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Hearing the IT Ring

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DQI Bureau
New Update

Over 1,500 retail outlets, spread across 200 cities. Multi-channel retailing

and millions of customers a month. If all these elements are to operate in

isolation, then perhaps CIO can stand up and say All is well.

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And this is the mission that the company set flag for back in the year 2006.

Three years and a lot of impediments later, IT finally seems to have hit the

right chord for The MobileStore. Says Vikas Prabhu, CIO and business head,

mobile services, MobileStore, "As of now, our IT infrastructure is mainly on AS

400."

The ERP they are using right now is a mix of JD Edwards and SAP and it is

connected over the Internet. The ERP implementation, though it started back in

2006, has gone through various advancements and has finally now reached a level,

wherein all the stores are connected online.

Achieving RoI



According to Prabhu, this connectivity for them has resulted in some very

tangible benefits. For one, there has been a definitive increase in

productivity. Also, Prabhu thinks that they have now got a certain edge over

their competitors mostly because their turnover time has reduced substantially.

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There has been a rise in sales through

the online shopping cart after we relaunched it
Vikas Prabhu, CIO and business head, mobile services,

MobileStore

But the main benefit of this connectivity and IT implementation lies

elsewhere for Prabhu. "There is now only one version of truth for everybody. So

there is no manipulation and no imaginative figures," he declares.

Roadblocks



The biggest challenge for any retail CIO according to Prabhu is the

inventory and supply chain management and that is because you have to constantly

monitor the shrinkage you have in terms of loss of goods, etc. The other thing

that any retail CIO has to consider is that the margins in retail are as it is

very low and you have to constantly work around that.

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And Prabhu says that this makes the job of the CIO harder because he has to

convince the business partners of the value proposition. "The basic difference

between manufacturing and retail is that in retail you are dealing directly with

the customer. And a retail CEO understands this difference," notes Prabhu.

Thanks to this understanding, Prabhu has never felt the tug of the slowdown

or the bug of budget cuts.

Having finally reached a desired level of implementation in the ERP domain,

Prabhu is now doing something on the business intelligence (BI) front. But he

thinks that a major challenge there is that India as a market has not understood

BI for what it actually is. "Simply doing data warehousing or generating some

reports is not business intelligence," he adds.

The other thing that Prabhu is looking at very seriously is multi-channel

retailing, which includes integrating all the eight points of contact within

their ecosystem. He is also planning to go for a disaster recovery and business

continuity set-up soon.

Mehak Chawla



mehakc@cybermedia.co.in

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