GS Retail Lowering TCO by 30 percent with faster, smarter analytics

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The need …

The need
GS Retail maintained separate data warehouses for convenience stores,
supermarkets and its customer relationship management (CRM) system.
Implemented approximately 10 years ago, the data warehouses were aging .
and in need of a performance upgrade. More than 600 store managers
and marketing executives used the system, and there were complaints
of bottlenecks when a large number of users attempted access, as well as
slow loading and processing. Batch processing, which involves processing
a large number of jobs that can run without human interaction, took
9 to 15 hours to complete, running over into store hours.

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  • 1. IBM Software RetailInformation Management GS Retail Lowering TCO by 30 percent with faster, smarter analytics GS Retail Co., Ltd. (GS Retail) is a conglomerate of retail chains that has modernized the Korean retail industry since its establishment in 1971. Overview The group has four businesses: GS25 convenience stores, GS supermarkets, GS Retail Co., Ltd GS Watsons and Mr. Doughnut. Seoul, Korea www.gsretail.com The need GS Retail maintained separate data warehouses for convenience stores, Solution components supermarkets and its customer relationship management (CRM) system. Implemented approximately 10 years ago, the data warehouses were aging • IBM® Smart Analytics System 5600 and in need of a performance upgrade. More than 600 store managers and marketing executives used the system, and there were complaints of bottlenecks when a large number of users attempted access, as well as slow loading and processing. Batch processing, which involves processing “We need sophisticated a large number of jobs that can run without human interaction, took analytics to be able to 9 to 15 hours to complete, running over into store hours. offer customers more of It was also difficult to achieve optimal data analysis, such as comparing the products and services results by territory, to improve business outcomes. With three separate data warehouses managing information coming from different sources, they want. IBM Smart it was impossible to perform cross analysis or sophisticated data analysis. Analytics System gives Data volumes were growing, but without the ability to compress data, us the insights we need backups and storage required expensive investments in disk space. GS to propel growth.” Retail required a high-performing, intelligent data warehouse environment to enable quicker analysis and processing of mass data and a more organized, sophisticated CRM. —Han-Yeol Yoon, Deputy General Manager, Information Service Department, GS Retail Co., Ltd. The solution GS Retail decided to implement a new data warehouse analytics system (DWHAS) data mart to provide the analytics it needed to propel growth, with better performance and cost efficiency. The company was looking for significant savings in hardware, software, operating and people costs and faster time to value with a reduction in the time and speed associated with deploying the data mart.
  • 2. Having decided on an appliance-like system designed exclusively for data warehousing,GS Retail evaluated four-to-five appliance products using benchmarking on keyscenarios such as mass data processing performance, performance in handlingconcurrent users, ease of maintenance, stability and implementation costs. Specifically,GS Retail needed a product that would perform best in two different types of functionsincluding handling online transaction processing (OLTP) and simultaneously accessing © Copyright IBM Corporation 2011users and mass data batch processing. In the end, GS Retail chose the IBM® SmartAnalytics System 5600. IBM Corporation Software Group Route 100The IBM Smart Analytics System 5600 brings together IBM hardware, software and support Somers, NY 10589to create a fast and easy-to-deploy, end-to-end business intelligence (BI) environment. U.S.A.With their Smart Analytics System, which is based on IBM InfoSphere® Warehouse Produced in the United States of America December 2011software, GS Retail can quickly and cost-effectively deploy new data mart and data All Rights Reservedwarehouse managed application systems (MAS). Smart Analytics System providesfaster time-to-value and reduced cost because of the deep integration and optimization IBM, the IBM logo, ibm.com, and InfoSphere are trademarks of International Business Machinesof IBM software, server and storage. The IBM Software IT Architect (SWITA) Corporation, registered in many jurisdictionsblueprint designed for GS Retail allows the company to rapidly build new information worldwide. A current list of IBM trademarks ismanagement systems. With its modular design, IBM Smart Analytics System 5600 can available on the Web at “Copyright and trademarkaffordably grow with the expansion of the business and data volumes. information” at www.ibm.com/legal/copytrade.shtml Other company, product or service names mayThe IBM Smart Analytics System 5600 provides high performance both in handling be trademarks or service marks of others.concurrent users and in processing mass data batches. The solution reduces Service The information contained in this documentationLevel Agreement (SLA) response times to queries about retail market analytics. It also is provided for informational purposes only. Whilefeatures deep compression capabilities that result in significant savings on storage. efforts were made to verify the completeness and accuracy of the information contained in thisIn addition to performance improvements, the IBM Smart Analytics System 5600 has documentation, it is provided “as is” withoutlaid the foundation for more customer-oriented information analyses, such as market warranty of any kind, express or implied. Inbasket analysis, which reveals buying patterns among consumers to enable retailers to addition, this information is based on IBM’s current product plans and strategy, which arecross-sell and up-sell. subject to change by IBM without notice. IBM shall not be responsible for any damages arisingThe benefits out of the use of, or otherwise related to, this documentation or any other documentation.• 60 percent data reduction due to data compression Nothing contained in this documentation is• Up to 2.5-fold faster batch processing (6 hours vs. 9-15 hours) intended to, nor shall have the effect of, creating• 30 percent reduction in TCO for data warehouse including storage disk, any warranties or representations from IBM maintenance and back-up expenses (or its suppliers or licensors), or altering the terms• Availability of sophisticated analytical functions such as cross-data analytics and conditions of the applicable license agreement governing the use of IBM software.For more informationTo learn more about IBM Smart Analytics System, please contact your IBM sales Please Recyclerepresentative or IBM Business Partner, or visit the following website:ibm.com/smart-analytics-system/5600 IMC14719-USEN-00