September 20th, 2017

RAMESH CIDAMBI

Chief Operating Officer

Dubai Duty Free

ramesh.cidambi@ddf.ae

DUBAI DUTY FREEUpgrading to Oracle Retail V16

▪ Travel Retail

▪ Retail at Dubai Duty Free

▪ Oracle and Version 16

AGENDA

Travel Retailing by Region - 2016

723

5,74210,676

18,831

27,593

63,564

-5.00%

-1.20%

-5.30%

-0.10%

9.10%

2.50%

-8.00%

-6.00%

-4.00%

-2.00%

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Africa Middle East Americas Europe Asia Pacific WORLD Total

Travel Retailing by Region - 2016

Dufry, SWITZERLAND10.3%

Lotte Group, SOUTH KOREA

6.9%

DFS Group, USA6.7%

Gebr. Heinemann, GERMANY

6.4%

Lagardère Travel Retail, FRANCE

(Confidential)

Shilla Duty Free, SOUTH KOREA

4.2%

Dubai Duty Free, UAE3.0%

Sunrise, CHINA2.9%

Ever Rich, TAIWAN2.8%

King Power International, THAILAND

2.4%

Other Retailers44.1%

Global Sales Ranking

in US$

Source: Generation Research

Travel Retailers in 2015

Sales 1983 - 2016

247

1,100

1,847

1,9101,888

1,828

4 4 4 4 4 5 5 4 5 6 6 7 8 9 10 11 12 14 16

18 22

25 29

34 37

41

47 51

58

66

73 78

84

-

10

20

30

40

50

60

70

80

90

0

500

1,000

1,500

2,000

2,500

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33

PAX IN MILLIONSSALES IN USD MILLIONS DDF Annual Sales & Passenger Statistics

▪ 15.31% average growth over 33 years.

19832000 2010 2016

01, Sep

2001

01, Sep

2014

9, Jul

2017

01, Jun

2008

Oracle EBS

Oracle Retail

Oracle

Commerce

Oracle V16

Oracle and Dubai Duty Free

Pre-Oracle

Dubai Duty Free – Distribution Center

▪ 6,000 sq mts of office and 27,000 sq mts of warehouse▪ Supports sales split between 4 Concourses and Terminals

DC – Pallet Storage

▪ First retailer with automated storage and retrieval system in region

▪ Storage for 8160 pallets in Phase I and 12,464 in Phase II for total of 20,624

▪ 85% occupancy in pallet warehouse

▪ 42% of all picks in Phase I and 15% in Phase II

DC – Shuttle System Picking

▪ 31% of picks

(2,139 daily)

DDF Application Architecture

INTEGRATION BUS

MHCS

(Material Handling and

Control System)

EBS(Oracle E-Business Suite R12)

•Financials

•HR and Payroll

•Purchasing (for non-traded items)

ORWMS

(Oracle Retail

Warehouse Mgmt.

System)

POS

RMS(Oracle Retail

Merchandising System)

SIM

(Oracle store

Inventory Mgmt.)

RPM

(Oracle Retail Price

Mgmt.)

RDW

(Oracle Retail Data

warehouse)

ReSA

(Oracle Retail Sales

Audit)

ReIM(Oracle Retail Invoice

Matching)

Oracle Data Integrator (ODI)

OFM

(Order Fulfillment

Module)

Oracle Commerce

10.2

Moving from Oracle Retail V12

▪ Oracle Support to the DDF technology stack

▪ Improvements from V13 to V15, and DDF experience in V12.0.9

▪ Need for better user interface and analytics

▪ Security and access across modules

▪ Improved performance and response to Service Requests

V16 By V15

▪ V15 Discovery Workshop held in May 2016

▪ TCS selected in August 2016

▪ Mobilization by TCS in September and launch in October

▪ DDF attends ORIF Dubai in October 2016

▪ Final decision to switch to V16 in Dec 2016

▪ Go-Live with V16 in July 2017

Network Switch

RIB

MOM

DatabaseRI Database

RMS ,RPM and

SIM Application

Server

OBIEE

Application

Server

WMS ,ReSA , Alloc, ReIM

Application Server

Database Tier

Application Tier

Client Tier

WMS

Databas

e

SIM

Database

Integration Tier External

Systems

Network

Switch

RIB & RCU

Database

Oracle Data

Integrator

v

OEM

Database

Same LPAR

v

4 Tier Architecture

Server Infrastructure

• IBM Power 850 servers -

Production, Test and DR

• Separate processor pools for

Databases and Applications

• 50+ TB of IBM A9000 flash

storage

• Data replication enabled using

storage techniques

Oracle Product Version Retail Modules

Oracle

Database 12c12.1.0.2

ORMOM

ORWMS

ORSIM

ORIB

ORI

RCU

Weblogic

Server 12.2.1

ORMOM

ORWMS

ORIB

ORSIM

ORI

Weblogic

Server10.3.6 OIM

Oracle Product Version Retail Modules

Oracle Identity

Manager11.1.1.9

ORMOM

ORSIM

OBIEE

Oracle Data

Integrator12.2.1 ORI

Oracle Forms 12.2.1 ORWMS

Oracle

Business

Intelligence

12.2.1

ORI and

Operational

Report for all the

modules

V16 - Technology Components

No Retail Product Version

1 Oracle Retail Merchandising System (ORMS) 16.0.0.0

2 Oracle Retail Sales Audit (OReSA) 16.0.0.0

3 Oracle Retail Price Management (ORPM) 16.0.0.0

4 Oracle Retail Invoice Matching (OReIM) 16.0.0.0

5 Oracle Retail Allocation (ORALLOC) 16.0.0.0

6 Oracle Retail Store Inventory Management (ORSIM) 16.0.0.0

7 Oracle Retail Warehouse Management System (ORWMS) 16.0.0.0

8 Oracle Retail Integration Bus (ORIB) 16.0.0.0

9 Oracle Retail Insights (ORI) 16.0.0.0

V16 Applications

Integration with ▪ Oracle E-Business Suite

▪ Material Handling and Control System

▪ Custom Point-of-Sale

▪ Custom Order Fulfilment Module (to fulfil orders from DDF Online shop)

+

SIM Server

RIB Server

WMS Server

/SIM-APP1

External Systems

POS Flow

MOM Flow

WMSNAS Flow

MOM ServerODI

POS Flow

EBS Flow

EBS Flow

RI Flow

RI Flow

RI Server

NAS Flow

POS SIM Web service flow

POS MOM RTLOG Flow

Intra RIB

Inter RIB

ODI Integration

Flat File

Integration Tier Architecture

✓ Web Service integration POS and ORSIM ✓ Oracle Data Integrator replacing BPEL ✓ RIB for MHCS & ORWMS integration

ORMS - Retail Merchandising System ▪ Data induction option for foundation data including Item, Purchase Order, and Cost

Change etc.

▪ Improved UI capabilities using ADF Technology

▪ Persona-based dashboards to view pending transactions

▪ Near real-time inventory using webservice update from POS with no dependency

on batch update

▪ Enhanced security and user maintenance through database and not LDAP

▪ Granularity of receiving at container level instead of only at shipment level

ORSIM - Retail Store Inventory Management

V16 Benefits

V16 Benefits

ORPM - Retail Price Management ▪ Newly introduced promotions- Multi Buy, Time-based, Transaction-based

▪ Faster batch performance using chunk processing

▪ Feature to upload items as csv files for price changes and promotions

OReIM - Retail Invoice Matching▪ Invoice Induction - Supplier invoices can be directly loaded into the system

▪ Suggested match option for best possible matching of invoices vs shipments

▪ Tighter integration with Oracle EBS with support for Supplier Site ID

V16 Benefits

ORWMS - Retail Warehouse Management System

▪ Wave-planning can be scheduled based on criteria like Delivery Date, Location etc.

▪ Faster distribution process for improved picking operation

▪ Option to track vendor non-conformance

OReSA - Retail Sales Audit ▪ Decoupling of user accounts from RMS resulting in better performance

▪ Uncluttered screens for easier navigation and faster error correction

▪ Dashboards, reports to view pending Store Days, errors etc.

▪ Provides three analytic methods – AS WAS , AS IS and Point-in-Time

▪ Option to download in various formats (PDF, Excel, HTML etc.)

▪ Reports can be consolidated under a single ‘Dashboard’ and can be achieved via

multiple views like Bar Charts, Pie Charts, Graphs etc..

▪ Supports predominantly Retail calendar and customization needed to make it fully

work under Gregorian calendar

▪ Template for user roles/custom roles leverage the OBIEE security framework to

manage dashboard and report access

ORI - Retail Insights

V16 Benefits

Success Factors - Project Team

Internal

▪ 70 key business users from different departments

▪ Includes 35 users for UAT

▪ Includes 60 Trainers for ‘Train the Trainers’

▪ 20 IT users including 10 Business Analysts

External

▪ TCS (Implementation partner)- 40 people

▪ Includes 6 module leads, one DBA lead and one

integration lead

▪ Key Information Technology Services (for POS)

▪ Advanced Logistics Systems (for MHCS integration)

▪ Oracle and Customer Management Office (CMO)

Success Factors – Project Management

18 Dec 31 Jan 1 Feb 28 Feb 5 Mar 14 Mar 19 Mar 9 Apr 8 May 14 May 26 May 22 Jun 8 Jul 9 Jul 3 Aug

PROJECT START START OF ST PHASE

START OF PRODUCT INTRODUCTION SESSION

START OF SIT PHASE

END OF PRODUCT DETAILED SESSION

END OF PERFORMANCE TESTING

IT GO LIVE

WARRANTY SUPPORT ENDS

BUSINESS GO LIVE

END OF UAT

START OF UAT

START OF PRODUCT DETAILED SESSION

END OF PRODUCT INTRODUCTION SESSION

END OF BUILD AND MIGRATE DEVELOPMENT

END OF DISCOVERY PHASE

PROJECT ENDS AND SUPPORT STARTS

3 AugSEP

V15 to V16 SWITCH

✓ Agile Kanban project methodology ✓ Committed and experienced user community

Scope

• Vanilla Implementation

• Decision to switch from V15 to V16 during Testing phase of V15

• Discovery and Build & Migrate phases executed in parallel

• Project go-live moved from Apr 2017 to Jul 2017 as a result of the switch to V16

Optimized Migration

• Clean up of master data

• Migration of only open transactions

• Identification of tables that can be archived

Phased Roll-out

• Simple V16 functionalities implemented as part of go-live

• User enhancement requests to be taken up with Oracle

• Complex V16 functionalities to be implemented later when external systems are ready

Success Factors – Vanilla, Migration and Roll-out

Actual Go-Live

▪ Priority 1 SR for performance issues across Advanced Development

Framework (ADF) based modules (RMS, RPM, ReSA and ReIM)

▪ Users were unable to change their passwords in ADF applcations.

Administrator intervention needed.

▪ Frequent ADF errors forcing the users to exit application in the middle of

transaction

▪ SRs resolved in 72 hours for smooth transition to V16

▪ Trouble-free integration between modules (Oracle Retail, e-Commerce, POS

and MHCS)

▪ Successful month-closure for July in three working days after EOM

Lessons Learnt

▪ Project team got most of the major elements right

▪ Revamp of the Server Infrastructure in preparation for the upgrade

▪ Got Oracle CMO early on-board to monitor SRs closely in anticipation of product

related issues

▪ Provided for parallel sessions of ‘Train the Trainer’ and ‘Train the user’ with right

understanding the magnitude of change

▪ Planned ahead for performance tuning exercise post go-live that proved to be

very useful

▪ Password management was not understood well enough

▪ RI supports 4-5-4 week calendar and does not support Gregorian.

▪ ‘PLU not found’ errors at POS due to items that failed the migration criteria

▪ Dropping Discoverer was challenging as it was used widely by the users

Following up on success

▪ Gather user feedback

▪ Post go-live user experience and functionality desired

▪ Review and discuss with Oracle as appropriate for enhancement

▪ Oracle Retail Insights

▪ Create new metrics based on Gregorian calendar

▪ Roll-out of dashboards based on Gregorian calendar

▪ Standardize the RMS-GL reconciliation process with V16

▪ Review various stock buckets

▪ Account for Delayed, Un-posted, In-transit transactions

▪ Phase 2

▪ Review and implement new functionalities from V16

▪ Address password management shortcomings through custom development

Q and A