The Co-op has been transforming its retail business using SAP’s Retail ECC suite on Hana software to improve stock visibility and forecasting.
It has migrated all its SAP systems to the SAP Rise cloud to move to S/4Hana on Rise. Co-op relies on fast-moving goods and quick turnaround times, adapting to weather and events like the Euros championship.
Ian Cox, Co-op’s director of technology for SAP, said that external factors like supply chain issues and high fuel prices influenced their decision to embed the ERP system into the business.
Co-op had many bespoke legacy systems, which were holding the company back. Reinvesting in SAP and embedding the software into the business was beneficial.
The co-op now runs SAP ECC on Hana, which includes a forecast and replenishment module. This module helps reduce waste by deciding how much each product needs replenishing on a store-by-store basis.
The transformation, focused on core trading, supply chain, and commercial elements, ended in late 2021 with minimal customisation needed.
The retailer is implementing a SAP S/4 Hana greenfield project to transform its finances. Cox emphasises the importance of executive sponsorship and involving the business in design sessions.
In April, Co-op completed a 12-month programme to move all its SAP systems into the SAP Rise cloud. The company is now looking to migrate from ECC to S/4Hana and has started using SAP’s Business Technology Platform to integrate its finance systems.
The finance transformation to S/4Hana is set to go live in October, with plans to deploy S/4Hana across its 2,400 UK stores next year.
Cox’s approach of limiting customisations and learning from others’ experiences provides a model for IT leaders facing the 2027 end-of-support deadline for ECC.
The implementation at Co-op demonstrates a practical approach to migrating to S/4Hana while avoiding extensive customisation.
