Flying Tiger Copenhagen

Retail & Fashion
Microsoft Dynamics AX

“A number of AlfaPeople consultants have worked with us on the project for a long period of time. They have been fully integrated with the internal IT team and we have come to rely on their professional ability to get the job done.”

Jon Granville, CIO IT at Zebra A/S

Business Needs

Zebra A/S is changing the name of its retail business to Flying Tiger Copenhagen in order to have a common brand recognition all over the world. The rapidly growing chain of stores has until now been called Tiger, Flying Tiger Copenhagen and TGR depending on the country and location – but in time all stores will be changing their name to Flying Tiger Copenhagen.

The stores present a broad selection of own-designed items at affordable prices, offering customers a great value proposition. The first store opened in 1995 in Copenhagen. Today, there are over 670 stores in 29 countries, spread over Europe, Asia and the US. In 2015 alone, Zebra opened 174 stores around the world. That’s more than 3 stores every week. The plan is to have more than 1500 stores in 2020. Flying Tiger Copenhagen has its head office in Copenhagen and globally has over 3.500 employees. In 2015, annual revenue grew 45 % to over 3.5 billion DKK.

The retail operations of Zebra A/S has expanded rapidly within a few years and the growth will continue in years to come. To be able to handle this growth, the organization needed a new system that could easily be expanded to suit the needs of the growing number of retail stores that are located all around the world. Microsoft Dynamics AX was chosen as the new ERP and POS system. It is a unified software solution that includes many special functionalities for retailers and is tailored for international companies.
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From February 2015, Zebra A/S started working on a global roll out of Microsoft Dynamics AX2012R3 core solution for 29 countries. The global roll out included systems covering back office (GL, AR/AP, Logistics, Product master management, Retail channel management) and front office (store server synchronization, Point-of-sale, Payment terminals, handheld devices and more).

Given that a global rollout has many complex aspects, AlfaPeople was chosen as a rollout partner covering planning, technical research, legal requirement research, legal entity preparation, training, hyper care support, and change management. The aim of the project was to build an end-to-end retail management solution that would enable Zebra to expand globally at the speed they desired. With over 670 stores and approximately 3 stores opening each week, they needed a global and comprehensive platform that could ensure business practices were standardized across all countries to improve business efficiency, information transparency and operational agility. They wanted to be able to look and act as one global company and therefore needed one system, on one platform, to run one set of core processes.

Another very important aspect of the project was to understand legal requirements for each country. Zebra A/S was already established in 24 countries at project start, but with different software solutions in each location. The challenge of establishing a single platform fitting all legal requirements is solved with Dynamics AX2012 R3, but even if the ERP and POS system is fully supported in a country, Zebra A/S still needed to understand how to ensure it is fully aligned across all countries – like ensuring one chart of accounts, one set of product information etc.

Solution

With the new solution that Zebra A/S got with Microsoft Dynamics AX, they have a fully integrated and dynamic end-to-end retail solution that provides their global partners with better tools and processes to grow their businesses, as well as providing a much higher degree of operational visibility across the entire business.

The original “core solution” was based on requirements found in ten primary markets and this became the template for all countries. This core solution approach will allow the project team to rollout to all partners at the speed desired. A lot of different activities are involved in the rollout process – like defining document structures, ensuring process alignment, completing legal entity configuration, managing rollout checklists, setting up local configurations, conducting ERP and POS (Point-of-Sales) training, and preparing for Go-live.

Benefits

Control and Consistency

Zebra has gained more control and consistency. For example, Zebra A/S used to operate with many different systems across the globe, which made it challenging to benchmark countries against each other and to understand all factors affecting business profitability. Today, they can easily see all aspects of the business and compare markets directly to each other, ensuring continued high data quality.

Ongoing growth

With standard processes for the whole organization, Zebra A/S has one clear approach and one core solution for entering a new market. They know how to be organized, what they need to prepare before entering a new country, what key activities they need to perform etc. Future investments in the core solution will no longer require separate investments in each country. These are all key benefits that will inevitably result in improved quality and enable the ongoing growth of the organization.

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