A service oriented architecture for
easier introduction and
deployment of new services and
higher granularity for decoupling
the different shopping steps
! Focus on channel integration
standardization for rapid
introduction of new channels
! Highly interoperable for rapid
integration with multiple back ends
and external systems
! Mobile-enabled and Cloud-ready
for higher business agility and
scalability
Services Layer
A Layered Architecture that adheres to SOA principles
Omnichannel Services including:
!  Foundational services like security or loggin
!  Services for new channel UI creation
!  Business Services like Customer account
information, Customer purchase history, Product
reviews, In-store stock visibility, Payment…
!  Services Orchestration to support cross-channel
scenarios like:
!  Buy Online – Pick-up in the Store
!  Buy Online – Home Delivery
!  Buy Online – Return in the Store
!  Reserve Online – Pick-up in the Store
!  Store fulfilment
Third Party Integration Services that standardise
integration with external systems like 3PL,external loyalty
platforms…
Assisted and Unassisted channels:
!  Store
!  Website
!  Mobile application
!  Kiosks
!  Call Center
!  Social
!  Price comparison sitesChannels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
!"!#$%&'(('()!*%+'$,-,&')!#%./&/'()!01-,2-$2()!3%%.(!
Master Data Set for Consistency Across Channels
Customer
Data Product Data
Pricing and
Promotions
Data
!  Build a single central repository with all customer
data and interaction across channels
!  Build a single central repository for managing,
structuring and displaying product information
consistently across all channels
!  Build a single central repository for managing,
pricing, offers and promotion information
!  Define processes, governance, policies, standards
and tools that work together to ensure data qualityServices Layer
Channels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
Flexible Fulfillment for Ultimate Customer Convenience
Order
Management
System
!  Provide real-time stock availability across all
channels
!  Support definition of business rules for flexible
fulfillment strategies, including minimize shipments,
prioritize stockroom locations, ship from closest store
or ship from location with highest availability
!  Support cross-channel scenarios, including returns
!  Enable store fulfilment
Services Layer
Channels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
Mobile POS for Superb In-Store Shopping Experience
!  A responsive design web solution or a device-
dependant application according to business needs
!  Assisted sale and inventory visibility capabilities to
influence customer decision everywhere in the store
!  Support for offline operations
!  Open to integrate technologies like mobile
payments or localization technologies (RFID,
beacons)
!  Very easy to integrate POS to become a single
repository of data from multiple in-store data sources
Services Layer
Channels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
Easy Search and Buy for Better Online Experience
Provide “frictionless” online experience
!  Mobilized website
!  Show and filter by store stock visibility
!  Show product catalog navigation (images,
video…)
!  Show product reviews and allow to enter reviews
!  Ensure cart persistency across devices (start in
mobile and recover it later from desktop)
!  Integrate payments
!  Offer different check-out options
Services Layer
Channels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
Consolidated Reporting for Higher Performance Visibility
!  Consolidate multiple channel into a single repository
that can be drilled down into
!  Embed analytics into business applications for faster
adoption
!  Evaluate mobile analytics
Analytical
Data
Services Layer
Channels
Omnichannel Services
Corporate Business Applications
HTTP(S), REST, SOAP
ThirdParty
Integration
Services
Business Logic Layer
Data Persistency Layer
Front End Layer
Data
ThirdParty
Systems
HTTP(S),
REST,SOAP
Services Orchestration
Data
sources
Backoffice
Client
15
Front end
Layer
Services
Layer
Business
Layer
Persistence
Layer
Action
Handlers
Datasource
Services
Web Services
JSON
/ XML
Data Access
Components
Data Agents
Business
Components
Business
Workflows
Business
Entities
Cross-cutting
infrastructure layers
Security
OperationalManagement
CommunicationsandMessaging
POS
Client
Hardware
Manager
Channel
Service
Openbravo Commerce Suite Layered Architecture
16
Cloud-ready Mobile-enabled Interoperable OrchestratedTruly Modular
!  Lower costs and
achieve higher
agility enabling
you to run lean on
your IT investment.
!  Gain full freedom
to move from
Cloud to On-
Premise and the
other way around
as required for
your business.
!  Gain full freedom
to select the
devices of your
choice thanks to
a responsive
mobile web
technology.
!  Ensure
uninterrupted
operations thanks
to strong offline
support.
!  Integrate easily to
leverage previous
IT investments or
ensure adoption
of future
technologies and
channels.
!  Leverage existing
integration
modules like with
Magento,
Prestashop,
SugarCRM and
others.
!  Build on top of an
OMS foundation,
a must for an
unified
commerce
strategy.
!  Leverage
embedded
Business Process
Management
engine and
capacity to
define
customizable
business rules.
!  Leverage
embedded
analytics to
analyze data
from various
sources in one
single repository.
!  Gain actionable
insights that help
automate
processes, predict
behavior, deliver
insights to the
right person at the
right time.
!  Easier to adapt
and extend.
Smoother
updates and
upgrades with an
integrated
Module
Management
Console.
!  Enable more focus
on differentiation
and innovation
and experiment
with confidence.
Informative
Ready to Deliver Omnichannel Services
Leading French
Home Furnishings
Retailer
And Already Adopted by Leading Retailers. 3 of Them.
!  ! 8.2bn in 2014 turnover and
900 stores in 22 countries
!  Full Store solution
!  Online channel integration
Enhanced shopping experiences with
mobile POS to progress in India expansion
and omnichannel strategy.
!  Part of Groupe Adeo
!  #1 in European DYI retail
with !15bn+ turnover
!  Complete integration of all
retail channels for sales
growth acceleration
!  Support for cross-channel
A new multichannel architecture with a fully
operational OMS up and running in 3
months with single view of clients across
channels.
!  Full store solution
!  300 stores
!  4.000 POS
!  +300.000 SKUs
!  ! 2bn+ turnover
A new store solution for full control of store
operations, enhanced shopping experience
and higher fulfillment flexibility.
Key Insights from the Report
retailers have an
Omnichannel
strategy;
But only a fraction
have a dedicated
senior executive
driving it
64%
Insights from Happiest Minds Survey Report of US
Retailers
Provide order online pick up in
store
<25%
offer flexible fulfilment -pick up
from store/ ship from store
leveraging store network
44%
Insights from Happiest Minds Survey Report of US
Retailers
retailers enable customers
to engage across stores,
kiosks, web, mobile, social, call
center
38%
Deliver a perfect Order
70%
Accept returns seamlessly
across ordering channels
57%
Do not offer flexible / more
complex fulfillment choices
>75%
Insights from Happiest Minds Survey Report of US
Retailers
Do not have Customer
360 which is core to
Omnichannel
Personalization
56%
Insights from Happiest Minds Survey Report of US
Retailers
Provide ‘do not have to
repeat’ myself
experience, which
is a true epitome of what
a customer 360 view can
enable in a customer
service context
16%
Have ‘Save a Sale’ capability –
translates to lack of single view
of enterprise entities like
customer, inventory, product for
on-the-floor store associates
15%
Insights from Happiest Minds Survey Report of US
Retailers
Have KPI/ Incentive structure
that allows Omnichannel
Attribution for initiatives that
cross-over channels (like in
store pickup, in-store ordering
for home delivery etc.)
18%
Have clearly
identified
IT security
initiatives that
are central to
Omnichannel
strategy
43%
Insights from Happiest Minds Survey Report of US
Retailers
Key IT
Investment
Areas for
Omnichannel
Retailers
© Happiest Minds Technologies, 2015
Insights from Happiest Minds Survey Report of US
Retailers
• Omnichannel fulfillment through click and collect enablement for a US
retailer
• eCommerce enablement for a large cash and carry retailer
• Geo-fencing and i-beacon based communication for a global
clothing retailer
• Product recommendation system for a US apparel retailer
• Enhanced store associate engagement using gamified BI for a US
retailer
• Personalized recommendation using big data analytics for a leading
home improvement retailer
• Integrated retail and cinema platform for a leading European chain
• Consumer engagement application for a US toy retailer
• 24/7 monitoring SOC services for a gaming enterprise in US
• Penetration testing, Vulnerability management, Secure SDLC and
PCIDSS preparedness for an online player
Happiest Minds Retail
Our Retail Industry Offerings : Focused around Digital Transformation Mandate
Security and Infrastructure Transformation
Retail Success Stories
Domain
!"#$%&'(#
)'*"+,&'-*.&"#
/-"012*""(3#4#
(5&--('1(#
%'*"+,&'-*.&"#
56+%&-('#!"+072%+######
8#9*':(."7#
;6%&-*.&"#
• Customer Experience in Store
• Omnichannel experience:
Integrated Promotions and
Recommendations
• Associate Enablement and
Productivity
• Convergence of e-Commerce,
M-Commerce and Store Ordering
• Omni-Channel Customer 360
• Omni-Channel Customer
Feedback
• Omnichannel Maturity
Assessment, Strategy and
Roadmap
• Customer Segmentation
• Campaign and Marketing
Analytics
• Personalized Recommendation
• Big Data Ingestion and Data
Science as Technology offering
• PoS Security
• BYoD and Mobility Security
• IT in a box
• Network, Web and App Security
• Assessment – Security, Compliance
• Analytics Security i.e. Securing
your Analytics platform
• Data Security (PCI 3.0)
Key Takeaways
! Omnichannel has come of age;
Perfect Storm has landed
! Leadership Commitment is
crucial
! Stores remain nerve-center
! Big Data and Advanced
Analytics – bedrock of
Personalization Strategies
! Foundational Capabilities are a
must – single view of customer,
product, inventory, orders
! Security cannot be an
afterthought
How to Start?
Do an
Omnichannel
Business
Readiness and
Architecture
Assessment
Web: www.openbravo.com/contact
www.happiestminds.com/enquiryform
Email: info@openbravo.com
business@happiestminds.com
Thank you very much
for your attention

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How to Implement Architecture to Support Omnichannel Services

  • 1. Retail Transformation for CIOs: How to Build Architecture to Support Omnichannel Services
  • 2. Today’s presentation is available to download on the Attachment tab on the webinar page. Visit openbravo.com/retailers/resources/overview/ Check out additional resources and don’t forget to share them with your colleagues. Have a question? Click on the Question tab. Q&A will be at the end of today’s presentation. Submit additional questions or comments after the webinar on Twitter. Hashtag: #obravowebinar Simple steps to increase the value of today’s webinar experience
  • 3. Ismael Ciordia Chief Techonology Officer @ Openbravo ▪  Openbravo Co- founder Today’s Presenters Xavier Places Product Marketing Director @ Openbravo Salil Godika Chief Strategy Officer @ Happiest Minds ▪  Happiest Minds Co- founder ▪  Retail Industry Group Head
  • 4. !  Challenges !  How to build architecture !  Insights from Happiest Minds Survey Report of US Retailers !  Action plan and Key Takeaways !  Q&A Agenda and Goals
  • 6. … makes retailers live in the “L World” Lack of Vision and Strategy…
  • 7. ! Single View of Customer ! Single View of Product ! Channel-agnostic Order Management ! Superb In-store Shopping Experience ! Enhanced Web and Mobile Shopping Experience ! Real-time Insights ! Scalabiltiy and Flexibility to Accommodate Future Needs Key Business Goals for the Architecture
  • 8. Key Architecture Differentiators Search Buy Fulfil Deliver Pay Return ! A service oriented architecture for easier introduction and deployment of new services and higher granularity for decoupling the different shopping steps ! Focus on channel integration standardization for rapid introduction of new channels ! Highly interoperable for rapid integration with multiple back ends and external systems ! Mobile-enabled and Cloud-ready for higher business agility and scalability
  • 9. Services Layer A Layered Architecture that adheres to SOA principles Omnichannel Services including: !  Foundational services like security or loggin !  Services for new channel UI creation !  Business Services like Customer account information, Customer purchase history, Product reviews, In-store stock visibility, Payment… !  Services Orchestration to support cross-channel scenarios like: !  Buy Online – Pick-up in the Store !  Buy Online – Home Delivery !  Buy Online – Return in the Store !  Reserve Online – Pick-up in the Store !  Store fulfilment Third Party Integration Services that standardise integration with external systems like 3PL,external loyalty platforms… Assisted and Unassisted channels: !  Store !  Website !  Mobile application !  Kiosks !  Call Center !  Social !  Price comparison sitesChannels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 10. !"!#$%&'(('()!*%+'$,-,&')!#%./&/'()!01-,2-$2()!3%%.(! Master Data Set for Consistency Across Channels Customer Data Product Data Pricing and Promotions Data !  Build a single central repository with all customer data and interaction across channels !  Build a single central repository for managing, structuring and displaying product information consistently across all channels !  Build a single central repository for managing, pricing, offers and promotion information !  Define processes, governance, policies, standards and tools that work together to ensure data qualityServices Layer Channels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 11. Flexible Fulfillment for Ultimate Customer Convenience Order Management System !  Provide real-time stock availability across all channels !  Support definition of business rules for flexible fulfillment strategies, including minimize shipments, prioritize stockroom locations, ship from closest store or ship from location with highest availability !  Support cross-channel scenarios, including returns !  Enable store fulfilment Services Layer Channels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 12. Mobile POS for Superb In-Store Shopping Experience !  A responsive design web solution or a device- dependant application according to business needs !  Assisted sale and inventory visibility capabilities to influence customer decision everywhere in the store !  Support for offline operations !  Open to integrate technologies like mobile payments or localization technologies (RFID, beacons) !  Very easy to integrate POS to become a single repository of data from multiple in-store data sources Services Layer Channels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 13. Easy Search and Buy for Better Online Experience Provide “frictionless” online experience !  Mobilized website !  Show and filter by store stock visibility !  Show product catalog navigation (images, video…) !  Show product reviews and allow to enter reviews !  Ensure cart persistency across devices (start in mobile and recover it later from desktop) !  Integrate payments !  Offer different check-out options Services Layer Channels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 14. Consolidated Reporting for Higher Performance Visibility !  Consolidate multiple channel into a single repository that can be drilled down into !  Embed analytics into business applications for faster adoption !  Evaluate mobile analytics Analytical Data Services Layer Channels Omnichannel Services Corporate Business Applications HTTP(S), REST, SOAP ThirdParty Integration Services Business Logic Layer Data Persistency Layer Front End Layer Data ThirdParty Systems HTTP(S), REST,SOAP Services Orchestration
  • 15. Data sources Backoffice Client 15 Front end Layer Services Layer Business Layer Persistence Layer Action Handlers Datasource Services Web Services JSON / XML Data Access Components Data Agents Business Components Business Workflows Business Entities Cross-cutting infrastructure layers Security OperationalManagement CommunicationsandMessaging POS Client Hardware Manager Channel Service Openbravo Commerce Suite Layered Architecture
  • 16. 16 Cloud-ready Mobile-enabled Interoperable OrchestratedTruly Modular !  Lower costs and achieve higher agility enabling you to run lean on your IT investment. !  Gain full freedom to move from Cloud to On- Premise and the other way around as required for your business. !  Gain full freedom to select the devices of your choice thanks to a responsive mobile web technology. !  Ensure uninterrupted operations thanks to strong offline support. !  Integrate easily to leverage previous IT investments or ensure adoption of future technologies and channels. !  Leverage existing integration modules like with Magento, Prestashop, SugarCRM and others. !  Build on top of an OMS foundation, a must for an unified commerce strategy. !  Leverage embedded Business Process Management engine and capacity to define customizable business rules. !  Leverage embedded analytics to analyze data from various sources in one single repository. !  Gain actionable insights that help automate processes, predict behavior, deliver insights to the right person at the right time. !  Easier to adapt and extend. Smoother updates and upgrades with an integrated Module Management Console. !  Enable more focus on differentiation and innovation and experiment with confidence. Informative Ready to Deliver Omnichannel Services
  • 17. Leading French Home Furnishings Retailer And Already Adopted by Leading Retailers. 3 of Them. !  ! 8.2bn in 2014 turnover and 900 stores in 22 countries !  Full Store solution !  Online channel integration Enhanced shopping experiences with mobile POS to progress in India expansion and omnichannel strategy. !  Part of Groupe Adeo !  #1 in European DYI retail with !15bn+ turnover !  Complete integration of all retail channels for sales growth acceleration !  Support for cross-channel A new multichannel architecture with a fully operational OMS up and running in 3 months with single view of clients across channels. !  Full store solution !  300 stores !  4.000 POS !  +300.000 SKUs !  ! 2bn+ turnover A new store solution for full control of store operations, enhanced shopping experience and higher fulfillment flexibility.
  • 18. Key Insights from the Report
  • 19. retailers have an Omnichannel strategy; But only a fraction have a dedicated senior executive driving it 64% Insights from Happiest Minds Survey Report of US Retailers
  • 20. Provide order online pick up in store <25% offer flexible fulfilment -pick up from store/ ship from store leveraging store network 44% Insights from Happiest Minds Survey Report of US Retailers retailers enable customers to engage across stores, kiosks, web, mobile, social, call center 38%
  • 21. Deliver a perfect Order 70% Accept returns seamlessly across ordering channels 57% Do not offer flexible / more complex fulfillment choices >75% Insights from Happiest Minds Survey Report of US Retailers
  • 22. Do not have Customer 360 which is core to Omnichannel Personalization 56% Insights from Happiest Minds Survey Report of US Retailers Provide ‘do not have to repeat’ myself experience, which is a true epitome of what a customer 360 view can enable in a customer service context 16%
  • 23. Have ‘Save a Sale’ capability – translates to lack of single view of enterprise entities like customer, inventory, product for on-the-floor store associates 15% Insights from Happiest Minds Survey Report of US Retailers Have KPI/ Incentive structure that allows Omnichannel Attribution for initiatives that cross-over channels (like in store pickup, in-store ordering for home delivery etc.) 18%
  • 24. Have clearly identified IT security initiatives that are central to Omnichannel strategy 43% Insights from Happiest Minds Survey Report of US Retailers
  • 25. Key IT Investment Areas for Omnichannel Retailers © Happiest Minds Technologies, 2015 Insights from Happiest Minds Survey Report of US Retailers
  • 26. • Omnichannel fulfillment through click and collect enablement for a US retailer • eCommerce enablement for a large cash and carry retailer • Geo-fencing and i-beacon based communication for a global clothing retailer • Product recommendation system for a US apparel retailer • Enhanced store associate engagement using gamified BI for a US retailer • Personalized recommendation using big data analytics for a leading home improvement retailer • Integrated retail and cinema platform for a leading European chain • Consumer engagement application for a US toy retailer • 24/7 monitoring SOC services for a gaming enterprise in US • Penetration testing, Vulnerability management, Secure SDLC and PCIDSS preparedness for an online player Happiest Minds Retail Our Retail Industry Offerings : Focused around Digital Transformation Mandate Security and Infrastructure Transformation Retail Success Stories Domain !"#$%&'(# )'*"+,&'-*.&"# /-"012*""(3#4# (5&--('1(# %'*"+,&'-*.&"# 56+%&-('#!"+072%+###### 8#9*':(."7# ;6%&-*.&"# • Customer Experience in Store • Omnichannel experience: Integrated Promotions and Recommendations • Associate Enablement and Productivity • Convergence of e-Commerce, M-Commerce and Store Ordering • Omni-Channel Customer 360 • Omni-Channel Customer Feedback • Omnichannel Maturity Assessment, Strategy and Roadmap • Customer Segmentation • Campaign and Marketing Analytics • Personalized Recommendation • Big Data Ingestion and Data Science as Technology offering • PoS Security • BYoD and Mobility Security • IT in a box • Network, Web and App Security • Assessment – Security, Compliance • Analytics Security i.e. Securing your Analytics platform • Data Security (PCI 3.0)
  • 27. Key Takeaways ! Omnichannel has come of age; Perfect Storm has landed ! Leadership Commitment is crucial ! Stores remain nerve-center ! Big Data and Advanced Analytics – bedrock of Personalization Strategies ! Foundational Capabilities are a must – single view of customer, product, inventory, orders ! Security cannot be an afterthought
  • 28. How to Start? Do an Omnichannel Business Readiness and Architecture Assessment