Marking with the eyes of a wholesaler. AXA executives talk about the first results of the new system
21.12.2018 18685

Marking with the eyes of a wholesaler. AXA executives talk about the first results of the new system

In accordance with the decision of the Government of the Russian Federation, mandatory marking of shoes will begin on July 1, 2019 of the year, before that a little more than six months remain. SR asked how the pilot labeling project was going on, what difficulties its first members had and what they came to. Experts of the shoe market - Dmitry Lavrukhin, CEO of AXA, and Alexander Senko, Director of IT at AXA, answer questions of the editorial office in detail.

Dmitry Lavrukhin Dmitry Lavrukhin - AXA CEO

Alexander Senko Alexander Senko - Director of IT at AXA

Why did you decide to participate in the MDG Labeling Pilot Project? What criteria were selected according to the participants?

Dmitry Lavrukhin: The companies chose the National Shoe Union according to various criteria, specializations and directions, from each region - according to the participant, to see how labeling will be carried out in different market conditions at all stages of production and sale of shoes. For example, shoe manufacturers, importers from Russia and Europe, and even manufacturers of special footwear for the B2B segment take part in it. As far as we know, in the pilot project now there are only 2 companies that are importers of European shoes — these are we (AXA - ed.) And Caprice. We decided to participate in order to prepare for the 1 of July 2019 of the year, and because we are interested in keeping up with the times, it is interesting to be the first.

How was the process of preparing and implementing all systems? How long did it take?

Alexander Senko: A pilot project is, first of all, an experiment, and not everything depends on us. The preparation itself began with meetings with representatives of the National Shoe Union, where the basic principles and nuances of the future system were discussed, and proposals were made. The first developments began in July, integrations with the GS1 RUS system were implemented, then there was a pause in connection with the expectations of guidelines from the RF Ministry of Industry and Trade. At the end of September 2018, the year we received from the MDCT the first equipment - the Emission Registrar (OM) (a device designed to order marking codes and register information about the release of marked goods. - Ed.). A little later, we established the Job Management System - a server on which a label is already formed with a marking code. Now the most active phase of the pilot project is underway: integration with our accounting systems is underway, a system for applying codes to packaging with shoes is being developed. We want to make all processes as automated as possible.

How did you work with the staff, how long did it take to study, to dive into the topic, and how many people in the company were involved in the process?

A.S .: Due to the fact that there is no finished software product that integrates with the marking system, we are developing our own software (software). That is, we customize the system that is already in the company to the requirements specified in the guidelines and in accordance with the requirements of the MDGs. We employ a large staff of specialists to implement all the necessary tasks. This is a team of programmers who are directly involved in the integration of 1С with the information labeling system. There are consultants for logistics and warehouse accounting, a specialist in hardware systems for applying marking codes on commodity packaging. And outsourcing, which updates 1C both in retail stores and in the entire central trade management system. Software development is being carried out simultaneously with consultations of our sales specialists. Their training is taking place now.

What, in your opinion, is the most difficult in the marking system? What will large and small companies face in the implementation process?

A.S .: For small companies that do not have a full-fledged staff of IT specialists, the biggest problem is the lack of integration with 1С and MDGs. Accounting systems for cash registers are not ready, but there are already firmware at the cash registers, and they are ready. As far as I know, all the participants in the pilot project have already independently integrated with 1С. Perhaps this issue will be resolved soon. There are a number of integrators who are engaged in development, but I have not seen ready-made solutions. For large companies, difficulties with the implementation of the marking system will be associated with changes to the company's business processes. We'll have to make adjustments to the established system. Plus, they will be dependent on the stability of this system, if the system fails, the company simply can not continue to work. For us, the biggest difficulty is marking outside the Russian Federation, because according to the law, marking codes must be pasted before crossing the Russian border. Many representatives in Europe do not understand the scale of the system; they think that it will be just a “new label”.

Have you developed any of your own internal algorithms for working in the new conditions?
A.S .: The new system requires the introduction of a large amount of additional information, the recording of which was not necessary. Changes affected accounting systems, warehouse operations, workflow. Otherwise, we began to start the goods, in a new way we form an order for production. And as for our own algorithm, I can say that we are developing our own system for applying marking codes outside the Russian Federation. This hardware-software complex, which is now at the design stage, will be our product, which we plan to use in the future.
What can you say about the first results of work on the shoe marking system? What real problems did you encounter, what will be finalized before the summer of 2019? And is there enough time to eliminate them?

D.L .: Although at the very beginning there were many shortcomings, at the pilot project level, the system already has a high degree of readiness. We work closely with the MDGs. Various functions of the system have been tested and tested - such as working with GS1 RUS. We tested and successfully completed the ordered emissions of labeling codes and label printing, tested the process of putting goods into circulation. At the moment, we are actively cooperating with the IT departments of shoe manufacturers from Germany and Italy in order to develop a format for transmitting marking codes. A large amount of work is to integrate with the accounting systems of large European shoe manufacturers, who plan to paste shoes on their own. Now we are testing this format.
The big problem is that the labeling system will increase the burden on managers. They will need to spend more effort and time filling in the data. The workflow will become more complicated and larger, which will affect both accounting staff and warehouse workers. All participants in the trade chain will not be easy.

What are the feedback from your IT-specialists about the system? How was the integration with your CRM?
A.S .: The system that was created by the MDCT is still in the active stage of development; it is constantly being updated. Integration options are provided for different companies, for large businesses - using a secure API protocol to automate processes as much as possible and eliminate the human factor. For small and medium-sized businesses, it is possible to download files in excel * and xml * format. There is a choice, so before 1 July 2019, you need to spend time learning new rules or waiting for ready-made box solutions that should appear on the market soon.

You are just about to provide logistics and labeling services for other companies. Where and how will this happen?

D.L .: Yes, we plan to provide comprehensive labeling, labeling and logistics services. Any company can contact us, everyone who has production outside the Russian Federation.

After the conclusion of the agency agreement, marking, delivery and customs clearance of goods will be carried out by our forces. All risks and cargo are insured. For small customers, there is the option of working under a contract of sale. We are ready to place the goods at 2 partner warehouses in Italy (Marche region) and in Germany (Berlin). We already have all the necessary equipment to automate the process as much as possible. We will begin training foreign specialists in label printing of a new sample at the beginning of the 2019 year. We plan to expand in the future.

Your list of life hacks for the transition to a mandatory shoe labeling system. What should you pay special attention to?
A.S .: Here are the top 7 recommendations from AXA on how to prepare for labeling:

  1. To get acquainted with the “guidelines for the participants in the shoe labeling experiment” on the website of the Ministry of Industry and Trade of the Russian Federation (;

  2. Get an electronic digital signature key, without it it will be impossible to use a marking system;

  3. Purchase an 2D scanner in advance, only it can read the marking code;

  4. Set up an electronic document management system, otherwise you will not be able to buy goods from wholesalers for further implementation;

  5. Update firmware of online cash registers;

  6. Update accounting systems to the latest version;

  7. On the site honestznak.rf get even more information on the marking project, if you want to register as a participant.

Interviewed by Ekaterina Sergeeva

In accordance with the decision of the Government of the Russian Federation, mandatory marking of shoes will begin on July 1, 2019 of the year, before that a little more than six months remain. SR asked how the pilot project on ...
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