Case Studies > Kroger's Digital Transformation: Leveraging Dynatrace for Enhanced IT Operations

Kroger's Digital Transformation: Leveraging Dynatrace for Enhanced IT Operations

Technology Category
  • Infrastructure as a Service (IaaS) - Hybrid Cloud
  • Sensors - Temperature Sensors
Applicable Industries
  • Cement
  • Retail
Applicable Functions
  • Maintenance
  • Product Research & Development
Use Cases
  • Construction Management
  • Infrastructure Inspection
Services
  • Cloud Planning, Design & Implementation Services
About The Customer
Kroger is the largest supermarket chain in the United States, boasting nearly 2,800 stores across 35 states. The company serves approximately 9 million customers daily and generated a revenue of $121.2 billion in 2019. Despite its extensive physical presence, Kroger had a limited digital footprint about five years ago. To address this, the company underwent an aggressive digital transformation, moving to a hybrid, multicloud environment comprising Microsoft Azure, Google Cloud Platform, and on-premises infrastructure. This move, while necessary, introduced significant complexity into Kroger's IT stack, necessitating a more sophisticated approach to IT monitoring and management.
The Challenge
Kroger, the largest supermarket chain in the United States, embarked on an aggressive digital transformation about five years ago to enhance its limited digital presence. This transformation led to a shift to a hybrid, multicloud environment, incorporating Microsoft Azure, Google Cloud Platform, and on-premises infrastructure. Consequently, Kroger's IT stack became increasingly dynamic and complex, making it challenging to monitor and manage. The company identified a need for greater observability into its environment to ensure its digital teams could access the insights they needed to deliver seamless digital experiences to customers. Additionally, Kroger's monitoring team, known as the 'Captain America Truth and Justice' team, sought to establish a common language for problem resolution to expedite the process.
The Solution
To address these challenges, Kroger adopted Dynatrace, a solution capable of handling the complexity of its hybrid, multicloud environment and future-proofed for new platforms. Dynatrace's AI and automation capabilities automatically instrument Kroger's entire hybrid, multi-cloud environment, processing billions of dependencies in real-time. This provides the full-stack observability and precise answers that Kroger's teams need to maintain seamless digital experiences for its customers. Dynatrace's automation capabilities provide Kroger with out-of-the-box observability into its dynamic cloud environment. Its single agent approach means Dynatrace can automatically discover and instrument all application and infrastructure components across Kroger's hybrid, multicloud ecosystem, eliminating blind spots and avoiding the need for multiple tools and agents. Furthermore, Dynatrace's AI-assistance eliminates false positives and offers Kroger precise answers and code-level insights into system degradation or performance anomalies, prioritized by business impact.
Operational Impact
  • The adoption of Dynatrace has led to significant operational improvements at Kroger. The single source of truth for all of Kroger's digital performance data ensures that its infrastructure, application, and database teams are all speaking the same language and can collaborate more effectively. Teams are also able to self-serve the data and insights they need to understand how digital services can be optimized to create better customer experiences, enabling them to operate more effectively. Furthermore, the AI-powered insights from Dynatrace have reduced the need for war room calls and allowed IT teams and developers to spend less time troubleshooting and more time innovating. Teams are also no longer held back by the need to figure out how to monitor a new application or service before it goes live; Dynatrace automatically discovers and instruments it.
Quantitative Benefit
  • Reduced the number of support tickets generated following the launch of a new application from 700 to just 7 per week, in the space of a single month.
  • Dynatrace's AI and automation capabilities can process billions of dependencies in real-time.
  • Kroger's digital transformation has led to the creation of a hybrid, multicloud environment, incorporating Microsoft Azure, Google Cloud Platform, and on-premises infrastructure.

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