Asda’s new IT transformation, ‘Project Future’, targets small stores to reduce Christmas disruption.
- The initiative involves converting IT systems in 850 smaller sites, avoiding larger stores during peak trading.
- Efforts concentrate on petrol stations, small supermarkets, and Asda Express stores.
- Conversion of superstores and depots is set to resume in January.
- The implementation faced a setback due to a payroll system glitch affecting workers.
Asda has embarked on a substantial IT transformation journey, termed ‘Project Future’, focusing its current efforts on converting IT systems in its smaller stores to minimise disruptions during the bustling Christmas period. The strategy aims to ensure seamless operations across 850 sites, including petrol stations, smaller supermarkets, and Asda Express convenience stores. This approach, considered ‘sensible and pragmatic’ by the retailer, temporarily shifts the focus away from larger stores which see the majority of customer traffic.
The decision to prioritise smaller outlets comes as Asda prepares for the peak ‘golden quarter’ of retail activity. Recognising the potential for customer impact during this critical trading period, the transformation of large superstores and depots is scheduled to accelerate early in the new year, post holidays. This timed effort reflects Asda’s commitment to maintaining customer satisfaction while progressing its IT advancements.
Asda’s Chief Digital Officer, Matt Kelleher, commented on the comprehensive goals of the project, stating, ‘We’re continuing to deliver different aspects of the programme at pace, while being mindful of any potential impact on colleagues, customers and suppliers during the busiest period of the year.’ The project’s significance is underscored by its scale, being termed ‘Europe’s largest IT transformation project’ and involving the overhaul of 2,500 systems to detach from the infrastructure of former owner Walmart. This initiative has seen a significant investment of £430 million and the creation of numerous new roles.
Improvements from the transformation include advanced data capabilities, operational fine-tuning, and the adoption of new IT systems believed to be among the best in the grocery sector. To date, Asda has transitioned several key systems, including finance, checkouts, HR, and CRM, as well as completing the full conversion of 20 depots and the launch of a new store picking system. Despite these advancements, a recent payroll system glitch poses a challenge, having affected thousands of workers earlier this year, underscoring the complexity and risks involved in such a large-scale project.
Asda’s strategic focus on smaller stores for IT conversion aims to balance innovation with customer experience during the critical holiday season.