There’s money in the retail sector, asserts software firm

By MELVIN. G. CALIMAG
November 15, 2009, 2:36pm

While big software vendors such as SAP and Oracle have focused mostly their attention on large enterprises, a US-based software firm has quietly made its mark and continues to expand its presence in the country’s retail industry.

JDA Software, which actually has an office in the Philippines, counts the biggest malls and supermarkets in the country as part of its clientele. Rustan’s, which was signed up by JDA as its first local customer years ago, remains as a client to this day.

According to Stephen McNulty, regional vice president for Asia Pacific at JDA Software, said the company currently has about 50 to 60 clients, which are mostly in the retail sector.

Cherokee Chamorro, country manager of JDA Software Philippines, the retail sector in the country is worth somewhere between $5 billion to $10 billion. “The opportunity is big,” said Chamorro.

As a way of boosting its portfolio, JDA recently held a forum and exhibit in Makati City that gave local companies the chance to examine and evaluate the company’s solutions.

At the event, executives demonstrated the capabilities of JDA products to “accurately plan for consumer demand to deliver business transformation and achieve profitable results.”

The software firm said an example of how the right technology can successfully mitigate supply chain issues and turn challenges into a competitive advantage is 2GO, the country’s largest inter-island mover of passengers.

The transport and logistics provider, JDA said, has increased its gross profit from 18 to 25 percent, improved average utilization from 66 percent to 85 percent, and reduced the number of trucks used from 48 to 25 for one of its largest commercial customers.

“The Philippine economy is expected to grow at least 3.7 percent this year, and as one of the newly industrialized emerging market economies of the world, we are excited by the tremendous opportunity in one of Asia Pacific’s fastest growing regions,” said McNulty, a former Oracle executive.

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