The network of Georgian supermarkets "Nikora" will reduce logistics costs by 10% with the help of SAP

2021: Start digital transformation

Nikora, one of the supermarket chains in Georgia, is beginning a digital transformation based on the SAP S/4HANA platform. On May 26, 2021 the SAP CIS company reported about it. The key results of the digital project will be a reduction in logistics costs by 10%, and the turnover rate of inventory will increase by 20%.

Nikora's digital transformation project based on SAP solutions will be implemented in three stages. The key phase will be the implementation of SAP S/4HANA, the "digital core," which will combine the key business processes of the company. Modules for inventory, supply and sales management will be implemented. In addition, production processes and basic category management, as well as financial accounting and end-to-end analytical reporting in real time will be automated at this stage.

The second stage of transformation will be the implementation of the SAP EWM solution for managing distribution centers and warehouses. The system will reduce the processing time for orders by 48%. The last phase of the project will introduce an IT product for advanced category management of SAP CAR, so that the retailer can build an accurate forecast of product demand and carry out auto-orders for all supermarket chain facilities. It is planned that the solution will allow the company to reduce the number of unclaimed inventory by 30% and reduce the amount of lost revenue by 25%.

The main goal of our digital project is to increase the efficiency and scalability of the business. Nikora is several enterprises with various activities, a large-scale distribution network and numerous trading facilities. It is important for us to use the best and proven digital solutions in order to grow, develop and achieve large-scale goals, "said Temur Alexandria, financial director of Nikora.