Retailers are facing growing pressure to simplify their technology environments as integration costs continue to erode efficiency. Many legacy systems were not designed with modern retail complexity in mind, and this is becoming increasingly visible in both cost structures and operational agility.
Enterprise resource planning systems were originally developed to support finance and HR functions, later expanding into inventory, supplier management and customer data. Despite this evolution, their architecture remains rooted in back office processes. For retailers, this often creates a mismatch between system capability and the demands of fast-moving, multi-channel operations.
In practice, ERP-led environments frequently require a wide range of additional applications to handle areas such as e-commerce, order management and customer engagement. This results in a fragmented technology stack that depends on extensive integration. Over time, these integrations introduce cost and risk, with IT spend typically rising as a share of revenue and internal teams growing to manage system complexity. The outcome is slower change, duplicated workflows and reduced flexibility when responding to market developments.
Retail-focused platforms take a different approach by building around the customer and core sales channels from the outset. These systems integrate stores, digital commerce and wholesale operations within a single framework, providing real-time visibility of stock and more cohesive order management. Product, pricing and promotional capabilities sit alongside customer engagement tools, while financial and supplier functions are incorporated in a more streamlined way.
This architecture reduces the need for multiple systems and lowers reliance on complex integrations. As a result, retailers can operate with fewer applications, smaller IT teams and more automated processes. Cost efficiency improves, with IT expenditure typically falling as a proportion of revenue, while head office functions can be simplified.
itim Group plc (LON:ITIM) is a SaaS-based technology company that enables store-based retailers to optimise their businesses to improve financial performance and effectively compete with online competitors. Itim adds retail value by helping multi-channel retailers optimise their business and their stores to improve financial performance and compete more effectively with the “Amazons”.
