Leadership Investigate

X5 Retail Group Builds A Post-Merger Unified Multiformat Organization

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Executive Summary

X5 Retail Group N.V. is Russia's largest food retailer in terms of sales. It was formed in 2006 through the merger of two independent companies: Perekrestok, which operated convenience stores, standard supermarkets and city hypermarkets; and Pyaterochka, which operated "Soft-discount" neighborhood stores. Capgemini worked with X5 Retail Group to develop a standard and efficient multiformat regional organization, providing cost reductions and enabling the company's aggressive growth strategy. The new unified organization is helping X5 achieve its integration objectives: implementing best practices from both companies, finding and implementing synergies to increase operating profit and reduce expenses.

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