Executive Summary
Q2 FY26Building on Q1 foundations, the team is turning planning into execution — advancing core platforms within existing funding constraints through AI, automation, and strategic capacity management.
Oracle xStoreOracle Retail Xstore — the POS platform used across all Levi’s stores globally v25 is on plan: Canada launches first, followed by the US in 2026; Mexico moves to Q1 ‘27, while Europe and Asia remain deferred to align with active SOLARStore Operations Launch & Activation Roadmap — regional deployment programme rollouts. FY25 carryover initiatives CI/CD enablement and the Oracle Database 19c upgrade are closing out, reducing technical debt and strengthening reliability.
ACCAutodesk Construction Cloud — legacy project management platform being replaced by 4URSpace/4URspace is moving from discovery to delivery. Q1 confirmed ACC replacement direction via fit-gap/migration discovery and stakeholder alignment on a simpler, more cost-effective future state. Q2 shifts to value realisation — simplifying Store Development through a ServiceNow-led operating model, validating 4URSPACE in a controlled pilot, and creating a low-risk path to cut operational complexity and ACC run-rate costs.
The AECAutodesk Engineering & Construction Collection — licence bundle (44 licences) under review for right-sizing (Autodesk & Revit) workstream has shifted from assumed necessity to deliberate optimisation after Autodesk negotiations exposed elevated legal and commercial risk. Q1 established clarity — confirming AEC dependency is largely design review (not core authoring), with most production work done by external partners on their own licenses. Right-sizing AEC to a defined minimum baseline, aligning licenses to true business need, and reducing risk exposure while safeguarding near-term delivery — positioning AEC as fit-for-purpose rather than a legacy commitment. As of this QBR, we have not found a competitive product to AEC without eliminating capabilities which the store design team utilizes today. We will continue investigating alternative products.
As part of SOLAR R3.3, we successfully delivered all Retail system changes across 13 APACAsia-Pacific region — 13 markets, ~1,300 stores, 4 time zones covered in SOLAR R3.3 cutover markets, approximately 1,300 stores, and 4 time zones — on schedule and with minimal impact to store and business operations. The scope spanned a full redesign of the Xstore and RetailPro POS integration architecture (now leveraging the Xstore Poslog broadcaster model for real-time S/4 synchronisation), Adyen auto-settlement enablement for Australia and Singapore, Franchisee POS integration onto the S/4 canonical model, and seamless transition of fragmented loyalty systems across all markets. E-Tax integrations for Malaysia and Thailand, along with market-based traffic count system updates, were completed in parallel — all delivered with zero defects and zero downtime. The cutover executed overnight between 5 April EOD and store opening on 6 April. SOLAR discovery in Europe and Andes/Brazil remains active through FY26, with LSELevi Strauss Europe — next SOLAR migration target after APAC R3.3 migration planning underway.
The team continues to prioritise platform stability, compliance readiness, and execution predictability, with plans recalibrated to true capacity — driving stronger delivery momentum into H2 FY26.
OKR Highlights
Q2 FY26- $ revenue protected from POS outages or vendor support failures
CA: 0
USA: 0
CA: 0
USA: 0
CA: 0
USA: 0
- Reduction in store-impacting incidents caused by human error (% decrease)
- Time-to-production for new features (days/weeks reduction)
LSE: 25%
LSA: 40%
LSE: 80%
LSA: 80%
- 0% of global store projects successfully migrated to 4URSpace (Target: 100%)
- 100% improvement in on-time project delivery post-migration
- Reduction in delivery escalations due to lack of visibility (# decrease)
Accomplishments This Quarter Since Last QBR
Q2 FY26- Global Xstore Base Code & Java upgrade completed
Java Runtime: 1,134 files evaluated, 288 required remediation (25.4%)
Base Code: 97 files impacted with 7,681 changes - Alignment on rollout schedule with US/CA business partners
- LS&Co custom code migrated for Canada; preparing for SIT1System Integration Testing Phase 1 — first formal integration testing milestone
- Kick-Off with DTEDeployment & Test Environment team — handles imaging, break/fix, and NSO processes & S4 teams commenced
- Enabled vendor access & validated API-based extraction feasibility at scale
- Documented & formalised ServiceNow service-account/security model
- Established data mapping + operating model for migration
- De-risked migration: scope clarity, technical connectivity, security approvals
- Xstore & RetailPro POS: Redesigned integration architecture using Xstore Poslog broadcaster model for real-time S/4 sync; unified pattern across all 12 markets
- Adyen Auto-Settlement (AU & SG): Enabled with S/4; merchant accounts reconfigured, settlement reporting integrated
- Franchisee POS Integration: Flat file mapped to S/4 canonical model; full canonical adoption
- Loyalty Systems (all markets): Fragmented systems transitioned; APIs updated — zero defects, zero downtime
- E-Tax Integrations (MY & TH): Completed with API changes aligned to new S/4 codes — zero defects, zero downtime
- Traffic Count Systems (all markets): Updated across all markets with no business disruption
- Cutover executed overnight: 5 April EOD → 6 April store opening
- Active execution across IN, PK, and ZA
- Week of 4/13: 81 machines planned, 57 upgraded, 24 under investigation
- Target completion: 30 June 2026
- Resolved blockers preventing end-to-end deployments in non-prod
- KT performed with deployment squad for feedback and adoption
- Initial discussions started to define approach and design
- Focus on Xstore and Xenvironment platforms
- Assessing LSE concession store operations use case
- New QA tool identified for Xstore v25 automation
- Replaces UFTUnified Functional Testing — legacy QA tool, 7 years, incompatible with xStore v25 (7-year legacy tool, incompatible with v25, no AI capabilities)
- New tool: Python-based scripting with AI-enabled test development
Key Learnings & Next Steps
Q2 FY26Learning #1: Early regional and business alignment de-risks deployment execution more than technical readiness alone
The xStore v25 program showed that proactive engagement with regional stakeholders — before deployment windows open — reduces execution risk. Early engagement with Canada and the US (factoring holiday blocks and system constraints) enabled predictable scheduling and avoided reactive replanning. The ORCE contrast (descoped) reinforced that aligning scope, timing, and regional capacity upfront is as critical as technical prep. Future programs should embed formal early-alignment checkpoints into the planning phase, not just execution.
Look Ahead — Q3 Focus
Q3 FY26 PrioritiesIn Q3 FY26, the XStore v25 programme transitions from development and testing into pilot execution and initial rollout, using Canada as the first deployment market to validate readiness before scaling to larger geographies.
In Q3 FY26, the ACC → 4URSPACE programme transitions from technical readiness into controlled execution, with ServiceNow integration completed as the primary gating milestone enabling the start of disciplined migration activities.
In Q3 FY26, the AEC workstream moves from assessment into execution, translating Q2 findings into concrete actions to right-size Autodesk usage while maintaining continuity for near-term store delivery.
In Q3 FY26, the team will execute a focused discovery to evaluate XStore containerisation as a future deployment model, assessing feasibility, complexity, and value to support scalable and flexible store formats.
Deferred Projects
Deliberate & DocumentedORCE — Oracle Retail Customer Engagement
ORCE was deferred to allow the team to focus fully on the V25 upgrade which provides significantly more value to our stores. In addition, Oracle has not announced an End Of Life date for our current version of ORCE and therefore we will defer for as long as possible as this is not a go forward platform once we have a global loyalty, gift card and promotion solution which encompasses eCom and Retail.
PQA — Platform Quality Assurance
PQA is being stopped as part of the Contractor Rebalance reductions. However, we will continue to leverage the learnings, tooling patterns, and automation assets which this team created, allowing us to simplify our operating model, reduce overhead, and focus investment on executing Xstore, Retail Foundations, and CI/CD at scale.
Appendix
Jira Metrics & Deployment TimelineJira Metrics
Deployment Timeline