Starting as a small gift shop in 1964, MUDO has grown into a major brand with 125 stores across Turkey and a strong online presence. The leading Turkish retailer is famous for its lines of clothes, furniture, accessories and home decoration, and it offers its products under 5 different brands via 3 different sales channels (store, online, mobile) and in 5 different retail store formats. Currently, Mudo’s stores occupy 100.000+ sqm selling area in 26 different cities, employing 2000+ people.
MUDO’s growing number of stores and online presence resulted in a tremendous amount and variety of data being created every day. With such a large operation, MUDO needed better insight into transactional data across its business and improve their currently slow system performance. Furthermore, MUDO was experiencing Extraction, Transformation and Loading (ETL) issues for certain business areas due to large amounts of retail data, e.g. Inventory data alone consisted of 3 billion records which was impossible to be analyzed with their legacy system.MUDO needed to consolidate and reduce reports, improve performance with faster response rates and provide a user-friendly interface. They also needed to increase system reliability and availability, speed fulfillment of user requests with faster development, enable self-service reporting, provide detailed transactional reports, and perform new calculations which could not be done with their previous legacy system
MUDO looked to SAP for a simpler, leaner reporting system that could be implemented fast, with a speedy ROI and the flexibility of in-memory computing for Big Data and analytics. Mudo migrated to SAP Business Warehouse (BW) on HANA to better manage the data amount from different non-SAP source systems e.g. non-SAP ERP, Warehouse Management System, Service Desk, Excel, DBs. Their source systems now feed into SAP BW on Hana; SAP Business Intelligence helps to analyze the data and run the individual reports. Mudo didn't want to migrate but wanted a new BW on Hana implementation: They looked at all current reports companywide, analyzed report statistics in Microstrategy and BW which ones were utilized most, consulted mgmt to id most important reports and finally consolidated+cut the nr. of reports by 50%. Replacing their legacy system allowed them to eliminate data aggregates, accelerate data loads+development, and reduce issue diagnosis+resolution.
Using SAP BW powered by SAP HANA, MUDO was able to drastically reduce the number of reports across sales, orders, inventory, procurement and finance. Now it can run ad hoc reports on up to six years of historical data in seconds, obtaining deeper insight into customer demand. Faster reporting overall means that MUDO employees can get more done in the same amount of time and focus on analyzing rather than extracting data. They can now run reports themselves when needed, extract the data into BW on Hana and analyze 3 billion records within 30 seconds and slide & dice the data in any way possible. The results in summary:
Significant Performance Improvement in Reporting (Faster user response time, increase in productivity, ability to perform much faster ad-hoc reporting, to report on very detailed transactional data and calculate new figures which can’t be calculated with legacy systems)Highly Compressed Data (more information in less system space)Simple and Lean Design (flexibility, no need for aggregated data, faster data load and development, easier to diagnose and fix issues, easy to implement post go-Live changes)Increased System Reliability & Availability
Reached ROI in 3 months after go-liveOverall 50% fewer reports96% less time spent on reporting96% Decrease in Time Spent in Reporting50% Reduction in development time3.6x Faster Reporting on inventory comparison (from 120 sec to 33 sec)6.2x Faster Data Load (from 478 to 77 minutes)8x Reduction in DB (from 2TB to 250GB)225x Faster Reporting on inventory count per stock keeping unit (from 180 minutes to 48 seconds)Expecting to save $1M+ in the first year
MUDO was using non-SAP source systems; ORCL and SAP BW were in place as Data Warehouses to store data which was fed into Microstrategy and SAP Business Objects as a BI Platform. MUDO migrated to SAP BW on HANA as a green field implementation, completely managed in-house w/out consulting support. Data from source systems now feed into BW on Hana; BI then helps to analyze the data that is housed in BW to run the individual reports.
No main issues during the project phase. Business users were involved early in the project and top mgmt. supported from the beginning to ensure change management. Mudo worked with a development, test and productive system. Data collected from the Inventory Mgmt, Procurement and Finance business areas couldn't be analyzed using their legacy system–for a retailer fatal not to be able to fully drive critical business decisions around e.g. market segmentation, personalization, and merchandising. Users were positively surprised by the performance capabilities of SAP BW on HANA, now able to make any analysis they want quickly which led to significant increase productivity, better and faster business decisions. Apart from creating TOP 10 reports across Sales, Orders, Inventory, Procurement and Finance, MUDO developed a mobile app - running on SAP Hana – for near real-time sales figures+conversion rate insight. It also provides sales comparison between today+the same day of the previous year, conversion rates per store format and location. Hana helps to calculate group sales instantly and displays data from ERP and Visitor Counter devices in all stores. Data is extracted to HANA w/ a process chain that runs every 5 min. This mechanism guarantees Mudo data w/ a max. 5 min. delay at DW level and top mgmt w/ sales data based on calculations of more than 65 mil. rows of data. .
Top mgmt was so impressed by the reporting performance+capabilities they asked to move data from add. business areas to BW on Hana+for all users to leverage for indiv. reports e.g. weather placed w/ sales data for predictions which stock items sell under certain weather conditions across diff. locations. Further plans: Reporting for e-commerce, social media integr., customer analytics, budgeting+planning, sales forecasts, executive dashboards, staff+customers, real-time mobile reporting
