Microsoft Dynamics 365 and Azure fuel YATA’s transformation of customer experience and operations with data and cloud

YATA’s evolution is built on data provided by the modernization of its enterprise resource planning (ERP) system with Microsoft Dynamics 365. YATA’s embrace of cloud technology with Microsoft Azure enabled the rapid development of online systems, which added valuable agility and responsiveness to YATA’s operations, especially during peak business periods. These foundations have helped the brand extend the YATA experience online and offline—to better reach customers at all times.

Differentiating data: The lifeblood of customer experiences

A pioneer in its market, YATA has an ambitious and unique model for success. “Rather than follow others, we pursue our own path in evolving and enhancing our unique experience for customers,” says Wong. She notes that YATA’s digital transformation mission is focused on giving all visitors a highly customized, comfortable, and quality shopping experience—primarily through its 13 stores, but increasingly through its digital platforms too. The company’s customer app, YATA Fans, and its eShop site provide a differentiated customer experience. “Patience is a premium for customers today. There can be no delay in providing information, offers, or processing transactions. Every second we make a customer wait, we analyze that,” explains Wong.

This attention to detail is only possible through availability of critical data. Dynamics 365 and the data it produces are critical to YATA’s rapid evolution of the next-generation department store experience.

Rapid expansion: Modernizing core functions for data-driven business decisions

According to Venus Tam, Head of Finance at YATA, it was apparent two years ago that the existing ERP system could not support YATA’s rapid expansion to today’s footprint of 13 stores across Hong Kong.

With Microsoft Dynamics 365 in place after a two-year evaluation and installation, YATA is consistently generating timely, error-free financial reporting—a major relief to Tam and her team. Yet the benefits extend far beyond reporting functionality.

The first immediate benefit was more data, better data. Previously, item-level information was not transparent. Today, however, the YATA merchandising team can view the exact color, size, style, and quantity sold of any given item either through its stores or online. This real-time database is enabling more dynamic sales offers and personalized promotions to individual customers through the YATA Fans app and social media channels.

Inventory management has improved from greater data accuracy and real-time updates, which have completely changed the game for finance, operations, and merchandising teams. Popular items can be stocked up to anticipate higher demand, while others can be better managed to allow the merchandizing team to work more efficiently with suppliers and partners.

Early wins: Making digital transformation and data revolution visible

On a typical day, YATA’s new, accurate data flow drives real-time alerts on food items, and perishable goods can be offered on promotion or at discount rates. “We can now maximize revenue opportunities and minimize the risk of lost revenue,” says Tam.

YATA’s systems are still being fine-tuned and enhanced, but the addition of powerful data analytics is already elevating capabilities and controls. “The improved visibility and transparency with the new ERP platform have created a more systematic hierarchy, provided clearer approval processes, and strengthened internal controls—from junior staff right up to the CEO,” says Tam.

Working with Microsoft, and systems integrator and partner ACT Solutions, Tam’s team has been upskilled with increased knowledge and data capabilities—meaning that all levels of staff can process data and take action.

Regarding the benefits of the technology relationship, working with Microsoft has been a key factor in YATA’s success in continually delivering a quality experience for visitors.

Cloud services: Raising business agility and responsiveness

YATA’s new digital capabilities with Dynamics 365 have further been enhanced with initial projects using the Microsoft Azure cloud platform. Running on Azure, YATA rapidly added online systems in response to changing business demands, which in turn have helped the business manage transaction spikes during peak season times and major campaigns.

The ability to scale up systems to meet sudden jumps in demand has helped enable a smooth customer experience. The added capabilities of Dynamics 365 modules also ensured efficient back-end finance and sales operations with fast, error-free financial closing each day, even during peak times.

“While our enhanced data capability has opened up a real-time stream of invaluable business insight to deliver new levels of store and network-wide operational and financial visibility.”

Wong observes this improved visibility has significantly enhanced management ability to make daily operational decisions. “It is still [in the] early days, but we can now better engage customers with genuinely relevant offerings at exactly the right time and the business is now able to respond to meet new needs—this all drives a better experience, better sales, and better branding,” concludes Wong.