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Industry Analysis - Retail

Wikinomics author and consultant Don Tapscott believes that transparency is power and that the benefits of collaboration outweigh its drawbacks, Jarina D'Auria shares his learnings.

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CIO 100 COMPANIES IN Retail

12. Tesco

Last year saw Tesco consolidate its dominance as the world's third largest grocery retailer, both domestically and overseas in the US, Europe and Asia. Despite recent trading updates that indicate challenging economic times are having a direct impact on consumer incomes and slowing growth in its booming non-food business, Tesco has largely bucked the downward trend in UK-based retailers' profits.

15. ASDA

Recent reports say that Asda plans to leverage the global scale of its parent company Walmart following a series of meetings with fast moving consumer goods manufacturers at the Walmart US headquarters. The retailer’s IT initiatives for the coming year include a continued expansion of its dot.com presence. On the supply side it is currently undergoing a multi-channel SAP Implementation Transport Solution.

22. J Sainsbury

One of its particular success stories has been online sales, which have grown at around 40 per cent. Given the management upheaval in previous years, it’s perhaps not surprising that new IT investment has not necessarily emerged as a top priority.

24. Co-operative Group

The Co-operative Group bought rival supermarket chain Somerfield this year, merging IT systems is likely to continue to be an important issue for Gerry Pennell CIO, Co-operative Group and Co-operative Financial Services, and his team.

28. John Lewis Partnership

The John Lewis Partnership had sales last year of £6.8 billion 6.3 per cent up on previous year. It consists of two trading divisions, John Lewis department stores, and the Waitrose supermarket chain and also the online operation Greenbee. The businesses are underpinned by a common technical infrastructure, including shared payroll and accounting systems.

30. Wm Morrison Supermarkets

Earlier this year Bradford-based supermarket group Morrisons announced - very much against recent trends - a seven per cent rise in like-for-like sales for the first quarter, a performance seen as an important fight back by this, the UK's fourth biggest retail supermarket chain.

38. Alliance Boots

Since Alliance Boots was created from the £7 billion merger of Alliance Unichem and Boots two years ago and subsequently acquired again by private equity investors last April, the UK health and beauty retail division of the enlarged company has delivered solid results in spite of tough trading conditions and the costs of completing systems integration and rationalisation.

40. Kingfisher

Retailer Kingfisher has undergone a major IT shift. With the formation of Kingfisher IT Services (KITS) the firm has consolidated its UK data centres into one located at the former data centre for B&Q in Hampshire which is now undergoing a major expansion.

45. Compass Group

Everyday millions of people around the world get a coffee, meal or clean office as a result of the Compass Group's food and support services.

47. WH Smith

WH Smith is a UK retailing group with high street, travel and online stores that form the bulk of the bookseller, stationer and newsagent’s sales of £961 million in 2007. But this saw group revenues down 3 per cent year-on-year in the face of uncertain economic times and less disposable consumer income.

55. McDonald’s Restaurants

McDonalds biggest customer facing technology move of the last year was the roll out of free wi fi access in its 1,200 UK stores which it announced in October 2007.

62. Home Retail Group

The Home Retail Group’s operating divisions comprise Argos, a multi-channel retailer of general merchandise, and Homebase, the UK’s second largest home improvement retailer. The company came into existence in autumn 2006 after de-merging from Great Universal Stores, which was wound up after being in business since 1900.

63. Marks & Spencer Group

From faded glory jaded store retail basket case to rebound success story, Marks & Spencer (M&S) is the retail brand of the past 12 months reporting an operating profit up 22 per cent of £1bn. The firm is relaunched its web site in July 2008 with new interactive features and more products.

67. SPAR UK

SPAR is the UK convenience market leader with over 2,600 stores. It’s 10,000 plus screens includes those used by stores, regional offices, central office, depots and trucks. Though it hasn’t made major infrastructure changes in the last 12 months it is in the middle of major upgrade of its EPOS system, which will be based on a new IP network.

69. Somerfield

Mike Bell, told CIO that the strategy has been a continuation of what the retailer had set up last year through its outsourcing deal with Tata Consulting Services and “bedding down and institutionalising the deal.” “A mix of on and off shoring has enhanced the consistency and availability of systems. We’ve worked massively on user communication. We’ve learned to take advantage of the time difference between us and our outsourcing partner which is based in Calcutta and Bangalore.”

73. Woolworths Group

Next year (2009) see Woolworths mark its centenary. Although it operates 801 stores in the UK Woolworths is also a player in publishing and music distribution.

98. Comet Group

Electrical retailer Comet has had a good year, with excellent online Christmas sales showing its competitors the way to tackle online sales.

100. Arcadia Group

Arcadia Group has invested heavily in IT to take its fair share in the growing online purchasing market, Group IT Director Andrew Clarke said that 'Online sales and using our websites as an effective communication tool to our customers are now pivotal parts of the brands' strategies.'

View all Retail Companies»
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