CIO Straight Talk - Issue 2 - 46

s a CIO, you would have run many
diverse transformation programs across
the organization. Which program
evidently stands out and why?
At the time of the initial SAP ERP
program, I was the Director of Strategy,
Supply Chain, IS, and Sustainability and was responsible
for driving both systems and process transformation
initiatives. SAP was the underpinning catalyst and
support platform for this transformation.
Since 2010, my portfolio has changed to that of marketing, e-tailing and sustainability and again I have found
that SAP is a sound system platform to support Pick n
Pay’s transformation initiatives for customer-centric
retailing and web-shopping.
The initial project to replace our core legacy systems
stands out for me for a number of reasons:
• We looked holistically at our whole systems landscape
and realized that packaged systems like SAP had
progressed significantly and were now viable as a core
integrated platform for our business. This was a major
mindset change from our previous home-grown
approach.

We then focused on ensuring that a number of identified
critical business improvements were delivered as part of
the program. These included:
•Recognizing that the buyers are a key constituency
within Pick n Pay – We had the Chief Buyer as part of
our project team and made sure that we delivered a
Buyers Portal that supported them in their negotiating
processes, giving immediate access to current and
historical information on sales, stock, deliveries, margin
and pricing.
• Supporting more automated replenishment processes –
Before this, the stores were primarily responsible for ordering.
With SAP we are able to create automated orders based on
sales forecasts which are far more reliable than the gut-feel of
the store manager.
• Granularity of sales, stock and margin by SKU and
store – We are now able to understand exactly where we
make and lose our margin at a very detailed level and can
therefore improve our decision making. Previously, we
operated at an aggregated level and could not measure
the actual margin we were making at point-of-sale of a
particular item in a particular store.

• We put in place systems for the future which give us
agility in pursuing new opportunities – for example, new
forecourt formats or expansion into new countries using
the same basic systems template.
The key insights and learning from this program are:
• The project confirmed our initial assessment that SAP
had a high degree of fit to our business requirements –
there were very few areas where the vanilla system did
not fit the bill.
• The business clearly sponsored and owned the program
from the CEO and executive downwards – this was not
an IT-driven project, which is a major reason for our
success.
• Although we were warned about the size of the
business change impact, in hindsight we should have
focused more on this aspect.

We know that the old Pick n Pay legacy systems
were hampering its business operations and were
not providing the edge it needed to stay ahead of
competitors. As IT Director, what were the critical
decisions you took to overcome this problem?
The most critical decision was to move to an integrated
package, since this gave us access to a robust, proven
and function-rich set of systems.

46

// CIO Straight Talk

With SAP we are able to create
automated orders based on
sales forecasts which are far more
reliable than the gut-feel of the
store manager.



CIO Straight Talk - Issue 2

Table of Contents for the Digital Edition of CIO Straight Talk - Issue 2

CIO Straight Talk - Issue 2
Contents
So What Do CIOs Want
Innovation at the Periphery
The CIO as Thought Leader
Career Move: From Managing Technology to Managing Change
Every CIO is in the Information Business
Analytics and Decision Making
Putting IT at the Center of the Customer Experience
Pick n Pay Focuses on Delivering Value to Customers
Bringing "Lean" to IT
Whither the Cloud in a Stormy IT Enviroment?
Management by Driving a Stake in the Ground
From Data Processing to Orchestrating Knowledge
Extreme Collaboration
Enterprise Mobility: Delivering the Connected Customer Experience
CIO Straight Talk - Issue 2 - CIO Straight Talk - Issue 2
CIO Straight Talk - Issue 2 - Cover2
CIO Straight Talk - Issue 2 - 3
CIO Straight Talk - Issue 2 - Contents
CIO Straight Talk - Issue 2 - 5
CIO Straight Talk - Issue 2 - So What Do CIOs Want
CIO Straight Talk - Issue 2 - 7
CIO Straight Talk - Issue 2 - 8
CIO Straight Talk - Issue 2 - 9
CIO Straight Talk - Issue 2 - 10
CIO Straight Talk - Issue 2 - 11
CIO Straight Talk - Issue 2 - 12
CIO Straight Talk - Issue 2 - 13
CIO Straight Talk - Issue 2 - 14
CIO Straight Talk - Issue 2 - 15
CIO Straight Talk - Issue 2 - 16
CIO Straight Talk - Issue 2 - 17
CIO Straight Talk - Issue 2 - Innovation at the Periphery
CIO Straight Talk - Issue 2 - 19
CIO Straight Talk - Issue 2 - 20
CIO Straight Talk - Issue 2 - 21
CIO Straight Talk - Issue 2 - The CIO as Thought Leader
CIO Straight Talk - Issue 2 - 23
CIO Straight Talk - Issue 2 - 24
CIO Straight Talk - Issue 2 - 25
CIO Straight Talk - Issue 2 - Career Move: From Managing Technology to Managing Change
CIO Straight Talk - Issue 2 - 27
CIO Straight Talk - Issue 2 - 28
CIO Straight Talk - Issue 2 - 29
CIO Straight Talk - Issue 2 - Every CIO is in the Information Business
CIO Straight Talk - Issue 2 - 31
CIO Straight Talk - Issue 2 - 32
CIO Straight Talk - Issue 2 - 33
CIO Straight Talk - Issue 2 - Analytics and Decision Making
CIO Straight Talk - Issue 2 - 35
CIO Straight Talk - Issue 2 - 36
CIO Straight Talk - Issue 2 - 37
CIO Straight Talk - Issue 2 - 38
CIO Straight Talk - Issue 2 - 39
CIO Straight Talk - Issue 2 - Putting IT at the Center of the Customer Experience
CIO Straight Talk - Issue 2 - 41
CIO Straight Talk - Issue 2 - 42
CIO Straight Talk - Issue 2 - Pick n Pay Focuses on Delivering Value to Customers
CIO Straight Talk - Issue 2 - 44
CIO Straight Talk - Issue 2 - 45
CIO Straight Talk - Issue 2 - 46
CIO Straight Talk - Issue 2 - Bringing "Lean" to IT
CIO Straight Talk - Issue 2 - 48
CIO Straight Talk - Issue 2 - 49
CIO Straight Talk - Issue 2 - 50
CIO Straight Talk - Issue 2 - Whither the Cloud in a Stormy IT Enviroment?
CIO Straight Talk - Issue 2 - 52
CIO Straight Talk - Issue 2 - 53
CIO Straight Talk - Issue 2 - 54
CIO Straight Talk - Issue 2 - 55
CIO Straight Talk - Issue 2 - Management by Driving a Stake in the Ground
CIO Straight Talk - Issue 2 - 57
CIO Straight Talk - Issue 2 - 58
CIO Straight Talk - Issue 2 - From Data Processing to Orchestrating Knowledge
CIO Straight Talk - Issue 2 - 60
CIO Straight Talk - Issue 2 - 61
CIO Straight Talk - Issue 2 - Extreme Collaboration
CIO Straight Talk - Issue 2 - 63
CIO Straight Talk - Issue 2 - 64
CIO Straight Talk - Issue 2 - 65
CIO Straight Talk - Issue 2 - Enterprise Mobility: Delivering the Connected Customer Experience
CIO Straight Talk - Issue 2 - 67
CIO Straight Talk - Issue 2 - 68
CIO Straight Talk - Issue 2 - 69
CIO Straight Talk - Issue 2 - 70
CIO Straight Talk - Issue 2 - 71
CIO Straight Talk - Issue 2 - 72
CIO Straight Talk - Issue 2 - 73
CIO Straight Talk - Issue 2 - 74
CIO Straight Talk - Issue 2 - Cover3
CIO Straight Talk - Issue 2 - Cover4
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