Bapcor, home to automotive brands such as Autobarn and Midas, is cutting dozens of enterprise resource planning (ERP) systems from its technology estate.

CEO and executive chair Angus McKay told a strategy briefing yesterday that the company had “eliminated or consolidated from 42 ERPs down to 19” at the end of fiscal year 2024.

It will reduce the number of ERPs in use across the group from 19 to 17 this fiscal year and then to 15 by the end of fiscal year 2026.

“Now don’t get me wrong – 15 is still too many,” McKay said.

“The process to get to a state of let’s say one per business unit will take several more years. 

“We’ll take a very sensible and logical approach as we simplify the infrastructure of our technology across the business.”

McKay said his consistent position has been not to go down the path of a large-scale, expensive ERP consolidation program of work.

“I’m often asked: will we be investing hundreds of millions of dollars in technology, and I’ve consistently said no, and I stand by the no,” he said.

“We will invest behind the best breed of tools that enhance our operating capabilities, and we’ll continue to consolidate our ERPs from many into smaller numbers.”

A slide deck accompanying the presentation suggested that some of the ERPs still in use include MomentumPro, Pronto Xi and an automotive specialist software called Marlin GTX.

The company also used the strategy day to outline an intent to implement a single customer relationship management (CRM) system for its operations.

In addition, it is upgrading its ecommerce systems, starting with its Autobarn retail brand before expanding out.

“In November 2024, we went live with changes to our Autobarn systems or ecommerce platforms,” McKay said.

“We’ve rolled these changes already into the Autopro business over the past couple of months, and we’re about to address Midas in the months to come.

“Improving customer service, enhancing stocking and the delivery options for small and bulky items are on the list of improvements for things we can do.”

McKay also flagged targeted investments in artificial intelligence and machine learning.

“Knowledge management will be a core capability for us going forward,” he said.

“Our ‘[spare] parts interpreters’ are our core employees who face many of our customers, and we need to find ways to enhance their skills and their abilities. This includes the use of AI. 

“A critical ingredient for managing our inventory levels will be machine-based learning and AI, with the introduction of credible but fit-for-purpose sales and operational planning tools across our organisation.”