Issue Date: January 2008

2008 Influentials
By Kevin O'Rourke
In every retail company, there are people who monitor everyday details and those who plot big picture strategies. Then, there is the person who heads up a chain’s IT operations. He or she must be involved with all of these things at once. The CIO is a direct contributor to a company’s bottom line. His or her role touches every employee and every aspect of business. On a daily basis, the head IT officer must know how much inventory each store needs today, when the shipment from Bangladesh will arrive and why the telephones in the Portland store are not working.
 
Long term, this executive is instrumental in turning visions into reality. He or she must understand the CEO’s five-year vision and growth plan so that POS systems, replenishment and offshore sourcing software can accommodate changes. The CIO also is responsible for making sure technologies interface well. Otherwise, a company is in for logistical nightmares and, ultimately, consumer and shareholder disappointment.
 
RIS’ annual Influentials celebrates the 10 retail IT executives who have this type of vision. Astute about details, they also see the big picture. And they have implemented products and processes that will have a dramatic impact on future success.
 
These 10 executives were chosen by key technology vendors as part of an RISe-mail poll sent to 1,600 recipients. They come from supermarkets and warehouse clubs, as well as specialty apparel chains and craft chains. They include regional companies and worldwide powerhouses.
 
 

MIKE JONES
CIO, Michaels Stores. Inc.
 

HEADQUARTERS: Irving, TX
NUMBER OF STORES: 1,200
SALES: $3.87 billion
VERTICAL: Specialty Craft

In little more than three years, Mike Jones has crafted an impressive list of projects with craft specialty retailer Michaels Stores. Recently, Jones and his team replaced an Oracle/AIX system with one from Netezza. “We found ourselves spending a lot of time creating aggregate tables and tuning to optimize performance rather then developing more value added information/analytics,” says Jones. “We were able to eliminate much of the tuning work and begin to focus more on adding value.”

The move should become cost effective over the next few years. The Netezza platform will continue to grow in processing speed and storage capability sans hardware or software investments, says Jones. “This is a big win for a company like Michaels that is moving into an era of detailed analytics to help guide our business.”

Jones’ team is currently in the throes of implementing WorkBrain’s Time & Attendance and Scheduling solution. “We have had the most active participation from the business divisions, store operations and human resources that I have ever experienced. This is what will make it a success no matter what obstacles we come across. I have done this type of roll out twice and have never had this level of support.”

Jones believes that transparency is crucial to a successful IT organization. “People don’t understand IT. The more you allow it to be a black hole, the less people will be able to support you.You have to be clear about projects you can do and even clearer about what you can’t do. Understand how the business sees IT. This comes mainly through PC support, store support and, to some degree, application support. If these organizations are not performing well, or they do not show a sense of urgency, this will reflect on the rest of the IT organization. This is most people’s only window into IT.” RIS