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Consumer Goods Technology for the week of April 3, 2004

Hotline

Fujitsu Acquires Optimal Robotics' Self-Checkout Business

Fujitsu Transaction Solutions signs a definitive agreement with Optimal Robotics to acquire Optimal's self-checkout business for $35 million in cash and an assumption of liabilities. The agreement is subject to approval by Optimal's shareholders, and it covers self-checkout systems and related services marketed by Montreal-based Optimal under the U-Scan brand.

In late February, NCR announced that it had entered an agreement to acquire Optimal for $30 million. Fujitsu, however, entered the fray in early March and offered a better deal which RIS Executive News Brief reported on in the March 9 edition.

"Self-checkout is a key component of our strategy to aggressively expand Fujitsu's share of the retail market," said Austen Mulinder, president and CEO of Fujitsu Transaction Solutions. "We have strong momentum among retailers making next generation decisions and this capability can further underpin that momentum."

Fujitsu's acquisition will enable StoreNext Retail Technologies, the 50/50 joint venture between Fujitsu and Retalix, to offer self-checkout solutions to wholesalers and independent grocers through its extensive dealer network.

Tech Tactics

H-E-B Expands MicroStrategy Deployment Enterprise-Wide

H-E-B expands its deployment of the MicroStrategy Business Intelligence Platform enterprise-wide, for reporting and analysis of sales, market baskets, advertising effectiveness and cross-merchandising opportunities.

H-E-B will use MicroStrategy to distribute analyses and reports to merchandisers and store operations management at its 300 stores, regional offices and corporate headquarters location.   For its MicroStrategy applications, H-E-B will employ a 2.5-terabyte Teradata database.   Up to 800 employees will eventually become users of these applications.

"H-E-B now uses MicroStrategy for a wide variety of business intelligence reporting. This new expansion of MicroStrategy will allow us to efficiently expand the benefits of our data warehouse to the leadership of our retail stores," says Alan Markert, H-E-B Vice President and Program Owner for Business Intelligence and B2B.

Urban Outfitters Gears Up with NSB Planning and Allocation Solutions

Urban Outfitters signs a license agreement for NSB's Connected Retailer Planning and Allocation solutions. Urban Outfitters operates under the Anthropologie, Urban Outfitters, and Free People brand names. On March 11, they announced record earnings of $18.4 million for the fourth quarter ending January 31, a 120 percent increase over the comparable quarter last year. The retailer also plans to open 24 to 27 new stores this year.

Urban Outfitters selected NSB as its technology partner in supporting their ongoing growth and strong profit performance. "We believe that these software systems will allow our merchant, designer, and production staffs to be more efficient and productive while making better business decisions," says Dick Hayne, Chairman and President of Urban Outfitters, Inc. during the March 11 conference call. "We believe we should begin to see the benefits from these systems in the fourth quarter of this year."

John Henderson Ltd. Increases Service Levels with JDA

John Henderson Ltd., a Northern Ireland-based food wholesaler and retailer, plans to increase service levels and contract inventory costs using JDA Portfolio Advanced Warehouse Replenishment by E3 Software. Having licensed JDA's Warehouse Replenishment in fourth quarter 2003, Hendersons will optimize the forecasting and replenishment of over 4,500 ambient grocery lines, 900 fresh food lines, 200 frozen food lines and a large selection of non-food lines managed in its four warehouses. Owning the SPAR, VG and VIVO franchises, Hendersons operates over 50 company-owned stores and provides full support service to its retail partner network of 450 stores.

Metro Future Store Initiative Names Checkpoint Systems a Technology Partner

Checkpoint Systems provides METRO Group's Future Store initiative with a prototype dual frequency Electronic Article Surveillance (EAS)/Radio Frequency Identification (RFID) technology system which combines both standard frequencies for EAS and RFID in a single system. The METRO Group Future Store initiative is a cooperative effort between METRO Group and more than 40 partner companies from the information technology and consumer goods industries to test a range of new technologies, including RFID, in a live environment.

Earlier this year, Metro Group announced it would begin using RFID technology throughout its entire process chain, and that by November 2004 approximately 100 suppliers will affix RFID tags to their pallets and transport packages for delivery to ten central warehouses and approximately 250 stores within the METRO Group's sales divisions.

Tastefully Simple Chooses HP Services

Tastefully Simple has deployed HP technologies designed for small- and medium-size businesses (SMBs) with fewer than 1,000 employees. HP ProLiant servers, document management software, storage systems, and other products in HP's SMB portfolio have helped these fast-growing companies, as well as numerous others, increase efficiency and productivity.

More than 85 percent of product orders are made via the Internet by the company's consultants. Order management, individual consultant business reports and company information are available online. The company chooses to purchase its technology direct from HP and uses a broad range of HP products, including HP ProLiant DL580 and DL380 servers, HP StorageWorks storage area networks, desktop and notebook PCs and printers.

New Technologies

SAS Delivers New BI Platform

SAS delivers SAS9 to users worldwide, complete with a new platform, enhanced analytics and refined user interfaces that provide fresh insights for solving business problems and driving competitive advantage. SAS9 is faster, more efficient and easier to use than its predecessors. It can accommodate changing organizational needs without any loss of efficiency. The new platform connects all SAS applications so they work together transparently, and it also communicates with other data sources and programs.

SAS9 includes the SAS Intelligence Platform, a broad set of integrated software for unmatched data integration, easy-to-use business reporting and unparalleled analytics. It also boasts enhancement of the most tightly integrated optimization and predictive analytics capabilities available, making it even easier to answer complex questions that cannot be addressed by traditional business intelligence (BI).

Kronos Enhances Its Data Collection Terminal

The latest Kronos 4500 badge and Kronos 4500 Touch ID terminals leverage browser and workflow technology so that employees can perform a myriad of self-service functions at the terminal.

The Kronos 4500 terminal, with its ATM-like display, gives employees access to work related information when they need it, leading to improved productivity. Innovative, new Smart View technology offers employees a variety of self-service functionality through an embedded Web browser. These capabilities include a personalized view of detailed work schedules, time and labor details, and the ability to initiate time off requests directly at the terminal. Organizations are able to automate time-consuming, employee-centric processes and reduce the chance of lost paper forms, allowing them to be more responsive to employees' needs.

Velosel Delivers UCCnet 2.2 Certified Solution

Velosel's CPIM solution, Velosel5, now supports UCCnet's data synchronization services release 2.2. This certification enables Velosel to leverage UCCnet's XML schemas for standard messaging, complying with Global Data Synchronization Network (GDSN) standards, as well as additional schemas for the EAN.UCC System, a global standards system co-managed and administered by the Uniform Code Council. These schemas allow UCCnet subscribers to exchange and synchronize data with their trading partners on a global scale and across additional industry vertical markets.

CORESense Adds Affiliate Marketing Functionality to Retail Management Solution

CORESense 4.6 includes Affiliate Marketing functionality intended to help online retailers drive additional traffic to their Web sites and increase channel sales. Affiliate marketing is a referral-based sales tool in which a retailer's partner agrees to feature a banner or button on their Web site that links to the merchant's own online site. The merchant then compensates the partner for referrals to their online store. In most cases, the affiliate is paid only when the merchant as a result of the link makes an actual sale. Affiliate programs are one of the most effective ways to drive traffic to a retailer's Web site, while rewarding its partners for their support.

Paxar Offers RFID Technology Investment Protection Program

Paxar announces its RFID Technology Investment Protection program, a first in the industry. The protection program ensures the user of Monarch RFID encoding equipment is kept up to date and compliant with EPCglobal standards as the technology evolves. Throughout the twelve months of initial coverage, on-site upgrades are guaranteed as changes to the Class 1 technology occur. In addition, customers receive 12 months of full on-site service and technical support.

Technology investment protection is part of Paxar's RFID Implementation Kit for Wal-Mart suppliers, which will begin shipping in early April. The Kit contains everything that a supplier needs to implement RFID today and comply with Wal-Mart's January, 2005 requirement to provide shipments with RFID encoded labels.

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