Asda is set to upgrade IT systems in its smaller stores as part of a significant transformation.
- The project, titled ‘Project Future’, will focus on 850 smaller store sites this quarter.
- Attention will shift from larger stores, with major changes scheduled after the festive season.
- This strategic move is aimed at minimising disruptions during the busy Christmas period.
- The IT transformation involves transitioning thousands of systems after Asda’s departure from Walmart’s infrastructure.
Asda is prioritising its IT system upgrades in smaller stores to avoid disrupting operations during the crucial Christmas period. Known as ‘Project Future’, the initiative will concentrate on 850 smaller locations, including petrol stations, smaller supermarkets, and Asda Express convenience stores. This decision strategically shifts focus away from larger stores, where most customers shop, to allow for a smoother shopping experience during the festive season.
The supermarket indicates that major transformations in larger stores and depots will resume with vigour post-Christmas, starting early January. Matt Kelleher, Asda’s chief digital officer, expressed the importance of maintaining a balance between delivering program advancements and considering the potential impact on colleagues, customers, and suppliers during this peak trading period.
Described as “Europe’s largest IT transformation project,” Project Future aims to replace 2,500 systems as the supermarket cuts ties with Walmart’s infrastructure. Asda reports an investment of £430 million into the project alongside the creation of hundreds of new roles to support the transformation process.
Focusing on smaller stores is seen as a pragmatic approach that strategically benefits customers by enhancing their Christmas shopping experiences. The plan is to continue the remaining transformation at a swift pace to achieve a complete separation from Walmart’s systems. The upgrades positioned Asda to rapidly implement improvements and refine its operations, maximising data use and improving efficiency.
Asda has already seen success in migrating to new systems, including finance, checkout processes, HR and payroll, CRM, and the launch of a new store picking system. Notably, the transformation included the installation of 16,500 new checkouts and 28,000 Scan & Go devices, full conversion of 20 depots, and the migration of over 9.6 million historic George orders to a new platform.
However, the transformation process has faced some challenges. Earlier in the year, a transition to a new payroll system led to a glitch, affecting thousands of workers. Despite such setbacks, Asda continues to advance its IT goals, aiming to achieve what it describes as “the best systems in the grocery sector.”
The strategic focus on smaller stores is a calculated move by Asda to ensure minimal disruption during Christmas while progressing towards greater operational efficiency.