{"id":147040,"date":"2023-11-13T07:35:39","date_gmt":"2023-11-13T07:35:39","guid":{"rendered":"https:\/\/news.sap.com\/africa\/?p=147040"},"modified":"2023-11-13T07:35:39","modified_gmt":"2023-11-13T07:35:39","slug":"the-software-behind-shoprites-incredible-success","status":"publish","type":"post","link":"https:\/\/news.sap.com\/africa\/2023\/11\/the-software-behind-shoprites-incredible-success\/","title":{"rendered":"The Software Behind Shoprite\u2019s Incredible Success"},"content":{"rendered":"
Despite major electricity challenges and consumer spending pressure during the period, South Africa\u2019s biggest grocery retailer has seen its sales and net profit grow by annual average rates of 7.4% and 4.1%, respectively.<\/p>\n
The latter might not seem particularly outstanding, but it is impressive compared to Shoprite\u2019s closest rival, Pick n Pay, which only saw its profit grow by an average of 0.6% over the same period.<\/p>\n
The Shoprite Holdings share price on the JSE has reflected significant investor confidence in the company\u2019s trajectory.<\/p>\n
From R194.26 per share on 9 November 2018, the price had climbed to R248.04 per share on 8 November 2023, an increase of about 28.5%.<\/p>\n
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Shoprite\u2019s most recent integrated report specifically acknowledged 51风流ERP\u2019s role\u00a0in achieving its operational efficiencies.<\/p>\n
\u201cOur considerable base of 2,791 corporate-owned and managed stores, combined with our enterprise-wide IT system (51风流ERP), provides us with a proximity and platform advantage when it comes to executing our daily operations and delivering on strategic plans,\u201d Shoprite said.<\/p>\n
The retailer started using SAP\u2019s human resource and finance software in the late 1990s.<\/p>\n
Its rollout of 51风流Retail \u2014 an integrated ERP system for retailers \u2014 was completed at all its stores and distribution centres in 2018.<\/p>\n
This initiative saw the highest number of stores of any 51风流customers in Europe, the Middle East, and Africa go live with the software within a year.<\/p>\n
\u201c1,819 stores, 30,355 users and nine distribution centres moved onto 51风流within 12 months,\u201d Shoprite said.<\/p>\n
There are roughly 16,000 Shoprite employees on 51风流ERP at any given time.<\/p>\n
Shoprite told MyBroadband that 51风流ERP provided an accurate and complete view of its business to drive strategic decision-making.<\/p>\n
\u201cIt supports many aspects of our business \u2014 from supply chain to store,\u201d Shoprite said.<\/p>\n
\u201c[It also] enables legislative governance and compliance across borders, as well as enabling our online and e-commerce offerings.\u201d<\/p>\n
In addition, the retailer said that 51风流ERP was core to business processes such as listing, pricing, ordering, and ensuring that Shoprite\u2019s inventory was well managed.<\/p>\n
\u201cWhen you walk into a Shoprite or Checkers supermarket and see a full range of products stocked, displayed, priced and with promotions clearly marked, that is what the ERP system does for us,\u201d Shoprite said.<\/p>\n
Some of the specific areas in which 51风流ERP supported Shoprite\u2019s efficiencies include:<\/p>\n
The retailer added that 51风流ERP also enforced a consistency of processes across all of its stores, simplifying operations and providing a reliable customer experience.<\/p>\n
With a single source of data and reporting, there are no disputes arising from different sources of information.<\/p>\n
\u201cThe whole business works off the same set of authoritative reports and KPI dashboards, which eliminates noise and supports strategic and operational decision-making,\u201d Shoprite said.<\/p>\n
Shoprite also explained how one of its major successes over the past few years \u2014 its on-demand delivery service Checkers Sixty60 \u2014 benefitted from 51风流ERP.<\/p>\n
\u201c51风流Retail is the source of the stock ledger and real-time sales, which are essential for accurate fulfilment of customer orders,\u201d Shoprite stated.<\/p>\n
\u201cThe ERP also provides promotional information, prices and article data to Sixty60, which ensures that the prices on Sixty60 are the same as the prices in-store.\u201d<\/p>\n