M&S moves on to back-office transformation

SAP and IBM deal to focus on improving accuracy of business data

M&S says better quality data will improve customer service

Marks & Spencer (M&S) is rolling out SAP retail applications as part of its aim to improve business data and introduce initiatives focused on efficiency and cost containment.

The new software package will support the retailer's efforts to improve information management and stock visibility, which are expected to translate into greater control over net margin and better customer service.

M&S claims that better data quality will also help monitor and report its "environmentally friendly activities".

Under the same deal, IBM will provide programme and change management, as well as business process consulting, services.

In October, M&S said it intended to spend about £400m of its £700m budget on supply chain and IT systems in 2009/10. That month, director of IT & logistics Darrell Stein confirmed that this would be the next stage of the retailer's IT transformation.

"It was all about focusing on projects that drive customer value first and doing the rest later. We are now moving into the middle back-office stage, looking at supply chain platforms and other systems such as human resources," Stein told Computing at the time.