Industry Deep Dive: Cloud Supply Chain Transformation in Retail

In today’s retail landscape, supply chains are no longer just operational backbones—they are strategic assets that drive customer satisfaction, profitability, and resilience. As consumer expectations for speed, flexibility, and omnichannel experiences continue to rise, retailers face mounting pressure to modernize their supply chains. Cloud-based transformation, proven in industries like energy with Chevron’s journey, is now reshaping retail supply chains, unlocking new levels of efficiency, agility, and customer-centricity.

The Retail Supply Chain Challenge

Retailers operate in a uniquely complex environment. They must manage vast product assortments, unpredictable demand, and a growing array of fulfillment options—from traditional stores to e-commerce, curbside pickup, and same-day delivery. This complexity is compounded by:

• Omnichannel Fulfillment: Customers expect seamless experiences across digital and physical channels, including buy online/pick up in store (BOPIS), ship-from-store, and easy returns.
• Real-Time Inventory Visibility: Accurate, up-to-the-minute inventory data is essential to avoid stockouts, reduce excess inventory, and fulfill customer promises.
• Customer-Centric Supply Chains: Retailers must anticipate and respond to shifting consumer preferences, sustainability concerns, and demand spikes—often in real time.

Legacy systems and siloed processes make it difficult to meet these demands. Manual workarounds, fragmented data, and slow decision-making can lead to missed sales, higher costs, and eroded customer loyalty.

The Cloud Advantage: Lessons from Chevron, Applied to Retail

Chevron’s supply chain transformation offers a blueprint for what’s possible. By migrating from a legacy on-premises data platform to a cloud-based solution, Chevron achieved:

• Integrated Data Foundation: Over 200 data pipelines were unified in the cloud, enabling cross-functional collaboration and real-time insights.
• Agility and Scalability: The cloud platform allowed rapid development, testing, and deployment of new capabilities, supporting over 400 users with self-service analytics.
• Cost Optimization: Legacy support and infrastructure costs were minimized, with cloud resources scaled dynamically to meet business needs.
• Advanced Analytics: AI and advanced analytics could be deployed quickly, unlocking new opportunities for optimization and innovation.

These same principles are transforming retail supply chains, where the need for speed, flexibility, and data-driven decision-making is even more pronounced.

Publicis Sapient’s Approach: Cloud, Data Integration, and AI-Driven Analytics

Publicis Sapient brings deep expertise in cloud migration, data integration, and AI-powered analytics to help retailers turn fragmented supply chains into agile, customer-centric value chains. Our approach includes:

• Cloud Migration: Moving critical supply chain applications and data to cloud platforms (such as Google Cloud or Azure) to enable scalability, resilience, and rapid innovation.
• Data Integration: Breaking down silos by integrating data from inventory, order management, logistics, and customer channels into a unified, real-time view.
• AI-Driven Analytics: Leveraging machine learning to forecast demand, optimize inventory, automate fulfillment decisions, and personalize customer experiences.
• Omnichannel Fulfillment Optimization: Designing systems that support seamless order orchestration across stores, warehouses, and last-mile delivery partners.

Real-World Impact: Retail Case Studies

Major Sports Retailer: Enabling Omnichannel Agility

A leading U.S. sports retailer needed to modernize its commerce platform and processes to support new digital offerings like BOPIS and streamlined online ordering. Publicis Sapient implemented a cloud-based digital commerce platform on Google Cloud, re-architected the order management system, and introduced agile, product-focused team structures. The results:

• 170% Faster Order Processing during peak periods, with no site downtime.
• Improved System Integration across inventory, order management, and fulfillment, enabling seamless customer experiences.
• Scalability and Reliability through a robust cloud platform supporting disaster recovery and ongoing enhancements.

Large Domestic Retailer: From Maintenance to Innovation

A major domestic retailer was constrained by a legacy on-premises commerce system, which limited innovation and drove up maintenance costs. Publicis Sapient migrated the platform to Google Cloud using a headless commerce approach, integrating Drupal CMS, Apigee API management, and microservices. The transformation delivered:

• $30M Lift in Holiday Sales with zero platform glitches during peak season.
• 25x Increase in Enhancement Frequency, reducing turnaround time for updates from five weeks to one.
• 50% Decrease in Development Costs and 80% Reduction in On-Premise Costs.
• 35% Improvement in Site Performance for all pages, enhancing the customer experience.

The Broader Value: Turning Supply Chains into Value Chains

Cloud-based transformation is not just about technology—it’s about reimagining the supply chain as a value chain that drives growth, resilience, and customer loyalty. Key benefits include:

• End-to-End Visibility: Real-time data integration enables proactive risk management and faster, smarter decisions.
• Agility and Resilience: Cloud platforms support rapid scaling, scenario planning, and quick adaptation to market shifts or disruptions.
• Cost Optimization: Pay-as-you-go models and intelligent automation reduce operational costs and improve margins.
• Customer-Centricity: AI and analytics enable personalized experiences, accurate delivery promises, and seamless omnichannel fulfillment.

Why Publicis Sapient?

With over 30 years of digital transformation expertise and a global team of 20,000+ experts, Publicis Sapient is uniquely positioned to help retailers modernize their supply chains. Our end-to-end solutions span strategy, technology, data, and change management—ensuring that transformation delivers measurable business impact.

Ready to turn your supply chain into a strategic asset? Connect with our experts to start your journey toward efficiency, agility, and profitable growth in the digital era.