Recorded live from the NRF Big Show in New York, I sit down with Rachel J. Calhoun, Global Leader for Retail, Consumer Goods and Travel at Kyndryl. In a fast-paced and wide-ranging episode, we dive into both the tradecraft of helping retailers adapt and integrate modern technology seamlessly and the real ROI of AI in retail — from reducing stockouts and modernizing commerce engines to closing what she calls the “adaptation gap” between consumer expectations and legacy systems.
Recorded live at the NRF Big Show in the Narvar podcast studio, Michael LeBlanc sits down with Rachel J. Calhoun, Global Leader, Retail, Consumer Goods & Travel at Kyndryl, for a fast-paced and insight-rich conversation on the future of retail technology, AI integration, and enterprise transformation.
Rachel shares Kyndryl’s evolution since spinning off from IBM, moving beyond managed infrastructure into advisory, consulting, AI integration, and mission-critical systems modernization. With over 80,000 employees globally and deep roots in retail, airlines, and banking, Kyndryl is helping retailers close what Rachel calls the “adaptation gap” — the widening divide between consumer expectations and retailers’ ability to integrate emerging technologies into legacy systems.
A central theme of the episode is the shift from project-based IT transformation to an always-on, agile operating model. Rachel explains that retailers can no longer treat digital modernization as a three-year refresh cycle. Instead, AI, data integration, and real-time systems must evolve continuously to drive customer experience, dynamic pricing, retail media growth, inventory optimization, and supply chain resilience.
The conversation dives deep into AI’s real-world impact. While some economists question AI-driven productivity gains, Rachel points to measurable improvements: reduced stockouts, improved inventory visibility, faster commerce re-platforming, and agentic AI use cases moving from pilot to production. She emphasizes that the real unlock isn’t just technology — it’s organizational change management. Retailers must integrate people, process, and platform simultaneously to see ROI.
Michael and Rachel also discuss RFID adoption, visual AI in grocery and loss prevention, 5G infrastructure constraints across store fleets, and the growing board-level urgency around AI investment prioritization. Rachel outlines Kyndryl’s “show versus tell” consulting model, where forward-deployed engineers demonstrate live code modernization and AI activation in real time, shifting commercial models toward shared-value, outcome-based engagements.
The episode concludes with Rachel’s bold outlook on AI in retail. On a scale of 1–10, she ranks her optimism at a 9, citing firsthand evidence of agentic commerce, conversational commerce, and real-time system integration driving tangible business outcomes.
For Canadian retailers navigating market disruption, store fleet transitions, and accelerating digital expectations, this episode offers both strategic clarity and operational guidance.