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    ERP Implementation at Pantaloons - Group 4

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    AnshulBhatia
    Pantaloons implemented SAP across its retail operations to integrate processes and enable enterprise-wide transparency. They took a process-oriented implementation approach in 3 phases: blueprinting processes, developing the SAP platform, and migrating stores. Change management was critical and focused on preparing stakeholders, managing expectations, and ensuring readiness. The new system provided financial and strategic benefits like business insights, lower costs, better data quality, and easier regulatory compliance.

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    ERP Implementation at Pantaloons - Group 4

    Uploaded by

    AnshulBhatia
    1K views38 pages
    Pantaloons implemented SAP across its retail operations to integrate processes and enable enterprise-wide transparency. They took a process-oriented implementation approach in 3 phases: blueprinting processes, developing the SAP platform, and migrating stores. Change management was critical and focused on preparing stakeholders, managing expectations, and ensuring readiness. The new system provided financial and strategic benefits like business insights, lower costs, better data quality, and easier regulatory compliance.

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    ERP Implementation at Pantaloons _ Group 4

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    Pantaloons implemented SAP across its retail operations to integrate processes and enable enterprise-wide transparency. They took a process-oriented implementation approach in 3 phases: blueprinting processes, developing the SAP platform, and migrating stores. Change management was critical and focused on preparing stakeholders, managing expectations, and ensuring readiness. The new system provided financial and strategic benefits like business insights, lower costs, better data quality, and easier regulatory compliance.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    1K views38 pages

    ERP Implementation at Pantaloons - Group 4

    Uploaded by

    AnshulBhatia
    Pantaloons implemented SAP across its retail operations to integrate processes and enable enterprise-wide transparency. They took a process-oriented implementation approach in 3 phases: blueprinting processes, developing the SAP platform, and migrating stores. Change management was critical and focused on preparing stakeholders, managing expectations, and ensuring readiness. The new system provided financial and strategic benefits like business insights, lower costs, better data quality, and easier regulatory compliance.

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    You are on page 1of 38
    At a glance
    Powered by AI
    The key takeaways are that Pantaloons implemented SAP to have an enterprise-wide system to support its growing retail operations. SAP was selected for its scalability, integration capabilities, data integrity and low total cost of ownership. Pantaloons realized financial, operational and organizational benefits like improved reporting, streamlined processes and compliance after implementing SAP.

    The expectations from the ERP system at Pantaloons were to support product development, sourcing and procurement, manage the supply chain, sell goods across various channels and capture customer reactions and perform data analysis.

    SAP was selected as the ERP system for Pantaloons because of its scalability, ease of integration, ability to provide complete data integrity and real-time updates, expert support during migration and low total cost of ownership.

    ERP Implementation and Change Management

    SAP implementation at Pantaloons

    Presented by Group 4
    Vineet Taneja (240)
    Vishal Verma (255)
    Deep Agarwal (402)
    Nishant Sharda (443)
    Rishikesh Jathar (451)
    Laura Grangaud
    AGENDA

    • Introduction

    • Process-oriented implementation methodology

    • Change Management

    • Benefits

    • Areas of improvement and Risk mitigation

    • Conclusion
    Introduction
    The context

    • Pantaloons was expanding its retail stores across all metros

    • The need of the time was- a reliable enterprise wide application

    • They were looking for a solution to integrate businesses and processes

    • There was also a need of a robust transaction management system

    • After different evaluations management decided to go for SAP


    Pantaloons- At a glance

    • Pantaloons Retail is the flagship enterprise of the Future


    • Group, with a presence across multiple lines of business.
    • Headquartered in Mumbai (Bombay),
    • Operates through four million square feet of retail space,
    • Over 450 stores across 40 cities in India and employs over 14,000 people.
    • It launched Big Bazaar, a hypermarket chain in 2001.
    • This was followed by Food Bazaar, a food and grocery chain
    • Subsidiary companies include, Home Solutions Retail India Ltd, Pantaloon
    Industries Ltd, Galaxy Entertainment and Indus League Clothing
    ERP system in Pantaloons
    Expectations from the ERP system
    • Support product development
     Ideation,
     Trend analysis,

     Collaboration with partners in the supply chain

     Support sourcing and procurement


     Optimizing cost, quality and speed variables

    • Managing supply chain


     Handling the logistics of moving finished goods from the source into stores

    • Selling goods across a variety of channels to customers


     Marketing
     Brand management

    • Managing mark-downs and capturing customer reactions


    • Data Analysis
    Why SAP Was Selected?

    • Software’s scalability and ease of integration


    • A “perfect fit” for an enterprise-wide implementation
    • Complete data integrity and real-time updates
    • Expert support during migration effort
    • Low Total Cost of Ownership
    • Significantly reduced infrastructure
    • Expected timely completion of the project
    Process-Oriented Implementation Methodology
    Planning for ERP Implementation

    Addressed Primarily
    by Organizational
    Change Management

    People
    Addressed Primarily Addressed
    by Business Primarily
    Process Redesign Process Technology by Package
    Type Type Type

    Type
    Type

    Type

    People and process issues are sometimes overlooked in planning


    for this type of project. They need to be addressed for the project to
    be a success.
    SAP implementation Plan
    Aim : To deploy a robust transaction
    management system and an enterprise-
    wide platform to run its operations.

    Solution : SAP retail solution

    Implemented by : SAP team with the help of Novasoft,


    Singapore

    Number of users : Around 1,200


    Implementation Phases
    • Outsourced to third party – Novasoft

    • Management also involved

    • Project divided into three phases


    ERP Implementation- 3 Phases
    1st Phase
    • Blueprinting of existing processes of Pantaloon and mapping them to the
    desired state
    • Worked on current processes within the structure of the organization,
    analyzed and drafted them
    • Each and every one of processes had to be evaluated

    Spo Steeri ng
    Projec Functional
    End
    nsor t team entities
    • The project team consists of following experts User
    team
    Consultant team (functions, technical), Company, Global team ,Partners
    (SAP),Vendors

    Discipline of Execution

    Speed Quality Sense of Urgency


    ERP Implementation- 3 Phases Contd.
    2nd Phase: Novasoft developed SAP platform
    • SAP platform was developed after evaluation of Pantaloon’s needs and
    Setups
    expertise in retail solutions
    Walk UAT UAT Trai
    & Tes Envir
    Config thro Read onme nin
    uratio ting ugh iness g
    nt to be ported
    3rd Phase:nStores to switch to new system and data
    • Last phase was for stores to switch over
    • Current data to be migrated to the new SAP application

    Data
    Gap Mi
    Ver Ident
    Migr
    ificat gra
    ation ify ion te
    Change Management
    Change Management for ERP Implementation
    • Hard facts which were considered:
     42% Leadership
     27% Organizational & Cultural Issues
     23% People Issues
     4% Technology Issues
     4% Other
     Organizational issues left unchecked often lead to project
    failure

    “Change management in general is the organized, systematic application of knowledge,


    tools, and resources of change that provide organizations with a key process to achieve
    their strategy”
    Objectives of Change Management

    • Provide awareness among all the stakeholders


    • Ensure understanding across the organization
    • Facilitate acceptance by the employees and partners

    • Care, listen, and respond to stakeholders’ concerns


    • Manage people’s expectations
    • Ensure readiness
    Process Integration

    Project Management Change Management


    Project Initiation
    Preparing for Change
    Project Planning
    Managing Change-Planning
    Project Executing
    Managing Change-Execute

    Project Controlling
    Transition

    Project Closing
    Monitoring Change
    Greatest Obstacles

    • Migrating unorganized data to an organized format


    • No immediate benefits perceived throughout the organization
    • Resistance from employees and managers
    • Inadequate senior management & sponsorship
    • Cultural barriers during the transition

    • Lack of change management expertise with the company


    Pantaloons : Change Management Standards

    Prepare with the project team


    • Assess change/culture
    • Develop/educate team
    Manage the strategy
    • Develop and manage the plan
    • Track/report readiness
    • Develop training strategy
    Reinforce/Support
    • Celebrate success
    • Analyze feedback and prepare to manage resistance
    CM Team at Pantaloons
    •Manage the resources
    Team Lead •Manages the CM project plan
    •Receives status from the Readiness Lead
    •Reports status to the Project Manager and
    Project Director

    Project Lead

    Team member

    Communications
    Coordinator
    CM Team at Pantaloons

    Team Lead
    •Works with the coaches to compile
    checklist activities, communications,
    workshops etc.

    Project Lead •Receives status of organizations from the


    coaches

    •Reports status to the Pantaloons CM Team


    Leader
    Team member

    Communications
    Coordinator
    CM Team at Pantaloons

    Team Lead

    •Communicate activities to the Readiness


    Project Lead Coordinator

    •Track organizations’ progress

    •Report status to Change Management Lead


    Team member
    •Help facilitate workshops & focus groups

    Communications
    Coordinator
    CM Team at Pantaloons

    Team Lead

    Project Lead

    Team member

    •Develops communication plan


    •Creates branding/logo
    Communications
    Coordinator
    •Tracks communications sent
    •Develops PPT presentations
    Readiness at Pantaloons

    • Preparing
    • Tracking
    • Reporting

    • Communication

    Senior Executives : Why the system is necessary ?

    Managers/ Supervisors : What is in it for me ?


    Training at Pantaloons

    • Develop Training plan, Training strategy, Training Design


    and documents

    • Training plan Strategy

    • Identify different audiences who require training


    • Conduct training needs assessment and skill gap analysis
    • Document requirements for the training team
    - Training development schedule
    Methodology for Change implementation
    A Successful Organizational Change

    1. Dedicate resources to Organizational Change


    Management

    2. Secure visible executive sponsorship early in the


    project

    3. Repeat key messages early and often

    4. Involve employees in the change process

    5. Create a transition strategy with achievable timeframes


    Integration was the Key
    Pantaloons : Benefits of ERP
    Financial and Strategic Benefits

    • Greater business insights through more accurate and timely financial

    information

    • Lower costs via convergence of financial accounting and controlling

    • Enhanced data quality

    • Easier compliance with regulatory requirements via the SAP parallel

    accounting feature
    Operational Benefits

    • Increased business transparency via drilldown reporting capabilities

    • Real-time, continuous reconciliation of cost elements and expense

    accounts,

    • Ability to close books 15% to 20% faster

    • 5% to 10% reduction in accounts receivables


    Organizational Benefits

    • Uniform Organization Structure


    • Unified single platform & Information Architecture
    • Integrated work environment – Provided an enterprise wide view of the
    workflow
    • Improved management reporting & decision making
    • Allowed integration with systems of associates and business partners
    • Helped in routine decision making
    • Allowed streamlining of business processes
    Conclusion
    Pantaloons : Areas of Improvement for ERP

    • Expensive to procure

    • High switching costs


    • Low flexibility

    • Limited scope for customization


    • Security concerns

    • Requires significant employee training


    • Compatibility issues with other legacy systems

    • Higher Complexity
    Risk Mitigation at Pantaloons

    • Phased instead "big bang" approach to migration - No fitment Issues

    • Sufficient Training 
    • Thorough Testing - Unit and integration testing

    • Providing Plenty of IT Support - More support center call volume and


    staff accordingly during go-live. Making sure that there are clearly
    defined escalation procedures in place for ERP issues that support staff
    isn't able to handle
    • Developing a Contingency Plan 
    Conclusion
    • At Pantaloons ERP system made management of business a lot easier by
    utilizing the computing power offered by the modern day Information
    Systems (IS) in an integrated and consistent manner.

    • The ERP Information Systems facilitates faster and better management


    decisions  in Pantaloons by providing crucial information in a timely
    manner.

    • It also eliminates errors caused by multiple input of the same data required
    in disparate legacy systems.  

    • ERP Systems have been found to deliver high ROI despite their high
    initial and maintenance costs.
    THANK YOU

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