The company combines everyday essentials with a selection of artisanal products. The main store combines a cash-and-carry section with a regular supermarket, while the second location focuses more on serving tourists. Both stores are supported by a large distribution warehouse.
Business case
Before implementing LS Central, Esperamos Supermarket used SAP Business One for ERP and SMS LOC for supermarket operations. The lack of integration between the two systems created significant challenges for the company. One of the primary issues was data synchronization. Since the two systems did not communicate with each other, Esperamos Supermarket found it challenging to maintain consistent data across the business. The company relied heavily on manual data entry, which not only slowed down processes but also increased the risk of errors. As a result, Esperamos Supermarket struggled to make timely, data-driven decisions and operate efficiently.
Over time, the supermarket realized that their IT setup couldn’t keep up with their growing needs. “We found ourselves struggling with inventory management across our multiple locations and needing help to balance supply and demand effectively,” says Ricardo de Freitas, CEO at Esperamos Supermarket. “The lack of integration between our ERP and POS systems was hindering our ability to achieve real-time, precise perpetual inventory management, which we recognized as crucial for our future growth and the implementation of modern retail strategies.” These challenges prompted Esperamos Supermarket to seek out new business management software.
Solution
Esperamos Supermarket chose LS Central, LS Retail’s unified retail management software built on Microsoft Dynamics 365 Business Central ERP, for its comprehensive functionality that aligned with their operational needs. Key factors in their decision included:
- advanced POS features
- streamlined inventory management
- efficient opening and closing processes
- flexible pricing and promotions
- specific user permissions
- seamless integration with payment providers
“LS Central’s ability to manage our two-store, 17-POS setup efficiently was crucial,” says de Freitas. “The added benefits of Microsoft’s cloud infrastructure, offering scalability, improved security, and easier maintenance, sealed the deal.” While features like loyalty programs and automated replenishment weren’t part of the initial implementation, the potential for future expansion made LS Central an attractive long-term solution for Esperamos Supermarket.
The implementation process, led by the expert team at Optimus Business Transformation, was smooth and efficient. “Their deep understanding of the retail sector, especially supermarkets, was evident throughout the process,” says de Freitas. Their methodical approach, including a thorough process assessment and phased implementation, helped minimize disruptions to daily operations. “Optimus’s expertise in adapting LS Central to our specific needs, combined with comprehensive training and ongoing support, was crucial to the project’s success, allowing us to leverage the new system’s capabilities quickly,” says de Freitas.
Optimus Business Transformation worked closely with Esperamos Supermarket during the whole process, using their expertise in LS Central and the supermarket industry to quickly address any issues. “Their support extended beyond the initial setup, offering valuable guidance on leveraging LS Central's features to improve our operations,” says de Freitas. “This partnership was crucial in successfully transitioning to the new system and positioning us to take full advantage of its capabilities.”
To ensure long-term flexibility and efficiency, Esperamos Supermarket opted for LS Central as a Software as a Service (SaaS) solution. “We chose the cloud-based model for scalability, reduced IT overhead, and automatic updates,” says de Freitas. “SaaS allows us to focus on our core business while ensuring we always have access to the latest features and security enhancements.”
Benefits
LS Central has improved the company’s ability to respond to customer demands, improved product availability, and increased customer satisfaction. Here are a few of the numerous positive changes to their day-to-day operations:
- Real-time inventory management: “Being able to see our inventory in real-time across our two stores has allowed us to optimize stock levels and reduce waste, which is especially important for our fresh and artisanal products,” says de Freitas.
- Streamlined operations: LS Central has streamlined processes from POS operations to administrative tasks, reducing manual work for employees and improving efficiency across both stores.
- Enhanced customer service: With the help of mobile POS devices, employees can assist customers and process transactions anywhere in the store, enhancing the overall shopping experience. “We've also gained the flexibility to quickly implement new services like curbside pickup, meeting evolving customer needs,” says de Freitas.
- Improved warehouse efficiency: “LS Central is crucial in managing our main warehouse, which is integrated into our largest store,” says de Freitas. “We use mobile POS devices to efficiently handle packing, picking, put-away, receiving, shipping, and inventory movements.” The company can manage inventory and restock shelves more efficiently, improving product availability and customer satisfaction.
- Access to advanced analytics: Analytics for LS Central, the Business Intelligence suite built on Microsoft Power BI, offers a comprehensive range of data analysis and reporting options for LS Central data. “The analytics add-on enables data-driven decisions, helping us better manage our product mix and promotional strategies,” says de Freitas.
Since implementing LS Central, Esperamos Supermarket has also experienced several key improvements to their overall business performance, such as:
- A 15% reduction in inventory costs while maintaining optimal stock levels.
- A 30% decrease in time spent on purchasing and inventory management tasks, allowing staff to focus more on customer service.
- A 10% increase in overall sales.
- A 20% reduction in Perishable waste.
- Improved KPIs, including a 15-point increase to the Net Promoter Score (NPS).
- A 12% reduction in overall operational costs due to enhanced efficiency.