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Oracle Customer Success — National Pharmacies

National Pharmacies

National Pharmacies Elevates Innovation Capability with Oracle Cloud Platform

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Only Oracle engineers products that are future proof and give us the confidence to continuously innovate and deliver unique experience for customers, suppliers, and employees. With Oracle Cloud Platform, we cut the costs to launch new capabilities by 20x and improved profitability.

— Ryan Klose, General Manager, National Pharmacies

National Pharmacies Processes Orders in Minutes Instead of Hours, Expedites Stocktaking by 30%, and Lifts Customer and Staff Experience with Oracle

National Pharmacies is an innovative retail and pharmaceutical mutual company in Australia. It sells a broad range of health products along with other products—such as supplements and cosmetics—via retail stores and its online site. The company also provides professional health and wellbeing services, such as weight management and flu vaccinations, to members. 

With disruption in the retail and health industry over the last five years, National Pharmacies wanted to shift away from the traditional IT approach and focus on not just the efficiency within the stores, but also constantly scaling innovation and driving customer engagement. To support this goal, National Pharmacies adopted Oracle Cloud Platform to rapidly introduce new capabilities to members, suppliers, and employees.

National Pharmacies Transforms IT with Oracle Cloud Platform

 
 
Challenges
  • Increase business agility by connecting various core systems, including Oracle’s JD Edwards ERP applications and third-party customer relationship management system, on the backend and gaining the ability to continuously deliver innovative services via multiple interfaces, such as online, mobile, or chatbot 
  • Improve employee and customer experience by enabling staff members to access members’ information, such as purchasing or wellbeing service history, through a mobile, tablet-based application and provide better customer service in stores
  • Optimize supply chain efficiency by using a consistent set of workflows and process rules for logistics and delivery across 71 retail stores and minimizing time for suppliers to raise purchase order (PO) and store managers to approve those orders
  • Enable the business to quickly launch new services for customers, suppliers, and employees by using adaptive technology to future proof the platform for innovation
Results
  • Increased supply chain efficiency by introducing self-service procurement processes with Oracle Cloud Platform and Oracle Mobile Cloud, enabling staff and suppliers to easily raise or adjust PO via a tablet and store manager to approve their orders in two minutes than taking two persons two hours daily 
  • Saved staff training costs by 90% and cut national support office by 40% by taking only 2 hours training for the ProcureOne mobile application and spending just 10% of the allocated training budget, thanks to Oracle Mobile Cloud and Oracle Mobile Application Framework Foundation
  • Completed stocktaking 30% faster and recovered 3,000 stock items by integrating Oracle’s JD Edwards software into stocktaking scanners with Oracle Mobile Cloud and Oracle Mobile Application Framework Foundation and allowing staff to easily scan Stock Keeping Unit (SKU) and identify accurate stock levels
  • Reduced costs to roll out stocktaking scanners to retail stores by 20x—just US$7,400 instead of over US$148,000—by leveraging Oracle Cloud Platform to seamlessly connect the device data back to JD Edwards with Oracle Infrastructure as a Service (IaaS) and Oracle SOA Suite 
  • Optimized inventory management by implementing an adaptive API layer through Oracle SOA Suite to connect the ERP system and other core systems on the backend and automatically adjusting stock levels and ordering time for replenishment, such as cosmetics items, in the other stores 
  • Enhanced employee experience by extending the supply chain workflows to the ProcureOne mobile application with Oracle Cloud Platform and Oracle Mobile Cloud, enabling staff to simply use a single tablet to manage orders and stock and engage customers in store 
  • Elevated customer experience by empowering staff members to securely access member details via a tablet and provide instant services, such as delivering vouchers to customers’ mobile phones or helping members to reset their password 
  • Improved profitability by automatically routing the POs to four sources, such as distribution center or manufacturer, based on supply and margin preference and ensuring the business to get the best discount rate for volume buying 
  • Introduced new services faster, such as Q&A chatbots, by leveraging Oracle Cloud Platform to plug and play as the business starts to map out the ideas for new innovations to drive enhanced customer service
  • Enabled the business to retire other niche applications—including home-grown appointment booking system—and continually expand new revenue streams, such as providing “at home” care services and bot-assisted weight readings, by leveraging new capabilities from Oracle Cloud Platform and Oracle IaaS as they emerge

 

There is a DNA in Oracle to make the right future-proofing decision. Only Oracle could provide the fully engineered Oracle Cloud Platform and enable us to increase agility, reduce IT complexity, and lower costs.

— Ryan Klose, General Manager, National Pharmacies

Execution

National Pharmacies started their innovation journey with Oracle SOA Suite and Oracle Identity Management for integration and identity management. It also used Oracle Mobile Cloud to build various customer-facing mobile applications. National Pharmacies then introduced ProcureOne—the tablet-based application built on Oracle Cloud Platform, including Oracle Process Cloud Service and Oracle Mobile Application Framework Foundation. The company continues to leverage the new capabilities of Oracle Cloud Platform to develop new services.

“By allowing Oracle to be our engineers and our IT team be the assemblers, we can totally focus on innovation and delivery of superior customer experience. The return on investment for Oracle Cloud Platform is measured in days, which was unheard of for what we have built,” Klose said.

About National Pharmacies

Headquarters

 
Adelaide, Australia

Employees

 
1,200
Established as a single dispensary since 1911, National Pharmacies has become a mutual organization that provides professional health and well-being advice to 300,000 members along with a wide range of products and services. National Pharmacies now operates 80 stores across the country. National Pharmacies was recognized as a Winner of 2017 Oracle Cloud Platform Innovation Award.
 

Partners

National Pharmacies worked with Oracle Platinum Partner, DXC Red Rock and Rubicon Red to configure the supply chain workflows with Oracle Cloud Platform and develop the mobile app and adaptive API layer. The partner also provides annual health checks to National Pharmacies and ongoing guidance regarding future architecture and emerging technologies.

“DXC Red Rock and Rubicon Red are our master engineers. They worked with Oracle to bridge the gap for our business drivers and help us get the most out of Oracle Cloud Platform,” Klose said. “Their extensive knowledge and experience with Oracle products gave us great confidence!”
Published:  Nov 01, 2018