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<strong>METRO</strong> GROUP : ANNUAL REPORT 2010 : BUSINESS<br />

→ GROUP MANAGEMENT REPORT : 6. INNOvATION MANAGEMENT<br />

As a retail and wholesale company, <strong>METRO</strong> GROUP does not<br />

conduct research and development in the strictest sense of<br />

the term. Rather, we develop and employ new concepts and<br />

technologies within the framework of our innovation management<br />

in order to better serve customers’ needs and address<br />

their consumption patterns. In this way, we strengthen the<br />

competitiveness of our sales divisions. Another central aim is<br />

to make internal and external processes more efficient,<br />

including programmes undertaken in connection with suppliers<br />

and industry partners. By employing this approach, our<br />

innovation management supports the aims of Shape 2012: a<br />

stronger customer focus and greater efficiency for the entire<br />

group of companies. Innovations thus secure the long-term<br />

profitable growth of <strong>METRO</strong> GROUP.<br />

Our innovation management is systematically organised: we<br />

identify customer needs and market requirements as well<br />

as relevant technological and conceptual innovations, drive<br />

developments through joint work with internal and external<br />

partners and implement pilot processes that also include<br />

evaluation. Successfully tested innovations are introduced<br />

into the Company’s operating business. within this context,<br />

<strong>METRO</strong> GROUP provides sufficient resources that our companies<br />

can use to develop needs-based solutions. This<br />

includes for example testing facilities.<br />

In terms of a <strong>Group</strong>-wide dialogue, employees responsible<br />

for innovation at <strong>METRO</strong> AG and the internal IT service provider<br />

<strong>METRO</strong> SySTEMS work closely with specialists in the<br />

sales divisions. As a result, relevant knowledge and qualifications<br />

can be created and shared within <strong>METRO</strong> GROUP.<br />

Furthermore, it is assured that the innovations that are<br />

developed address the customers’ needs and the specific<br />

requirements of the segments. In introducing new concepts<br />

and technological innovations, we conduct an open, constructive<br />

dialogue with external partners. These partners<br />

include consumer groups and labour unions. we are a<br />

member of national and international organisations in order<br />

to support the development of standards. For our employees,<br />

we provide trainings that prepare them for the introduction<br />

of new processes.<br />

In 2010, we have carried forward projects already launched<br />

and augmented them with other programmes from the sales<br />

divisions. The goal continues to be to successfully introduce<br />

→ p. 103<br />

6. Innovation management new concepts into everyday business practices, to use innovative<br />

technologies in stores and warehouses as well as<br />

to expand their use in cooperation with suppliers and busi-<br />

ness partners. The focal points of these efforts are cuttingedge<br />

information and communication technologies (ICT) and<br />

Radio Frequency Identification (RFId), through which products<br />

and product movements can be registered without contact<br />

in computer systems.<br />

Working relationships with external partners<br />

In 2002, we launched the <strong>METRO</strong> GROUP Future Store Initiative,<br />

an alliance with currently 90 partners from the academic<br />

world, the consumer goods industry as well as the<br />

service and ICT sector. To address the operating challenges<br />

faced by the sales divisions, we develop and test innovative<br />

solutions within this context. These include new sales forms,<br />

an appealing approach to customers, store and product<br />

range design, the provision of product information and<br />

accelerated processes. The focal point of the partnership,<br />

which was successfully continued during the reporting year,<br />

is always customers and their needs.<br />

A central testing platform for the initiative is the<br />

<strong>METRO</strong> GROUP Future Store in Tönisvorst, a city in the<br />

German state of North Rhine-westphalia. The store is a Real<br />

hypermarket in which the sales division has been testing the<br />

practicality of new concepts and technologies with the assistance<br />

of the partners of the <strong>METRO</strong> GROUP Future Store Initiative<br />

since 2008. Innovations that prove themselves in the<br />

Future Store are gradually introduced by Real. In 2010, more<br />

than 100 of the sales division’s stores used the new technologies<br />

and concepts developed at Tönisvorst, including<br />

multimedia terminals and sales concepts like “The Butcher<br />

Shop of Tomorrow” and “Freshness and Convenience” as<br />

well as the newly conceived chemist area “beauty & more”.<br />

Digital purchases<br />

One of the critical challenges facing retailing concerns<br />

changing shopping habits, which can partly be ascribed to<br />

the growing impact of the Internet. <strong>METRO</strong> GROUP is<br />

addressing this trend as part of its innovation management.<br />

The aim is to combine the strengths of Internet shopping<br />

with those of stationary retailing as a way of creating a<br />

unique selling proposition by providing service, authenticity<br />

and quality.

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