Metro Merchandise System - Own Brand Management (MMS-OBM)
Producing private label packaging is a laborious process. The brand manager has to coordinate and track deadlines, contract service providers and finally check results. In the future this will be done more effectively - thanks to new MMS-OBM software.
 
Introduction
Details
What is MMS-OBM?
MMS-OBM is an Internet platform which METRO Group uses in close collaboration with vendors and service providers to organize its private label management. This collaboration covers developing and creating packaging artwork, package leaflets and other diagrams, which characterize private label products. MMS-OBM is based on software which was specifically created for the retailing group.
Increasing Workload in Private Label Management
The retailing group creates approximately 1,500 different packaging designs for its food articles and about another 2,500 for non-food items. In addition, some product packaging can only be used in one country, due to cultural considerations. Pig’s ears are a delicacy in Portugal, whereas they are seldom on the menu in some other countries, if at all. Metro Cash & Carry Portugal therefore created its own packaging for the product. Production of all private label packaging is centrally managed in the Düsseldorf head office. This is still mainly done using conventional communications channels - i.e. phone, e-mail, fax and postal mail. The private label manager instructs the vendor in writing to send over product description text and pictures showing the item. Once these have been received they are then sent to the design agency. In some cases the quality of the photos is insufficient. Then the private label manager has to contact the vendor once again and ask for better pictures.

Obviously this coordination takes up a lot of time and resources. As a result, METRO Group decided to automate the workflow by implementing MMS-OBM. There is an increasing workload in private label management as a result of expansion and the retailer’s internationalization. Global deadline coordination, chasing contractors or adhering to national regulations – such as lists of ingredients on product packaging – already demand great administrative input.
Successful Start
The idea for MMS-OBM first came up in 2001. METRO Group contracted software company Doneware to tailor a system to the group’s needs. April 2004 saw it being implemented. Since then 26 countries have been involved in private label projects using MMS-OBM. All users have a password to access the platform and to work on their specific tasks. In the future the group expects approx. 1,500 projects in Germany and 3,500 projects in other Metro countries to be managed electronically on an annual basis.