JB Hi-Fi Limited has grown from a single store in Melbourne to the seventh-largest retailer in Australia and the parent company of leading white goods retailer The Good Guys. With a combined annual revenue exceeding $7 billion and a growth trajectory steep enough to compete with online retail juggernauts like Amazon, JB Hi-Fi recogonised streamlining their delivery and supply chain was essential.
With over 300 stores across Australia and an online channel generating $500M in annual revenue, JB Hi-Fi’s distribution network already handled a significant volume of goods and logistics was sometimes challenging. Additionally, although they shared physical warehouses with The Good Guys, supply and delivery operations remained distinct. Finally, a variety of legacy systems needed to be considered and disrupting either business with a sweeping systems upgrade was out of the question.
An opportunity was identified to centralise warehousing operations across JB Hi-Fi and The Good Guys nation-wide, optimising their distribution network and empowering continued, rapid growth at scale.
JB Hi-Fi required significant technical architecture, solution design and development to improve their back-end APIs and integration services before they could consolidate the two supply chains. They engaged the Amplify team to help them design and deliver a standardised API management platform leveraging Microsoft Azure and a componentised architecture framework. This would allow JB Hi-Fi’s development delivery teams to publish their API’s to a secure, standardised environment while maintaining connectivity with legacy systems. Once the platform was in place and the distribution logistics of both businesses integrated, the APIs could also be repurposed for subsequent warehouse functions, allowing the system to be rolled out and scaled up at speed.
By consolidating their warehouses and supply chain JB Hi-Fi recognised millions in cost savings. This was facilitated by the technology architecture and APIs enabling real time passing of data between fulfilment, stores and online systems. The DevOps and API work significantly improved productivity of the teams, reduced errors and system downtime and enabled JB to continue warehouse consolidation at scale.
With these foundations in place, JB Hi-Fi are now in a position to innovate with enhanced digital services to customers in-store and online. This includes improving the delivery proposition for, decreasing delivery costs and improving the overall customer experience.
- Azure API Management backed by Logic Apps, Azure Functions
- Securing downstream APIs with Azure Active Directory
- Deployed API changes to API Management platform via CI/CD pipelines
- REST APIs and processing functions with integration to Dynamics 365
- Componentized architecture consist of Azure Functions, queues, topics/subscription, and CosmosDB using MongoDB