IT Systems Transformation:
Operational Excellence
in Our Business Management Platforms

X5 is implementing SAP as its Company-wide
enterprise resource planning system.  This is
a multi-year project to transform our IT platform,
support scalable growth and drive efficiency across
our organisation from store operations to strategic
planning.

SAP is being implemented in stages. The first
phase is the introduction of SAP for Retail, which
will cover all operations related to the management
of stores, supplier relationships and logistics.  After
a successful pilot launch in 2009, X5 began rolling
out SAP for Retail in all regions of operations in early
2010 and we plan to finalise this by end of 2010.

Two other stages involve the introduction of SAP
HCM (“SAP for HR”) and SAP for Enterprise
Management (“SAP for EM”).  SAP for HR, which
has modules for managing human resources and
payroll functions, is planned for launch in 2010. 
SAP for EM will cover management functions such
as business and financial analysis, planning and
reporting, real estate management and non-
commercial purchasing.  X5 expects to roll this
out in 2011 following planning and testing phases
and a pilot launch this year.  In parallel, X5 is
standardising and upgrading the IT systems in its
store formats across the Company.

• Unified IT platform at supermarkets
  and hypermarkets, different platform at
  discounters

• Unified IT platform across formats, scalable
  and fully compatible with SAP

• Single WMS, complemented by voice
  picking, fully compatible with SAP (Exceed)
• Transportation management system
  (Oracle), fully compatible with SAP

• 1C for finance and HR, a number of
  database management systems, Excel

• SAP for Retail, SAP for HR, SAP for EM