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It used to take us weeks to get [cost centre managers] answers, but now I can respond within one day. Tony Hess, Luxottica Retail Australia

In terms of risk management, the company also predicts that eliminating the potential for lapsed leases alone will return the implementation investment in less than a year, while also allowing it to accurately calculate the financial ramifications regarding sites it chooses to vacate. “We have minimised our risks since we implemented SAP Flexible Real Estate Management, due to our complete understanding of the Luxottica portfolio,” Hess says. He also sees the issue of project managers no longer having to manually collect data for analyses as a major plus. “They now use the solution to ensure they have all the information they need for successful negotiations and tendering of contracts.” Three years down the track, Luxottica has increased the size of its portfolio by 25 per cent without increasing its head count. The company is experiencing better recovery of

funds owed by landlords, better management of costs in all areas and more robust management of construction costs. As Australia’s first SAP Flexible Real Estate implementation, the project was showcased by Vaughan and Hess at the 2011 SAP Exchange on Real Estate Lifecycle Management in Chicago in April.

Looking forward What does the future hold for Luxottica Retail? The company is looking to improve real estate-specific budgeting, with data extracted from SAP and manipulated in Excel. It is also looking to explore greater functionality for project expenditure, build a data warehouse of shopping centre information, and integrate real estate information with demographic data. The independent magazine for SAP professionals

The ICS Structure for Independent SAP Consultants “Sometimes there is a better way”

Independent Contractor Services (Aust) Pty Ltd (ICS) has combined a unique range of products and services to develop an innovative and cost effective independent contracting structure for the I.T. Industry. Advantages for the SAP consultant:

Advantages for the Company:

No need to set up a costly corporate and/or Trust structure (initial and ongoing costs)

Save on Payroll Tax (except TAS.) and Workers Compensation (except NSW)

The ability to share income with a spouse, company, trust, partnership or children

Elimination of various legislative issues

No ongoing compliance issues; e.g. company accounts, annual returns etc. We always ensure the Contractor is fully compliant under ATO and other legislation

Simplified payroll and reduced administration

Access to a range of support services under the “ICS umbrella program”

Compliance and risk management

Attracting and retaining talent

For a no obligation consultation please contact a representative at your state based office below. VIC – Peter Watson – 0412 007 209 NSW – Cameron Rudolph – 0417 579 259 QLD – Murray Statham – 0429 997 173 www.icsaustralia.com

Inside SAP Winter 2011  

All the latest on SAP in Australia and New Zealand.

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