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Project

Magnit has scaled the technology of checking the shelf life of dairy products at the checkout for the entire retail network

Customers: Thunder Chain of stores Magnit

Trade

Product: Honest Sign
Second product: IT outsourcing projects

Project date: 2020/02  - 2023/01

2023

Scaling the technology of checking the shelf life of labeled goods to all stores of the chain

On February 1, 2023, Magnit announced that it had scaled the technology for checking the shelf life of dairy products at the checkout using the Honest Sign labeling system to the entire retail chain. The technology complements the company's shelf life control procedures and helps to avoid the sale of expired products, eliminating the human factor.

The algorithm created by Magnit specialists allows you to instantly receive information from the Fair Sign marking system about the shelf life of the product when it is scanned at the checkout and block the transaction if the product is expired.

Magnit began testing the technology at the end of 2022, and during January scaled it to the entire network, which unites more than 27 thousand stores, about 70.5 thousand cash desks and 2.4 thousand self-service cash desks. All new Magnit stores will also be connected to this technological solution.

As of February 2023, the technology allows you to check the shelf life of labeled dairy products at the checkout. Later in 2023, Magnit, in partnership with the CRPT, the operator of the labeling system, plans to extend this technology to the categories of packaged water and beer (as well as beer drinks, cider, poiret and mead). Connecting other product categories will be possible after the corresponding options for transferring data on shelf life in the Fair Mark marking system appear.

Шаблон:Quote 'author = said Ruslan Ismailov, Deputy General Director of Magnit retail chain.

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We see great interest in the technology of combating delay using the marking "Honest Sign." The state, consumers, and the business itself are interested in this. The company is well aware that additional protection for buyers is a huge plus for reputation. On February 1, 2023, at the initiative of the Russian government, an experiment on the introduction of such a system on a voluntary basis will start. Any store can join it, regardless of scale,
noted Revaz Yusupov, Deputy General Director of the Center for the Development of Advanced Technologies (operator of the Honest Sign marking system).
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Introduction of technology for blocking the sale of expired products at cash desks

Magnit has introduced a technology for blocking the sale of expired products at cash desks. The retailer announced this on January 16, 2023.

The new solution implemented by Magnit allows you to receive information from the Fair Sign marking system about the shelf life of the goods when it is scanned at the checkout and block the transaction if the goods are overdue. Thus, if such a product is mistakenly found by the consumer (for example, if an employee of the store at the peak of workload did not have time to remove a trolley from the trading floor with products removed from the shelves that have already expired), its sale becomes technically impossible.

Magnit has introduced a technology for blocking the sale of expired products at cash desks

During January 2023, Magnit plans to scale the new technology to the entire retail network, which unites more than 27 thousand stores. New points will be connected gradually. According to the Center for the Development of Advanced Technologies (CRPT, operator of the labeling system in Russia), Magnit was the first retailer to implement such a decision.

In the future, Magnit, in partnership with the CRPT, plans to extend the technology for checking the expiration dates and blocking the sale of expired products to other labeled product categories, for example, packaged water.

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Launching an expiration date check at the checkout when scanning the marking is a technically difficult, but very useful project for our buyers, which will completely exclude the sale of expired goods. The technology we have developed will be the starting point for further integration of such solutions for other categories of labeled goods, as well as in other areas of development of the service offer in which we are actively working, including in close contact with the CRPT, "said Yuri Misnik, director of digital technology at Magnit retail chain.
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2020

Start of transfer of documents for the supply of labeled products

On March 11, 2020, the operator E-DOCUMENT FLOW SKB Kontur announced the beginning of the transfer of documents for the supply marked of products between "" and Magnet its counterparties. More. here

Marking System Designer Selection

Center for the Development of Advanced Technologies (CRPT), operator of the national system of digital labeling and traceability of goods Honest Sign and the second network in Russia by revenue in March 2020 Magnit announced a strategic partnership in the field of labeling and traceability of goods. The creator of the labeling solution for Magnit was the Russian company E-COM, the developer of SaaS services for B2B/B2G integration and electronic document management. This was announced on March 4, 2020 by E-Com.

The experiment of Magnet and CRPT will help at the testing stage to identify and eliminate imperfections in the marking system. The program will be attended by Magnit suppliers, who will soon also face this process. Cooperation between the CRPT and Magnit will help reduce the costs of other market participants on the introduction of labeling.

E-COM will provide the technical side of the project, the E-COM service will allow you to implement an internal accounting loop for marking codes and traceability of goods within the network from the distribution center to the cash register.

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Magnit has a very versatile business, in addition to retail sales, there is production, packaging, processing and wholesale of labeled products. Therefore, we have chosen a contractor who is ready to implement a technical solution that meets our conditions and will minimize development on our side,
explains Maxim Filimonov, head of the department for the development of EDMS and legislative projects from Magnit
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The peculiarity of the integration SaaS-ßÑÓó¿ßá E-COM, developed specifically for Magnit, is that a significant part of the business logic is focused on the service side and the network can reduce the amount of improvements to its systems for integration with the Honest SIGN and the transmission of marking codes. The functionality of the solution covers more than 15 business processes, including production, processing, internal movements, wholesale and retail sales, commission and much more.

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This is not the first time E-COM has made integration solutions for large networks and state regulators. Our system is already designed for large volumes that correspond to Magnit's turnover - this is 15 billion units of goods per year with a data retention period of 5 years, 10 billion checks, 3 billion incoming documents and this is just the beginning.
noted Alexey Aksenov, director of E-COM
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The labeling integration service will help both suppliers and other networks to integrate the solution into their business processes as flexibly as possible and minimize the costs associated with its launch. And buyers of retail chains will be able to be sure that the purchased products are legal and have passed all the necessary checks.

Labeling of goods will become mandatory for all categories by 2024. For March 2020, the experiment covers the commodity groups of tobacco and shoes, next in line is milk dairy products, perfumes, water, tires, light industry and much more.

Digital Labeling Implementation Agreement

On February 26, 2020, Magnit announced the introduction of digital labeling of goods on the network. To do this, the retailer has entered into an agreement with the Center for the Development of Advanced Technologies (CRPT), the operator of the Honest Sign national system for digital labeling and tracking of goods.

It is planned to label the entire range of products, including perfumes, tobacco, medicines, light industry products and shoes. The first to enter the experiment was the dairy producer Vakinsky Agro.

Magnit introduces digital labeling of goods

The project covers all operations of the Honest Sign system, including issuing and applying codes, putting goods into circulation, tracking the movement of products with acceptance and transfer through the electronic document management system and putting goods out of circulation through online store cash desks.

Consumers, buying labeled goods, will be able to be sure that the products they purchase are absolutely legal and have passed all the necessary stages of verification.

 Marya Dey, Supply Chain Director of Magnit Retail Chain, believes that participation in the project will allow the company to configure all processes for the turnover of labeled goods, find effective technical solutions and reduce its operational risks.

Magnit also contributes to the filling of the National Catalog of Goods - part of the unified digital marking system "Honest Sign." As part of the project, the company provides its expertise and experience in collecting and processing large amounts of data.

As the deputy general director of the CRPT Revaz Yusupov told Vedomosti,  other large retail chains were not offered to take part in testing. He explained that Magnit has many suppliers of products and other goods and sells all labeled products, except for cameras and fur coats. In addition, the network has wholesale divisions, its own electronic document management system, on which the CRPT will check the labeling processes.[1]

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