Part of a dynamic 6-person UX design team and 1 UX researcher, I contributed to this transformative project from September to December 2022.
Lotte Mart stands as a prominent South Korean hypermarket chain, operating under Lotte Co. Ltd. The retail giant offers a comprehensive shopping experience, from groceries and clothing to electronics and toys, serving customers across South Korea and Japan with its diverse retail and food services.
Despite operating 175 stores globally (111 domestic and 64 international) as of 2023, Lotte Mart's back operations relied heavily on manual processes. This led to extended order fulfillment times, tracking difficulties, and frequent human errors in order management.
Our study of 111 participants uncovered key operational pain points:
Lotte Mart engaged our team to assess their backend operations and identify opportunities for improvement. Our mission was to design a digital solution that could support a 2-3x increase in order volume, positioning them to become Vietnam's leading online grocery retailer within 3-5 years.
Lotte Mart
Our solution started with mapping out every critical touchpoint in the picker's journey. From the moment they log in until their shift ends, we crafted detailed process flows that would become the backbone of the new system.
Our deep dive into existing operations revealed two critical process areas needing improvement:
We implemented an auto-assignment system with store-level settings, allowing for customized prioritization and capacity management. This reduced processing time to under 30 seconds per order.
We developed an integrated system with features including:
Given the manual nature of current as is process, Tracking, ownership and accountibility seems to be a major challenge for the business. It is difficult to keep track of which picker is working on what orders.
With this approach, we are drastically eliminating the shortcomings of the manual process. Furthermore, it is easy to keep track of what orders are assigned to which users so that we can track their progress at each step of the way. Introducing accountability will provide great insight and value to the to be process
Given the manual nature of current as is process, Tracking, ownership and accountibility seems to be a major challenge for the business. It is difficult to keep track of which picker is working on what orders.
The introduction of digital cross verification along with the pickers item knowledge, this will ensure the pickers are:
One of the major painpoints of the current picking process is the time taken to locate all items on the picking list. Due to the large number of SKU's and big stores. Inexperienced pickers find it difficult to navigate and find the required items. and this greatly adds to the picking time.
The item locator is going to play an integral role in reducing the overall picking time by giving accurate and latest data on the items location.
Due to the manual nature of the current process, reporting out of stock items is currently carried out on the physical order list, and the operator has to check the physical list and make changes. This is time consuming and is increasing the human effort, with an added layer of human error and data loss
This feature will introduce accurate reporting and real time inventory tracking for the concerned teams to take accountability and next steps
As the picking process is carried out instore, if help or assistance is required by the pickers, they have to first go back to the operator or ask nearby staff, due to difference in location and the knowledge of who is who, it can rather be a time consuming affair
Lotte Mart
Our approach extended to the crucial last mile of the retail chain - the delivery process. After optimizing the in-store operations, we focused on creating an efficient delivery system that would maintain the same level of accuracy and speed all the way to the customer's doorstep.
Our deep dive into the delivery operations uncovered key pain points:
Given the manual nature of current as is process, Tracking, ownership and accountibility seems to be a major challenge for the business. It is difficult to keep track of which delivery partner is working on what orders.
With this approach, we are drastically eliminating the shortcomings of the manual process. Furthermore, it is easy to keep track of what orders are assigned to which users so that we can track their progress at each step of the way. Introducing accountability will provide great insight and value to the to be process
Given the manual nature of the current as is process, Keeping track of multiple packages for various orders seems to be a major challenge for the business. It is difficult to locate the correct packages for specific orders from the shelf zones.
With this approach, we are drastically eliminating the shortcomings of the manual process. Furthermore, it is easy to keep track of various number of packages for specific orders.
Given the manual nature of the current as is process, Keeping track of the delivery process of various orders seems to be a major challenge for the business. It is difficult to keep track of the timeline of multiple orders.
With this approach, we are drastically eliminating the shortcomings of the manual process. Furthermore, it is easy to keep track of the delivery timeline of multiple orders.
Navigating routes for multiple orders and finding the correct routes seems to be a factor affecting on time delivery. The current manual process leads to navigational errors which might cause late deliveries.
In app navigation will majorily help towards on time deliveries without the chaos and confusion of managing delivery routes for multiple orders together.
Given the manual nature of the current as is process, it makes it difficult for the delivery partners to contact the customers to verify and confirm delivery location, espcially in case the customers are tourists or if they don’t speak Vietnamese.
With this approach, we are eliminating the possibility of miscommunication, thus leading to efficiency in the delivery process.
Once the delivery partner is close to the delivery location they will receive a push notification saying they are a few meters away, thus also prompting them to contact the customer in case they require guidance.
Online payments provide convenience for both customers and business owners. Customers don’t need to manually send their proof of payment. Business owner don’t have to manually record it as well. This process can minimize errors that may occur due to human error, such as incorrectly entering buyer data or losing records due to damaged files.
The real-time updates ensures seamless communication between the Operator and the driver
With the current As - is process the delivery drivers have to manually update COD collection after reaching the store, to the Store Admin. This is time consuming and is increasing the human effort, with an added layer of human error and data loss
This feature will introduce accurate reporting and real time updating for COD orders and reduces human efforts and errors
Lotte Mart
Our final piece of the solution was designing a comprehensive Delivery Management System - a central hub that connects all operational aspects of Lotte Mart's delivery ecosystem.
The Order Management module serves as the nerve center for all order-related operations. It provides real-time visibility of orders across their lifecycle, from creation to delivery. Store managers can track status updates, handle modifications, and manage order priorities seamlessly.
This module empowers store operations with robust inventory tracking capabilities. Stores can efficiently manage their zones, monitor performance metrics, and adjust operating parameters. The system allows for dynamic capacity management, ensuring optimal resource utilization across different store locations.
At the heart of operational control, the User Management module handles all user-related functionalities. It implements sophisticated role-based access control, tracks user performance, and manages attendance and shifts. The system streamlines the onboarding process and ensures appropriate access permissions across the platform.
The Delivery Management module optimizes the entire delivery process through intelligent partner allocation and route optimization. It provides continuous real-time tracking of deliveries, monitors delivery times, and includes a comprehensive support system for handling exceptions and issues that arise during delivery.
This module handles all financial aspects of the operation, processing transactions and managing reconciliations seamlessly. It includes sophisticated systems for handling refunds, calculating commissions, and resolving payment disputes, ensuring smooth financial operations across the platform.
The reporting module transforms raw data into actionable insights through intuitive dashboards and comprehensive reports. It enables data-driven decision making by tracking key performance indicators and providing valuable business intelligence insights for continuous operational improvement.
Given the current manual as is process, it is difficult to keep track and manage the operations of multiple stores all together in real time.
With this approach,it is easier to keep track and manage the operations of multiple stores all together in real time in an organised manner.
Given the current manual as is process, it is difficult to keep track and manage the operations of multiple stores all together in real time.
Given the current manual as is process, it is difficult to keep track and manage the operations of multiple stores all together in real time.
Measurable results delivered
A remarkable journey deserves an exceptional team. This transformation wasn't just about systems and processes—it was about people coming together to create something impactful. Our designers brought creativity and precision, our researcher uncovered crucial insights, and our project manager orchestrated it all with vision. Every late-night iteration, every user interview, and every design sprint reflected our shared commitment to excellence.
Rishikesh Arolkar 🇮🇳, Quintus Duong 🇻🇳, Ishita Srivastava 🇮🇳, Kaviya Anandaraman 🇮🇳, Kavya Kriti Mittal 🇮🇳, Hùng Vương (Ethan) 🇻🇳, Hoàng Lan Nguyễn Hồng 🇻🇳
Vedhika Anoora 🇮🇳
Huỳnh (Tony) NGUYỄN 🇻🇳