Leifur Eiriksson Air Terminal

Leifur Eiriksson Air Terminal (LEAT) addresses supply chain challenges with LS Retail software and Microsoft Dynamics ERP

Leifur Eiriksson Air Terminal (LEAT) operates the passenger terminal at Keflavík International Airport. It is a main gateway for visitors to Iceland and a hub for transatlantic traffic. Today, the business operations of LEAT involve the operation, maintenance and development of the Air Terminal. In the year 2005 a subsidiary was founded to manage Fríhöfnin ehf. (Duty Free Store Ltd), which took over the retail operations. The Business Management System used throughout the operation is an information and distribution solution from LS Retail, based on Microsoft Dynamics.

LEAT expands rapidly

The business operations at Keflavík Airport have grown exponentially alongside the surge in visitors and the increasing travel trend among Icelanders. LEAT serves as a state-of-the-art service center for international passengers, both arrivals and departures.

The Duty Free Store operates four conveniently located stores: one in the main departure area, one for arriving passengers, and two in the south building to enhance the convenience for transfer passengers and last-minute shoppers. Thanks to these strategic locations, transit passengers can easily disembark from their aircraft and promptly enter the stores. The new stores primarily focus on offering a wide range of alcohol, tobacco, sweets, and cosmetics.

During peak hours, the stores can become quite hectic, necessitating the system to perform with exceptional speed and accuracy. Elín Arnadóttir, Director of Finance at LEAT, emphasizes the significance of their information system, stating, "We value our information system greatly. We employ the LS Retail software solution across all our business units, which provides us with an all-in-one solution for purchasing, customs, warehousing, store and point-of-sale operations, as well as the back office and financial system. The system ensures optimal reliability and information flow, allowing us to easily extract data, such as sales figures. As our business has experienced rapid growth, with a current workforce of 100 employees and an additional need for 50 more during the summer season, it has been crucial for our information system to seamlessly grow alongside our expanding operations."

Speed, reliability, and data access

The shops and services provide the income basis of the Air Terminal, but the company also tries to guarantee that the special atmosphere of the airport is reflected by offering diverse opportunities for all to enjoy.

LEAT manages warehouse operations with handheld devices. Fríhöfnin ehf. (Duty Free Store Ltd) built and opened a new warehouse in 2005. The company evaluated warehouse systems on the market and eventually selected LS Retail software for the management of stock and warehouse.

LS Retail was involved in the project from the beginning by providing consultancy, implementation and service concerning the warehouse, all the way from the organization of the warehouse to the setup of processes and handheld computers in the operation.

The LS Retail Warehouse solution is designed to meet modern demands in logistics and inventory control. Precise workflow in the warehouse inevitably improves the quality of data contained in the system. The solution also includes the manager dashboard, which in one window displays all the most important control features of warehouse processes. This window shows the inventory status in all the main areas of the warehouse that are connected to key processes.

LS Retail has designed processes for handheld computers. The solution for the handheld computers includes standard processes that deal with daily tasks performed by the warehouse employee, such as item lookup, receiving, put-away, picking, transfers, delivery, shrinkage, and inventory. The purpose of the solution is to simplify the general workflow and increase the safety of data in the information system. LEAT implemented all the standard procedures of the solution for use in the warehouse.

“Work-processes have become much more efficient and the reliability of the system has greatly increased since we started using the warehouse system and the handheld solutions. The stock situation used to be quite different before. The scale of the stock was much smaller, the warehouse was not divided into areas and handheld computers were not used at all. It is invaluable to have an integrated information system that guarantees a smooth procedure from order, through receiving, delivery to stores all the way to the sale. This ensures that the quality and speed of service is optimal at all times and stock levels are kept low, which should be the key to maximum return,” says Elín Arnadóttir.