Teradata Enables Efficient RFID Integration at METRO

Data warehouse technology supports Europe’s third largest retailing group with utilization and roll out of RFID

March 8, 2006 , DÜSSELDORF, Germany – The METRO Group, one of the world’s largest retail companies, is expanding the use of RFID communications as a part of its value chain management. Synchronized processing and evaluation of routine data play a key role in this area, and data warehouse technology from Teradata serves as a key complementary technology for RFID. Analytical applications from Teradata have been contributing to the success of the METRO Group for the past eight years.

METRO, Europe’s third largest retailing company, uses RFID to electronically identify, locate and inventory merchandise. This effectively lowers logistical expenditures at all points along the supply chain. Manufacturers can precisely plan production and transportation, and METRO has a comprehensive overview of stock on hand at all times. RFID also makes it possible to maintain a continuous inventory of merchandise in the warehouse and on the shelves, and new stock can be ordered based on extremely precise, up-to-date information.

To ensure that the data transmitted via radio frequency is usable for evaluation purposes, it must be made available in the analytical system in near real-time. Teradata’s highly scalable data warehouse solution offers ideal conditions.

The METRO Group data warehouse has grown from 20 to 139 terabytes and is the most comprehensive in the European retail industry. The METRO Group is giving increasing numbers of suppliers access to its data warehouse as a means of optimizing demand chain management. This access enables manufacturers to track stock and sales data based on the periodic updates of their choosing. Using information transmitted via RFID, manufacturers can check METRO Group’s merchandise warehouse to verify current stock levels and to see whether a sufficient quantity of their products is on the shelf. More transparent stock movements will also help prevent loss in transit and simplify product recalls.

This cooperation with the METRO Group also enables manufacturers and suppliers to develop sales forecasts, plan orders, and even track the impact of advertising campaigns. METRO suppliers—including Dr.Oetker, Henkel, Birkel and Campbell’s—are already using the data warehouse extensively. Medium-sized businesses without large IT departments have also shown keen interest in Teradata’s data warehouse application.

The METRO Group has set up its own training center and test lab, called the RFID Innovation Center, in Neuss, Germany, to support RFID integration by suppliers.

The next step is the integration of the METRO data warehouse with the supplier portal METRO Link. This will enable integrated access to different types of data from several processes and systems. In addition to the exhibition of innovative technologies, such as RFID, the METRO Link portal will be exhibited at the CeBIT Fair in Hanover, Germany.

About METRO Group

METRO Group is one of the most important international retailing companies. In 2005 the group reached sales of € 55.7 billion according to preliminary figures. The company has a headcount of about 250,000 employees and operates more than 2,100 outlets in 30 countries. The operating business is performed by the sales brands which operate independently in the market: Metro/Makro Cash & Carry - world market leader in cash & carry wholesale, Real hypermarkets and Extra supermarkets, Media Markt and Saturn - market leader in consumer electronics centers in Europe, and Galeria Kaufhof department stores. More information at: www.metrogroup.de.

About Teradata Division

Teradata (www.teradata.com), a division of NCR Corporation (NYSE: NCR), is the global technology leader in enterprise data warehousing, analytic applications and data warehousing services. Organizations around the world rely on the power of Teradata’s award-winning solutions to get a single, integrated view of their business to enhance decision-making, customer relationships and profitability.

About NCR Corporation

NCR Corporation (NYSE: NCR) is a leading global technology company helping businesses build stronger relationships with their customers. NCR’s Teradata® data warehouses, ATMs, retail systems, self-service solutions and IT services provide Relationship Technology™ that maximizes the value of customer interactions and helps organizations create a stronger competitive position. Based in Dayton, Ohio, NCR (www.ncr.com) employs approximately 28,200 people worldwide.

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D’Anne Hotchkiss

NCR Corporation

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