The Hudson's Bay Company predicts that it will save millions of dollars and achieve a quick ROI with its implementation of Oracle's E-Business suite.
The Hudson's Bay Company, Canada's largest department store retailer, believes that, after implementing Oracle's E-Business suite, it will save millions of dollars within two years. CFO resource company, Shack & Tulloch, was commissioned to conduct a return on investment analysis of the implementation.
The analysis revealed that the implementation of a single financial transaction and reporting platform should bring improved services and a 15% reduction in the cost of financial administration and processing throughout the organisation. Other operational efficiencies cited in the report were: a more than 80% reduction in end-to-end IT procurement processing, annual savings of $200,000 from streamlined expense reimbursement, and a reduction in employee reimbursement processing time from 21 days to three days.
One central platform
According to Dave Poirier, executive vice president and chief information officer of Hudson's Bay Company, "By getting our entire organization onto one centralized platform, we now can operate more efficiently, profit from improved market and business intelligence, and respond proactively to customer purchasing trends and service needs."
Hudson's Bay Company intends to integrate multiple customer databases into a single, centralised data source. Then, running off a single e-business platform, the company expects to be able to have a 360-degree view of its customers, products and operations. Operating its Bay and Zellers' chain stores from a unified Web-enabled infrastructure should make sourcing and manufacturing processes more efficient.
The company intends to implement a single customer database for loyalty and credit card information and to begin data mining to enhance its customer view. In this way it plans to grow revenues by increasing customer retention rates, raising customers' annual spend, and developing new customer relationships.