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Solutions for Retail




  Simple | Intuitive | Flexible | Complete
Market*
                value of the retail market in 2011,
        €23 Bln slight increase compared to 2010
                     is the market share of trade
            98%      in stores out of the retail market
                     is the market share
            75%      of modern retail in cities
                     Romanians will be spending
      €27.5 Bln      for food and non-food products in 2013




                                                                      Consumer,
Consumption                                                           demand and
expenditure*                                                          changing behaviors
                consumption expenditure per capita                    Retailers are influenced by the current consumer
         4.600$ in Romania in 2010
                                                                      behavior, arising from the economic context: the
                     expected consumption expenditure per capita      purchase decision takes place after a rigorous
         9.200$      in Romania in 2020                               research and analysis process; consumers are
                                                                      increasingly demanding and calculated, they
        11.500$      expected consumption expenditure per capita
                                                                      spend less, rarely, they are always looking for
                     in Eastern Europe in 2020
                                                                      promotions or special offers, and pay more
                                                                      attention to the price vs. value ratio.


 * Source: Euromonitor




 Total consumption expenditure structure, on destinations, 2011 3rd quarter
 Source: National Institute of Statistics




 Education - 0,4%

 Hotels, cafés                                                                           Food and
 & restaurants - 1,0%                                                                    soft drinks - 40,8%


 Furniture, household equipment
 & maintenance - 4,2%

 Other products
 & services - 4,2%


 Healthcare - 4,8%                                                                       Household, water, electricity,
                                                                                         gas & other fuels - 15,1%
 Communication - 4,9%


                                                                                         Alcoholic drinks,
                                                                                         tobacco - 7,8%
 Apparel - 5,1%


 Entertainment & culture - 5,5%                                                          Transport - 6,2 %
Focus
on efficiency

                        Innovation is the main differentiation source on the
            Supply
                        retail market. But what can be innovated in a market
             routes
       optimization     crowded with competitive products?

                        For over 10 years, Charisma Retail has permanently
                        raised standards of customer loyalty, logistics, inventory
  Inventory             management, customer buying experience and
  minimization
                        innovation for many retailers.


           Improved
             buying
         experience


 Performances
 split on areas,
 items, suppliers

      Supply in sync
   with consumption
                rate


  Customer
  loyalty

            Highlight
             relevant
   types of products
                        Challenges
 Innovation
                        for retailers
             formats
 through new
                        Legislative changes in trade;
                        û
                        Increased costs;
                        û
      Differentiation
                        û competition;
                        Fierce
                        û visits to retailers;
                        Fewer
                        Declining demand due to lower purchasing power;
                        û
                        û macroeconomic uncertainty;
                        High
                        Difficult access to finance.
                        û
Food & beverage Retail                                          Fashion Retail
           Faced with a declining real value of their incomes,     The local apparel market has the highest potential for
  consumers have turned to purchasing only food and basic          development in Central Europe given that Romania
        products. Food retailers have turned crisis into a real    contributes to 12% sales in the region. Romanians spend,
   opportunity by aggressively promoting the private labels,       on average, 4% of their budgets on such items, while
 strategic repositioning on lower sales locations, expansion       expenses per capita are expected to reach 103 euro in
     of their store networks and multiplying discounter type       2013, compared to 73 euro in 2010.
units. Traditional food and kiosk stores dominate local trade
                                                                   Charisma solutions for fashion provide support in trading
          with 74,000 units, while modern retail (cash&carry,
                                                                   numerous and diversified fashion brands. CRM or portal
       hypermarkets, supermarkets and discount stores) has
                                                                   features insure customer loyalty, high performance of on-
                       already reached almost 900 locations.
                                                                   line campaigns and a unique buying experience.
   Charisma solutions for food & beverage are optimized to
automate the storage, on-the-shelf promotions, compliance
with warranty terms and product lifecycle from producer to
 consumer, as well as stocks and inventory management; in
      addition, the solution includes advanced e-commerce
                    features and customer loyalty programs.




                           Pharma Retail                           Electro IT Retail
         Pharma retail market is dominated by big chains of        Electro-IT retail market reached 1.1 billion euro in 2011,
        pharmacies; given that, it is increasingly difficult for   with an increase of 11% compared to last year. High growth
          independent pharmacies to stay afloat. Drug retail       rates were recorded by small appliances, photo and
  represents nearly 95% of of the pharmaceuticals market,          telecom products, while large electronics and office
   with a moderate growth of 7% in 2011. On segments, in           equipment sales have increased for the first time since
    ROL, domestic growth rates were 8% for drugs given by          2008. The IT sector had an annual growth of 26% in 2011,
 prescription in pharmacies (Rx) and 15% for those without         while the telecom segment grew by 14%, mainly driven by
   prescription (OTC). At the end of 2011, the total value of      smart phones, which were sold in 2011 in a triple volume
                             drugs rose to 700 million euro.       compared to the previous year.

    Charisma solutions for the pharmaceutical sector ensure
 that 80% of any pharmacy’s activity is managed by a single
     computer. The reporting features are validated by CNAS
  (National House of Insurance), and the system is designed
  to reduce the sales time, eliminate operating FEFO losses,
  increase workforce productivity and customer satisfaction
                                                 and loyalty.




                                                                                                                               4 5
Charisma Solutions
for Retail
En-detail sales to end customers are permanently subject to the pressure of buyer's preferences,
buying power decrease, fluctuant demand and compliance with new legal regulations, both local
and international. How can you increase your market share in such difficult conditions? Customer
retention, skills development, flexible trade policies, products or seasonal discounts campaigns,
supply costs minimization, appropriate quantities of items in stores, as well as transparency of the
entire retail activity can now be simplified and automated by tailored-retail solutions.



Charisma Retail is the most complex and popular
POS (Point of Sale) solution in Romania, especially
because of the flexibility in rapidly covering each
operational requirement of any point of sale. The
solution insures product sales optimization
through different payment methods (cash or/and
credit card/gift vouchers/value tickets by EFT
POS), and facilitates the management of all
specific documents and financial instruments
between stores and end consumers.




Financial and operational benefits
Reduces operational costs
The relevant information is centralized in a single data warehouse; thus, data mining
efforts are reduced significantly, as well as the operational costs. The solution provides
companies with a rapid return on investment, regardless of their business area (from
sports equipment stores to supermarkets), quick access to a top of products sold and
accurate decisions for the procurement process.

Increases sales
The solution plays a crucial role in increasing sales and profitability by quickly identifying
sales downtime and peaks, and by providing package offers and promotional products to
meet any preference and financial capability.

Increases customer loyalty
Charisma Retail supports customer loyalty through cards with bonus points, as well as
promotions, discounts or reduction of the sales time.
Advantages and features
n sales process:
Efficient                                                           installment and proforma sales invoice by
§Automatic product/ service selection according to                  installment;
    code, name, barcode, batch;                                 n uses and tracks different types of value
                                                                Defines,
§Configurable pricing policy (discounts for products,               tickets from multiple providers, by their number
    category of products and clients, promotional                   and nominal value;
    packages);                                                  n
                                                                Generates sales invoice upon request, after already
§Elimination of “out of stock” situations and faulty                issuing a fiscal receipt;
    inventory management;                                       n
                                                                Manages the inventory process by counting and
§Multiple payment methods: cash, tickets, card,                     scanning the items based on counting documents
    vouchers;                                                       and optimizes stocks via inventory differences
§Direct sales invoice;                                              protocols;
§Total or partial returns, compensation with                    n
                                                                Manages the reception process via requisition
    products;                                                       invoices, provider notices, internal transfers, GRNs
§Secure transactions for collection and delivery;                   (goods received note);
§Operational sales closing, similar with cash register          n product reservations based on proforma
                                                                Manages
    closing;                                                        invoices;
n
Marketing advantages:                                           n product selection by multiple criteria –
                                                                Ensures
§Loyalty programs - loyalty cards can be defined,                   barcodes, scanner, manual search by code, name,
    issued, distributed and managed both in store or by             batch, provider, stock logistics features;
    e-mail; the loyalty cards grant the accumulation of         n partial or total sales returns by
                                                                Manages
    value points and help customers get future                      automatically generating the return documents:
    customized discounts;                                           payment order, customer return protocol, reversal
§Promotional campaigns via e-mail based on data                     sales invoice (if a sales invoice was issued);
    filled in by customers at the retailer’s request;
§Efficient price management with the possibility to
    set up and use discounts by product, product
    category, customer, promotional package or rebate;
n with any cash register;
Interface
n
Increased ergonomics via Touch Screen Ready
    technology; configurable and user-friendly
    interface that enables both using the keyboard or
    directly touching the screen;
n
Advantageous use of composite products; it
    automatically suggests the entire kit in case of
    separate sale of basic items; possibility to track the
    sales by kit or basic items;
nmonitoring by item or composite-package
Stock
    product (kit);
n payment methods - cash, card and value
Various
    tickets, as well as easy selection of documents to be
    issued: fiscal receipt, fiscal receipt and sales invoice,
    sales invoice, proforma invoice, sales invoice by



                                                                                                                       6 7
n
Customized document printing - sales invoice,                 §Cumulated sales report - sales cumulated by each
     internal notice, fiscal receipts;                            site and at the top level in the item hierarchy;
n
Automatic generation of documents related to                  §Inventory reports: Inventory report with sales price
     product compensation;                                        - the inventory value at the list price;
n and fast access to the Cash Register in each
Secure                                                        §Sales vs. inventory by site report - quantity
     point of sale;                                               inventory and sales by site at a certain date, where
n
Reporting and daily sales closing, similar to cash                the sales are shown from the point of view of
     register operations; access to an overview of cash           quantity;
     registers grouped by day, site and cash register;        n on tracking and reimbursement of value
                                                              Reports
n
Designed for large retail chains thanks to its multi-             tickets – provider, number of tickets, amount;
     store capacity, real-time integration with Charisma      n on loyalty cards – cards issued within the
                                                              Reports
     ERP, data accuracy, security, consistency and                business unit, granted discounts;
     management control;                                      n / off-line work environment – the
                                                              On-line
n
Real time reports:                                                application is permanently connected to the central
§Sales reports – Daily inventory report, Daily sales              database and, in special cases of lost connection it
     record, Monthly sales record, Analytical sales               becomes off-line, ensuring the continuation of the
     ledger;                                                      selling process;
§ Report – the sales performed with detail sales
 Z                                                            n technical infrastructure – the product uses
                                                              Latest
     fiscal receipt, document by document, grouped by             .NET Framework 3.5 technology, "ClickOnce" easy
     currency and payment type (cash, credit card, value          installation features, "BriefCase" model in case of
     tickets);                                                    off-line activity and provides 24/7 availability,
§ Report - multi-VAT - the sales performed with
 Z                                                                ensuring the highest performance among other
     sales fiscal receipt;                                        solutions on the market;
§Daily sales record - all the fiscal receipts paid with       n
                                                              High security due to configurable access rights at
     cash and cash receipts;                                      user level or user group; remote access enabled.
§Item sales report - customer name and sales
     document date, quantity on the document line,
     price, amount without VAT and amount with VAT in
     RON;
§Sales by item hierarchy report – quantity and
     quality sales (with VAT) for each node in the item
     hierarchy;
§Sales per hour report - sales grouped by site for
     each interval in the 8-24 hours interval;
§Sales by customer report - list of sales performed
     with the following sales documents: sales invoice,
     reversal sales invoice, export invoice, fixed asset
     sales invoice, foreign currency sales invoice, sales
     shipping notice, customer return shipping notice,
     reversal shipping notice, fixed asset shipping notice;
§Sales by site report - sales cumulated by site, item
     and sales price;
Solutions & benefits
                                          TotalSoft has developed with passion, for over 10 years, a wide range of
                                          powerful, robust solutions covering the needs of the largest national and
                                          multinational retailers in Romania. In 2011, TotalSoft carefully selected the most
                                          useful features and included them in a single package of seamlessly integrated
                                          modules, known as Charisma Solutions for Retail.

                                          Charisma Solutions for Retail is an end-to-end, multi-currency, multi-language,
                                          multi-site solution, covering both front-office and back-office operations, and
                                          providing a full picture of the business for the entire store network. Charisma
                                          Solutions for Retail provides specific solutions for clothing, electronics and home
                                          appliances, pharmaceutical or food retailers.

                                          In addition, over 100 consultants, business analysts, developers, implementers
                                          and technical support specialists are ready to adjust Charisma Solutions for
                                          Retail to meet the most demanding needs of any retailer and ensure a unique
                                          user experience on the Romanian business software solutions market.




                                    Integrated Retail Solution

                                                            Retail
Business
Applications                                     ERP                                                    HR

                               Inventory                                                                HCM Core
   CRM         Cost Control   Management            Sales            Accounting
                                                                                    (HR, Payroll, ITM, D112, Reports, Occupational Medicine)

                                                   Asset                                                                Access
 Document                     Purchasing                              Treasury          HCM Portal
               Self-Service                     Management                                                             Timesheet
Management
                                                   Foreign                               Talent
                              Cash Flow                              My Tasks                                           Budgets
                                                    Trade                              Management
  Online
Commerce         Intranet             Budget                          Mobile                                        HR Document
 (eShop)                                                                                    Alerter                 Management
                                    Management                      Cell Monitor


                                            Charisma Analyzer




                                                                                                                                           8 9
Charisma Mobile                                             Charisma HCM
Cell Monitor                                                How do you improve your clients’ first contact with the
                                                            company?

                                                            First impressions matter most, and employees are those
Did you know that sales can be increased by using
                                                            who contribute decisively to the customer’s buying
mobile technology, which provides a faster circulation of
                                                            experience. Charisma HCM offers a range of tools that
information?
                                                            are intended solely to increase labor quality through
TotalSoft helps your business gain mobility and secure      training and specialization programs, performance
access to all internal processes - anywhere, anytime.       evaluation, compensation and benefits policies based on
                                                            individual results - all suited to the Romanian legislation.
Successful retailers have begun to understand the power
of mobile technology – so they use mobile devices such      Charisma HCM successfully deals with complex
as iPads, to communicate more effectively with business     problems faced by retailers: difficulty in managing high
partners. Thus, retailers can inform in time all parties    employees' turnover, high volume of employee
about the company’s performance and operational             documents, accuracy of timekeeping data and their
indicators and can better plan their business activities.   integration in bonus and payroll schemes, lack of reports
                                                            providing a dynamic perspective on the company’s
Charisma Cell Monitor provides a graphical, intuitive and   development (active employees, absenteeism rates,
updated overview of your company.                           forecast scenarios and impact on wages budget),
                                                            difficulty in managing requests from employees (leaves,
                                                            certificates, employment or change of position),
                                                            management or external partners (suppliers,
                                                            distributors), lack of coordination between employee
                                                            development programs and performance evaluations
                                                            (talent management).

                                                            Charisma HCM helps HR departments become the main
                                                            guarantor of employee performance.
Charisma Analyzer                                             Charisma ERP
How well do you know your company’s everyday                  Have you ever lost track of customer orders or lacked
activity? How easy do you get a report on product sales       relevant information for their proper management?
per hour, day or season, so as to plan accurately the
                                                              Once an order is placed, it starts a long journey in the
stocks?
                                                              company, which may cause either delays or losses.
Particular attention should be given to “intelligent”         Nobody knows exactly the order’s status because, for
software products, especially in case of merchandise          instance, the finance department has no access to the
(merchandise planning, assortment, size, space, price,        information of the warehouse department to see if the
promotion, optimization and reduction), information           order has already been delivered.
about customers (marketing automation, optimization of
                                                              TotalSoft provides all features necessary for a store or
marketing and market analysis), operational information
                                                              network of stores, through a powerful and complex cash
(portfolio management, labor optimization) or
                                                              flow monitoring solution. This tool may inspire your
competition.
                                                              company to view trade from another perspective.
There are many factors that have led retailers to adopt
                                                              Charisma ERP offers customized retail components to
"intelligent" software solutions: maintaining profitability
                                                              meet specific requirements of any retail organization in
indicators under difficult economic times, increased use
                                                              an efficient and optimized manner. The basic package
of credit cards, and the impact of the internet as an
                                                              includes 10 different modules, adapted to critical
alternate sales channel or the popularity of loyalty cards.
                                                              processes in the retail industry: Accounting, Sales,
These factors have created a wealth of information that
                                                              Foreign Trade, Cash Flow, Purchasing, Treasury, Budget
most retailers are increasingly using.
                                                              Management, Inventory Management, Asset
Charisma Analyzer provides a complete set of analysis         Management and My Tasks.
tools that enable the access, use and sharing of
information in an efficient manner, which will
significantly improve business performance and
maximize profits.




                                                                                                                      10 11
Charisma                                                     Charisma Document
Self-Service                                                 Management
Every month retailers pay thousands of Euros to call         Did you know that sales increase also due to processes
centers so as to provide clients with information on past    and flows properly integrated and connected within the
invoices or promotional offers; they also invest in          company?
printing large piles of documents required periodically.
                                                             These ones favor efficient monitoring of internal
Profit maximization can be reached with transparency
                                                             documents. Moreover, behind each and every
and loyal partners such as customers, suppliers,
                                                             purchasing invoice many pieces of printed or electronic
distributors or employees. Thus, a self-care partner
                                                             information lay, which in turn must be managed for
platform becomes mandatory.
                                                             efficiency.
Charisma SelfService is a fast and efficient
                                                             All these aspects can be easily streamlined with
communication platform between the retailer and its
                                                             Charisma Document Management. The result will be a
business partners, customers or suppliers. The solution
                                                             highly effective information procedure that will
reduces operational costs through a web platform which
                                                             automate employee processes and improve the
provides back-office information (invoice status,
                                                             response time to customers, suppliers and auditors.
payments, returns) and on-line payment methods,
notifications via e-mail or SMS, or fast printing of         Most retail documentation regulates the relationships
documents of interest.                                       with the suppliers and possibly customer contracts or
                                                             order documents. Thus, the access of different
                                                             departments to available and timely information is
                                                             essential in order to allow real time order placement and
                                                             to maintain customer satisfaction. In the retail industry,
                                                             perhaps more than in any other industry, retaining
                                                             existing customers is much more important than
                                                             maintaining profits.



Charisma CRM                                                 Charisma eShop
How do you build a unique buying experience for your         Two main components are critical to boosting sales -
customer?                                                    speed and quality. Speed is the most important attribute
                                                             of online retailers - be it intuitive site navigation, quick
Most retailers spend their budgets to attract new
                                                             identification of products by various display filters,
customers instead of focusing on maintaining existing
                                                             buying process simplicity, fast delivery and order status.
ones.
                                                             The quality of the Customer support services is essential
An adequate CRM solution is able to maximize the             to any business’s success.
customer lifetime cycle by turning them loyal to a certain
                                                             Within Charisma eShop, customers can place different
product or service. Charisma CRM was developed based
                                                             types of orders, and the administrator can add new
on MS Dynamics platform and designed to support any
                                                             products or services. The solution allows selling products
customer loyalty strategy.
                                                             and services based on loyalty points, and provides
Charisma CRM addresses retail specific requirements,         advanced search features, display filters, in-stock
covers various formats, communication channels and           notifications, list of most purchased products or
multiple unique relations – all daily activities of any      products recently viewed – the information is displayed
retailer.                                                    in a professional manner, adapted to each retailer’s
                                                             requirements.
Charisma
Cost Control                                                  Charisma Intranet
Operational costs’ control is one of the largest challenges   Do you want your employees to be aware of all
that a retailer has to face. Charisma Cost Control            promotions in progress? Would you like them to receive
reduces the financial risk by controlling the expense         information in time so as to deal quickly with customer
budgets, especially when sales volume increases and           inquiries?
expense approval flows are difficult to track.
                                                              Any company, regardless of its type or size, needs a
The solution monitors the procurement process (RFP,           single and structured communication platform between
RFQ, bids), streamlines the bidding process and               employees, so as to provide a common knowledge base
improves the company’s opportunities’ capitalization. In      for the entire organization.
addition, Charisma Cost Control ensures the
                                                              TotalSoft addresses these needs with Charisma Intranet.
management of the suppliers’ payment approval
                                                              Charisma Intranet helps your employees stay updated
processes, as well as the history of contractual
                                                              with the latest information about products and services,
relationships with business partners.
                                                              promotions in progress or legislative changes; the
Charisma Cost Control helps you standardize and               solution ensures thus a much more productive and
centralize acquisition needs between departments,             efficient working environment.
keeping under control the entire process.
                                                              Use Charisma Intranet to connect all employees,
                                                              whether they are at the company’s HQ or on the field.
                                                              Use it to improve communication within the
                                                              organization and distribute all the information necessary
                                                              for your business to prosper.




                                                                      Charisma Solutions for Retail is ranked in top
                            Charisma Solutions for                    5 European solutions by IT Europe forum,
                            Retail is an end-to-                      which examines and awards the most
                            end, multi-language,                      important software development companies
                            multi-currency and                        across Europe.
                            multi-site solution,
                            which covers both
                            back and front-office
                            operations.




                                                                                                                    12 13
We are recommended by…
90 highly qualified specialists are dedicated to       400 companies recommend TotalSoft’s solutions and
developing, testing, implementing and post             professionalism:
implementing our specific solutions for the retail     n our clients are highly satisfied with
                                                           24% of
industry:                                                  TotalSoft’s solutions and would recommend us to
n   The average 5+ year experience in TotalSoft            others;
    guarantees the unique business expertise of our    n85% of our clients’ feedback is positive.
                                                           Over
    consultants;
n   The 24/7 customer support and communication        TotalSoft is the largest ERP solution provider in
    channels ensure us an unparalleled response time   Romania according to the market research & analysis
    on the Romanian market;                            company, PAC, in 2010 and 2011:
n   The flexible platform, modular architecture and    n growth rate in the ERP segment in
                                                           Highest
    AdaptiveTM proprietary technology, which allows        Romania;
    a rapid coverage of any type of development        n   1st place on the local market in terms of turnover;
    needs.                                             n the 5 most profitable Romanian IT
                                                           One of
                                                           companies, according to the Ministry of Finance;
                                                       n500 clients using Charisma generate 25% of
                                                           Over
                                                           Romania’s GDP.




                   32.9% of TotalSoft’s turnover in
                   2011 was generated by the retail
                   industry.

                                                          Over 2,400 stores, national and
                                                          multinational companies use Charisma
                                                          solutions for Retail. Agroalim, Carrefour,
              10 years of
                                                          Caroli, Arsis or Germanos are just a few of
              experience in                               them.
              retail solutions stand
              as guarantee for fast
              implementations, no
              business interruptions,
              rigorously checked
              methodology in
              national and
              multinational
              companies.
References
     COSMOTE & GERMANOS                    SOLMAR TRADING
     TELECOM                               (Mango, Desigual, Parfois, Karen
                                           Millen, Max Mara Weekend,
     „Cosmote and Germanos Romania         Marina Rinaldi)
     implemented Charisma in 2004 –
     the benefits of our choice were       “We were looking for a system
     immediately visible. We obtained a    validated by the retail market,
     centralized database for all stores   capable to support the
     and the stock and retail              development of a multinational
     management efforts were               group such as Solmar Trading.
     streamlined; thus, we were able to    With the implementation of
     focus more on sales. Obviously, all   Charisma we achieved more
     these improvements led to an          objectives at once: we integrated
     overall increase of the operational   in a unique system the activity of
     efficiency. When we transferred       our 6 brands, we managed to
     the financial accounting              configure interfaces for each brand
     operations to the group solution,     according to the promotion
     we decided to keep Charisma in all    policies of the group and obtained
     COSMOTE and Germanos shops,           an automated stock management.
     being confident that it was the       Charisma gained our trust due to
     best software solution for our        its rapidity and flexibility to adapt
     retail activity.”                     to our needs.”

     Grațian Vlad                          Luiza Bechnak
     Retail Chain IT Manager               General Manager




     ARSIS TRADING

     "Before implementing Charisma, if
     I asked for a report at 14.00 I
     would receive it at 17.00; now, I
     receive it at 14.02 and the
     information is much clearer and
     reliable.”

     Liviu Mirea
     Sales Director




                                                                            14 15
CARREFOUR ROMANIA                      FARMACIILE DONA

"We believe we have achieved our       “We are opening new pharmacies
target, i.e. having a unique online    each week and the number of
database for all our stores,           employees is continuously
containing all the information         increasing. Our HR department is
required for human resources,          due to constantly manage its
payroll and timesheet operations.      activities efficiently and in less
As a major benefit, we have to         time. Charisma plays a crucial role
mention the possibility to             in this respect.”
continuously develop and adapt
the application to our specific        Maria Comşa
needs."                                HR Manager

Ana Dumitru
HR Manager




MEGA Image                             PET PRODUCT (Animax)

“Charisma HCM is a software            “We had to either update our
solution developed by people for       software or search for a solution
people. I believe the technical        able to provide the features
support and teamwork invested by       required by the business. We chose
TotalSoft in this project, add great   the latter option. Charisma ERP
value to the system and enhance        was seen in the last moment – at
its performance”                       that time, we already knew what
                                       facilities a true ERP solution should
Gianina Maria Nița                     provide for our needs. What
Payroll & Personnel Manager.           convinced us? During the solution
                                       presentation we began sentences
                                       and TotalSoft team completed
                                       them – this was the chemistry
                                       necessary for a successful
                                       relationship. Charisma assures us
                                       that we have a strong and capable
                                       software solution to support our
                                       growth.”

                                       Cristian Pop
                                       Director General
© TotalSoft 2012
TotalSoft Headquarters   Planned Subsidiaries
Active Subsidiaries      TotalSoft Implementations




                                                          Sweden                                           Senegal
                                                                                        Estonia
                                                                                                  Russia
                                          United
                                          Kingdom
                                                                      Poland
                                                         Germany
                                            Belgium                   Czech Rep        Ukraine
                                                                              Slovakia
                                                              Austria                        Moldova
                                             France                      Hungary                                          Qatar
                                                                                           Romania
USA
                                                           Italy            Serbia                         Saudi Arabia
                                                                                         Bulgaria
                                                                                                                           UAE
                                  Spain                                Albania

                                                                               Greece




                                                TotalSoft Headquarters
                                   Global City Business Park, 10 Bucharest - Nord Street
                                       Building O2, 8th Floor, Voluntari, llfov,România
                                                    P: +4021 335 17 09
                                         W: totalsoft.ro, charisma.ro, acollada.com
                                                    E: office@totalsoft.ro


                                       Austria | Greece | Bulgaria | Qatar

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Charisma Solutions for Retail

  • 1. Solutions for Retail Simple | Intuitive | Flexible | Complete
  • 2. Market* value of the retail market in 2011, €23 Bln slight increase compared to 2010 is the market share of trade 98% in stores out of the retail market is the market share 75% of modern retail in cities Romanians will be spending €27.5 Bln for food and non-food products in 2013 Consumer, Consumption demand and expenditure* changing behaviors consumption expenditure per capita Retailers are influenced by the current consumer 4.600$ in Romania in 2010 behavior, arising from the economic context: the expected consumption expenditure per capita purchase decision takes place after a rigorous 9.200$ in Romania in 2020 research and analysis process; consumers are increasingly demanding and calculated, they 11.500$ expected consumption expenditure per capita spend less, rarely, they are always looking for in Eastern Europe in 2020 promotions or special offers, and pay more attention to the price vs. value ratio. * Source: Euromonitor Total consumption expenditure structure, on destinations, 2011 3rd quarter Source: National Institute of Statistics Education - 0,4% Hotels, cafés Food and & restaurants - 1,0% soft drinks - 40,8% Furniture, household equipment & maintenance - 4,2% Other products & services - 4,2% Healthcare - 4,8% Household, water, electricity, gas & other fuels - 15,1% Communication - 4,9% Alcoholic drinks, tobacco - 7,8% Apparel - 5,1% Entertainment & culture - 5,5% Transport - 6,2 %
  • 3. Focus on efficiency Innovation is the main differentiation source on the Supply retail market. But what can be innovated in a market routes optimization crowded with competitive products? For over 10 years, Charisma Retail has permanently raised standards of customer loyalty, logistics, inventory Inventory management, customer buying experience and minimization innovation for many retailers. Improved buying experience Performances split on areas, items, suppliers Supply in sync with consumption rate Customer loyalty Highlight relevant types of products Challenges Innovation for retailers formats through new Legislative changes in trade; û Increased costs; û Differentiation û competition; Fierce û visits to retailers; Fewer Declining demand due to lower purchasing power; û û macroeconomic uncertainty; High Difficult access to finance. û
  • 4. Food & beverage Retail Fashion Retail Faced with a declining real value of their incomes, The local apparel market has the highest potential for consumers have turned to purchasing only food and basic development in Central Europe given that Romania products. Food retailers have turned crisis into a real contributes to 12% sales in the region. Romanians spend, opportunity by aggressively promoting the private labels, on average, 4% of their budgets on such items, while strategic repositioning on lower sales locations, expansion expenses per capita are expected to reach 103 euro in of their store networks and multiplying discounter type 2013, compared to 73 euro in 2010. units. Traditional food and kiosk stores dominate local trade Charisma solutions for fashion provide support in trading with 74,000 units, while modern retail (cash&carry, numerous and diversified fashion brands. CRM or portal hypermarkets, supermarkets and discount stores) has features insure customer loyalty, high performance of on- already reached almost 900 locations. line campaigns and a unique buying experience. Charisma solutions for food & beverage are optimized to automate the storage, on-the-shelf promotions, compliance with warranty terms and product lifecycle from producer to consumer, as well as stocks and inventory management; in addition, the solution includes advanced e-commerce features and customer loyalty programs. Pharma Retail Electro IT Retail Pharma retail market is dominated by big chains of Electro-IT retail market reached 1.1 billion euro in 2011, pharmacies; given that, it is increasingly difficult for with an increase of 11% compared to last year. High growth independent pharmacies to stay afloat. Drug retail rates were recorded by small appliances, photo and represents nearly 95% of of the pharmaceuticals market, telecom products, while large electronics and office with a moderate growth of 7% in 2011. On segments, in equipment sales have increased for the first time since ROL, domestic growth rates were 8% for drugs given by 2008. The IT sector had an annual growth of 26% in 2011, prescription in pharmacies (Rx) and 15% for those without while the telecom segment grew by 14%, mainly driven by prescription (OTC). At the end of 2011, the total value of smart phones, which were sold in 2011 in a triple volume drugs rose to 700 million euro. compared to the previous year. Charisma solutions for the pharmaceutical sector ensure that 80% of any pharmacy’s activity is managed by a single computer. The reporting features are validated by CNAS (National House of Insurance), and the system is designed to reduce the sales time, eliminate operating FEFO losses, increase workforce productivity and customer satisfaction and loyalty. 4 5
  • 5. Charisma Solutions for Retail En-detail sales to end customers are permanently subject to the pressure of buyer's preferences, buying power decrease, fluctuant demand and compliance with new legal regulations, both local and international. How can you increase your market share in such difficult conditions? Customer retention, skills development, flexible trade policies, products or seasonal discounts campaigns, supply costs minimization, appropriate quantities of items in stores, as well as transparency of the entire retail activity can now be simplified and automated by tailored-retail solutions. Charisma Retail is the most complex and popular POS (Point of Sale) solution in Romania, especially because of the flexibility in rapidly covering each operational requirement of any point of sale. The solution insures product sales optimization through different payment methods (cash or/and credit card/gift vouchers/value tickets by EFT POS), and facilitates the management of all specific documents and financial instruments between stores and end consumers. Financial and operational benefits Reduces operational costs The relevant information is centralized in a single data warehouse; thus, data mining efforts are reduced significantly, as well as the operational costs. The solution provides companies with a rapid return on investment, regardless of their business area (from sports equipment stores to supermarkets), quick access to a top of products sold and accurate decisions for the procurement process. Increases sales The solution plays a crucial role in increasing sales and profitability by quickly identifying sales downtime and peaks, and by providing package offers and promotional products to meet any preference and financial capability. Increases customer loyalty Charisma Retail supports customer loyalty through cards with bonus points, as well as promotions, discounts or reduction of the sales time.
  • 6. Advantages and features n sales process: Efficient installment and proforma sales invoice by §Automatic product/ service selection according to installment; code, name, barcode, batch; n uses and tracks different types of value Defines, §Configurable pricing policy (discounts for products, tickets from multiple providers, by their number category of products and clients, promotional and nominal value; packages); n Generates sales invoice upon request, after already §Elimination of “out of stock” situations and faulty issuing a fiscal receipt; inventory management; n Manages the inventory process by counting and §Multiple payment methods: cash, tickets, card, scanning the items based on counting documents vouchers; and optimizes stocks via inventory differences §Direct sales invoice; protocols; §Total or partial returns, compensation with n Manages the reception process via requisition products; invoices, provider notices, internal transfers, GRNs §Secure transactions for collection and delivery; (goods received note); §Operational sales closing, similar with cash register n product reservations based on proforma Manages closing; invoices; n Marketing advantages: n product selection by multiple criteria – Ensures §Loyalty programs - loyalty cards can be defined, barcodes, scanner, manual search by code, name, issued, distributed and managed both in store or by batch, provider, stock logistics features; e-mail; the loyalty cards grant the accumulation of n partial or total sales returns by Manages value points and help customers get future automatically generating the return documents: customized discounts; payment order, customer return protocol, reversal §Promotional campaigns via e-mail based on data sales invoice (if a sales invoice was issued); filled in by customers at the retailer’s request; §Efficient price management with the possibility to set up and use discounts by product, product category, customer, promotional package or rebate; n with any cash register; Interface n Increased ergonomics via Touch Screen Ready technology; configurable and user-friendly interface that enables both using the keyboard or directly touching the screen; n Advantageous use of composite products; it automatically suggests the entire kit in case of separate sale of basic items; possibility to track the sales by kit or basic items; nmonitoring by item or composite-package Stock product (kit); n payment methods - cash, card and value Various tickets, as well as easy selection of documents to be issued: fiscal receipt, fiscal receipt and sales invoice, sales invoice, proforma invoice, sales invoice by 6 7
  • 7. n Customized document printing - sales invoice, §Cumulated sales report - sales cumulated by each internal notice, fiscal receipts; site and at the top level in the item hierarchy; n Automatic generation of documents related to §Inventory reports: Inventory report with sales price product compensation; - the inventory value at the list price; n and fast access to the Cash Register in each Secure §Sales vs. inventory by site report - quantity point of sale; inventory and sales by site at a certain date, where n Reporting and daily sales closing, similar to cash the sales are shown from the point of view of register operations; access to an overview of cash quantity; registers grouped by day, site and cash register; n on tracking and reimbursement of value Reports n Designed for large retail chains thanks to its multi- tickets – provider, number of tickets, amount; store capacity, real-time integration with Charisma n on loyalty cards – cards issued within the Reports ERP, data accuracy, security, consistency and business unit, granted discounts; management control; n / off-line work environment – the On-line n Real time reports: application is permanently connected to the central §Sales reports – Daily inventory report, Daily sales database and, in special cases of lost connection it record, Monthly sales record, Analytical sales becomes off-line, ensuring the continuation of the ledger; selling process; § Report – the sales performed with detail sales Z n technical infrastructure – the product uses Latest fiscal receipt, document by document, grouped by .NET Framework 3.5 technology, "ClickOnce" easy currency and payment type (cash, credit card, value installation features, "BriefCase" model in case of tickets); off-line activity and provides 24/7 availability, § Report - multi-VAT - the sales performed with Z ensuring the highest performance among other sales fiscal receipt; solutions on the market; §Daily sales record - all the fiscal receipts paid with n High security due to configurable access rights at cash and cash receipts; user level or user group; remote access enabled. §Item sales report - customer name and sales document date, quantity on the document line, price, amount without VAT and amount with VAT in RON; §Sales by item hierarchy report – quantity and quality sales (with VAT) for each node in the item hierarchy; §Sales per hour report - sales grouped by site for each interval in the 8-24 hours interval; §Sales by customer report - list of sales performed with the following sales documents: sales invoice, reversal sales invoice, export invoice, fixed asset sales invoice, foreign currency sales invoice, sales shipping notice, customer return shipping notice, reversal shipping notice, fixed asset shipping notice; §Sales by site report - sales cumulated by site, item and sales price;
  • 8. Solutions & benefits TotalSoft has developed with passion, for over 10 years, a wide range of powerful, robust solutions covering the needs of the largest national and multinational retailers in Romania. In 2011, TotalSoft carefully selected the most useful features and included them in a single package of seamlessly integrated modules, known as Charisma Solutions for Retail. Charisma Solutions for Retail is an end-to-end, multi-currency, multi-language, multi-site solution, covering both front-office and back-office operations, and providing a full picture of the business for the entire store network. Charisma Solutions for Retail provides specific solutions for clothing, electronics and home appliances, pharmaceutical or food retailers. In addition, over 100 consultants, business analysts, developers, implementers and technical support specialists are ready to adjust Charisma Solutions for Retail to meet the most demanding needs of any retailer and ensure a unique user experience on the Romanian business software solutions market. Integrated Retail Solution Retail Business Applications ERP HR Inventory HCM Core CRM Cost Control Management Sales Accounting (HR, Payroll, ITM, D112, Reports, Occupational Medicine) Asset Access Document Purchasing Treasury HCM Portal Self-Service Management Timesheet Management Foreign Talent Cash Flow My Tasks Budgets Trade Management Online Commerce Intranet Budget Mobile HR Document (eShop) Alerter Management Management Cell Monitor Charisma Analyzer 8 9
  • 9. Charisma Mobile Charisma HCM Cell Monitor How do you improve your clients’ first contact with the company? First impressions matter most, and employees are those Did you know that sales can be increased by using who contribute decisively to the customer’s buying mobile technology, which provides a faster circulation of experience. Charisma HCM offers a range of tools that information? are intended solely to increase labor quality through TotalSoft helps your business gain mobility and secure training and specialization programs, performance access to all internal processes - anywhere, anytime. evaluation, compensation and benefits policies based on individual results - all suited to the Romanian legislation. Successful retailers have begun to understand the power of mobile technology – so they use mobile devices such Charisma HCM successfully deals with complex as iPads, to communicate more effectively with business problems faced by retailers: difficulty in managing high partners. Thus, retailers can inform in time all parties employees' turnover, high volume of employee about the company’s performance and operational documents, accuracy of timekeeping data and their indicators and can better plan their business activities. integration in bonus and payroll schemes, lack of reports providing a dynamic perspective on the company’s Charisma Cell Monitor provides a graphical, intuitive and development (active employees, absenteeism rates, updated overview of your company. forecast scenarios and impact on wages budget), difficulty in managing requests from employees (leaves, certificates, employment or change of position), management or external partners (suppliers, distributors), lack of coordination between employee development programs and performance evaluations (talent management). Charisma HCM helps HR departments become the main guarantor of employee performance.
  • 10. Charisma Analyzer Charisma ERP How well do you know your company’s everyday Have you ever lost track of customer orders or lacked activity? How easy do you get a report on product sales relevant information for their proper management? per hour, day or season, so as to plan accurately the Once an order is placed, it starts a long journey in the stocks? company, which may cause either delays or losses. Particular attention should be given to “intelligent” Nobody knows exactly the order’s status because, for software products, especially in case of merchandise instance, the finance department has no access to the (merchandise planning, assortment, size, space, price, information of the warehouse department to see if the promotion, optimization and reduction), information order has already been delivered. about customers (marketing automation, optimization of TotalSoft provides all features necessary for a store or marketing and market analysis), operational information network of stores, through a powerful and complex cash (portfolio management, labor optimization) or flow monitoring solution. This tool may inspire your competition. company to view trade from another perspective. There are many factors that have led retailers to adopt Charisma ERP offers customized retail components to "intelligent" software solutions: maintaining profitability meet specific requirements of any retail organization in indicators under difficult economic times, increased use an efficient and optimized manner. The basic package of credit cards, and the impact of the internet as an includes 10 different modules, adapted to critical alternate sales channel or the popularity of loyalty cards. processes in the retail industry: Accounting, Sales, These factors have created a wealth of information that Foreign Trade, Cash Flow, Purchasing, Treasury, Budget most retailers are increasingly using. Management, Inventory Management, Asset Charisma Analyzer provides a complete set of analysis Management and My Tasks. tools that enable the access, use and sharing of information in an efficient manner, which will significantly improve business performance and maximize profits. 10 11
  • 11. Charisma Charisma Document Self-Service Management Every month retailers pay thousands of Euros to call Did you know that sales increase also due to processes centers so as to provide clients with information on past and flows properly integrated and connected within the invoices or promotional offers; they also invest in company? printing large piles of documents required periodically. These ones favor efficient monitoring of internal Profit maximization can be reached with transparency documents. Moreover, behind each and every and loyal partners such as customers, suppliers, purchasing invoice many pieces of printed or electronic distributors or employees. Thus, a self-care partner information lay, which in turn must be managed for platform becomes mandatory. efficiency. Charisma SelfService is a fast and efficient All these aspects can be easily streamlined with communication platform between the retailer and its Charisma Document Management. The result will be a business partners, customers or suppliers. The solution highly effective information procedure that will reduces operational costs through a web platform which automate employee processes and improve the provides back-office information (invoice status, response time to customers, suppliers and auditors. payments, returns) and on-line payment methods, notifications via e-mail or SMS, or fast printing of Most retail documentation regulates the relationships documents of interest. with the suppliers and possibly customer contracts or order documents. Thus, the access of different departments to available and timely information is essential in order to allow real time order placement and to maintain customer satisfaction. In the retail industry, perhaps more than in any other industry, retaining existing customers is much more important than maintaining profits. Charisma CRM Charisma eShop How do you build a unique buying experience for your Two main components are critical to boosting sales - customer? speed and quality. Speed is the most important attribute of online retailers - be it intuitive site navigation, quick Most retailers spend their budgets to attract new identification of products by various display filters, customers instead of focusing on maintaining existing buying process simplicity, fast delivery and order status. ones. The quality of the Customer support services is essential An adequate CRM solution is able to maximize the to any business’s success. customer lifetime cycle by turning them loyal to a certain Within Charisma eShop, customers can place different product or service. Charisma CRM was developed based types of orders, and the administrator can add new on MS Dynamics platform and designed to support any products or services. The solution allows selling products customer loyalty strategy. and services based on loyalty points, and provides Charisma CRM addresses retail specific requirements, advanced search features, display filters, in-stock covers various formats, communication channels and notifications, list of most purchased products or multiple unique relations – all daily activities of any products recently viewed – the information is displayed retailer. in a professional manner, adapted to each retailer’s requirements.
  • 12. Charisma Cost Control Charisma Intranet Operational costs’ control is one of the largest challenges Do you want your employees to be aware of all that a retailer has to face. Charisma Cost Control promotions in progress? Would you like them to receive reduces the financial risk by controlling the expense information in time so as to deal quickly with customer budgets, especially when sales volume increases and inquiries? expense approval flows are difficult to track. Any company, regardless of its type or size, needs a The solution monitors the procurement process (RFP, single and structured communication platform between RFQ, bids), streamlines the bidding process and employees, so as to provide a common knowledge base improves the company’s opportunities’ capitalization. In for the entire organization. addition, Charisma Cost Control ensures the TotalSoft addresses these needs with Charisma Intranet. management of the suppliers’ payment approval Charisma Intranet helps your employees stay updated processes, as well as the history of contractual with the latest information about products and services, relationships with business partners. promotions in progress or legislative changes; the Charisma Cost Control helps you standardize and solution ensures thus a much more productive and centralize acquisition needs between departments, efficient working environment. keeping under control the entire process. Use Charisma Intranet to connect all employees, whether they are at the company’s HQ or on the field. Use it to improve communication within the organization and distribute all the information necessary for your business to prosper. Charisma Solutions for Retail is ranked in top Charisma Solutions for 5 European solutions by IT Europe forum, Retail is an end-to- which examines and awards the most end, multi-language, important software development companies multi-currency and across Europe. multi-site solution, which covers both back and front-office operations. 12 13
  • 13. We are recommended by… 90 highly qualified specialists are dedicated to 400 companies recommend TotalSoft’s solutions and developing, testing, implementing and post professionalism: implementing our specific solutions for the retail n our clients are highly satisfied with 24% of industry: TotalSoft’s solutions and would recommend us to n The average 5+ year experience in TotalSoft others; guarantees the unique business expertise of our n85% of our clients’ feedback is positive. Over consultants; n The 24/7 customer support and communication TotalSoft is the largest ERP solution provider in channels ensure us an unparalleled response time Romania according to the market research & analysis on the Romanian market; company, PAC, in 2010 and 2011: n The flexible platform, modular architecture and n growth rate in the ERP segment in Highest AdaptiveTM proprietary technology, which allows Romania; a rapid coverage of any type of development n 1st place on the local market in terms of turnover; needs. n the 5 most profitable Romanian IT One of companies, according to the Ministry of Finance; n500 clients using Charisma generate 25% of Over Romania’s GDP. 32.9% of TotalSoft’s turnover in 2011 was generated by the retail industry. Over 2,400 stores, national and multinational companies use Charisma solutions for Retail. Agroalim, Carrefour, 10 years of Caroli, Arsis or Germanos are just a few of experience in them. retail solutions stand as guarantee for fast implementations, no business interruptions, rigorously checked methodology in national and multinational companies.
  • 14. References COSMOTE & GERMANOS SOLMAR TRADING TELECOM (Mango, Desigual, Parfois, Karen Millen, Max Mara Weekend, „Cosmote and Germanos Romania Marina Rinaldi) implemented Charisma in 2004 – the benefits of our choice were “We were looking for a system immediately visible. We obtained a validated by the retail market, centralized database for all stores capable to support the and the stock and retail development of a multinational management efforts were group such as Solmar Trading. streamlined; thus, we were able to With the implementation of focus more on sales. Obviously, all Charisma we achieved more these improvements led to an objectives at once: we integrated overall increase of the operational in a unique system the activity of efficiency. When we transferred our 6 brands, we managed to the financial accounting configure interfaces for each brand operations to the group solution, according to the promotion we decided to keep Charisma in all policies of the group and obtained COSMOTE and Germanos shops, an automated stock management. being confident that it was the Charisma gained our trust due to best software solution for our its rapidity and flexibility to adapt retail activity.” to our needs.” Grațian Vlad Luiza Bechnak Retail Chain IT Manager General Manager ARSIS TRADING "Before implementing Charisma, if I asked for a report at 14.00 I would receive it at 17.00; now, I receive it at 14.02 and the information is much clearer and reliable.” Liviu Mirea Sales Director 14 15
  • 15. CARREFOUR ROMANIA FARMACIILE DONA "We believe we have achieved our “We are opening new pharmacies target, i.e. having a unique online each week and the number of database for all our stores, employees is continuously containing all the information increasing. Our HR department is required for human resources, due to constantly manage its payroll and timesheet operations. activities efficiently and in less As a major benefit, we have to time. Charisma plays a crucial role mention the possibility to in this respect.” continuously develop and adapt the application to our specific Maria Comşa needs." HR Manager Ana Dumitru HR Manager MEGA Image PET PRODUCT (Animax) “Charisma HCM is a software “We had to either update our solution developed by people for software or search for a solution people. I believe the technical able to provide the features support and teamwork invested by required by the business. We chose TotalSoft in this project, add great the latter option. Charisma ERP value to the system and enhance was seen in the last moment – at its performance” that time, we already knew what facilities a true ERP solution should Gianina Maria Nița provide for our needs. What Payroll & Personnel Manager. convinced us? During the solution presentation we began sentences and TotalSoft team completed them – this was the chemistry necessary for a successful relationship. Charisma assures us that we have a strong and capable software solution to support our growth.” Cristian Pop Director General
  • 16. © TotalSoft 2012 TotalSoft Headquarters Planned Subsidiaries Active Subsidiaries TotalSoft Implementations Sweden Senegal Estonia Russia United Kingdom Poland Germany Belgium Czech Rep Ukraine Slovakia Austria Moldova France Hungary Qatar Romania USA Italy Serbia Saudi Arabia Bulgaria UAE Spain Albania Greece TotalSoft Headquarters Global City Business Park, 10 Bucharest - Nord Street Building O2, 8th Floor, Voluntari, llfov,România P: +4021 335 17 09 W: totalsoft.ro, charisma.ro, acollada.com E: office@totalsoft.ro Austria | Greece | Bulgaria | Qatar